Departmental Plan 2018-2019

Canadian Radio-television and Telecommunications Commission

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The Honourable Mélanie Joly, P.C., M.P.
Minister of Canadian Heritage

© Her Majesty the Queen in Right of Canada, represented by the Chairman and Chief Executive Officer of the Canadian Radio-television and Telecommunications Commission, 2017

Catalogue No. BC9-26E-PDF
ISSN 2371-8463

Table of contents

Message from the Minister

Mélanie Joly

The organizations in the Canadian Heritage Portfolio play an important role in the lives of Canadians. They encourage innovation in an ever-changing world and, each in their own way, help enhance our culture, preserve our heritage and highlight our diversity. They remain committed to building a society enriched by its two official languages, the cultures of Indigenous Peoples and the contributions of Canadians of all backgrounds.

Within the Portfolio, the Canadian Radio-television and Telecommunications Commission (CRTC)—which celebrates its 50th anniversary in 2018—will continue working to ensure that all Canadians have access to a world-class communication system. To reflect our country’s evolving demographics, the CRTC will review applications for a new multilingual and multiethnic television service. The CRTC will also report on how future distribution models for audiovisual content will support the creation and distribution of Canadian content in both official languages, and it will work to provide Canadians with a communication system adapted to digital technologies.

As Minister of Canadian Heritage, I invite you to have a look at the 2018–19 Departmental Plan for the CRTC to find out what the CRTC intends to do in the year ahead to fulfill its mandate, achieve the Government’s objectives and serve Canadians.

The Honourable Mélanie Joly

Message from the Chair

Ian Scott

On behalf of the Commission, I am pleased to present the CRTC 2018-19 Departmental Plan. For the past five decades, the CRTC has worked to ensure that Canadians have access to a world-class communication system. This plan outlines the main activities that the CRTC will carry out as it builds on its legacy of regulating in the public interest and celebrates its 50th anniversary.

At the request of the Government, my colleagues and I will deliver in the coming year a digital report on future distribution models for Canadian audiovisual content, which will help inform the review of the Broadcasting and Telecommunications Acts.

The CRTC will be launching reviews of its policies regarding French-language vocal music in the commercial radio sector and Indigenous radio stations. It will also launch a proceeding to renew CBC/Radio-Canada’s radio and television licences.

To support its decision that declared broadband Internet a basic telecommunication service, the CRTC will determine how its $750-million fund will operate following a public consultation. The fund will support projects for fixed and mobile broadband Internet services, with the aim of ensuring that the services in rural and remote areas are comparable to those available in urban centres.

The CRTC will be taking steps to ensure the participation of wireless service providers in the National Public Alerting System, by requiring them to implement wireless public alerting capability on their networks. In doing so, the Commission is working towards ensuring that Canadians have access to multiple platforms to receive information during an emergency event.

In collaboration with our partners at home and across the globe, we will continue to protect Canadians from unwanted commercial electronic messages and unsolicited telemarketing calls. The CRTC continues to raise awareness of, and ensure compliance and enforcement with, the Unsolicited Telecommunication Rules, the Voter Contact Registry and Canada’s anti-spam legislation.

Finally, the CRTC will continue to draw on innovative tools and adopt best practices from around the world in order to maintain our status as a leading communications regulator.

Ian Scott

Plans at a glance

Key planned results for 2018-19:

For more information on the CRTC’s plans, priorities and planned results, see the “Planned results” section of this report.

Planned results: what we want to achieve this year and beyond

Core Responsibility

Regulate and Supervise the Communications System

Description

The CRTC is an administrative tribunal that is responsible for regulating and supervising Canada’s communications system in the public interest.

Established to develop, implement and enforce regulatory policies on the Canadian communications system, the CRTC performs a wide range of functions, including rule making and policy development. It has the quasi-judicial powers of a superior court with respect to the production and examination of evidence and the enforcement of its decisions. As an administrative tribunal it operates at arm’s length from the federal government.

The CRTC develops regulatory policies for Canada’s communication system; approves mergers, acquisitions and changes of ownership of broadcasting distribution undertakings; approves tariffs and agreements for certain telecommunication services; issues, renews and amends licenses for broadcasting distribution and programming undertakings; and resolves competitive disputes. The CRTC intervenes specifically in situations where market forces alone cannot achieve the policy objectives set out within its legislative mandate.

Planning highlights

All of the key activities undertaken by the CRTC under its Core Responsibility in 2018-19 are intended to achieve one or more of its three main Departmental Results (set out in the “Planned results” table that follows), which may be summarized as “Create,” “Connect,” and “Protect.” In support of all three, the CRTC will publish its annual Communications Monitoring ReportFootnote i, a compilation of the data collected from broadcasting and telecommunications companies.

Create

In 2018-19, the CRTC will deliver its report to the Government on future audiovisual programming distribution models, as requested under section 15 of the Broadcasting Act. This report will support the next steps in the new policy framework for Canada’s cultural and creative industries in a digital worldFootnote ii, as announced by the Minister of Canadian Heritage in fall 2017.

The CRTC will further help ensure that Canadian content is created, produced and distributed by launching reviews of a number of its regulatory policies in this area, including:

The CRTC will also issue decisions on:

Finally, the CRTC will decide whether to undertake a formal review of its Diversity PolicyFootnote viii to ensure that the Canadian broadcasting industry is representative of Canada’s diversity.

Connect

In 2018-19, the CRTC will help ensure Canadians are connected to world-class communications services by launching public consultations on:

The CRTC will issue decisions on:

Looking ahead, the CRTC will also lay the groundwork for a review of Canada’s Video Relay Service,Footnote xiv which facilitates telephone usage by persons whose first language is American Sign Language or Langue des signes québécoise.

Protect

In 2018-19, the CRTC will help protect Canadians within the communications system by issuing decisions that help ensure the mandatory participation of the Canadian communications industry in the National Public Alerting SystemFootnote xv. It will also monitor the implementation of its 2017 decision on “next-generation” 9-1-1 services in CanadaFootnote xvi and initiate any new proceedings that may be required to meet the evolving public safety needs of Canadians.

On an ongoing basis, the CRTC will also continue to:

For all three of the CRTC’s Departmental Results, the associated risks are identified under “Key Risks” in the Supplementary Information section of this Departmental Plan on the CRTC websiteFootnote xxi.

Planned results
Departmental Results Departmental Result Indicators Target Date to achieve target 2014–15 Actual results 2015–16 Actual results 2016–17 Actual results
Canadian content is created. Total investment in Canadian television programming production $4.0-$4.5B March 2019 - - -
Canadians are connected to world-class communications services. % of households that have access to fixed broadband Internet access servicesFootnote 1 90% 100% December 2021 December 2036 - - -
% of households that have access to the latest generally deployed mobile wireless technologyFootnote 2 100% N/A - - -
% of total fixed broadband subscriptions that are high capacity network connectionsFootnote 3 compared to the OECD average 7.9% point leadFootnote 4 N/A - - -
Canadians are protected within the communications system. % of organizations that remain compliant within 12 months after compliance / enforcement action is taken on unsolicited commercial communications 80% March 2019 98% 100% 100%
% of broadcasters and wireless service providers participating in public alerting system TBD TBD - - -
% of facilities-based telecommunications service providers in compliance with 911 requirements 100% March 2019 97% 99% 100%
Proceedings related to the regulation of the communications system are efficient and fair. % of decisions on telecom and broadcasting applications (Part 1) issued within four months of the close of record 75% March 2019 - - -
Number of decisions overturned on judicial appeal related to procedural fairness 0 March 2019 - - -
Budgetary financial resources (dollars)
2018–19 Main Estimates 2018–19 Planned spending 2019–20 Planned spending 2020–21 Planned spending
Gross Expenditures 46,353,441 46,353,441 46,353,441 46,353,441
Respendable Revenue 37,191,213 37,191,213 37,191,213 37,191,213
Net Expenditures 9,162,228 9,162,228 9,162,228 9,162,228
Human resources (full-time equivalents)
2018–19 Planned full-time equivalents 2019–20 Planned full-time equivalents 2020–21 Planned full-time equivalents
330 330 330

Financial, human resources and performance information for the CRTC’s Program Inventory is available in the GC InfoBaseFootnote xxii.

Internal Services

Description

Internal Services are those groups of related activities and resources that the federal government considers to be services in support of programs and/or required to meet corporate obligations of an organization. Internal Services refers to the activities and resources of the 10 distinct service categories that support Program delivery in the organization, regardless of the Internal Services delivery model in a department. The 10 service categories are: Management and Oversight Services; Communications Services; Legal Services; Human Resources Management Services; Financial Management Services; Information Management Services; Information Technology Services; Real Property Services; Materiel Services; and Acquisition Services.

Budgetary financial resources (dollars)
2018–19 Main Estimates 2018–19 Planned spending 2019–20 Planned spending 2020–21 Planned spending
Gross Expenditures 14,659,680 14,659,680 14,659,680 14,659,680
Respendable Revenue 12,258,261 12,258,261 12,258,261 12,258,261
Net Expenditures 2,401,419 2,401,419 2,401,419 2,401,419
Human resources (full-time equivalents)
2018–19 Planned full-time equivalents 2019–20 Planned full-time equivalents 2020–21 Planned full-time equivalents
133 133 133
Planning highlights

In 2018-19, the CRTC will ensure management excellence in part by launching a full-scale human resources planning process that will seek to optimize the organizational structure while meeting the CRTC’s commitment to building a healthy, diverse and inclusive workplace culture. It will also implement the Government of Canada Finance and Materiel Solution, a new financial management system, as part of the government-wide financial management transformation process.

Spending and human resources

Planned spending

For fiscal year 2018-19, the CRTC plans to spend $61.0 million to meet the expected results of its program activities.

The graph below illustrates the CRTC’s spending trend from 2015-16 to 2020-21.

Departmental spending trend graph
The table presented below provides the total spending trends (i.e. actual and forecast spending) for fiscal years 2015-16 to 2020-21

*Note: Voted expenditures include revenues netted against expenditures (vote-netted revenues).

Long Description

The table presented below provides the total spending trends (i.e. actual and forecast spending) for fiscal years 2015-16 to 2020-21 and are as follows:

Voted and vote-netted revenue: $51,288,714 for 2015-16; $52,843,609 for 2016-17; $56,876,605 for 2017-18 and $54,508,072 for 2018-19, 2019-20 and 2020-21;

Statutory: $6,415,617 for 2015-16; $6,233,025 for 2016-17; $6,445,602 for 2017-18 and $6,505,049 for 2018-19, 2019-20 and 2020-21;

Total operating budget: $57,704,331 for 2015-16; $59,076,634 for 2016-17; $63,322,207 for 2017-18 and $61,013,121 for 2018-19, 2019-20 and 2020-21.

Budgetary planning summary for Core Responsibilities and Internal Services (dollars)
Core Responsibility and Internal Services 2015–16 Expenditures 2016–17 Expenditures 2017–18 Forecast spending 2018–19 Main Estimates 2018–19 Planned spending 2019–20 Planned spending 2020–21 Planned spending
Regulate and Supervise the Communications System 43,696,778 44,236,441 46,973,608 46,353,441 46,353,441 46,353,441 46,353,441
Subtotal 43,696,778 44,236,441 46,973,608 46,353,441 46,353,441 46,353,441 46,353,441
Internal Services 14,007,553 14,840,193 16,348,599 14,659,680 14,659,680 14,659,680 14,659,680
Total gross expenditures 57,704,331 59,076,634 63,322,207 61,013,121 61,013,121 61,013,121 61,013,121
Revenues netted against expenditures 46,705,914 47,685,088 51,560,113 49,449,474 49,449,474 49,449,474 49,449,474
Total net expenditures 10,998,417 11,391,546 11,762,094 11,563,647 11,563,647 11,563,647 11,563,647

Expenditures for fiscal years 2015-16 and 2016-17 come from the Public Accounts of Canada.

The increase between 2016-17 actual expenditures and 2017-18 forecast spending is due to an increase in salary expenses resulting from the signing of several collective agreements, including retro payments for 2014-15 to 2016-17.

Forecast spending for the fiscal years 2018-19 to 2020-21 corresponds to the planned spending level approved in the Main Estimates. At this time, there are no incremental amounts approved above the Main Estimates levels. Supplementary funding for items such as salary adjustments for new collective agreements and carry-forward adjustments are unknown at this time and therefore not reflected.

2018–19 Budgetary planned gross spending summary (dollars)
Core Responsibility and Internal Services 2018–19 Planned gross spending 2018–19 Planned gross spending in specified purpose accounts 2018–19 Planned revenues netted against expenditures 2018–19 Planned net spending
Regulate and Supervise the Communications System 46,353,441 - 37,191,213 9,162,228
Subtotal 46,353,441 - 37,191,213 9,162,228
Internal Services 14,659,680 - 12,258,261 2,401,419
Total 61,013,121 - 49,449,474 11,563,647

Planned human resources

Human resources planning summary for Core Responsibilities and Internal Services (full-time equivalents)
Core Responsibility and  Internal Services 2015–16 Actual 2016–17 Actual 2017–18 Forecast 2018–19 Planned 2019–20 Planned 2020–21 Planned
Regulate and Supervise the Communications System 337 331 330 330 330 330
Subtotal 337 331 330 330 330 330
Internal Services 113 129 133 133 133 133
Total 450 460 463 463 463 463

The increase in the number of full-time equivalents (FTE) forecasted in 2017-18 was offset by departures resulting in a net variance of 3 FTEs between fiscal year 2016-17 and 2017-18, which is mainly attributable to hiring in IT support.

Estimates by vote

For information on the CRTC’s organizational appropriations, consult the 2018–19 Main Estimates Footnote xxiii.

Future-Oriented Condensed Statement of Operations

The Future-Oriented Condensed Statement of Operations provides a general overview of the CRTC’s operations. The forecast of financial information on expenses and revenues is prepared on an accrual accounting basis to strengthen accountability and to improve transparency and financial management.

Because the Future-Oriented Condensed Statement of Operations is prepared on an accrual accounting basis, and the forecast and planned spending amounts presented in other sections of the Departmental Plan are prepared on an expenditure basis, amounts may differ.

A more detailed Future-Oriented Statement of Operations and associated notes, including a reconciliation of the net cost of operations to the requested authorities, are available on the CRTC’s websiteFootnote xxiv.

Future-Oriented Condensed Statement of Operations for the year ended March 31, 2019 (dollars)
Financial information 2017–18 Forecast results 2018–19 Planned results Difference (2018–19 Planned results minus 2017–18 Forecast results)
Total expenses 71,510,000 68,812,000 (2,698,000)
Total revenues 51,560,000 49,449,000 (2,111,000)
Net cost of operations before government funding and transfers 19,950,000 19,363,000 (587,000)

The difference in expenses of approximately $2.7 million (4%) in 2018-19 versus 2017-18 is primarily attributed to increases in salary related expenses due to collective agreements signed in 2017-18.

Supplementary information

Corporate information

Organizational profile

Appropriate minister:
Institutional head:
Ministerial portfolio:
Enabling instruments:
Year of incorporation / commencement:

Raison d’être, mandate and role

“Raison d’être, mandate and role: who we are and what we do” is available on the CRTC’s website.Footnote xxxi

Operating context and key risks

Information on operating context and key risks is available on the CRTC’s website.Footnote xxxii

Reporting framework

The CRTC’s Departmental Results Framework and Program Inventory of record for 2018–19 are shown below:

Departmental Results Framework and Program Inventory
Long description
Departmental Results Framework and Program Inventory

Departmental Results Framework:

Core Responsibility: Regulate and supervise Canada’s communications system

Departmental results and indicators:
  • Canadian content is created
    • Total investment in Canadian television programming production
  • Canadians are connected to world-class communications services
    • % of households that have access to fixed broadband Internet access services
    • % of households that have access to the latest generally deployed mobile wireless technology
    • % of total fixed broadband subscriptions that are high capacity network connections compared to the OECD average
  • Canadians are protected within an evolving communications system
    • % of organizations that remain compliant within 12 months after compliance / enforcement action is taken on unsolicited commercial communications
    • % of broadcasters and wireless service providers participating in public alerting system
    • % of facilities-based telecommunications service providers in compliance with 911 requirements
  • Proceedings related to the regulation of the communications system are efficient and fair compliance with 911 requirements
    • % of decisions on telecom and broadcasting applications (Part 1) issued within four months of the close of record
    • Number of decisions overturned on judicial appeal related to procedural fairness
Internal Services
  • Program Inventory:
    • Support for Canadian content creation
    • Connection to the communications system
    • Protection within the communications system
Concordance between the Departmental Results Framework and the Program Inventory, 2018–19, and the Program Alignment Architecture, 2017–18
2018–19 Core Responsibility and Program Inventory 2017–18 Lowest-level program of the Program Alignment Architecture Percentage of lowest-level Program Alignment Architecture program (dollars) corresponding to the program in the Program Inventory
Core Responsibility 1: Regulate and Supervise the Communications System
Support for Canadian content creation 1.1.1 Diverse Canadian Content 100%
1.1.2 Compelling Canadian Content 100%
Connection to the communications system 1.2.1 Quality Communication Services 100%
1.2.2 Affordable Communication Services 100%
Protection within the communications system 1.3.1 Safety-Enhancing Communication Services 100%
1.3.2 Unsolicited Commercial Communications 100%

Supporting information on the Program Inventory

Supplementary information tables

The following supplementary information tables are available on the CRTC’s websiteFootnote xxxiv:

Federal tax expenditures

The tax system can be used to achieve public policy objectives through the application of special measures such as low tax rates, exemptions, deductions, deferrals and credits. The Department of Finance Canada publishes cost estimates and projections for these measures each year in the Report on Federal Tax ExpendituresFootnote xxxviii. This report also provides detailed background information on tax expenditures, including descriptions, objectives, historical information and references to related federal spending programs. The tax measures presented in this report are the responsibility of the Minister of Finance.

Organizational contact information

CRTC Central Office

Les Terrasses de la Chaudière
Central Building
1 Promenade du Portage
Gatineau, Quebec J8X 4B1

or

Ottawa, Ontario K1A 0N2

CRTC telephone numbers

In Canada:
Toll-free: 1-877-249-CRTC (2782)
Toll-free TTY line: 1-877-909-CRTC (2782)

Outside Canada:
819-997-0313
TTY line: 819-994-0423

Fax: 819-994-0218

Website: http://www.crtc.gc.ca

Appendix B: definitions

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