Evidence of meeting #37 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 crtc.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Konrad von Finckenstein  Chair, Canadian Radio-television and Telecommunications Commission
Michel Arpin  Vice-Chair, Broadcasting, Canadian Radio-television and Telecommunications Commission
Scott Hutton  Acting Associate Executive Director, Broadcasting, Canadian Radio-television and Telecommunications Commission

9:45 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

Konrad von Finckenstein

I should have used those words; that's a very good description.

9:45 a.m.

Conservative

Ed Fast Conservative Abbotsford, BC

And you're committed to a broad consultation, in any event. Is that correct?

February 22nd, 2007 / 9:45 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

Konrad von Finckenstein

Yes. The release specifically mentioned, “Other relevant stakeholders”. So if a group comes forward and wants to contribute, of course Michel and his task force will talk to them; we want to make sure we cover the landscape. But his mandate is limited to resolving this issue, and is not a review of the whole funding of the television sector, or something like that.

9:45 a.m.

Conservative

Ed Fast Conservative Abbotsford, BC

I'd also like to go back to an issue that was raised earlier, and that was your role in trying to address the concerns of some of the BDUs as to the management of the CTF. From what I understand, it's the role of the CTF, not the CRTC, to manage the fund, to liaise with the BDUs, to ensure the fund is operating properly and to respond on a timely basis to the concerns of the BDUs.

Am I correct?

9:45 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

Konrad von Finckenstein

You're absolutely right. The fund is a non-profit corporation. It has its own board of governors. On it sit various representatives from the industry, including the ones from the cable companies, and representatives from the Department of Canadian Heritage. Its responsibility is to manage the fund and to place the contributions in the most effective way to generate Canadian content.

9:45 a.m.

Conservative

Ed Fast Conservative Abbotsford, BC

You had mentioned that you typically get engaged only at the end of the process, typically to enforce regulations. I would suggest that you also get engaged at the very beginning, when you establish the regulations that provide the framework for the CTF.

9:50 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

Konrad von Finckenstein

Yes, you're absolutely right.

9:50 a.m.

Conservative

Ed Fast Conservative Abbotsford, BC

All right. But in between those two points, typically it's the CTF that is charged with doing the work of making sure the fund is operating properly.

9:50 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

Konrad von Finckenstein

Yes, that's its purpose. The purpose of the CTF is to receive those funds and to place them in the industry to generate Canadian content. In its simplest form, that's what it is. And it makes sure that's done in an equitable and efficient way, and one where you get the most bang for your buck.

9:50 a.m.

Conservative

The Chair Conservative Gary Schellenberger

Thank you.

Ms. Fry.

9:50 a.m.

Liberal

Hedy Fry Liberal Vancouver Centre, BC

Thank you very much for coming today.

In your paper today, you stated the three distinct objectives of your review, and those are fine. They talk mostly about the current fund, exactly as it is--what the most effective use of the contributions is, the size and structure, and how to deal with the real or perceived conflicts. Those are three ways of dealing with the fund per se.

I would, however, like to know if you view your mandate under the heading of facilitating the provision of broadcasting in Canada and facilitating the provision of Canadian programs to Canadians. Do you see your role as broader than that? Do you see the fund itself, having regulations supporting it, as an adequate way to provide Canadian broadcasting for Canadian production and for Canadian programs and Canadian content?

The structure and process work. But do you think it's the best way? Do you think that we are, in fact, dealing with the needs of the new media and with providing a very strong Canadian presence in this country that requires not only production but also promotion and marketing to give us a place on the international scene to allow us to be a competitive nation in terms of our Canadian content?

Do you see yourself as dealing with that under this, or are you going to just restrict yourself to how things are working right now and whether they're fulfilling the regulations?

9:50 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

Konrad von Finckenstein

I think there are two very distinct issues. One is the mandate of the CRTC. The other one is the mandate of the task force. The task force, which is headed by Michel, is dealing with one tool that we have, to procure and to induce Canadian content, which is the fund.

We have all sorts of other tools for our broad mandate, which is to encourage the health of the Canadian broadcasting system and to make sure that it represents Canada, reflects Canadian content, etc. We use all sorts of tools. We have public hearings. We have licensing hearings. We have conditions of licence. We have rules regarding airing of shows--at what times and all of that--and of course marketing, as you say, and the whole gamut.

I wasn't expecting to walk you through this. That's why I'm stumbling a bit. If you want, I can have them set out all the tools we have.

The task force here is really dealing with a small crisis we have that concerns the funding of the CTF.

9:50 a.m.

Liberal

Hedy Fry Liberal Vancouver Centre, BC

I understand that. My broader concern is that, fine, we're putting a band-aid here on a bleeding wound, but are we going to keep putting band-aids on? Or are we going to actually look at the future of Canadian production, Canadian broadcasting, a strong and vibrant Canadian industry? If so, it's time to do it, because the problems are upon us. They're upon us every day.

As we speak, there are new problems coming forward that are actually creating an inability for Canada to be a really strong competitor, given that we're so close to our neighbours to the south. We don't have the luxury of Australia out there being isolated and we certainly don't have the history of the British content and industry.

I wonder whether you feel that this is an important time now to really go into what it is that we really need to do. That leads me to the question that you've been asked by everyone. If you're going to do the hearings in camera...and I understand, having been on many parliamentary committees, that there are times for in camera. But if you are doing a hearing and a review, it should be open. There should be the ability for all Canadians to be able to have a say on this, and there should be places where you have in camera for those people who feel they are compromising their positions by speaking.

I mean, we've done that as committees in the past. We've had in camera sessions and then we've had open sessions.

This is of interest to all Canadians. I have met with little programmers, people who are trying their very best with very little, who have a lot to say about how this is done and what's the best way to do it. So I'm hoping that you would rethink your idea of dealing with it only on an in camera basis, and would have some in camera sessions but would open this up. With this issue we're on the cusp, on the brink, of deciding what we're going to do and where we're going to go as a country.

9:55 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

Konrad von Finckenstein

You raise two issues that, for me, are very discrete. One is the future of television in this country, on which we have just finished a review. Later this year, we're going start a review on BDUs and specialty services, and that's where we address this globally.

On top of this is the point that you and several of your colleagues mentioned, the whole issue of new media and how we can confront it, etc. This will be one of my key preoccupations through my term as chairman, to deal with the new media; first of all, to understand what it is and how it is evolving and how we can adapt our present system—which has been very successful, as we have created a very vibrant communications industry in this country—to make sure the new media doesn't render us irrelevant or destroy what we have built. So that's the broad picture.

On the narrow picture, you call it a band-aid, I call a crisis. Whatever it is, it's the CTF issue, and we have to deal with it. There are confidential issues and there are public policy issues. We have struck the balance by saying let's do the fact-finding on a confidential basis, and let's do the discussion of the options and remedies and how to approve them on a public basis.

Thank you.

9:55 a.m.

Conservative

The Chair Conservative Gary Schellenberger

Thank you very much.

Mr. Fast.

9:55 a.m.

Conservative

Ed Fast Conservative Abbotsford, BC

Thank you, Mr. Chair.

The task force that's going to be established will provide some degree of confidentiality, as you've mentioned already. You recently completed the report on new technologies in broadcasting. Was that a similar process?

9:55 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

Konrad von Finckenstein

No, it was something was mandated to us by the minister. The minister, under the Broadcasting Act, has the authority to ask the commission to study any area and to render a report. That's what we did; we studied it, had public hearings, and basically presented something that is a survey of the industry as it existed in December. In fact, it was a snapshot of the industry. That's what it was, a snapshot of part of what's going on in the industry, what is developing, and what the pressures are. It did not recommend options or approaches.

As I mentioned in answer to Ms. Fry, this here is really a crisis that we are approaching. We are doing it in two stages. First of all, let's get the facts, and we'll do that on a confidential basis. Then let's have a solution, and we'll do that on a public basis.

9:55 a.m.

Conservative

Ed Fast Conservative Abbotsford, BC

The report of the task force and the CTF will be a public report. Is that correct?

9:55 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

9:55 a.m.

Conservative

Ed Fast Conservative Abbotsford, BC

So members of this committee will receive a copy of it?

9:55 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

Konrad von Finckenstein

Absolutely. And other Canadians will see it, as it will be on our website.

9:55 a.m.

Conservative

Ed Fast Conservative Abbotsford, BC

Right.

At that time, this committee could make a decision to hold hearings on it, you'll be judging whether that would be necessary at the time, and presumably we'll end up with stronger Canadian programming throughout Canada.

9:55 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

Konrad von Finckenstein

I would hope that's the case.

As I say, if you feel it is required, or helpful, or necessary--whatever--to hold those hearings, you will call us and presumably will call a lot of people who appeared before the task force to form your own views and make your own recommendations. On the other hand, if the task force is successful across the board and actually works out a consensus and everybody agrees with it, it may not be necessary to hold those hearings. We shall see.

9:55 a.m.

Conservative

Ed Fast Conservative Abbotsford, BC

Do you expect that new technology in broadcasting will play a significant role in the deliberations of the task force?

9:55 a.m.

Chair, Canadian Radio-television and Telecommunications Commission

Konrad von Finckenstein

Not per se. I just think one of the issues driving it is the funding. So far, the fund is directed to the production of broadcasting; the question is whether it should also include production for new media. That's clearly an issue that has to be addressed.