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Broadcasting Decision CRTC 2006-468
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Ottawa, 6 September 2006
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Telelatino Network Inc., on behalf of itself or a corporation to be incorporated
Across Canada
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Application 2004-1506-9
Public Hearing in the National Capital Region
1 May 2006
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Music Television Español - Category 2 specialty service
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In this decision, the Commission approves an application for a broadcasting licence to operate a new Category 2 specialty programming undertaking.
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The application
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1.
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The Commission received an application by Telelatino Network Inc., on behalf of itself or a corporation to be incorporated (TLN), for a broadcasting licence to operate a national, ethnic, Category 21 specialty programming undertaking to be known as Music Television Español.
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2.
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The applicant proposed to offer a service that would be devoted to the Spanish-speaking community and that would consist of music-related programming, such as music videos, concerts, music documentaries, performances, artist interviews and movies that have music or musical artists or musicians as a central theme. All of the programming would be drawn from the following categories, as set out in Schedule 1 to the Specialty Services Regulations, 1990: 1 News; 2(b) Long-form documentary; 4 Religion; 5(b) Informal education/Recreation and leisure; 7(a) Ongoing drama series; 7(b) Ongoing comedy series (sitcoms); 7(c) Specials, mini-series or made-for-TV feature films; 7(d) Theatrical feature films aired on TV; 7(e) Animated television programs and films; 7(f) Programs of comedy sketches, improvisations, unscripted works, stand-up comedy; 7(g) Other drama; 8(a) Music and dance other than music video programs or clips; 8(b) Music video clips; 8(c) Music video programs; 9 Variety; 10 Game shows; 11 General entertainment and human interest; 12 Interstitials; 13 Public service announcements; and 14 Infomercials, promotional and corporate videos.
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3.
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The applicant proposed to broadcast not less than 85% of its programming in the Spanish language and not more than 15% in either the English or French language.
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4.
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The applicant also proposed that all programming from Category 7 (drama) would be related to music.
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5.
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The applicant also requested that it be authorized, by condition of licence, to broadcast up to six minutes per hour of local or regional advertising.
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Interventions
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6.
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The Commission received one intervention in support of this application. An intervention submitted jointly by TerraTerra Communications Inc. (TTC) and NMTV Inc., also known as Nuevo Mundo Television (Nuevo Mundo), licensee of a Spanish-language Category 2 service known as NMTV opposed the application, given the size of the market.
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Applicant's reply
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7.
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TLN indicated that Nuevo Mundo and TTC did not provide any specific reasons for their opposition to this application. TLN further stated that the interveners may be concerned about potential competition between TLN's proposed service and NMTV. TLN argued that the Commission has repeatedly reiterated its policy that Category 2 specialty programming undertakings do not enjoy genre protection, and may face competition from other Category 2 programming services.
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Commission's analysis and determinations
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8.
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In Revised approach for the consideration of broadcasting licence applications proposing new third-language ethnic Category 2 pay and specialty services, Broadcasting Public Notice CRTC 2005-104, 23 November 2005, the Commission designed a new open-entry approach for consideration of applications proposing new third-language ethnic Category 2 services. The Commission defined a third-language programming service as one that provides at least 90% of its programming in languages other than English or French.
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9.
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In announcing its revised approach, the Commission indicated that applicants proposing new Category 2 services that would offer less than 90% of their programming in a third language would continue to be assessed under the case-by-case approach set out in Licensing framework policy for new digital pay and specialty services, Public Notice CRTC 2000-6, 13 January 2000. In that framework, the Commission implemented a competitive, open-entry approach to licensing Category 2 services. While the Commission does not consider the impact that a new Category 2 service might have on an existing Category 2 service, it does seek to ensure that newly licensed Category 2 services do not compete directly with any existing pay or specialty television service, including any Category 1 service.
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10.
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The Commission notes that the proposed service would offer a Spanish-language service devoted specifically to music programming and would therefore not be directly competitive with existing services. Therefore, the Commission is satisfied that the application is in conformity with all applicable terms and conditions announced in Introductory statement - Licensing of new digital pay and specialty services - Corrected Appendix 2, Public Notice CRTC 2000-171-1, 6 March 2001 (Public Notice 2000-171-1). Accordingly, the Commission approves the application by Telelatino Network Inc., on behalf of itself or a corporation to be incorporated, for a broadcasting licence to operate a national, ethnic Category 2 specialty programming undertaking, Music Television Español.
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11.
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With respect to the request to broadcast up to six minutes of local or regional advertising, the Commission notes that the service would be devoted to the Spanish-speaking community, and that not less than 85% of all programming broadcast during the broadcast week would be in the Spanish language. As a result, the Commission is of the view that the service would not compete directly with existing analog or Category 1 services and that the addition of local re regional advertising on the proposed service would have limited impact on them.
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12.
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The Commission therefore approves the applicant's request for authority to broadcast up to six minutes per hour of local and regional advertising. A condition of licence to that effect is set out in the appendix to this decision.
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13.
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The Commission notes that Music Television Español will devote at least 85% of its program schedule to programming in the Spanish language, with the remainder in English or French. The Commission encourages the applicant to ensure that all such programming serves to promote Canada's linguistic duality.
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14.
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The licence will expire 31 August 2013, and will be subject to the conditions set out in Public Notice 2000-171-1, as well as to the conditions set out in the appendix to this decision.
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Issuance of the licence
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15.
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A licence will be issued once the applicant has satisfied the Commission, with supporting documentation, that the following requirements have been met:
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- an eligible Canadian corporation has been incorporated in accordance with the application in all material respects or, in the alternative, confirmation that the undertaking will be operated by Telelatino Network Inc.;
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- the applicant has entered into a distribution agreement with at least one licensed distributor; and
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- the applicant has informed the Commission in writing that it is prepared to commence operations. The undertaking must be operational at the earliest possible date and in any event no later than 36 months from the date of this decision, unless a request for an extension of time is approved by the Commission before 6 September 2009. In order to ensure that such a request is processed in a timely manner, it should be submitted at least 60 days before that date.
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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 in PDF format or in HTML at the following Internet site: www.crtc.gc.ca
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Appendix to Broadcasting Decision CRTC 2006-468
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Conditions of licence
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1. The licence will be subject to the conditionsset out in Introductory statement - Licensing of new digital pay and specialty services - Corrected Appendix 2, Public Notice CRTC 2000-171-1, 6 March 2001, except for condition 4d) which will not apply, and condition 4a) which is replaced by the following:
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Except as otherwise provided in subparagraphs b) and c), the licensee shall not broadcast more than twelve (12) minutes of advertising material during each clock hour, no more than six (6) minutes of which may consist of local or regional advertising.
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2. The licensee shall provide a national, ethnic Category 2 specialty programming service devoted to the Spanish-speaking community. Programming shall consist of music-related programming, such as music videos, concerts, music documentaries, performances, artist interviews and movies that have music or artists as a central theme.
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3. The programming shall be drawn exclusively from the following categories, as set out in Schedule I to the Specialty Services Regulations, 1990, as amended from time to time:
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1 News
2 (b) Long-form documentary
4 Religion
5 (b) Informal education/Recreation and leisure
7 Drama and comedy
(a) Ongoing drama series
(b) Ongoing comedy series (sitcoms)
(c) Specials, mini-series or made-for-TV feature films
(d) Theatrical feature films aired on TV
(e) Animated television programs and films
(f) Programs of comedy sketches, improvisations, unscripted works, stand-up
comedy
(g) Other drama
8 (a) Music and dance other than music video programs or clips
(b) Music video clips
(c) Music video programs
9 Variety
10 Game shows
11 General entertainment and human interest
12 Interstitials
13 Public service announcements
14 Infomercials, promotional and corporate videos
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4. Not less than 85% of all programming broadcast during the broadcast week shall be in the Spanish language.
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5. Where the licensee broadcasts religious programming as defined in Religious Broadcasting Policy, Public Notice CRTC 1993-78, 3 June 1993, the licensee shall adhere to the guidelines set out in sections III.B.2.a) and IV of that public notice with respect to the provision of balance and ethics in religious programming, as amended from time to time.
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For the purposes of the conditions of this licence, including condition of licence no.1, broadcast day refers to the 24-hour period beginning each day at 6 a.m., or any other period approved by the Commission.
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Footnote:
The Category 2 services are defined in Introductory statement - Licensing of new digital pay and specialty services, Public Notice CRTC 2000-171, 14 December 2000.
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Date Modified: 2006-09-06
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