Evidence of meeting #27 for Canadian Heritage in the 43rd Parliament, 2nd 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

Thomas Owen Ripley  Director General, Broadcasting, Copyright and Creative Marketplace, Department of Canadian Heritage
Philippe Méla  Legislative Clerk
Drew Olsen  Senior Director, Marketplace and Legislative Policy, Department of Canadian Heritage
Kathy Tsui  Manager, Industrial and Social Policy, Broadcasting, Copyright and Creative Marketplace Branch, Department of Canadian Heritage

12:35 p.m.

Liberal

The Chair Liberal Scott Simms

Mr. Ripley, if you'd like to take a few more seconds to collect your thoughts on the question, you can do that, if you wish.

12:35 p.m.

Director General, Broadcasting, Copyright and Creative Marketplace, Department of Canadian Heritage

Thomas Owen Ripley

What I would say is that the law is specific, generally, wherever it grants the CRTC the power to impose terms or conditions.

Our view is that even if you struck it—again, because there are other instances in the act, I think, wherein it explicitly references terms and conditions—the reading would likely be that it doesn't include it here.

That said, I think it increases the ambiguity about whether the CRTC would or would not have the power to impose terms or conditions. I think it would be a more ambiguous outcome.

12:35 p.m.

Liberal

The Chair Liberal Scott Simms

I have Mr. Shields.

Mr. Shields, is that your legacy hand from before?

12:35 p.m.

Conservative

Martin Shields Conservative Bow River, AB

I do want to speak.

12:35 p.m.

Liberal

The Chair Liberal Scott Simms

There you go.

Ms. McPherson.

12:35 p.m.

NDP

Heather McPherson NDP Edmonton Strathcona, AB

I will not put that subamendment forward, but I do have another subamendment that I would like to put forward, if I could.

12:35 p.m.

Liberal

The Chair Liberal Scott Simms

The floor is yours.

12:35 p.m.

NDP

Heather McPherson NDP Edmonton Strathcona, AB

Thank you.

Proposed subsection 9.1(7) reads in part, “The Commission may facilitate those negotiations”.

I would like it to say, “The Commission may facilitate those negotiations of the parties to the negotiations”, or even just to end it at “negotiations”. I haven't got it in my head yet.

What I'd like to remove is “at the joint request”. I don't think that's required or necessary.

12:35 p.m.

Liberal

The Chair Liberal Scott Simms

Okay.

You've put out a couple of options. Do you want to put that to the department to see which option you'd like?

12:35 p.m.

NDP

Heather McPherson NDP Edmonton Strathcona, AB

That would perhaps be the best thing to do.

12:35 p.m.

Liberal

The Chair Liberal Scott Simms

I'm sorry, Mr. Ripley, I have to go back to you again.

Do you understand what was just proposed?

12:35 p.m.

Director General, Broadcasting, Copyright and Creative Marketplace, Department of Canadian Heritage

Thomas Owen Ripley

I do, and I will probably defer to Mr. Méla on the drafting.

To clarify, there would indeed be a substantial change. Right now, as drafted, facilitation could only be invoked at the joint request of the parties, meaning that if one party wanted facilitation but the other party didn't, you wouldn't meet the test for engaging the facilitation.

My understanding is that Ms. McPherson's change would allow one party or the other to potentially engage in a facilitation.

12:40 p.m.

Liberal

The Chair Liberal Scott Simms

Ms. McPherson, I hope that clears up the intentions of what you hope to do.

For my sake, and for Mr. Méla, which option would you like to propose for an amendment?

12:40 p.m.

NDP

Heather McPherson NDP Edmonton Strathcona, AB

Having had a few more seconds to look at this, I could subamend by just removing “joint”, so it would read “at the request of parties to the negotiations”. I would remove the word “joint”.

12:40 p.m.

Liberal

The Chair Liberal Scott Simms

So that everyone is clear, what Ms. McPherson is proposing as a subamendment is to subamend proposed subsection 9.1(7) to say:

The Commission may facilitate those negotiations at the request of the parties to the negotiations

The proposal is to remove the word “joint”.

I now have Mr. Shields.

12:40 p.m.

Conservative

Martin Shields Conservative Bow River, AB

To clarify, you're talking about binding arbitration.

Is that what you're moving to? Will it be binding arbitration by doing that?

12:40 p.m.

Liberal

The Chair Liberal Scott Simms

Ms. McPherson, I'm going to take a couple of questions.

Mr. Housefather may also have some questions for you.

Let me just go to Mr. Housefather and Mr. Champoux, and then I'll come back to you, Ms. McPherson, at the end.

12:40 p.m.

Liberal

Anthony Housefather Liberal Mount Royal, QC

Thank you, Mr. Chair. I want to thank Ms. McPherson.

I actually think the right way to say it would be “at the request of either party”. What you want to do is to allow one party, the weaker party in the negotiations, to have the right to do this. I think I support that.

I want to ask the department, in the context of these negotiations—and Mr. Chair, you can allow that question to go to them whenever you think it's appropriate based on the sequencing of the order—would there be any problem with allowing—presumably one side is going to be a weaker party here—that one side, the weaker state, to ask for the CRTC's intervention?

I cannot see a trade risk in doing it that way. I just want to check to make sure that the department also doesn't see that this would be a trade risk.

I think the right way to word it, if Ms. McPherson agrees with me, would be “may facilitate those negotiations at the request of either party to the negotiations”.

Thank you so much, Mr. Chair.

12:40 p.m.

Liberal

The Chair Liberal Scott Simms

Yes. I think given your question and the relevance, I'm going to go to the department first to respond to that. I think that would serve us well.

Mr. Ripley.

12:40 p.m.

Director General, Broadcasting, Copyright and Creative Marketplace, Department of Canadian Heritage

Thomas Owen Ripley

Thank you, Mr. Chair.

Thank you for the question, Mr. Housefather.

While I won't comment on the trade risk, what I would say is that the effect of this would be to allow either party, one or the other, to request facilitation, and it would prevent, as you pointed out, a party from signing the process by refusing to go to facilitation.

With regard to the concerns you've raised about whether this risks increasing trade tensions, I would say the outcome would require, again, online undertaking to submit to facilitation at the request of the other party. It would take a little more of an interventionist stance, but I would highlight—and perhaps this is actually responding to Mr. Shields' question—that the outcome of this process is not binding arbitration. What the government has put on the table is very explicitly a facilitation exercise and is different from binding arbitration, which does exist in the current environment, whereby the CRTC actually has the power, at the end of the day, to impose a deal.

What this amendment drives to is slightly different in the sense that it is trying to help the parties reach a mutually good deal, so to speak. Again, if ever there were an instance of a party engaging in bad faith or not engaging in good faith, that is backed up by the CRTC's ability to respond to that bad faith behaviour by imposing administrative monetary penalties on the party that may not be playing fairly, so to speak.

12:40 p.m.

Liberal

The Chair Liberal Scott Simms

Mr. Champoux.

12:40 p.m.

Bloc

Martin Champoux Bloc Drummond, QC

Mr. Ripley partly answered my question by saying that the CRTC could be more restrictive, if required.

12:40 p.m.

Liberal

The Chair Liberal Scott Simms

Thank you very much.

Ms. McPherson, do you want in on that? Some of the issues there were brought your way. We are now on your subamendment, so go ahead.

12:40 p.m.

NDP

Heather McPherson NDP Edmonton Strathcona, AB

I would, only to say that I appreciate Mr. Housefather's intervention. That wording makes more sense. It's always a challenge to try to write these things in our heads as we go, but his legal background has helped me out there. I still think it would make a lot of sense to make sure there was a more equitable ability to request the negotiations. I do like the subamendment put forward by Mr. Housefather that says “the Commission may facilitate those negotiations at the request of either of the parties to the negotiations”.

12:45 p.m.

Liberal

The Chair Liberal Scott Simms

Ms. McPherson, unfortunately I can't move that right now because we're dealing with yours. Normally we have to dispense with the subamendment already moved.