Broadcasting Notice of Consultation CRTC 2016-225

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References: 2016-44, 2016-44-1 , 2016-225-1, 2016-225-2, 2016-225-3, 2016-225-4, 2016-225-5, 2016-225-6, 2016-225-7, 2017-428 and 2017-429

Ottawa, 15 June 2016

Notice of hearing

22 to 24 November 2016
Laval, Quebec

28 November to 2 December 2016
Gatineau, Quebec

Renewal of television licences held by large English- and French-language ownership groups

Deadline for submission of interventions/comments/answers: 2 August 2016

[Submit an intervention or view related documents]

The Commission will hold an appearing public hearing, which will begin on 22 November 2016, at 9 a.m. at Palace Convention Centre, 1717 Corbusier Boulevard in Laval, Quebec, to consider applications for the renewal of television licences held by large French-language ownership groups, and the related interventions. The hearing will continue on 28 November 2016, at 9 a.m. at the Conference Centre, Phase IV, 140 Promenade du Portage, in Gatineau, Quebec, to consider applications from the large English-language ownership groups, from Shaw Communications Inc. and from Telelatino Network Inc., and the related interventions.

Introduction

1. The Commission is launching a public proceeding to renew the television licences held by the large English- and French-language ownership groups, which will expire on 31 August 2017.
2. During the proceeding, the Commission intends to examine, among other issues, those set out in the present notice, which stem from the following objectives:
   • examine the effectiveness of the group-based approach over the last licence term for the large ownership groups, as well as its application to the next licence term.
   • implement certain policy decisions set out in the Broadcasting Regulatory Policy 2015-86.
3. In February 2016, the Commission issued a call for licence renewal applications in Broadcasting Notice of Consultation 2016-44. Following the issuance of that notice, the Commission received applications from the large English- and French-language ownership groups as well as from Shaw Communications Inc.^{Footnote 1} (Shaw) and Telelatino Network Inc. (TLN), for the renewal of the licences for their television services, which expire 31 August 2017.^{Footnote 2}

   French-language groups

   Item	Applicant	Application number
   1.	Bell Media Inc.	2016-0020-6
   2.	Corus Entertainment Inc.	2016-0022-1
   3.	Quebecor Media Inc.	2016-0017-2
   4.	Groupe V Média inc.	2016-0019-8

   English-language groups

   Item	Applicant	Application number
   5.	Bell Media Inc.	2016-0012-2
   6.	Corus Entertainment Inc.	2016-0015-6
   7.	Rogers Media Inc.	2016-0009-9

   English-language services

   Item	Applicant	Application number
   8.	Shaw Communications Inc.	2016-0018-0

   Third-language services

   Item	Applicant	Application number
   9.	Telelatino Network Inc.	2016-0405-9

4. The Commission will hold an appearing public hearing, which will begin on 22 November 2016, at 9 a.m. at Palace Convention Centre, 1717 Corbusier Boulevard in Laval, Quebec, to consider applications from the French-language groups (items 1 to 4) and the related interventions. The hearing will continue on 28 November 2016, at 9 a.m. at the Conference Centre, Phase IV, 140 Promenade du Portage, in Gatineau, Quebec, to consider applications from the English-language groups, from Shaw and from TLN (items 5 to 9), and the related interventions.
5. Although the public hearing is taking place in Laval and in Gatineau, parties may appear from the Commission's regional offices via videoconference. Parties who wish to do so are asked to indicate, when filing their interventions, the regional office from which they wish to appear. A list of the Commission's regional offices can be found in this notice. Parties wishing to appear via Skype or teleconference must indicate this when filing their interventions. It is possible that a written-reply period will take place after the appearing phase of the public hearing.
6. All useful information for submitting comments is found at the end of this notice. The Commission invites the parties to regularly monitor the public record of the proceeding as documents may be added by the end of the comment phase.
7. Today, the Commission has issued Broadcasting Regulatory Policy 2016-224, in which it sets out its new regulatory framework for local and community programming. The Commission is sending requests for information to the groups so that they may propose commitments to comply with this new framework. Responses are expected by 27 June 2016 and will be put on the public record of the proceeding.
8. The Commission has collected data throughout the licence term and has made them public. A list of these data and the appropriate links are included in the appendix to this notice. The Commission invites the parties to become familiar with these data and to use them to prepare their interventions. 
9. The deadline for the submission of interventions/comments/answers is 2 August 2016.
10. In order to direct the discussion and debate during the appearing phase of the public hearing, the Commission may publish in the fall of 2016 additional documents that state the topics to explore based on the comments received.

History of the group-based approach

11. The Commission established the group-based approach to the licensing of private television services in Broadcasting Regulatory Policy 2010-167. It was developed to better prepare the broadcasting industry and the Commission to the changing reality of Canada's broadcasting system, in which most Canadian programming services are operated by large integrated groups. To achieve this, the Commission focused on expenditures for the production of Canadian programming rather than on the broadcast of such programming. The group-based approach aims to ensure stable, continued support for the creation of Canadian programming, particularly in regard to programming that is under-represented in the Canadian broadcasting system. The Commission has imposed group requirements related to Canadian programming expenditures (CPE) as well as group requirements for expenditures for programs of national interest (PNI).^{Footnote 3} The Commission also introduced increased flexibility in the allocation and reporting of expenditures for television services in regard to Canadian programming, which allows the groups to focus on the quality of content provided.^{Footnote 4}
12. As stated in Broadcasting Decision 2011-441, the group-based approach was applied to Bell Media Inc. (Bell), Shaw and Corus Entertainment Inc. (Corus) when their licences were renewed in 2011. Then, it was applied to Astral Media Inc. (Astral) and to Rogers Media Inc. (Rogers) in Broadcasting Decisions 2012-241 and 2014-399, respectively. Although it was not directly applied to Quebecor Media Inc. (Groupe TVA) when its licences were last renewed in 2012, the CPE requirements imposed on this ownership group in Broadcasting Decision 2012-242 were intended to attain the same objectives.^{Footnote 5}
13. The Commission assessed the effectiveness of the group-based approach in the Broadcasting Regulatory Policy 2015-86. It determined that the approach is relevant, that it would be maintained in the English-language market, and that it would encourage jointly held French-language services to become recognized as a group when they renew their licences.

Summary of the implementation of the group-based approach

14. The group-based approach has permitted the large English- and French-language ownership groups that have used it to benefit from flexibility in allocating their resources while also ensuring support for Canadian programming.
15. Overall, the English-language groups have taken advantage of the flexibility provided by the group-based approach to transfer the additional CPE from their conventional television stations to their specialty and pay services and, vice versa, to transfer their additional PNI expenditures from their specialty and pay services to their conventional television stations, in order to meet their group requirements.
16. On an aggregated basis,^{Footnote 6} the total revenues of the large English-language designated groups have dropped by 2.5% per year on average between the 2011-2012 and 2014-2015 broadcast years. Similarly, the CPE of these groups have dropped by 1.4% per year on average over the same period.
17. Conversely, in the French-language market, the total revenues of Bell, Corus, Groupe TVA and Groupe V Média inc. (Group V) (the French-language licensees) grew by 3% per year on average between the 2012-2013 and 2014-2015 broadcast years, while the CPE increased by 18.1% per year on average over the same period.
18. In total, the large English-language designated groups spent $3.3 billion in CPE during the period from the 2011-2012 to 2014-2015 broadcast years, 52% of total CPE for all English-language services throughout the period. The French-language licensees spent a total of $657.9 million between the 2012-2013 and 2014-2015 broadcast years, which represents 42.6% of total CPE for all of the French-language television services for the same period.
19. The PNI expenditures of the large English-language designated groups saw an annual decrease of 12.7%, dropping from a cumulative sum of $158.5 million in the 2011-2012 broadcast year to $105.4 million in the 2014-2015 broadcast year. However, their contribution counted for close to 80% of the total PNI expenditures reported for all of the English-language services during that period.
20. For the French-language licensees, the expenditures for the categories of programs identified as being part of PNI decreased by 12.6% per year between the 2012-2013 and 2014-2015 broadcast years, from $32.1 million in 2012-2013 broadcast year to $24.5 million in the 2014-2015 broadcast year. These expenditures accounted for 44.3% of total expenditures for French-language programming.
21. In light of the foregoing, the Commission considers that in both linguistic markets, the large English-language designated groups and the French-language licensees have made expenditures that are significant for Canadian programming.
22. In addition, viewing has remained relatively stable in both markets over the period. Viewing to the large English-language designated groups' services outside of Quebec^{Footnote 7} went from 68.71% to 68.81% from the 2011-2012 to 2014-2015 broadcast years. Conversely, viewing to the services owned by the French-language licensees in Quebec dropped slightly from 58.94% to 54.78% (i.e. by 4%) over the past four broadcast years.^{Footnote 8}
23. Consequently, the Commission considers that the group-based approach remains appropriate for ensuring the stability of the Canadian television system and for enabling the players in the system to face the future with confidence. However, as part of this proceeding, the Commission intends to assess certain issues relating to the implementation of the group-based approach during the next licence term.

Implementation of the Broadcasting Regulatory Policy 2015-86

24. In Broadcasting Regulatory Policy 2015-86, the Commission announced measures aimed at encouraging Canadians to create compelling and diverse programming and to facilitate the transition to a more and more on-demand environment. These measures contribute to attaining policy objectives set out in paragraphs 3(1)(e) and (f), as well as 3(1)(d)iv) of the Broadcasting Act (the Act), which stipulate that each element of the broadcasting system shall contribute to the creation and presentation of quality Canadian programming by making predominant use of Canadian creative resources, and thus be readily adaptable to technological change.
25. In addition to ensuring that Canadians have access to compelling and diverse programming, Broadcasting Regulatory Policy 2015-86 aims to provide broadcasters with the necessary means to develop creative programming strategies in order to make their programming more readily discoverable and accessible on multiple platforms and better respond to consumer needs. It further aims to encourage broadcasters and the production sector to reinforce their partnerships in order to offer programming that can compete internationally.
26. Some of the decisions set out in that policy, such as the elimination of the genre exclusivity policy,^{Footnote 9} came into effect when it was published. In addition, Broadcasting Order 2015-356 regarding the hybrid video-on-demand (VOD) exemption as well as Broadcasting Order 2015-88 regarding discretionary services serving fewer than 200,000 subscribers came into effect on 6 August 2015 and 1 March 2016, respectively. However, the Commission stated that other decisions would come into force at licence renewal.
27. In regard to the presentation of Canadian programs, the Commission stated that at the next licence renewals it would eliminate exhibition requirements relating to the broadcast day to which television stations are subject. In addition, for discretionary services, the Commission established that the standard exhibition requirement for the broadcast day will be 35%.

Canadian programming expenditures

28. The Commission has stated that for the large private ownership groups currently operating under the group-based approach, the current CPE percentages to which they are subject will be maintained. Also to be maintained is the approach for calculating the eligibility of expenditures, set out in Public Notice 1993-93. In addition, services that are part of a group will be subject to CPE requirements that contribute appropriately to that group's overall CPE level. At licence renewal, the Commission also intends to apply CPE requirements to all licensed services that have more than 200,000 subscribers. The CPE percentage will be based on historical expenditure percentages, with a minimum threshold of 10%.
29. In regard to groups operating French- and English-language services, the Commission has announced that it intends to deal with each linguistic group separately and may impose on them different requirements, if necessary. In the French-language market, the Commission intends to establish the financial contribution levels towards Canadian programming on a case-by-case basis, based on the services operated in that market.

Expenditures on programs of national interest

30. For groups in the English-language market, the Commission has concluded that the current PNI requirements will be maintained, including the specific program categories, as well as the condition of licence requiring that at least 75% of PNI expenditures be dedicated to independent producers.
31. For services in the French-language market, the Commission announced its intention to determine the appropriate PNI requirements at licence renewal, taking into account the particular circumstances of each service including their inclusion in ownership groups of different sizes and situations.
32. The groups have discussed in their respective applications the manner in which they intend to attain the objectives of Broadcasting Regulatory Policy 2015-86 using the group-based approach during the next licence term, and proposed commitments they deem appropriate. More specifically, the Commission asked the groups to propose, in their renewal applications, CPE requirements for the group and for each service that is part of the group, as well as to make commitments relating to PNI. The proposals are summarized further down in this notice. The Commission intends to examine these commitments and appropriate regulatory measures in order to attain the previously announced outcomes. The Commission also identified the following issues in order to guide the parties in their comments.

Other issues

Group composition

33. Several ownership changes have occurred within the designated groups since the implementation of the group-based approach.
    • Bell has acquired the assets of Astral and has divested itself of a number of services, which Corus, Groupe V and DHX Media Ltd. have acquired.
    • Following the acquisition of MusiquePlus and MusiMax, Groupe V became eligible for the group-based approach.
    • Corus acquired the assets of Shaw Media Inc.
34. Rogers and Corus established the composition of their designated groups for the next licence term in their applications. Bell proposed to review the composition of its designated groups so as to create two distinct groups, one for French-language services and one for English-language services. The other incumbents of French-language services, Groupe TVA, Corus and Groupe V, have asked for authorization to form designated groups.
35. The Commission intends to examine these proposals and to discuss the appropriate definition of designated group in both linguistic markets.

Diversity of programming

36. In accordance with the objectives of Broadcasting Regulatory Policy 2015-86 and section 3(1)(i) of the Act, the Commission has asked the groups to describe their plans with respect to offering diversified programming, including a significant contribution from the Canadian independent production sector, in regard to, among other things:
    • programming for children and youth;
    • regional production;
    • original, first-run programming;
    • feature films; and
    • programming from official language minority communities (OLMCs).
37. The Commission intends to examine these plans and to consider the necessity and relevance of implementing regulatory measures in order to ensure that the television system offers diversified programming likely to meet the interests and needs of all Canadians, including youth, Canadians living in the regions, and members of OLMCs.
38. The Commission also intends to consider the licensees' proposals relating to script and concept development, promotion, and equity investments, mechanisms that contribute to solid partnerships between producers and broadcasters, and to virtuous cycles of production.

Innovative approaches

39. The Commission recognizes that for Canadian-made programming to succeed both nationally and internationally, it must be widely available and visible. Going forward, the success of the broadcasting industry will depend on its capacity to adapt content to the needs and interests of Canadians. To achieve this, the Commission is of the view that the creation and promotion of Canadian programs must be supported by appropriate models.
40. The Commission intends to examine the groups' plans in relation to the following:
    • the development and production of high quality programs with strong potential for international success;
    • strategies for the promotion, export and discoverability of Canadian programs; and
    • success factors and challenges faced.

Video-on-demand and multiplatform programming strategy

41. In Broadcasting Regulatory Policy 2015-86, the Commission stated that Canadians were increasingly looking for programs on demand. The Commission created the category of hybrid VOD services and changed the licensing conditions for VOD services to enable broadcasters to meet this demand.
42. As part of this process, the Commission is considering the renewals for VOD and pay-per-view (PPV) services that belong to groups in order to discuss the role of such services within the groups and to obtain an overview of their multiplatform programming strategy, and to help them meet the needs of Canadians more effectively.

New regulatory framework for local and community programming

43. In Broadcasting Regulatory Policy 2016-224, the Commission set out basic requirements for local programming. It stated that the vast majority of CPE for conventional television stations is allocated to local programming, and local news in particular. The Commission also noted that, generally, this ratio of expenditures increases as the size of the market decreases. Further, when compared to English-language stations, this ratio is higher for third-language stations, but lower for French-language stations. In light of the above, the Commission considered that, as part of the upcoming licence renewals for local television stations, it would be appropriate to maintain the following distinct requirements for licensees:
    • commercial English-language stations will continue to be required to broadcast at least 7 hours of local programming per week in non-metropolitan markets and at least 14 hours per week in metropolitan markets; and
    • the local programming requirements for commercial French-language stations will continue to be assessed on a case-by-case basis, using a benchmark minimum of 5 hours of local programming per week.
44. Further, to ensure that Canadians continue to benefit from local reflection in the form of local news, the Commission stated that it considered it appropriate to require that a minimum level of local programming be devoted to local news. Accordingly, the Commission determined that all licensees will be required to broadcast a minimum level of local news and to allocate a percentage of their previous year's revenues to such programming, with the exhibition and expenditure levels to be determined at licence renewal, based on historical levels.
45. The Commission determined that, for the purpose of meeting this requirement, it will only count the program segments that meet the definition of locally reflective news programming set out in the new regulatory framework. News programming will be considered locally reflective if it meets all of the following criteria:
    • the subject matter relates specifically to the market a station is licensed to serve;
    • it portrays an image of the market onscreen by, for example, including its residents or officials or featuring coverage of its municipal or provincial government; and
    • it is produced by the station's staff or by independent producers specifically for the station.
46. As previously stated, the Commission sent a request for information to the groups to allow them to make changes to their applications in order to comply with this new regulatory framework. Answers to these questions are expected on 27 June 2016. The Commission intends to discuss the groups' proposals at the hearing, as well as the proposed implementation of support measures.

National news services

47. In regard to national news services, the Commission adopted new licensing criteria and set out standard requirements in Broadcasting Regulatory Policy 2015-436. These are intended to ensure that Canadians have access to quality information and news programs, as well as to news and information from a variety of sources on issues of public interest. To that end, the Commission asked the licensees of such services to demonstrate how they plan to meet these criteria. Services that meet the criteria will be subject to the standard requirements upon licence renewal and will be able to benefit from mandatory distribution as national news services.

Other ongoing proceedings

48. In Broadcasting Notice of Consultation 2016-195, the Commission issued a call for comments on proposed standard requirements for new categories of licences announced in the Broadcasting Regulatory Policy 2015-86 (i.e., television stations, discretionary services and on-demand services). The proposed requirements aim, among other things, to implement some of the policy decisions set out in Broadcasting Regulatory Policies 2015-86, 2015-96 and 2015-104 relating to compliance with the Wholesale Code (the Code), the unbundling of multiplexed services, and improvements to the accessibility of services. The groups that are the subject of the present proceeding have already had an opportunity to comment on the wording of the above requirements and on imposing those requirements on their services. The Commission intends to publish the standard requirements prior to the public hearing announced in the present notice.
49. In Broadcasting Notice of Consultation 2016-195, the Commission announced its intention to combine the Specialty Services Regulations, 1990 and the Pay Television Regulations, 1990 to create the Discretionary Services Regulations. The parties will have an opportunity to comment on the proposed wording of the new regulations in due course.

Applications

50. In accordance with the policies stemming from the Let's Talk TV proceeding, the groups requested that changes be made to the conditions of licence for their services so as to reflect the following measures that must be implemented at licence renewal:
    • adoption of the standard requirements for the new licence categories;
    • changes to the requirements for the broadcast of Canadian content;
    • designation of services based on the new categories of licence announced by the Commission;
    • adoption of the Code;
    • elimination of nature of service conditions of licence;
    • removal of requirements relative to terms of trade agreements.
51. The following section provides an overview of the key changes proposed by the various groups. For each group, proposals relative to CPE and PNI, as well as to group composition are provided in the introduction, followed by a table indicating specific changes to each service. The Commission may inquire into these proposals in greater detail at the hearing, if necessary.
52. The Commission will review the issue of each licensee's compliance with its conditions of licence, as stated in the Commission's clarification letters, which are part of the public record for this proceeding. The Commission will render a decision on the issue in each licensee's licence renewal decision.

French-language groups

1. Bell Media Inc.
Across Canada
Application 2016-0020-6

Application by Bell Media inc. (Bell), on behalf of the licensees identified below, to renew and/or amend the broadcasting licences for the television services listed below.

Bell proposes to review the composition of its designated groups in order to establish two separate licence groups, one for French-language services and one for English-language services. The group of French-language services would consist of eight services: Canal D, Canal Vie, Cinépop, Super Écran, VRAK, Z, RDS Info and Investigation. In order to integrate the Investigation service into the group, Bell requests that the service's current licence, which expires on 31 August 2018, be revoked on 31 August 2017, and that a new licence be issued to take effect on 1 September 2017.

For its group consisting of French-language services, Bell is proposes a group CPE level of 32% and a PNI level of 5%. Bell also proposes to maintain the requirement to allocate 75% of PNI expenditures to support independent productions.

Currently, Bell's French-language services are divided between two designated groups, the group established in Broadcasting Decision 2011-444 (RDS Info) and the group consisting of services acquired from Astral Media Inc. (Astral) (Canal D, Canal Vie, VRAK, Z, Cinépop and Super Écran), for which the requirements are set out in Broadcasting Decision 2014-62. Under the requirements set out in Broadcasting Decision 2011-444, RDS Info has a CPE threshold of 51% and a group PNI expenditure requirement of 5%. Services that previously belonged to the Astral group are subject to group expenditure requirements of 32% on CPE and 18% on PNI.

Bell proposes that Canadian programming exhibition requirements regarding mainstream sports services, including RDS, should be 50% overall with no requirement regarding the evening broadcast period. Additionally, Bell requests authorization to average advertising minutes over the broadcast day, consistent with the flexibility afforded to mainstream news services.

The key changes proposed, other than those listed in paragraph 50, are set out in the following tables.

Services that would contribute to Bell's French-language group requirements

Discretionary services

Services that would not contribute to group requirements

Discretionary services

Licensee's address:

299 Queen Street West
Toronto, Ontario
M5V 2Z5
Email: bell.regulatory@bell.ca
Email to request electronic version of application: alain.strati@bellmedia.ca

2. Corus Entertainment Inc.
Across Canada
Application 2016-0022-1

Application by Corus Entertainment Inc. (Corus), on behalf of the licensees identified below, to renew and amend the broadcasting licences for the television services listed below.

Corus proposes to group the French-language discretionary services Historia and Séries+ into a designated group. Corus also proposes that the discretionary service La Chaîne Disney be operated separately from the French-language Corus group and not contribute to group requirements relating to CPE. The bilingual discretionary service TELETOON/TÉLÉTOON would keep its bilingual licence and would remain in Corus's English-language designated group.

As for the CPE requirements, Corus proposes to keep the current levels for its services, i.e., 30% for Historia and 17% for Séries+, and to establish a CPE level of 22% for the group. In accordance with the decisions made in connection with the Broadcasting Regulatory Policy 2015-86, Corus proposes to adopt a minimum CPE threshold of 10% for the La Chaîne Disney service, because it would not be part of the group.

According to Corus, there is no justification for imposing a threshold on PNI expenditures for its French-language services.

The proposed key changes, other than those listed in paragraph 50, are set out in the following tables.

Services that would contribute to Corus's French-language group requirements

Discretionary services

Services that would not contribute to group requirements

Discretionary services

Licensee's address:

25 Dockside Drive
Toronto, Ontario
M5A 0B5
Email: sylvie.courtemanche@corusent.com
Website to view application: www.corusent.com

3. Quebecor Media Inc.
Across Canada
Application 2016-0017-2

Application by Quebecor Media Inc. (QMI), on behalf of the licensees listed below, to renew and/or amend the broadcasting licences for the television services listed below.

QMI proposes the creation of a designated group for the purposes of the Commission's group-based approach to the licensing of private television services that would include all conventional television stations as well as discretionary services of TVA Group Inc., except for Le Canal Nouvelles (LCN), a national news service, and TVA Sports, a mainstream sports service.

Since the discretionary service Argent ceased its operations on 30 April 2016, QMI has not requested to renew the licence for this service.

QMI proposes a CPE level of 70% for its designated group (discretionary services and conventional television stations). The proposed CPE level would be based on the current broadcast year's programming expenditures rather than on historical revenues, as set out in Broadcasting Decision 2012-242.

In accordance with the same decision, QMI requests not to be subject to a PNI expenditure requirement.

In that decision, the Commission imposed conditions of licence setting the TVA Group's CPE requirement at 80%. This requirement applied only to conventional television stations. No requirement relating to PNI expenditures was imposed.

In regard to support for independent production, QMI proposes to extend to its new designated group the approach for its conventional television stations adopted by the Commission in Broadcasting Decision 2012-242. In that decision, the Commission maintained the condition of licence whereby conventional television stations were required to allocate at least $20 million per broadcast year to programs acquired from independent production companies.

The proposed key changes, other than those listed in paragraph 50, are set out in the following tables.

Services that would contribute to TVA Group requirements

Television stations

Discretionary services

Services that would not contribute to TVA Group requirements

Discretionary services

On-demand services

Licensee's address:

612 Saint Jacques Street
Montréal, Quebec
H3C 4M8
Email: reglementaires@quebecor.com
Email to request electronic version of application: reglementaires@quebecor.com

4. Groupe V Média inc.
Across Canada
Application 2016-0019-8

Application by Groupe V Média inc. (Groupe V), a subsidiary of Remstar Diffusion Inc., on behalf of the licensees listed below, to renew and amend the broadcasting licences for the television services listed below.

Groupe V proposes to create a designated group for the purposes of the group-based approach to the licensing of private television services, which would include its five conventional television stations and two discretionary services (MusiquePlus and MusiMax).

Groupe V proposes a minimum group CPE level of 50% of programming expenditures for the current broadcast year and opposes the imposition of a group PNI expenditure requirement.

The proposed key changes, other than those listed in paragraph 50, are set out in the following tables.

Services that would contribute to Groupe V's group requirements

Television stations

Discretionary services

Licensee's address:

355 Sainte-Catherine Street West
Suite 100
Montréal, Quebec
H3B 1A5
Email: serge.bellerose55@gmail.com
Email to request electronic version of application: serge.bellerose55@gmail.com

English-language groups

5. Bell Media Inc.
Across Canada
Application 2016-0012-2

Application by Bell Media Inc., on behalf of the licensees listed below, to renew and/or amend the broadcasting licences for the television services listed below.

Bell proposes a group comprised of all of its English-language services, excluding CTV News Network, a national news service, The Sports Network (TSN), a mainstream sports service, as well as its VOD and PPV services. Bell proposes an average CPE of 27% for its group, as well as a standard CPE of 22% for the English-language television stations owned by the three large ownership groups (Bell, Corus and Rogers). For discretionary services with more than one million subscribers, Bell proposes a standard CPE of 32% of gross revenues from the previous broadcast year. For licensed discretionary services with fewer than one million subscribers, Bell proposes a CPE of 10% of the gross revenues from the previous broadcast year. In regard to PNI, Bell proposes a standard PNI requirement for all groups of 5% of gross revenues from the previous broadcast year, and that at least 75% of expenditures be allocated to independent producers.

Bell proposes that Canadian programming exhibition requirements regarding mainstream sports services, including its own sports service TSN, should be 50% overall with no requirement regarding the evening broadcast period. Additionally, Bell requests the ability to average advertising minutes over the broadcast day, consistent with the flexibility afforded to national news services.

Bell has not requested the renewal of the licences for the English-language discretionary services Juicebox, MuchLoud and MuchVibe. In Bell's view, these services meet the criteria set out in Broadcasting Order 2015-88, which exempts specialty and pay television services serving fewer than 200,000 subscribers from the obligation to hold a licence.

Bell also requests the deletion of the requirement that CTV Two Alberta operate as an educational broadcaster and of existing limitations relating to the amount of advertising the station can air. Bell also proposes that CTV Two Alberta and CTV Two Atlantic, currently satellite-to-cable undertakings, be defined as television stations for the new licence term.

The proposed key changes, other than those listed in paragraph 50, are set out in the following tables.

Services that would contribute to Bell's English-language group requirements

Television stations

Discretionary services

Services that would not contribute to the group's requirements

Discretionary services

On-demand services

The licensee proposes to renew the licences for the following services subject to the same terms and conditions.

Licensee's address:

299 Queen Street West
Toronto, Ontario
M5V 2Z5
Email: bell.regulatory@bell.ca
Email to request electronic version of application: kevin.goldstein@bellmedia.ca

6. Corus Entertainment Inc.
Across Canada
Application 2016-0015-6

Application by Corus entertainment Inc. (Corus), on behalf of the licensees listed below, to renew and/or amend the broadcasting licences for the television services listed below.

The licensee proposes a designated group comprised of all of its English-language services. Included in the proposed designated group of services are all of the services acquired from Shaw Media Inc. as a result of the corporate reorganization approved in Broadcasting Decision 2016-110, as well as six new services: ABC Spark, BC News 1, National Geographic Wild, Disney Channel, Disney Junior and Disney XD.

Corus has filed three applications for the issuance of new licences to operate the following discretionary services, which are currently exempt: Disney Channel, Disney Junior and Disney XD. These applications will be examined as part of this process.

Corus proposes an average CPE requirement of 26% for its group, as well as individual CPE requirements of 27% for its television stations and discretionary services, with the exception of the six new discretionary services to be added to the group, for which Corus proposes a 10% minimum CPE requirement. In regard to PNI, Corus proposes a minimum group requirement of 5%, with at least 75% of the expenditures to be allocated to independent producers.

Corus proposes the deletion of the provision that allows a maximum of 25% of the required CPE for television services to be attributed to any other qualifying discretionary service within the same designated group.

The licensee also proposes that time limits for advertising be eliminated for all discretionary services, as well as all other limits relating to the distribution of commercial messages.

The proposed key changes, other than those listed in paragraph 50, are set out in the following tables.

Services that would contribute to Corus's English-language group's requirements

Television stations

Discretionary services

New broadcasting licences

Licensee's address:

25 Dockside Drive
Toronto, Ontario
M5A 0B5
Email: sylvie.courtemanche@corusent.com
Website to view application: www.corusent.com

7. Rogers Media Inc.
Across Canada
Application 2016-0009-9

Application by Rogers Media Inc., on behalf of the licensees listed below, to renew and/or amend the broadcasting licences for the television services listed below.

The licensee proposes to include its discretionary services FX and FXX as part of its designated group. The OMNI stations and the general interest sports services Sportsnet and Sportsnet One would remain excluded from the group. Rogers proposes a group CPE of 30% of gross revenues from the previous broadcast year, with individual CPE requirements of 30% gross revenues from the previous broadcast year for its English-language television stations and discretionary services. In regard to PNI, Rogers proposes a group requirement of 5%, with at least 75% of the expenditures to be allocated to independent producers.

The licensee also proposes not to renew the network licence approved in Broadcasting Decision 2015-154 for the program Hockey Night in Canada, and to impose a condition of licence that would outline its responsibility for Hockey Night in Canada programming aired by the Canadian Broadcasting Corporation's (CBC) English-language television stations on the mainstream sports service Sportsnet. Further, Rogers requests to delete the group requirement to file a “Report on Specified Procedures” set out in Broadcasting Decision 2014-399 and to impose on Sportsnet a condition of licence requiring the filing of an unaudited report on the allocation of revenues and expenses relating to the National Hockey League programming broadcast on the licensed programming undertakings.

The licensee has not requested the renewal of the licence for Sportsnet World, and wishes to operate this service as an exempt service. In Rogers' view, the service meets the criteria set out in Broadcasting Order 2015-88.

Rogers proposes to renew the licences for the OMNI television stations on a standalone basis, with individual CPE requirements of 27% of gross revenues from the previous broadcast year. These stations would not contribute to Rogers' designated group CPE and PNI requirements. Rogers also proposes to amend several conditions of licence, as set out in the table below. Consistent with Broadcasting Decision 2016-8, the Commission intends to review the OMNI stations' ongoing performance and requirements, including the provision of local third-language programming, at licence renewal.

In a related application (2016-0377-0), Rogers requests a broadcasting licence to operate a new ethnic discretionary service composed of four multiplex channels. Rogers requests that this service be granted mandatory distribution as part of the basic service on all licensed and exempt BDUs (with more than 2,000 subscribers) for a period of five years.

The proposed key changes, other than those listed in paragraph 50, are set out in the following tables.

Services that would contribute to the group's requirements

Television stations

Discretionary services

Services that would not contribute to the group's requirements

Television stations

Discretionary services

On-demand service

Rogers Communications Canada Inc. filed application 2016-0332-4 to renew the licence for the on-demand service Rogers on Demand, subject to the same terms and conditions set out in the current licence, for a seven-year licence term. The licensee agrees to adhere to the standard requirements set out in Appendix 2 to Broadcasting Regulatory Policy 2015-355.

Network

Licensee's address:

333 Bloor Street East
Toronto, Ontario
M4W 1G9
Email: susan.wheeler@rci.rogers.com
Email to request electronic version of application: susan.wheeler@rci.rogers.com

8. Shaw Communications Inc.
Across Canada
Application 2016-0018-0

Application by Shaw Communications Inc. (Shaw), on behalf of Shaw Cablesystems Limited, licensee of the English-language television station CJBN-TV Kenora, Ontario, and Shaw Cablesystems (VCI) Limited, licensee of the national VOD service known as Shaw On Demand, to renew the broadcasting licences for these undertakings on a standalone basis.

Shaw agrees to adhere to the new standard requirements for television stations and on-demand services set out in Appendices 1 and 3 of Broadcasting Notice of Consultation 2016-195. Shaw proposes that licences for the services be renewed for a seven-year licence term.

Shaw proposes a minimum CPE requirement of 20% for CJBN-TV, consistent with Broadcasting Regulatory Policy 2015-86.

Licensee's address:

630-3rd Avenue SW
Suite 900
Calgary, Alberta
T2P 4L4
Email: dean.shaikh@sjrb.ca
Email to request electronic version of application: dean.shaikh@sjrb.ca

9. Telelatino Network Inc.
Application 2016-0405-9

Application by Telelatino Network Inc. (TLN) to renew and amend the broadcasting licences for the discretionary services Telelatino and SkyTG 24 on a standalone basis.

TLN agrees to adhere to the new standard requirements for discretionary services set out in Appendix 2 to Broadcasting Notice of Consultation 2016-195. TLN requests that the licences for the services be renewed for a seven-year licence term.

The proposed key changes, other than those listed in paragraph 50, are set out in the following table.

Licensee's address:

5125 Steeles Avenue West
Toronto, Ontario
M9L 1R5
Email: agathap@tlntv.com
Email to request electronic version of application: agathap@tlntv.com

Procedure

Deadline for interventions, comments or answers

2 August 2016

The Canadian Radio-television and Telecommunications Commission Rules of Practice and Procedure (the Rules of Procedure) apply to the present proceeding. The Rules of Procedure set out, among other things, the rules for content, format, filing and service of interventions, answer, replies and requests for information; the procedure for filing confidential information and requesting its disclosure; and the conduct of public hearings. Accordingly, the procedure set out below must be read in conjunction with the Rules of Procedure and related documents, which can be found on the Commission's website under “Statutes and Regulations.” The guidelines set out in Broadcasting and Telecom Information Bulletin 2010-959 provide information to help interested persons and parties understand the Rules of Procedure so that they can more effectively participate in Commission proceedings.

An intervention or an answer from a respondent must be filed with the Commission and served on the applicant on or before the above-mentioned date. An answer from a respondent must also be served on any other respondent.

Interventions and answers must clearly identify the application referred to and indicate whether parties support or oppose the application, or, if they propose changes to it, include the facts and grounds for their proposal.

The intervention or answer must include one of the following statements in either the first or the last paragraph:

1. I request to appear at the public hearing.
2. I do not want to appear at the public hearing.

Parties are permitted to coordinate, organize, and file, in a single submission, interventions by other interested persons who share their position. Information on how to file this type of submission, known as a joint supporting intervention, as well as a template for the covering letter to be filed by the parties, can be found in Broadcasting Information Bulletin 2010-28-1.

The Commission encourages interested persons and parties to monitor the record of the proceeding, available on the Commission's website, for additional information that they may find useful when preparing their submissions.

Submissions longer than five pages should include a summary. Each paragraph of all submissions should be numbered, and the line ***End of document*** should follow the last paragraph. This will help the Commission verify that the document has not been damaged during electronic transmission.

Pursuant to Broadcasting and Telecom Information Bulletin 2015-242, the Commission expects incorporated entities and associations, and encourages all Canadians, to file submissions for Commission proceedings in accessible formats (for example, text-based file formats that allow text to be enlarged or modified, or read by screen readers). To provide assistance in this regard, the Commission has posted on its website guidelines for preparing documents in accessible formats.

Submissions must be filed by sending them to the Secretary General of the Commission using only one of the following means:

A true copy of each intervention or answer from a respondent must be sent to the applicant and, in the case of a respondent to an application, to any other respondent.

Parties who send documents electronically must ensure that they will be able to prove, upon Commission request, that service/filing of a particular document was completed. Accordingly, parties must keep proof of the sending and receipt of each document for 180 days after the date on which the document is filed. The Commission advises parties who file and serve documents by electronic means to exercise caution when using email for the service of documents, as it may be difficult to establish that service has occurred.

In accordance with the Rules of Procedure, a document must be received by the Commission and all relevant parties by 5 p.m. Vancouver time (8 p.m. Ottawa time) on the date it is due. Parties are responsible for ensuring the timely delivery of their submissions and will not be notified if their submissions are received after the deadline. Late submissions, including those due to postal delays, will not be considered by the Commission and will not be made part of the public record.

The Commission will not formally acknowledge submissions. It will, however, fully consider all submissions, which will form part of the public record of the proceeding, provided that the procedure for filing set out above has been followed.

If parties wish to appear, they must provide reasons why their written interventions or answers are not sufficient and why an appearance is necessary. Parties requiring communication support must state their request on the first page of their intervention. Only those parties whose requests to appear have been granted will be contacted by the Commission and invited to appear at the public hearing.

Persons requiring communications support such as assistance listening devices and sign language interpretation are requested to inform the Commission at least twenty (20) days before the commencement of the public hearing so that the necessary arrangements can be made.

Important notice

All information that parties provide as part of this public process, except information designated confidential, whether sent by postal mail, facsimile, email or through the Commission's website at www.crtc.gc.ca, becomes part of a publicly accessible file and will be posted on the Commission's website. This information includes personal information, such as full names, email addresses, postal/street addresses, telephone and facsimile numbers, etc.

The personal information that parties provide will be used and may be disclosed for the purpose for which the information was obtained or compiled by the Commission, or for a use consistent with that purpose.

Documents received electronically or otherwise will be put on the Commission's website in their entirety exactly as received, including any personal information contained therein, in the official language and format in which they are received. Documents not received electronically will be available in PDF format.

The information that parties provide to the Commission as part of this public process is entered into an unsearchable database dedicated to this specific public process. This database is accessible only from the web page of this particular public process. As a result, a general search of the Commission's website with the help of either its own search engine or a third-party search engine will not provide access to the information that was provided as part of this public process.

Availability of documents

Electronic versions of the applications are available on the Commission's website at www.crtc.gc.ca by selecting the application number within this notice. They are also available from the applicants, either on their websites or upon request by contacting the applicants at their email addresses, provided above.

Electronic versions of the interventions and answers, as well as of other documents referred to in this notice, are available on the Commission's website at www.crtc.gc.ca by visiting the “Participate” section, selecting “Submit Ideas and Comments,” and then selecting “our open processes.” Documents can then be accessed by clicking on the links in the “Subject” and “Related Documents” columns associated with this particular notice.

Documents are also available from Commission offices, upon request, during normal business hours.

Location of Commission offices

Toll-free telephone: 1-877-249-2782
Toll-free TDD: 1-877-909-2782

Les Terrasses de la Chaudière
Central Building
1 Promenade du Portage, Room 206
Gatineau, Quebec
J8X 4B1
Tel.: 819-997-2429
Fax: 819-994-0218

Regional offices

Nova Scotia

Metropolitan Place
99 Wyse Road
Suite 1410
Dartmouth, Nova Scotia
B3A 4S5
Tel.: 902-426-7997
Fax: 902-426-2721

Quebec

505 de Maisonneuve Boulevard West
Suite 205
Montréal, Quebec
H3A 3C2
Tel.: 514-283-6607

Ontario

55 St. Clair Avenue East
Suite 624
Toronto, Ontario
M4T 1M2
Tel.: 416-952-9096

Manitoba

360 Main Street
Suite 970
Winnipeg, Manitoba
R3C 3Z3
Tel.: 204-983-6306
Fax: 204-983-6317

Saskatchewan

403 – 1975 Scarth Street
Regina, Saskatchewan
S4P 2H1
Tel.: 306-780-3422
Fax: 306-780-3319

Alberta

220 – 4th Avenue Southeast
Suite 172
Calgary, Alberta
T2G 4X3
Tel.: 403-292-6660
Fax: 403-292-6686

British Columbia

858 Beatty Street
Suite 290
Vancouver, British Columbia
V6B 1C1
Tel.: 604-666-2111
Fax: 604-666-8322

Secretary General

Related documents

• Policy framework for local and community television, Broadcasting Regulatory Policy CRTC 2016-224, 15 June 2016
• Call for comments on standard requirements for television stations, discretionary services, and on-demand services, Broadcasting Notice of Consultation CRTC 2016-195, 20 May 2016
• Various television services and stations – Corporate reorganization (transfer of shares), Broadcasting Decision CRTC 2016-110, 23 March 2016
• Call for licence renewal applications, Broadcasting Notice of Consultation CRTC 2016-44, 8 February 2016
• Requests that Rogers Media Inc. reinstate third-language newscasts on its OMNI stations, Broadcasting Decision CRTC 2016-8, 12 January 2016
• Administrative renewals, Broadcasting Decision CRTC 2016-7, 12 January 2016
• Revised standard conditions of licence for Canadian discretionary services operating as national news services, Broadcasting Regulatory Policy CRTC 2015-436, 23 September 2015
• Revised exemption order for certain classes of video-on-demand (VOD) undertakings and updated standard conditions of licence for licensed VOD undertakings, Broadcasting Regulatory Policy CRTC 2015-355 and Broadcasting Order CRTC 2015-356, 6 August 2015
• Filing submissions for Commission proceedings in accessible format, Broadcasting and Telecom Information Bulletin CRTC 2015-242, 8 June 2015
• Rogers Media Inc. – Television network licence, Broadcasting Decision CRTC 2015-154, 17 April 2015
• Let's Talk TV – Navigating the Road Ahead – Making informed choices about television providers and improving accessibility to television programming, Broadcasting Regulatory Policy CRTC 2015-104, 26 March 2015
• Let's Talk TV – A World of Choice – A roadmap to maximize choice for TV viewers and to foster a healthy, dynamic TV market, Broadcasting Regulatory Policy CRTC 2015-96, 19 March 2015
• Exemption order respecting discretionary television programming undertakings serving fewer than 200,000 subscribers, Broadcasting Order CRTC 2015-88, 12 March 2015
• Let's Talk TV – The way forward – Creating compelling and diverse Canadian programming, Broadcasting Regulatory Policy CRTC 2015-86, 12 March 2015
• MusiquePlus and MusiMax – Change in effective control and licence amendments, Broadcasting Decision CRTC 2014-465, 11 September 2014
• Rogers Media Inc. – Group-based licence renewals, Broadcasting Decision CRTC 2014-399, 31 July 2014
• Astral broadcasting undertakings – Change in effective control – Follow-up to the Astral-BCE transaction, Broadcasting Decision CRTC 2014-62, 17 February 2014
• Historia and Séries+ - Acquisition of assets and change in effective control, Broadcasting Decision CRTC 2013-738, 20 December 2013
• TELETOON/TÉLÉTOON, TELETOON Retro, TÉLÉTOON Rétro and Cartoon Network – Change of effective control; TELETOON/TÉLÉTOON, TELETOON Retro and TÉLÉTOON Rétro – Licence renewal and amendment, Broadcasting Decision CRTC  2013-737, 20 December 2013
• Various specialty Category A and B services – Licence renewals and modified group-based licensing approach, Broadcasting Decision CRTC 2013-465, 30 August 2013
• Astral broadcasting undertakings – Change in effective control, Broadcasting Decision CRTC 2013-310, 27 June 2013
• Revised policy for large broadcast groups regarding Canadian programming expenditure over-expenditures for conventional television and specialty services, Broadcasting Regulatory Policy CRTC 2012-596, 30 October 2012
• TVA Group Inc. – Licence renewals, Broadcasting Decision CRTC 2012-242, 26 April 2012
• Astral Media inc. – Group-based licence renewals, Broadcasting Decision CRTC 2012-241, 26 April 2012
• Corus Entertainment Inc. – Group-based licence renewals, Broadcasting Decision CRTC 2011-446, 27 July 2011
• Shaw Media Inc. – Group-based licence renewals, Broadcasting Decision CRTC 2011-445, 27 July 2011
• Bell Media Inc. – Group-based licence renewals, Broadcasting Decision CRTC 2011-444, 27 July 2011
• Group-based licence renewals for English-language television groups – Introductory decision, Broadcasting Decision CRTC 2011-441, 27 July 2011
• Guidelines on the CRTC Rules of Practice and Procedure, Broadcasting and Telecom Information Bulletin CRTC 2010-959, 23 December 2010
• Changes to certain practices for filing interventions – Expansion of filing practices to include the filing of joint supporting comments for broadcasting policy proceedings, Broadcasting Information Bulletin CRTC 2010-28-1, 10 December 2010
• A group-based approach to the licensing of private television services, Broadcasting Regulatory Policy CRTC 2010-167, 22 March 2010
• Conditions of licence for competitive Canadian specialty services operating in the genres of mainstream sports and national news – Definition of “broadcast day” for mainstream sports services, Broadcasting Regulatory Policy CRTC 2009-562-2, 25 May 2012
• Change in the effective control of TQS inc. and licence renewals of the television programming undertakings CFJP-TV Montréal, CFJP-DT Montréal, CFAP-TV Québec, CFKM-TV Trois-Rivières, CFKS-TV Sherbrooke, CFRS-TV Saguenay and of the TQS network, Broadcasting Decision CRTC 2008-129, 26 June 2008
• The reporting of Canadian programming expenditures, Public Notice CRTC 1993-93, 22 June 1993

Appendix to Broadcasting Notice of Consultation CRTC 2016-225

List and Links to Public Data

List of CRTC Canadian Program Recognition Numbers

Financial data

• Financial Summaries for Broadcasting Sector
• Video-on-demand - Aggregate Statistical Data

Ownership Charts

Annual/Monthly Reports Filed by Broadcasting Industry Players

Communications Monitoring Reports

Date modified:

2017-12-05