ARCHIVED - Broadcasting Decision CRTC 2002-328

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Broadcasting Decision CRTC 2002-328

Ottawa, 21 October 2002

CHUM Limited
Pembroke and Ottawa, Ontario

Applications 2001-1326-7, 2001-1388-7
Public Hearing in the National Capital Region
6 May 2002

Licence renewal for CHRO-TV Pembroke and new licence for CHRO-TV-43 Ottawa

1.

The Commission has considered applications by CHUM Limited (CHUM) for:

  • the renewal of the licence for the television programming undertaking CHRO-TV Pembroke and to delete from its licence the transmitter CHRO-TV-43 Ottawa; and
  • for a new licence for CHRO-TV-43, separate from that of CHRO-TV Pembroke, for the purpose of allowing "split feed" advertising on CHRO-TV-43.

2.

The Commission received 54 interventions with regard to these applications, and all have been taken into account by the Commission in its deliberations. All but one of these interventions were in support of the renewal of the licence to operate CHRO-TV. In addition to the opposing intervention discussed below, other interventions received in connection with these applications are discussed in Licence renewals for seven CHUM Limited television stations, Broadcasting Decision CRTC 2002-323, 21 October 2002 (Decision 2002-323) which introduces this and other decisions of today's date.

Renewal of CHRO-TV

3.

The Commission notes CHRO-TV's on-going local programming focus on Pembroke, Ottawa, Renfrew County and the Ottawa Valley.

4.

The Commission also notes CHUM's plans for a partnership with CHIN Radio that will result in a block of ethnic programming to be broadcast on CHRO-TV on weekends. CHRO-TV will also share with CHIN Radio a local reporter who will report from the perspective of cultural and ethnic groups within the local coverage area.

5.

Based on its examination of this application, the Commission is satisfied that a long-term renewal of the licence for CHRO-TV is justified, and renews the licence from 1 December 2002 to 31 August 20091. The licence will be subject to the conditions of licence set out below, as well as to others contained in Decision 2002-323.

Split-feed advertising on CHRO-TV-43 Ottawa

6.

As noted above, the licensee also requested a new, separate licence for CHRO-TV-43 Ottawa, a transmitter of CHRO-TV, and the subsequent removal of CHRO-TV-43 from the licence for CHRO-TV. CHUM stated that the purpose of this application was to allow "split-feed" advertising on CHRO-TV-43. Split-feed advertising would allow CHUM, during the same program, to direct advertising material to Pembroke audiences on CHRO-TV, at the same time as it broadcasts advertising intended for Ottawa on CHRO-TV-43. CHUM stated that only a limited amount of additional local advertising on the Ottawa transmitter would result, and that the use of split-feed advertising would be restricted to locally-produced programming.

7.

An intervention in opposition to this application was submitted by Rogers Broadcasting Limited (Rogers). Rogers argued that approval of this application would create an exception to the Commission's policy linking access to local advertising revenues to the provision of local programming.

8.

The Commission considers that approving this proposal will provide easier access to television advertising for businesses located in Pembroke and the Ottawa Valley. It also frees CHUM from its current practice of subsidizing the advertising rates paid for ads sold to Pembroke and Ottawa Valley area advertisers that could otherwise be sold to Ottawa-based advertisers at a higher rate. As a result, this proposal could provide CHUM with a modest increase in annual revenues, helping to alleviate the annual financial losses experienced by CHRO-TV.

9.

The Commission is satisfied that CHUM's local programming plans, and its willingness to accept a condition of licence restricting the use of split-feed advertising to locally-produced programming is consistent with Commission policy.

10.

Accordingly, the Commission approves the application by CHUM for a separate licence for CHRO-TV-43, the Ottawa transmitter of CHRO-TV. The Commission will amend the licence for CHRO-TV by deleting the transmitter CHRO-TV-43 from that licence, and will subsequently issue a separate licence for CHRO-TV-43, for retransmission of the programming of CHRO-TV Pembroke, with the exception of advertising in locally-programming. A condition of licence relating to the separate advertising is set out below.

11.

The Commission notes that issuing a separate licence for CHRO-TV-43 has implications for broadcasting distribution undertakings (BDUs) in the licensed areas of Ottawa and Gatineau. In relation to these BDUs, pursuant to the Broadcasting Distribution Regulations, CHRO-TV-43 will be a local television station and CHRO-TV Pembroke will be an extra-regional television station. Therefore, BDUs in Ottawa and Gatineau would be required to distribute both signals. Given that the programming on both stations will be the same except for advertising broadcast during locally-produced programming, the Commission will consider expeditiously applications from BDUs in Ottawa and Gatineau for conditions of licence providing for an exception to the requirement to distribute CHRO-TV Pembroke.

Conditions of licence for CHRO-TV Pembroke and CHRO-TV-43 Ottawa

1.a) The licensee shall broadcast, at a minimum, in each broadcast year, an average of eight hours per week of Canadian programs in the priority program categories between 7:00 p.m. and 11:00 p.m., from Monday to Sunday. As defined in Definitions for new types of priority programs; revisions to the definitions of television content categories; definitions of Canadian dramatic programs that will qualify for time credits towards priority programming requirements, Public Notice CRTC 1999-205, 23 December 1999 (Public Notice 1999-205), the priority program categories are:
Canadian drama programs; Canadian music and dance and variety programs; Canadian long-form documentaries; Canadian regionally-produced programs in all categories other than News and information and Sports; Canadian entertainment magazine programs.
b) For the purpose of fulfilling the above-noted condition, the licensee may claim the dramatic programming credit announced in Public Notice 1999-205, as it may be amended from time to time.
2. Beginning 1 December 2002, the licensee shall caption 90% of all programming during the broadcast day, including 100% of all category 1 - News programming.
3.a. Beginning 1 September 2004, the licensee shall broadcast between 7:00 p.m. and 11:00 p.m. an average of three hours per week of described video programming.
b. Beginning 1 September 2006, and for the remainder of the licence term, the licensee shall broadcast between 7:00 p.m.and 11:00 p.m. an average of four hours per week of described video programming.

In fulfilling this condition, all of the described video programming must be Canadian, and a minimum of 50% of the required hours must be original broadcasts. Further, the licensee may broadcast up to one hour per week of described children's programming at an appropriate children's viewing time.

Condition of licence for CHRO-TV Pembroke only

4. The licensee may broadcast advertising that is distinct from the advertising broadcast on CHRO-TV-43 Ottawa, during periods of locally-produced programming only.

Condition of licence for CHRO-TV-43 Ottawa only

5. The licensee may broadcast advertising that is distinct from the advertising broadcast on CHRO-TV Pembroke, during periods of locally-produced programming only.

Other matters

12.

The Commission expects the licensee to adhere to its commitment to expenditures for script and concept development of $80,000 over the new licence term. It also expects the licensee to adhere to its commitment on behalf of CHRO-TV Pembroke, to retire by the end of 2004 the outstanding benefits of $180,000 related to the new CHUM Program Production Fund which had been noted in Approval of applications by Baton Broadcasting Incorporated and certain of its subsidiaries, CHUM Limited, and CTV Television Network Ltd. for authority to transfer either the assets, or share equity representing effective control, of the CTV Television network, and of various English-language television and other programming undertakings across Canada, Decision CRTC 97-527, 28 August 1997. The Commission expects that the outstanding benefits will be paid out at a rate of $90,000 annually in each of the first two years of the new licence term.

13.

The Commission expects the licensee, during each broadcast week, to broadcast a minimum of 23.5 hours of local programming on CHRO-TV. As set out in Decision 2002-323, the licensee may replace a maximum of one hour per week of local programming with regional programming, provided that the regional programming is drawn from a category other than news.

14.

The Commission also expects the licensee, through CHRO-TV, to continue to fund and develop local productions that reflect Ottawa and Ottawa Valley communities, including half-hour and hour documentaries that showcase local artists and community groups.

15.

The Commission further expects the licensee to ensure that a minimum of 75% of the described video programming required under condition of licence 3 above, is priority programming.

Secretary General

This decision is to be appended to each licence. It is available in alternative format upon request, and may also be examined at the following Internet site: www.crtc.gc.ca

1 In Broadcasting Decision CRTC 2002-238, 22 August 2002, the Commission granted a three-month administrative renewal for CITY-TV, CFPL-TV, CHWI-TV, CKVR-TV, CHRO-TV, CKNX-TV and CKVU-TV, from 1 September to 30 November 2002.

Date Modified: 2002-10-21

Date modified: