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Broadcasting Decision CRTC 2005-16
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Ottawa, 21 January 2005
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Metromedia CMR Broadcasting Inc.
Longueuil, Quebec
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Application 2003-1818-0
Public Hearing in the National Capital Region
7 September 2004
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CHMP-FM Longueuil - Licence amendment
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The Commission approves the application by Metromedia CMR Broadcasting Inc. to amend the broadcasting licence for the radio programming undertaking CHMP-FM Longueuil authorizing the licensee to operate the station within the predominantly spoken-word Specialty format, and to remove the existing condition of licence regarding the broadcast of English-language vocal musical selections. This approval is conditional upon written confirmation by Astral Media Radio inc. and Corus, within 30 days of the date of this decision, that they will complete the transaction approved in Exchange of radio assets in Quebec between Astral Media Radio inc. and Corus Entertainment Inc., Broadcasting Decision CRTC 2005-15, issued today, in accordance with the terms and conditions set out therein.
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The application
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1.
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The Commission received an application by Metromedia CMR Broadcasting Inc. (Metromedia) to amend the broadcasting licence for the radio programming undertaking CHMP-FM (formerly CKOO-FM) Longueuil authorizing the licensee to operate the station within the predominantly spoken-word Specialty format, and to remove the existing condition of licence regarding the broadcast of English-language vocal musical selections. Metromedia is a wholly owned subsidiary of Placements Belcand Mont-Royal inc., which is a wholly owned subsidiary of Corus Entertainment Inc. (Corus).
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2.
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Metromedia's application was announced in Broadcasting Public Notice CRTC 2004-30, 5 May 2004. However, the Commission decided to postpone the hearing of the application in order to consider it within the context of the applications submitted by Astral Media Radio inc. and 591991 B.C. Ltd., a wholly owned subsidiary of Corus, for authority to acquire several radio undertakings in Quebec as part of an exchange of assets (the Astral/Corus transaction). Those applications were also scheduled for consideration at the 7 September 2004 Public Hearing. In Exchange of radio assets in Quebec between Astral Media Radio inc. and Corus Entertainment Inc., Broadcasting Decision CRTC 2005-15 (Decision 2005-15), also issued today, the Commission has approved the transaction, subject to written confirmation by the parties, within 30 days of the date of the decision, that they will complete the approved transaction in accordance with the terms and conditions set out in Decision 2005-15. The Commission considered the impact of the applicant's proposed amendments within the context of the Astral/Corus transaction.
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Proposed programming
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3.
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The applicant proposed to operate the station within the Specialty format by devoting more than 50% of the broadcast week to spoken-word programming, and thus asked the Commission to replace the condition of licence regarding the format of the station with the following condition of licence:
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The station shall be operated within the Specialty format as defined in Revised content categories and subcategories for radio,Public Notice CRTC 2000-14, 28 January 2000 and in A Review of Certain Matters Concerning Radio,Public Notice CRTC1995-60, 21 April 1995, as amended from time to time and approved by the Commission. The licensee shall devote more than 50% of the broadcast week to spoken-word programming.
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4.
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In its application, the applicant stated that programming will focus on spoken-word content for those between the ages of 18 to 49 years, a younger audience than that served by the existing predominantly spoken-word stations in this market. Programming will consist of news, public affairs, interviews, opinion and sports. At the hearing, the licensee stated that it would not broadcast sports should the Expos be moved to another city. The station will offer news packages throughout the day.
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5.
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The applicant specified that its news programming will be hosted by news and public affairs specialists and will provide programming interspersed with interviews with figures in the news, political, financial and other commentary, cultural and social features, sports commentary, occasional audience reaction, newscasts, traffic reports and weather updates three times each hour.
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6.
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The applicant committed to broadcast five hours and 14 minutes of local news per week. Two reporters will be assigned exclusively to CHMP-FM and will be responsible for newsgathering.
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7.
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The applicant stated that it will include in its schedule a daily program devoted entirely to arts and cultural news. The applicant also committed to broadcast, on weekends, for six hours per day, programming consisting of musical content only.
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8.
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In support of its application, the applicant explained that for 30 years, CHMP-FM has been the only FM radio station in Montréal that has not had significant success. The applicant expects that the station's audience share should double during the first year of operation subsequent to these amendments, that the station's revenues will also double, and that its programming expenses will increase significantly. According to the applicant, CHMP-FM could become profitable by the fourth year.
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9.
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The applicant also requested the removal of the existing condition of licence regarding the broadcast of English-language vocal musical selections.
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The interventions
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10.
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The Commission received eight interventions: two supporting the application, two opposing it and four offering comments. The Fédération professionnelle des journalistes du Québec (the Fédération) and the Syndicat des employés de CKAC (the Syndicat) opposed the application. The interventions filed by Genex Communications inc. (Genex), the Quebec Press Council (the Press Council), the Association québécoise de l'industrie du disque, du spectacle et de la vidéo (ADISQ) and Arisco Communications (Arisco), on its own behalf and on behalf of 4158695 Canada Inc., offered comments. The opposing interventions and the comments are addressed below.
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11.
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The Fédération, the Syndicat and the Press Council expressed concern regarding the future of CKAC given that the change in CHMP-FM's programming orientation could put the station in direct competition with CKAC.
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12.
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The Syndicat was concerned that CHMP-FM's proposed programming would be almost identical to CKAC's programming and would add very little to existing radio in the Montréal area. The Syndicat also raised the concern that the changes would only serve to diminish the value of CKAC's programming with the goal of enhancing the value of CHMP-FM's programming.
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13.
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Genex, Arisco and ADISQ all expressed concern over the possible disappearance of alternative rock music, and Arisco was further concerned about the potential impact of this disappearance on Canada's music industry. According to Arisco, the industry will suffer and Francophone listeners will have to tune into U.S., Ontario or even Montréal English-language stations to hear this type of music. Genex also stated that this change could threaten its Qué Rock initiative, which focuses on full sponsorship of developing alternative rock artists and groups.
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14.
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ADISQ added that CHMP-FM's programming is unique because its musical repertoire is not offered by any other French-language radio station in Montréal. It was also very disappointed that young people would lose access to this musical format. ADISQ therefore asked the Commission to impose music programming guidelines on the applicant.
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15.
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ADISQ suggested that the Commission impose a condition of licence requiring the applicant to broadcast cultural features and a three-hour program devoted to arts events, every day. It also suggested a condition of licence requiring the applicant to broadcast at least 40% music programming during each broadcast week.
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The applicant's reply
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16.
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The applicant specified that it has not broadcast alternative rock since 5 January 2004, and instead has been offering an adult contemporary and adult light contemporary format aimed at the 18 to 49 age group. The applicant pointed out that it had offered an alternative rock format for three years, but that in its opinion, it was extremely difficult to succeed with that format in a market like that of Montréal, which is both an English-language and a French-language market surrounded by other English-language stations.
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17.
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The applicant pointed out that the market study filed with its application shows that the Montréal market can accommodate a second French-language predominantly spoken-word commercial radio station. In the applicant's opinion, adopting a predominantly spoken-word format will contribute to programming diversity in the Montréal market, with no undue impact on existing stations. Further, the applicant was of the view that with this format, its station will become profitable.
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18.
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In response to the concerns of the Syndicat, the applicant stated that it had no intention of diminishing the value of the news and information services offered by CKAC and that, in any case, given its large share of the local radio market, CKAC is completely capable of taking steps it deems appropriate in response to the proposed amendment in this application. Finally, the applicant pointed out that, when CBF Montréal moved from the AM to the FM band, the impact on CKAC was very limited.
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19.
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The applicant expressed agreement with ADISQ's position on the importance of including regular and up-to-date discussion of cultural issues in the programming broadcast by local predominantly spoken-word radio stations. The applicant stated that it would be prepared to accept a condition of licence requiring that it broadcast at least 12 hours per broadcast week of musical content or programming related to the music industry.
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The Commission's analysis and determination
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20.
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In its consideration of the application, the Commission considered the comments made by the applicant and the interveners. Specifically, the Commission notes the interveners' concerns regarding the potential impact that CHMP-FM's change in format could have on CKAC.
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21.
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The Commission notes that, as part of the Astral/Corus transaction, Corus proposed a change in CKAC's programming orientation and a reduction in the size of its newsroom. Corus is planning to create a new information entity pooling all resources, instead of having three separate newsrooms for CKAC, CHMP-FM and CINF (Info 690). This new entity, known as "Corus - Nouvelles," would include 17 reporters, i.e., 11 at CINF, three at CKAC, two at CHMP-FM and one at CKOI-FM. As noted in Decision 2005-15, the Commission is of the view that even if the number of news staff at CKAC was reduced, listeners in Montréal would continue to enjoy news produced for the Montréal market by this new information entity. As a result of the proposed change in CKAC's programming orientation, i.e., from that of a general interest station to one primarily oriented towards sports and health, CKAC's predominantly spoken-word programming should complement the programming of CHMP-FM.
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22.
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The Commission is of the view that Montréal listeners will not see a decrease in the diversity of radio programming in Montréal following the change in CHMP-FM's format because the news and public affairs, interviews, opinion, and arts and cultural news programs will complement the programming aired by other stations serving the Montréal market.
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23.
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At the hearing, the applicant stated that the news aired by CHMP-FM will be different from that aired by other stations because it will be based on the station's listenership. According to the clarifications provided by the applicant, the news programs broadcast by CHMP-FM will be hosted by news and public affairs specialists and will offer programming interspersed with interviews with figures in the news, political, financial and other commentary, cultural and social features, sports commentary, occasionally audience reaction, newscasts, traffic reports and weather updates three times each hour. The Commission is of the view that the applicant's proposed news format should thus ensure diversity in the news programming offered to Montréal listeners.
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24.
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The Commission does not consider it necessary to impose a condition of licence on CHMP-FM related to the percentage of programming devoted to arts and cultural news, but notes the applicant's commitment and the concerns expressed by ADISQ regarding musical content and programming related to the music industry.
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25.
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Consequently, in accordance with the commitment made by the applicant at the hearing, the Commission expects the applicant to broadcast at least 12 hours of musical content or programming related to the music industry, over the course of each broadcast week.
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26.
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With respect to the phone-in shows to be broadcast on CHMP-FM Longueuil, the Commission notes the applicant's commitment to comply with the guidelines on spoken-word content that Radiomedia inc. submitted to the Commission on 21 December 1994. The Commission expects the applicant to adhere to this commitment.
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27.
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In light of the above, the Commission approves the application by Metromedia CMR Broadcasting Inc. to amend the broadcasting licence for the radio programming undertaking CHMP-FM authorizing the licensee to operate the station within the Specialty format.
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28.
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The condition of licence regarding the station's format is replaced by the following condition of licence:
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The station shall be operated within the Specialty format as defined in Revised content categories and subcategories for radio,Public Notice CRTC 2000-14, 28 January 2000 and in A Review of Certain Matters Concerning Radio, Public Notice CRTC 1995-60, 21 April 1995, as amended from time to time and approved by the Commission. The licensee shall devote more than 50% of the broadcast week to spoken-word programming.
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29.
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This approval is subject to written confirmation by Astral Media Radio inc. and Corus, within 30 days of the date of this decision, that they will complete the Astral/Corus transaction in accordance with the terms and conditions set out in Decision 2005-15, also issued today. Failure to provide such confirmation within the required timeframe shall render this decision null and void.
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30.
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The Commission also approves the request to remove the existing condition of licence regarding the broadcast of English-language vocal musical selections. The licensee will continue to be subject to the Radio Regulations, 1986,which, among other things, require that in a broadcast week, the station devote 65% or more of its vocal musical selections from content category 2 to musical selections in the French language and schedule them in a reasonable manner throughout each broadcast day.
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Secretary General
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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.
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Date Modified: 2005-01-21