Perspective: McDonald

Broadcasters big and small, producers public and private, lobby bodies with usually antagonistic agendas – the answer, for the last four months, is all the same. Inevitably somewhere in the interview – topic be damned – comes a variation on the ctcpf is crucial theme, evidence of what is perhaps the most cohesive industry lobby effort on record.

Canadian Television and Cable Production Fund looms large in rolling credits these last four months before the 1998 federal budget. Paul Gross, Sonja Smits, Rick Mercer and Cynthia Belliveau have made their way to Parliament Hill to meet the masses. Broadcasters, producers, lobbyists have put aside individual agendas long enough to present a united front to Finance, etc. The Sweet Hereafter claiming stake in Cannes didn’t hurt.

At this point, the economics, the jobs and the cultural benefits of Canadian film and television production and distribution have been presented to Ottawa. And although industry folk are respectfully quiet pre-budget, there aren’t many questioning ‘if.’ More of a concern is ‘for how long,’ which presumably means the quest for long-term stable financing will continue. But in any case, odds are the mad dash for ctcpf (new acronym in the making) will happen again this spring.

Among those at the center of the group effort is Elizabeth McDonald, president and ceo of the cftpa.

McDonald, who replaced Sandra Macdonald as of August 1995, came to the producers lobby after four years as vp of programming services for the Canadian Cable Television Association. Before cable, she was senior vp television for the Canadian Association of Broadcasters. A sucker for punishment one might say, although managing disparate agendas likely comes in handy at the 300-member strong cftpa, which represents large and small, public and private film and television production companies.

The ctcpf’s first priority remains the fund, short and long term. McDonald says she’s concerned that indigenous programming will feel the brunt of the uncertainty created by the absence of long-term funding.

‘Without it, broadcasters and producers will adjust their business plans, but those producers who choose to make that distinct Canadian programming to brand the broadcasting system, I think will suffer. The cbc’s ability to Canadianize its primetime schedule, for example, would just not be possible. It would take everyone away from their audience-building strategies.’

Also threatened by the absence of the ctcpf is the happy continuation of the evolution of the Canadian production industry, if the cftpa’s 1998 profile is any indication.

According to the report, released at the association’s annual Ottawa confab Feb. 5 & 6, the volume of Canadian production flatlined in 1996/97 after seven years of steady growth.

Production activity came in at $2.86 billion in ’96/97 from $2.87 billion in ’95/96. The numbers, contained in the report prepared by the cftpa in cooperation with Coopers & Lybrand/Nordicity Group, includes certified and non-certified Canadian production, public and private broadcaster’s in-house production, and service production.

The number of jobs created within the film and television industry also leveled off to almost 30,000 in direct (full-time) positions and 48,000 in indirect posts. The stats are down slightly from 1995/96 to 29,853 and 47,765, respectively.

According to McDonald, the time-lag in production completion means only part of the ctcpf-inspired programming is registering in the numbers. Since the report covers fiscal ’96/97 ending March 31, 1997, the full impact won’t be evident until next year’s report, she says.

‘This year, what’s there from the ctcpf helped counterbalance the effect of cuts to Telefilm and cuts to the cbc. Also, the Ontario tax credit wasn’t in place for most of the reporting period. The numbers would have dropped without [the ctcpf]. The big push was through ’97/98, which we’ll see next year.’

Besides helming the cftpa’s part in the ctcpf renewal, McDonald has, in her tenure, led the group’s participation in crtc public hearings including specialty services, Alberta, and most recently, the national network hearing which served as a precursor to a hearing on Canadian content scheduled for this fall.

Under the ctcpf on McDonald’s priority list this year are finding some sanity in the tax situation, playing a role in developing the feature film initiative, and the content hearing.

After supporting the broadcasters’ initiative to expand into Vancouver, Alberta, Ontario and Quebec, producers are seeking new money from the private broadcasters. The cftpa came under criticism last fall when it shied away from putting a specific percentage increase in play as opposed to the Directors Guild of Canada, which pushed for an increase to 7% of the private broadcasters’ gross revenues to category 7,8, and 9 programming.

McDonald says the dgc ‘got soft’ on the 7% criterion by the end of the hearing and makes the point that the CanWest Global-inspired national network hearing was more a broad-strokes policy debate than a discussion on specifics.

‘You can’t talk percentage without looking at the whole picture. For example, how does percentage fit in with 150% bonusing of 10/10? How does that balance out? In the fall, we’ll be looking not only at [the broadcasters’] Promise of Performance but also at the kinds of programming we get on the screen. Indigenous programming should be assured a place on every dial and we should be looking at ways to reward that.’

What the national net hearings did accomplish for the producers is to illustrate to the commission the depth of financial risk assumed by the prodcos, says McDonald, who was flanked by Alliance, Atlantis and Great North Productions ceos Robert Lantos, Michael MacMillan and Andy Thompson.

‘The perception has been that these $1-million an hour programs require $1 million in advertising and that’s not necessarily it. The broadcasters put in 20% of a 10/10. I think one of the things we achieved at the hearing is to put the producer’s risk profile position into perspective,’ says McDonald.

Amongst specifics around the content issue, McDonald says she would support transparency on the broadcasters’ Cancon expenditures. At this point, all are using different accounting methodologies and the bulk of the figures are reported in confidence to the crtc. The commission is reportedly considering publishing those numbers, a move the broadcasters consider anti-competitive, but McDonald says it would be useful to have all the expenditure information deciphered and accessible.

‘We’re always dealing with gross numbers and a great deal of that is spent on news and sports. Since we’re usually talking about the underrepresented categories, I think it’s better if we’re clear on the specifics.’

Elsewhere on the agenda, McDonald says she’ll be working to fix whatever ails the Federal Refundable Tax Credit. ‘People aren’t being paid for a long, long time. When we see a service production credit working much smoother than the Canadian credit, it’s an uneven playing field.’

At press time, more than 300 were registered for the cftpa conference.