Public Notice CRTC 2000-10
See also: 2000-10-1
Ottawa, 24 January 2000
Final revisions to certain exemption orders
Summary
In this notice, the Commission sets out the final version of 12 exemption orders that have been subject to a review. Draft versions of these orders were issued for comment in Public Notice CRTC 1999-133.
Introduction
1. In Public Notice CRTC 1998-40 Review of certain exemption orders, the Commission announced that it would review fifteen such orders that it had previously issued. Such a review reflected the Commission’s determination set out in Public Notice CRTC 1996-59 Policy regarding the use of exemption orders where it indicated that exemption orders would normally be reviewed between five and seven years following the date they were issued.
2. The process for the review included two stages of written comments that resulted in a total of 103 comments. Most parties supported the Commission's approach to exemption orders, but some raised substantive issues related to eight of the fifteen orders covered by the review.
3. After examining the comments, the Commission issued Public Notice CRTC 1999-133 calling for final comments on proposed revisions to twelve of the exemption orders. The final text of these twelve exemption orders is set out in the appendix to this notice.
4. The Commission has reviewed the comments that have been submitted with regard to all of the proposed exemption orders outlined in Public Notice CRTC 1999-133. With the exception of Master antenna television systems (MATVs), which are discussed below, the Commission has not made any further substantive changes to the proposed exemption orders set out in Public Notice CRTC 1999-133.
Master antenna television systems (MATV's)
5. The Commission received four comments in response to Public Notice CRTC 1999-133 related to the MATV exemption order. It considers that two particular issues raised in these comments require a response.
Group TVA Inc.
6. Group TVA Inc. (TVA) requested that the MATV exemption order be amended so that MATVs would be required to distribute all signals provided by the local, licensed cable operator as part of the basic service without additional charge.
7. In Decision CRTC 98-488, dated 29 October 1998, the Commission required Class 1 and Class 2 distribution undertakings as well as direct-to-home (DTH) undertakings to distribute the TVA network. Class 3 distribution undertakings were strongly encouraged to distribute this network.
8. The Commission therefore considers that an approval of TVA’s request would be inconsistent with the approach taken in Decision CRTC 98-488 since MATV systems are generally similar in size to Class 3 distribution undertakings. However, consistent with to its treatment of Class 3 distribution undertakings, the Commission strongly encourages MATVs to distribute the TVA network signal.
9. In addition, the Commission wishes to remind parties that the final stage of a comment process is not intended to provide an opportunity to introduce significant policy matters. The raising of new proposals at this stage does not provide an opportunity for other interested parties to respond to their proposal.
Condominium Cable Communications (C-3) Committee
10. C-3 pursued the issue of permitting "hybrid MATV/DTH" to serve multiple unit dwellings in its comment, having first raised this matter during the process announced in Public Notice CRTC 1998-40.
11. The Commission notes that criterion #2 of the exemption order precludes an MATV from sharing its distribution system with another distributor since the MATV would be connected by a form of transmission not provided in the three cases listed in this criterion.
12. Following a careful consideration of this matter, the Commission has concluded that there is no policy rationale to preclude an MATV and another type of distribution undertaking from distributing their services independently on the same wiring system. Further, the Commission notes that such a use of distribution plant is consistent with its objective of promoting competition between distribution undertakings, thereby offering subscribers increased choice in services.
13. Criterion 2 of the attached MATV exemption order has therefore been amended to permit MATVs to share facilities with other licensed broadcasting distribution undertakings. The Commission, however, wishes to clarify that this amendment is not intended to permit MATVs to redistribute signals received directly from other broadcasting distribution undertakings, such as DTH or cable licensees. MATVs would continue to be authorized to receive signals from licensed satellite relay distribution undertakings.
Secretary General
This notice is available in alternative format upon request, and may also be viewed at the following Internet site: http://www.crtc.gc.ca
Appendix to Public Notice CRTC 2000-10: Exemption Orders
Exemption order respecting resource development installations
1. The Commission hereby prescribes a class of cable distribution undertaking to be known as "Resource Development Installation Distribution Undertakings."
2. Distribution undertakings in Canada which meet all of the following criteria shall constitute that class:
(a) The entire cable distribution undertaking is operated by or on behalf of the person who owns or leases all of the property on which the undertaking is located and that operator also supplies to the population of the installation served by the undertaking such common amenities as food and shelter.
(b) The cable distribution undertaking is not connected by any form or means of transmission of signals to any land not owned or leased by the owner or lessee described above and such transmissions do not cross any public street or highway.
(c) No separate charge is levied or direct commercial gain obtained for any signal or service provided through the distribution system used by the undertaking or for the use of any part of the distribution system.
(d) The operator of the undertaking distributes through its system the signals of all local Canadian television stations, in each case with no degradation of received signal.
(e) Where satellite signals are received, the person carrying on the distribution undertaking has executed a contract for the provision of such signals with the licensed provider of such satellite signals.
(f) The only satellite signals received and distributed are from a licensed Canadian satellite operator.
(g) The undertaking meets all technical requirements of the Department of Industry and has acquired all authorizations or certificates prescribed by the Department.
3. For the purposes of this order:
(a) "licensed" means licensed by the CRTC
(b) "local television station" means a licensed television station that
(i) has a Grade A official contour that includes any part of the service area of the undertaking; or
(ii) has, if there is no Grade A official contour, a transmitting antenna that is located within 15 kilometres of the service area of the undertaking.
(c) "signal" means any sign, writing, image, sound or intelligence of any nature transmitted or emitted as a radiocommunication.
Accordingly, persons meeting allof the foregoing criteria need not apply for a licence to operate a cable television undertaking.
Exemption order respecting low-power radio: Temporary resource development distribution undertakings
The Commission, pursuant to subsection 9(4) of the Broadcasting Act, by this order, exempts from the requirements of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:
Purpose
The purpose of these radio programming undertakings is to make available to employees of temporary mining, logging and other such temporary installations, rebroadcasts of Canadian radio stations, for the duration of the use of the installations.
Description
1. The undertaking operates between 525 and 1705 kHz in the AM frequency band, or between 88 and 108 MHz in the FM frequency band.
2. The undertaking broadcasts at a power of less than 100 watts transmitter power for AM, or with an effective radiated power (ERP) of 50 watts or less for FM.
3. The undertaking operates in an area that is not within the 0.5 millivolt per metre (mV/m) daytime contour of a protected AM station licensed by the Commission, or the 0.5 mV/m realistic contour of a protected FM station licensed by the Commission, broadcasting in the same language as the undertaking.
4. The Commission would not be prohibited from licensing the undertaking by virtue of any direction to the Commission by the Governor in Council.
5. The undertaking meets all technical requirements of the Department of Industry and has acquired all authorizations or certificates prescribed by the Department.
6. The undertaking is operated by or on behalf of the person who owns or leases all of the property on which the undertaking is situated and who supplies the population of the installation served by the undertaking with such common amenities as food and shelter.
7. The undertaking discontinues operation upon completion of the work project.
8. The undertaking originates no programming itself.
9. The undertaking distributes, without curtailment or alteration, the signal of a Canadian station licensed or exempted by the Commission.
Exemption order respecting low-power radio: Limited duration special event facilitating undertakings
The Commission, pursuant to subsection 9(4) of the Broadcasting Act, by this order, exempts from the requirements of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:
Purpose
The purpose of these radio programming undertakings is to allow those attending special, generally recognized events a fuller appreciation of those events through the provision of locally originated informational programming related directly to these events.
Description
1. The undertaking operates between 525 and 1705 kHz in the AM frequency band, or between 88 and 108 MHz in the FM frequency band.
2. The undertaking broadcasts at a power of less than 100 watts transmitter power for AM, or with an effective radiated power (ERP) of 50 watts or less for FM.
3. The Commission would not be prohibited from licensing the undertaking by virtue of any direction to the Commission by the Governor in Council.
4. The undertaking meets all technical requirements of the Department of Industry and has acquired all authorizations or certificates prescribed by the Department.
5. The undertaking originates all of its programming from the property upon which the event takes place.
6. The undertaking does not rebroadcast the programming of any other undertaking.
7. The undertaking operates as ancillary to and for the purpose of facilitating a special event.
8. The undertaking restricts its programming to the specific recognized (sports, cultural or touristic) event and does not duplicate the programming service of any licensed or exempted radio undertaking or the audio portion of a licensed or exempted television undertaking.
9. The undertaking does not broadcast programming that is religious or political in nature.
10. The undertaking is operated for a single period, in respect of any special event, consisting of no more than 28 consecutive days in any calendar year.
11. The undertaking's programming complies with the guidelines on gender portrayal set out in the Canadian Association of Broadcasters' (CAB) Sex-role Portrayal Code for Television and Radio Programming and the provisions of
the CAB's Broadcast Code for Advertising to Children as may be amended from time to time and approved by the Commission.
12. In this section:
"commercial message" means an advertisement intended to sell or promote goods, services, natural resources or activities and includes an advertisement that mentions or displays in a list of prizes the names of the person selling or promoting those goods, services, natural resources or activities;
"sponsor identification" means the identification of a sponsor of a program or program segment other than a commercial message or a promotion with sponsor mention; and
"promotion with sponsor mention" means verbal or musical material promoting increased listening to the station or to specific announcers, programs or programming elements, when accompanied by the identification of a sponsor.
The undertaking limits on-air commercial activity to sponsor identification or promotion with sponsor mention.
Exemption order respecting low-power radio: Ultra low power announcement service (LPAS) undertakings
The Commission, pursuant to subsection 9(4) of the Broadcasting Act, by this order exempts from the requirements of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:
Purpose
The purpose of these radio programming undertakings is to allow those such as real estate agents, store owners and local authorities to communicate to the public messages of an informative, sometimes commercial nature, regarding their activities by means of ultra low-power transmitters, e.g., "talking signs."
Description
1. The undertaking operates between 525 and 1705 kHz in the AM frequency band, or between 88 and 107.5 MHz in the FM frequency band.
2. In the case of an undertaking using the AM broadcasting band, the maximum power output of the transmitter into its antenna, without modulation, does not produce a field strength, as measured at a distance of 30 metres, of more than 0.25 millivolts per metre (mV/m) and, in the case of an undertaking using the FM broadcasting band, the maximum power output of the transmitter into its antenna, without modulation, does not produce a field strength, as measured at a distance of 30 metres, of more than 0.1 mV/m.
3. The Commission would not be prohibited from licensing the undertaking by virtue of any direction to the Commission by the Governor in Council.
4. The undertaking meets all technical requirements of the Department of Industry and has acquired all authorizations or certifications prescribed by the Department.
5. The undertaking originates all of its programming.
6. The undertaking does not rebroadcast the programming of another undertaking.
7. The undertaking does not broadcast programming that is religious or political in nature.
8. The undertaking, if it promotes commercial activity, e.g., "talking signs," or is commercially oriented, does not broadcast the same message on more than one transmitter.
Exemption order respecting carrier current undertakings whose services are not carried on distribution undertakings
The Commission, pursuant to subsection 9(4) of the Broadcasting Act, by this order, exempts from the requirements of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:
Purpose
The purpose of these carrier current undertakings is to provide a locally originated programming service for the benefit of residents of such institutions as colleges and universities.
Description
1. The undertaking operates between 525 and 1705 kHz in the AM frequency band, using a transmitter that radiates a signal solely through the electrical system of a building or adjacent buildings.
2. The undertaking operates so that the maximum power output of the transmitter into the electrical system of the building(s) does not produce a field strength exceeding 15 microvolts-per-metre (µV/m) at a distance from the property served given by the equation: d = 48,000
f
where d is the distance in metres, and f is the frequency in kHz.
3. The Commission would not be prohibited from licensing the undertaking by virtue of any direction to the Commission by the Governor in Council.
4. The undertaking meets all technical requirements of the Department of Industry and has acquired all authorizations or certificates prescribed by the Department.
5. The programming of the undertaking is not distributed by any distribution undertaking.
6. The undertaking’s programming complies with the guidelines on gender portrayal set out in the Canadian Association of Broadcasters’ (CAB) Sex-role Portrayal Code for Television and Radio Programming and the provisions of the CAB’s Broadcast Code for Advertising to Children as may be amended from time to time and approved by the Commission.
Exemption order respecting radio and television temporary network special event type 1 undertakings
The Commission, pursuant to subsection 9(4) of the Broadcasting Act, by this order, exempts from the requirements of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:
Purpose
The purpose of these radio and/or television network undertakings is to supply radio and/or television stations licensed or exempted by the
Commission with coverage of unexpected, non-recurring events, such as special concerts and commemorative programs, or of public emergencies such as natural disasters and major accidents.
Description
1. The Commission would not be prohibited from licensing the undertaking by virtue of any direction to the Commission by the Governor in Council.
2. The undertaking meets all technical requirements of the Department of Industry and has acquired all authorizations or certificates prescribed by the Department.
3. The undertaking is a network operation and, in Canada, distributes programming to licensed or exempted radio or television undertakings only.
4. The undertaking
a) distributes its programming for a period of less than 24 consecutive hours, where the broadcast is of a one-time, non-recurring event, or
b) distributes its programming over a period of not more than seven consecutive days, where the broadcast is of a public emergency.
5. The programming is live or pre-recorded and, if the latter, is broadcast within 24 hours of of the original recording.
6. The undertaking does not broadcast programming that is religious or political in nature.
7. The undertaking’s programming complies with the guidelines on gender portrayal set out in the Canadian Association of Broadcasters’ (CAB) Sex-role Portrayal Code for Television
and Radio Programming and the provisions of the CAB’s Broadcast Code for Advertising to Children as may be amended from time to time and approved by the Commission.
Exemption order respecting distribution undertaking temporary network special event type 2 undertakings
The Commission, pursuant to subsection 9(4) of the Broadcasting Act, by this order, exempts from the requirements of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:
Purpose
The purpose of these distribution network undertakings is to supply distribution undertakings with coverage of not-for-profit or charitable events such as the Special Olympics or telethons raising money for certain charities.
Description
1. The Commission would not be prohibited from licensing the undertaking by virtue of any direction to the Commission by the Governor in Council.
2. The undertaking meets all technical requirements of the Department of Industry and has acquired all authorizations or certificates prescribed by the Department.
3. The undertaking is a network operation and, in Canada, distributes its programming to distribution undertakings only.
4. The undertaking provides coverage of a Canadian event that is not-for-profit in nature.
5. The programming distributed by the undertaking does not contain any conventional commercial activity. Sponsorship and contra messages are allowed provided that such messages meet all the restrictions applicable to the community channel as found in the Broadcasting Distribution Regulations, as amended from time to time by the Commission.
6.The undertaking does not operate outside of a single period consisting of a maximum of 28 consecutive days per year.
7. The undertaking distributes programming to distribution undertakings that carry it only on their community programming channel or on a special programming channel.
8. The programming is distributed live or pre-recorded and, if the latter, is distributed within 24 hours of the time of the original recording.
9. The undertaking does not broadcast programming that is religious or political in nature.
10. The undertaking’s programming complies with the guidelines on gender portrayal set out in the Canadian Association of Broadcasters’ (CAB) Sex-role Portrayal Code for Television and Radio Programming and the provisions of the CAB’s Broadcast Code for Advertising to Children as may be amended from time to time and approved by the Commission.
Exemption order respecting closed circuit video programming undertakings
The Commission, pursuant to subsection 9(4) of the Broadcasting Act, by this order, exempts from the requirements of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:
Purpose
The purpose of these television programming undertakings is to provide a programming service, whether for a separate fee or not, to temporary residents of hotels, motels and hospitals or the inmates of prisons only, and not to residents of permanent dwelling places. The programming consists only of feature motion pictures intended for theatrical release, or information about the city or about the premises served by the undertaking, and does not contain any commercial messages.
Description
1. The Commission would not be prohibited from licensing the undertaking by virtue of any direction to the Commission by the Governor in Council.
2. The undertaking meets all technical requirements of the Department of Industry and has acquired all authorizations or certificates prescribed by the Department.
3. The undertaking does not broadcast programming that is religious or political in nature, excepting feature motion picture films intended for theatrical release.
4. The undertaking provides a programming service consisting only of feature motion picture films intended for theatrical release or promotions for such films, and information about the city and the facilities for the guests of hotels or motels, the patients of hospitals and the inmates of prisons.
5. The undertaking does not operate in a manner that prevents a hotel or motel guest, hospital patient or prison inmate from receiving any programming service listed in section 17 or section 32 of the Broadcasting Distribution Regulations when that service is provided to the owner or operator of a hotel, motel, hospital or prison as part of the basic service of a licensed cable distribution undertaking, or from receiving any signal of a local television station when that signal is provided by a master antenna television system operating in accordance with the Exemption order respecting master antenna television systems.
Exemption order respecting still image programming service undertakings
The Commission, pursuant to subsection 9(4) of the Broadcasting Act, by this order, exempts from the requirements of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:
Purpose
The purpose of these television undertakings is to provide distribution undertakings with programming consisting of still images, (including graphic images) with or without an audio component, and with or without a fee being charged to any distribution undertaking receiving the service.
Description
1. The Commission would not be prohibited from licensing the undertaking by virtue of any direction to the Commission by the Governor in Council.
2. The undertaking meets all technical requirements of the Department of Industry and has acquired all authorizations or certificates prescribed by the Department.
3. The undertaking does not broadcast programming that is religious or political in nature.
4. The undertaking’s programming is provided exclusively to distribution undertakings, and consists entirely of still images with or without alpha-numeric text, and with or without an audio component consisting of:
a) background music;
b) the programming service of any licensed or exempted AM station or FM station other than an educational radio or programming service, the operation of which is the responsibility of an educational authority;
c) the service of Weather Radio Canada;
d) the programming service of a licensed or exempted national audio programming undertaking; or
e) spoken words that relate to what is represented by the still images.
The service of the undertaking may be combined with the service of an undertaking exempted under the Exemption order respecting teleshopping programming service undertakings on a single channel of a distribution undertaking.
Exemption order respecting community programming network undertakings
The Commission, pursuant to subsection 9(4) of the Broadcasting Act, by this order, exempts from the requirements of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:
Purpose
The purpose of these network undertakings is to distribute portions of one licensee’s community programming to the licensees of other distribution undertakings serving a common urban area.
Description
1. The Commission would not be prohibited from licensing the undertaking by virtue of any direction to the Commission by the Governor in Council.
2. The undertaking meets all technical requirements of the Department of Industry and has acquired all authorizations or certificates prescribed by the Department.
3. The undertaking only distributes community programming, as defined in the Broadcasting Distribution Regulations, as amended from time to time by the Commission, to the licensees of cable distribution undertakings serving a common urban area, and all of the programming distributed by the undertaking is produced by the operator of the undertaking or by members of the community served by the undertaking.
4. The operator of the undertaking is licensed by the Commission to carry on a cable distribution undertaking in the common urban area in which it distributes its programming.
Exemption order respecting terrestrial relay distribution network undertakings
The Commission, pursuant to subsection 9(4) of the Broadcasting Act, by this order, exempts from the requirements of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:
Purpose
The purpose of these terrestrial relay distribution network undertakings is to receive the programming services of programming undertakings, foreign or domestic, and distribute those programming services, unaltered, to affiliated distribution undertakings, with or without a fee, on a local or regional basis.
Description
1. The Commission would not be prohibited from licensing the undertaking by virtue of any direction to the Commission by the Governor in Council.
2. The undertaking meets all technical requirements of the Department of Industry and has acquired all authorizations or certificates prescribed by the Department.
3. The undertaking makes use of any technology other than satellite to distribute programming to distribution undertakings licensed or exempted from licensing by the Commission.
4. The undertaking does not originate any programming, nor does it curtail any programming that it receives and distributes.
5. The undertaking is local or regional in nature and not national.
Exemption order respecting master antenna television systems (MATV)
The Commission, pursuant to subsection 9(4) of the Broadcasting Act, by this order, exempts from the requirements of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:
Purpose
These distribution undertakings, commonly known as satellite master antenna television (SMATV) systems, or more simply as master antenna television (MATV) systems, have as their general purpose the distribution to the temporary or permanent residents of multiple unit dwellings such as hotels, apartment buildings, condominiums and row houses, of services generally accessible by residents of single unit dwellings.
Description
1. The entire undertaking:
a) is situated exclusively on land owned or leased by the person carrying on the undertaking, or, in the case of an undertaking carried on by a condominium corporation, by such corporation or any of its members; or
b) is effectively controlled by and provides service only to an educational institution, including residential buildings owned by and forming part of such institution.
2. (a) The undertaking is not connected by any form or means of transmission, apart from i) the direct over-the-air reception of conventional broadcast signals, ii) the direct satellite reception of services, or iii) the use of microwave or optical fibre to connect the building portion* of an MATV undertaking to its remote head end portion, which is solely and exclusively owned or leased by the person carrying on the undertakings, and which serves that building portion only,
i) to any land not owned or leased by the person or persons described above, or
ii) crossing over or under any public street or highway (or in the case of any MATV system fully built before 2 March 1994, over any public street or highway), except in the case of an undertaking carried on by a condominium corporation, or by a registered cooperative society, all of whose members reside on the land on which the undertaking is situated, or by an educational institution described in 1 b).
* Where the building portion consists of more than one building, these buildings may not be connected by crossing over or under any public street or highway (or in the case of any MATV system fully built before 2 March 1994, over any public street or highway), except in the case of an undertaking carried on by a condominium corporation, or by a registered cooperative society, all of whose members reside on the land on which the undertaking is situated, or by an educational institution described in 1 b).
b) Notwithstanding 2(a) above, the operator of an MATV distribution undertaking may allow a licensed distribution undertaking to use that MATV’s distribution facilities for the purpose of distributing the licensed undertaking’s service, provided the entire service of the licensed distribution undertaking is offered to the residents of the building involved.
3. a) No separate charge is levied, or direct commercial gain obtained, for the use of any part of the undertaking or for any service provided thereover, except for a charge levied in proportionate amount on subscribers to recover:
i) interest on money borrowed and depreciation, maintenance and administration expenses as reasonably incurred by the operator of the undertaking in connection with the establishment and maintenance of the undertaking, and
ii) the reasonable charge or fee payable by the operator of the undertaking to the distributor of a service or to an agent appointed by the operator of the undertaking to act on its behalf in arranging and administering agreements with service distributors.
b) No operator of an undertaking shall have any legal or beneficial ownership interest in any third party providing to the operator, for that undertaking, any services for which separate charges are levied with respect to the matters authorized under paragraphs 3(a) (i) and (ii), unless a contract was entered into on or before 18 May 1989, in which case the application of this subsection to that relationship will only become effective upon the expiration of the term of the said contract.
4. All signals of local Canadian television stations are distributed over the undertaking, in each case with no degradation of received signal.
"Signals of local Canadian television stations" means the signals of all television broadcasting stations licensed by the Commission having Grade A "official contours" (as defined in the Broadcasting Distribution Regulations, as amended) enclosing the area in which the undertaking in question is carried on.
5. No service received over-the-air or by satellite or microwave or by optical fibre transmission is distributed over the undertaking, other than a service that the Commission by regulation, condition of licence, or otherwise has authorized the licensee of a cable distribution undertaking serving the area within which the undertaking is situated to distribute on its undertaking, whether or not the licensee is actually distributing the service.
Subject to paragraph 4 above, the signals distributed by the exempt undertaking need not be identical to those signals distributed by the licensed terrestrial distribution undertaking serving the area, so long as they are signals of affiliates of the same network.
6. A majority of the video channels and a majority of the audio channels received by each permanent or temporary residence are devoted to the distribution of Canadian programming services.
7. No locally originated feature motion picture is distributed over the undertaking.
8. Notwithstanding paragraphs 5 and 7 above, an undertaking serving the temporary residents of hotels, motels and hospitals or the inmates of prisons may distribute the programming authorized for distribution by Closed Circuit Video Programming Undertakings as set out in this Public Notice.
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