Vancouver: Westcom TV Group’s application to the crtc for the renewal of its broadcasting licence will be scrutinized at a public meeting here Feb. 27.
The WIC Western International Communications-owned broadcaster – which operates market-dominating chan-tv Vancouver (or bctv) and chek-tv Victoria – will find out then whether its efforts to woo back the crtc’s affections have worked.
Last March, the federal regulator wasn’t sure that Westcom was investing the kind of money in Canadian production that met the conditions of its licence. So, the crtc penalized Westcom with a one-year licence (which expires in August) instead of granting the typical seven-year licence. That the renewal applications can top $100,000 to prepare adds sting to the slap.
‘We were penalized for a lack of communications, which we take full blame for,’ says Roy Gardner, vp of programming at chan.
Gardner explains that there was confusion about the financial arrangements between Westcom TV and sister company Westcom Entertainment Group, which pays for shows such as Vancouver-based teen drama Madison and Nelvana’s Nancy Drew/Hardy Boys series shot in Toronto.
‘Some of the ways of accounting for (Westcom’s Canadian programming investment) left things in question,’ says Gardner. ‘We spent the year asking the crtc, `How do you want us to do it?’ They’ve indicated they are satisfied.’
Gardner maintains there is no link between the crtc’s current focus on the company’s accounting procedures and Westcom’s prior and well-publicized squabble with the regulator about the ownership of chek.
Westcom’s common ownership of chan and chek represents an exception in the crtc’s policies that prohibit one owner controlling two or more common-language broadcasting outlets in a single market. In 1992, the crtc challenged Westcom on those grounds, eventually acquiescing in December of that year on the grounds that the divestiture of chek would have a ‘measurable impact on chan-tv’s profitability that could reduce wic’s capacity to expend on local or acquired Canadian productions.’
chan’s pretax margins were twice the national average in 1992/93 and net earnings in fiscal 1996/97 are estimated at $4.5 million.
Westcom’s latest renewal application is largely unchanged from last year’s submission, says Gardner.
However, there are some amendments to scheduling and philosophy.
According to Gardner, the Cancon commitment will be clearly stated as a number of hours of Canadian programming per week.
‘We’ll have six hours of Canadian entertainment programming between 6 o’clock and 12 midnight per week.’
Gardner says there will also be a change in emphasis in programming away from documentary production toward drama.
Westcom’s renewal application was filed in September 1995. chan and chek extend the ctv network signal to 95% of British Columbia homes through a transmitter system.