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Broadcasting Decision CRTC 2004-503

Ottawa, 19 November 2004
TVA Group Inc. and Sun Media Corporation, on behalf of Newco, a wholly-owned subsidiary corporation to be incorporated
Toronto, Ontario
Applications 2004-0974-9 and 2004-1031-6
Public Hearing in the National Capital Region
1 November 2004

Transfer of effective control of Toronto One to TVA Group Inc. and Sun Media Corporation

The Commission approves the applications filed by TVA Group Inc. (TVA) and Sun Media Corporation (Sun Media) to transfer effective control of Toronto One to TVA and Sun Media.

The applications

1.

At the 1 November 2004 public hearing in the National Capital Region, the Commission considered applications by TVA Group Inc. (TVA) and Sun Media Corporation (Sun Media), on behalf of Newco, a wholly-owned subsidiary corporation to be incorporated by Craig Media Inc. (Craig) for authority to transfer effective control of Newco to TVA and Sun Media. At the time of closing of the acquisition of all of the issued and outstanding shares of Newco by TVA and Sun Media, Newco will be the licensee of the television programming undertakings CKXT-TV Toronto and its transmitter CKXT-TV-1 Hamilton, and CKXT-DT Toronto and its transmitter CKXT-DT-1 Hamilton (hereinafter referred to as "Toronto One").

2.

TVA and Sun Media also applied to amend the licence of Toronto One to add a condition of licence relating to editorial independence. The proposed condition would follow a model similar to the one imposed on the conventional television stations of CTV Television Inc. (CTV) and Global Communications Limited (Global) in Licence renewal for the television stations controlled by CTV, Decision CRTC 2001-457, 2 August 2001, and Licence renewals for the television stations controlled by Global, Decision CRTC 2001-458, 2 August 2001.

Background

The transaction

3.

On 10 April 2004, CHUM Limited (CHUM) entered into an agreement providing for CHUM's acquisition of all of the issued and outstanding shares of Craig. CHUM stated that Craig's decision to sell stemmed from a financial crisis brought on by weak financial results at Craig's stations in Western Canada and greater than expected losses at Toronto One. This transfer of control transaction (the CHUM transaction) was considered at the 9 September 2004 public hearing.

4.

Craig owns a number of broadcasting undertakings including Toronto One, which Craig operates as a division and not as a separate subsidiary company. As part of the CHUM transaction, CHUM committed to sell Toronto One following its acquisition of Craig. To facilitate CHUM's subsequent sale of Toronto One, Craig agreed to transfer the assets comprising Toronto One into Newco upon receiving Commission approval for the CHUM transaction and prior to Craig being acquired by CHUM (the Newco transaction). The Newco transaction was considered at the 7 September public hearing. The Commission approved both the CHUM and the Newco transactions in Transfer of effective control of Craig Media Inc. to CHUM Limited; and Acquisition of assets - reorganization of Toronto One, Broadcasting Decision CRTC 2004-502, 19 November 2004. CHUM's acquisition of Craig will include all the shares of Newco.

5.

On 20 August 2004, CHUM entered into an agreement providing for the sale of Toronto One through the transfer of all of the issued and outstanding shares of Newco to TVA and Sun Media for $46 million. TVA agreed to pay CHUM $34.5 million in cash to acquire 75% of the shares, and Sun Media agreed to pay CHUM $3.5 million in cash and to transfer its indirect 29.9% voting interest in Pulse 24 Partnership (valued at $8 million) to CHUM for the remaining 25% of the shares. By this decision, the Commission approves, subject to the terms and conditions set out below, TVA and Sun Media's acquisition of Toronto One.

Toronto One

6.

In New television station for Toronto/Hamilton, Broadcasting Decision CRTC 2002-81, 8 April 2002 (Decision 2002-81), the Commission approved the application by Craig to operate an English-language over-the-air television station to be known as Toronto One to serve Toronto, with an additional transmitter in Hamilton. Craig launched Toronto One in September 2003.

7.

In Decision 2002-81, the Commission noted that Craig would bring a new voice to the market and provide viewers in the Greater Toronto Area (GTA) with a fresh perspective and approach to television. Further, the Commission considered that the new station would provide an opportunity for programs produced by Craig's western stations to be broadcast in the GTA and for programs produced by the Toronto station to be broadcast in Alberta and Manitoba.

8.

Decision 2002-81 noted that the programming of Toronto One would include:
  • ethnic programming produced in English, targeted to second and third generation ethnic viewers;
  • a weekly half-hour Aboriginal newsmagazine program;
  • 14.5 hours of local programming each week between 6 p.m. and midnight, of which ten hours would be non-news programming; and
  • eight hours per week of priority programming broadcast between 7 p.m. and 11 p.m.

9.

Craig also made a commitment to devote $15.4 million over the licence term to independent production for Toronto One. The money would be divided between two funds. The New Voices Fund would support ethnic programming, and the Priority Program Fund would support the production of priority programs by the GTA's small and medium-sized independent producers.

The purchasers

10.

TVA is the largest private broadcaster in the French-language conventional television market in Canada. In addition to its conventional television stations, TVA owns a number of specialty television services. TVA is also involved in the production and distribution of audiovisual products as well as in magazine publishing.

11.

Sun Media is the second largest newspaper publishing company in Canada. It publishes daily newspapers in several markets across Canada, as well as weekly newspapers, shopping guides and specialty publications.

12.

Both TVA and Sun Media are controlled by Quebecor Media Inc. (QMI), a corporation ultimately controlled by Les Placements Péladeau inc.

Interventions

13.

The Commission received seven interventions in connection with these applications. Three interventions were in support, one intervention was in opposition and three interventions commented on various aspects of the applications. Concerns raised by interveners are addressed later in the relevant sections of this decision.

Programming plans

14. TVA and Sun Media confirmed that they would fulfill all of the terms and conditions attached to Toronto One's current licence.
15. TVA and Sun Media stated that they will position Toronto One as a stand-alone station in the GTA market. According to the applicants, Toronto One will target an audience of adults and young adults and will pay particular attention to the region's multicultural composition. Toronto One will focus its programming on popular entertainment, including movies and English-language ethnic programming. Local programming will include news commentary and programs related to current trends and lifestyles in the GTA, including the coverage of local events and cultural activities.
16. According to the applicants, Toronto One's local programming, including news commentary and programs that reflect local attitudes about current events, will reflect the particular needs and interests of Toronto residents. Currently, the licensee is required, by condition of licence, to broadcast at least 10 hours per week of local programming other than news between 6 p.m. and midnight. The Commission notes that Craig made a further commitment to broadcast 4.5 hours of news each week between 6 p.m. and midnight that would be in addition to the 10 hours per week of local programming mentioned above. In light of these commitments, the Commission expects TVA and Sun Media to broadcast a minimum of 14.5 hours of local programming each week between 6 p.m. and midnight, which reflects the commitments set out in Decision 2002-81.

Service to Hamilton

17. Representatives from the City of Hamilton intervened because they were of the view that the applications had a direct impact on Hamilton and to stress the importance of local television diversity as a necessary component of Hamilton's ability to thrive as a "vibrant urban centre."
18. The City of Hamilton requested that the Commission take the following actions. First, it requested that the definition of "local programming" be amended to read "a station production or programming produced by Hamilton and Toronto-based independent producers that reflects the particular needs and interests of Hamilton and Toronto residents.1" Second, the City of Hamilton was of the view that the applicants should establish a Hamilton bureau to produce local programming for Hamiltonians that would be broadcast over the Hamilton transmitter only. During periods of local programming, the Hamilton transmitter would break away from regular Toronto One programming.
19. The City of Hamilton further requested that the applicants ensure that Hamilton-oriented programming receives an appropriate percentage of money from the New Voices Fund and Priority Program Fund, and that funding for market studies proposed by the applicants include research on communities in the Hamilton market.
20. In reply, TVA and Sun Media stated that it would not be appropriate to add more obligations to the Toronto One licence, at least for the short term. The applicants stated that, in the future, they would consider Hamilton "not as an obligation, but as a business opportunity."
21. The Commission notes that Toronto One has a transmitter that covers the Hamilton area. It considers that Toronto One's local programming should appropriately reflect the particular needs and interests of Hamilton residents and will expect the new licensee to demonstrate the specific efforts it has made in this regard when it applies for renewal of the Toronto One licence in 2008.

Reflection of cultural and racial minorities and Aboriginal peoples

22. The applicants stated that they would implement Toronto One's specific commitments related to initiatives designed to ensure that the station accurately reflects the presence of cultural and racial minorities and Aboriginal peoples in the communities it serves through the cultural diversity plan that TVA has already submitted to the Commission. TVA and Sun Media also stated that they recognize that television is an important platform "to reflect the Aboriginal perspective in Canada's largest broadcast market."
23. In its original application for the Toronto One licence, Craig committed to establish a Multicultural Advisory Board for Toronto One (the Advisory Board). At the 1 November hearing, the Commission learned that, while Craig had established the Advisory Board, the Advisory Board had not been maintained. TVA and Sun Media agreed to re-establish the Advisory Board, which would provide advice to TVA and Sun Media on their entry into the Toronto broadcast market, for one to two years. The applicants made a further commitment to ensure that the Advisory Board would adequately reflect the ethnic communities in the market.
24. The Commission expects the applicants to file their plans with regard to the Advisory Board, including details with respect to its mandate and composition, within six months of this decision.
25. The Commission also expects the applicants to adapt the TVA cultural diversity plan so that it reflects the special needs and circumstances of Toronto One. The Commission further expects the applicants to ensure that, throughout the licence term, Toronto One continues to "reflect the unique perspective of Aboriginals living in an urban environment through a weekly half-hour Aboriginal magazine program and include the contribution of Aboriginal reporters to information programming," as was stated in Decision 2002-81.

Described video

26. By condition of licence set out in Decision 2002-81, Toronto One must, provide described video for all programs produced through the New Voices Fund and the Priority Program Fund. The applicants must continue to fulfil this and all other terms and conditions attached to the Toronto One licence. Further, even though Toronto One will be TVA and Sun Media's only English-language stand-alone station, the Commission notes that TVA qualifies as one of the "largest multi-station ownership groups," as defined in the Building on success - A policy framework for Canadian television, Public Notice CRTC 1999-97, 11 June 1999 (the Television Policy)2. Accordingly, the Commission encourages the applicants to reach levels of described video that are similar to those required by condition of licence in the last licence renewal decisions for the conventional television stations operated by CTV and Global. Specifically, the Commission encourages Toronto One to provide an average of two hours per week of described video programming in the first two years that it operates Toronto One, with at least 50% of the hours being original programming.
27. The Commission further expects Toronto One, wherever possible, to acquire and broadcast versions of programs that include described video.

Priority programming

28. The Canadian Film and Television Production Association (CFTPA) recommended that TVA and Sun Media be required:
  • to ensure that at least 75% of the priority programming it broadcasts be obtained from independent producers;
  • to make sufficient resources available for the creation of new original Canadian programming;
  • to make a strong commitment to priority Canadian programming in prime time; and
  • to report annually on the broadcast of drama and Canadian feature films, including original and repeat broadcasts, and to provide details about incremental program expenditures.
29. The intervener further requested that the Commission require TVA and Sun Media to establish a terms of trade agreement with the CFTPA to ensure that program creators are adequately compensated. According to the CFTPA, such an agreement would establish "clarity, transparency and equitability in our members' business dealings with broadcasters." TVA and Sun Media replied that they plan to work with the independent producers in the Toronto area.
30. The Commission considers that the new licensee will require some time to develop and implement its strategy with respect to priority programming for Toronto One. Accordingly, the Commission does not find it appropriate to impose further obligations with respect to priority programming at this time. Nevertheless, the Commission encourages the licensee to work closely with independent producers and to begin negotiations with the CFTPA on a terms of trade agreement. The Commission will review the licensee's commitments to independent production at the time of Toronto One's licence renewal.

Assessment of the benefits package

31.

Because the Commission does not solicit competing applications for authority to transfer the ownership or control of television and other programming undertakings, the onus is on the applicant to demonstrate that the benefits proposed in the application are commensurate with the size and nature of the transaction. As stipulated in the Television Policy, the Commission generally expects applicants to make commitments to clear and unequivocal benefits representing a financial contribution of 10% of the value of the transaction, as accepted by the Commission. These benefits must be directed to the community to be served and to the broadcasting system as a whole.

32.

In their applications, TVA and Sun Media proposed a tangible benefits package with a total value of $4.6 million, representing 10% of the value of the transaction, as required under the Television Policy. A significant component of the tangible benefits package is built on benefits that relate to commitments previously undertaken by Craig and endorsed by the Commission in Decision 2002-81.

33.

On balance, and subject to the matters addressed below, the Commission is satisfied that the tangible benefits are clear, unequivocal and commensurate with the size of the transaction.

New Voices Fund (additional $1 million)

34.

In Decision 2002-81, the Commission required Craig, by condition of licence, to expend at least $7,375,000 on independently-produced ethnic programs in English and on script and concept development for such programs, not including administration costs. These funds were to be expended by the end of the licence term, 31 August 2008.

35.

TVA and Sun Media reported that, as of 31 August 2004, $6,898,662 remained to be expended by the end of the licence term.

36.

The applicants argued that expending the remaining money within such a short timeframe might have a negative impact on the quality of the resulting programming. They further expressed concern about whether the community involved in the production of ethnic programming could reasonably accommodate such a volume of spending over such a short time period. The applicants made a commitment to add $1 million to the money remaining in the New Voices Fund, for a new total of $7,898,662, and, upon approval by the Commission, to extend to seven years the period over which the money in the Fund would be expended. According to the applicants, the money would be distributed equally over the seven-year period. The applicants submitted that this would stabilize and enhance the New Voices Fund, assisting local producers of ethnic programming and strengthening this element of Toronto One's programming commitment. The applicants made a further commitment to report on the receipts and disbursements related to the additional $1 million in audited annual reports on the New Voices Fund, as required by condition of licence in Decision 2002-81.

37.

The Commission accepts the additional $1 million for the New Voices Fund as a tangible benefit of this transaction. The Commission requires the applicants to file, within 60 days of the date of this decision, an application to amend the condition of licence set out in Decision 2002-81 with respect to the New Voices Fund so that the condition reflects the addition of this $1 million dollars and the extension of the period within which the money in the New Voices Fund will be expended.

38.

The Commission further expects the money in the New Voices Fund to be expended in a timely manner, and that expenditures be equally distributed over the seven year period, which translates into an annual expenditure of approximately $1.1 million or 14% of the augmented New Voices Fund.

Priority Program Fund (additional $3 million)

39.

In Decision 2002-81, the Commission required Craig, by condition of licence, to expend at least $7,325,000 on licence fees for priority programs and for script and concept development for such programs, not including administration costs. These funds were to be expended by the end of the licence term, 31 August 2008.

40.

TVA and Sun Media reported that, as of 31 August 2004, $2,541,546 remained to be expended by the end of the licence term. The applicants committed to spend this amount by 31 August 2008, in accordance with the existing condition of licence.

41.

The applicants made a further commitment to add $3 million to the Priority Program Fund, to be expended over a five year period.

42.

The applicants stated that they would report on the receipts and disbursements related to the additional $3 million in audited annual reports on the Priority Program Fund, as required by condition of licence in Decision 2002-81.

43.

The Commission accepts the proposed additional $3 million for the Priority Program Fund as a tangible benefit of this transaction.

44.

As noted, the TVA and Sun Media benefits commitments related to the Priority Program Fund and New Voices Fund build on existing commitments made by Craig. The Commission reminds TVA and Sun Media that expenditures on benefits must be incremental to those it is required to make in accordance with existing conditions of licence or commitments.

45.

Pursuant to Decision 2002-81, $700,000 was set aside for the administration of the Priority Program Fund and the New Voices Fund, which included a commitment to establish separate executive directors for the Funds. TVA and Sun Media indicated that the circumstances that necessitated a separate executive director for each fund no longer exist, and that only one executive director is required. TVA and Sun Media confirmed at the hearing that, as a result of the reduction in the number of executive directors, the administration costs for the funds would be reduced. They reported that $449,930 remains to be expended for the administration of the two funds. Given the reduction in the number of executive directors, the Commission requires TVA and Sun Media, within three months of the date of this decision, to submit a report to the Commission setting out the amount of money that is still required for administration of the New Voices Fund and the Priority Program Fund. The report should further set out how money that was originally earmarked for administration of the funds, but is no longer required for this purpose, will be reallocated to tangible benefits.

Quebecor Fund ($500,000)

46.

TVA and Sun Media made a commitment to establish a separate funding envelope under the Vidéotron Fund, a certified independent production fund, which will be renamed the Quebecor Fund. The Quebecor Fund will provide money to recognized organizations and associations for new projects, not on-going operational expenses, involving human resource training and professional development in the television sector in the Toronto-Hamilton area. The applicants made a commitment to focus particular attention to applications related to training of Canadians in designated groups, as defined under the Employment Equity Act (1996).

47.

According to the applicants, the Board of Directors of the Quebecor Fund will be comprised of six representatives from the communications industry. To ensure independence, a maximum of two board members, or a third of the members, will be selected from broadcasting distribution undertakings or Quebecor Media companies. At least one of the remaining four members of the Board will be a permanent resident of Toronto.

48.

TVA and Sun Media made a commitment to file guidelines with the Commission for the management of the Quebecor Fund, including terms of reference and criteria for selecting proposals that will be funded.

49.

The Commission accepts the proposed $500,000 allocated to the Quebecor Fund as a tangible benefit of this transaction. It further requires TVA and Sun Media to file the guidelines mentioned in paragraph 48 with the Commission, within three months of the date of this decision.

Market studies ($100,000)

50.

TVA and Sun Media proposed to allocate at least $100,000 over four years to commission studies in regard to the behaviour, expectations and needs of the ethnic communities in the Toronto-Hamilton area. The Commission is of the view that the applicants did not adequately demonstrate that these market studies are not part of normal business operating expenditures related to a core element of Toronto One's programming strategy, the production of ethnic programming in English targeted to second and third generation ethnic viewers who prefer to watch programming about their communities in English. The Commission therefore finds that the market studies are not acceptable as an eligible benefit flowing from the transaction. The Commission notes that TVA and Sun Media reaffirmed at the hearing that they would reallocate the $100,000 proposed for market studies to the Quebecor Fund initiative, should the Commission not consider the market studies to be an eligible benefit. The Commission therefore expects the applicant to reallocate $100,000 to the Quebecor Fund, which raises the total amount of money allocated to the Quebecor Fund as part of the tangible benefits package to $600,000.

Cross-media ownership

51.

TVA will be a new entrant in the GTA market while Sun Media, owner of the Toronto Sun, will be a new entrant in the Canadian broadcasting system. The ownership by the applicants of a Toronto daily newspaper and a Toronto television station raises the issue of the possible impact that such cross-media ownership may have on the diversity of editorial voices available in the GTA.

52.

The applicants stated that there will be a place in Toronto One's schedule for news commentary and programs that reflect different attitudes about current events, but that Toronto One would not be a news station. The applicants noted that, since traditional news coverage and newscasts have a prominent place in the programming of existing network affiliates in the region, news coverage and newscasts would play a limited role in Toronto One's schedule.

53.

The applicants argued that, given the limited role of traditional news coverage and newscasts in the programming of Toronto One, the proposed transfer of control does not raise issues associated with editorial independence. Nevertheless, the applicants indicated that they would accept a condition of licence setting out requirements similar to those imposed by the Commission on CTV and Global as a safeguard in cases where there is common ownership of television stations and newspapers in the same market.
54. The Commission has considered the applicants' position concerning the limited role that traditional news coverage and newscasts would play in the programming of Toronto One. However to ensure that editorial independence between The Toronto Sun and Toronto One is preserved, the Commission has set out in the Appendix to this decision a Statement of Principles and Practices that it is imposing on Toronto One. The applicants must adhere to this Statement of Principles and Practices as a condition of licence.
55. Further, the Commission requires the applicants, by condition of licence, to establish a Monitoring Committee for Toronto One, as set out in appendix to the Statement of Principles and Practices.
56. The Commission will be prepared, however, as it did for CTV and Global, to consider suspending application of the conditions of licence respecting cross-media issues if the licensee is able to enter into an agreement with the Canadian Broadcast Standards Council (CBSC) resulting in Toronto One being subject to, and complying with, an industry-wide code approved by the Commission, and provided Toronto One is a member in good standing of the CBSC.

Conclusion

57.

In light of the above, and subject to the requirements set out in this decision, the Commission approves the application by TVA and Sun Media, on behalf of Newco, to transfer the effective control of Newco through the sale of all of its issued and outstanding shares to TVA (75%) and Sun Media (25%).
  Secretary General
  This decision is to be appended to the licence. It is available in alternative format upon request, and may also be examined at the following Internet site: www.crtc.gc.ca 

Appendix to Broadcasting Decision CRTC 2004-503

Statement of Principles and Practices

Introduction
WHEREAS Toronto One acknowledges the importance of diversity of voices in the context of cross ownership of media; and
WHEREAS Toronto One recognizes the public's right to information and its duty to provide that information for television viewers in a fair and accurate manner; and
WHEREAS Toronto One acknowledges the importance of its contribution to the fulfilment of the objectives contained in the following provisions of the Broadcasting Act:
s. 3 (1) It is hereby declared as the broadcasting policy for Canada that

(d) the Canadian broadcasting system should

(i) serve to safeguard, enrich and strengthen the cultural, political, social and economic fabric of Canada,

(ii) encourage the development of Canadian expression by providing a wide range of programming that reflects Canadian attitudes, opinions, ideas, values and artistic creativity, by displaying Canadian talent in entertainment programming and by offering information and analysis concerning Canada and other countries from a Canadian point of view,

(i) the programming provided by the Canadian broadcasting system should

(iv) provide a reasonable opportunity for the public to be exposed to the expression of differing views on matters of public concern

Principles

Toronto One commits to adhere to the following principles and practices:
  • Toronto One will maintain separate and independent news management and presentation structures for Toronto One television operations that are distinct from those of any Toronto One affiliated newspapers. Decisions on journalistic content and presentation for Toronto One will be made solely by Toronto One television news management.
  • Toronto One news managers will not sit on the editorial board of any Toronto One affiliated newspaper; nor will any member of the editorial board of any Toronto One affiliated newspaper participate in the news management of Toronto One television operations.
  • Toronto One shall establish a Monitoring Committee to deal with complaints from all sources, including employees and the general public, arising from any of the principles and practices included in this Statement.
  • Toronto One shall report to the Commission on an annual basis, concurrent with its annual return, regarding the number and nature of the complaints received by the Monitoring Committee and how Toronto One resolved each complaint.
  • Toronto One shall provide a copy of this Statement to each of its employees and shall emphasize the importance of complying with the principles and practices set out in this Statement.
  • Toronto One shall, through the use of Public Service Announcements, make its viewers aware of the principles and practices set out in this Statement, and the Monitoring Committee.

Definitions

"Toronto One affiliated newspaper" - means The Toronto Sun or any other English-language newspaper in which Quebecor Media or its affiliates, now or in the future, has effective control;
"Toronto One television operations" - means all of the conventional English-language television licensees controlled by TVA Group Inc. and Sun Media Inc. now or in the future.
"separate and independent news management and presentation structure" - means that all journalistic decisions will be made autonomously by each newsroom.

Appendix to the Statement of Principles and Practices

Monitoring Committee

The role of the Monitoring Committee is to receive and review complaints from all sources about the compliance of Toronto One with the Statement of Principles and Practices.
1) Structure

a) The Committee is an impartial, neutral body charged with receiving all complaints concerning the compliance of Toronto One with the Statement of Principles and Practices.

b) The Committee shall be composed of three people, including a Chairperson. The Committee members shall be individuals of unquestioned impartiality and credibility who have no existing relationship with Quebecor Media or its affiliates and subsidiaries.

c) The Committee members shall be paid by Toronto One at rates to be agreed upon. All costs, transportation expenses, communication expenses and research costs incurred in connection with their participation or attendance at Committee meetings shall be reimbursed by Toronto One upon submission of supporting documents.

d) The Committee members shall be appointed by Toronto One for the duration of the current licence term, which appointment shall be renewable upon completion, at the discretion of Toronto One. Should a Committee member be unable to complete the term of their appointment due to death, incapacity or by voluntarily terminating their appointment, Toronto One shall appoint a replacement member to serve for the remainder of the current licence term.

2) Operation

a) The Committee shall receive and review complaints from all sources concerning the compliance of Toronto One with the Statement of Principles and Practices, and shall investigate the merit of each complaint, when appropriate. The Committee shall forthwith provide a copy of every complaint to Toronto One.

b) First, the Committee shall determine whether there are reasonable grounds to investigate whether there has been a violation of the Statement of Principles and Practices.

c) If there are grounds for an investigation, the Committee is authorized to obtain information from the management of Toronto One and its subsidiaries and any employee involved, to question any employee involved, and to examine the files, relevant to the complaint and subject to any constraints relating to privacy and protection of sources.

d) If there are grounds for an investigation, the Committee shall hear the views of all the parties, and then deliberate and make a report within 45 days after the receipt of the complaint. A two-thirds majority shall be required for a report.

e) The Committee shall report to the Toronto One Board of Directors and recommend appropriate corrective action to dispose of the complaint.

f) The Toronto One Board of Directors shall respond to each recommendation from the Committee within 60 days after it is received.

g) The Committee shall submit an annual report to the Toronto One Board of Directors reporting all complaints received, the Committee's recommendations with regard to each complaint received and Toronto One's response to each recommendation.

h) The report shall be public and a copy shall be sent to the Canadian Radio-television and Telecommunications Commission.

i) Employees of Toronto One and its subsidiaries and affiliates who are called to appear before or to provide information to the Monitoring Committee shall be subject to no sanction and no loss of pay for the resultant absences from work.

Footnotes:
 1 Decision 2002-81 defined local programming for Toronto One as "station productions or programming produced by Toronto-based independent producers that reflects the particular needs and interests of Toronto-based residents."

2The Television Policy defines the largest multi-station ownership groups as those groups that are licensed to operate in several provinces with a potential reach of more than 70% of the audience in their language of operation.

Date Modified: 2004-11-19

Date modified: