ARCHIVED -  Decision CRTC 94-674

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Ottawa, 25 August 1994
Decision CRTC 94-674
Central Island Broadcasting Ltd.
Benchmark Ventures IncNanaimo and Parksville, British Columbia - 932417900 - 932418700 - 932419500
Transfer of control, new FM licence and licence amendment for CKEG
Transfer of control
Following a Public Hearing in Saskatoon beginning on 6 June 1994, the Commission approves the application for authority to transfer the effective control of Central Island Broadcasting Ltd. (Central), licensee of CKEG Nanaimo, and Benchmark Ventures Inc. (Benchmark), licensee of CHUB Nanaimo and CHPQ Parksville, through the amalgamation of Central and Benchmark into one company.
In approving this application, the Commission has noted the statements by Central and Benchmark, that rather than continue in a competitive situation, a co-operative approach is expected to result in more cost-effective and stable radio operations in the area.
New FM licence
Th Commission also approves the application for a broadcasting licence for an English-language Group I (Pop, Rock and Dance) FM radio programming undertaking at Nanaimo on the frequency 102.3 MHz, channel 272, with an effective radiated power of 1400 watts, with a transmitter at Parksville, operating on a frequency of 99.9 MHz, channel 260, with an effective radiated power of 900 watts.
The Commission will issue an FM licence expiring 31 August 1999, upon surrender of the broadcasting licence for CHUB Nanaimo, currently held by Benchmark. The new FM licence will be subject to the conditions specified in this decision and in the licence to be issued. This term will enable the Commission to consider the renewal of this licence at the same time as that of other radio stations in the area.
This authority will only be effective and the licence will only be issued at such time as the Commission receives documentation establishing the amalgamation of Central and Benchmark, and establishing that the amalgamated company has been incorporated in accordance with the application in all material respects.
In awarding the new FM licence, the Commission has taken note of the licensee's assurances that since the new FM will replace one of the existing AM stations, operational efficiencies will result in substantial savings which the licensee intends to use to enhance programming, upgrade facilities and expand services.
The Commission notes in particular the licensee's plans for an increased level of funding for Canadian talent development initiatives, technical assistance and equipment to be donated to Malaspina College, and enhanced programming on all stations.
The Commission reaffirms the particular importance it attaches to Canadian talent development and is satisfied with the annual budgets allocated and the initiatives proposed by the licensee for the new FM station in this respect. It encourages the licensee, during the new licence term, to continue its efforts towards the support, development and on-air exposure of local and regional talent.
The Department of Industry Science and Technology (DIST) has advised the Commission that the application with respect to the new FM at Nanaimo and the Parksville transmitter is conditionally technically acceptable, and that Broadcasting Certificates will only be issued once it has been determined that the proposed technical parameters will not create any unacceptable interference with aeronautical NAV/COM services.
In accordance with subsection 22(1) of the Broadcasting Act, the Commission will only issue the licence, and the authority granted herein may only be implemented, at such time as written notification is received from DIST that its technical requirements have been met, and that Broadcasting Certificates will be issued.
It is a condition of licence that construction of this undertaking be completed and that it be in operation within twelve months of the date of receipt of the DIST notification referred to in the preceding paragraph or, where the applicant applies to the Commission within this period and satisfies the Commission that it cannot complete implementation before the expiry of this period and that an extension is in the public interest, within such further periods of time as are approved in writing by the Commission.
It is a condition of the new FM licence that the licensee adhere to the guidelines on gender portrayal set out in the Canadian Association of Broadcasters' (CAB) "Sex-Role Portrayal Code for Television and Radio Programming", as amended from time to time and approved by the Commission.
It is also a condition of the new FM licence that the licensee adhere to the provisions of the CAB's "Broadcast Code for Advertising to Children", as amended from time to time and approved by the Commission.
Licence amendment for CKEG
The Commission further approves the application to amend the broadcasting licence for CKEG Nanaimo by changing the frequency from 1350 kHz to 1570 kHz, and by relocating the transmitter from Gabriola Island to North Cedar.
The Commission notes that, for a period of 90 days following the frequency change, the CKEG signal will also be simulcast on 1350 kHz.
It is further noted that approval of the transmitter site and frequency change for CKEG are expected to result in better signal quality for areas north and south of Nanaimo, especially in the evening hours.
In Public Notice CRTC 1992-59 the Commission announced implementation of its employment equity policy. It advised licensees that, at the time of licence renewal or upon considering applications for authority to transfer ownership or control, it would review with applicants their practices and plans to ensure equitable employment. In keeping with the Commission's policy, it encourages the licensee to consider employment equity issues in its hiring practices and in all other aspects of its management of human resources.
The Commission acknowledges the intervention in opposition to these applications submitted by the Canadian Broadcasting Corporation, related to the frequency to be used for the Parksville transmitter, as well as the intervention submitted by Mr. Greg Peacock of Nanaimo, expressing concern that the proposed merger will create a non-competitive marketplace. The Commission is satisfied with the licensee's responses to the concerns raised by the interveners.
The Commission also notes the numerous interventions in support of these applications, submitted by individuals, businesses and community associations in the Nanaimo area.
Allan J. Darling
Secretary General

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