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Broadcasting Decision CRTC 2007-316
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Ottawa, 17 August 2007
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Shaw Cablesystems Limited
Sault Ste. Marie and Thunder Bay, Ontario
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Applications 2007-0158-3, 2007-0159-1, received 30 January 2007
Broadcasting Public Notice CRTC 2007-44
20 April 2007
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Class 1 cable broadcasting distribution undertakings in Sault Ste. Marie and Thunder Bay - Licence amendments and renewals
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The Commission approves amendments to the broadcasting licences for the Class 1 cable broadcasting distribution undertakings (BDUs) serving Sault Ste. Marie and Thunder Bay, Ontario, with respect to the distribution of the audio programming service on a digital basis and the reception of distant Canadian signals and U.S. 4+1 signals directly through the licensee's own facilities, as well as amendments regarding the carriage of various non-Canadian signals. The Commission also approves the deletion of certain conditions of licence for the cable BDU serving Sault Ste. Marie.
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The Commission also renews the broadcasting licences for the Class 1 cable BDUs serving Sault Ste. Marie and Thunder Bay, Ontario, from 1 September 2007 to 31 August 2014.
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Licence amendments
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1.
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Shaw Cablesystems Limited (Shaw) proposed amendments to the broadcasting licences of both the cable broadcasting distribution undertaking (BDU) serving Sault Ste. Marie and the one serving Thunder Bay. The proposed amendments are discussed in the sections that follow.
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Distribution of the audio programming service on a digital basis
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2.
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For its BDUs serving Sault Ste. Marie and Thunder Bay, Shaw requested the authority to distribute, at its option, the audio programming service of any licensed satellite subscription radio (SSR) undertaking on a digital basis, subject to certain provisions.
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3.
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In Broadcasting Decision 2006-650, the Commission approved, subject to specific provisions, an application by Rogers Cable Communications Inc. (Rogers) to distribute one or more licensed SSR services on a digital basis on its BDUs serving various locations in Ontario, New Brunswick, and Newfoundland and Labrador.
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4.
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The Commission notes that Shaw's BDUs serving Sault Ste. Marie and Thunder Bay operate under similar circumstances as those of Rogers. The Commission also notes that in Broadcasting Decision 2007-262, it also approved an application by Shaw Communications Inc., on behalf of Shaw Cablesystems Limited, Shaw Cablesystems (SBC) Ltd., Shaw Cablesystems (SMB) Limited, Shaw Cablesystems (SSK) Limited, Prairie Co-Ax T.V. Limited and Videon Cablesystems Inc., for the addition of this condition of licence to its cable BDUs serving various locations in Alberta, British Columbia, Manitoba and Saskatchewan. The Commission concludes that, consistent with Broadcasting Decisions 2006-650 and 2007-262, it is appropriate to authorize Shaw to distribute the SSR services on a digital basis subject to the same provisions as those imposed on Rogers, this is to say under provisions in respect of such distribution that will place the SSR services on a relatively equal competitive footing with pay audio services, which are subject to a linkage ratio of one Canadian service to one non-Canadian service. The Commission further finds it appropriate that the applicable provisions offer some incentive to distributors to continue to distribute pay audio services, as well as the SSR services. In this way, both subscribers and the Canadian broadcasting system can potentially benefit from a greater diversity in audio services. At the same time, the use of Canadian creative and other resources in the provision of audio programming on BDUs can be maximized.
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5.
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The Commission is imposing a condition on each licence specifying that conventional radio signals, with the exception of those required under section 22 of the Broadcasting Distribution Regulations (the Regulations),1 may not be used to fulfil the preponderance requirement set out in section 6(2) of the Regulations, unless a subscriber is already receiving at least 40 channels of pay audio.2 The Canadian-produced channels of the SSR service being distributed may be used to fulfil the requirements set out in section 6(2) of the Regulations; that is, the Canadian-produced channels of the SSR service being distributed will be considered Canadian programming services for the purposes of section 6(2) of the Regulations. In light of the above, the Commission approves Shaw's request for the authority to distribute, at its option, the audio programming service of any licensed SSR undertaking on a digital basis, subject to certain provisions. A condition of licence to this effect is set out in the appendix to this decision.
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Reception of distant Canadian signals and U.S. 4+1 signals using its own facilities
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6.
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For both its BDUs, Shaw also requested the authority to receive, directly through its own facilities, at its option, any of the distant Canadian signals and a second set of signals that provides the programming of the four U.S. commercial networks (CBS, NBC, ABC, FOX) and of the non-commercial PBS network (collectively, the U.S. 4+1 signals) that are otherwise required to be received from a licensed satellite relay distribution undertaking (SRDU), subject to certain provisions. In Broadcasting Decision 2006-619, the Commission approved an application by Rogers to permit it to receive distant Canadian signals and U.S. 4+1 signals using its national fibre network and to distribute those signals to its cable BDUs serving various locations in Ontario, New Brunswick, and Newfoundland and Labrador. The Commission considers that the issues raised in each case are similar. Accordingly, the Commission approves this request. A condition of licence to this effect is set out in the appendix to this decision.
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7.
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In light of the request noted above to receive the distant Canadian signals and U.S. 4+1 signals directly through its own facilities, Shaw also requested that the Commission remove from the current condition of licence the reference to these signals being received via satellite from CANCOM. The Commission approves the request and amends the condition of licence to remove the reference to the signals being received via satellite from CANCOM.
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Amendment to signal carriage
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8.
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Shaw requested, for its undertaking serving Sault Ste. Marie, to add a condition of licence authorizing it to distribute, at its option, WXYZ-TV (ABC), WWJ-TV (CBS), WTVS (PBS) and WDIV (NBC) Detroit, Michigan, and WUHF (FOX) Rochester, New York, as part of the basic service. The Commission approves the request. A condition of licence to this effect is set out in the appendix to this decision.
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9.
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Furthermore, Shaw requested, for its undertaking serving Thunder Bay, to amend its condition of licence in order to distribute WWJ-TV (CBS) Detroit, Michigan, instead of WTOL-TV (CBS) Toledo, Ohio, and to add WUHF (FOX) Rochester, New York, as part of the basic service. The Commission approves the request. A condition of licence incorporating this amendment is set out in the appendix to this decision.
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Deletions of conditions of licence for the cable BDU serving Sault Ste. Marie
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10.
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The Commission considers that the deletion of conditions of licence proposed by Shaw, as described in its application for its cable BDU serving Sault Ste. Marie, is appropriate and does not conflict with any of the Commission's existing policy requirements.
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Licence renewals
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11.
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The Commission renews the broadcasting licences for the Class 1 cable BDUs serving Sault Ste. Marie and Thunder Bay, Ontario, from 1 September 2007 to 31 August 2014.
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12.
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In Decision 2000-437, the Commission approved a request by Shaw to distribute, on a digital discretionary basis, the U.S. 4+1 signals, as well as any of the distant Canadian television signals set out in the List of Part 3 eligible satellite services. This approval was subject to the provision that the licensee adhere to the requirements regarding non-simultaneous program deletion set out in section 43 of the Regulations. The Commission also noted in Decision 2000-437 that the above provision may be suspended upon its approval of an executed agreement, as described in that decision, between the licensee and broadcasters.
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In Broadcasting Decision 2005-459, the Commission announced that Shaw had reached such an agreement with the Canadian Association of Broadcasters (CAB). As such, the application of the above-mentioned provision was suspended for Shaw.
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14.
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The Commission reminds the licensee that, in the event that the agreement between the licensee and the CAB is terminated at any time, the provision will no longer be suspended, and the licensee will once again be required, in accordance with this provision, to adhere to the requirements regarding non-simultaneous program deletion, as set out in section 43 of the Regulations. Should the agreement be terminated, the Commission is to be advised forthwith.
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Interventions
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15.
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The Commission did not receive any interventions in connection with these applications.
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Other matters
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16.
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The operation of these undertakings is regulated pursuant to the Regulations. The licences will be subject to the conditions set out therein as well as to the conditions set out in the appendix to this decision.
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Employment equity
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17.
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Because this licensee is subject to the Employment Equity Act and files reports concerning employment equity with the Department of Human Resources and Skills Development, its employment equity practices are not examined by the Commission.
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Secretary General
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Related documents
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Distribution of satellite subscription radio services, Broadcasting Decision CRTC 2007-262, 30 July 2007
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Distribution of satellite subscription radio services,Broadcasting Decision CRTC 2006-650, 28 November 2006
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Licence amendment related to signal reception and distribution,Broadcasting Decision CRTC 2006-619, 8 November 2006
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Review of certain aspects of the regulatory framework for over-the-air television, Broadcasting Notice of Public Hearing CRTC 2006-5, 12 June 2006
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Suspension of the provision set out in Broadcasting Decision CRTC 2000-437 relating to the requirements regarding non-simultaneous program deletion,Broadcasting Decision CRTC 2005-459, 8 September 2005
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Carriage of Canadian and U.S. 4+1 signals on a digital basis,Decision CRTC 2000-437, 8 November 2000
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This decision is to be appended to each 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 2007-316
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For the purposes of all the following terms and conditions, "Regulations" shall mean the Broadcasting Distribution Regulations.
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Terms and conditions of licence applicable to the Class 1 cable broadcasting distribution undertakings serving Sault Ste. Marie and Thunder Bay, Ontario
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Terms
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The licences will expire 31 August 2014.
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Conditions of licence
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1. The licensee is relieved from the requirement of section 17 of the Regulations with respect to TFO, a French-language educational television programming service, provided that it is distributed as part of the basic service.
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2. The licensee shall not distribute the distant signal of CHCH-TV Hamilton on an analog basis.
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3. The licensee is authorized to distribute, at its option, WXYZ (ABC), WWJ-TV (CBS), WDIV (NBC) and WTVS (PBS) Detroit, Michigan, and WUHF (FOX) Rochester, New York, as part of the basic service.
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4. The licensee is authorized to distribute the following signals on a digital discretionary basis:
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- any of the distant Canadian television signals set out in the List of Part 3 eligible satellite services; and
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- a second set of signals that provides the programming of the four U.S. commercial networks (CBS, NBC, ABC, FOX) and the non-commercial PBS network (hereafter referred to as the U.S. 4+1 signals).
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The distribution on a discretionary basis on the licensee's digital service of a second set of U.S. 4+1 signals and distant Canadian signals is subject to the provision that, with respect to such signals, the licensee adhere to the requirements regarding non-simultaneous program deletion set out in section 43 of the Regulations. The Commission may suspend the application of this provision, with respect to the signals to be distributed, upon its approval of an executed agreement between the licensee and broadcasters. Such an agreement must deal with issues related to the protection of program rights arising in connection with the discretionary carriage of a second set of U.S. 4+1 signals and distant Canadian signals solely on the licensee's digital service.
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The Commission reminds the licensee that the requirements set out in section 30 of the Regulations regarding simultaneous substitution apply also in the case of U.S. 4+1 and distant Canadian signals.
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5. The licensee is authorized to receive, directly through its own facilities, at its option, any of the distant Canadian signals and U.S. 4+1 signals that are otherwise required to be received from a licensed satellite relay distribution undertaking. The licensee is not authorized to use any facilities other than its own for the reception of these signals. This condition does not authorize the licensee to provide these services to any other licensed or exempt distribution undertaking.
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6. The licensee may, at its option, insert certain promotional material as a substitute for the "local availabilities" (i.e. non-Canadian advertising material) of non-Canadian satellite services. At least 75% of these local availabilities must be made available for use by licensed Canadian programming services for the promotion of their respective services, for the promotion of the community channel and for unpaid Canadian public service announcements. A maximum of 25% of the local availabilities may be used to provide subscribers with information regarding customer service and channel realignments, and for the promotion of discretionary programming services and packages, cable FM service, additional cable outlets and non-programming services, including Internet and telephone services.
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7. The licensee is authorized to distribute, at its option, the audio programming service of any licensed satellite subscription radio undertaking on a digital basis. The distribution of satellite subscription radio signals is subject to the following provisions:
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(i) Subject to the exception outlined in (ii) below, the licensee may not count the signals of conventional radio programming undertakings for the purpose of fulfilling the preponderance requirement set out in section 6(2) of the Regulations unless a subscriber is already receiving at least 40 channels of one or more licensed pay audio programming undertakings.
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(ii) a licensee is entitled to count the signals of conventional radio programming undertakings that a licensee is required to distribute under section 22 of the Regulations for the purpose of fulfilling the preponderance requirement set out in section 6(2) of the Regulations.
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(iii) The Canadian-produced channels offered by the satellite subscription radio undertaking are deemed to be "Canadian programming services" for the purposes of section 6(2) of the Regulations.
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Footnotes
[] Under section 22 of the Regulations, BDUs must distribute local community, campus and Native radio programming undertakings as well as at least one Canadian Broadcasting Corporation radio programming undertaking operating in English and one operating in French.
[] The Commission notes that the requirement set out in section 6(2) of the Regulations applies equally to both analog and digital technology, as well as to audio and video channels, separately. Thus, conventional radio stations, whether or not they must be distributed pursuant to section 22 of the Regulations, can only be taken into account for these purposes if they are distributed on a digital basis.
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Date Modified: 2007-08-17
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