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Toutefois, la publication susmentionnée est un compte rendu textuel des délibérations et, en tant que tel, est transcrite dans l'une ou l'autre des deux langues officielles, compte tenu de la langue utilisée par le participant à l'audience.
TRANSCRIPT OF PROCEEDINGS BEFORE
THE CANADIAN RADIO‑TELEVISION AND
TELECOMMUNICATIONS
COMMISSION
TRANSCRIPTION
DES AUDIENCES DEVANT
LE
CONSEIL DE LA RADIODIFFUSION
ET
DES TÉLÉCOMMUNICATIONS CANADIENNES
SUBJECT
/ SUJET:
VARIOUS BROADCASTING APPLICATIONS /
PLUSIEURS DEMANDES EN RADIODIFFUSION
HELD AT: TENUE À:
Best Western Inn Best Western Inn
2402 Highway 97 North 2402, autoroute 97 Nord
Kelowna, B.C. Kelowna (C.-B.)
November 1st, 2007 Le 1er novembre 2007
Transcripts
In order to meet the requirements of the Official Languages
Act, transcripts of proceedings before the Commission will be
bilingual as to their covers, the listing of the CRTC members
and staff attending the public hearings, and the Table of
Contents.
However, the aforementioned publication is the recorded
verbatim transcript and, as such, is taped and transcribed in
either of the official languages, depending on the language
spoken by the participant at the public hearing.
Transcription
Afin de rencontrer les exigences de la Loi sur
les langues
officielles, les procès‑verbaux pour le
Conseil seront
bilingues en ce qui a trait à la page
couverture, la liste des
membres et du personnel du CRTC participant à
l'audience
publique ainsi que la table des matières.
Toutefois, la publication susmentionnée est un
compte rendu
textuel des délibérations et, en tant que tel,
est enregistrée
et transcrite dans l'une ou l'autre des deux
langues
officielles, compte tenu de la langue utilisée
par le
participant à l'audience publique.
Canadian
Radio‑television and
Telecommunications
Commission
Conseil
de la radiodiffusion et des
télécommunications
canadiennes
Transcript
/ Transcription
VARIOUS
BROADCASTING APPLICATIONS /
PLUSIEURS
DEMANDES EN RADIODIFFUSION
BEFORE / DEVANT:
Rita Cugini Chairperson
/ Présidente
Ronald Williams Commissioner
/ Conseiller
Michel Morin Commissioner
/ Conseiller
ALSO PRESENT / AUSSI PRÉSENTES:
Cindy Ventura Secretary / Secrétaire
Véronique Lehoux Legal Counsel /
Conseillère juridique
Francine Laurier-Guy Hearing Manager /
Gérante de l'audience
HELD AT: TENUE
À:
Best Western Inn Best Western Inn
2402 Highway 97 North 2402, autoroute 97 Nord
Kelowna, B.C. Kelowna (C.-B.)
November 1st, 2007 Le 1er novembre 2007
- iv -
TABLE
OF CONTENTS / TABLE DES MATIÈRES
PAGE
/ PARA
PHASE III
INTERVENTION BY / INTERVENTION PAR:
Okanagan College Students' Union 528 / 2741
Kris Michelson
University of B.C. Students' Union
Okanagan Nation Alliance 541 / 2797
Westbank First Nations
Young Life of Canada 565 / 2910
Jessanna Jones
Brodie Kalamen
Donagh Czerwinski
John McNickel
Okanagan Symphony Orchestra 594 / 3026
Minstrel Cafe and Bar 605 / 3076
Danny McBride
Phil McGrew
Rachel MacGregor
PHASE IV
REPLY BY / RÉPLIQUE PAR:
Deep Waters Media 625 / 3176
Radio CJVR Ltd. 625 / 3181
Northern Native Broadcasting 629 / 3210
Touch Canada Broadcasting 636 / 3248
Clear Sky Radio Inc. 637 / 3255
- v -
TABLE
OF CONTENTS / TABLE DES MATIÈRES
PAGE
/ PARA
PHASE IV (Cont'd)
REPLY BY / RÉPLIQUE PAR:
CTV Limited 638 / 3262
Harvard Broadcasting Inc. 645 / 3295
Sun Country Cablevision Ltd. 653 / 3340
Vista Radio Ltd. 656 / 3359
PHASE I
PRESENTATION BY / PRÉSENTATION PAR:
Community Media Education Society 658 / 3371
PHASE II
INTERVENTION BY / INTERVENTION PAR:
TELUS 702 / 3605
PHASE III
REPLY BY / RÉPLIQUE PAR:
Community Media Education Society 712 / 3649
- vi -
TABLE
OF CONTENTS / TABLE DES MATIÈRES
PAGE / PARA
PHASE I
PRESENTATION BY / PRÉSENTATION PAR:
Jim Pattison Broadcast Group Ltd. 718 / 3670
PHASE II
INTERVENTION BY / INTERVENTION PAR:
Vista Radio Ltd. 761 / 3869
PHASE III
REPLY BY / RÉPLIQUE PAR:
Jim Pattison Broadcast Group Ltd. 778 / 3956
Kelowna,
B.C. / Kelowna (C.‑B.)
‑‑‑ Upon resuming
on Thursday, November 1st, 2007
at 0900 / L'audience reprend le jeudi
1er novembre 2007 à 0900
LISTNUM
1 \l 1 \s 27372737 THE
SECRETARY: Good morning. We will now continue with Phrase III in which
intervenors appear in the order set out in the agenda to present their
intervention.
LISTNUM
1 \l 12738 For
the record, we have been informed that Westside Warriors Junior A Hockey Club
listed on the agenda will not be appearing at the hearing.
LISTNUM
1 \l 12739 I
would now call Okanagan College Students' Union, Kris Mickelson and University
of B.C. Students' Union to appear as a panel to present their interventions.
LISTNUM
1 \l 12740 We
will start with Mr. Dave Lubbers, who is representing both the Okanagan
Students' Union and the University of B.C. Students' Union. Mr. Lubbers, you have ten minutes for your
presentation.
INTERVENTION / INTERVENTION
LISTNUM
1 \l 12741 MR.
LUBBERS: Thank you. Can everyone hear me okay?
LISTNUM
1 \l 12742 Good
morning, Madam Chair and the rest of the panel and everybody else here.
LISTNUM
1 \l 12743 My
name is David Lubbers. I am the outgoing
Executive Chair of the Okanagan College Students' Union, and I sit on the
executive as the external coordinator for the University of British Columbia
Students' Union here in the Okanagan.
LISTNUM
1 \l 12744 I
have represented students in the Valley for the last four years, which covers
roughly 9,000 students spanning from Osoyoos to Salmon Arm, most of whom reside
in the Kelowna area. During that time I
have looked after services such as transportation improvement, low income
housing, environmental campaigns, and affordable education for students, as
well as campus life, such as promoting events at the college and the
university, often booking musical events for students.
LISTNUM
1 \l 12745 I
am proud to be a part of a growing community of students here in the
Okanagan. It is worth pointing out that
UBC Okanagan and the Okanagan College Students' Union are some of the only
institutions in British Columbia that have actually seen significant growth in
the last two years. This is an area that
many people don't realize is really a youth town, as well as a town that is,
you know, a little bit older. It is
becoming more of a college town all the time.
LISTNUM
1 \l 12746 This
is a place where youth are coming to become educated, and as well as to enjoy
everything that British Columbia, particularly the Okanagan, has to offer.
LISTNUM
1 \l 12747 That
being said, I think that there are places that we could improve. We have, over the last few years, booked
several bands at our pub, such as Tegan and Sara, All Night Long, Cold
Driven. Some of these are local bands. Tegan and Sara is not. I believe it is from Vancouver. These bands sell out every time they come to
our campus. The last time actually Tegan
and Sara performed, I often have to work the door unfortunately, and a
gentleman offered me $120 in cash to get in because we were sold out and the
line up was so far out the door.
LISTNUM
1 \l 12748 These
are not things that people are hearing on the radio, and it begs the question,
if radio in our community is like a pie, it often seems like we are missing a
piece of that pie. We have several radio
stations in town, and I think they do a very good job of servicing a lot of the
people who we have in our community, but I don't see that we have a radio
station that services the demographic that I represent, students ranging from
the age of 17 years old to returning students who are in their early 30s coming
back to university.
LISTNUM
1 \l 12749 It
is difficult to get the type of music that people are interested in. I hear a lot of stories about how radio has a
chance to dictate what is cool to students, and the general consensus is that
they are doing a bad job of dictating to them and that students may be able to
have more input in it.
LISTNUM
1 \l 12750 It
is also worth pointing out that in this area a lot of the growth that we are
experiencing is not local. It is
students who are coming from Alberta and Ontario and the Maritimes who want to
come here, and when I meet with them, sometimes we have to go for a drive and
when I hop in the car, they ask me to turn the radio station off because the
radio stations are not giving them what they have grown to expect in other regions
of the country.
LISTNUM
1 \l 12751 Another
point is in a world where most students have instant access to music on their
iPods or on a CD, the relevance of radio is not necessarily to get the music
that you want to listen to solely, because you could get that other ways. But in reality radio is an important venue to
connect students to the community and to talk about issues that they really
care about.
LISTNUM
1 \l 12752 While
I hear a lot of things on the radio that I am sure very important to a great
number of people in this community, I am not hearing about the issues that
matter to students like better public transportation, low income housing
concerns, high prices of rent. These are
issues that really matter to students and it would be nice to have that kind of
connection to the community.
LISTNUM
1 \l 12753 Events
is another thing. I often hear about
events that are happening in town, word of mouth after they happen, and these
are events that people in my schools would very much like to go to, but they
are not getting the opportunity to hear it on the radio because they are
missing out on these things.
LISTNUM
1 \l 12754 The
other thing that I believe radio can have an important role in is connecting
not just the community to the campuses, but the campuses to the community. For instance, we participated in the World
Make Poverty History Day two weeks ago, and there was not one member of the
radio there. We had people from television
there; we had members of the print media there; but there were no representatives
from radio there. Why is that? Surely these things are important. There is youth in the community, it clearly
matters to them, but the current radio situation that we have is not fulfilling
that need.
LISTNUM
1 \l 12755 I
think that what students are going to be looking for is a new way where they
can get involved in radio and feel like they are a part of it, where they can
share their experiences.
LISTNUM
1 \l 12756 I
know myself, and I think Kris will probably back me up, that things like Facebook
and My Space are becoming much more than just a networking tool. They have become the end of spare time. This is what people my age do. I come home after a long day at school and I
log on to my computer and I see what is going on, and I like to be able to
manipulate things and I like to be able to play with things.
LISTNUM
1 \l 12757 I
do think that AIR‑FM has an interesting proposal, and I think that it
will appeal to a younger demographic who are looking to maybe explore radio in
a new way that hasn't been looked at before and give them an opportunity to
dictate to radio what they think is cool.
LISTNUM
1 \l 12758 Thank
you.
LISTNUM
1 \l 12759 MR.
MICKELSON: Thanks very much, Dave. Good morning, Madam Chair, Commissioners and
staff.
LISTNUM
1 \l 12760 My
name is Kris Michelson, and I would like to thank you for the opportunity to
speak to you today about radio in Kelowna from a young person's perspective.
LISTNUM
1 \l 12761 I
would just like to start off to let you know a little bit about myself. I am 26 years old, originally from Vancouver
Island and I have lived in the Okanagan for the past seven years and in Kelowna
for the past six years.
LISTNUM
1 \l 12762 I
graduated from the Okanagan University College in Business in 2006, and while I
attended college here, my summers were spent working on some of Kelowna's large
summer festivals and events, including the Dragon Boat Festival, where I was
responsible for setting up and managing all aspects of the events.
LISTNUM
1 \l 12763 This
led me to being hired by the city of Kelowna to monitor and liaise with over 50
events over the past summer from approximately May to October. As a result, I have now started my own events
company, Eventis Management.
LISTNUM
1 \l 12764 We
are pleased to be partnering our freestyle mountain bike event with Volleyfest,
which happened this year, In Kelowna and City Park of August of next year.
LISTNUM
1 \l 12765 This
event encompasses some of the world's best professional beach volleyball
players, world's top ranked professional mountain bikers, music, live
entertainment, fashion shows and community interactive activities.
LISTNUM
1 \l 12766 Now
I would just like to spend a bit of time about radio here in Kelowna. When I first heard of the idea of AIR‑FM,
I was really interested because I thought it would be good to have a station
that really focuses on young people in Kelowna because it has been my
experience that young people, instead of being tuned into local radio here, are
actually tuned out.
LISTNUM
1 \l 12767 Most
kids that I know don't listen to radio now a days. Instead they download their music directly
from the internet. They say things to me
constantly like the songs played today are always the same, they don't play new
stuff ever, and the news that is being portrayed isn't of interest to them.
LISTNUM
1 \l 12768 I
know from a young person's perspective we are really interested in the new and
upcoming musicians and artists that are not too well known yet, rather than
usual top 40 songs that we constantly hear.
LISTNUM
1 \l 12769 I
was also really interested in the interactivity of AIR‑FM. Young people today are totally look hooked up
to technology from their cell phones and iPods to the internet. To combine old technology of radio with new
technology is very appealing for young people.
LISTNUM
1 \l 12770 I
heard a story about three young local female artists that formed a group, and
apparently they are absolutely amazing vocalists and musicians. They actually went to all the troubles of
creating a CD with support from their parents, and they tried to get some air
time to showcase themselves.
Unfortunately, they were unable to access air time just due to the fact
that they were new and not that well known yet.
Eventually they stopped creating music all together because of the lack
of opportunity here in the local music scene.
LISTNUM
1 \l 12771 It
is very upsetting to know that these young talented women did not get a fair
chance to be recognized.
LISTNUM
1 \l 12772 With
an interactive station in Kelowna, it will enable emerging local artists the
opportunity to display their talents right here in our community. From a business perspective, it would be very
helpful to be able to reach young people about Volleyfest and the freestyle
mountain bike event on a station that young people actually listen to.
LISTNUM
1 \l 12773 Currently
there are not any vehicles present that allow local businesses and industries
to advertise directly to the young demographic.
Unfortunately, we must access our target markets indirectly, such as
media outlets that cater to a wind range of demographic ages.
LISTNUM
1 \l 12774 Also,
AIR‑FM would allow event organizers to gain direct feedback from the
target market through the interactive aspect of the station, and that is
something that is not easily accessible for organizers today at all.
LISTNUM
1 \l 12775 A
few weeks back a thought came to me as I was listening to a local station. Although it is important for a community to
be updated on traffic problems, speed traps ahead, et cetera, I feel there is a
large area of important topics concerning youth today that are completely
absent. AIR‑FM has the potential
to speak about local problems that our youth are facing every day, from more
simple problems such as bullying to more serious ones such as drug and alcohol
abuse. This, in turn, could be a great
way to educate and offer support to young people here in Kelowna.
LISTNUM
1 \l 12776 I
personally believe this station has the opportunity to reach a young, growing
market of individuals who have voices and ideas that are not currently being
heard.
LISTNUM
1 \l 12777 Thank
you very much for giving me the opportunity to speak to you today in support of
the AIR‑FM application, and I would like to invite any questions from the
Commission for myself or Dave.
LISTNUM
1 \l 12778 THE
CHAIRPERSON: Mr. Lubbers and Mr.
Mickelson, thank you very much for being here.
LISTNUM
1 \l 12779 Do
my colleagues have any questions?
LISTNUM
1 \l 12780 Mr.
Lubbers, thank you. We don't get to hear
a lot from students and I am hoping this is just as much an educational
experience for you as it is for us to hear from you. Also, thank you very much for reminding me of
my pub nights in university. Our pub was
called The Blind Duck. I guess it is a
good thing I still remember its name.
LISTNUM
1 \l 12781 You
said a lot of interesting things in terms of what your peers expect but are not
getting from radio currently. We know
that there are many sources for music.
You both mentioned the internet and downloading music. We have been told that five years ago there
was only one source of music and that was radio. Now there is as many as ten and tomorrow
there could be 15 or 20. So we know all
that.
LISTNUM
1 \l 12782 Why
do you think that the AIR‑FM proposal, given its 360 degree model that
will include streaming and downloading and uploading and blogs and all of the
elements that make up that 360 degree experience, why do you think that that
will then draw your peers to listen to the radio station itself?
LISTNUM
1 \l 12783 In
other words, if everything surrounding the radio station, will that not satisfy
what their needs are in terms of the kind of music they want to hear because
they are going to hear it on the website.
What will draw them to turn on the radio and tune to the AIR‑FM
dial when they are in their cars, their dorm rooms, wherever, instead of
wearing their iPods?
LISTNUM
1 \l 12784 MR.
LUBBERS: First of all, I would like to
bring you back to the idea that radio is a medium to communicate things like
events and issues. I mean, you are not
going to be able to easily go on the internet and find out what is happening as
far as sustainable transit initiatives in Kelowna. That is a difficult Google search. You are not going to be able to go on and see
what the city council is doing for affordable housing.
LISTNUM
1 \l 12785 I
think that a youth‑oriented radio station, however, can bring those
messages to a youth audience, and I think that that is going to make it
relevant and important to them.
LISTNUM
1 \l 12786 But
secondly, and perhaps more importantly, is that students like to feel that they
matter. There is a very wide perception
among people my age that there are folks up there in suits who don't care about
what I have to say and they don't really care what I listen to, as long as I
buy their stuff. But AIR‑FM'S
proposal to make things interactive, to use people's playlists, to do those
things allows students to feel like they are part of the process and that their
voice really does matter.
LISTNUM
1 \l 12787 I
think that is what is going to hook people on to that radio station is that
interactivity that they are relevant and they can tell others, look, this is
who I am, this is what I want to see. I
really think that that is the hook.
LISTNUM
1 \l 12788 MR.
MICKELSON: I definitely have to agree
with Dave. I think young people, the
internet generation, millennium generation, so to speak, really like to be
involved in things. If they could see
themselves being involved in creating what is the content going on air, I think
they would like to be listening to what some of their peers and some of their
friends may have to say or seeing a local group actually making it somewhere
and getting some recognition.
LISTNUM
1 \l 12789 I
think that is the biggest thing is for the youth to be involved in order to get
them involved in listening.
LISTNUM
1 \l 12790 THE
CHAIRPERSON: Thank you both very much
for coming here today.
LISTNUM
1 \l 12791 Madam
Secretary.
LISTNUM
1 \l 12792 THE
SECRETARY: Thank you very much.
LISTNUM
1 \l 12793 For
the record, there has been a schedule change.
We will proceed first with Okanagan Nation Alliance and Westbank First
Nation, followed by the panel of intervenors for Touch Canada.
LISTNUM
1 \l 12794 I
would now call Okanagan Nation Alliance and Westbank First Nation to come up to
the presentation table.
‑‑‑ Pause
LISTNUM
1 \l 12795 THE
SECRETARY: I would now call the Okanagan
Nation Alliance and Westbank First Nation to appear as a panel. We will start with the Okanagan Nation
Alliance.
LISTNUM
1 \l 12796 Please
introduce yourself, and you will have ten minutes for your presentation.
INTERVENTION / INTERVENTION
LISTNUM
1 \l 12797 MR.
LOUIE: Good morning. Madam Chair, honourable Commissioners,
(another language spoken here) to the Westbank First Nation territory. We are the Nsyilx people, Okanagan people,
the people of this land and we have lived here for thousands and thousands of
years. (Another language spoken here)
Westbank First Nation. I am the Chief of
the Westbank First Nation. My Indian
name is Simoux (ph). It means being
connected to the lands. My English name
is Robert Louie. I represent my
community, the Westbank First Nation and also am a member of the Okanagan
Nation Alliance.
LISTNUM
1 \l 12798 With
me today is Tara Montgomery. She is our
communications officer for the Okanagan Nation Alliance. Tara will be reading the statement by our
Grand Chief, Chief Stewart Phillip.
LISTNUM
1 \l 12799 As
well, accompanying us is our Advancement Advisor for the Okanagan Nation
Alliance, Lorraine Johnson, and she is here to assist in the event that there
are questions that you might pose with regard to our presentation.
LISTNUM
1 \l 12800 What
we would like to do, Madam Chair, is to have the statement from the Okanagan
National Alliance read out first by Tara, and then I would like to offer
comments from the Westbank First Nation community.
LISTNUM
1 \l 12801 MS
MONTGOMERY: Good morning, Madam
Chairman, Commissioner members.
LISTNUM
1 \l 12802 Let
me first say that it is our shared history and experience, our language and our
strong connection to the land, our traditional territories, that binds the
seven member bands of the Okanagan Nation together. This is our strength. The seven bands represent the only First
Nation resident in the valley and we speak one language, Nsyilxcen.
LISTNUM
1 \l 12803 It
is our duty as a people to preserve, protect and build upon this heritage for
now and for the future. The Okanagan
Nation Alliance, representing the unanimous voice of all seven member bands of
the Okanagan Nation, does not support this application to provide FM radio
service to Kelowna, British Columbia.
LISTNUM
1 \l 12804 We
have examined NNB Terrace's proposal, read its clarifications in response to
CRTC questions and sat through their presentation before this hearing. We have watched NNB Terrace modify its position
in answer to points we raised in our written intervention, but after all this,
we are more convinced than ever that this application must be denied.
LISTNUM
1 \l 12805 We
believe that NNB Terrace is attempting to mislead the CRTC panel in the same
way it has the Okanagan Nation.
LISTNUM
1 \l 12806 To
begin, Chief Robert Louie of the Westbank First Nation was mentioned in the
context of providing encouragement and support for this application. This is false and misleading, but I will
leave that to Chief Louie to give you the facts.
LISTNUM
1 \l 12807 The
application contains other misstatements and fabrications to imply local
support. NNB Terrace has not been in
regular contact with Okanagan Native leaders for the last seven years. In fact, all the Chiefs of the Okanagan
Nation strongly oppose the application and have passed a Tribal Council
resolution in support of establishing our own radio station.
LISTNUM
1 \l 12808 The
panel should know that personnel from NNB Terrace were contacted by myself, the
Communications Officer, and Lorraine Johnson, our Advancement Advisor, in
October and November of 2006. We were
seeking advice and assistance from NNB Terrace in order to start our own
Okanagan Nation radio station.
LISTNUM
1 \l 12809 While
this contact was for fact finding, Mr. Barry Wall, Manager of NNB Terrace, who
I understand is no longer with the station, offered to do everything he could
to assist the ONA in setting up its own station. He offered all direction, help and support to
train staff, both in sales and production, as well as assistance in dealing
with CRTC for a licence, Industry Canada for technical approval, and Heritage
Canada for equipment funding.
LISTNUM
1 \l 12810 He
promised to send CFNR's technical specialist to the Okanagan to assess technical
needs and other costs.
LISTNUM
1 \l 12811 Myself
and Lorraine stressed that the programming would be heavily based on Okanagan
language and culture, with special focus on children and youth programming,
including stories from Elders and family language sessions. Lorraine then sent a memorandum of
understanding, outlining what NNB Terrace and the ONA had discussed to Mr.
Wall.
LISTNUM
1 \l 12812 Once
that memorandum went unanswered, we didn't hear any further from NNB Terrace
despite us phoning them and following up with e‑mails. So, when NNB Terrace claims there was no time
to notify the ONA of its application and blames the CRTC process for rushing
their application, they are being less than honest.
LISTNUM
1 \l 12813 They
knew exactly what the Okanagan Nation hoped for in a radio station, and they
knew exactly who to notify regarding their application. When the ONA learned of the NNB Terrace
application, we asked Mr. Wall to come and tell us how the new station would
fit with the model we had discussed. Mr.
Wall met with us on September 24th, 2007 and said that since they didn't have
the licence, it was pointless to discuss programming and language
concerns. He was not interested in
creating an Okanagan board position and was generally uncooperative.
LISTNUM
1 \l 12814 In
our opinion, the NNB Terrace application does not meet the requirements for the
Native undertaking as defined by CRTC guidelines.
LISTNUM
1 \l 12815 Our
objections are as follows:
LISTNUM
1 \l 12816 Target
audience. The application does not
mention the Okanagan Nation by name or identify the nation as its target
audience. It provides no evidence of any
knowledge specific to the particular market and offers no guarantee that its
programming will "reflect the interests and needs specific to the Native
audience it is licensed to serve" as in the CRTC Native Broadcasting
Policy Public Notice 1990‑89 dated the 20th of September, 1990.
LISTNUM
1 \l 12817 Ownership. This application is presented by a non‑profit
organization owned and controlled and directed by a board made up of
individuals from well outside the Okanagan region.
LISTNUM
1 \l 12818 Board
representation. The application does not
offer a structure that provides for board membership by the Native population
of the region served. The CRTC Native
Broadcasting Policy. The application
does not call for a separate governing body for the Okanagan region, nor does
it designate any Okanagan positions on its existing Board of Governors.
LISTNUM
1 \l 12819 Our
language concerns are as follows: The
revised application promises just one hour a week, .79 per cent of program time
in the Okanagan language, raised to 1.5 hours yesterday at the hearing. This minimal language programming does not
fulfil the CRTC mandate of fostering the preservation of ancestral languages,
as mentioned in your Native Broadcasting Policy.
LISTNUM
1 \l 12820 Our
cultural concerns. Cultural programming
is not addressed in the application at all.
It offers news, horoscopes, road reports, community events listings and
phone‑in shows as poor substitutes.
This falls short of the CRTC mandate of fostering the development of
aboriginal cultures.
LISTNUM
1 \l 12821 Education
and youth programming. The NNB Terrace
application does not include educational programming or any programs designed
to attract younger listeners. This
ignores and excludes a significant segment of the Okanagan Nation population
and will make it difficult, if not impossible, to develop and sustain loyal and
growing audiences.
LISTNUM
1 \l 12822 Public
examination. The application was two
locations for public examination, the first NNB Terrace head office, which is
1262 kilometres from Kelowna; the other the Westbank First Nation which has
never received a copy of the application or a request to display such a document
in a prominent location at its offices.
As a consequence, the CRTC's public examination requirement remains
unfulfilled.
LISTNUM
1 \l 12823 Misrepresentation
of local support. The application
contains serious misstatements and fabrications to imply local support. NNB Terrace has not been in regular contact
with the First Nations leaders of our community for the last seven years.
LISTNUM
1 \l 12824 Lost
opportunity. Granting an aboriginal
broadcasting licence to Northern Native Broadcasting (Terrace) will make it
impossible for the Okanagan Nation to develop its own community radio
station. Preliminary work has already
begun toward filing an application to the Commission to accomplish that goal
and NNB Terrace was well aware of the Nation's intent to develop its own
station to serve the Okanagan.
LISTNUM
1 \l 12825 The
Okanagan Nation Alliance sees the NNB Terrace licensing application as an
opportunistic attempt to expand into a much larger urban market without any
demonstrated knowledge of the market of the First Nations communities to be
served.
LISTNUM
1 \l 12826 Northern
Broadcast Service is designed to reach rural isolated First Nations communities
that are not served or poorly served by radio.
These communities are separated by large distances and perhaps by
differences in language, dialect or culture.
To accommodate this, NNB Terrace has adopted a one‑size‑fits‑all
approach to broadcasting that downplays language or cultural content in favour
of music, interspersed with general interest items and some First Nations
content.
LISTNUM
1 \l 12827 NNB
Terrace's format may be acceptable to its northern audience, but it does not
serve the Okanagan First Nation audience or the Okanagan market.
LISTNUM
1 \l 12828 The
ONA Chiefs' Executive Council is dedicated to the following communication
goals: To preserve and revive the
Okanagan language and culture, especially among youth; to improve
communications among the seven member bands to strengthen the Nation; and to
bring an Okanagan Nation perspective on issues to a broader audience and
improve relations with the outside community.
LISTNUM
1 \l 12829 The
NNB Terrace application does not address and will not accomplish any of these
communications objectives. The panel
should be aware that the Okanagan Nation has its own college, the En'owkin
Centre, which teaches Nsyilxcen language courses and offers instruction in
media and communication. In addition,
the ONA has an excellent working relationship with Okanagan College and the University
of British Columbia Okanagan. The will
and the infrastructure exists locally to accomplish our goal of an Okanagan
Nation radio station.
LISTNUM
1 \l 12830 Granting
this licence to NNB Terrace will destroy any chance of building an Okanagan
First nations radio station that would be a worthwhile addition to Native
broadcasting in Canada and a complement to the local broadcasting community.
LISTNUM
1 \l 12831 One
of the presenters from NNB Terrace stated that they would not move forward if
Okanagan Chiefs were not in agreement, and we are not in agreement and we do
not support Application 2007‑0863‑8 for a new FM station in
Kelowna. We ask that CRTC deny this
application.
LISTNUM
1 \l 12832 Thank
you for this opportunity to speak to the Commission. Lim limp.
LISTNUM
1 \l 12833 MR.
LOUIE: Madam Chair, if I may speak now?
LISTNUM
1 \l 12834 THE
CHAIRPERSON: Yes.
LISTNUM
1 \l 12835 MR.
LOUIE: Thank you. Lim limp.
LISTNUM
1 \l 12836 Madam
Chair, honourable Commissioners, as Tara has indicated, not only does the
Okanagan Nation Alliance collectively not support this application, the
Westbank First Nation does not support the application by Native Northern
Broadcasting to provide FM radio service to this city.
LISTNUM
1 \l 12837 I
know that Native Northern Broadcasting (Terrace) has mentioned my name as one
who has encouraged and supported their application.
LISTNUM
1 \l 12838 It
is very awkward for me. I very much view
the First Nation from Terrace as my friends.
I know Chief Bennett and his people and I know quite a bit about the
community and their connection with the radio station. I have had past discussions with the people
from Terrace, but this application is done without proper consultation.
LISTNUM
1 \l 12839 I
should also point out some salient facts.
LISTNUM
1 \l 12840 There
are not 12 First Nations represented in the Okanagan Valley as Native Norther
Broadcasting (Terrace) claims. In fact
there is one First Nation collectively, and we refer to that nation as the
Okanagan Nation, as composed of seven bands.
That is the Okanagan band to the north, Westbank First Nation here
Kelowna, Westbank, Penticton band, Osoyoos band, Upper Similkameen, Lower
Similkameen and also the Upper Nicola band outside of Merritt.
LISTNUM
1 \l 12841 As
Tara has mentioned, our language is Nsyilxcen.
We are the Nsyilx people, the Okanagan people. As well, I should point out that while had in
the past occupied this land before Europeans arrived, our population has
considerably dwindled. We do not unfortunately
make up the 15 to 20 per cent population in the Okanagan as it is right now.
LISTNUM
1 \l 12842 The
statistics are closer to 3 per cent of the population now is comprised of the
Okanagan people, who live off reserve.
LISTNUM
1 \l 12843 So,
there are misconceptions about the Okanagan Valley and about our residents who
live here.
LISTNUM
1 \l 12844 For
the information of the panel members, I should explain that my community,
Westbank First Nation, we have self‑government. Our legislation came into effect on April 1,
2005, after two decades, almost two decades, 17 years of community consultation
and tedious negotiations.
LISTNUM
1 \l 12845 The
decision for my community to seek self‑government was not taken lightly
and our road to this realization was a long one but it was finally granted to
us. We have certain rights and responsibilities
that we, as the Westbank First Nation take very, very seriously.
LISTNUM
1 \l 12846 One
of our responsibilities includes, and I quote, jurisdiction in relation to the
preservation, promotion and development of Okanagan culture and language on
Westbank lands. That is pursuant to our
self‑government agreement, Part 15.
LISTNUM
1 \l 12847 So,
it is indeed troubling to discover that Native Northern Broadcasting (Terrace)
proposes to operate a native broadcasting service on our lands and traditional
territories.
LISTNUM
1 \l 12848 We
have four objections to this application.
They are very straight forward and they are quite simple.
LISTNUM
1 \l 12849 Firstly,
our community, the Westbank First Nation, was not informed properly or
consulted properly prior to or after this application.
LISTNUM
1 \l 12850 Secondly,
the Westbank First Nation is listed as a public examination location but we
have never received any documents, notifications or copies of the application
from Native Northern Broadcasting (Terrace).
You can't consult after the fact, in other words. You can't indicate a location when none has
been applied for.
LISTNUM
1 \l 12851 Thirdly,
the application does seriously misrepresent local First Nations support.
LISTNUM
1 \l 12852 Fourthly,
the application is, quite frankly, woefully deficient in programming content,
as Tara has explained, the content of interest to our local First Nations
audience.
LISTNUM
1 \l 12853 Further
background on each of these four items, very briefly, the lack of consultation.
LISTNUM
1 \l 12854 As
I have explained, we are a self‑governing entity. We should have been informed of the broadcast
application in its fullest details. We
should have had the application given to us.
We should have had some meetings with the people, especially since we
have jurisdiction over our culture and language on our lands. We are surprised that the broadcast studio
might be located in our community, Westbank, as I understand the application
suggests. As I have indicated, we have
received no formal request from Native Northern Broadcasting (Terrace).
LISTNUM
1 \l 12855 Undoubtedly
had this taken place, this would involve leasing arrangements, business
licences that we have jurisdiction over on Westbank lands and something that is
very much part of this application for a location.
LISTNUM
1 \l 12856 Secondly,
public examination. Our offices was
listed, as I indicated, as a location where the general public could examine
the broadcast application. I have asked
our staff to take a thorough search from our staff, our personnel have gone
through the Canada Post courier, e‑mail receptions and any other
documentation that might have been submitted.
We have failed to find any documents or notifications from Native
Northern Broadcasting (Terrace). There
have been verbal discussions seven to eight years ago with myself with Native
Northern Broadcasting. I admit that and
certainly I will comment further upon your questions.
LISTNUM
1 \l 12857 As
far as a public examination, we can only conclude that the documents were never
sent to us. So, the CRTC requirement of
public examination has, quite frankly, not been fulfilled.
LISTNUM
1 \l 12858 Thirdly,
the local support. Including my
community, the Westbank First Nation in this application and the CRTC
application before you without our knowledge or consent breaches First Nations
protocol and, quite frankly, again offends business ethics. It is seen by us as a back door approach to
gain this broadcast licence, intended to convey the impression that our
community supports this application, which we do not.
LISTNUM
1 \l 12859 The
Okanagan Nation Alliance Chiefs Executive Council have met. We concluded that no Chiefs or band councils
have been in regular or continuing contact with Native Northern Broadcasting
(Terrace) regarding a native broadcasting station as they maintain in their
application. We have seven Chiefs
involved along with their council.
LISTNUM
1 \l 12860 Fourthly,
the program content of it. Their
application contains programming which at this point seems of little interest
to our Okanagan Nation. The language
commitment is less than 1 per cent of program time per week. This is unacceptable to us. We cannot think of any other Native
undertaking with the language component under 5 per cent of program time. We know of some stations in Ontario that
devote as much as 90 per cent of their air time to Native languages and
culture.
LISTNUM
1 \l 12861 So,
in our viewpoint this application is more similar to a commercial radio
station, playing old rock and roll music, and masquerading as a Native
undertaking. This is unacceptable to us.
LISTNUM
1 \l 12862 In
conclusion, an Okanagan Nation radio station reflecting the language and
culture needs to be specific to our nation, to our stated goals as a people and
our stated goals, from the Chief's Executive Council of the Okanagan Native
Alliance, have not been met.
LISTNUM
1 \l 12863 It
should be owned and controlled by a non‑profit organization, with board
membership drawn from the First Nation population of the Okanagan, our people. Much work has already been accomplished to
this end, and perhaps this is something that Native Northern Broadcasting may
be somewhat aware, but a lot of work and a lot of discussion has been put
towards ourselves as a people making an application to CRTC for our own radio
station.
LISTNUM
1 \l 12864 We
expect, my community, the Westbank First Nation expects that we will be
prepared to submit our application for a Native undertaking to yourselves
certainly within the next 12 months. We
hope to have it much, much sooner than that.
LISTNUM
1 \l 12865 My
council, my community that I represent, requests that the CRTC deny the
application for this Native Northern Broadcasting 2007‑0863‑8 for a
new FM radio station in Kelowna, B.C. It
is unfortunate that this has not been further discussed with the people who
have made this application. We regret
that, and I am certainly prepared to answer any questions that you might have
regarding any conversations we have had in the past, more so in the last seven
to eight years past, not recently.
LISTNUM
1 \l 12866 A
lot of effort has been put by our people and consideration has been given to
having an application sent before you.
We fully intend to do that. You
will be hearing our application, should you deny this application, and we
commit to you to have this before you within the expedient time necessary to
have this heard.
LISTNUM
1 \l 12867 Thank
you for your time and the opportunity to present our views at this public
hearing.
LISTNUM
1 \l 12868 THE
CHAIRPERSON: Thank you very much, Chief
Louie.
LISTNUM
1 \l 12869 I
will ask Commissioner Williams to begin the questioning.
LISTNUM
1 \l 12870 COMMISSIONER
WILLIAMS: Good morning and welcome to
our hearing, Chief Louie and fellow panellists.
LISTNUM
1 \l 12871 Yesterday
we heard from Mr. Bartlett in answers to questions about consultation. He felt it was a very detailed complex
process and it would take a large amount of time and there wasn't sufficient
time in order to do that. Can you
comment on that, please?
LISTNUM
1 \l 12872 MR.
LOUIE: We are involved in consultation
with all kinds of groups: Mining,
forestry, developers, everyone that involves lands in our area.
LISTNUM
1 \l 12873 Quite
frankly, we see this as, when you are talking about consultation, if you are
talking forest, for example, if you cut down the trees and then come to us and
say we cut down the trees, is that right?
That is how we see this application.
The licence is granted. Why is
there need for consultation? That is
after the fact.
LISTNUM
1 \l 12874 Consultation
by law, as we understand it, by law, when we are looking at things like
forestry and mining and so forth ‑‑ and we view this as no
exception ‑‑ should be properly done, and that is before
hand. We should be sitting down and
perhaps had that occurred, perhaps we could have worked out some sort of an
arrangement that would be mutually beneficial.
LISTNUM
1 \l 12875 We
are in a very awkward position right now with this hearing and with the non‑consultation
that should have been properly done, taken after the fact.
LISTNUM
1 \l 12876 COMMISSIONER
WILLIAMS: You have invited us to ask you
so I will ask you. Could you please
describe the nature of your prior conversations with the applicant over the
past seven years or so?
LISTNUM
1 \l 12877 MR.
LOUIE: By all means. In my other capacity as Chairman of the Lands
Advisory Board I have travelled to many communities across Canada, assisting
First Nations to get into land management, and I have done so with this
community at Terrace.
LISTNUM
1 \l 12878 I
know the Chief very well. I know most of
the council members very well and I know many of the community members very
well.
LISTNUM
1 \l 12879 Some
time ago, and I am looking at my records and trying to recollect, it is
somewhere in the seven, eight years ago, certainly I have been at the community
and spent a fair amount of time looking over their lands, understanding what
sort of land jurisdiction they were seeking, and had the opportunity to view
their radio station. Certainly I had
discussions with their Chief, executive people, with their radio announcers and
even did some interviews with Native Northern Broadcasting.
LISTNUM
1 \l 12880 Our
discussions were looking at, well, what about the expansion of Native Northern
Broadcasting to other areas. I indicated
that we were certainly looking at this; perhaps we could work out some sort of
arrangement; perhaps this would be a good idea.
We are looking for experienced people, experienced radio station, so,
yes, at that time we had some discussions.
They were cordial discussions. We
have never followed up with anything beyond that, outside of their offices at
Terrace.
LISTNUM
1 \l 12881 I
know they had some interest. I didn't
know where they would end up going, whether it would be Prince George or other
places, Williams Lake. I don't know
exactly the full extent of Native Northern Broadcastings' coverage, but I know
they have some good people up there, and I am friends with most of the people,
I think, at least associated with the council.
They are very good people.
LISTNUM
1 \l 12882 But
here, unfortunately, no, there has been no follow up discussions. As I have clearly indicated we have not
received any documentation, anything of any significance, and this is
unfortunate, as it is, and is awkward, very awkward for me to speak against the
First Nation who I very much admire, very much respect, and it has put me into
a very awkward position. But that is the
actual facts.
LISTNUM
1 \l 12883 COMMISSIONER
WILLIAMS: Thank you, Chief Louie.
LISTNUM
1 \l 12884 Just
to summarize, I guess your intervention this morning, you are saying there is
no local support, no consultation, no or very little local reflection, no local
ownership, no local management, the application is not good enough for the
Okanagan people and then you recommend that we do not license it. Would that be an effective summary of your
presentation?
LISTNUM
1 \l 12885 MR.
LOUIE: I think that would be almost
exact.
LISTNUM
1 \l 12886 COMMISSIONER
WILLIAMS: I guess I have one question at
the end of that.
LISTNUM
1 \l 12887 Is
there any opportunity for you two groups to work together after?
LISTNUM
1 \l 12888 MR.
LOUIE: Perhaps.
LISTNUM
1 \l 12889 COMMISSIONER
WILLIAMS: In the event that we did deny
a licence?
LISTNUM
1 \l 12890 MR.
LOUIE: I think perhaps. I would certainly welcome that
opportunity. I think these people have a
lot of good experience and I would welcome that opportunity. So I would hope that that would be possible.
LISTNUM
1 \l 12891 COMMISSIONER
WILLIAMS: Thank you very much, Chief
Louie. That concludes my questions.
LISTNUM
1 \l 12892 THE
CHAIRPERSON: Thank you.
LISTNUM
1 \l 12893 Just
for my own knowledge, Chief Louie, because your intervention also mentioned the
lack of aboriginal languages on this station as proposed, how many languages
are spoken in the Okanagan Nation?
LISTNUM
1 \l 12894 MR.
LOUIE: There is one language, that is
the Nsyilxcen as part of the Nsyilx people.
LISTNUM
1 \l 12895 THE
CHAIRPERSON: And that is spoken among
the seven bands that make up the Okanagan Nation?
LISTNUM
1 \l 12896 MR.
LOUIE: That is correct. I should indicate that Upper Nicola has a
partial occupation of Thompson people.
So there is some overlap, but they have participated and the majority
are Okanagan, and they are the Nsyilx people.
So, one language in the Okanagan Valley.
LISTNUM
1 \l 12897 THE
CHAIRPERSON: You wanted to add
something. Please go ahead.
LISTNUM
1 \l 12898 MS
MONTGOMERY: I just wanted to say that
the Nsyilxcen language also has old dialects as well in the Similkameen area
and people of the Similkameen. They
spoke a different dialect in Nsyilx, but since time has progressed, there are
less people who speak that old dialect and have more converted to ‑‑
it is like the language has kind of evolved into this language, but there was
that old dialect of the Simillkameen people.
LISTNUM
1 \l 12899 THE
CHAIRPERSON: Thank you for that. I was going to ask you a whole bunch of
questions about demand for a radio station in this area, what kind of radio
station you would like to see, but since you have told us that you would
probably be filing an application for us, I am going to avoid those questions
and allow you to tell us that information in your application.
LISTNUM
1 \l 12900 Thank
you very much for your intervention here today.
LISTNUM
1 \l 12901 Madam
Secretary.
LISTNUM
1 \l 12902 MR.
LOUIE: Lim limp, Madam Chair; lim limp,
Commissioners. Thank you for this
opportunity.
LISTNUM
1 \l 12903 THE
SECRETARY: Thank you.
LISTNUM
1 \l 12904 I
would you call Young Life of Canada, Jessanna Jones, Brodie Kalamen and Donagh
Czerwinski to appear as a panel to present their interventions.
LISTNUM
1 \l 12905 Please
proceed to the presentation table.
LISTNUM
1 \l 12906 THE
CHAIRPERSON: We have just been informed
that one of the other intervenors who was to appear on this panel have a little
bit of a plane delay and is in a cab on his way to the hotel from the airport,
so we are going to take a break at this point.
Sorry to have called you up here.
We will take a 20 minute break.
We will be back at 10:10.
LISTNUM
1 \l 12907 Thank
you.
‑‑‑ Upon recessing
at 0950 / Suspension à 0950
‑‑‑ Upon resuming
at 1009 / Reprise à 1009
LISTNUM
1 \l 12908 THE
SECRETARY: I would now call Young Life
of Canada, Jessanna Jones, Brodie Kalamen and Donagh Czerwinski to appear as a
panel to present their intervention.
LISTNUM
1 \l 12909 We
will start with Jessanna Jones. You will
have ten minutes for your presentation.
INTERVENTION / INTERVENTION
LISTNUM
1 \l 12910 MS
JONES: Thank you so much.
LISTNUM
1 \l 12911 Good
morning, Madam Chair and the Commissioners.
My name is Jessanna Jones, as mentioned, and I live here in
Kelowna. I am a wife and a mother, as
well as a young adult, so I would like to present my case for why I really
strongly believe that Touch Canada would be a great choice for a new radio
station in Kelowna.
LISTNUM
1 \l 12912 Firstly,
I would like to just start off as a perspective as a young adult and how I
really strongly believe that there is a huge market niche out there for my age
group, for early 20s and late teens as far as the style of music that can be
playing and that a radio station that would have all these different varieties
of music that will reach all these different age groups I think is very
important.
LISTNUM
1 \l 12913 I
know for myself I am extremely excited to be able to take my music anywhere,
listening to it in the car and on the road, as well as at home. So having a radio station that will be
playing the type of music I already listen to at home would be a really good
thing.
LISTNUM
1 \l 12914 Second
of all, I would like to talk about the most important thing and that is being a
mother, a new mother of two kids and a third on the way, we just found out it
is another little boy so we are very excited about that.
LISTNUM
1 \l 12915 Having
said that, my priority and my focus is raising my children. We are really committed to wanting to raise
them in a healthy, wholesome surrounding and upbringing and instilling into
them our morals and our values.
LISTNUM
1 \l 12916 When
I look around at society today, unfortunately there aren't too many parts of
the media and things that are complimenting our values that we are trying to
instill at home especially when it comes to the radio.
LISTNUM
1 \l 12917 For
us in our scenario, we have a home of MP3 and CDs and stuff like that that we
listen to, but when we get out on the road unfortunately we only have a
cassette player, and so any kind of music we have in our house, being an MP3
and CDs we don't have cassettes. So my
children, who love music and my 3 year old always asking for it, is obviously
the radio. That is our option.
LISTNUM
1 \l 12918 When
I get into the car and we turn on the radio, their content and the lyrics and
the attitude of things that are being sung about aren't really appropriate for
a three year old. She is extremely smart
and inquisitive, and I know that this issue is just going to grow more and more
as her comprehension grows and her questions grow.
LISTNUM
1 \l 12919 So,
90 per cent of the content that I have been listening to on our local radio
stations aren't something that I would want my child to be listening to. The questions are starting to be raised. A lot of content is about sex and break ups
and a lot of negativity and things that we are not only trying to avoid at this
early of an age, but also wanting to instill our own values from the home.
LISTNUM
1 \l 12920 So,
for my child having to listen to these types of things is something we are not
into. So, we have been listening and
tuning into the classical station, I believe it is CBC or something like that,
that we can listen to often. Other than
that, there isn't really anything out there.
LISTNUM
1 \l 12921 I
know that I am not the only one that has this problem. I know many, many young mothers. I am really well connected here in the
community and we all have that similar thing.
LISTNUM
1 \l 12922 Whether
you are religious or not, you still want your children to be innocent and to
still be able to have good moral values in the home and that being complimented
and affirmed elsewhere, including the radio.
LISTNUM
1 \l 12923 Having
a radio station in the Okanagan that is going to do that is something that I
really think is important and I believe that there is a very broad audience for
it.
LISTNUM
1 \l 12924 When
I look around at society and I look around for the different role models that
there is for my young girl especially out there, there isn't necessarily one
that I really want her looking up to with the way they dress and what they talk
about and the content of the music and everything. I believe that it is not only disturbing, but
I don't believe that any good parent that is really looking out for the well‑being
of their children want their type of role model for them.
LISTNUM
1 \l 12925 So
I think having the option of other music will bring in other artists and stuff
that have more positive energy, positive values being instilled instead of the
normal kind of musical lyrics and stuff like that.
LISTNUM
1 \l 12926 I
am not saying that every single song played on radio today is evil and wrong
and bad and just plain awful for kids, but unfortunately it is a huge
percentage.
LISTNUM
1 \l 12927 So
that is something that I am really looking forward to having that other option
of having Touch Canada broadcasting as a station here in the Okanagan.
LISTNUM
1 \l 12928 The
other thing that I would like to mention is that whenever we go anywhere else,
such as Calgary or Edmonton, that is something we actually regularly listen to,
the first thing when we come into the city limits is tune into those radio
stations. I know the people there, they
listen to it, that we know, and enjoy it.
And it is something like I'm always, like, oh, why don't we have
something like this in the Okanagan. Why
don't we have this option to be able to listen to for ourselves as different
types of programmings for parenting and bringing up different issues, but also
for children. There is going to be
children programs and things like that that they can listen to and something
that you can just leave on freely, whether you are in the car or house and you
are not having to listen to the lyrics and listen to the content of the song
and be worried about what messages are being portrayed to your children that
are going to conflict with what you are trying to instill into them as just
even morality and just how you are supposed to live and be.
LISTNUM
1 \l 12929 I
don't know any parent, a good parent that wants the best for their children
wanting their children growing up thinking I want to go to a party or going to
parties where there is hooking up with others and drunkenness and even, dare I
say it drugs, because that is becoming such a norm. But if you look at the different role models
on the music stations, that is exactly what they portray. Even if it is artistic expression as an
excuse, it is still something that they are portraying and that kids are
looking up to.
LISTNUM
1 \l 12930 So
I really, really believe that there is a whole generation of children, I am
only 23, but I am not alone in this, I have many, many other young mothers,
play groups, walking groups and stuff like that that are all having children,
and I believe it is emerging of different age groups.
LISTNUM
1 \l 12931 I
have friends that just had their second and they are in their forties, as well
as mothers that are in their thirties.
It is a whole generation that is settling down and having children. So there is going to be a whole generation
coming up.
LISTNUM
1 \l 12932 As
a mother, young or old alike, we are concerned for what kind of examples are
going to be out there. So, having an
alternative radio station with alternative artists that are going to be
displaying their music and being proper role models is something that is
extremely imperative and I think needs to be really looked at.
LISTNUM
1 \l 12933 I
don't know about you, but as a mother, not even anyone that is religious but
just as a mother who wants their child to know that there are really cool
people that you want to be like out there that are expressing their art and
their music in a way that is classy, in a way that is not scandalous or sleazy but
something that is moral and right and something that can draw from the inside
the lyrics that are more challenging, not just same old sexual content,
partying and breaking up and singing about that.
LISTNUM
1 \l 12934 I
mean, that is great, that is part of life, we all have to get used to it some
time but that doesn't need to be the majority of everything.
LISTNUM
1 \l 12935 I
really want to stress that. I think it
is so important that we bring a Christian radio station into the Okanagan that
is going to offer different programmings for all sorts of different age groups,
but for sure one that is going to be hitting this new booming market of young
families. So, for parents and their
programs, for children and their programs, and then just general music because
as our children grow up, they will become teenagers and they will be changing
their different styles of music as well.
So, having a station that is going to be there throughout the
generations, a station that is going to be there to be safe and fun and the
parents are not going to have to worry about what is going to be listened to.
LISTNUM
1 \l 12936 I
think it is a start. It is obviously not
the answer to all the troubles in society but it is something; it is an
option. And I think that it will definitely
be the start of good for our kids and for our future.
LISTNUM
1 \l 12937 Thank
you so much. That is everything. If you have any questions, otherwise, Donagh.
LISTNUM
1 \l 12938 MS
CZERWINSKI: Good morning, Chair and
Commissioners.
LISTNUM
1 \l 12939 My
name is Donagh Czerwinski. It is very
common for that name to be said extremely wrong, but that is okay.
LISTNUM
1 \l 12940 THE
CHAIRPERSON: I can relate.
LISTNUM
1 \l 12941 MS
CZERWINSKI: I am a registered nurse at
KGH here in Kelowna. I grew up in Winfield
when it was called Winfield, not Lake Country.
I was then unchurched and unfamiliar with anything that was Christian.
LISTNUM
1 \l 12942 When
I was 18 I moved to the Lower Mainland for ten years and at that time I did
become a Christian. While living in the
Lower Mainland I discovered Christian radio and I was exceedingly
delighted. Eight years ago I moved back
to Kelowna where my husband and I are raising are family.
LISTNUM
1 \l 12943 The
one big thing I have missed since moving back to the Okanagan Valley has been
Christian radio. My husband and I have
both talked about it. He has lived in
Calgary. He has listened to the Shine
FM. We both really missed not having
that kind of content on the radio.
LISTNUM
1 \l 12944 When
I was living in the Lower Mainland I had the Christian radio on every day at
home or in my car. Today my family does
not own a TV but we do own a radio.
LISTNUM
1 \l 12945 Sadly
I have been very disappointed and hard pressed to find anything worth listening
to.
LISTNUM
1 \l 12946 I
want my children to be exposed to things that will build them up and not tear
them down, which is a lot of what Jessanna was just saying as well.
LISTNUM
1 \l 12947 Most
of the time we lend our ear to the CBC with its classical music content. However, even that radio station has to be
monitored carefully as some on the content is not suitable for our
children. I also find just some of the
commentaries that the speakers are saying in their own words is not the kind of
words that I want my kids to hear or the gestures I want them to be picking up
either.
LISTNUM
1 \l 12948 I
have really strong moral convictions and beliefs that I want to upbring for my
family. I am not against secular
programming or music, but I don't choose to have the unpredictability of it in
my home. I do find it unpredictable,
which is what Jessanna was also mentioning.
LISTNUM
1 \l 12949 Christian
radio is what is missing as a wholesome option here in the Okanagan
Valley. In my ten years of listening to
Christian radio in the Lower Mainland I never heard anything that I would not
want my children to hear. Never have I
heard any depressing, angry, oppressive or sexual lyrics in the music which I
was listening to the radio. The
programming is always uplifting. It is
positive and I find it very inspiring.
The focus is toward good things like doing good, loving your neighbour,
loving yourself, even loving your father in heaven and honouring your parents
and other such family values. It is this
positive, encouraging atmosphere that I and my husband want in our home for our
family. Touch Canada Radio can fill that
void in the Valley here. I have been
longing for this in Kelowna since I moved back here, which I also mentioned.
LISTNUM
1 \l 12950 It
is my opinion that what Kelowna is not looking for is more of the same old,
same old radio programming. We currently
have an ample selection of that. Today I
can turn my radio on and find just about anything I want as long as what I want
is more secular mainstream programming.
I believe that the market for Christian radio programming in the
Okanagan Valley will prove itself to be very broad and supported by the
business community as well. I am one
person and I know of a great number of businesses that are either owned or
managed by persons that do share similar convictions that I have, and I believe
that they would support it.
LISTNUM
1 \l 12951 I
am very confident that these and a great number more would be delighted to
support Touch Canada Radio for its moral programming. I am also aware of well over 100 individuals
and families, just like Jessanna was saying, that are as eager as I am to have
a quality run, morally focused Christian radio station in our valley. Overall, I feel that this station will be
very well received here in the Okanagan Valley.
LISTNUM
1 \l 12952 I
just have a little story. My little girl
Joah, that is her name, she is 20 months old, and she is a healthy little
sponge. She soaks up everything that she
sees and hears. For this reason, I and
my husband have to be very careful what we model in everything that we do and
say.
LISTNUM
1 \l 12953 I
was in the grocery store a while ago with little Joah. We were standing in a line to pay for our
groceries and all was going fine. It was
a rather unremarkable shopping event, which is remarkable in itself. I thought I was getting away unscathed. I had my milk and my cheese in one hand and
Joah's little hand in my other. As I
stepped forward to dispense my bounty on to the conveyer belt before me, I
heard something rather large coming from my rather small little girl. These words reverberated forward with a
certain passion I was not yet aware that she possessed. She said quite loudly, "Lady, move
it." I was so embarrassed. If that isn't bad enough, I turned to see my
wee peanut lunging at a leg that had stepped in front of her, giving a mighty
shove, a very determined and justified look transforming her normally serene
little face. I was amazed and relieved
that the lady hardly seemed to even notice Joah. She just continued on her way without looking
down or breaking her stride.
LISTNUM
1 \l 12954 So,
where did that come from? It took me the
rest of the day to figure out the answer.
I realized that she was repeating something she had in fact heard me
say. We have a rather bold little cat
that has taken to begging as of late, so when she tries to take over the dining
room chair that I have been sitting on, I gently push her toward the edge, and
I loving say, "Zoe, move it."
But I must say that is not the sound; it sounds nothing like what came
out of my daughter when she boldly blurted out her little statement in the
grocery store.
LISTNUM
1 \l 12955 Having
said that, it is impossible for me or my husband to be able to monitor
everything that our daughter hears and even less possible for us to control
what she says and when she is going to say it.
That is why it is so important that we have a quality Christian radio
station that can provide our Valley with safe and fun programming for the whole
family.
LISTNUM
1 \l 12956 I
cannot be in the room every second with my daughter when the radio is on. It doesn't take much more than an interesting
sounding word with some emphasis for her to be drawn toward it and then repeat
it. There are very few, if any, careless
words spoken on Christian radio and for that I am grateful and much
relieved. Sadly, currently here in the
Okanagan Valley we do not as of yet have that option to turn to.
LISTNUM
1 \l 12957 One
thing that has drawn me to support Allan Hunsperger is his commitment to
quality programming and professional integrity.
I have had the pleasure on more than one occasion to listen to his
Calgary and Edmonton radio station broadcasts, Shine FM while visiting
relatives in Alberta. I have enjoyed
every minute of it and I am impressed by the quality and the consistency I have
found in that programming. I have
nothing but confidence in his ability to provide the Okanagan Valley with that
same level of quality and integrity.
LISTNUM
1 \l 12958 This
is what we need here Kelowna and the surrounding areas, quality Christian radio
broadcasting, as offered by the well‑established Touch Canada
application. So, I urge you strongly to
please consider this application and what this radio station will mean not only
for my family but for all those in the Okanagan Valley as well.
LISTNUM
1 \l 12959 Thank
you for your time.
LISTNUM
1 \l 12960 MR.
KALAMEN: Madam Chair and Commissioners
and staff, good morning. My name is
Brodie Kalamen, and I have been fortunate to be born and raised here in
Kelowna. I have watched Kelowna grow
from a small town surrounded by orchards and mountains to a large city that is
bursting at the seams.
LISTNUM
1 \l 12961 As
a young boy on my way to school I remember getting up early enough to get out
the door and warm up the car for my mom so she could drive us to school. I remember enjoying turning up the stereo so
I could listen to some music while I imagined myself driving the vehicle. I enjoyed most styles of music such as
country, pop, rap, rock, gospel, and remember having to go through CD after CD
in order to listen to the music that I was interested in. Never once do I remember turning on the
radio. Why? Even though I enjoyed all types of music,
there wasn't a content played that connected to me the way that my CDs and my
collection had. I knew that the
musicians on the radio were talented and could sing, but I was looking for
something more. What I was looking for
was found in a type of music only played on the radio for an hour on a Sunday
morning. This, by the way, isn't even being
played any more.
LISTNUM
1 \l 12962 As
I got older, I was able to attend an event that was a type of Christian
Woodstock called Creation Festival. Tens
of thousands of young and old gathered to hear all the musicians that gathered
for that event. I was totally blown
away. My mind was opened up to all sorts
of new bands, new music, new styles, and I had no idea that there were
musicians like that. I attributed my
ignorance to coming from a small town in the Okanagan Valley.
LISTNUM
1 \l 12963 But
with the internet, I was able to search out labels and recording companies and
review their artists that had signed for them.
From there I was able to special order music, books, and I began to
share the music and those resources with my friends and they took interest and
began to write and create their own music, emulating the styles that they had
seen at the festivals and that I had introduced them to.
LISTNUM
1 \l 12964 In
result, a whole culture of youth began to outlet their creativity in music and
began to draw huge gatherings to the events that we hosted. Many of my friends now have become
professionals in the music industry and I believe it was due, in part, to their
exposure to new and creative music.
Imagine what might have been able to occur if we had had the opportunity
at an even younger age to have heard that type of music on the radio.
LISTNUM
1 \l 12965 The
other day I was able to hang out with a friend of mine. I was excited to see him because he was
working night shifts and was usually asleep during the day. He had begun going through some really rough
times with his health and he had to step out of a flight school he was
attending because he was experiencing fatigue and dizziness. When I began to talk to him, he was asking
some really deep questions. The
questions he was asking were the questions that people ask under their breath,
but rarely openly, even to their closest confidante. These questions were pertaining to his soul,
his purpose in life, his future, his health.
As I know, he didn't attend any church that I knew of or hung out with
any people that I was associated with. I
asked him where those questions were coming from. I asked what had stimulated those thoughts.
LISTNUM
1 \l 12966 He
began to tell me how when he worked night shift he was managing a machine and
in the meantime he would listen to the radio.
He asked me if I had ever heard of a fellow named Dr. James Dobson. I had.
He said that he never missed an airing of his show. In my opinion, the things discussed on his
show are interesting, but didn't hold my attention for long. But to him it was a life line. It stimulated questions, it raised awareness,
and gave him hope that there was going to be something that would happen for
his benefit, that there might be a cure for the thing he was dealing with and
that things were going to turn out all right.
LISTNUM
1 \l 12967 As
we all know, the airwaves are powerful.
They have the ability to reach people in their homes, their cars, their
businesses. If there was capability to
introduce more people to hope, make more people aware and ask the questions
that no one else is really asking, shouldn't we stand behind it?
LISTNUM
1 \l 12968 In
my occupation I deal with young people on a daily basis. I teach them to guard their minds, guard
their eyes, their ears. I teach them to
focus on things that are good, wholesome, pure, things that bring hope and that
increase in them a desire to do good for their neighbourhood or their
neighbours and their family. It is a
constant battle which often times feels really futile, and it is my hope that
there will be a source such as this radio station that I could point them to
that connects them with what really should inspire them.
LISTNUM
1 \l 12969 Every
family unit needs something they can listen to together. Family‑oriented programming is hard to
find today on the radio and on TV.
Programming that draws a family together and gives them something they
can all agree with and embrace would be an incredible source of strength to the
family unit. Like I said, in my
occupation, I have come across many resources and media that I know many people
don't know about that can be exposed from this radio station. To me, it is a shame, and I try and expose it
to them on my own, but what if they had the platform of the radio waves? So many more people could be made aware and
take advantage of the resources and media that I know about.
LISTNUM
1 \l 12970 As
a life resident of Kelowna, I believe I carry a pulse for the city. I know that a radio station such as Shine FM
with Touch Canada would be warmly welcomed and celebrated in the city. People have been waiting for this to happen
for years. I know it is still in the
preliminary process, but the excitement has already begun to stir in the
numbers of people.
LISTNUM
1 \l 12971 It
is my hope that you respond to the desire of the people here and welcome the
programming as we will.
LISTNUM
1 \l 12972 Thank
you.
LISTNUM
1 \l 12973 MR.
McNICKEL: Good afternoon, the whole
group of you, Commissioners and people sitting on the council.
LISTNUM
1 \l 12974 My
name is John McNickel. I am from
Edmonton, Alberta and I work with Young Life.
I oversee our work with teenagers from B.C. to Ontario and have been
involved for 25 years. Recently I have
been working on a doctorate degree and particularly studying the value of
mentoring teenagers and addressing spiritual needs.
LISTNUM
1 \l 12975 The
literature is very interesting in that it says that teenagers across North
America are in crisis and that crisis is deepening and it is deepening
particularly in regards to the many indicators that we often speak of,
depression and anxiety and food, eating disorders, alcoholism, dangerous
behaviour, really every indicator that has teenagers at risk.
LISTNUM
1 \l 12976 So,
those of us who are working with teenagers across North America are very
concerned saying this seems to be getting worse and the statistics show
that. So, the question has been placed
and has been battered around for quite some time to say what is it that we
could really do. Part of the answer that
seems to be coming up is that we need systemic change for the way that we
function as a culture and just the sense of community.
LISTNUM
1 \l 12977 One
of the things that has been studied is that the human being needs connection to
other human beings. This is how we are
formed. This is how we are loved into
loving, cared into caring and we become the people that we are.
LISTNUM
1 \l 12978 So,
one of the things that seems to be happening is somehow that teenagers and
others are being disconnected from their family, from the rest of the community
and the other age groups, and in their isolation, they sometimes choose to
connect quite deeply to their peer group or to their media or to parts of
culture that are available to them and, therefore, they become informed and in
some ways culturated. They assimilate
with that which is around them and they become like that which is around
them. An expression I like to use sometimes
is as a twig bends a tree grows.
LISTNUM
1 \l 12979 One
of the concerns that we have is that we need to strengthen community, and the
solution seems to be to create much stronger connection for families, for the
school, for everyone that is working and living in a community to have
connection to teenagers. If there is
greater connection, then those teenagers will feel that they are a part of
something larger than themselves and they will perhaps at times receive the
Eldership, the mentoring and the guidance that prevents them from doing some of
the stupid things that they do, which are foolish and get them into trouble
simply because they are willing to experiment, they are willing to follow a
peer pressure, they are willing to listen to an idea and think, well, I will
try that out. They are a very
experimental group.
LISTNUM
1 \l 12980 Unfortunately,
it is leading to more deaths just in their risk behaviour. They will see something on TV, an extreme
behaviour and there is more accidents happening that is causing death.
LISTNUM
1 \l 12981 One
idea is that kids were having fun in sort of a rash of activity where they were
lying down on the highway on the yellow line while the trucks were going by to
say this would be fun. Really, the
concept is that what if somebody were to speak to them at that time and say,
well, let's play soccer instead, maybe an adult in their lives and in fact many
of these kids would say, sure, you know, we're not that interested in lying on
a yellow line; we just want to have a good time.
LISTNUM
1 \l 12982 What
I am leading to is that there is this need for community. It is a need for all human beings. It is not just teenagers.
LISTNUM
1 \l 12983 But
I think that what radio can do is get into moments in people's lives and speak
to them, and that is what communication does at all times. I wanted to speak of two stories where I have
been touched by radio.
LISTNUM
1 \l 12984 One
was with Jean Vanier and the Massey Lecture Series and him talking about the
value of human beings. He was a person
who committed his life, although he was from a family of great wealth in
eastern Canada, he committed his life to loving disabled persons.
LISTNUM
1 \l 12985 As
a wise Elder in our country, he is recognized as somebody who could teach us
what it is to be human. In his teachings
I found listening to the radio one time that I pulled over to say, wow, this
guy is really encouraging me. This man
is changing and affirming my ideas that we ought to care for one another. We ought to be a strong community.
LISTNUM
1 \l 12986 I
think we all know that that is what we want and I think the fear possibly of
this council is that the Christian element might be a fundamentalist group that
would lead to some of the fundamentalist problems that are all over the world.
LISTNUM
1 \l 12987 I
just want to say that there are many in the Christian community like Jean
Vanier who are strong leaders, who have a contribution to make and the people
who are working in Touch Canada are really making an effort to guide people
towards positive alternatives, positive directions and to do it with great
wisdom and not the fundamental foolishness that sometimes is available.
LISTNUM
1 \l 12988 It
is sad that that exists but I don't think the fear of it should deter you from
encouraging this radio station, particularly with the reputation they have in
other communities.
LISTNUM
1 \l 12989 One
other story I would like to tell is that we had a couple of miscarriages and
then we were told that we were going to miscarry and we waited for my daughter
and after 20 weeks they told us it was going to happen again. I have a little daughter and two sons and she
was delivered.
LISTNUM
1 \l 12990 About
three months after that, I was just cruising the radio, driving home from work
and I heard a song and it was ‑‑ I am almost embarrassed to
say ‑‑ it was called Butterfly Kisses. But what that song said was here is a father
who wants to love his daughter and, for whatever reason, I was moved, I cried,
I had to pull over to say I am excited, my daughter is alive. But radio will reach into people's lives and
in certain moments will, I think, inspire them.
LISTNUM
1 \l 12991 When
this particular station has the goal of enabling community and bringing health
to the community, including a spiritual orientation, I don't think it needs to
be feared, but it could be extremely positive for the community, and I am
hopeful that you will allow that to happen.
LISTNUM
1 \l 12992 Thank
you.
LISTNUM
1 \l 12993 THE
CHAIRPERSON: Thank you to all of you for
your presentation today. Glad you could
make it, in Mr. McNickel.
LISTNUM
1 \l 12994 I
will ask Commissioner Williams to lead with some questions.
LISTNUM
1 \l 12995 COMMISSIONER
WILLIAMS: Good morning, panellists.
LISTNUM
1 \l 12996 Ms
Jones, in your opinion is the Touch Canada proposal the only applicant that can
provide programming that can, in your words I think, positively contribute to
the wholesome upbringing and help instill in your children the morals and
standards of purity, integrity and justice that local parents want for their
children? Is this the only one?
LISTNUM
1 \l 12997 MS
JONES: I am not exactly aware of all the
applicants that have been coming across you guys. Touch Canada is one that I am familiar with
as far as being in Edmonton and being in Calgary, having listened to their
programming, listened to their radio station firsthand, as well as knowing many
people in both cities that listen to it on a regular basis.
LISTNUM
1 \l 12998 It
is one that I know that I can feel comfort with, that I am happy to have in my
home and playing for my children and for myself listening to that music. I know that it is the style of music that I
like that I will be listening to at home anyways, as well as exposing me to
more newer artists out there that would, like Brodie said, take me a lot longer
to find and then go, oh, I wish I knew about this earlier.
LISTNUM
1 \l 12999 So,
I am not exactly aware of all the other applicants so I can't say for sure to
you. It is one that I firsthand have
experience and am familiar with and so that is why I for one really support
that.
LISTNUM
1 \l 13000 I
know it is totally coherent with my values and everything I believe. So there is going to be no question for me
and for a lot of other people I know to just be letting that playing to be a
loyal listener.
LISTNUM
1 \l 13001 Does
that answer you question?
LISTNUM
1 \l 13002 COMMISSIONER
WILLIAMS: It does. Thank you.
LISTNUM
1 \l 13003 Ms
Czerwinski, we have heard much of protecting children in their formative
years. Could you comment on the benefits
to, say, young adults and older population of this type of programming?
LISTNUM
1 \l 13004 MS
CZERWINSKI: My experience with them in
Calgary and stuff is that they also have programming specifically for teens,
not just for my age group as well. I
believe on Saturdays they have very contemporary, upbeat, the newest of the
newest coming out for teens and young adults, things that they can really get
their teeth into and be excited about and emulate is actually a lot of what you
see is happening. They have little bands
and they play for their friends and what they play is what they hear, and I
think it covers that.
LISTNUM
1 \l 13005 Also
I believe on the weekend they turn more of a focus during the day, is my
understanding, to more of a kind of a dial down for the seniors, that kind of a
thing. It is a little more contemporary. It is a softer rock for those kinds of
people.
LISTNUM
1 \l 13006 So
I believe that they cover all those areas in their programming, and all of
those areas, the content is still moral, it is still family orientated, it is
still fun, and it is still safe.
LISTNUM
1 \l 13007 So,
for me in all the stages of my family, as they grow, they will continue to be
able to be blessed by this station, to listen to this station and have
absolutely no fear of the content.
LISTNUM
1 \l 13008 Did
I answer?
LISTNUM
1 \l 13009 COMMISSIONER
WILLIAMS: You did. Thank you.
LISTNUM
1 \l 13010 Mr.
Kalamen, is this type of programming something that you personally would
imagine listening to for a full life? Do
you listen to other broadcasters?
LISTNUM
1 \l 13011 There
are two questions there. Do you listen
to other broadcasters or is this type of programming the only type that you are
interested in?
LISTNUM
1 \l 13012 MR.
KALAMEN: As I mentioned earlier, Kelowna
is the only place I have ever lived so I haven't had the chance to actually
live in Calgary or Edmonton or Vancouver where I have been exposed to Christian
radio otherwise.
LISTNUM
1 \l 13013 So,
what I have done is, like I said, I have listened to a lot of CDs.
LISTNUM
1 \l 13014 But
recently I have been listening to the radio stations that we have in place
right now, and I enjoy the radio. I
enjoy the music and things, but I know I would be tuned in, I know I would be
tuned in to that specific station. That
would probably be the station that my wife and I would tune into and the one I
would listen to.
LISTNUM
1 \l 13015 So,
it would be specific to me, yes. The
answer would be yes.
LISTNUM
1 \l 13016 COMMISSIONER
WILLIAMS: Thank you.
LISTNUM
1 \l 13017 Mr.
McNickel, the teenager community connection, do you know much about Shine's
programming that is directed towards the teenage audience?
LISTNUM
1 \l 13018 MR.
McNICKEL: Yes, I do. Sorry, I am not familiar with every program,
but I am aware of kids who are listening and enjoying the music. I would say that the demographic of the
listener definitely includes some teenagers who are interested in that music,
although not all for sure.
LISTNUM
1 \l 13019 But
I would say it tends to be contemporary and not the classic gospel that the
Elders would like in their Christian listening, and so to me it goes right up to
the soccer moms. I think there are a lot
more moms that are listening than men. I
think there are a lot of teenagers who are listening in particular segments to
say, well, this is my time to hear my DJ and there is an audience that is doing
that.
LISTNUM
1 \l 13020 COMMISSIONER
WILLIAMS: Thank you very much. That concludes my line of questioning.
LISTNUM
1 \l 13021 THE
CHAIRPERSON: Thank you all very much for
your participation in these proceedings.
LISTNUM
1 \l 13022 Madam
Secretary.
LISTNUM
1 \l 13023 THE
SECRETARY: I would now call the Okanagan
Symphony Orchestra to come up to the presentation table.
‑‑‑ Pause
LISTNUM
1 \l 13024 THE
SECRETARY: We will now proceed with
Caroline Miller from the Okanagan Symphony Orchestra.
LISTNUM
1 \l 13025 Ms
Miller, you have ten minutes for your presentation.
INTERVENTION / INTERVENTION
LISTNUM
1 \l 13026 MS
MILLER: Thank you very much.
LISTNUM
1 \l 13027 I
am the General Manager of the Okanagan Symphony Orchestra. While I didn't originally think I was going
to be able to be here today due to a scheduling conflict, I am delighted that I
am able to make an appearance.
LISTNUM
1 \l 13028 I
had invited several of our young symphony players to be with me this morning,
but unfortunately they appear to be locked in their classrooms at school. And while radio station CJVR very kindly
offered to give them a note so that they could be absent, their parents, no
doubt wisely, declined.
LISTNUM
1 \l 13029 I
am here because CJVR came to see me last spring and wanted to learn more about
music in the Okanagan community, live music in our case. The Okanagan Symphony was formed in
1960. We have between 45 and 65
musicians who play at each of our concerts throughout the year.
LISTNUM
1 \l 13030 Our
musicians are professional classical trained musicians, and the Okanagan
Symphony Orchestra is the third largest professional orchestra in the
province. We are very proud of our
heritage and will be celebrating our 50th anniversary in 2010.
LISTNUM
1 \l 13031 At
that time, we will be performing for the first time, a commissioned work,
Canadian commissioned work, which will celebrate our 50th anniversary, under
the baton of our new music director, Rosemary Thompson, who is moving here from
the Calgary Philharmonic.
LISTNUM
1 \l 13032 When
CJVR came to see me, they spent a fair bit of time finding out a bit about our
symphony orchestra, what our needs were and how we interact with our community.
LISTNUM
1 \l 13033 We
are not the Kelowna Symphony. We are the
Okanagan Symphony and, as such, we perform each concert cycle up and down the
Valley. We perform in the Vernon
Performing Arts Centre, which seats 750; we perform in Kelowna at the Community
Theatre, which seats almost 900 people; and in Penticton at the Cleland Theatre
seating 450. We perform as far north as
Salmon Arm and as far south as Oliver and Osoyoos.
LISTNUM
1 \l 13034 We
are very much an institution in the Valley.
About 80 per cent of our musicians live and work in the Valley. They work as musicians in the orchestra, of
course, in our 19 concerts each year and that is excluding our educational
program.
LISTNUM
1 \l 13035 The
other 20 per cent, we fly in from Edmonton, Calgary and Vancouver.
LISTNUM
1 \l 13036 The
needs of our educational program are significantly different from those of our
regular concert program. A concert cycle
costs us in excess of $85,000, and we perform generally three nights and have
three or four days of rehearsals. This
covers hall rental, ticket fees, advertising and promotion, payments to our
musicians, including expenses and series fees.
We are covered under a union agreement, as well as guest artist fees,
stage management, truck rental and so forth.
LISTNUM
1 \l 13037 The
educational program, on the other hand, the shows tend to be a bit shorter
because of attention span. So, rather
than two and a half hours with an intermission, our educational shows generally
run about 45 minutes. These programs
reach children from the ages of seven to 15.
LISTNUM
1 \l 13038 These
programs are run in theatres. They are
run with work books which the children receive in the late fall, and the
programs are run in the spring after the school teachers have had a chance to
work with their children.
LISTNUM
1 \l 13039 This
is only one aspect of our educational program.
It has several other arms. We
send our professional musicians into the schools to work with bands, music
groups, choirs and to do special workshops.
LISTNUM
1 \l 13040 Last
year we did a saxophone workshop at one of the middle schools in Kelowna and it
was attended so well that we kept running it throughout the day and eventually
had I think upwards of 200 to 300 students attending. Fortunately it was timed along with one of
our concerts and we offered a special to teachers and staff and parents. So, we had a grand turnout that night at the
concert in Kelowna.
LISTNUM
1 \l 13041 Other
parts of our educational program, which CJVR was particularly interested in,
was the programming that we are developing to reach middle adults, I would call
middle adults 35 to 45 or 50 years of age, and then the older demographic
ranging from, let's say, 55 up.
LISTNUM
1 \l 13042 Individuals
in the Okanagan Valley appear to keep going right through.
LISTNUM
1 \l 13043 We
have players in our community orchestras who are well into their seventies and
eighties. We have attendees at our
concerts who get there one way or the other and have been attending for many,
many years. Lots of these individuals
call us. They want to find out more
about the music. They come to our pre‑concert
lectures. They come to our post‑concert
Q and A session which is called After Thoughts, and we are this year developing
a program for taking adults into musicians' workshops where the musicians are
building cellos, building harpsichords, working on violins, writing music,
composing, building guitars and essentially broadening the depth and
understanding of our community for classical music.
LISTNUM
1 \l 13044 This
all costs money. Our budget, although we
are the third largest orchestra in British Columbia, is just under three‑quarters
of a million dollars a year. This
certainly pales in comparison to the Vancouver Symphony budget of around $15
million a year. Their educational
program is well funded and funded primarily through their endowments. We launched an endowment last year which we
hope in the next ten years will begin to fully fund some of our new series such
as our workshop programs.
LISTNUM
1 \l 13045 Another
way that we reach into the community with information is through interviews,
and we have found in past years that interviews with our music director and our
guest artists on the radio have appeared to be an excellent way to reach our
demographic. They take questions from
the interviewer; they play bits of the music that is going to be performed at
the upcoming concert and we also send musicians and young musicians into the
radio studios.
LISTNUM
1 \l 13046 CJVR
has very wisely, I think, incorporated this kind of a component in what they
call their indirect funding initiative.
Their direct funding initiative I thought was wisely drawn. It grows over a period of seven years from a
rather small component in year one to a much larger component by year seven
and, in fact, would total over $100,000 total by the end of year seven.
LISTNUM
1 \l 13047 This
is money that would help us offset the cost to our children for the educational
program. We do have children from home
schoolers to the public schools who are not able to attend the concerts because
there is no funding. We currently apply
for grants to help offset the cost of the educational concerts, but the grant
funding falls woefully below the actual costs to the orchestra of presenting
these concerts.
LISTNUM
1 \l 13048 Currently
we are performing the school and the educational program on what I would call a
deficit basis. We are trying to find
funding from sources that in fact are not included in our budget. But education is hugely important to us and
we are committed to finding ways of keeping these programs going.
LISTNUM
1 \l 13049 I
have talked a lot about the orchestra because I know a lot more about symphony
orchestra management than I do about radio licences. So I don't present myself as any sort of an
expert on CJVR. I can say our audience
for our regular concert season totals about 13,000 throughout the Valley for
the school program, up to 8,000, and the potential for growth, as this Valley
continues to grow, with our audience catchment area being around 250,000, I
think is limited certainly but there is a lot of room for growth and for
success.
LISTNUM
1 \l 13050 I
would be delighted to take any questions.
LISTNUM
1 \l 13051 THE
CHAIRPERSON: Ms Miller, thank you. I just have a couple of questions.
LISTNUM
1 \l 13052 You
talked about the funding for the orchestra obviously, and the basis for your
support of CJVR is that part of it is what we call Canadian Content Development
spending will be directed to your orchestra.
LISTNUM
1 \l 13053 MS
MILLER: Uh‑hmm.
LISTNUM
1 \l 13054 THE
CHAIRPERSON: You mentioned that you are
applying for grants as one of your sources of funding.
LISTNUM
1 \l 13055 What
are your other sources? Do you have
sponsorship?
LISTNUM
1 \l 13056 MS
MILLER: For the educational component we
do apply for grants to the Cherniesky Foundation, as well as our overall
program is funded approximately 30 per cent from ticket sales, 30 per cent from
major funders, which would be federal government, Canada Council, provincial
government, Gaming, B.C. Arts and municipal governments, North Okanagan
Regional District, city of Kelowna, city of Penticton.
LISTNUM
1 \l 13057 For
the educational program, the funding scenario is not quite so black and white,
and the other 30 per cent that I didn't mention comes from private donations,
sponsorships.
LISTNUM
1 \l 13058 So,
while we are proceeding to look for sponsorship for the educational program,
there is a lot of competition for those funds, and I would say at this point
that even if we pursue private sponsorships for that, because the Okanagan
Valley is not a centre of head offices, it is very difficult and the retailers
and the businesses here do tend to be asked perhaps out of proportion to their
ability to sponsor and to donate. That
impacts all arts organizations.
LISTNUM
1 \l 13059 THE
CHAIRPERSON: And the 30 per cent, let's
call it the public funding from Heritage, et cetera, is that guaranteed for a
long term or do you have to negotiate that year after year?
LISTNUM
1 \l 13060 MS
MILLER: Every year. Every year it is an application, every year
it is an unknown. It makes budgeting
very dramatically challenging.
LISTNUM
1 \l 13061 We
do always ask for a small increase based on our needs, but public funding is
limited as well.
LISTNUM
1 \l 13062 THE
CHAIRPERSON: The educational programs, I
ask this only because you come to us as the symphony orchestra and the format
for which CJVR has applied does not necessarily lend itself the symphonic
music, but it is your position that it is through the educational programs that
the students don't necessarily have to end up participating in the symphony or
working in the symphony but could branch out into other forms of music?
LISTNUM
1 \l 13063 MS
MILLER: I guess it is our belief that
young people, and really people of any age, but if you can start with young
people and move them into a concert hall or into any opportunity for them to
see live music, feel, experience live music, it really is a transforming
experience and especially, I think, for generations who are increasingly
brought up with the perfect sound of a recording, a CD, a DVD, where the music
and the imagines perhaps have been manipulated and re‑manipulated to a
state of perfection that is seldom achieved at a concert hall.
LISTNUM
1 \l 13064 It
is marvellous to watch. The enthusiasm
of the young children and particularly the very young ones as they sit in the
chair and they realize that these sounds they have been hearing on television
or radio are actually being made by human beings on a stage 20, 30, 50 feet
away from them with instruments that many of them haven't even seen before, and
I am talking about the much younger ones.
LISTNUM
1 \l 13065 For
the older students who are in a band or an orchestra program they are, I think,
encouraged and in some cases slightly overwhelmed by how well it is possible to
play one of these instruments that they are struggling with or struggling with
the flute or saxophone or the trombone or the trumpet in the school band and
they realize that on stage in front of them is someone who is playing with
great fluency.
LISTNUM
1 \l 13066 The
transforming experience of being in concert hall with live music is one that
can enhance any individual's life at any age, and to turn on the radio and hear
Blended Country or to hear New Age music or Rock or Pop, so many Eric Clapton,
so many musicians, Ian Tyson have classical trained music backgrounds. That is where they started. The hard work of learning to read music,
learning an instrument, learning what it is like to be in a band.
LISTNUM
1 \l 13067 I
can tell you that two of the applicants who appeared before you for the CJVR
application, one was a trombonist for four or five years in his high school
youth symphony, another was a trumpet player who has then appeared on stage
with the Saskatoon Symphony Orchestra playing Tympany. It is not a black and white world out there
and music and music education should be available to anyone at all levels and
all forms.
LISTNUM
1 \l 13068 THE
CHAIRPERSON: Thank you very much for
your participation here, Ms Miller.
LISTNUM
1 \l 13069 MS
MILLER: Thank you for listening to me.
LISTNUM
1 \l 13070 THE
CHAIRPERSON: Thank you.
LISTNUM
1 \l 13071 Madam
Secretary.
LISTNUM
1 \l 13072 THE
SECRETARY: Thank you, Madam Chair.
LISTNUM
1 \l 13073 I
would now call the Minstrel Cafe and Bar, Danny McBride, Phil McGrew and
Sheila, Rachel and Alisha MacGregor to come up to the presentation table.
LISTNUM
1 \l 13074 Minstrel
Cafe and Bar, Danny McBride, Phil McGrew and Sheila, Rachel and Alisha
MacGregor will appear as a panel to present their interventions. We will start with Minstrel Cafe and Bar.
LISTNUM
1 \l 13075 Please
introduce yourself, and you will have ten minutes for your presentation.
INTERVENTION / INTERVENTION
LISTNUM
1 \l 13076 MR.
ANDERSON: Good morning, Madam Chair and
Commissioners.
LISTNUM
1 \l 13077 My
name is Clare Anderson. I am an
operating partner at the Minstrel Cafe.
Prior to that I was an operating partner at the Sidetrack Cafe in
Edmonton, Alberta, where for 15 years we presented one of the strongest live
musical formats in the country seven nights a week. Eight years ago I arrived in Kelowna and welcomed
the opportunity to develop a restaurant live entertainment venue.
LISTNUM
1 \l 13078 One
of the challenges in doing so is finding the proper mediums to expose music and
entertainment, entertainers, performers to its populace. As Kelowna has grown exponentially, I don't
feel that the radio medium has caught up or is providing the same opportunity
that larger centres, more developed centres have the ability or servicing other
areas.
LISTNUM
1 \l 13079 Deep
Waters' application is exciting in that it allows an operator such as myself an
opportunity to work with an independent station and help support to a greater
extent the entertainers that tour across the country.
LISTNUM
1 \l 13080 By
example, one of the most profiled recognition of Canadian artists is the Juno
Awards, and it is not even so much about the winners, it is about if you break
it down to the different genres, the nominees in each category, right there you
have a core of 150 musical artists that are very worthy; they take their craft
seriously; it is their life; they go about it for the right reasons.
LISTNUM
1 \l 13081 There
is musical integrity. It is a challenge
to find the radio stations that are committed to exposing it to the populace,
to the listening audience. What is
formatted now is so often not about musical integrity. I think the stations know what they are doing
and why they are limited, but, again, you have to hope that there can be a
difference made.
LISTNUM
1 \l 13082 Again,
you get artists that they are not glorified karaoke singers or winning idol
competitions; they are no sort of over blown celebrities. They are the heart, the roots of what music
should be in this country. We play a
small part by trying to facilitate their performances here and, in terms of
understanding that, it is sorely missed that people can't just turn on the
radio and listen to these performers and particularly it is exciting at the
ground breaking level when they are just beginning to get recognized and
develop their craft.
LISTNUM
1 \l 13083 This
is a lifetime for them. I mean, you get
young performers in their teens and they go on and they become elder states men
in their fifties sixties, that is still their life, that is what they are
doing; we see them at every stage of their life through that. It is very rewarding when you get the
response and that interaction on a full house.
LISTNUM
1 \l 13084 I
just find it very limiting in terms of Kelowna and the Okanagan in general in
terms of the perception of what radio, what musical content should be. Again, that is why I am here in support of
Deep Waters' application because there needs to be a difference and something
that is receptive to what exists now a days.
LISTNUM
1 \l 13085 Thank
you very much.
LISTNUM
1 \l 13086 THE
SECRETARY: We will now proceed with Mr.
Danny Mcbride. You have 10 minutes.
LISTNUM
1 \l 13087 MR.
McBRIDE: My name is Danny McBride. I have lived in Kelowna for nine years. I am a native of Toronto, but I have also
lived in Vancouver, Los Angeles and London, England. I am a record producer, a composer. I am was once a CBS recording artist.
LISTNUM
1 \l 13088 I
have been in the entertainment business for over 35 years and have been
fortunate enough to have worked with some of the greatest names in the
industry.
LISTNUM
1 \l 13089 As
a recording artist, I have released two solo records, one with CBS New York and
the other with CBS in the UK. As a co‑producer,
recording artist and session player, I have had the incredible opportunity of
working hand‑in‑hand with 12 of the most sought after producers in
the world. To name a few: Daniel Lanois, who produced U2, Peter
Gabriel, Rupert Hine who produced Tina Turner, Keith Smith who produced Sting,
Jack Richardson, a Canadian icon, Jack produced the Guess Who, Pink Floyd,
Peter Gabriel and Bob Seger and finally Bob Johnson.
LISTNUM
1 \l 13090 Bob
Johnson produced several artists including Simon and Garfunkel, Bob Dylan,
Johnny Cash and Willy Nelson. Bob is
probably the most amazing person I have ever worked with. Besides being a legend and maybe the greatest
producer in America, he was like a brother and a father to me.
LISTNUM
1 \l 13091 I
also spent 15 years travelling the world as Chris de Burgh's lead guitarist and
was instrumental in helping Chris sell upwards to 47 million records world
wide ‑‑
LISTNUM
1 \l 13092 Starting
out in the business in Toronto during the early sixties was quite a
challenge. I was in my early teens and a
high school drop out. I thought if I did
one more crazy thing my parents would hire a hit man and have me whacked.
LISTNUM
1 \l 13093 But
as luck would have it, my group at the times, Transfusion, became the house
band in a music venue called the Rock Pile.
The Rock Pile was quite a place, and at age 17 I found myself opening
for groups like Led Zeppelin, Blood Sweat and Tear and Rod Stewart and so
on. The manager of the Rock Pile soon
became my manager. He also became the
biggest promoter in Canada, bringing in acts like The Doors, Jimmy Hendrix,
John Lennon and others. It was a
wonderful, yet somewhat cruel time because many of the most talented people I
knew never got a break and I believe that was because there were no programs
out there like the Rising Star Initiative to support them.
LISTNUM
1 \l 13094 It
basically came down to the luck of the draw.
My manager eventually got me a deal as a solo artist with CBS and by the
time I was 20 I was in the UK working on my first album, which I am positive by
now has been turned into so many frisbees.
LISTNUM
1 \l 13095 My
brother Bob McBride, also an entertainer, was a lead singer in a Juno Awards
winner group Lighthouse.
LISTNUM
1 \l 13096 My
intention today is not to sound pretentious, but I am rather hoping to
establish the kind of credibility and support that will support my opinions and
belief with regards to the Deep Waters media petition.
LISTNUM
1 \l 13097 I
believe Kelowna is missing a radio station that appeals to a slightly more
urban, sophisticated listening audience.
Kelowna is growing and evolving at a tremendous rate and is attracting
people from all over Canada, the U.S. and abroad. The city is rapidly developing the desire for
cultural change and diversification in many areas, including radio.
LISTNUM
1 \l 13098 Every
time I throw a dinner party I find myself running to my CD collection looking
for something that is easy and enjoyable to listen to. That is exactly what I think we will get when
we tune into this new and innovative station.
LISTNUM
1 \l 13099 Most
importantly is Deep Waters' focus and commitment to home grown talent which is
shown not only by their promise to dedicate 40 per cent airplay entirely to Canadian
content but by their contribution to close and upwards to $600,000 to the local
music scene.
LISTNUM
1 \l 13100 The
Rising Staff Initiative in itself is a milestone and I would believe will
further the careers of many emerging local artists.
LISTNUM
1 \l 13101 I
have been totally overwhelmed with the amount of talent that exists in the
Okanagan. It is absolutely remarkable,
and sitting to my right, one of the MacGregors, is a prime example of what I am
talking about.
LISTNUM
1 \l 13102 I
believe that with a little encouragement in the form of a financial kick start
and professional guidance in the form of record production and radio airplay
that we will soon see many Okanagan performers at the top of the charts.
LISTNUM
1 \l 13103 I
am a partner in a production company called ZMS Music. We have created a state‑of‑the‑art
recording studio here in Kelowna primarily because of the potential we see in
local artists.
LISTNUM
1 \l 13104 I
know that on a production level, ZMS would be honoured and thrilled to become
involved with the Rising Star Initiative to help provide the guidance, the
support and the professionalism needed to ensure that the music produced would
be of the highest quality. Although ZMS
is a new company, we have connections throughout the industry and world wide,
including major labels and some of the biggest promoters in the business.
LISTNUM
1 \l 13105 When
I first started out in this business there was no one helping us get our music
played on the radio, let alone paying us to get it out there. So I think it is time we created a platform
for young deserving artists like the MacGregors so they can show the rest of
Canada, and maybe the world, just what they've got.
LISTNUM
1 \l 13106 Thank
you very much.
LISTNUM
1 \l 13107 THE
SECRETARY: We will now proceed with Mr.
Phil McGrew.
LISTNUM
1 \l 13108 You
have ten minutes for your presentation.
LISTNUM
1 \l 13109 MR.
McGREW: Thank you. Good morning, Madam Chairman and members of
the Commission.
LISTNUM
1 \l 13110 You
do have a letter on file from my daughter, Bonnie, and her singing partner,
Kelsy Ny. Like many struggling artists,
they are both working and going to UBC this morning so were unable to be here.
LISTNUM
1 \l 13111 It
was many years ago, but my first career I was in the radio business for about five
or six years, and while my experience in radio is somewhat limited, I must say
I was very excited and impressed when I read the application by Deep Waters.
LISTNUM
1 \l 13112 The
deep Waters application demonstrates support for local talent, a strong support
for emerging artists by playing a heavy percentage of these artists, whether
you are in my let's call it the somewhere around 50 demographic or whether you
are in my daughter's 19‑20 demographic, how long have we longed for a
station that did not play the same superstar Canadian artists over and over
just to adhere to the Canadian content?
And the 40 per cent of the 40 per cent dedicated to emerging artists is
refreshing and a great alternative.
LISTNUM
1 \l 13113 Deep
Waters also demonstrates strong financial support to the local music scene
through the Rising Star Initiative, and that is what I would like to focus on
this morning.
LISTNUM
1 \l 13114 Four
artists each year would receive $10,000 towards creation of a CD and, more
importantly, would receive regular airplay and heavy promotion. This is an invaluable service, as I can
attest to firsthand. For a few years I
have been helping to manage this young band and I know all too well how
difficult and how expensive it is to complete a properly produced CD, but as
well, how even more difficult it is to promote that CD and to receive airplay
once you have it in your hands.
LISTNUM
1 \l 13115 By
way of background, the band I have been involved with, they won the Okanagan
Grown Contest. They have received some
limited airplay, thanks to SUN‑FM and to the CBC. Their first CD received very positive
reviews, sold almost 1,000 copies through Canada and even other parts of the
world.
LISTNUM
1 \l 13116 They
have appeared at the New Music West showcase.
They have shared the stage with Juno winners, Greg Siebel and Fefe
Dobson.
LISTNUM
1 \l 13117 But
without ongoing promotion, airplay and distribution, it is hard to maintain
momentum, even harder to get discovered, as they say.
LISTNUM
1 \l 13118 Young
artists who wish to make music a career constantly struggle with these
issues. The Rising Star program will
certainly help some of the better ones to hopefully break through, and I
suspect will have a real impact on the careers of these young artists, local
artists. Also, quite impressed with the
way the Rising Star program has been structured. So, rather than writing a cheque to the
artist, Deep Waters has arranged for proper recording facilities, renowned
producers with experience and connection in the industry, such as Mr. McBride
and a mechanism to help promote and provide airplay for these artists.
LISTNUM
1 \l 13119 So,
obviously Deep Waters also has the experience and resources to be of real
assistance to the artists.
LISTNUM
1 \l 13120 With
any luck, a great song or a great group that is discovered in Kelowna may soon
receive airplay on other JACK‑FM formats throughout the country.
LISTNUM
1 \l 13121 The
artist can also gain additional exposure by participating in some of the many
local festivals and events of which this station would be an integral part.
LISTNUM
1 \l 13122 I
also would like to make a word on FACTOR if I could. I know that FACTOR does do admirable work,
but I believe it falls short of helping the independent or undiscovered
artist. Many of the FACTOR grants go to
established artists or to record labels.
Once an artist is already represented by a record label, they already
have some notoriety and a leg up. This
is where I see in my experience a large, yet unnoticed, void in the development
of Canadian artists. It is a level that
I call close to but just below FACTOR.
LISTNUM
1 \l 13123 I
am sure you have heard this complaint before.
LISTNUM
1 \l 13124 These
artists have some recognition. They get
great reviews. They have great
potential, but they are needing help with their radio airplay, publicity and
eventually management and distribution.
LISTNUM
1 \l 13125 In
short, I believe the Rising Star program as established by Deep Waters to be
innovative, unique and I think it has huge potential. Yet, this is obviously only one facet of a
very thorough programming plan by Deep Waters.
LISTNUM
1 \l 13126 Thank
you for your time and I would be happy to answer any questions.
LISTNUM
1 \l 13127 THE
SECRETARY: We will now proceed with Ms
MacGregor.
LISTNUM
1 \l 13128 Ms
MacGregor, please state your first name for the record, and you will then have
ten minutes for your presentation. Thank
you.
LISTNUM
1 \l 13129 MS.
RACHEL MacGREGOR: My name is Rachel
MacGregor. Sheila and Alisha aren't with
me.
LISTNUM
1 \l 13130 I
am really happy to be here. I am part of
a group called the MacGregors which is a music duo with my sister, who is in
school today.
LISTNUM
1 \l 13131 The
MacGregors have released two CDs up to date.
We are working on our third right now, and I will give a bit of an
overview of some of the things that we have done.
LISTNUM
1 \l 13132 We
have had a lot of our success in songwriting.
A couple of examples, the International Songwriting Competition, my
sister and I have both been winners in it.
I won the teen category in 2003, with my sister being a semi‑finalist
that year. And two years later my sister
won and I was third.
LISTNUM
1 \l 13133 One
of the prizes that is given out as being a winner in the teen category is a
full scholarship to the Berkley College of Music in Boston for their summer
performance program. So my sister and I
both had the privilege of going there for a summer.
LISTNUM
1 \l 13134 My
sister entered another songwriting competition while she was there and won that
and is able to go to Berkley for another summer program on another full
scholarship.
LISTNUM
1 \l 13135 She
was also a finalist in the uni‑song songwriting competition, and I was a
finalist in the John Lennon songwriting competition, both of which are
international songwriting competitions.
LISTNUM
1 \l 13136 Through
the John Lennon songwriting competition, we got the opportunity to go perform
at NAAM in Anaheim last January. If you
are unfamiliar with NAAM, it is a huge music convention; over 20,000 people all
in the music industry, huge names there.
LISTNUM
1 \l 13137 Our
big story from there is my sister was walking down the stairs and Stevie Wonder
grabbed her hand as he was walking down the stairs. He didn't realize who she was, but that was
the type of people you were rubbing shoulders with the whole time, which is
absolutely amazing.
LISTNUM
1 \l 13138 We
have also been to Canadian Music Week in Toronto and Music West a couple of
times in Vancouver. We just came back
last week from a two‑month tour of Europe where we kind of performed all
over at schools and community events and coffee shops and stuff like that.
LISTNUM
1 \l 13139 I
am just going to kind of talk a bit about the struggles of being an emerging
artist in Canada. It is tough to get on
the radio and even tougher once you have even got a couple of spins on the
radio to get anything from that. It is a
huge financial commitment to get anything on the radio. We know people who have put a ton of money
into hiring radio tractors and doing the whole radio thing, but you don't get a
lot of return from it.
LISTNUM
1 \l 13140 It
would be great to have a radio station that really actually supported emerging
artists and gave them more than the 3:00 a.m. slot Canadian content in the
middle of the night. It would be really
positive for us.
LISTNUM
1 \l 13141 Also,
our genre doesn't quite fit into the Country station and you have the Rock
station and the Adult Contemporary and then your Top 40 station, which we would
probably fit easier into the Top 40 station but because you are not Top 40 you
don't get played on that station.
LISTNUM
1 \l 13142 We
also are kind of a multi‑genre because we do almost a bit folk and then
sometimes it is a bit pop rock and we also add a bit of celtic influence as
well because we started as a celtic fiddle group back when we were ten years
old. We keep the violin aspect in it as
well.
LISTNUM
1 \l 13143 With
that, we talked with some radio stations and they have a hard time finding a
spot for us because we have all of these multi‑genre things going on that
don't quite make us fit into your very specific focused group.
LISTNUM
1 \l 13144 So,
Deep Waters is great because it is playing music that isn't on the conventional
radio right now and it is different music and it is stuff that I think people
really want to listen to. It gives a
chance for artists like us to have a spot to play our music because we do have
success in some things with songwriting and stuff like that and you know that
you are pretty good at what you are doing but no one ever gets to hear it
because there is not really a spot in your specific radio stations right now
for it.
LISTNUM
1 \l 13145 So,
that makes us quite excited about Deep Waters.
LISTNUM
1 \l 13146 Also,
the Rising Star Initiative is really great for emerging artist support because
it is imperative to have a quality product.
Your music recorded well so you can compete with other artists out
there, but it is a huge financial investment.
When you are not making any money as an emerging artist really, it is
tough to be able to constantly be pouring money into it when you don't have all
that money to pour into it.
LISTNUM
1 \l 13147 So,
the financial support, as well as the promotional support of the Rising Star
Initiative would be a great ‑‑ the Okanagan is full of
musicians that could be great because they are amazing. Actually, it is ridiculous when you go into
the Okanagan Music Awards just how many emerging artists we have in the
Okanagan Valley here.
LISTNUM
1 \l 13148 I
think there is a real need for it and there is a real need for a radio station
that plays stuff that is not already out there right now on the radio in
Kelowna.
LISTNUM
1 \l 13149 THE
CHAIRPERSON: Thank you very much.
LISTNUM
1 \l 13150 Commissioner
Morin, do you have any questions?
LISTNUM
1 \l 13151 COMMISSIONER
MORIN: No.
LISTNUM
1 \l 13152 THE
CHAIRPERSON: I am almost embarrassed to
be in front of so much talent. Thank you
very much for being here today. I do
have a couple of questions.
LISTNUM
1 \l 13153 Ms
MacGregor, I notice on your letter in particular you do use My Space.
LISTNUM
1 \l 13154 MS
MacGREGOR: Yes.
LISTNUM
1 \l 13155 THE
CHAIRPERSON: That is a way, I am sure,
to have people become aware of your music.
Is it your position, therefore, that that is just not enough, that if
you don't get on radio you just can't make it in this country as an artist?
LISTNUM
1 \l 13156 MS
MacGREGOR: There are a lot of people who
are doing it with My Space right now, but radio is still the number one spot
where people hear a song on the radio and they like it, then they go search for
the My Space for it after that. It is
hard for people to just search out of no where the MacGregors or to find
things.
LISTNUM
1 \l 13157 To
get on radio is very important for people to hear about you and get exposure
that way. But with My Space, I have
found that it also kind of shows people's hunger for new music, how there are a
lot of people making it on My Space because people are searching for new music
and want to hear different stuff than what is on the radio right now.
LISTNUM
1 \l 13158 THE
CHAIRPERSON: Your peers, other than
places like My Space, they are still relying on radio to get exposed to new
music?
LISTNUM
1 \l 13159 MS
MacGREGOR: Yes. That is basically where they listen to their
music, unless they have been told about something that they should go search up
on My Space, where they are finding the music is on the radio and what they see
on Much Music and things like that. It
is very tied into the media which is out right now.
LISTNUM
1 \l 13160 THE
CHAIRPERSON: If any of the other
panellists wish to address this issue, I would be glad to hear you.
LISTNUM
1 \l 13161 MR.
McGREW: You do get paid when your song
is played on the radio.
LISTNUM
1 \l 13162 THE
CHAIRPERSON: And that is a big fact, I
am sure.
LISTNUM
1 \l 13163 I
thank you all very much for your participation.
As you can imagine, this hearing certainly isn't an exception, but
oftentimes we are faced with the embarrassment of choice because of who the
applicants are and what they have put forward.
Certainly the interventions from participants such as yourselves and
everyone else who appeared in this phase certainly help us to make our
decisions.
LISTNUM
1 \l 13164 Thank
you all very much.
LISTNUM
1 \l 13165 Madam
Secretary.
LISTNUM
1 \l 13166 THE
SECRETARY: Thank you.
LISTNUM
1 \l 13167 This
completes the list of appearing intervenors and Phase III. Thank you.
LISTNUM
1 \l 13168 THE
CHAIRPERSON: Thank you. We will take a 15‑minute break and we
will come back at a quarter to 12:00, where we will start Phase IV of this part
of the hearing. We will then break for
lunch.
LISTNUM
1 \l 13169 It
is the intention of the Commission to hear both the CMES application, as well
as the Pattison application. So I am
putting on notice both of those applicants and their intervenors.
LISTNUM
1 \l 13170 If
for any reason we can't do that, please inform our Hearing Secretary, Ms
Ventura. But it is our intention to
complete the hearing by the end of the day today.
LISTNUM
1 \l 13171 Thank
you. We will be back in 15 minutes.
‑‑‑ Upon recessing
at 1130 / Suspension à 1130
‑‑‑ Upon resuming
at 1148 / Reprise à 1148
LISTNUM
1 \l 13172 THE
SECRETARY: We will now proceed with
Phase IV in which applicants can reply to all interventions submitted on their
applications.
LISTNUM
1 \l 13173 We
have been informed that Corus Radio Company and In‑House Communications
Inc. will not be appearing in this phase.
LISTNUM
1 \l 13174 Applicants
appear in the reverse order. We would
now ask Deep Waters Media Inc. to come up to the presentation table.
LISTNUM
1 \l 13175 Please
restate your name and you have ten minutes for your presentation.
REPLY / RÉPLIQUE
LISTNUM
1 \l 13176 MS
HOMMY: My name is Hillary Hommy with
Deep Waters Media.
LISTNUM
1 \l 13177 We
have nothing to add to any of the interventions or the applications. We just wanted to thank you again for hearing
our application and thanks for coming to Kelowna ‑‑
LISTNUM
1 \l 13178 THE
CHAIRPERSON: Thank you very much.
LISTNUM
1 \l 13179 THE
SECRETARY: We would now ask Radio CJVR
Limited to come up to the presentation table.
LISTNUM
1 \l 13180 Please
restate your name for the record, and you have ten minutes for your
presentation.
REPLY / RÉPLIQUE
LISTNUM
1 \l 13181 MR.
SINGER: Thank you. My name is Ken Singer, Vice‑President
of Radio CJVR.
LISTNUM
1 \l 13182 First
of all, thank you, Madam Chair, Commissioners and staff for a very excellent
hearing and an opportunity to present here this week.
LISTNUM
1 \l 13183 We
would also like to acknowledge our appreciation to our intervenors who wrote
letters on our behalf and, in particular, to Caroline Miller of the Okanagan Symphony,
who took time to appear here today on our behalf.
LISTNUM
1 \l 13184 Just
as an aside to comments made yesterday by Curtis Tulman of the Cruzeros,
appearing in support of Sun Country and his reference that stations in
Saskatchewan make their playlist decisions based on input from Nashville, I
just wish to point out that this is clearly not the situation when it comes to
programming the music on our country stations.
LISTNUM
1 \l 13185 We
are very proud of our commitment to expose Canadian independent artists,
including the Cruzeros, and the industry has recognized this by naming our
station an unprecedented 12 times as Saskatchewan Country Music Station of the
Year, six CMM Awards as Canadian Country Station of the Year, and just two
months ago our Canadian Coast‑To‑Coast program was named Country
Program of the Year by the Canadian Country Music Association, competing with
several CMT programs that were nominated in this category.
LISTNUM
1 \l 13186 We
can only surmise that Mr. Tulman was referring to other country station
operators in Saskatchewan, as we checked our records and found that we have 15
Cruzeros songs on our playlist, receiving 447 spins on CJVR since May 2005.
LISTNUM
1 \l 13187 Further,
since November a year ago, the Cruzeros have received 63 spins on our Melfort
station and a similar amount on our Whitecourt Country station and we are very
proud of that.
LISTNUM
1 \l 13188 In
addition, the band has been featured several times on our Canadian Coast‑To‑Coast
radio show.
LISTNUM
1 \l 13189 Given
the opportunity to bring Country 96 to Kelowna, I wish to assure the Commission
and independent artists such as the Cruzeros that CJVR's commitment to promote
and expose local Canadian artists will be very evident. We look forward to the opportunity and to play
them and others to a home town audience.
LISTNUM
1 \l 13190 Thank
you very much.
LISTNUM
1 \l 13191 THE
CHAIRPERSON: Thank you, Mr. Singer.
LISTNUM
1 \l 13192 I
have been reminded ‑‑ it is great having the staff here ‑‑
that we need to ask you to confirm your over and above CCD commitment because
the figure we have is $953,298 over the seven years of the licence term. Is that correct?
LISTNUM
1 \l 13193 MR.
SINGER: We submitted a spreadsheet
yesterday showing our calculations, and I just want to be clear. Are you asking the difference between our
commitment to FACTOR and the $1 million?
LISTNUM
1 \l 13194 THE
CHAIRPERSON: As you know, according to
the 2006 policy, there is a basic amount that each radio operator must
contribute based on previous year's revenues.
LISTNUM
1 \l 13195 MR.
SINGER: Right.
LISTNUM
1 \l 13196 THE
CHAIRPERSON: So, that is your base
amount.
LISTNUM
1 \l 13197 MR.
SINGER: Okay.
LISTNUM
1 \l 13198 THE
CHAIRPERSON: It is the over and above.
LISTNUM
1 \l 13199 MR.
SINGER: Over and above the base amount?
LISTNUM
1 \l 13200 THE
CHAIRPERSON: Over and above the base
amount.
LISTNUM
1 \l 13201 MR.
SINGER: It is the 953.
LISTNUM
1 \l 13202 THE
CHAIRPERSON: $953,298.
LISTNUM
1 \l 13203 MR.
SINGER: Yes, it is.
LISTNUM
1 \l 13204 THE
CHAIRPERSON: And you will accept that as
a condition of licence?
LISTNUM
1 \l 13205 MR.
SINGER: Yes, we will.
LISTNUM
1 \l 13206 THE
CHAIRPERSON: Thank you very much. Now I can let you go.
LISTNUM
1 \l 13207 MR.
SINGER: And thank you again.
LISTNUM
1 \l 13208 THE
SECRETARY: We would now call on Northern
Native Broadcasting (Terrace, B.C.) to come up to the presentation table.
LISTNUM
1 \l 13209 Please
restate your name for the record, and you have ten minutes for your
presentation.
REPLY / RÉPLIQUE
LISTNUM
1 \l 13210 MR.
BARTLETT: Thank you.
LISTNUM
1 \l 13211 My
name is Ron Bartlett.
LISTNUM
1 \l 13212 MS
TERBASKET: My name is Lynne Terbasket.
LISTNUM
1 \l 13213 MR.
WESLEY: I am William Wesley.
LISTNUM
1 \l 13214 MR.
BARTLETT: Thank you.
LISTNUM
1 \l 13215 Again,
I thank you for this opportunity, as I am sure everyone in the room appreciates
they don't have to go through quite the rigorous consultation that we do.
LISTNUM
1 \l 13216 But
with respect and our humble apologies for the process. We fully understand the responsibility of
meaningful consultation and intend to engage the Westbank First Nation as
Kelowna is their territory. We didn't
find we had adequate time to research and process the application, as well as
engage the Westbank First Nation in meaningful consultation.
LISTNUM
1 \l 13217 Because
of the short time line our intention, should we be privileged to obtain, is to
meaningfully consult the Westbank First Nation, accommodating their needs. Through consultation, our commitment is to
establish a stand alone radio station in Kelowna, with full involvement with
the Westbank First Nation. We will be
looking to train and staff the radio station, where possible, with their band
members, reflecting the culture of the Westbank people in their language and
culture broadcasting.
LISTNUM
1 \l 13218 We,
at NNB, Northern Native Broadcasting, above all, have the knowledge and
experience with over 20 years of serving the First Nations of B.C. We feel confident that we will be able to
accommodate the needs of the Westbank people and provide a quality First
Nations broadcast product that will be an important part of the daily lives of
the Westbank First Nations people and the aboriginal population of Kelowna.
LISTNUM
1 \l 13219 That
is what I understand that we are applying for, Kelowna.
LISTNUM
1 \l 13220 There
was some mention of 3 per cent and we were looking at suggesting 10 or
greater. We have actually consulted the
Friendship Society, which is the urban First Nations population, and they are
looking at their people being represented as well in this. There are also Métis and Inuit as well within
the area.
LISTNUM
1 \l 13221 One
thing that we have tried to do within our northern network is to accommodate
the First Nations people in the urban centres as well. There is actually more people living off reserve,
people that have come to Kelowna for work from all parts of British Columbia,
Canada and the northwest. There are
Métis people living here.
LISTNUM
1 \l 13222 Again,
we have had the privilege of meeting with Chief Louie prior to them leaving and
the door has been open for us to consult.
So, we plan meaningful consultation.
We have had a very warm and cordial meeting at that point.
LISTNUM
1 \l 13223 Unfortunately,
again, understanding consultation and explaining it again and being First
Nations and understanding our point in consultation, it is more than a word.
LISTNUM
1 \l 13224 Consultation,
as designed by law as it has gone forward, is accommodation. So, again, if we cannot accommodate their
needs, then we will look at backing away if we cannot make things go forward.
LISTNUM
1 \l 13225 But,
again, the application that is presented to you today was put forward and we
are responding to an application. They
had an opportunity as well to respond to the application. We chose to go ahead with our application
and, again, our consultation process, we go on record is going to be
meaningful.
LISTNUM
1 \l 13226 With
Chief Louie, as Kelowna is the Westbank territory, so other intervenors, if we
are applying for Penticton or wherever else, they may come in place, but Chief
Louie was the one representing Westbank and that is who we will be consulting
for consultation. If he wants to bring
other peoples in, then by all means we will deal with their needs.
LISTNUM
1 \l 13227 But
we have been very successful in our northern broadcast in accommodating the
needs of the First Nations, and there is many diversities, many different areas
that we have to work within.
LISTNUM
1 \l 13228 Again,
we welcome the opportunity. There is
areas that we can bring in strength with our association, with our Western
Association of Aboriginal Broadcasters.
We encompass over 200 communities that are served by our broadcast
networks combined together. We are a
society now registered and we share our programming, we share our news. This Friday night we are broadcasting the
APTN Aboriginal Music Awards and on and on.
So we work together. We bring
that strength; we bring our experience.
LISTNUM
1 \l 13229 We
have had in our region a number of First Nations communities that have tried on
their own to do community radio broadcasting and they have failed. We tried to help them.
LISTNUM
1 \l 13230 It
sounds like a really good idea until you have to start paying the bills and
eventually money is tight in most communities and you have to pay for them out
of social programs or whatever else.
After a couple of years, it implodes in on itself, where we have
developed a model that has proven for 20 years.
We are successful and we are wanting to share this model with the
Okanagan people, work with them closely and from there benefit the people of
Kelowna, the First Nations and aboriginal and Métis people, the people that
also need to be represented.
LISTNUM
1 \l 13231 So,
our application is global to the First Nations people in this region, but
first, again and foremost, we will accommodate and consult with the Westbank
First Nation.
LISTNUM
1 \l 13232 COMMISSIONER
WILLIAMS: So, are we to understand that
we are to disregard Chief Louie's intervention this morning based upon a
conversation that you had with him after that?
LISTNUM
1 \l 13233 MR.
BARTLETT: I don't want to take anything
away with what Chief Louie said. With
respect, he is the leader of their nation and his presentation stands as it is.
LISTNUM
1 \l 13234 I
have his business card, his contact information that he gave me to continue to
consult and that is what we intend to do, to meaningful consult.
LISTNUM
1 \l 13235 Again,
the process of consultation from his level, just to give you an idea, in our
meetings they would come up with their needs in programming, in language, in
culture, in staffing, in board membership.
Those are processes that we would look to accommodating, but we would
then have to take it back to our Board of Directors because we are a business as
well, to see if there is a business model that we can present.
LISTNUM
1 \l 13236 We
don't want to be one of the many, many First Nations community radio stations
that go broke after two years. We don't
want to do that.
LISTNUM
1 \l 13237 COMMISSIONER
WILLIAMS: Chief Louie told us this
morning that they would be applying for a licence.
LISTNUM
1 \l 13238 MR.
BARTLETT: They had the opportunity to
apply as well now. So, what you are
considering is the application before you.
LISTNUM
1 \l 13239 Again,
Lord bless Chief Louie, I know he is a very good fellow, a very gracious man
and we look forward to working with him in the future. Again, our assurance is accommodation. That is in law; we have to do that. It is consultation and accommodation.
LISTNUM
1 \l 13240 Any
one that is coming in to do business in First Nations' lands, be it First
Nations or not, they have that obligation.
The Westbank can choose where they want to intervene or not in
anything. I understand that fully.
LISTNUM
1 \l 13241 Again,
we are planning to work within their processes and work with their needs. From there, we will go. But, again, if you could consider the needs
of the Métis, the needs of the other First Nations people within Kelowna, as
well, we would have to then concern ourselves with their needs because the
application is for Kelowna.
LISTNUM
1 \l 13242 So,
we are operating in many urban centres, and when our sister stations,
Missinipi, NCI from Edmonton, now they are in the number one and two markets in
those places where there is a diverse culture of many different nationalities
and they are representing the global spectrum of those communities, as the CBC
does.
LISTNUM
1 \l 13243 Again,
we understand how First Nations' governance in law works and this is our
commitment, we can be on record, it can be part of our licence, if you choose
to grant it to us, that we would be in full consultation and accommodation with
the Westbank First Nation.
LISTNUM
1 \l 13244 COMMISSIONER
WILLIAMS: Thank you for your
answer. That is all my questions.
LISTNUM
1 \l 13245 THE
CHAIRPERSON: Thank you, Mr. Bartlett and
to your colleagues. Thank you very much.
LISTNUM
1 \l 13246 THE
SECRETARY: We would now call Touch
Canada Broadcasting Inc. to come up to the presentation table.
LISTNUM
1 \l 13247 Please
restate your name for the record, and you have ten minutes for your
presentation.
REPLY / RÉPLIQUE
LISTNUM
1 \l 13248 MR.
HUNSPERGER: Thank you, Madam Secretary.
LISTNUM
1 \l 13249 Allan
Hunsperger. Madam Chair, Commissioners,
CRTC staff, first of all I want to thank all our supporting intervenors, particularly
the four who appeared before us today. I
would also like to thank you for the special consideration that you showed us
that enabled all four to present their views to you. We deeply appreciate it.
LISTNUM
1 \l 13250 We
wish you good luck in your deliberations and have a safe trip home.
LISTNUM
1 \l 13251 THE
CHAIRPERSON: Thank you very much, Mr.
Hunsperger.
LISTNUM
1 \l 13252 Go
ahead.
LISTNUM
1 \l 13253 THE
SECRETARY: We would now ask Clear Sky
Radio Inc. to come up to the presentation table.
LISTNUM
1 \l 13254 For
the record, please restate your name, and you have ten minutes four your
presentation.
REPLY / RÉPLIQUE
LISTNUM
1 \l 13255 MR.
LARSEN: Thank you very much. Paul Larsen.
I am the President of Clear Sky Radio.
LISTNUM
1 \l 13256 I
just want to thank the intervenors who took time to write on behalf of our
application, acknowledge the staff and the Chairperson and the Commissioners
for your time and diligence, and on the record I just wanted to say how much we
appreciate this Kelowna application process.
LISTNUM
1 \l 13257 From
our previous experience the timing of the whole process from application to
hearing has been cut in more than half and we know that the Commission has been
working hard on expediency, and I just wanted to say that it is appreciated
from our standpoint.
LISTNUM
1 \l 13258 Thank
you very much. Have a safe trip home.
LISTNUM
1 \l 13259 THE
CHAIRPERSON: Thank you, Mr. Larsen.
LISTNUM
1 \l 13260 THE
SECRETARY: We would now call CTV Limited
to come up to the presentation table.
LISTNUM
1 \l 13261 For
the record, please restate your name, and you have ten minutes for your
presentation.
REPLY / RÉPLIQUE
LISTNUM
1 \l 13262 MR.
GOLDSTEIN: Thank you, Madam Secretary.
LISTNUM
1 \l 13263 Again
for the record my name is David Goldstein.
I am the Senior Vice‑President of Regulatory Affairs for
CTVglobemedia. I am joined by Rob
Farina, our Vice‑President of Programming Development for CHUM Radio.
LISTNUM
1 \l 13264 Thank
you, Madam Chair, members of the Commission for this opportunity to reply to
the oral and written interventions concerning CTVglobemedia's application for
Kelowna's AIR‑FM. We have only a
few comments, but first we would like to begin by thanking all of the
intervenors who supported our application for AIR‑FM. They represent a cross‑section of
members of the underserved youth audience of Kelowna who are craving a unique
local media experience to call their own.
We also received support from parents and youth‑based agencies, as
well as underserved advertisers who are looking for a local media experience.
LISTNUM
1 \l 13265 In
particular, we would like to thank Mr. Dave Lubbers of UBC Students' Union and
Mr. Kris Mickelson of Eventis Management who appeared this morning. These are clearly two individuals who are
deeply involved in the local scene and have provided us with a great deal of
insight into the issues facing youth and young adults here in Kelowna and the
Cental Okanagan, including their lack of reflection in the current local media
landscape.
LISTNUM
1 \l 13266 There
were some intervenors that raised issues of localism. We are excited about the prospect of serving
Kelowna and Central Okanagan. CHUM Radio
has had a long history of creating intensely local radio stations in small, mid‑sized
and large communities from coast to coast.
Our localism has been well documented, as our stations are managed
locally, staffed locally and programmed locally, and we are continually
recognized for our community service.
LISTNUM
1 \l 13267 We
have been an industry leader in local news and information, and as well as
ensuring that our stations are a reflection of the cultural diversity in each
of the communities that we serve. We
will bring all of these values to Kelowna's AIR‑FM.
LISTNUM
1 \l 13268 In
our view, the evidence in this proceeding was clear. There is a strong consensus amongst the
intervenors and other parties that the local economy is robust and audiences in
Kelowna are looking for more choice.
LISTNUM
1 \l 13269 As
we stated in our presentation, this is a tale of two cities, one that is increasingly
older and one that is increasingly younger, both growing dramatically. In fact, several parties, including some of
the applicants, made a point that licensing AIR‑FM would serve this
demographic best and we would have the least impact on the incumbents and other
applicants who might be licensed in this process.
LISTNUM
1 \l 13270 Moreover,
the Commission was quite clear, we believe, in the commercial radio policy when
it stated the key challenge was to keep radio relevant. The Commission also outlined its concern to
lower levels of tuning especially amongst young people. In paragraph 8 of the policy, the Commission
stated, and I quote:
"Overall weekly listening
levels to conventional radio decreased by roughly one hour and 25 minutes from
1999 to 2005 to 19.1 average weekly hours tuned per capita. The decrease is most notable in the teen
demographic of 12 to 17 and for adults aged from 18 to 34."
LISTNUM
1 \l 13271 Later,
in the public notice, paragraph 31, to be specific, the Commission's challenged
broadcasters to be more innovative in the new media space, and I quote:
"In addition to continuing to
monitor how new distribution technologies for audio programming are affecting
the radio industry, the Commission also intends to question radio licensees at
licence renewal and new licensing and transfer ownership proceedings about
their plans to employ new distribution platforms to the benefit of the Canadian
broadcasting system."
LISTNUM
1 \l 13272 We
respectfully submit that CTVglobemedia's application for AIR‑FM is the
only application in the process that explicitly addressed this challenge as the
most direct response to the Commission's Commercial Radio Policy.
LISTNUM
1 \l 13273 We
contend that AIR‑FM is the right proposal for Kelowna because, as noted
by the intervenors and others, the scale of the underserved youth market is
undisputed, our impact on the incumbents and other potential licensees will be
minimal, our four‑pronged support for Canadian talent centred on our 40‑40
plan will deliver results.
LISTNUM
1 \l 13274 As
intervenors had noted we need to completely embrace all forms of technology
available as extensions of the radio station.
LISTNUM
1 \l 13275 AIR‑FMs
360 degree interactive approach reaches out to this age group and their multi‑media
environment. This age group wants radio
to step up, change for the better and challenge them in a new way of presenting
radio that is customized to their lifestyle.
LISTNUM
1 \l 13276 AIR‑FM
not only meets the Commission's key challenge but will provide a truly unique
and innovative service to build a new community for young audiences here in the
Central Okanagan. That completes our
reply.
LISTNUM
1 \l 13277 We
would like to thank Madam Chair, members of the panel, and we would also like
to thank the staff, many of whom have been working months on this process, and
we welcome your questions.
LISTNUM
1 \l 13278 THE
CHAIRPERSON: Thank you very much.
LISTNUM
1 \l 13279 I
just have one question and it really is just to complete the circle and
complete the record.
LISTNUM
1 \l 13280 In
an exchange of question and answers on Tuesday, between Commissioner Williams
and Mr. Ski, Commissioner Williams did ask Mr. Ski how many new commercial FM
stations the market, in his estimation, how many the market could support, and
the second part of the question was if we licensed more than one, which of the
other applicants would have the least impact and which would have the most.
LISTNUM
1 \l 13281 Mr.
Ski answered the first part, wherein he said that the market possibly could
have two licences, and that the market is robust and it is growing. But he didn't answer the second part of the
question, and that is: If we licensed
more than one and you were one of the more than one, which of the others would
have the least impact and which of the others would have the most?
LISTNUM
1 \l 13282 MR.
GOLDSTEIN: I will obviously agree with
Mr. Ski on the first half of the answer.
LISTNUM
1 \l 13283 THE
CHAIRPERSON: That is probably a good
career move.
LISTNUM
1 \l 13284 MR.
GOLDSTEIN: That is right.
LISTNUM
1 \l 13285 I
would like to extend, if we are working under the precept that we are one of
the ones licensed, I would also like to continue with that.
LISTNUM
1 \l 13286 I
think what we said in the opening statement and we reiterate it today, our
research has demonstrated that there are two pools, if you will, demographic
pools in the marketplace that are growing dramatically, which is not to say
that there isn't a large population here in Kelowna that rests in the middle,
but we believe that they are well served by the current radio stations in the
market. We never wanted to leave the
impression with the Commission that radio stations in the market now are not
doing a good job.
LISTNUM
1 \l 13287 Our
research did find that there were two significant pools of growing
demographics. We chose one, the younger
demographic. Other applicants in this
process, like Harvard, have chosen another demographic. I think, as I said in my comments and
reiterate, I think if there were two commercial licences to be licensed in this
process those are the two choices that would fill the two holes in the market.
LISTNUM
1 \l 13288 THE
CHAIRPERSON: If we were to licence
anything else that targeted a younger demographic, that would obviously have
the most impact on your proposal, and yet if we were to licence something that
targets the older demographic, it would have the least, and within those two
groups ‑‑
LISTNUM
1 \l 13289 MR.
GOLDSTEIN: Without prejudice, Madam
Chair, I think the applicants at the older end of the scale, given the research
that we have done, would not only have the least impact on us but the current
incumbents.
LISTNUM
1 \l 13290 THE
CHAIRPERSON: Thank you very much. Thank you gentlemen.
LISTNUM
1 \l 13291 Madam
Secretary.
LISTNUM
1 \l 13292 THE
SECRETARY: Thank you, Madam Chair.
LISTNUM
1 \l 13293 We
will now proceed with Harvard Broadcasting Inc.
Could you please come up to the presentation table.
LISTNUM
1 \l 13294 For
the record, please restate your name, and you will have ten minutes for your
presentation.
REPLY / RÉPLIQUE
LISTNUM
1 \l 13295 MR.
COWIE: Thank you.
LISTNUM
1 \l 13296 For
the record, my name is Bruce Cowie, Vice‑President of Broadcasting for
Harvard. With me is Deborah McLaughlin
on my right, and Rob Malcolmson on my left.
LISTNUM
1 \l 13297 I
would first like to thank the many intervenors who supported our application
and, in particular, to Gerry Fraser for coming here yesterday to share his
views on Kelowna.
LISTNUM
1 \l 13298 We
are here today to briefly reply to the intervention from Astral/Standard
regarding the positioning of our proposal and to clarify for the record the
distinctiveness of our application when compared to what exists here today.
LISTNUM
1 \l 13299 In
terms of the concerns expressed by Astral/Standard regarding the 31 per cent
duplication with CILK‑FM, we have looked at four measurement
metrics. We examined the duplication in
the following areas: Artists, selection
or tracks, crossover in the presentation of eras, and audience
distribution. We have attached charts
that will assist you in understanding our assessment.
LISTNUM
1 \l 13300 I
will ask Deborah McLaughlin to walk you through these schedules.
LISTNUM
1 \l 13301 MS
McLAUGHLIN: Schedule A attached to the
presentation summarizes the artist and track duplication, and we presented it
on two levels.
LISTNUM
1 \l 13302 The
first is market level. When we look at
the proxy station that we have used, which is the Jewel in Ottawa and we look
at it at the artist level, we see that only 166 artists or 16.5 per cent of our
artist list is in fact available in the market today. If you take that to the track level, that
reduces to 8 per cent, a track being of course the song selection that we would
make.
LISTNUM
1 \l 13303 We
specifically looked at CILK and we used the most current week, which was last
week, and we found that only 153 of the artists that would be on our playlist
were currently on CILK. This represented
only 15.2 per cent of our playlist and, when reduced again to the song level,
that represented only 7.2 per cent of our playlist.
LISTNUM
1 \l 13304 We
then looked further into the media base data and, again, for the same period,
last week, we broke down the eras, and that is in Schedule B on the following
page to the artist and track duplication.
LISTNUM
1 \l 13305 If
I can just take you through that. If we
look at 1969 or earlier, CILK had 4.9 per cent of their artists playing or from
that era. We would have 28 per
cent. From 1970 to 1979, they had 17.5
per cent compared to our 6; 1980 to 1989, 24.2 per cent for CILK and 13 per cent
for our proposal; 1990 to 1999, 17.5 per cent for CILK, 13 per cent for us;
2000 to 2004, 14.1 per cent for CILK and 25 per cent for us; finally 2005 to
present, 21.8 per cent for CILK and 15 per cent for us.
LISTNUM
1 \l 13306 I
must point out that the opportunity for a station like Timeless 96.3 to play
current music at this level is somewhat of a phenomena given that stations are
starting to play this so artists are starting to record.
LISTNUM
1 \l 13307 Mr.
LeBlanc on Tuesday talked about Rod Stewart and other contemporary artists who
are currently starting to perform in the standards because there is an
opportunity there is a market, and the list goes on, Cindy Lauper, Carly
Simons. It is quite an extensive list. So that period of 2000 to present actually
represents a new resurgence in the production of Easy Listening and Standard's
music.
LISTNUM
1 \l 13308 Finally,
we also took an audience duplication assessment. In order to do this, because obviously we are
not on air and CILK is, we took a summary of the adult standard groups from
BBM. Sorry, it is in Schedule C. If you look at this chart, you will see that,
in fact, and all of the age breaks are there, the detailed age breaks that BBM
provides, but if you look towards the bottom there is four summary lines and I
would like to draw your attention to that.
LISTNUM
1 \l 13309 The
average age for CILK audience is 45.4. I
believe we went on record earlier this week saying it was less than 50. This is actually what BBM shows us. For the adult standards group currently
performing this format, it is 61.1.
LISTNUM
1 \l 13310 The
per cent of the audience that is below 35 for CILK is 26.4. For adult standards it is 5.7. The per cent of the audience between 25 and
49 for CILK is 29 and for ours it is 9.7.
Finally, the per cent of the audience above 50 is 44.6 for CILK and 84.6
for the adult standards.
LISTNUM
1 \l 13311 MR.
COWIE: Madam Chair, we would also like
to address for the Commission numbers that were read into the record regarding
our CCD and clarify total commitment, our base commitment and our over and
above numbers.
LISTNUM
1 \l 13312 Again,
I would ask Deborah to read those into the record.
LISTNUM
1 \l 13313 MS
McLAUGHLIN: Some day I am going to get
to read something other than numbers.
LISTNUM
1 \l 13314 Our
total commitment is $900,000. Our total
CCD owing under the new policy is $22,872, and our contributions to CCD above
the base commitment is $877,128.
LISTNUM
1 \l 13315 MR.
COWIE: In closing, we think that the
market can sustain new competition and we think that our proposal properly
identifies the largest and fastest growing gap in the market and fills the need
created by a missing older format.
LISTNUM
1 \l 13316 Thank
you very much for your consideration, time and patience over the week. Thank you very much.
LISTNUM
1 \l 13317 THE
CHAIRPERSON: Thank you.
LISTNUM
1 \l 13318 I
do have a question for you because I neglected to ask you the question I have
asked all applicants when you appeared before us on Tuesday, and that is of
course, in your opinion, how many new commercial FM stations can this market
sustain, which is the first part of the question, and the second part is if we
were to licence more than one, which would have the least impact and which
would have the most on your business plan?
LISTNUM
1 \l 13319 MR.
COWIE: Thank you very much for asking
the question. I was going to ask you to
ask the question if you hadn't.
LISTNUM
1 \l 13320 THE
CHAIRPERSON: You could have just given
me the answer.
LISTNUM
1 \l 13321 MR.
COWIE: You heard CTV CHUM describe
Kelowna as a tale of two cities, one young and one old. We agree with this assessment of the
market. We would all augment it by
highlighting the growth prospects in our answer.
LISTNUM
1 \l 13322 B.C.
Stats, the definitive source of population projections for the province,
estimated in August of this year that over 55 per cent of the radio market will
be over 45 years of age by 2015, the final year of any license that is issued
after this hearing.
LISTNUM
1 \l 13323 This
represents 96,000 people, more than the entire population of the cities of
Vernon, a city of 58,000 and Penticton, a city of 45,000.
LISTNUM
1 \l 13324 As
you have heard from every applicant, this is a market that is undergoing strong
economic growth and there has not been a new radio station licensed in this
market in eight years. So, we believe
the market can support two new commercial licences.
LISTNUM
1 \l 13325 Of
all the applicants before you, CTV CHUM would have the least impact on our
business plan. They are targeting the
opposite end of the demographic spectrum, while the median age of our audience
is 58. Based on our extensive review of
the market, the two demos that are the most underserved are 55‑plus and
the youth demos. Rather than creating a
situation where either of the consumers lose choice or the market is disrupted,
why not choose to licence applicants with a clear plan to serve this market
from the outset?
LISTNUM
1 \l 13326 With
that, Madam Chair, we thank you very much.
LISTNUM
1 \l 13327 THE
CHAIRPERSON: And you have given me
obviously the one that would have the least impact?
LISTNUM
1 \l 13328 MR.
COWIE: Yes.
LISTNUM
1 \l 13329 THE
CHAIRPERSON: What about the one that
would have the most?
LISTNUM
1 \l 13330 MR.
COWIE: We think that any of the other
applications that are targeting the higher demo would be harmful to us.
LISTNUM
1 \l 13331 THE
CHAIRPERSON: Thank you.
LISTNUM
1 \l 13332 I
believe legal counsel has a couple of questions for you.
LISTNUM
1 \l 13333 MS
LEHOUX: Just one question. In the revised CCD calculations you have
identified two initiatives that are not eligible any more under our 2006 radio
policy. They are Star Maker and
CCIM. Will you redirect the funds and,
if so, to what?
LISTNUM
1 \l 13334 MR.
COWIE: To FACTOR.
LISTNUM
1 \l 13335 MS
LEHOUX: Thank you.
LISTNUM
1 \l 13336 THE
CHAIRPERSON: Thank you very much.
LISTNUM
1 \l 13337 Madam
Sectary.
LISTNUM
1 \l 13338 THE
SECRETARY: We would now ask Sun Country
Cablevision to come up to the presentation table.
LISTNUM
1 \l 13339 For
the record please restate your name, and you will have ten minutes for your
presentation.
REPLY / RÉPLIQUE
LISTNUM
1 \l 13340 MR.
GRAY: Thank you very much. My name is Walter Gray. We are from Sun Country Cablevision,
applicants for Classic Rock 96.3 in Kelowna.
We will be quite brief.
LISTNUM
1 \l 13341 Joining
me is our President of our company, Ted Pound and one of the founding
Directors, and our Managing Director, Michael Hall and I am also a Director.
LISTNUM
1 \l 13342 First
of all, Madam Chairman Cugini and to the Commissioners Williams and Morin, we
want to thank you so very much for coming to Kelowna. We opened with those remarks back at the
beginning of the hearing.
LISTNUM
1 \l 13343 As
a former Chamber of Commerce President and as the former Mayor, we are always
very satisfied when our community is recognized. I think when Kelowna's business is being
discussed, it should be done in Kelowna and we want to thank the Commission and
the staff for recognizing that. It is
much appreciated and I am sure the other applicants feel the same way.
LISTNUM
1 \l 13344 We
at Sun Country are very grateful for the attention that the Commission has
given to our application. Our
observation is that it has been very, very thorough. You do have a difficult job ahead of you, but
I have every confidence that the community will be served well by your decision
after you have digested everything that you have heard this past week.
LISTNUM
1 \l 13345 We
want to extend our thanks to the many, many dozens of written interventions we
had on our behalf. It was quite rewarding
and certainly worth all the time and effort and money that has gone into the
preparation of our application to get that kind of support.
LISTNUM
1 \l 13346 I
would like to particularly point out one letter and that was the letter from
NARIA, the National Aboriginal Recording Industry Association who, in their
letter ‑‑ and I don't know whether you had time to read all of
the letters ‑‑ but in their letter they stated that if we were
licensed, our CCD commitment to helping them would be much appreciated. But they did go on to say that we are the
first radio company or radio applicant in Canada to offer such support through
the CCD. So, we think it would send a
great signal if we had that opportunity to be funding them on a seven‑year
basis.
LISTNUM
1 \l 13347 I
also want to thank the two intervenors that appeared here live and in person,
David Langton and also Curtis Tulman of the Cruzeros. We appreciated their support and I must
advise you that they came to us, we did not go to them. So that gives us a special thrill.
LISTNUM
1 \l 13348 The
Canadian Radio and Television Commission process has given us, at Sun Country,
a fair and good hearing. We are very
proud of our federal regulated CRTC for its professionalism. I echo that and I thank you so much for that.
LISTNUM
1 \l 13349 Throughout
the hearing, and not just when we were presenting as the second applicants back
on Tuesday morning when we were all much fresher than we are now, it has been
coming through I think quite loud and clear that a locally owned and operated
radio station will add very much needed diversity in this market and I think
the Commission should recognize, as we certainly are aware, having been long‑time
residents in the broadcasting business here in Kelowna, there are two very good,
but very large, radio companies operating the current radio station, Pattison
and Astral.
LISTNUM
1 \l 13350 I
have so much respect for them, but a locally owned and operated radio station
would complement what we already have, I believe, very, very well.
LISTNUM
1 \l 13351 The
only other thing I would ask the Commission, because of the 11 applicants, it
is either seven or eight, I would have to look at the list, are all applying
for the same frequency of 96.3. Nobody
at this hearing has yet thought to put in their dibs, but if we are successful,
we would very much appreciate getting that fourth adjacency frequency, 96.3.
LISTNUM
1 \l 13352 I
think that sums up our comments, unless one of my colleagues has anything
further to add.
LISTNUM
1 \l 13353 THE
CHAIRPERSON: Mr. Gray, thank you
very. You can bet that now that the
hearing has taken three days instead of four, we will be enjoying some time
tomorrow in this area.
LISTNUM
1 \l 13354 Thank
you very much.
LISTNUM
1 \l 13355 MR.
GRAY: I will talk to the weather office
for you as soon as we are out of here.
LISTNUM
1 \l 13356 THE
CHAIRPERSON: Thank you.
LISTNUM
1 \l 13357 MR.
GRAY: Thank you so very, very much.
LISTNUM
1 \l 13358 THE
SECRETARY: We would now ask Vista Radio
Limited to come up to the presentation table.
REPLY / RÉPLIQUE
LISTNUM
1 \l 13359 MS
MICALLEF: Thank you, Margot Micallef,
Chair and CEO of Vista Broadcast Group and Vista Radio.
LISTNUM
1 \l 13360 I
wanted to just reiterate that we have provided fulsome replies to the written
interventions that were filed in advance of this hearing, and the only thing we
would add is just to reconfirm those interventions or replies, rather, and the
fact that you have heard from a number of the applicants in support of at least
one more FM station here in Kelowna, the robustness of the economy here and the
eagerness of the citizens of this city to have another radio station.
LISTNUM
1 \l 13361 I
also would like to thank our 1,000 plus supporters who took the time to write
in support of our application.
LISTNUM
1 \l 13362 Finally,
to thank you, Madam Chair and Commissioners and staff for a very efficient
hearing. Thank you.
LISTNUM
1 \l 13363 THE
CHAIRPERSON: Ms Micallef, thank you very
much.
LISTNUM
1 \l 13364 Madam
Secretary.
LISTNUM
1 \l 13365 THE
SECRETARY: This completes consideration
of items 1 to 11 on the agenda.
LISTNUM
1 \l 13366 Thank
you, Madam Chair.
LISTNUM
1 \l 13367 THE
CHAIRPERSON: Thank you. We will now break for lunch. We will come back at 2:00 o'clock. Thank you.
‑‑‑ Upon recessing
at 1230 / Suspension à 1230
‑‑‑ Upon resuming
at 1400 / Reprise à 1400
LISTNUM
1 \l 13368 THE
SECRETARY: We will now proceed with item
12 on the agenda, which is an application by Community Media Education Society
for a licence to operate a community programming undertaking in the service
area of the regional Class 1 broadcasting distribution undertaking of TELUS
Inc., which serves British Columbia and Alberta.
LISTNUM
1 \l 13369 The
applicant proposes to provide community programming in Victoria, Nanaimo,
Prince George, Terrace, Vernon, Penticton and Vancouver, including Lower
Mainland and Fraser Valley, British Columbia, and in Calgary, Edmonton, Fort
McMurray, Red Deer, Grande Prairie, Lethbridge and Medicine Hat, Alberta.
LISTNUM
1 \l 13370 Appearing
for the applicant is Mr. Brock MacLachlan.
Please introduce your colleagues, and you will have 20 minutes to make
your presentation.
PRESENTATION / PRÉSENTATION
LISTNUM
1 \l 13371 MR.
MacLACHLAN: Thank you. Good afternoon, Madam Chair and members of
the Commission. We are pleased to be here
in Kelowna to present our licence application.
We are especially thankful to the Commission to hear us in person.
LISTNUM
1 \l 13372 My
name is Brock MacLachlan. I have been
involved in community TV as a volunteer for over ten years and served as a Director
of CMES and Independent Community Television Cooperative, ICTV over the past
six years. I have been studying
Political Science and Communications at the graduate level at Simon Fraser
University.
LISTNUM
1 \l 13373 Lynda
Leonard is a producor and editor of community TV programming, as well as
corporate and educational video. She has
been volunteering with community television since the 1980s, starting with
Calgary Cable and then Rogers Cable and ICTV in Vancouver. She is also a Director of CMES.
LISTNUM
1 \l 13374 Richard
Ward has been in community TV for over 30 years since finishing graduate
studies at UBC, first with West Kooteney Television and then in Vancouver with
Vancouver Cablevision, Premier, Rogers and Shaw.
LISTNUM
1 \l 13375 He
was a network control technician at Rogers for seven years. Recently he was the Treasurer at Video Inn,
where he is a founding member. He is
also a Director of CMES.
LISTNUM
1 \l 13376 One
of the main building blocks of a liberal democracy towards its social, cultural
and intellectual development is that there be free and open public spaces in
which new ideas, viewpoints and challenging perspectives are created, nurtured
and entered into public discourse.
LISTNUM
1 \l 13377 We
view the community television channel as an essential component of this public
space, which is the only television broadcast medium that serves the interests
and needs of Canada's heterogeneous and diverse mosaic of communities.
LISTNUM
1 \l 13378 The
idea of self‑expression, of free and open television access, is one of
Canada's most successful exports.
Opportunity for public discussion is a fundamental issue around the
world. In modern economies free speech
has an economic meaning. It must be cost
free as well as uncoerced.
LISTNUM
1 \l 13379 Thirty
years ago, when the community channel was created, it was mandated by the CRTC
to cover local events, seek out alternative views, provide balance on public
issues and provide open access to local broadcasting for participation by any
member of the local community. It also
served as a middle ground for Canada's television system, less experimental
than the film schools and providing more in‑depth coverage of local
events and issues than is seen in commercial broadcasting.
LISTNUM
1 \l 13380 Public
access for all community members was the key.
TV stations used to require students with communication diplomas to get
experience doing community TV before they were considered for permanent
commercial employment. Without a
community TV demo reel most graduates struggled to find work in their chosen
field. This process provided an
important step for many individuals pursuing careers in commercial media, as
well as a welcome place for volunteers wishing to use the community channel for
their own ideas while learning practical media skills.
LISTNUM
1 \l 13381 Deregulating
the community channel had one major flaw.
It left the control, administration and programming decisions of the
community channel solely with the BDU licensee.
Unfortunately, for those members of the community whose needs and
interests were of secondary importance to the BDUs, there has been the
irresistible tendency to use the BDU community channel for its own commercial
and promotional purposes. Licensing the
community channel independently is a good response, a powerful response, and a
necessary response.
LISTNUM
1 \l 13382 Michael
McCabe of the Canadian Association of Broadcasters pointed out that the
community channel was the chief social obligation of the cable companies, their
duty for bringing in basic American channels without payment. That early advantage let cable companies grow
into dominant players as Canada's media ownership has become narrowly
concentrated.
LISTNUM
1 \l 13383 By
contrast, ICTV, Independent Community Television Cooperative, has put public
access first and foremost. For several
years it has delivered shows to Novus Communications and Shaw Cable without
paid staff or core funding. ICTV, a
volunteer group, exists to provide top quality shows (11 international awards)
for a variety of distribution systems.
Because it has community support and dedicated members, ICTV has managed
to keep producing since 1997. CMES hopes
that ICTV will be able to coordinate access programming on the TELUS system in
Vancouver.
LISTNUM
1 \l 13384 Unregulated
industries cannot justify social spending and that is where governments must
provide balance. The idea of community
television is well respected internationally.
In association with ICTV, CMES has hosted delegations from Brazil, Japan
and South Korea, who know Canada as the birth place of the community channel.
LISTNUM
1 \l 13385 Independent
community TV is a significant resource for enhancing Canadian identity. Having participatory television channels
everywhere in Canada, accessible channels where citizens have an independent
society with directors they can elect, will make a fundamental difference to
our involvement in democracy, Canada's television industry is full of people
who started in community TV. The next
generation should have that same opportunity.
LISTNUM
1 \l 13386 Thank
you. I will turn it over to Lynda.
LISTNUM
1 \l 13387 MS
LEONARD: Thank you. We would now like to show you a compilation
we have done of community programming, past and present. We are fortunate enough to have an archive of
over 25 years of community television programming mainly from Vancouver East,
and I have also included some segments from that archive as well.
‑‑‑ Video
presentation / présentation vidéo
LISTNUM
1 \l 13388 MR.
WARD: I am Richard Ward. Distribution will be the main service CMES
provides. We have available a selection
of digital servers which are marketed for less than $10,000 to PEG stations in
the United States and we now have a strong Canadian dollar. PEG is the acronym for public, educational and
government television. We will include a
switcher in the system so that we can do instant substitutions or live phone
shows with a five second delay.
LISTNUM
1 \l 13389 Our
initial staffing cost is for two playback operators to load shows into the
server and handle any problems during the broadcast week. Funding to handle distribution at this
initial level will determine our launch date.
LISTNUM
1 \l 13390 We
plan to deliver a fully packaged channel so that TELUS will be able to plug it
into their head end and play our shows as easily as they can play global,
CityTV or the CBC. We support internet
distribution and video on demand, but we also believe that British Columbians
and Albertans should have a voice on a continuously programmed channel, a place
where someone can relax and watch TV without having to search for each show
individually, programs viewers can find easily while scanning the menu or
clicking through the channels.
LISTNUM
1 \l 13391 We
believe it is vital for the community channel to retain its place on the basic
service between channels 2 and 13, and for participatory public access to be
the main feature of the community channel.
LISTNUM
1 \l 13392 Once
our channel starts broadcasting we can reach every TELUS viewer, but we will
need a city to have at least 6,000 subscribers before we can hire an outreach
coordinator and give her the necessary equipment to train volunteers and help
them with their productions. We are
budgeting on the assumption that we will receive 2 per cent of subscriber revenues
even in communities with fewer than 6,000 subscribers. We hope that TELUS television service will be
popular enough with urban viewers so that we will be able to hire and equip an
outreach coordinator in any town or village with 2,000 subscribers.
LISTNUM
1 \l 13393 With
the geography of the TELUS licence, we believe the most effective way to
preserve the local nature of the community channel is to focus on local
production. We have to get equipment and
training as close as possible to every TELUS subscriber who wants to
participate. We have to guarantee public
access to those people and groups who can't afford broadcast‑quality
cameras. We can't assume that everyone
who does buy his own equipment will know how to get full advantage from its
capabilities, so training and mentoring are important. The idea of community is that people will
work together in a social relationship, not just a virtual one.
LISTNUM
1 \l 13394 The
outreach coordinator will actively recruit volunteers to report issues and
events in each neighbourhood. Each
neighbourhood office will produce two core shows: A news magazine show and an interview
show. That way each community will have
local coverage of events and personalities while other towns get an
introduction to their neighbours. Of
course community programs are as diverse as the imagination of the volunteers
and individual productions will be encouraged, preferably after a period of
training on one or both of the core shows.
LISTNUM
1 \l 13395 These
two familiar formats mean that shows get done on a regular schedule, they use
volunteer time efficiently. Interview
guests and people appearing in news items represent the primary content of each
neighbourhood office. Volunteers may use
the channel for their personal visions but only after they have demonstrated
competence handling traditional industry formats.
LISTNUM
1 \l 13396 Each
community will have major events that deserve extraordinary coverage. Doing shows on a regular basis encourages
volunteers to practice their skills.
That way, when the opportunity comes to do exceptional work, talent can
rise to the occasion. Community channel
quality means that Canada's broadcasting system continues to function as a
single system.
LISTNUM
1 \l 13397 Thank
you.
LISTNUM
1 \l 13398 THE
CHAIRPERSON: Thank you very much, Mr.
MacLachlan, Mr. Ward and Ms Leonard.
LISTNUM
1 \l 13399 I
am going to ask Commissioner Williams to lead the questioning.
LISTNUM
1 \l 13400 COMMISSIONER
WILLIAMS: Good afternoon. Welcome to the hearing.
LISTNUM
1 \l 13401 I
would like to spend a little time learning more about CMES and your
aspirations. Could you please provide us
some more information about CMES, maybe talk in terms of its history, how many
active members does it have now, where your current members live, are they only
in Vancouver or are they in other parts of B.C. or Alberta, and how much
community programming is being produced by CMES and where is CMES programming
being broadcast at this time? So
basically just a snapshot of your organization as it exists today.
LISTNUM
1 \l 13402 Start
with the history and the members.
LISTNUM
1 \l 13403 MR.
WARD: CMES was incorporated in 1997 when
the Vancouver East Neighbourhood Office kept going after Rogers shut down the
11 neighbourhood offices in Vancouver.
LISTNUM
1 \l 13404 At
the time, each neighbourhood office had about 60 to 120 volunteers. Kitsilano I believe where I was had 110.
LISTNUM
1 \l 13405 Rogers
gave the Van East office $10,000, plus the term of the lease, plus the
equipment. The term of the lease was another
14 months.
LISTNUM
1 \l 13406 But
it had to be incorporated into a society.
That society was CMES, Community Media Education Society. So, 1997 we were incorporated.
LISTNUM
1 \l 13407 We
have 200 members, but I would say about 30 are active. Those members are in B.C. and Alberta, but
primarily in the Lower Mainland. The
ones outside of the Lower Mainland would be more in the nature of supporting
members. We have an alliance with people
from NUTV in Calgary and people have come to Vancouver and then moved, for
example, to Osoyoos. One of our 20‑year
veterans is living in Osoyoos now, but we basically program in the Vancouver
area.
LISTNUM
1 \l 13408 COMMISSIONER
WILLIAMS: So the members outside of
Vancouver would not be actively involved in CMES's activities then?
LISTNUM
1 \l 13409 MR.
WARD: They are not now, but should we
get this licence, they would become quickly very active. They are eager for this.
LISTNUM
1 \l 13410 We
have support throughout B.C. and Alberta.
The Mayor of the city of Prince George passed a motion supporting our
application. There is a lot of
excitement about this.
LISTNUM
1 \l 13411 COMMISSIONER
WILLIAMS: If we can talk about the
programming, how much is produced and where is it being produced at this time?
LISTNUM
1 \l 13412 MS
LEONARD: Right now we have about 12
different shows airing right now in Vancouver.
A lot of the producers have their own equipment, but that means other
producers unfortunately don't have as much access because we don't have enough
of a budget right now to purchase the equipment.
LISTNUM
1 \l 13413 So,
there is a lot of interest, as Richard was saying. We get e‑mails just about every other
day from people wanting to volunteer, and we also get e‑mails from the
States from people wanting to air their programming, but I think maybe they are
not quite sure that community television started in Canada primarily to keep
Canadian programming going in Canada.
LISTNUM
1 \l 13414 So,
right now we have four hours a week on Shaw TV in Vancouver, and also we have
some air time on Novus Cable as well.
The programming, I think NUTV in Calgary has three half hour airings a
week on Shaw in Calgary, but the community channels in Vancouver and Calgary
are very different right now.
LISTNUM
1 \l 13415 There
is very different programming that the cable company has produced itself in
Vancouver, but some of it does show in Calgary.
LISTNUM
1 \l 13416 I
think the reason maybe why they are doing their type of programming is
precisely because of what we are doing in Vancouver.
LISTNUM
1 \l 13417 COMMISSIONER
WILLIAMS: On page 2 of your application
you state that CMES proposes to serve nine communities in British Columbia, and
you list the following seven locations:
Vancouver, Victoria, Nanaimo, Prince George, Terrace, Vernon,
Penticton. On page 10 you refer to
Nelson. Which is the other community
that has been omitted from this?
LISTNUM
1 \l 13418 MR.
WARD: At the moment we are likely
to ‑‑ we had written this list based on the TELUS application,
the original TELUS application of the communities that they would serve. So, I simply transferred this from the TELUS
application.
LISTNUM
1 \l 13419 COMMISSIONER
WILLIAMS: So it is eight communities,
then, not nine?
LISTNUM
1 \l 13420 MR.
WARD: I may have a typo in here.
LISTNUM
1 \l 13421 COMMISSIONER
WILLIAMS: It is not a big deal. If that is the case we will just note it.
LISTNUM
1 \l 13422 MR.
WARD: In fact, what we do expect to
serve now is Vancouver, Calgary, Edmonton because those are the communities
where the service is. We would serve all
of these communities as quickly as we can, and more as the subscribers are
available. But these would be the
communities.
LISTNUM
1 \l 13423 COMMISSIONER
WILLIAMS: So we would add at least
Edmonton and Calgary to this list then?
LISTNUM
1 \l 13424 MR.
WARD: Please.
LISTNUM
1 \l 13425 COMMISSIONER
WILLIAMS: How did you choose these
communities? I guess you kind of just
answered that in that wherever TELUS goes that where you plan to go.
LISTNUM
1 \l 13426 MR.
WARD: We have to. That is simply the technology of the
distribution.
LISTNUM
1 \l 13427 COMMISSIONER
WILLIAMS: TELUS's service area includes
Kamloops and Kelowna. They have not
applied for Kamloops and Kelowna?
LISTNUM
1 \l 13428 MS
LEONARD: I did ask TELUS ‑‑
actually, we had some interest from Canmore and Banff area. Some people had asked if we would be covered
in that area, and I had written to TELUS, but they said not at this time. So, Kamloops and Kelowna, I also asked about that,
but I didn't receive an answer about those two areas.
LISTNUM
1 \l 13429 COMMISSIONER
WILLIAMS: CMES has an experienced track
record of producing community programming in Vancouver. How do you propose to expand your activities
and your presence to provide community programming to such a wide range of
locations both in Alberta and British Columbia?
LISTNUM
1 \l 13430 MR.
WARD: What we find is that the
bottleneck in this is not getting the programs.
The bottleneck is the administration and the distribution.
LISTNUM
1 \l 13431 People
are eager to produce programs. What you
want to do on the production end is you want to improve the quality of the
programs. You get into a lot of
difficulties with a first come, first serve.
There are concerns over the responsibility of the person producing.
LISTNUM
1 \l 13432 So,
how would we get the programs from these smaller communities?
LISTNUM
1 \l 13433 COMMISSIONER
WILLIAMS: Yes.
LISTNUM
1 \l 13434 MR.
WARD: The first thing is that people who
are there already, once they know we have the licence, there is an excellent
chance that they will be seeking us out and we will certainly be publicizing
the availability of this in those communities.
LISTNUM
1 \l 13435 The
second thing that we will do is when we hire outreach coordinators, which we
are planning to do pretty much on a one day a week basis ‑‑ we
are used to working with very small amounts of money and placing these amounts
of money in very small chunks. If there
was, for example, demand from Kamloops, there would be an outreach coordinator
in Kamloops and the equipment would go there probably from a pool in that area.
LISTNUM
1 \l 13436 So,
we would take the programming from the people there, but also we would do what
we could to support them and lighting equipment, switchers, things like that.
LISTNUM
1 \l 13437 COMMISSIONER
WILLIAMS: That's Kamloops. Now let's say the next day there is something
in Fort McMurray.
LISTNUM
1 \l 13438 MR.
WARD: The next day there is something in
Fort McMurray. Fort McMurray is closer
to Edmonton. Now we get someone from
Edmonton there, but we would also, from a lot of these places, take something
that they would produce completely because, again, a lot of people do have the
equipment, but we are trying to get better equipment from there.
LISTNUM
1 \l 13439 But
Fort McMurray actually is on our list for having someone there as the number of
subscribers justifies. That is one of
the first places we would go. We tried
to place it geographically to keep the travel costs under control.
LISTNUM
1 \l 13440 COMMISSIONER
WILLIAMS: So you will have a person in
most of these centres employed for ‑‑
LISTNUM
1 \l 13441 MR.
WARD: A part‑time job.
LISTNUM
1 \l 13442 COMMISSIONER
WILLIAMS: A part‑time job,
effectively one day a week I think you said.
LISTNUM
1 \l 13443 MR.
WARD: Effectively one day a week.
LISTNUM
1 \l 13444 COMMISSIONER
WILLIAMS: And there will be pools of
equipment on a regional basis that could be transported to wherever they were
needed?
LISTNUM
1 \l 13445 MR.
WARD: We think pretty quickly we could
have a camera, an edit bay, a lighting kit and a vehicle everywhere we have an
outreach coordinator. We are optimistic
that the TELUS service will be in demand and that the revenues will be such
that we can do this.
LISTNUM
1 \l 13446 COMMISSIONER
WILLIAMS: In your submission you state
that CMES is making this application in association with the society to be
incorporated in Alberta because you want to have a regional facet complementing
a local focus, the main body of programming.
If this application is approved CMES would be the licensee of this
community programming undertaking.
LISTNUM
1 \l 13447 What
would be the relationship of the Alberta society's involvement with the day‑to‑day
operations of the station?
LISTNUM
1 \l 13448 MR.
WARD: The Alberta society would act as a
peer society. The Alberta society would
be a member of CMES. I don't believe
CMES is restricted geographically from having members in Alberta. We have the relationship with NUTV right
now. And NUTV, while it is connected
with the university, would not itself be the society. Members of NUTV, including people on their
Board of Directors, are quite eager to be involved in this. So, it would be not a new from the ground
society. It would be people who have
been involved with community television for many years.
LISTNUM
1 \l 13449 THE
CHAIRPERSON: Just for a second, just so
I don't lose this point, what is NUTV?
LISTNUM
1 \l 13450 MS
LEONARD: It is the university television
from the University of Calgary.
LISTNUM
1 \l 13451 THE
CHAIRPERSON: And they already produce?
LISTNUM
1 \l 13452 MS
LEONARD: Yes.
LISTNUM
1 \l 13453 THE
CHAIRPERSON: And they are part of the
Alberta society?
LISTNUM
1 \l 13454 MS
LEONARD: They would be, yes. They are a little bit different. They have student members, but they also have
members from the public at large, but mainly from the students. But they have a Board of Directors who have
expressed interest.
LISTNUM
1 \l 13455 THE
CHAIRPERSON: What is their mandate right
now?
LISTNUM
1 \l 13456 MS
LEONARD: For NUTV?
LISTNUM
1 \l 13457 THE
CHAIRPERSON: Yes.
LISTNUM
1 \l 13458 MS
LEONARD: To provide access for
university students to video production and also from the public at large. But they do ‑‑ because they
are funded by the student levy, most of their membership has to come from the
university.
LISTNUM
1 \l 13459 THE
CHAIRPERSON: Is this programming
produced by the students and available through the university's network?
LISTNUM
1 \l 13460 MS
LEONARD: Yes, and it does also air
on ‑‑ it doesn't air on the cable company's community
channel. It airs on the multi‑cultural
channel, which is much further up the dial than the community channel in
Vancouver.
LISTNUM
1 \l 13461 If
we were airing their program, for example it would be on our lower channel.
LISTNUM
1 \l 13462 THE
CHAIRPERSON: Thank you. Sorry to interrupt. I just didn't want to lose the point on
NUTV. Go ahead, Commissioner.
LISTNUM
1 \l 13463 COMMISSIONER
WILLIAMS: Members from all these distant
communities, you are going to have members and volunteers and coordinators in
all these different communities that are distant from your core.
LISTNUM
1 \l 13464 How
will they have a meaningful input and not just into the programming but into
the management and operations of CMES or will they have any?
LISTNUM
1 \l 13465 MR.
WARD: Here we do expect to use the
internet quite a bit. We are hoping that
we can get the programs through a file transfer protocol rather than having
them actually trucked physically.
LISTNUM
1 \l 13466 We
will have meetings and a lot of it will happen through e‑mail, keeping
people involved that way.
LISTNUM
1 \l 13467 We
have meetings about every two months right now.
LISTNUM
1 \l 13468 COMMISSIONER
WILLIAMS: Will they have board
membership, voting power, hiring, firing, commissioning power?
LISTNUM
1 \l 13469 MR.
WARD: Yes. Indeed that is the whole point of this. The whole point of this is to have as diverse
a group of people as we can, electing the directors from as many places as we
can.
LISTNUM
1 \l 13470 COMMISSIONER
WILLIAMS: Would there be regional or
provincial representation percentages?
Could all the members end up being from Vancouver or would you have
representatives from each of the communities.
LISTNUM
1 \l 13471 MR.
WARD: We hadn't actually thought that
far but we certainly should have regional emphasis. I had assumed ‑‑ I never
assumed that they would all be from Vancouver.
I just couldn't see it working out that way.
LISTNUM
1 \l 13472 What
we tried to do to prevent the risk of some group from taking this over is that
our nine directors, three are elected on a three‑year term each
year. So the most any group can do to
try to take over the organization is to elect three directors in any one year a
minority. We hope at that point people
will see that the system is at risk.
LISTNUM
1 \l 13473 COMMISSIONER
WILLIAMS: Or you have got nine
communities, you could have one from each community.
LISTNUM
1 \l 13474 MR.
WARD: We could do that.
LISTNUM
1 \l 13475 COMMISSIONER
WILLIAMS: That is a possibility as well.
LISTNUM
1 \l 13476 MR.
WARD: This is something that the board
would handle, but it is certainly the way that we have been thinking.
LISTNUM
1 \l 13477 COMMISSIONER
WILLIAMS: Is your proposed service
severable? Would you proceed if CMES was
only authorized to proceed service to some of the proposed locations, for
example, only Vancouver or only the locations in British Columbia for example
and, if so, which of these locations would you choose?
LISTNUM
1 \l 13478 MS
LEONARD: I think the reason we sort of
did the big picture was we don't want to see the community channel fragmented
so much between providers.
LISTNUM
1 \l 13479 I
can give you an example in the States, Manhattan Neighbourhood Network has four
access channels, three PEG system, public, education and government, and also a
youth channel. Those channels are funded
at arm's length from the cable companies and they also air on all of the
providers. So, that is why we feel that
is the best way to keep the community together is to avoid this fragmentation
between the providers.
LISTNUM
1 \l 13480 COMMISSIONER
WILLIAMS: If we license you only for
some of what you have applied for, and I am suggesting in this example perhaps
just the British Columbia locations, would this be enough to make your proposal
go forward? Do you need it all or can
you get by with part of it I guess is the question?
LISTNUM
1 \l 13481 MS
LEONARD: I think we might ask another
group in Alberta to apply for the Alberta section.
LISTNUM
1 \l 13482 Just
from what is happening in Quebec right now, a lot of the members of the
federation there are applying to have their channels carried on all the
different providers so that there will be the continuity there. So I guess we just want to see the same out
here as well.
LISTNUM
1 \l 13483 COMMISSIONER
WILLIAMS: If we were only to licence you
or if in this example, the British Columbia communities, would you then withdraw
your application and say it is not workable?
LISTNUM
1 \l 13484 MR.
WARD: No. I am starting to understand where you were
going with your question about the Alberta society.
LISTNUM
1 \l 13485 No. We would then hope that a society with goals
similar to ours and a society for the directors are elected from the
membership. It would get a comparable
licence in Alberta. Yes, we could do
that.
LISTNUM
1 \l 13486 COMMISSIONER
WILLIAMS: So your plan is workable
either as presented or in a smaller version?
LISTNUM
1 \l 13487 MR.
WARD: It is, but on a personal note, I
have just moved to Calgary. I would
probably then be part of a society there and not the one in Vancouver.
LISTNUM
1 \l 13488 COMMISSIONER
WILLIAMS: Let's spend a bit of time on
the viability of your business plan.
LISTNUM
1 \l 13489 Are
the financial projections included in the application still valid even though
they were established prior to 2005?
LISTNUM
1 \l 13490 MR.
WARD: Yes, very much so. Volunteer production, if anything, has grown
since that time. Just having the access
is a great motivator for people.
LISTNUM
1 \l 13491 And
the very fact that we have reached this point, that we are having our licence
considered carries considerable weight.
There were, I think, 1700 letters on the Diversity of Voices hearing
that broadly supported what we are doing.
LISTNUM
1 \l 13492 COMMISSIONER
WILLIAMS: Have you received additional
information from TELUS or other sources that would impact or change the
projections that you presented in your application?
LISTNUM
1 \l 13493 MR.
WARD: No. We understand that sales have not been as
rapid as was originally hoped, but we had planned in the first year anyway that
we would get support federally, most likely from the Canada Council, which did
support ICTV earlier and shows continuing interest, and I know something about
that from my involvement in the arts community.
LISTNUM
1 \l 13494 Van
City continues to show a great deal of interest in how we are progressing.
LISTNUM
1 \l 13495 So
I would think for the first year anyway we would get established with the TELUS
contribution being a minor factor in our financial plan.
LISTNUM
1 \l 13496 In
later years, we expect it to grow, but of course these things always depend on
sales.
LISTNUM
1 \l 13497 COMMISSIONER
WILLIAMS: How many communities have
reached your stated threshold of 6,000 subscribers to begin service and what
time line do you foresee in offering service to each of these communities?
LISTNUM
1 \l 13498 MR.
WARD: Ann Mainville‑Neeson is here
to represent TELUS, and she would know that.
We don't have that information right now. We don't know how the TELUS sales are
progressing.
LISTNUM
1 \l 13499 COMMISSIONER
WILLIAMS: In your year two projections,
assume 15,000 subscribers and four communities with at least 2,000 in each. This statement would appear to contradict
another of your assumptions of beginning service in a community once TELUS has
reached 6,000 subscribers in a community.
Could you please provide clarification as to how we should interpret
these assumptions? Is it 15,000 and
2,000 or is it 6,000 in each? We just
need to be able to understand that.
LISTNUM
1 \l 13500 MR.
WARD: The reference to the 2,000
subscribers follows the 6,000 subscribers.
LISTNUM
1 \l 13501 We
need 6,000 to start somewhere. We are
assuming it would be Calgary, Vancouver, Edmonton, the biggest municipalities.
LISTNUM
1 \l 13502 Once
we get that, we would like to use the revenues from the larger municipalities
to subsidize the smaller municipalities.
I believe this is being done in Saskatchewan as well.
LISTNUM
1 \l 13503 What
this does is it encourages people in smaller communities and also there is a
lot of turnover, you get people leaving the small towns to go to the cities,
you get people leaving the cities to go back.
To know what is happening one place and another it seemed to me to be
part of the appeal of this regional licence.
LISTNUM
1 \l 13504 So,
the 2,000 subscribers doesn't really pay the way, but the 6,000 subscribers is
a little more than is needed.
LISTNUM
1 \l 13505 MR.
MacLACHLAN: On the matter of funding,
one of the issues with regard to production of television at the community
level has been lack of funding. This is
kind of a double edged sword against our operation is that I have personally
been involved in looking for funding from various organizations, whether
municipal groups, one is the Vancouver Foundation, and always the barrier where
we were coming up against is that we lacked core funding.
LISTNUM
1 \l 13506 I
mean, this is a classic catch 22. You
have to have funding in order to get funding.
The way I understand, in the event that we get the licence, that we
suddenly have core funding and then we have that financial base or even the
groups that we are representing have that financial base that they can build on
and they can use that money, that core funding to demonstrate that they have
other financial supportive base to apply for outside funding.
LISTNUM
1 \l 13507 COMMISSIONER
WILLIAMS: Let's follow up on the whole
funding area, then.
LISTNUM
1 \l 13508 Do
you have sufficient resources to implement your proposal, respect the
regulatory obligations and provide an adequate level of service to the
communities in the TELUS service area under the projections set forward in your
slower revenue growth model? I think it
was table number 2.
LISTNUM
1 \l 13509 Can
you also please provide additional details as to the sources of government and
non‑government funding and whether in fact these funds have been secured,
and is the disbursement of government or non‑government funding conditional
upon certain performance base objectives in either revenue or even agreements
with TELUS?
LISTNUM
1 \l 13510 I
am going to stop it there because it's starting to be a long question. But basically how is your sources of
money? Do you have enough of it and is
any of it conditional?
LISTNUM
1 \l 13511 MR.
WARD: Well, our sources of money up to
this point are our personal revenues which are moderate but ‑‑
LISTNUM
1 \l 13512 COMMISSIONER
WILLIAMS: Personal donations?
LISTNUM
1 \l 13513 MR.
WARD: No, I mean what I actually have
from selling my apartment in Vancouver.
LISTNUM
1 \l 13514 COMMISSIONER
WILLIAMS: Yes, that is a donation.
LISTNUM
1 \l 13515 MR.
WARD: That would be a donation.
LISTNUM
1 \l 13516 What
we have here is we have a projection of what TELUS ‑‑ my
figures simply follow the original TELUS application. If TELUS sales projection follows what they
applied for in the licence, a licence application which was successful, then I
have every reason to think that our application, our financial performance will
be successful.
LISTNUM
1 \l 13517 What
Brock said about the core funding is absolutely true. We have nothing secured right now, but we
have a lot of encouragement from the Vancouver Foundation, which is the largest
foundation in Canada, from Van City, which has a strong track record of
supporting these kinds of activities, and Canada Council, and those would be
the main ones, but there are a lot of foundations that we can look to once we
get past this step.
LISTNUM
1 \l 13518 But
this is absolutely key for us.
LISTNUM
1 \l 13519 COMMISSIONER
WILLIAMS: So you can't even consider I
guess these other sources of fundings until you get past the first step, and so
you don't know whether they are conditional or not then?
LISTNUM
1 \l 13520 MR.
WARD: We assume that they are
conditional on the licence and receiving the 2 per cent levy, and without that,
we don't think that they are forthcoming.
LISTNUM
1 \l 13521 COMMISSIONER
WILLIAMS: You have indicated that you
would avoid sponsorship sales as potential sources of revenues. What impact could this have on your ability
to execute the business plan and maintain a high standard of service to your
viewers?
LISTNUM
1 \l 13522 MR.
WARD: Well, there are two things. First of all, we think it makes our business
plan more stable since we think the revenues from subscriptions to the
television service will be more stable than advertising revenue. But more importantly, we see this as a public
service, and for us to compete with commercial stations which are entirely
dependent on advertising seems to me to be unfair to the commercial stations.
LISTNUM
1 \l 13523 We
can offer a higher quality programming because we have the levy, and we can
take advertising revenue, where they are dependent entirely on the advertising
revenue.
LISTNUM
1 \l 13524 So,
we really think it is fairer under the Broadcasting Act for the community
channel not to have advertising at all.
I realize the policy goes the other way right now, but I myself feel
strongly that no advertising is much better for a public service.
LISTNUM
1 \l 13525 COMMISSIONER
WILLIAMS: How do you plan on providing
community programming that reflects the interests and the needs of 16 locations
spread across two provinces? How is it
locally reflective?
LISTNUM
1 \l 13526 MS
LEONARD: I think we have the situation
right now where, because of consolidations, some of the areas that had their
own community channels no longer have those channels. Their council meetings are not being covered. They are told if they want to have an event
covered, they have to book quite far in advance.
LISTNUM
1 \l 13527 I
can see that we would only improve that situation.
LISTNUM
1 \l 13528 COMMISSIONER
WILLIAMS: Can you give me some
examples? Just pick a couple of
communities, say Fort McMurray and Vancouver, how are you going to reconcile
their ‑‑
LISTNUM
1 \l 13529 MS
LEONARD: They actually have some similar
issues about housing right now, and even Kelowna, affordable housing. So, those issues are similar. We can learn from each community.
LISTNUM
1 \l 13530 COMMISSIONER
WILLIAMS: You are talking about the west
end of Vancouver and then the southeast corner of Fort McMurray in the next
year or so?
LISTNUM
1 \l 13531 MS
LEONARD: Yes. I think we will find people ‑‑
actually there are a lot of people who used to work for community channels who
live in these places now and they are interested in getting involved again, and
they have a personal connection to the issues and events going on and they are
prepared to help in any way.
LISTNUM
1 \l 13532 COMMISSIONER
WILLIAMS: Thank you.
LISTNUM
1 \l 13533 In
your application you state that CMES will devote at least 60 per cent of its
programming to local community programming.
The application form notes that local community programming is defined
by programs that are produced by the licensee in the licensed area or by
members of the community from the licensed area. In the case of cable operators who applied
for regional licences the Commission has retained the original licence area,
the individual communities for the purposes of this definition.
LISTNUM
1 \l 13534 Using
this approach, 60 per cent of the programming broadcast in Terrace would be
local programming produced in Terrace, 60 per cent of the programming in Fort
McMurray would be produced in Fort McMurray.
Judging from your proposed programming block schedule in Appendix 4B, it
appears this is not the approach that you are taking to definition of local
community programming.
LISTNUM
1 \l 13535 Does
your definition of the licence service area mean all of the communities CMES is
licensed for; in other words, programming produced in Terrace could be
considered local programming in Fort McMurray, and does this undermine the
objective of local programming requirements which are essentially to ensure
that a community is reflected through programming as produced in that community
about that community by community members?
LISTNUM
1 \l 13536 MR.
WARD: I think we are already seeing a
lot of centralization of production and I believe we can reverse it. What we are not seeing right now is any
programming from Fort McMurray about the issues there.
LISTNUM
1 \l 13537 The
way I am envisioning it is, as I said earlier, that CMES is a distribution
service and the programs from Fort McMurray will be made there and we should be
able to put staff there.
LISTNUM
1 \l 13538 But
will 60 per cent of all of the programming in Fort McMurray be made in Fort
McMurray? I would have to say no, that
is not the strategy that we are proposing.
We are proposing that we originate programming from all the communities
within the licensed area and then show it to the neighbours. So, you are right, we are not following that.
LISTNUM
1 \l 13539 COMMISSIONER
WILLIAMS: So your definition of licensed
service area would mean all of the communities in a block that have a licence?
LISTNUM
1 \l 13540 MR.
WARD: That is our definition.
LISTNUM
1 \l 13541 COMMISSIONER
WILLIAMS: In your application you state
that CMES would access at least 30 per cent of its programs produced by
individuals or groups within the community served by the undertaking and make
available a minimum of 50 per cent of the programming aired during each
broadcast week to the broadcasting of access programs. Would 30 per cent of the programming in a
given community be produced by residents or groups residing or living in that
community or are you using a broader definition that any CMES produced content,
regardless of what was produced, would qualify as access programming?
LISTNUM
1 \l 13542 MR.
WARD: The broader definition, but I
would hope that we would exceed that figure by a wide margin. We are hoping to have no centralized
programming.
LISTNUM
1 \l 13543 COMMISSIONER
WILLIAMS: How will an organization that
is based in Vancouver and Calgary provide programming that reflects the
interests and needs of the communities spread throughout the more remote parts
of Alberta and B.C.
LISTNUM
1 \l 13544 MR.
WARD: By receiving it from those
communities and distributing it back to them without adding any more editorial
comment than the outreach coordinator who ideally lives close to those
communities would introduce.
LISTNUM
1 \l 13545 COMMISSIONER
WILLIAMS: Earlier today, a few minutes
ago in fact, we talked about your application where you have outlined how CMES
with a limited budget will rely on your outreach coordinators or a coordinator
in each of the communities, either a part‑time paid staff working one day
a week and/or volunteers in the various communities to recruit trained
volunteers on how to produce community programming, primarily former community
program volunteers, I would assume, or retired television persons.
LISTNUM
1 \l 13546 What
would you provide to these communities that a profit organization perhaps with
more financial resources and full‑time staff won't? What makes you better than that?
LISTNUM
1 \l 13547 MR.
WARD: I suppose it is the
experience. I volunteered through four
different cable companies in Vancouver.
I have appeared in front of the Standing Committee on Canadian Heritage
and the Senate Transportation Committee, and I have spent much of my life
talking about these issues, and there are a lot of things that money really
doesn't solve. If you give people more
expensive equipment, it doesn't mean that they have the freedom to use it. We are seeing that in Vancouver right now,
that they are very well funded, but the volunteers have almost no
autonomy. They don't get to choose what
issues they discuss.
LISTNUM
1 \l 13548 What
we are offering here is freedom to say what is important to you and our fear is
that as the money becomes more generous, our experience is that as the money
becomes more generous, the temptation to take that freedom away is
irresistible.
LISTNUM
1 \l 13549 COMMISSIONER
WILLIAMS: That has been a good
conversation. I think we have got a
pretty good understanding of what you hope to achieve with this application,
should you be successful.
LISTNUM
1 \l 13550 I
guess the only part that I am having a little difficulty understanding is to me
community television, I think it was originally called community access
television, was that the community could then have access to a channel to
produce whatever programming that the community determined was of interest and
important. Now, if the decisions are
being made in a large centre somewhere for a bunch of smaller communities
scattered throughout a couple provinces, I am having a little trouble
reconciling that aspect of community access television. So if you have any final comments to make to
help me on that, that will be my last question.
LISTNUM
1 \l 13551 MR.
WARD: Let me be more emphatic.
LISTNUM
1 \l 13552 We
have gone to considerable effort, right from our original incorporation to
create first of all a society that no one can buy because every commercial
television licence that has ever been awarded in Canada sounds just like a community
channel in its original application, and a year down the road there is a change
and something is allowed to be different and maybe you can bring in American
football, I think that was a first one, and on they go.
LISTNUM
1 \l 13553 So,
we have tried from a structural standpoint to guard against that.
LISTNUM
1 \l 13554 We
have tried to do that with the way our directors are elected. We tried to do that by keeping in touch with
people who, as they move to the smaller places, we keep them up to date on
everything that is happening.
LISTNUM
1 \l 13555 I
honestly don't think Vancouver or Calgary or Edmonton would be central. I think, if anything, we are more likely to
see Terrace and Prince George and Medicine Hat and if you get one Director from
each of the large cities ‑‑ I think the enthusiasm is going to
come from the smaller places.
LISTNUM
1 \l 13556 COMMISSIONER
WILLIAMS: Okay, thank you very much, Mr.
Ward. It has been a good interrogatory.
LISTNUM
1 \l 13557 Thank
you.
LISTNUM
1 \l 13558 THE
CHAIRPERSON: Thank you.
LISTNUM
1 \l 13559 I
do have some follow up questions.
LISTNUM
1 \l 13560 Mr.
Ward, you said that currently you have 200 members but 30 are active. Why aren't the other 170 members active?
LISTNUM
1 \l 13561 MR.
WARD: The other 170 members who have
joined over the period of the organization have gone in some cases ‑‑
we have one in Japan who keeps his membership up, we have one in Brazil.
LISTNUM
1 \l 13562 Now,
originally in the community television system in Vancouver, we had over 1,000
people who were active. The 200 members
who remained eager enough to join CMES were involved in shows, I think at the
time we had six shows, and Rogers, while it still held the licence, cut two of
those and then Shaw, when it took over the licence, cut them one after the
other, until by 2002 our last show was cut, and we continued to make the shows,
we put them into the public library on tape for people to see, we continued to
make East Side Story, but we were discouraged.
LISTNUM
1 \l 13563 We
were just about ready to fold when 2002‑61 came up.
LISTNUM
1 \l 13564 THE
CHAIRPERSON: So, these 170 producers,
even though they aren't currently producing for community television, they
continue to remain members of your society?
LISTNUM
1 \l 13565 MR.
WARD: Yes.
LISTNUM
1 \l 13566 THE
CHAIRPERSON: Thank you.
LISTNUM
1 \l 13567 Later
you said that you have 12 shows airing in Vancouver produced by producers who
have their own equipment, four hours per week are aired in Vancouver on
Shaw. Are these made up of those 12
shows, those four hours?
LISTNUM
1 \l 13568 MS
LEONARD: Yes, they are.
LISTNUM
1 \l 13569 THE
CHAIRPERSON: You then said three 30‑minute
shows on Shaw in Calgary. Where do those
shows come from?
LISTNUM
1 \l 13570 MS
LEONARD: That is just the NUTV. I guess I would consider their show to be a
public access show.
LISTNUM
1 \l 13571 THE
CHAIRPERSON: But they are members of
your society?
LISTNUM
1 \l 13572 MS
LEONARD: Yes.
LISTNUM
1 \l 13573 THE
CHAIRPERSON: Then you said there were
shows airing on Novus?
LISTNUM
1 \l 13574 MS
LEONARD: Yes, some shows airing on
Novus. Well, Novus had a different
approach where people had to submit their shows and if they suited the
demographic of where Novus aired, the shows would be accepted. So, this is a problem that has kind of been
chronic in the last couple of years.
Even though there has been advertising for volunteers and program and
ideas by the providers, they are not actually providing the access.
LISTNUM
1 \l 13575 THE
CHAIRPERSON: But let me ask you
this. Why is that a problem? If it is Novus who are airing the shows,
should it not be their responsibility to determine whether or not the shows are
appropriate for their audience?
LISTNUM
1 \l 13576 MS
LEONARD: That is not public access. It is very commercial. The demographic of Novus' area is Yaletown,
it is very wealthy, or deemed a wealthy area, new area in Vancouver. So, that is not what public access is around
the world. Public access is air time, and
you give the show and its played. The
open channels in Europe play just about any programming.
LISTNUM
1 \l 13577 I
know some access programs in the States air all over the world on open
channels. So, community channel and
public access now are two different things.
LISTNUM
1 \l 13578 THE
CHAIRPERSON: So you don't believe there
should be any filtering?
LISTNUM
1 \l 13579 MS
LEONARD: There should be filters that
the show should follow the CRTC programming guidelines as was done for
years. But as far as suiting a
particular demographic, that is not community television.
LISTNUM
1 \l 13580 THE
CHAIRPERSON: Thank you.
LISTNUM
1 \l 13581 When
Commissioner Williams asked you about the expansion of your activities should
this licence be approved, you would be now moving from two or three communities
to as many as 16, you said that there is an excellent chance that producers in
all of these communities will seek you out and show their enthusiasm for
wanting to produce television.
LISTNUM
1 \l 13582 My
question is this: Would it have not been
more prudent on your part to do the research before filing the application and
identifying the potential for producers from these communities, identify the
equipment that they might have, identify the resources that they have in order
to produce the programming? Because
perhaps you are creating far too great an expectation not only for the
communities, but for yourselves, and what if you just can't meet that
expectation because you couldn't find the people?
LISTNUM
1 \l 13583 MR.
WARD: I don't think the expectation is
understated. The reason I don't is people
who are constantly getting in touch with us saying what can we do to get the
community channel back again? That
research comes to us. That is
spontaneous.
LISTNUM
1 \l 13584 When
you call the hearing on Diversity of Voices you get a lot of letters, maybe
even a predominance of letters saying we want community television. When you do the hearing on deregulation, I
think you are going to find a preponderance of your letters will be a concern
that the community channel may be deregulated.
LISTNUM
1 \l 13585 We
could commission a survey if we had the funds to determine this in a more
statistically valid way, but we already have people who would represent more
than a valid sample who are showing strong support.
LISTNUM
1 \l 13586 But
I understand where the question comes from.
There has been a concern over the years that the community channel
only ‑‑ the people are just not interested in it.
LISTNUM
1 \l 13587 Our
experience ‑‑
LISTNUM
1 \l 13588 THE
CHAIRPERSON: No, that is not my
question. It is not that people aren't
interested. What if you are creating too
great an interest in the community channel and you can't meet that expectation
because the resources just aren't there, whether it is to produce programs of
quality that people will want to watch on the community channel and/or there
just aren't people in those communities who want to produce. It is not that there is not an interest. It is if you are creating too much of an
interest and can't meet that expectation.
LISTNUM
1 \l 13589 MR.
WARD: So, the concern is with our
financial resources, should the TELUS market remain small, bring too many
people wanting to be part of this very small community channel.
LISTNUM
1 \l 13590 It
is a reasonable fear. I have thought of
that very thing myself, but I think we have to try because we already have
people who are producing with nothing.
On the system in Vancouver, most of the access programming is by people
who receive nothing, while the levy money remains with the promotional commercial
channel, the commercial community channel.
LISTNUM
1 \l 13591 So,
if they will work for nothing there, we expect that they will work for nothing
in the TELUS area, but we don't want that.
We want to get the resources out there.
But will something happen without them?
It probably will.
LISTNUM
1 \l 13592 THE
CHAIRPERSON: What is your contingency
plan should your revenues fall short of what you have projected?
LISTNUM
1 \l 13593 MR.
WARD: Our contingency plan depends very
much on how TELUS proceeds with its marketing.
We will provide what we can. We
can get the shows on there as long as there is somewhere to put the shows on.
LISTNUM
1 \l 13594 Assuming
that the market itself doesn't fail, assuming that there is delivery of
television via high speed internet to homes, we can get programming on to it.
LISTNUM
1 \l 13595 THE
CHAIRPERSON: Thank you very much. Those are all my questions.
LISTNUM
1 \l 13596 Legal
counsel.
LISTNUM
1 \l 13597 MS
LEHOUX: No.
LISTNUM
1 \l 13598 THE
CHAIRPERSON: Thank you very much.
LISTNUM
1 \l 13599 Madam
Secretary.
LISTNUM
1 \l 13600 THE
SECRETARY: Thank you. This completes Phase I of consideration of
item 12 on the agenda.
LISTNUM
1 \l 13601 We
will now proceed to Phase II in which intervenors appear in the order set out
in the agenda to present their interventions.
LISTNUM
1 \l 13602 For
the record, we have been informed that ACCESS and ICTV listed on the agenda
will not be appearing at the hearing.
LISTNUM
1 \l 13603 I
would now call TELUS to appear.
LISTNUM
1 \l 13604 Please
state your name for the record, and you will have ten minutes for your
presentation.
INTERVENTION / INTERVENTION
LISTNUM
1 \l 13605 MS
MAINVILLE‑NEESON: Thank you very
much. Good afternoon, Madam Chair,
Commissioners.
LISTNUM
1 \l 13606 My
name is Ann Mainville‑Neeson, and I am Director of Broadcast Regulation
for TELUS.
LISTNUM
1 \l 13607 For
TELUS the issue is simple. TELUS
supports the concept of community programming.
This is why TELUS intends to launch its own community programming
service on TELUS TV now that it has established its broadcast distribution
service in Edmonton, Calgary and Vancouver.
But rather than replicate the cable style community channel, TELUS plans
to offer a state‑of‑the‑art IPTV technology to offer an
innovative service which is more in keeping with the on‑demand world and
the rising consumer trend away from appointment TV.
LISTNUM
1 \l 13608 There
is nothing contentious about our service.
In fact, the CRTC has already deemed such an on‑demand service
equivalent to a community channel.
Accordingly and fundamentally, TELUS submits that it has the legal
entitlement to offer its own community programming service in an on‑demand
format and, in these circumstances, the CRTC must dismiss the CMES application.
LISTNUM
1 \l 13609 Let
me take this opportunity, though, to tell you a bit about the proposed
community service that TELUS intends to offer.
By offering its community service on‑demand, TELUS will make the
programming more easily accessible to its subscribers. TELUS considers that the video‑on‑demand
platform will provide better access to community programming and will attract
more viewers than would a traditional linear community channel.
LISTNUM
1 \l 13610 The
TELUS community programming service will have pride of place on the TELUS TV
menu screen. This screen acts as the
portal to our service offering and pops up at the touch of a button on the
remote control. The TELUS community
channel service will be alongside other popular menu choices which draws
viewers to come back to this portal again and again.
LISTNUM
1 \l 13611 As
viewers consistently see the availability of community programming and see it
advertised on the barker channel, they may be drawn to check it out, and from
that point TELUS hopes to capture regular visitors to its offering of home
grown local content.
LISTNUM
1 \l 13612 Being
part of the VOD menu provides for greater visibility to subscribers than a
linear channel. Let me explain. Today almost 50 per cent of existing TELUS TV
subscribers go to the video‑on‑demand menu system to access their
desired programming. With the hundreds
of channels available on TELUS TV, many subscribers make use of the advanced
interactive programming guide which allows them to program favourite channels
and then surf only through those selected channels. The system also allows subscribers to search
for specific programming or for specific genres of programming services.
LISTNUM
1 \l 13613 Accordingly,
the number of subscribers who simply scroll through all the available channels
aimlessly and who may fall upon a linear channel such as the one proposed by
CMES is in fact very limited.
LISTNUM
1 \l 13614 Many
interventions in this proceeding support the notion of community programming as
a counterweight to the commercial and increasingly consolidated private
broadcasters. TELUS wholeheartedly
agrees with this. TELUS sees a need to
add to the diversity of voices within the Canadian broadcasting system. Accordingly, TELUS filed notice of intent to
launch a community programming service with the Commission earlier this year,
and this notice was included as part of the record relating to the CMES
application. Many of the intervenors
seem to have overlooked this important fact when filing their interventions.
LISTNUM
1 \l 13615 To
the extent that some interventions have taken note of the potential for TELUS
to offer a community programming service, they have dismissed the idea based on
erroneous comparisons with incumbent cable companies. TELUS notes that CMES and some intervenors
point the finger at other BDUs and the Commission's policy on community
programming for alleged failings in realizing their vision in community
programming service. This leads them to
conclude that CMES must be given a chance to do what other BDUs allegedly
aren't doing with respect to their own community programming services.
LISTNUM
1 \l 13616 None
of these interventions, however, explain why TELUS should be held liable for
these alleged failings of other BDUs, nor do they make the case as to what
powers the Commission has to expropriate TELUS's right to offer the type of
community programming service already approved by the CRTC in Manitoba and
Saskatchewan.
LISTNUM
1 \l 13617 TELUS
considers it particularly unfair of these intervenors to make assumptions
regarding TELUS's service based not on TELUS's own actions but rather on their
assessment of the behaviour of other BDUs.
LISTNUM
1 \l 13618 TELUS
has a solid reputation for being engaged in the communities in which it
operates.
LISTNUM
1 \l 13619 THE
CHAIRPERSON: Ms Mainville‑Neeson,
your intervention is crossing the line of becoming your opening remarks for
your application. So I am going to ask
you to please limit your remarks to the CMES application and the proposals
therein.
LISTNUM
1 \l 13620 MS
MAINVILLE‑NEESON: Certainly. Our intention was to explain that we do
intend to offer our own service and to provide some indication to the
Commission as to what that service would be like. To the extent that you would prefer not to be
informed as to what our service would be like, I can certainly ‑‑
LISTNUM
1 \l 13621 THE
CHAIRPERSON: It is not that we don't
want to be informed. There is an
application before us. We will have the
opportunity to examine that application and have full analysis of what you will
be providing, but we do ask you to please make this an intervention and not an
oral presentation of that application.
LISTNUM
1 \l 13622 MS
MAINVILLE‑NEESON: Certainly. Obviously TELUS considers that to the extent
that the assumptions made with respect to other BDUs, which were made in the
written interventions, are unfair to TELUS, and TELUS's reputation in the
community is very strong. We do have
that local connection with the communities in which we serve.
LISTNUM
1 \l 13623 To
the extent that the CMES application views its own application as being that
much more appropriate than one offered by TELUS or any other BDU, that is where
TELUS feels that it is simply unfair and wrong to consider it in that light.
LISTNUM
1 \l 13624 In
fact, the alleged failings that were mentioned with respect to other BDUs,
TELUS uses opportunities. TELUS can see
its own service as being one that will provide what the community seems to be
asking for and we do intend to serve that market as best we can.
LISTNUM
1 \l 13625 TELUS
notes that the expenditures on the current productions to be made available on
the proposed community programming service have far exceeded the 2 per cent or,
at this point, 5 per cent of contributions that CMES would be entitled if it
were to be licensed. This leads us to
consider that the application, the financial basis of the CMES application may
be unfounded. Our current expenditures
have far exceeded, as I have indicated.
LISTNUM
1 \l 13626 While
TELUS intends to produce its own programming, obviously access programming is
very much a part of the CRTC's community policy, and we intend to fully adhere
to that. We have engaged members of the
community and have reached out in particular to CMES, who would be obviously
someone that we would look to to provide programming on the TELUS service.
LISTNUM
1 \l 13627 In
closing, TELUS would like to emphasize that the Commission has already deemed
an on‑demand community programming service, such as the one TELUS is
proposing, to be equivalent to a community channel for the purposes of the
contribution regime set out in section 29 of the Broadcast Distribution
Regulations. Accordingly, TELUS's intent
to offer such a service should effectively bar any licensing of any independent
community‑based television service to be carried and funded by TELUS.
LISTNUM
1 \l 13628 In
decisions relating to MTS Allstream and Saskatchewan Telecommunications, the
Commission determined that the on‑demand platform for delivering a
community programming service was for all intents and purposes the equivalent
of a community channel and, therefore, it granted conditions of licence
authorizing the two BDUs to use the contribution regime set out in section 29
of the regulations to fund their own on‑demand community programming
services.
LISTNUM
1 \l 13629 Accordingly,
TELUS considers that it is legally entitled under the regulation to offer its
own community programming service, and CMES or others have no legal entitlement
if TELUS offers a community channel or its equivalent, since TELUS has recently
filed an application and the Commission has no authority under its regulations
in TELUS's views to licence CMES as a community‑based television service
to be funded and carried by TELUS.
LISTNUM
1 \l 13630 Moreover,
based on past precedent, the Commission has no policy grounds for denying
TELUS's application.
LISTNUM
1 \l 13631 The
fact that CMES has voiced its desire to have access to TELUS funding prior to
the Commission's approval of the TELUS application is irrelevant. All that counts is that TELUS intends to
offer this community service. Based on
the wording of section 29 of the Broadcast Distribution Regulations, this
effectively bars CMES from access to the funding from TELUS.
LISTNUM
1 \l 13632 This
concludes my opening remarks. I would be
more than pleased to answer any questions you may have.
LISTNUM
1 \l 13633 THE
CHAIRPERSON: Thank you very much, and
thank you for understanding that sometimes we can't allow that line to be
crossed.
LISTNUM
1 \l 13634 One
of your paragraphs says that the expenditures on its current productions to be
made available on the proposed community programming service have far exceeded
the 5 per cent gross revenues, soon to be 2 per cent, to which CMES would be
entitled. What is the basis for you
making this statement? Why do you
believe that they just won't be able to produce the kind of programming that
they have put in their application for the funding?
LISTNUM
1 \l 13635 MS
MAINVILLE‑NEESON: My statement was
more to the fact that what we have spent so far on programming far exceeds what
we know to be the 5 per cent contribution, which would be reduced to 2 per
cent. So, to that extent, we find that
we are in a much better financial position, a better technical position and a
more strategic position to offer a community service.
LISTNUM
1 \l 13636 THE
CHAIRPERSON: You also said that you are
already establishing important relationships and you have specifically reached
out to CMES to provide some public access programming. Did I hear that correctly?
LISTNUM
1 \l 13637 MS
MAINVILLE‑NEESON: We have
certainly reached out to establish that relationship and look forward to be
able to view some of their programming to assess its relevance on our service.
LISTNUM
1 \l 13638 I
have been promised a private viewing of what was shown to the Commission
earlier this afternoon, so I do look forward to seeing that. Of course, we have had our programming team
meet by teleconference with Mr. Ward, and we would continue that relationship,
as we will with many other independent producers and other members of the
community.
LISTNUM
1 \l 13639 CMES
would be one of many that we would be consulting with and reaching out to to
ensure that we have a good base of access programming available to us to fill
our service, which it needs to be said that as a VOD‑based service has a
lot more potential for offering more programming than a linear scheduled
service.
LISTNUM
1 \l 13640 THE
CHAIRPERSON: Would you expect that to be
distributed across your system?
LISTNUM
1 \l 13641 MS
MAINVILLE‑NEESON: Yes. Of course, there would be separate
programming services for each region, of course.
LISTNUM
1 \l 13642 THE
CHAIRPERSON: Thank you. My colleagues, any additional questions?
LISTNUM
1 \l 13643 Ms
Mainville‑Neeson, thank you very much for your intervention here today.
LISTNUM
1 \l 13644 Madam
Secretary.
LISTNUM
1 \l 13645 THE
SECRETARY: Thank you, Madam chair.
LISTNUM
1 \l 13646 This
completes the list of appearing intervenors in Phase II.
LISTNUM
1 \l 13647 We
will now proceed to Phase III in which the applicant, Community Media Education
Society, can reply to all interventions submitted on their application. I would ask them to come forward.
LISTNUM
1 \l 13648 Please
restate your name for the record, and you will have ten minutes for your
presentation.
REPLY / RÉPLIQUE
LISTNUM
1 \l 13649 MR.
WARD: Richard Ward, Lynda Leonard on my
left, Brock MacLachlan on my right.
LISTNUM
1 \l 13650 The
first thing I should mention is that when TELUS originally applied for its
licence, we intervened. What we said in
paragraph 5 of that intervention is that the solution that protects the public
interest is to have TELUS, Shaw and to a lesser extent Novus, this was in the
Vancouver area, use the share of their levy money to support an independent
community programming service.
LISTNUM
1 \l 13651 The
reason that we said that was we had observed in Quebec how effective the
community channel was and we had also noticed their outrage when the $22
million that independent groups had been receiving dropped to $19 million. The broad social outrage over that, it was
not just small activist groups. I think
I saw the Assembly of Bishops. I
certainly saw the heads of every municipality that you could think of, and I
said to myself, why can we not have that in British Columbia? It sounded very good.
LISTNUM
1 \l 13652 So,
I wrote this intervention and we supported the TELUS application on the
understanding that there would be an independent community channel, and I got a
letter from Willy Grief, the Vice‑President of Public Policy and
Regulatory Affairs where he says TELUS has not proposed to provide community
programming as part of its application.
LISTNUM
1 \l 13653 On
the strength of that, we made our application.
We followed up with it on several occasions over the years, and during
that time TELUS, which could have offered something earlier, didn't, and we
kept saying, well, we have a chance at this and encouraging people to be
involved.
LISTNUM
1 \l 13654 So,
there is a matter of time here. We are
ready to do this now. We were ready to
do it then. TELUS is ready to do it now,
they say. We will see.
LISTNUM
1 \l 13655 Regarding
the levy and the amount of money that is being spent, Shaw also in Vancouver
significantly outspends the levy money on their community channel, but here I
see it as the person paying the piper calling the tune. I think the levy is adequate to provide a
good independent participatory public access community channel. Spending more, again, I think puts it very
much under the control of the company, and while TELUS may say that they would
not do that, I still notice that they are saying that they would want to assess
the relevance of the programming. It seems the relevance is not usually whether
it is important social issues. It is
whether it is relevant to a business plan.
We find most of the cuts, most of the restrictions on programming are
for a corporate purpose. We actually had
an experience ‑‑ did you want to talk about in Coquitlam ‑‑
LISTNUM
1 \l 13656 MS
LEONARD: I guess a good example of why
we think community channels should be funded at arm's length from the providers
is that we have an example of a program that was done by one of our volunteers
at a community event and it was a fair, a festival and there was a choir of
employees, former employees of TELUS and B.C. Tel, a glee club singing, and the
other cable provider asked us to cut that segment because we were promoting
TELUS in that segment.
LISTNUM
1 \l 13657 So,
that is one example, and there have been other examples of. Well, I guess censorship that we have had to
deal with. Some have been brought before
the CRTC in Vancouver when Marguerite Bogo was the Director there. That is another reason why we want
independent community television in Canada.
LISTNUM
1 \l 13658 MR.
MacLACHLAN: One of the things that I
would like to emphasize is that when we are drawing people to the community
channel, we are inviting groups who are traditionally excluded from that
participation.
LISTNUM
1 \l 13659 The
problem with BDUs or people who have commercial interests, like a commercial
viability of the product, if what is in this product doesn't have resonance
with a popular audience, then these people are effectively excluded, and this
is basically the point or basically the essence of why we are here is to secure
this one little piece of turf in the media landscape of Canada, which is vast
and large, and we feel that there is enough commercial opportunities for the
BDUs and other commercial broadcasting operations without having to dominate
every square inch of the media, and we want the community channel as a preserve
for the community at large.
LISTNUM
1 \l 13660 A
lot of the stuff that is produced on there is not going to be popular, but at
least these people are going to feel included, and that is basically what we
are about.
LISTNUM
1 \l 13661 MR.
WARD: I would like to say that I was
delighted to hear that the community channel, should TELUS be the licensee,
will have pride and place on the menu screen.
We will do the same. That is
important to us. So, that was good news,
and on that note I would like to end.
LISTNUM
1 \l 13662 THE
CHAIRPERSON: Thank you very much for
being with us here this afternoon. That
concludes this part of the hearing, right, Madam Secretary?
LISTNUM
1 \l 13663 THE
SECRETARY: Yes, this completes Phase III
and the consideration of item 12 on the agenda of this public hearing.
LISTNUM
1 \l 13664 Thank
you, Madam Chair.
LISTNUM
1 \l 13665 THE
CHAIRPERSON: Thank you. We will take a 15‑minute break. We will be back at a quarter to 4:00.
‑‑‑ Upon recessing
at 1533 / Suspension à 1533
‑‑‑ Upon resuming
at 1548 / Reprise à 1548
LISTNUM
1 \l 13666 THE
SECRETARY: We will now proceed with
items 13 and 14 on the agenda.
LISTNUM
1 \l 13667 Item
13 is an application by Jim Pattison Broadcast Group Limited (the general
partner) and Jim Pattison Industries Limited (the limited partner) carrying on
business as Jim Pattison Broadcast Group Limited Partnership, to acquire the
assets of the radio programming undertakings CKIZ‑FM Vernon and its
transmitter CKIZ‑FM‑1 Enderby, British Columbia from Rogers
Broadcasting Limited.
LISTNUM
1 \l 13668 And
item 14 is an application by Jim Pattison Broadcast Limited (the general
partner) and Jim Pattison Industries Limited (the limited partner) carrying on
business as Jim Pattison Broadcast Group Limited Partnership (collectively the
Pattison Group), to acquire the assets of the radio programming undertaking
CIGV‑FM Penticton and its related transmitters CIGV‑FM‑1
Keremeos and CIGV‑FM‑2 Princeton, British Columbia from Great
Valleys Radio, a corporation controlled by Ralph and Jean Robinson.
LISTNUM
1 \l 13669 Appearing
for the applicant is Mr. Rick Arnish.
Please introduce your colleagues, and you will then have 30 minutes to
make your presentation.
PRESENTATION / PRÉSENTATION
LISTNUM
1 \l 13670 MR.
ARNISH: Thank you very much, Madam
Secretary, Madam Chairwoman and fellow Commissioners.
LISTNUM
1 \l 13671 Good
day. My name is Rick Arnish, President
of the Jim Pattison Broadcast Group Limited Partnership.
LISTNUM
1 \l 13672 We
are very pleased to be here in front of you in Kelowna to present you our
application to acquire from Great Valleys Radio Limited the licences and assets
of CIGV‑FM Penticton, and its related transmitters in Keremeos and
Princeton, British Columbia which is application No. 2007‑1129‑3,
as well as our application to acquire the assets of the radio programming
undertakings CKIZ‑FM Vernon, and its transmitter, CKIZ‑FM‑1
Enderby, British Columbia from Rogers Broadcasting Limited, application number
2007‑0868‑8.
LISTNUM
1 \l 13673 These
items were originally non‑appearing items in this proceeding. However, we received a note two weeks ago
from the Commission requesting that we appear and we are pleased to do so. While we understand the call to appear may
relate primarily to an intervention filed by Vista Broadcasting Limited, focusing
on issues related to the Commission's Common Ownership Policy, which we will
fully address, we will firstly focus on why approval of these applications is
in the public interest, the interest of the specific communities of Vernon and
Penticton and in furtherance of the objectives of the Broadcasting Act.
LISTNUM
1 \l 13674 Before
beginning our presentation, it is my pleasure to introduce those appearing with
us. To my immediate right is Mr. James
Robinson, President of Great Valleys Radio.
Mr. Robinson will provide you with background to Great Valleys Radio and
its long tradition of family service in the market of Penticton, British
Columbia.
LISTNUM
1 \l 13675 To
my immediate left is Mr. Gary Miles, Chief Executive Officer of Rogers Radio,
who will also say a few words in relation to the Vernon transaction.
LISTNUM
1 \l 13676 Behind
me to my right is Mr. Bruce Davis, who is the Vice‑President, Sales, for
the Pattison Broadcast Group.
LISTNUM
1 \l 13677 To
his left is Jasmin Doobay, who is the News Director of the Pattison Broadcast
Group stations here in Kelowna.
LISTNUM
1 \l 13678 To
Jasmin's left is Chris Weafer, our legal counsel from Owen Bird in Vancouver.
LISTNUM
1 \l 13679 To
Mr. Weafer's left is Mr. Kerry Pelzer of D.E.M. Allen.
LISTNUM
1 \l 13680 I
will now turn the microphone over to Mr. James Robinson.
LISTNUM
1 \l 13681 MR.
ROBINSON: Thanks, Rick.
LISTNUM
1 \l 13682 Madam
Chair, members of the Commission, my father, Mr. Ralph Robinson was the founder
of Great Valleys Radio. My brother Scott
and I have carried on with his vision.
We have been proud and privileged to serve the communities of Penticton,
Keremeos and Princeton for over 25 years.
Recent years have posed difficulties for our operation. We have competed in Penticton for the past
ten years against a series of national radio companies: Telemedia, then Standard, and now Astral Radio
Limited. Those national chains have
always had a group of stations located throughout the Okanagan Valley. As a stand alone independent in Penticton, we
have found it challenging to effectively compete against this diversified group
of stations.
LISTNUM
1 \l 13683 We
were approached by the Jim Pattison Broadcast Group to determine our interest
in selling. We thought long and hard in
terms of what was in the best interest of our station, our community and our
employees. We honestly and firmly
believe that bringing the experience, resources and local operating practices
of the Pattison Broadcast Group to CIGV‑FM will enable the station to
provide a new and higher level of service to the communities that Great Valleys
Radio serves.
LISTNUM
1 \l 13684 I
have dealt with Mr. Arnish and the Pattison Broadcast Group over my many years
in business, and it is our view that this is the best company to carry on the
tradition established by my father. They
are a highly professional broadcast group which focuses on serving the local
community and in our discussions with them, we clearly determined that they
would best suit our ongoing employees' needs, as well as that of the
communities of Penticton, Keremeos, and Princeton.
LISTNUM
1 \l 13685 I
do understand that there has been an intervention filed in this process taking
issue with whether the Penticton station serves or can serve Kelowna. I can assure you, members of the Commission,
that no one has ever approached us with a view to acquiring our Penticton
station to serve Kelowna and, with respect, if the station could actually do
so, we would expect we would have been more successful as an independent
station.
LISTNUM
1 \l 13686 A
station in Penticton does not have the ability to serve Penticton and
Kelowna. We have enough competition in
Penticton competing against the local stations in that market without trying to
expand to compete into Kelowna. I do not
give any merit to the intervention that has been filed by Vista.
LISTNUM
1 \l 13687 The
transmitter, which does see our signal reach Kelowna, is in place to ensure
that our station can serve the areas it is licensed to serve, the South
Okanagan of British Columbia. It is a
transmitter that has been in place for 25 years and there is no change to that
as a result of the approval of this sale to the Pattison Broadcast Group. Many Penticton residents commute to jobs and
activities throughout the South Okanagan.
Our signal is intended to provide the coverage they need to stay informed
about Penticton.
LISTNUM
1 \l 13688 I
firmly believe that the acquisition by the Pattison Broadcast Group will
preserve and maintain the voice of Great Valleys Radio in Penticton and the
South Okanagan and hope you will give us the opportunity to pass on the legacy
created by my father and carried on by our family to this responsible broadcast
company.
LISTNUM
1 \l 13689 Thank
you.
LISTNUM
1 \l 13690 MR.
MILES: Madam Chair, I fully support and
echo the comments of Mr. Robinson in terms of the approach that we took in our
sale of our Vernon station. Rogers is
not active in secondary radio markets in British Columbia, and when we
determined that our Vernon station would be in better hands operated by a
committee with secondary market presence and experience, the logical choice was
the Pattison Broadcast Group.
LISTNUM
1 \l 13691 Mr.
Arnish and his station managers have clearly demonstrated to our company that
they know how to run quality, local, secondary market stations and in the
interest of our employee in Vernon and the future of that market, we determined
that it was in the best interests to accept their offer to sell our station to
them.
LISTNUM
1 \l 13692 The
Vernon station is not a Kelowna station.
A plain interpretation of the common ownership policy demonstrates that
the policy does not even apply as it relates to our Vernon station. Our 3 millivolt contour does not even cover
the Kelowna market. That is a fact. We do not believe the common ownership policy
is an issue in this proceeding as it relates to Vernon.
LISTNUM
1 \l 13693 We
would urge the Commission to move forward and approve the application for
acquisition by the Jim Pattison Broadcast Group to create certainty in the
market and to allow this company to move forward serving Vernon.
LISTNUM
1 \l 13694 MR.
ARNISH: Thank you, Gary and thank you,
James.
LISTNUM
1 \l 13695 Madam
Chair, the applications we have before you are important applications for the
Pattison Broadcast Group. We have been
striving to grow our company with applications in other markets for new
licences, as well as applications for approval of acquisitions. It is important to our group that we grow in
the interest of our employees and in the interest of creating a critical mass
of stations which is able to compete against the national radio chains which
dominate the Canadian radio industry.
LISTNUM
1 \l 13696 Mr.
Miles and Mr. Robinson have made positive statements about our company, and we
certainly do appreciate that.
LISTNUM
1 \l 13697 I
would like to provide you with background information on our broadcast group to
demonstrate our suitability to own and operate these local Penticton and Vernon
stations.
LISTNUM
1 \l 13698 The
Pattison Broadcast Group holds 27 FM licences in British Columbia and Alberta,
one AM licence in Vancouver and three small market television licences located
in Kamloops, Prince George and Medicine Hat.
We are a western‑based broadcast group of stations and an
organization which has made significant investments in the Canadian broadcast
industry. While consolidation of the
radio industry in Canada has produced a number of strong national players, the
Pattison Broadcast Group has emerged as a strong regional radio voice in
western Canada.
LISTNUM
1 \l 13699 To
date, we have operated primarily in secondary markets, although we remain
committed to grow in large and small radio markets. We believe the system requires strong,
regional broadcast voices and it is our objective to be one of them. We believe this is an important objective of
the Broadcasting Act.
LISTNUM
1 \l 13700 Mr.
Pattison's interest in broadcasting started with the acquisition in 1965 in
Vancouver of CJOR‑AM, now CKBD‑AM.
He has owned that AM station for 42 years. Our owner's commitment to the radio industry
is strong, long standing and well established, and in the last ten years, our
company has worked with approvals of the Commission to build a successful
regional radio company.
LISTNUM
1 \l 13701 In
1985 the Pattison Broadcast Group applied for and was granted Vancouver's first
Country FM station, CJJR‑FM. JR‑FM
has stayed in the Country format for more than 20 years, and has been named by
Canada's Music Week as Canada's Country Music Station of the Year for three
consecutive years, 2004, 2005 and 2006.
In 2007, we received the prestigious Major Market Radio Station of the
Year Award at the Canadian Country Music Awards. We are very proud of the fact that in the
only major market we are licensed to serve, we have achieved this strong
relationship with the music industry, as well as national recognition as the
leading station.
LISTNUM
1 \l 13702 The
Pattison Broadcast Group expanded from its Vancouver base when the Commission
approved the transfer of the ownership of the stations in Kamloops and Kelowna
to our company in 1988 and 1998 respectively.
The Commission approved the Pattison Broadcast Group's purchase of the
Monarch Broadcasting Group with properties in Lethbridge, Medicine Hat, Red
Deer, Grande Prairie, Prince George, Cranbrook, Fernie, Drayton Valley and
Rocky Mountain House in 2000. Further,
the Pattison Broadcast Group was entrusted with a new FM licence in Red Deer,
CFDV‑FM, which signed on in the fall of 2004.
LISTNUM
1 \l 13703 In
2006, the Pattison Broadcast Group moved to Vancouver Island when the
Commission approved the purchase of six FM stations from Island Radio, followed
by the purchase in 2006 of the two Victoria FM stations from the OK Radio
Group.
LISTNUM
1 \l 13704
As is the subject of this hearing, the Pattison Broadcast Group has filed
applications for the approval of the purchase of CKIZ‑FM in Vernon from
Rogers and the purchase of CIGV‑FM Penticton from Great Valleys Radio
Limited.
LISTNUM
1 \l 13705 The
Pattison Broadcast Group has shown sensitivity and commitment to the
communities it serves and has demonstrated a willingness to invest in improving
services. These commitments and
investments have strengthened the presence of the Canadian radio industry in
these communities in furtherance of the objectives of the Broadcasting Act.
LISTNUM
1 \l 13706 As
examples, since the Monarch purchase seven years ago, we invested significant
funds in each of the markets we serve, including the conversion of AM stations
to FM in Cranbrook, Kamloops, Prince George, Medicine Hat and Kelowna, and our
employee base in those local markets has continued to grow. These businesses did not become centralized
in the name of higher profits and at the expense of the people or the
communities in which they live and work.
LISTNUM
1 \l 13707 We
have also made important investments in our people and our plants, constructing
two new broadcast facilities in Prince George and Medicine Hat, and undertaking
major building and equipment renovation projects in Vancouver, Lethbridge, Red
Deer, Kelowna and Grande Prairie. The
result has been an improved quality of broadcast service for our listeners, our
viewers, more jobs and happier, more productive employees. Presently, we are funding construction of a
brand new broadcast facility to house our two stations (the Beech and the
Lounge) in Parksville/Qualicum Beach on Vancouver Island. We anticipate spending over half a million
dollars upgrading the Penticton plant should the Commission approve our
application, a significant benefit to the Penticton radio market.
LISTNUM
1 \l 13708 Each
member station of the Pattison Broadcast Group prides itself on being an
integral part of the community it serves.
Broadcasters, perhaps more than any other industry, are called upon to
support regional and local initiatives designed to benefit the community at
large. We do this in a variety of ways,
including partnerships with provincial and regional governments.
LISTNUM
1 \l 13709 In
British Columbia, the Pattison Broadcast Group stations, through their
affiliation with the BCAB and in a partnership with the provincial government,
were founding media sponsors of the successful bid for the 2010 Winter Olympics
in Vancouver/Whistler. Plus, every year
our B.C. stations honour a worthy community service group with the Humanity
Award of the Year, a commitment of over $3 million in air time to raise
awareness for worthwhile non‑profit organizations in our province. Pattison stations are significant
contributors and supporters of these regional industry initiatives.
LISTNUM
1 \l 13710 As
individual operations, our stations contribute to the improvement of life in
our own communities through a wide and varied number of station initiated and
local campaigns. Examples include:
LISTNUM
1 \l 13711 The
Tour de Rock on Vancouver Island, where 100.3 the Q worked with Cops for Cancer
on a 1,000 kilometre bike ride through 27 communities and in 2006 raised more
than $1.5 million in cancer research.
LISTNUM
1 \l 13712 The
B‑100 Radiothon in Kamloops which is now approaching its fifth year. This important project requires total team
involvement from our staff in Kamloops over two full days and has raised
approximately $200,000 for local projects that are sponsored by Variety, the
Children's Charity.
LISTNUM
1 \l 13713 The
Royal Inland Hospital Foundation in Kamloops and the Kid's Care Program in
Kelowna that have raised more than $11 million collectively.
LISTNUM
1 \l 13714 Free
the Fuzz in Courtney, where 97.3 The Eagle works with local RCMP officers to
raise money for B.C. Special Olympics and have gathered more than $45,000 over
three years.
LISTNUM
1 \l 13715 The
Sandfly Festival in Medicine Hat which was inaugurated in 1999 by our southern
Alberta radio stations CHAT‑FM and MY 96 FM. The Sandfly Festival is an annual free
outdoor concert that attracts thousands every year. It is a great showcase for emerging Canadian
artists that have included in past years The Poverty Planesman, Adam Gregory
and Aaron Lines, all of whom have since achieved considerable airplay success
since their initial exposure, plus Kalan Porter, who went on to become the
first Canadian Idol.
LISTNUM
1 \l 13716 Basics
for Babies in Vancouver, which just completed its 13th annual campaign and
which this year alone raised over $250,000 in cash, as well as raises tens of
thousands of kilograms of baby products annually for disadvantaged families at
Christmas. Basics for Babies, twice
awarded the CAB's Gold Ribbon Award for Community Service, and has raised over
$1.1 million since its inception and continues to grow.
LISTNUM
1 \l 13717 The
Easter Seals Drop Zone, which gives individuals the opportunity to rappel down
a 13 storey building in downtown Victoria, believe it or not, responsible by
91.3 The Zone. This event raises more
than $25,000 annually for Easter Seals.
LISTNUM
1 \l 13718 Individually,
our stations raise hundreds of thousands of dollars annually in cash and
commodities, which are used for great works in the communities we serve. Collectively, the Pattison Broadcast Group
commits in excess of over $10 million in air time every year toward charitable,
public and community service air time.
This is primarily in secondary markets, as we have not been able to
expand into other major markets to this point.
Our track record shows without a doubt that we deliver to our
communities well beyond our conditions of licence.
LISTNUM
1 \l 13719 On
the news and information side, we have strengthened the voice of the newsroom
in the markets in which we have acquired stations. We believe strongly in the importance of
local news and information. We cannot be
successful in secondary markets without providing a strong local service. That is our business model and our track
record does speak for itself.
LISTNUM
1 \l 13720 One
of the concerns which the common ownership policy looks to address is whether
there is a diversity of voice in a market.
In our experience in secondary markets, diversity of voice has increased
significantly in recent years as a result of satellite services, both radio and
television, print, as well as internet and other information sources available
to the audience. Conventional media has
had to improvise to be successful. As an
example, we are extremely proud of an award we received just last week from the
Jack Webster Foundation in British Columbia which acknowledged the joint effort
undertaken by our local television station in Kamloops in cooperation with the
local daily newspaper, the Kamloops Daily News.
This was to produce an important series on the impact of the Pine Beetle
catastrophe hitting the forestry sector in central British Columbia. In secondary markets, it is not always
diversity of voice which delivers the best news and information, but
cooperation of voices to ensure that resources are assembled to serve the
market.
LISTNUM
1 \l 13721 The
Commission has our written applications for both Vernon and Penticton and we do
not intend to go through those in detail as the Commission accepted those
applications with few deficiency questions which we responded to.
LISTNUM
1 \l 13722 In
Vernon and Penticton, we are acquiring these stations as local market stations
serving the markets that the previous owners have served for the past several
years and decades. Approval of these
acquisitions is in the public interest, in the interest of those markets, and
in the furtherance of the objectives of the Broadcasting Act.
LISTNUM
1 \l 13723 One,
the Commission will see an established broadcast company with the resources and
expertise to ensure that the local stations in Vernon and Penticton will
continue on with a high level of professionalism, while maintaining and
improving on the level of local community service and programming that has been
in place with the prior owners.
LISTNUM
1 \l 13724 Two,
approval will balance the playing field between Astral and the respective
Vernon and Penticton operations, ensuring that we can compete with this large,
dominant national radio company on a level playing field. Approval of these applications will create
competitive balance, not imbalance.
LISTNUM
1 \l 13725 Three,
the communities of Penticton and Vernon will see a western Canadian based
broadcast voice with a presence in communities throughout British Columbia and
Alberta providing service. There will be
news and information synergies with the other Pattison stations resulting from
us being in Vernon and Penticton further developing this western Canadian radio
voice. The radio voices in Vernon and
Penticton will be strengthened by approval of these applications.
LISTNUM
1 \l 13726 Four,
we will maintain employment commitments to the long‑term employees,
creating stability in these local stations.
LISTNUM
1 \l 13727 Five,
we will maintain commitments to the level of programming provided by these
stations.
LISTNUM
1 \l 13728 Six,
we will make Canadian Content Development commitments in Vernon consistent with
Commission policy. We have committed
$240,000 in benefits in Vernon. If an
exception is not granted for Penticton, we will contribute $180,000 in Canadian
Content Development commitments. We do
note that the Penticton market has in effect not been profitable for a period
of three years and, in our view, should be exempt from payments of
benefits. That said, we are anxious to
move forward with a close of that transaction to create stability in the market
and for the station's employees, should the Commission deem an exception is not
appropriate for Penticton.
LISTNUM
1 \l 13729 Turning
briefly to the Common Ownership Policy issue raised by the Commission and
emphasized in the Vista intervention, while we reserve the right to reply to
the Vista intervention in the reply phase, we have previously provided our
written response in letters dated October 15th and October 20th, 2007.
LISTNUM
1 \l 13730 To
summarize, the Commission called for comments on the Common Ownership Policy in
its public notice dealing with our applications for acquisitions of Vernon and Penticton. Notwithstanding the specific request for
comment, only one applicant responding to the Kelowna call for applications for
licences deemed it appropriate to file a comment. If there was a concern with respect to the
competitive position of our company in Kelowna as a result of approval of
either or both of these applications, surely more than one applicant would have
intervened raising concerns.
LISTNUM
1 \l 13731 The
applicant which raised the concern, Vista, actually initially chose the format,
Country music, which is provided by the Penticton station, CIGV‑FM. Clearly, if Vista thought that the Penticton
station served Kelowna, it would have chosen a format other than Country in its
first application to the Commission.
LISTNUM
1 \l 13732 On
review of all of the applications filed in the Kelowna market, each of them
identified five local, commercial stations serving Kelowna. None of them identified Penticton CIGV‑FM
as serving the Kelowna market. Some of
the material indicated that the Penticton station was listened in Kelowna by a
small percentage of the market. The
evidence did not indicate the Vernon station had any impact in Kelowna.
LISTNUM
1 \l 13733 While
the Commission has a common ownership policy, it is important to recognize that
the policy was implemented with a view to increase the number of stations which
could be owned in the market by any one company in order to recognize that
there could be strength created by consolidation. Vista's intervention points to examples of
companies increasing their signal reach or specific attempts by applicants to
capture an adjacent market being denied by the Commission. That is clearly not the case in these
applications. These are purely local
station acquisitions in Penticton and Vernon.
LISTNUM
1 \l 13734 We
are fortunate enough to have invested in acquiring two stations in Kelowna in
1998. One of those stations is now and
has not been profitable since we acquired it, and only the recent approval of
the conversion to FM will hopefully see it move to a profitable position. It is not in our interest to further fragment
the listening audience in Kelowna by converting the Penticton station into a
Kelowna station. With respect, that
makes absolutely no sense to us.
LISTNUM
1 \l 13735 We
would further point out that one of our own Kelowna station is a Country
station, further evidence that we felt there was a need to make the commitment
to have a local Country station, and this need was not and could not be
fulfilled by the Penticton station.
LISTNUM
1 \l 13736 Our
Kelowna stations do not and cannot serve Vernon and the Common Ownership Policy
is not applicable in that market in our view.
If our two Kelowna stations could or did in fact serve Vernon, there
would be no reason for us to be applying to acquire the Vernon station.
LISTNUM
1 \l 13737 In
summary, Madam Chair and members of the Commission, no applicant responding to
the Kelowna call identified CIGV‑FM as serving the Kelowna market in
their application to add service to the Kelowna market.
LISTNUM
1 \l 13738 Astral,
which is licensed to serve Kelowna and Penticton, has not intervened in this
proceeding, indicating they do not see any concerned raised by the approval of
this application in relation to the Commission's Common Ownership Policy.
LISTNUM
1 \l 13739 Approval
of the application does not involve the addition of any new frequency to the
Kelowna market.
LISTNUM
1 \l 13740 A
strong regional/local editorial voice, with the resources to strengthen that
voice, will be added to the Penticton and Vernon markets, which will continue
to offer focused local news services in those markets.
LISTNUM
1 \l 13741 A
company with significant small market experience will improve the local radio
service in Penticton by taking ownership of a radio station that has not financial
success for a number of years. Ownership
by the Pattison Broadcast Group will put the station on a stable operating
basis, enabling it better to serve the Penticton market, while retaining
employees and longstanding tradition of community service in Penticton.
LISTNUM
1 \l 13742 In
terms of the issue of diversity of voice as it pertains to Kelowna, it is clear
to us, based on the discussions this week, that the Commission will take the
opportunity to add a voice to the Kelowna market. There is no diversity of voice issue in
Kelowna, Penticton or Vernon raised by approval of our applications.
LISTNUM
1 \l 13743 We
look forward to a position decision from the Commission approving our
applications for acquisition of CKIZ‑FM Vernon and CIGV‑FM
Penticton, and would be pleased to answer any questions you may have.
LISTNUM
1 \l 13744 Thank
you very much.
LISTNUM
1 \l 13745 THE
CHAIRPERSON: Thank you very much, Mr.
Arnish.
LISTNUM
1 \l 13746 Although
you only found out two weeks ago that you would be an appearing applicant, I do
have to say that we never miss an opportunity to dialogue with our
licensees. I had never met Mr. Robinson
before, so nice to meet you. And you got
Gary Miles to come to Kelowna.
LISTNUM
1 \l 13747 I
do have to correct one thing in your oral presentation.
LISTNUM
1 \l 13748 MR.
ARNISH: Yes.
LISTNUM
1 \l 13749 THE
CHAIRPERSON: Kalan Porter was the second
Canadian Idol. Ryan Malcolm was the
first. Now, I don't remember where he
came from, but anyway.
LISTNUM
1 \l 13750 MR.
ARNISH: You are right.
LISTNUM
1 \l 13751 THE
CHAIRPERSON: Now we will go to the
business at hand.
LISTNUM
1 \l 13752 Your
position is quite clear in terms of the Vernon station that this does not
require an exception to our Common Ownership Policy.
LISTNUM
1 \l 13753 What
I am not clear about is whether or not you feel that the acquisition of the
Penticton station requires an exception to our Common Ownership Policy or is it
your position that it complies?
LISTNUM
1 \l 13754 MR.
ARNISH: We don't believe it needs an
exception to the Common Ownership Policy for the reasons that we outlined in
the response to deficiencies.
LISTNUM
1 \l 13755 The
Penticton station, as we have related in our answers to the deficiency
questions and here today at the hearing as well, hasn't been on a strong financial
footing for many, many years. We know
that if the Commission does grant us the approval to take over the assets of
CGIV‑FM in Penticton that we are going to have to put a number of
resources in place to take the station to the next level.
LISTNUM
1 \l 13756 The
Robinson family has run that station well for 25 years. It has been a stand alone station. As Mr. Robinson said, in the last ten years
it has been up against a lot of big national and regional operators and they
have really struggled, to a great degree, over the last numbers of years and it
could be for many, many years.
LISTNUM
1 \l 13757 We
know that we have to put a lot of financial resources into the plant in
Penticton to upgrade it to today's new technology, and we intimated that in our
presentation today that we are looking at implementing those changes to a half
a million dollars.
LISTNUM
1 \l 13758 I
do respect and we all respect the fact that the station has a signal coming
into Kelowna. That signal has been here
for 25 years. There was never once, even
in all the times that we have owned the stations here in Kelowna ourselves,
have ever looked at that station, even though it came into the market in
Kelowna, as a Kelowna radio station. It
has been there. It has served the
regional market surrounding the Penticton, South Okanagan and, to a degree,
coming into the Central Okanagan, very well because with the growth here in
Kelowna, a lot of people live in Penticton and they drive Highway 97 into
Kelowna to go to work each and every day.
LISTNUM
1 \l 13759 We
think that signal is very viable and very important for people travelling to
and from Kelowna each and every day to find out what the road conditions are
like, particularly at this time of year, maybe not so much in the summertime,
but also again to tune into their own local radio station in Penticton as they
are heading to work in Vernon.
LISTNUM
1 \l 13760 If
the Commission feels strongly that we need to do something, then we certainly
are committed, as well, to accept a condition of licence that we will not sell
local advertising in the market in Kelowna for the Penticton radio
station. It is purely a local Penticton
radio station serving the Southern Okanagan.
We know that. We are great
operators in all of the small markets that we are in, and we know local local
is where it is all at.
LISTNUM
1 \l 13761 As
you know, with today's changes in Diversity in Voices with Ipods and internet
and satellite radio, and more competition coming into all of our markets, we
have to be local local local, and that is our commitment to you and our
listening audience and the community of Penticton that that station will remain
local and we don't see it as being an issue here for stations in Kelowna. It never has been and it certainly hasn't
shown up at this hearing with our competitors in this marketplace or in fact
ten of the 11 applicants here in Kelowna.
LISTNUM
1 \l 13762 THE
CHAIRPERSON: I don't mean to be
facetious, but your answer is therefore no, it does not require an exception to
the Common Ownership Policy?
LISTNUM
1 \l 13763 MR.
ARNISH: We don't believe it does.
LISTNUM
1 \l 13764 THE
CHAIRPERSON: Thank you.
LISTNUM
1 \l 13765 Because
you did acknowledge that not only does the Vernon station come into the Kelowna
market, but it does get an audience; people in Kelowna listen to the Country
format on the Penticton station, do you currently now, Mr. Robinson, get any
advertising from the Kelowna market?
LISTNUM
1 \l 13766 MR.
ROBINSON: We have had some advertising
from the Kelowna market. Those clients
were clients with a regional draw looking to penetrate the South Okanagan. In this market there is quite a bit of travel
from the south end of the Valley which is smaller communities and less
diversity of shopping opportunities, et cetera.
It is quite traditional and accepted to travel to Kelowna to shop, and
they would be car dealerships, the Orchard Park Mall, clients like that.
LISTNUM
1 \l 13767 They
weren't clients that were advertising on us to the Kelowna market. They were buying with us to reach the South
Okanagan to encourage travel to Kelowna to their business.
LISTNUM
1 \l 13768 THE
CHAIRPERSON: They may not have been
advertisers who necessarily advertised only on your station. They would have advertised on a number of
stations serving the region?
LISTNUM
1 \l 13769 MR.
ROBINSON: I would say that is fair to
say, yes.
LISTNUM
1 \l 13770 THE
CHAIRPERSON: In terms of your local
programming, specifically news, do any of the stories that you cover include
the Kelowna market in terms of stories that come from Kelowna or do you cover
community events that occur in Kelowna?
LISTNUM
1 \l 13771 MR.
ROBINSON: To a certain extent we do, and
largely that is because Kelowna has become kind of the economic/cultural hub of
the Okanagan, so that events and newsworthy items in Kelowna are of interest to
the South Okanagan.
LISTNUM
1 \l 13772 THE
CHAIRPERSON: Would you have any way of
estimating what percentage of your local programming would focus on the Kelowna
market?
LISTNUM
1 \l 13773 MR.
ROBINSON: As far as news?
LISTNUM
1 \l 13774 THE
CHAIRPERSON: Yes.
LISTNUM
1 \l 13775 MR.
ROBINSON: It would be dependent on what
sort of news day it was, for want of a better answer. If there were several major stories out of
the Kelowna market, it might be half on a given day, but not as a matter of
policy.
LISTNUM
1 \l 13776 THE
CHAIRPERSON: Do you have a news
stringer, for example, who resides in Kelowna and feeds stories to your
station?
LISTNUM
1 \l 13777 MR.
ROBINSON: No.
LISTNUM
1 \l 13778 THE
CHAIRPERSON: Do you have a sales office
here in Kelowna?
LISTNUM
1 \l 13779 MR.
ROBINSON: No.
LISTNUM
1 \l 13780 THE
CHAIRPERSON: Thank you.
LISTNUM
1 \l 13781 Mr.
Miles, I will ask you the same set of questions for the Vernon station and the
Kelowna market and the relationship with the two, if there is any. Do you garner any sales from the Kelowna
market?
LISTNUM
1 \l 13782 MR.
MILES: I wish we did.
LISTNUM
1 \l 13783 THE
CHAIRPERSON: Wrong answer.
LISTNUM
1 \l 13784 MR.
MILES: One of the facts, and I tell the
story on myself because I do actually get into the market but not in Kelowna
because you turn right at the airport to go to Vernon instead of left. I can't get my station until I get well into
the first little community, so they have got 15 or 20 minutes warning to make
sure that all the songs get directed in that period of time.
LISTNUM
1 \l 13785 So,
no, I think in the last year or so we had sales of the same nature that James
has talked about, which are people in here wanting to draw on the trading
area. As you well know, the commerce
floats to the bigger centres as compared with the other way around and I think
they amount to .0075 per cent of our sales or roughly 14,000 bucks, for those
who can do the math now know what we do in retail sales in Vernon.
LISTNUM
1 \l 13786 In
terms of the news story, it is the same situation. We have a very good newsroom and Pattison has
committed to keeping that newsroom but they will take a story of interest to
the Valley and, more particularly, with a Vernon twist to it and have that on
the news stories.
LISTNUM
1 \l 13787 As
to the terms of percentage, we do not dominate our news casts with Kelowna
stories. We only dominate our news casts
with Vernon stories that may have the origin or a spin on the Kelowna or the
Great Okanagan Valley.
LISTNUM
1 \l 13788 THE
CHAIRPERSON: And you don't have a news
stringer or a sales office either here in Kelowna?
LISTNUM
1 \l 13789 MR.
MILES: We do not have a news springer
nor a sales office.
LISTNUM
1 \l 13790 MR.
ARNISH: Madam Chair, if I could just
interject here, I think it is important as, with potential acquisitions in
Vernon and Penticton, I would like Jasmine Doobay to speak to this.
LISTNUM
1 \l 13791 I
think it give us a greater opportunity, again, as a regional voice in the
Okanagan Valley, if we are successful in receiving you approval, to expand and
help each other covering news and information stories in Vernon, Kelowna and
Penticton.
LISTNUM
1 \l 13792 So,
Jasmin, I would like you to just talk about that for a moment.
LISTNUM
1 \l 13793 THE
CHAIRPERSON: Thank you, because you have
anticipated my next series of questions.
After I have established what is currently done in the two, then I was
moving on to what you plan on doing. But
please, go ahead.
LISTNUM
1 \l 13794 MS
DOOBAY: Madam Chair, I have been in the
Kelowna newsroom for four and a half years now.
When I came to the newsroom I was told right off the bat that we had
informal relationships with Penticton and Vernon radio stations in exchange of
stories that related to the other market.
LISTNUM
1 \l 13795 I
do the morning news and when I come in, there may be two or three stories from
either station with regards to things that happened in their community the day
before, and vice versa, we would send them things that we felt were regional
stories and would affect somebody in that market.
LISTNUM
1 \l 13796 But
in a newscast of say ten stories that we might run in a five‑minute
newscast, what may be a lead story down in Penticton such as somebody driving
their car into the Tim Hortons in the middle of the morning and injurying
people would be their lead news story, may not come up in the newscast until
maybe the fifth, sixth or seventh story in Kelowna. But a Penticton listener that maybe is
commuting to Kelowna would continue to stay with that Penticton station and
listen because they want to know the names and they want to know if those
people that are in that Tim Hortons are the people that are being affected that
are in their family or if they are some relation.
LISTNUM
1 \l 13797 They
can also relate mentally and visually to where that location is in their
community.
LISTNUM
1 \l 13798 I
have been in Kelowna since grade 2, and forgive me for thinking in Imperial
lines, but Okanagan Lake is 87 miles long.
Kelowna is in the middle of it and each community is 45 minutes to an
hour and a half away, depending on driving conditions. So, the regional conditions that affect us,
yes, we will share information, absolutely.
LISTNUM
1 \l 13799 Our
weather, example, tends to come up the Valley from Penticton. So if they get slammed with a snow storm, and
we know that that is going to hit us in the next minutes to 45 minutes,
Penticton can actually warn us and say, you are about to get completely dumped
on, we actually have an opportunity to go in the air in the Kelowna market and
warn our Kelowna listeners, hey, if you need to get home in the next ten
minutes it might be a good idea so you can avoid being involved in this snow
situation, and then further pass that down the Valley because that is the way
our weather tends to travel.
LISTNUM
1 \l 13800 We
have been inundated with fire stories in the Okanagan for the last five to
seven years and, again, the smoke travels up from the United States when there
is a major fire in Washington. For
health issues, if it is a bad smoke day, Penticton has a great relationship
with these stations just across the border that they can get information and
then pass that on to us, but it is really only just passing on a voice of
expertise in the current local market but it would never be a lead story in the
other market because Penticton school board and RCMP and city council is
different than Kelowna's issues and it is different than Vernon's issues.
LISTNUM
1 \l 13801 THE
CHAIRPERSON: So from what I am hearing
up and down the Valley radio stations in those markets that serve those local
communities may report on stories or events that are happening in the other
communities, and that will continue to happen regardless of ownership because
of the relationship of the communities?
LISTNUM
1 \l 13802 MS
DOOBAY: Yes, and it would only be if we
felt that that story, from an editorial perspective, had any effect on the
people in Kelowna or Vernon.
LISTNUM
1 \l 13803 THE
CHAIRPERSON: Thank you for that.
LISTNUM
1 \l 13804 I
am going to move on to format. Right now
CKIZ is branded as KISS‑FM, Mr. Miles?
LISTNUM
1 \l 13805 MR.
MILES: Correct.
LISTNUM
1 \l 13806 THE
CHAIRPERSON: And that is a Rogers'
brand?
LISTNUM
1 \l 13807 MR.
MILES: That is correct.
LISTNUM
1 \l 13808 THE
CHAIRPERSON: If you are successful, Mr.
Arnish, what are your plans in terms of rebranding that station?
LISTNUM
1 \l 13809 MR.
ARNISH: We have no plans talking about
rebranding KISS‑FM in Vernon. That
is a great brand. Rogers has done a
great job in establishing that brand in the north Okanagan. The stations are well run. They are a worthy competitor to the
Astral/Standard stations there.
LISTNUM
1 \l 13810 When
you have two owners in a market like Vernon and right now there is two in
Kelowna and there is two in Penticton, I think it really does offer up a
diversity of formats. When I am talking
about diversity of voices, I think when you have ownership like that you don't
have each other trying to take the most populace format from each other. You are going to end up finding your niche in
the marketplace and working with that. I
think that is working very well in Vernon with KISS‑FM.
LISTNUM
1 \l 13811 Other
than maybe fine tuning here and there, and radio stations do that all the time,
we see that would continue on because the station is doing very well.
LISTNUM
1 \l 13812 THE
CHAIRPERSON: With no need to change the
name? It will still be referred to as
KISS‑FM.
LISTNUM
1 \l 13813 MR.
ARNISH: Yes, it is.
LISTNUM
1 \l 13814 THE
CHAIRPERSON: Of course, the station from
Penticton is a Country station. You have
just flipped format and are now operating a Country station in Kelowna. Will the Penticton station stay a Country
station?
LISTNUM
1 \l 13815 MR.
ARNISH: Absolutely. We feel at this point in time that the
station ‑‑ we have eight Country radio stations in our group
in British Columbia and Alberta and we certainly can bring to CIGV‑FM in
Penticton, for Penticton and the south Okanagan our expertise in Country music
radio.
LISTNUM
1 \l 13816 The
station sounds great now, but we feel with some changes to some of the
programming elements on the station, we can make it just that much better for
the country music audience in Penticton and South Okanagan.
LISTNUM
1 \l 13817 THE
CHAIRPERSON: Are you referring
specifically to spoken word programming or are you referring more to the actual
music that is played or both?
LISTNUM
1 \l 13818 MR.
ARNISH: Excellent question, Madam Chair,
I think both. Certainly from the spoken
word element, I think we got into a little bit here of talking about news and
information with Jasmin. I think we can
certainly bring our expertise in news and information into the marketplace in
Penticton and help the station improve in that area.
LISTNUM
1 \l 13819 We
certainly can do that in the programming elements of the station as well. We have lots of expertise in on‑air
sales promotion, programming, and these are things that James and I have talked
about over the last long period of time that they don't have access to.
LISTNUM
1 \l 13820 I
remember the day that we announced the sale to the staff, there was lots of
tears, but James did echo that. He did
say that they don't have the resources to offer this kind of expertise to the
team and the staff in Penticton, and we would be able to do that.
LISTNUM
1 \l 13821 James,
do you want to talk about that for a moment?
LISTNUM
1 \l 13822 MR.
ROBINSON: Madam Chairman, I think it
speaks to the class, for want of a better word, of the Pattison Group that Mr.
Arnish and Mr. Davis came down and addressed our staff in person to assure them
that they would continue with the station and continue to serve the community
in the way that they have, and I think the staff were also excited because they
realize that there is going to be more opportunity for their professional
growth and career growth and growth within the station with the resources
obviously that the Pattison Broadcast Group brings to the table that, as an
independent small market station, we simply don't have.
LISTNUM
1 \l 13823 THE
CHAIRPERSON: What, if any, are the cost
efficiencies that this acquisition of these two stations will bring to the
Pattison Group in terms of synergies?
LISTNUM
1 \l 13824 MR.
ARNISH: There could very well be some
cost synergies in the area of accounting and perhaps the traffic
department. But other than that, I guess
we raise the Canadian flag here. We are
very proud of the fact that in all of our markets, whether they are the
smallest market in Drayton Valley Alberta, which is like Whitecourt, a very
small market and Mr. Fabro's company is in that market and they are worthy competitors
against us in close proximity, we really do pride ourselves on being local and
staying local. We don't centralize. We have no plans to centralize any one of
these two stations. We have no
centralization for voice tracking or anything like that in any of our
stations. I am proud to say that. That is a commitment that I have made to our
company and our employees, that we are local, have stayed local, will always be
that way and that has really resulted in our stations being very successful from
the largest station in Vancouver to the very smallest in Rocky Mountain House
and Drayton Valley, Alberta.
LISTNUM
1 \l 13825 We
see that here in Penticton. I guess I
could say, and I say this we respect to Standard, now Astral, that when
Standard bought the properties here a few years ago in Vernon, Kelowna and
Penticton, they did a lot of networking for quite a period of time. New management came in with Standard and said
this is not working because what happened was when they were doing the local
morning show, for example, voice tracked out of Kelowna or live over a TELUS
line or whatever the case may be to Vernon, for a period of time the local
marketplace didn't realize that the actual morning show was being done in
Kelowna. Once they found out, they
negatively reacted to that and for the right reason.
LISTNUM
1 \l 13826 If
they want to spend their money, the advertisers in the community and the
community wants to support the local radio station in Vernon or in Penticton,
they want to have live bodies in the studio.
We have always done that.
LISTNUM
1 \l 13827 We
have always made sure that the stations were local and will remain local for
many years to come.
LISTNUM
1 \l 13828 Long‑winded
answer, but the fact is that maybe traffic and accounting and maybe some
engineering services. Other than that,
everything else will remain in the marketplace.
LISTNUM
1 \l 13829 THE
CHAIRPERSON: One of the things that you
did say in your oral presentation is that you will maintain commitments to the
level of local programming provided by these stations. By level of local programming, I take that to
mean the number of hours that are currently being provided in terms of local
programming will be maintained?
LISTNUM
1 \l 13830 MR.
ARNISH: Absolutely.
LISTNUM
1 \l 13831 THE
CHAIRPERSON: What will be enhanced as a
result of this acquisition?
LISTNUM
1 \l 13832 MR.
ARNISH: I could ask Bruce Davis to talk
about this from the sales area, but certainly from a programming area, we do
bring our expertise to the marketplace.
We have learned a lot from Gary Miles and the Rogers team over the years
as being worthy competitors in markets that we are in against them.
LISTNUM
1 \l 13833 I
always believe ten heads are better than one.
I don't believe one person has all the right answers, all the right
ideas. We learn from each other.
LISTNUM
1 \l 13834 In
the markets in Vernon, we can learn from them for our group, they can learn
from us. I certainly say that in
Penticton as well.
LISTNUM
1 \l 13835 There
might be a less mature staff in Penticton than there is in Vernon, but you know
what, there is a lot of young people there and we can learn from them as
well. They want to learn from us. I think we bring that expertise to both of
the stations as well.
LISTNUM
1 \l 13836 I
do believe that on a going forward basis from a sales viewpoint, from an
engineering viewpoint, from a traffic situation or a scenario, from promotions,
we have great programmers in our group that can go to these markets as
well. I know Rogers have VP of
Programming that goes to the markets and talks with the staff. We can do that as well.
LISTNUM
1 \l 13837 I
think James hit the nail on the head too for the young people, because there
has to be a succession plan in broadcasting, we all know that. For our station to come in and work with the
folks in Penticton, the prime example is the fact that those folks there will
get a greater opportunity with a larger company to move on and improve in their
career and enhance their career hopefully with our stations in other markets.
LISTNUM
1 \l 13838 Whenever
we have any openings in our markets, and I am sure Mr. Rogers Miles does
that ‑‑ or Mr. Miles does that with Rogers ‑‑
I guess Mr. Rogers does that as well, come to think of it ‑‑
whenever we have an opening, we always go out to our stations first and say,
look, we have an opening in Grande Prairie or we have an opening in Vancouver.
LISTNUM
1 \l 13839 Interesting
story. Recently we had a young lady from
Prince George who ended up going to Lethbridge who stayed there for a little
while and we had a big opening with our Country station in Vancouver in the
evenings and she transferred to Vancouver.
So, she was on Vancouver Island, and then joined our company. She had three moves and she is doing a
wonderful job in Vancouver. Those are the
kinds of opportunities, I think, that we could bring to the table as well with
these acquisitions.
LISTNUM
1 \l 13840 THE
CHAIRPERSON: You have asked your person
responsible for sales to comment, and I am going to give him that chance, but
perhaps from a different angle than you had anticipated.
LISTNUM
1 \l 13841 The
Pattison Group will now be a dominant radio broadcaster in the Okanagan Valley,
if these applications are approved, and some might say that you would dominate
the generation of sales from these communities to the detriment of other radio
broadcasters who serve those same communities, so in other words, the
incumbents in those towns.
LISTNUM
1 \l 13842 How
would you respond to that?
LISTNUM
1 \l 13843 MR.
ARNISH: I will start and Bruce can jump
in here.
LISTNUM
1 \l 13844 At
this point in time our competitors in Kelowna are Astral, who just as everyone
knows recently bought CILK and in Vernon they are the competitors and in
Penticton they are the competitors as well.
They have stations in Summerland and they have stations in Osoyoos and
Salmon, Revelstoke and Golden. I would
say they would be the major player in the market currently, even more so now
that Standard has been sold to Astral, to create Canada's biggest radio
company. I think that is exciting for
the industry as well. There is lots of
positives with that sale there as well.
LISTNUM
1 \l 13845 But
they are going to be the dominant force.
We are a regional player in British Columbia and Alberta. As you know, Madam Chair, we have no other stations
outside of British Columbia and Alberta.
We compete very effectively and very, very well but we are going to be
competing in these markets against the largest national radio company in
Canada.
LISTNUM
1 \l 13846 Bruce,
do you want to add to that?
LISTNUM
1 \l 13847 MR.
DAVIS: When you talk about us being a
dominant player, we are still down one station against Astral in Kelowna. We have two, they have three. We would be even up in Vernon. That would level the playing field. We would still be down one station in
Penticton.
LISTNUM
1 \l 13848 So,
far from dominant, more on an even playing field.
LISTNUM
1 \l 13849 THE
CHAIRPERSON: I wish to thank you very
much for accepting our invitation to appear at this hearing.
LISTNUM
1 \l 13850 Do
my colleagues have any additional questions?
Legal counsel?
LISTNUM
1 \l 13851 MS
LEHOUX: No.
LISTNUM
1 \l 13852 MR.
ARNISH: Mr. Weafer would like to say
something.
LISTNUM
1 \l 13853 THE
CHAIRPERSON: Please.
LISTNUM
1 \l 13854 MR.
ARNISH: Thank you very much.
LISTNUM
1 \l 13855 MR.
WEAFER: Madam Chair, I just want to go
back to your first series of questions with Mr. Arnish with respect to the
question and you sought a yes or no answer with respect to whether the Common
Ownership Policy applies and your conclusion was the response was no. I just want to be careful about that.
LISTNUM
1 \l 13856 We
did file a written reply to the Vista intervention, and I would direct you to
that because there is a more comprehensive response to that. I believe Mr. Arnish's response was really the
issues that the Common Ownership Policy attempts to address are not applicable
in Kelowna.
LISTNUM
1 \l 13857 I
think we acknowledged that there is a signal issue and, therefore, if the
Commission deems that signal issue is relevant, an exemption would need to be
sought. I hope that is understood as the
intent of the response.
LISTNUM
1 \l 13858 THE
CHAIRPERSON: In other words, if we
deemed that the signal coming into Kelowna would require an exception, then
that is what you are advising us to do?
LISTNUM
1 \l 13859 MR.
WEAFER: Correct.
LISTNUM
1 \l 13860 THE
CHAIRPERSON: I understand that.
LISTNUM
1 \l 13861 MR.
ARNISH: That is correct, and I agree
with that.
LISTNUM
1 \l 13862 THE
CHAIRPERSON: That is the lawyer, right?
LISTNUM
1 \l 13863 Thank
you very much.
LISTNUM
1 \l 13864 Madam
Secretary.
LISTNUM
1 \l 13865 THE
SECRETARY: Thank you, Madam Chair.
LISTNUM
1 \l 13866 This
completes Phase I of the consideration of items 13 and 14 on the agenda.
LISTNUM
1 \l 13867 We
will now proceed to Phase II in which the intervenor listed in the agenda
appears to present their interventions on items 13 and 14. I would now call Vista Radio Limited to come
up to the presentation table.
LISTNUM
1 \l 13868 Please
introduce yourself for the record, and then you will have a total of 15 minutes
for your presentation on both items.
Thank you.
INTERVENTION / INTERVENTION
LISTNUM
1 \l 13869 MS
MICALLEF: Good afternoon, Madam
Chairman, Commissioners.
LISTNUM
1 \l 13870 My
name is Margot Micallef, and I am the Chair and CEO of Vista Radio Limited. With me today are Paul Mann, our Executive
Vice‑President of Operations, and Tony Gardener, our consulting engineer.
LISTNUM
1 \l 13871 We
are here today to oppose the applications by the Pattison Group to acquire two
FM stations in the Okanagan. We find
ourselves in an unfortunate position today.
This is the first time that Vista has appeared with a formal
intervention against a fellow broadcaster, and it is with considerable regret
that we do so.
LISTNUM
1 \l 13872 We
would like to put our appearance in context.
LISTNUM
1 \l 13873 We
believe that broadcasters should be able to grow their businesses, particularly
when the result is expanded and improved services to the communities they are
licensed to serve. The Jim Pattison
Group is a good operator. We compete
with them in many markets, including on Vancouver Island, and we hope to do so
in Kelowna as well. We know that they
provide quality programming services.
LISTNUM
1 \l 13874 We
would not have intervened with regard to the Vernon acquisition if it were not
associated with the Penticton acquisition.
LISTNUM
1 \l 13875 Finally,
our concerns on a policy level stem from our support of the Commission's
ownership rules being applied uniformly and with certainty. The uniform applications of rules levels the playing
field between large and small players.
We are willing to compete with anyone anywhere, but believe that the
rules need to be predictable for sound business planning and for fair
competition.
LISTNUM
1 \l 13876 We
are going to separate the concerns related to the acquisition of CIGV‑FM
Penticton and CKIZ‑FM Vernon.
LISTNUM
1 \l 13877 Starting
with CIGV‑FM Penticton, the transaction will clearly result in the
Pattison Group having three FM signals with 3 millivolt per metre contours
covering Kelowna, in direct contravention of the Commission's Common Ownership
Policy.
LISTNUM
1 \l 13878 In
the case of the acquisition of CKIZ‑FM from Rogers, the transaction will
result in Pattison having three FM signals whose 3 millivolt per metre contours
reach into parts of the Kelowna central market and three that reach into parts
of the Vernon central market.
LISTNUM
1 \l 13879 And
if the two transactions are approved, the Pattison Group will end up with four
FM signals whose millivolt per meter contours reach into parts of the Kelowna
central market and four that reach into parts of the Vernon central market.
LISTNUM
1 \l 13880 The
Commission's Common Ownership Policy was set out in the 1998 Commercial Radio
Policy. The relevant portion in this
situation is that no licensee can own or control more than two FM stations in
the same language in a single market.
LISTNUM
1 \l 13881 This
policy has been enforced consistently over the years since it was
enunciated. There are many examples of
the Commission's enforcement of the policy.
LISTNUM
1 \l 13882 In
Decision 2007‑350, the CRTC denied an application by Corus for a new FM
rebroadcaster of CJOB‑AM. The
Commission denied the Corus application, since it would violate the Common
Ownership Policy.
LISTNUM
1 \l 13883 In
Decision 2007‑106, the Commission approved an application by Newcap
Broadcasting to convert CFDR‑AM Halifax to the FM brand, but on the
condition that Newcap divest of its half ownership of CKUL‑FM, as that
half interest constituted the third FM signal which was owned by Newcap in the
same market.
LISTNUM
1 \l 13884 In
decision 2006‑644, the Commission approved in part an application by the
Maritime Broadcasting System to convert CFAB‑AM Windsor N.S. to the FM
band. While approved in principle, the
Commission directed MBS to return with different technical parameters that
would not result in the licensee holding the licenses for three stations with 3
millivolt per metre contours in the same market.
LISTNUM
1 \l 13885 We
have provided you with a map labelled "Pattison Contours" that shows
the 3 millivolt per metre contours of Pattison's two Kelowna FM stations, of
CKLZ‑FM and CKOV‑FM, along with the same contours of CIGV‑FM
and CKIZ‑FM. These contours have
been imposed on a map that shows the three different BBM central market
areas. The mauve at the top is North
Okanagan, Vernon's central BBM market.
The orange in the middle is Central Okanagan, Kelowna's central market
area, and the green at the bottom is Okanagan‑Similkameen, Penticton's
central market area.
LISTNUM
1 \l 13886 The
map makes it clear, as does the map submitted by the Pattison Group with the
CIGV transfer application. CIGV puts a
strong signal that covers most of the Kelowna market, including specifically
the city of Kelowna. Interestingly, the
contour also covers part of the central area for Vernon.
LISTNUM
1 \l 13887 Pattison
has indicated in its written reply that just because a theoretical contour
seems to enter a market does not mean that it has a local signal. Engineers can have different opinions, but we
would note that the official contour map that they themselves filed shows
clearly that CIGV‑FM provides a strong signal in Kelowna. Further, this question can be empirically
determined by tuning into CIGV‑FM at 100.7 FM anywhere in this hotel.
LISTNUM
1 \l 13888 The
Pattison Group has made three arguments in support of an exemption to allow
them to contravene the Common Ownership Policy, namely, number one, the
precedent established by decision 2000‑141; the fact that while CIGV‑FM
may come into Kelowna it will not be operated as a Kelowna station; and that
Astral has three stations in these markets and it would level the playing field
to allow Pattison to own three stations as well.
LISTNUM
1 \l 13889 Those
arguments were made in their written reply to our intervention.
LISTNUM
1 \l 13890 With
respect to the first argument, in paragraph 31 of its reply, Pattison also
states that a good precedent to approve their applications is found in Decision
2000‑141, which they indicated permitted Newcap to acquire a third FM
station in St. John's, Newfoundland. We
submit that that decision does not apply to the facts of this case since in
that transaction, Newcap ended up with two AM stations and two FM stations in
the market. This decision resulted in an
exemption to the total number of stations in a market of that size. It was not an exception to the two stations
per band limit as is the situation before the Commission today.
LISTNUM
1 \l 13891 Moreover,
the extra AM station permitted was one almost in bankruptcy and Newcap
programmed to run it as a very, very specialized all Newfoundland music
station. Again, the facts do not apply
to the situation before you today.
LISTNUM
1 \l 13892 The
Pattison Group also argues that while the contours of CIGV‑FM may come
into Kelowna, this does not mean that it will operate as a Kelowna
station. But Pattison has argued the
exact opposite in other instances.
LISTNUM
1 \l 13893 In
2004 Pattison intervened against an application by Standard to convert its
Summerland station, CHOR‑AM, to the FM band because it indicated that the
proposed contours would extend the service from Vernon to the U.S. border and
they state at paragraph 1 of their letter of February 5, 2004:
"We believe that approval of
this application essentially creates a fourth station in Penticton and a sixth
in Kelowna."
LISTNUM
1 \l 13894 We
would note that the 3 millivolt contour of that proposed station did not reach
into Kelowna.
LISTNUM
1 \l 13895 In
2006, Pattison intervened against an application by Vista to convert its Campbell
River and Powell River stations to the FM band.
Pattison opposed the technical patterns since it argued that the
conversions would result in an overlap of three Vista FM signals in various
parts of various markets. In paragraph
23 of the intervention Pattison stated:
"The approval of the CHQB and
CFWB‑AM to FM conversions will result in CFCP radio operating three FM
stations in the same market, in contradiction with the CRTC Common Ownership
Policy."
LISTNUM
1 \l 13896 This
charge was made against Vista despite clear evidence from the applicant that
each of the three stations is programmed to serve a different local market and
the fact that in no case was any one market completely covered by three FM
signals.
LISTNUM
1 \l 13897 We
are not stating that CIGV‑FM is today a Kelowna‑oriented
station. It is not. Nor is CKIZ‑FM a Kelowna station. Both are programmed by their respective
owners to serve their home markets.
Without stations in Kelowna to package with, these stations concentrate
their efforts on their home market. But
bringing these two stations into a common ownership group means that the
Pattison Group has the possibility of separating the four formats, thereby
taking part of the audience from local stations in Kelowna.
LISTNUM
1 \l 13898 The
Pattison Group said in its written reply that it would only be fair to allow
them this degree of common ownership since Standard, now Astral, has stations
in each of the three markets. Approving
the two transactions would, according to Pattison, level the playing
field. But if you look at the second
map, we have provided you, entitled "Standard Contours," which shows
the 3 millivolt per metre contours of Standard's, now Astral's three FM
stations, you will see that the situation is different. Astral's
Penticton FM station, CJMG‑FM does not enter either of the other
markets. At the same time, there is some
overlap between the Kelowna stations and Vernon and vice versa. But there is no direct overlap of three FM
stations that completely cover one market.
LISTNUM
1 \l 13899 As
noted earlier, we would not be concerned by the Vernon acquisition taken alone,
but the addition of CIGV‑FM gives Pattison three clear signals in Kelowna
and four signals in parts of Kelowna and Vernon.
LISTNUM
1 \l 13900 Finally,
please do not misconstrue our intervention today as dampening our enthusiasm to
compete in Kelowna.
LISTNUM
1 \l 13901 We
compete effectively against the Pattison Group in a number of markets, some
more challenging than others.
LISTNUM
1 \l 13902 If
we are successful in being licensed in Kelowna, we are ready to compete with
Astral and Pattison in whatever configuration and number of stations that is in
place. Our business plan is robust and
our market knowledge and programming skills are up to the task. But profitability will likely be delayed and
any other new entrant without our experience and market knowledge will be
placed in a worse situation.
LISTNUM
1 \l 13903 In
conclusion, we feel that the application by the Pattison Group to acquire the
Penticton station would result in a single licensee holding at least three FM
licenses in a single market. There is no
relevant precedent that supports an exception in this case. Consequently, we believe the Commission
should deny this application, and we also believe that the approval of both
applications will result in a very unfair situation, with out licensee having
multiple FM signals in two markets.
LISTNUM
1 \l 13904 Thank
you very your attention.
LISTNUM
1 \l 13905 THE
CHAIRPERSON: Thank you, Ms Micallef.
LISTNUM
1 \l 13906 I
will ask Commissioner Williams to ask the first set of questions.
LISTNUM
1 \l 13907 COMMISSIONER
WILLIAMS: Good afternoon, Ms Micallef,
panellists.
LISTNUM
1 \l 13908 Thank
you for your presentation. It has helped
clarify a few of the issues that we have been thinking about.
LISTNUM
1 \l 13909 There
is a few from the replies and I am going to go back to the written file just to
get your impression on some because they were not addressed in your remarks
today.
LISTNUM
1 \l 13910 Pattison,
in reply point number 2 on the reply dated October 15th said all 11 applicants
for the new FM radio undertaking in Kelowna were well aware of the proposed
transaction. It is highly unusual, in
their respectful submission, for any applicant for a new radio undertaking to consider
filing, let alone actually file an intervention in a market which they are not
even represented and will not be represented if the Commission does not approve
their application.
LISTNUM
1 \l 13911 They
suggest that we not accord much, if any weight, to an intervention that is
anticipatory.
LISTNUM
1 \l 13912 What
is your comment to that?
LISTNUM
1 \l 13913 MS
MICALLEF: Thank you. I have a couple of remarks.
LISTNUM
1 \l 13914 Firstly,
the Commission did invite comments in respect to the common ownership issue as
part of the proceedings in respect to the applications for Kelowna. So, that would be my first comment, and we
accepted that invitation and did respond.
LISTNUM
1 \l 13915 My
second comment would be that it is in everybody's interest to see that the
regulations and policies of the Commission are uniformly and consistently
applied and, for that reason, I think it is relevant regardless of who the
intervenor is.
LISTNUM
1 \l 13916 COMMISSIONER
WILLIAMS: In your application, another
point they make in item 4 of that same letter, it says none of the applicants
applying for a new FH licence in Kelowna identify CKIZ‑FM as a local
station serving the Kelowna market. Why
did Vista not identify them as a possible service?
LISTNUM
1 \l 13917 MS
MICALLEF: I will just make a comment and
then I will ask Paul to also respond.
LISTNUM
1 \l 13918 We
don't consider the Penticton station as a Kelowna station. We do see it being treated differently,
though, in the hands of a common owner.
I would just ask Paul to comment on that further.
LISTNUM
1 \l 13919 MR.
PAUL MANN: Thank you.
LISTNUM
1 \l 13920 In
doing our own work for this market, looked at the existing situations,
obviously at the time we did our research and triggered the call in the market
and so forth, looked at it as current operators in this and the surrounding
markets.
LISTNUM
1 \l 13921 So
it wasn't relevant at that time. I think
really on point today, it really is about policy clarity for us.
LISTNUM
1 \l 13922 I
could comment on sales if you want in terms of potential impact.
LISTNUM
1 \l 13923 COMMISSIONER
WILLIAMS: I think any additional
information will be helpful.
LISTNUM
1 \l 13924 MR.
PAUL MANN: Obviously the dynamics of the
playing field changes under the strengths garnered for multiple market,
neighbouring market type ownership operations.
We know there are strengths and synergies in that regard because we are
experienced similarly in various other market areas in British Columbia,
Alberta and the Northwest Territories.
It does change the potential dynamic of the marketplace based on the
anticipated ownership, to use those words.
LISTNUM
1 \l 13925 COMMISSIONER
WILLIAMS: In that same letter moving to
point 12 now on page 3, the point that Pattison makes there is it is
significant to know that Astral has not intervened in this proceeding, and they
suggest that this is convincing evidence that concerns of the Common Ownership
Policy intended to address do not arise in this case. Clearly Astral which is licensed in each of
these markets does not see the Vernon station as a potential to serve Kelowna.
LISTNUM
1 \l 13926 In
the following point they talk a bit about the Newcap situation in West Edmonton
Mall where you have Camrose and the two Edmonton stations and there is a lot of
overlap there, and operated in fact through a common broadcast facility in the
west end of West Edmonton Mall.
LISTNUM
1 \l 13927 What
would your comments be to those two points?
LISTNUM
1 \l 13928 MS
MICALLEF: The first comment with respect
to Astral not intervening, I can't speculate as to why Astral would elect not
to. It could have been that they were
busy with the change of control transaction.
It could be that they have their own ideas of how to run multiple
stations in adjacent markets, so I can't comment about that.
LISTNUM
1 \l 13929 I
don't believe that it is necessarily indicative of anything other than the fact
that Astral chose not to participate in that process.
LISTNUM
1 \l 13930 I
have to apologize, I don't have the intervention letter that you are referring
to and I am not familiar off the top of my head with that particular case that
you are describing.
LISTNUM
1 \l 13931 COMMISSIONER
WILLIAMS: I can just read it out to
you. It is very short.
LISTNUM
1 \l 13932 MS
MICALLEF: Sure.
LISTNUM
1 \l 13933 COMMISSIONER
WILLIAMS: In Edmonton, Alberta,
Newfoundland Capital Corporation has two FM stations and it gives the call
letters for them, CIRK and CKRA both FM, which overlap with their CFCW station
in Camrose, all of which, including the Camrose station, are operated in
through a common broadcast facility in the West Edmonton Mall.
LISTNUM
1 \l 13934 Camrose,
as you may be aware, is 45 minutes from Edmonton, similar to Penticton or
Vernon.
LISTNUM
1 \l 13935 MS
MICALLEF: I am sorry, I can't
comment. I am not familiar with that
particular situation. I am not familiar
enough with the marketplace itself to know how it impacts on the sales.
LISTNUM
1 \l 13936 If
you would like, I don't mind reviewing that particular situation and providing
a written reply to that question.
LISTNUM
1 \l 13937 COMMISSIONER
WILLIAMS: Madam Chair?
LISTNUM
1 \l 13938 THE
CHAIRPERSON: That is okay.
LISTNUM
1 \l 13939 COMMISSIONER
WILLIAMS: Yes, that would be
acceptable. How soon would you like it?
LISTNUM
1 \l 13940 MS
LEHOUX: How soon can you provide us with
that written reply?
LISTNUM
1 \l 13941 MS
MICALLEF: Can I get it to you by the end
of the day on Monday?
LISTNUM
1 \l 13942 MS
LEHOUX: Sure.
LISTNUM
1 \l 13943 MS
MICALLEF: Thank you.
LISTNUM
1 \l 13944 COMMISSIONER
WILLIAMS: One of the other arguments
that was brought forward regarding the benefits policy, you said Pattison has
asked for an exemption from this policy, arguing that PBIT has been minimal and
it would have been negative absent for a revenue for tower rental. We do not understand why Pattison believes
that revenue from tower rental should be outside the financial structure
leading to PBIT. Can you elaborate on
that, please?
LISTNUM
1 \l 13945 MS
MICALLEF: It really just comes down to
the fact that Pattison has taken the position that the station has not made any
money when, in fact, it has made at least some money as a result of that tower
rental.
LISTNUM
1 \l 13946 Our
view is that all of the ‑‑
LISTNUM
1 \l 13947 COMMISSIONER
WILLIAMS: All revenues should be
included?
LISTNUM
1 \l 13948 MS
MICALLEF: All revenues should be
included, absolutely.
LISTNUM
1 \l 13949 COMMISSIONER
WILLIAMS: Thank you. That concludes my questions, Madam Chair.
LISTNUM
1 \l 13950 THE
CHAIRPERSON: Thank you, Ms Micallef and
to your colleagues. Thank you for your
intervention.
LISTNUM
1 \l 13951 MS
MICALLEF: Thank you.
LISTNUM
1 \l 13952 THE
CHAIRPERSON: Madam Secretary.
LISTNUM
1 \l 13953 THE
SECRETARY: Thank you, Madam chair. This completes the list of appearing
intervenors in Phase II.
LISTNUM
1 \l 13954 We
will now proceed to Phase III in which the applicant, Jim Pattison Broadcast
Group Limited, can reply to all interventions submitted on their
application. I would ask them to come
forward.
LISTNUM
1 \l 13955 For
the record, could you please restate your name, and you will have ten minutes
for your presentation.
REPLY / RÉPLIQUE
LISTNUM
1 \l 13956 MR.
ARNISH: Thank you, Madam Secretary.
LISTNUM
1 \l 13957 My
name is Rick Arnish, President of the Jim Pattison Broadcast Group.
LISTNUM
1 \l 13958 Madam
Chair, Commissioners, we believe we have fully responded to the application of
the Common Ownership Policy in our response letters to the Commission's
deficiency letter and Vista's intervention.
We submit that there is conclusive evidence supporting our position that
an exemption to the Common Ownership Policy should be granted if the Commission
determines that it applies in either or both Vernon and Penticton. We will briefly summarize our responses here.
LISTNUM
1 \l 13959 Dealing
specifically with Vernon, the Vernon station 3 millivolt contour does not cover
the Kelowna market, nor do our Kelowna stations cover the Vernon market such
that the Common Ownership Policy applies.
We say no exception is required as we do not have three signals in the
same band in either Vernon or Kelowna as a result of this acquisition.
LISTNUM
1 \l 13960 Turning
to Penticton, the Commission is in a unique situation assessing the common
ownership policy as it pertains to Penticton and Kelowna as the Commission
heard from 11 applicants this week seeking to enter that market. None of the applicants responding to the
Kelowna which you heard from this week identified CIGV‑FM Penticton as a
Kelowna radio station. Indeed, two of
the applicants, CJVR Radio Limited and Vista applied for a Country format. Clearly if CIGV‑FM Penticton served or
could serve Kelowna, it would make no sense for these applicants to apply for
that format.
LISTNUM
1 \l 13961 With
the exception of Vista, no other applicant responding to the Kelowna call filed
an intervention opposing our acquisitions.
If the Kelowna market was to be impacted as projected by Vista, surely
other applicants would have intervened.
LISTNUM
1 \l 13962 A
review of these applications indicate not only are the ten other applicants not
concerned, they correctly do not view the Penticton station CIGV‑FM as a
local station or having a competitive presence in the Kelowna market. All applicants, including Vista, at page 13
of their supplementary brief filed in support of their Kelowna application
highlighted that Kelowna is served by five commercial radio stations.
LISTNUM
1 \l 13963 The
best evidence the Commission has that the acquisition of CIGV‑FM by the
Pattison Broadcast Group will not cause harm to the Kelowna market is provided
by the fact that none of the applicants applying for a new FM licence in
Kelowna identifies CIGV‑FM as a local station serving the Kelowna
market. As there is no change to the
technical parameters of CIGV‑FM resulting from this acquisition, there is
no increased competitive presence created by the acquisition.
LISTNUM
1 \l 13964 It
is significant to note that Astral has not intervened in this proceeding. This is further convincing evidence that
concerns the Common Ownership Policy is intended to address do not arise from
approval of this application.
LISTNUM
1 \l 13965 Clearly
Astral, which is licensed in both the Kelowna and Penticton markets, does not
see CIGV‑FM Penticton as a station either serving or with a potential to
serve Kelowna in a competitive market.
LISTNUM
1 \l 13966 Kelowna
listeners do not see the Penticton station as serving the local Kelowna
market. That is the case because it does
not. It is focused on serving Penticton,
and even radio station listeners who favour Country music with a passion in
Kelowna do not tune to the Penticton‑based Country station as evidenced
by numerous letters of intervention supporting a new Country station for
Kelowna.
LISTNUM
1 \l 13967 The
Penticton local station CIGV‑FM serves Penticton. It does not serve Kelowna. If ownership is transferred to the Pattison
Broadcast Group, we promise you it will continue to do so.
LISTNUM
1 \l 13968 What
is a local station in Kelowna? At
paragraph 10 of Vista's intervention they highlight the creation of the
Commission's 1998 Commercial Radio Policy and the implementation of the Common
Ownership Policy.
LISTNUM
1 \l 13969 In
implementing the policy, it is important to note that the Commission was
increasing the amount of consolidation which could occur in radio markets in
order to assist in increasing the economic health of the radio industry. The Pattison Broadcast Group is attempting to
create a healthy radio market in Penticton through this application.
LISTNUM
1 \l 13970 As
a stand along station in that market competing against Astral's two stations,
it will be a challenge, but we are the best competitors to compete. The fact that we will own other stations in
different local markets in the British Columbia interior matching Astral will
assist in having a level playing field with Astral, which will in turn
strengthen the service in Penticton.
Astral does not oppose facing this competition and has not intervened or
raised Common Ownership Policy concerns.
LISTNUM
1 \l 13971 At
paragraph 19, Vista speculates that the applicants would not have taken into
account the competitive advantage accruing to the Pattison Broadcast Group with
a capacity to offer four different radio formats in Kelowna. The Pattison Broadcast Group would not have
this capacity as the Vernon station does not reach Kelowna such that the format
could be offered in a commercially viable way.
LISTNUM
1 \l 13972 As
indicated by the preponderance of evidence, the Penticton station is not seen
as a local option for listeners, as evidenced by Vista's own written
intervention and letters of support.
LISTNUM
1 \l 13973 At
paragraph 20 of Vista's intervention, it speaks of the four programming weapons
that the Pattison Broadcast Group will have.
LISTNUM
1 \l 13974 Radio
station operators do have flexibility in format to ensure that they are serving
their market effectively. Vista criticizes
the Pattison Broadcast Group for converting its Kelowna radio station to
Country, which it did on August 17th of this year. The Pattison Group had little choice but to
make this conversion on risk of losing its long‑standing news network
source for its struggling News/Talk Oldies format previously provided on AM,
and we did this after having signed the agreement to purchase the Penticton
station. We understand that Vista, as a
Country applicant for Kelowna, would not be happy with this change. However, it was in no way targeted to deal
with their application. It was all about
an existing station having to change to try to be successful.
LISTNUM
1 \l 13975 However,
for the Pattison Broadcast Group to select the Country format in the face of
the Penticton station CIGV‑FM providing Country is further material
evidence that the Pattison Broadcast Group does not and would not see Penticton
CIGV‑FM as a Kelowna station. If
that was the case, there would be no logic to us pursuing a Country format in
Kelowna and committing the effort, financial resources and assuming the market
risk in doing so.
LISTNUM
1 \l 13976 At
paragraphs 21 to 25 of Vista's intervention, they criticize the Pattison
Broadcast Group's approach in requesting an exemption under the Common Benefits
Policy.
LISTNUM
1 \l 13977 CIGV‑FM
has been a challenged operation for many years.
Over the past three years it has been barely profitable and only so due
to an anomaly of tower rental created as a result of the Kelowna fires.
LISTNUM
1 \l 13978 These
are the undisputed facts. If the
Commission does not accept that the exemption to the benefits policy should be
granted in the Penticton market, the Pattison Broadcast Group will make
payments in accordance with the radio policy 2006, committing 6 per cent of the
purchase price in support of Canadian Content Development, with 3 per cent,
$90,000 of the amount allocated to Radio Starmaker, 2 per cent, $60,000 to
FACTOR, and 1 per cent, $30,000 to Music British Columbia.
LISTNUM
1 \l 13979 We
make this commitment, if necessary, as we believe it is in the interest of the
Penticton station to have ownership change occur in a timely manner. There is uncertainty created for staff,
advertisers and the market which is not healthy for the station by delay of this
approval.
LISTNUM
1 \l 13980 The
Vista intervention fails to recognize that the purchase of CIGV‑FM by the
Pattison Broadcast Group is the result of a purchase entered into on an arm's
length basis and what could have been a very competitive process. As the Commission is aware, CILK‑FM in
Kelowna recently sold for over $9 million.
CIGV‑FM has been acquired for approximately $3 million. If Vista or any of the 11 other applicants
for Kelowna believe that the Penticton station is effectively a Kelowna station,
worth what a Kelowna station is worth, why did they not attempt to acquire this
station at Kelowna market value? The
answer is obvious. The Penticton station
is not a Kelowna station and it is not as valuable as a Kelowna station,
particularly a Penticton station that has not been profitable for three years.
LISTNUM
1 \l 13981 At
paragraphs 32 through 37 Vista takes issue with the examples used by the
Pattison Broadcast Group in its deficiency letter response. The point being made is that the multiple
signals reach multiple markets in the geography of the interior of the Province
of British Columbia. The Pattison
Broadcast Group's acquisition of CIGV‑FM Penticton will put us on a more
level playing field with the network of stations owned by Astral Broadcasting,
thereby creating a fair, competitive balance against a strong incumbent
player. If still considered necessary
after and despite factoring the arguments contained, the Pattison Broadcast
Group is prepared to accept a condition of licence which would see the Pattison
Broadcast Group commit to not sell the Penticton service CIGV‑FM as a
local buy in Kelowna.
LISTNUM
1 \l 13982 Further,
we will accept the same condition of licence for our Kelowna station as it
relates to local sales in Vernon.
LISTNUM
1 \l 13983 These
commitments should be enough to satisfy any concerns in relation to the
Commission's Common Ownership Policy if the Commission finds the Common
Ownership Policy applies.
LISTNUM
1 \l 13984 This
approach was utilized by the Commission in Broadcasting Decision CRTC 2007‑211,
wherein it dealt with an application by Newcap Inc. for a licence to serve
Carbonear. This AM‑FM licence
conversion would have potentially given Newcap three FM licences to serve St.
John's, Newfoundland. Newcap had previously
received an exemption under the Common Ownership Policy to hold four licences
for St. John's. In relation to this
fifth potential licence and a third FM, the Commission approved the flip and
imposed a condition of licence on Newcap as follows. The licensee shall not solicit local
advertising in St. John's, Newfoundland and Labrador.
LISTNUM
1 \l 13985 The
Pattison Broadcast Group is prepared to accept that condition of licence in
Kelowna in relation to the CIGV‑FM licence and in Vernon in relation to
its Kelowna licenses, if deemed appropriate by the Commission to mitigate any
concerns in relation to the Common Ownership Policy.
LISTNUM
1 \l 13986 We
respectfully submit that Vista's intervention is without merit and the
Commission should approve our applications to acquire CIGV‑FM Penticton
and CKIZ‑FM Vernon, as such approval is in the public interest and in
furtherance of the objectives of the Broadcasting Act. Approval of these applications will not
result in an exemption to the Commission's Common Ownership Policy. Alternatively, should the Commission
determine that the Common Ownership Policy is relevant to the application, an
exemption should be granted as:
LISTNUM
1 \l 13987 One,
no applicant responding to the Kelowna call identified CIGV‑FM as serving
the Kelowna market in their application to add service to the Kelowna market.
LISTNUM
1 \l 13988 Two,
Astra, which is licensed to serve Kelowna and Penticton has not intervened in
this proceeding, indicating they do not see any concerns raised by approval of
this application in relation to the Commission's Common Ownership Policy.
LISTNUM
1 \l 13989 Three,
approval of the application does not involve the addition of a new frequency to
the Kelowna market.
LISTNUM
1 \l 13990 Four,
a strong regional/local editorial voice with the resources to strengthen that
voice will be added to the Penticton and Vernon markets.
LISTNUM
1 \l 13991 Five,
a company with significant small market experience will improve the local radio
service in Penticton by taking ownership of a radio station that has not had
financial success for a number of years.
Ownership by the Pattison Broadcast Group will put the station on a
stable operating basis, enabling it to better serve the Penticton market or
retaining the employees in long‑standing tradition of community service
in Penticton.
LISTNUM
1 \l 13992 Six,
history reflects that the principles of Vista operated a similarly located
grouping of radio stations in the recent past as the Pattison Broadcast Group
is looking to do today.
LISTNUM
1 \l 13993 Seven,
in conclusion, if the Commission is concerned with the fact that the Penticton
CIGV‑FM 3 millivolt signal does reach Kelowna, the Pattison Broadcast
Group will accept a condition of licence that it will not solicit local Kelowna
advertising in Kelowna for airing on CIGV‑FM Penticton.
LISTNUM
1 \l 13994 Further,
we will accept the same condition of licence for our Kelowna stations as it
relates to local sales in Vernon as a condition of approval of the acquisition
of CKIZ‑FM Vernon from Rogers Broadcasting if the Commission deems this
necessary.
LISTNUM
1 \l 13995 We
do look forward to a positive decision from the Commission approving our
application for the acquisitions of CIGV‑FM Penticton and CKIZ‑FM
in Vernon.
LISTNUM
1 \l 13996 In
conclusion, I would like to just ask Mr. Pelzer from D.E.M. Allen to make some
comments on the technical maps that were submitted by Vista in that
intervention process.
LISTNUM
1 \l 13997 Mr.
Pelzer.
LISTNUM
1 \l 13998 MR.
PELZER: Thank you, Rick.
LISTNUM
1 \l 13999 Madam
Chair, we have just had a few moments to look at the maps and we see a number
of inconsistencies that we would like to study further.
LISTNUM
1 \l 14000 For
instance, on the Pattison contour map, it is shown as the Pattison stations in
Kelowna CKLZ‑FM and CKOV‑FM having separate transmitter sites when,
in fact, they both transmit from the same site.
We would like to look a little further in that just to see why that may
be.
LISTNUM
1 \l 14001 We
also note on the Standard contours, the contours of Standard's Penticton
station, CJMG‑FM at first glance appear to be much more south than they
should be. You can see that the 3
millivolt contour doesn't even cover Penticton.
So we have some concerns whether that is correct.
LISTNUM
1 \l 14002 Also,
presently Standard's stations CHSU‑FM and CILK‑FM transmit from the
CKOV‑FM site and should have, therefore, very similar contours. We see some discrepancies. So, we would just like to look into this a
little further.
LISTNUM
1 \l 14003 THE
CHAIRPERSON: Could you provide us with
your analysis by the end of the day Monday?
LISTNUM
1 \l 14004 MS
PELZER: Yes, we will.
LISTNUM
1 \l 14005 MR.
ARNISH: Thank you, Madam Chair and
Commissioners.
LISTNUM
1 \l 14006 MS
LEHOUX: With respect to the process, I
just want to add something.
LISTNUM
1 \l 14007 Vista
will have also 24 hours afterwards just to reply to whatever you come up with
respect to the maps, and you will be provided 24 hours too. So by the end of Tuesday to comment on what
Vista, the answer that they will be giving to Commissioner Williams'
questions. So, both will have the chance
to comment.
LISTNUM
1 \l 14008 Thank
you.
LISTNUM
1 \l 14009 MR.
ARNISH: Madam Chair, that concludes our
presentation. We thank you for this
opportunity to be with you here in Kelowna and present who we are and what we
stand for and wish you well in your deliberations.
LISTNUM
1 \l 14010 Have
a safe trip back to Ottawa.
LISTNUM
1 \l 14011 THE
CHAIRPERSON: Thank you very much, Mr.
Arnish and to your colleagues.
LISTNUM
1 \l 14012 Madam
Secretary.
LISTNUM
1 \l 14013 THE
SECRETARY: This completes Phase III and
the consideration of items 13 and 14.
LISTNUM
1 \l 14014 I
would like to indicate for the record that the intervenors who did not appear
and were listed on the agenda as appearing intervenors will remain on the
public file as non‑appearing interventions.
LISTNUM
1 \l 14015 Also,
there are a number of non‑appearing applications on the agenda of this
public hearing. Interventions were
received on some of those applications.
The panel will consider these interventions along with the applications
and the decisions will be rendered at a later date.
LISTNUM
1 \l 14016 This
completes the agenda of this public hearing.
LISTNUM
1 \l 14017 Madam
Chair.
LISTNUM
1 \l 14018 THE
CHAIRPERSON: Thank you very much.
LISTNUM
1 \l 14019 I
just want to take a moment to thank all applicants, all intervenors who
appeared before us over these last three days, to thank the interpreters who
are always lost in that little glass shed at the back of the room, Commission
staff and, in particular, Ms Ventura, who this is her first time flying solo as
the Hearing Secretary and to commend her on a job well done and, last but not
least, my colleagues.
LISTNUM
1 \l 14020 Thank
you very much, and we will see you soon.
We are adjourned.
‑‑‑ Whereupon the
hearing adjourned at 1717 /
L'audience est adjournée à 1717
REPORTERS
____________________
Barbara Neuberger
- Date de modification :