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ARCHIVED -  Decision CRTC 86-137

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Decision

Ottawa, 25 February 1986
Decision CRTC 86-137
Robert R. Bowland, representing a company to be incorporated
Parry Sound, Ontario - 840483200 - 840482400
Following a Public Hearing in Toronto on 8 October 1985, the Commission approves the application by Robert R. Bowland, representing a company to be incorporated (Bowland), for authority to acquire the assets of AM radio Station CFBQ Parry Sound from Muskoka-Parry Sound Broadcasting Limited, and for a broadcasting licence to continue the operation of that undertaking.
The Commission also approves the application by Bowland for a "first radio service FM licence", to carry on an English-language FM service at Parry Sound, operating on the frequency 103.3 MHz (channel 277B) with an effective radiated power of 1,700 watts.
The Commission will issue a first radio service FM licence expiring 30 September 1990, subject to the conditions specified in this decision and in the licence to be issued.
The Commission will also issue an AM licence to Bowland to continue the operation of CFBQ in accordance with the proposals set out in its application, upon surrender of the current licence. The licence will expire six months from the date of implementation of the new FM service or on 30 September 1987, whichever is the earlier date,, and will be subject to the conditions specified ion the licence to be issued.
The new licensee company will be owned equally by five shareholders (20% each), who will bring to the company considerable experience in a number of broadcast-related fields, including programming, engineering and sales. The company's president, Mr. R. Bowland, has confirmed that he will take up residence in Parry Sound to oversee the management of the new station and to provide an important element of local ownership and direction.
Upon implementation of the FM station, the programming will be as described in the Fm Promise of performance, with the AM undertaking rebroadcasting all of the FM programming for a "phasing-in" period not to exceed six months. The AM undertaking will cease operation, and its licence will expire, at the end of the six-months period. The FM station will then be the only radio broadcasting undertaking operating in the market.
The Fm station will operate in the "Groupe I" music format, as defined in Public Notice CRTC 1984-151, and will feature softer pop and rock music. It will continue to broadcast much of the current programming of CFBQ, including 251/2 hours per week of CBC programming.
The Commission reminds the applicant of its obligation to submit a new FM Promise of Performance should the CBC proceed with the establishment of a separate service in the area and terminate its affiliation agreement with the applicant.
The applicant indicated that the purpose of replacing the existing we facilities with a new FM station is to overcome severe technical problems which, in the past, have limited CFBQ's audience reach and advertising revenue. The greater range of the FM signal is expected to expand the potential audience of the Parry Sound station from approximately 7,000 people living in the immediate vicinity of Parry Sound to as many as 20,000 people residing within a 30 kilometer radius of the tows. According to the applicant the presence of cottagers and tourists in the area would increase the station's potential audience to 30,000 during the summer months.
Based on the improved technical quality of the FM signal in Parry Sound, the applicant's local programming commitments described in its Promise of Performance and the local residency of Mr. Bowland, the Commission is satisfied that approval of the applications is in the interest of listeners in the Parry Sound area.
Moreover, the Commission considers that the applicant's proposal to rebroadcast the FM programming on the AM undertaking for a six-month period is reasonable, and should allow adequate time for listeners in the area to adjust to the presence of the new FT station. The Department of Communications has also advised that it has no objection to such rebroadcasting during the six-month phase-in period.
It is a condition of the FM licence that construction of the new station be completed and that it be in operation within twelve months of the date of this decision or such further period as the Commission may, upon receipt of a request for extension before the expiry of the said twelve months, deem appropriate under the circumstances.
The authorities granted in this decision will only he effective at such time as the Commission receives documentation establishing that the company has been incorporated in accordance with the applications in all material respects.
In reaching its decision, the Commission has taken into account the many positive interventions submitted with respect to these applications. It has also noted the concerns by Mr. Frank J.R. Rogers of Mississauga regarding the applicant's proposal to use an FM frequency, but considers that the reasons for the switch from an AM to an FM frequency have been adequately addressed, both in the applicant's response to the intervention and in this decision.
Fernand Bélisle Secretary General