Evidence of meeting #35 for Canadian Heritage in the 39th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was fund.
A recording is available from Parliament.
10:50 a.m.
Conservative
10:50 a.m.
NDP
Brian Masse NDP Windsor West, ON
You know what, Mr. Chair? I think we've beaten this like a dead horse. It's obvious what needs to happen.
10:50 a.m.
Conservative
Ed Fast Conservative Abbotsford, BC
Thank you, Mr. Chair.
Dr. Rabinovitch, I was pleased to hear you encourage us to look at the history of the CTF. I believe that Mr. Stursberg did an excellent job of doing that. Unfortunately, the message isn't getting out there. Historically what happened was that the cable companies received a benefit, and that was less regulation on their subscriber fees. In return, they agreed to support the Canadian independent production industry, which benefits all Canadians and allows us to view in public broadcasting a mirror image of ourselves as a society.
In looking at the history, we also look at a history of a regulatory framework that was created by previous governments. And as long as nobody challenged the circulars or the regulations, we didn't have a problem. Today somebody's challenging that framework. There are certainly suggestions that the circulars that were issued are perhaps not legally enforceable. Some in the industry, although I might disagree with them, are suggesting that even the regulations might not be enforceable due to the fact that they believe it's taxation, not simply fees.
Perhaps I could have you comment on something along the lines of what Mr. Masse raised. Again, we don't want to over-regulate the industry, but when we have these threats to funding agreements that were entered into in good faith, there are challenges they place on the CBC, as well as on others who depend on this funding for their livelihoods.
10:55 a.m.
President and Chief Executive Officer and Acting Chair of the Board of Directors, Canadian Broadcasting Corporation
I don't disagree with less regulation being better, as a philosophy. I think there have been a lot of moves in that direction.
This was not a deal that was regulated. The regulations were post facto. This was a deal that was arrived at by the industry, in discussion with the regulator, and offered up by the industry in order to get a particular benefit for themselves and also to recognize the fact that they are part of the broadcasting system. Remember, it was relatively close to the time after the act had just been redone, and the cable companies are supposedly--and we believe they should be--an integral part of the broadcasting system.
An essential element of the broadcasting system is the development of distinctive Canadian programming, not just the rebroadcasting of American content. This was seen, I think, by those in the cable industry as a fair way for them to make a fair contribution to the development of Canadian content. At the same time, they did very well for themselves. They protected and increased what they received three years earlier.
But this doesn't fall under the usual discussions of regulation in that it wasn't imposed by regulation; it was confirmed by regulation. The deal was between willing partners.
10:55 a.m.
Conservative
Ed Fast Conservative Abbotsford, BC
That's an excellent point. And I'm sure if you asked Shaw and Vidéotron, they don't want to go back to the pre-1993 period—
10:55 a.m.
President and Chief Executive Officer and Acting Chair of the Board of Directors, Canadian Broadcasting Corporation
Heavy-handed government—
10:55 a.m.
Conservative
Ed Fast Conservative Abbotsford, BC
—with heavy-handed government, when you had more interference in subscriber fees and more interference in industry. That's why I find it somewhat unfortunate that we find ourselves discussing this today at this committee, when in fact there is clearly a history of trade-offs and quid pro quos that actually resulted in a program that I believe has served Canadians well during the period of time it's been in existence.
10:55 a.m.
President and Chief Executive Officer and Acting Chair of the Board of Directors, Canadian Broadcasting Corporation
If I may say something as well, sir, before we leave. I don't know if we drew your attention to the document we tabled on CTF productions and how well they've done. I think it's worth looking at this. This has been a success internationally in terms of the kudos, the awards, and the quality of programs. It's something Canadians should be proud of. We have been able to create an industry that has won international acclaim.
10:55 a.m.
Conservative
The Chair Conservative Gary Schellenberger
I thank you very much for your presentation today and for coming and giving us, I think, a very good overview of the CTF and how it affects everyone in the broadcasting industry.
Just before we adjourn, next week, on Tuesday, we have Shaw Cablesystems and Quebecor media here. On Wednesday we have the CRTC and the CTF people again. So it will be very interesting again next week.
Again, before we adjourn, we have a short meeting afterwards for the smaller group of us about our travel plans for our mandate review of the CBC. I think that's going to be in the room just across the hall.
Again, thank you very much for your presentations today.
This meeting is adjourned.