
Association says consensus was achieved
By Steve Faguy
GATINEAU – The Canadian Association of Broadcasters’ submission to the CRTC’s commercial radio policy has exposed a long-standing rift between large and small broadcasters, and one of them is speaking up to say the CAB’s comments do not represent them.
Leclerc Communication, which owns two radio stations in Quebec City and one in Montreal, owes its very existence to the CRTC’s Common Ownership Policy, which sets limits on how many stations in one market a company can own. When Cogeco bought Corus’s Quebec radio stations in 2011, it was forced to divest two stations in Quebec City, and the Leclerc family (of Leclerc Foods fame) bought them.
The Leclercs were not happy with the CAB’s proposal to loosen ownership restrictions, nor with the way the CAB consulted its members when preparing its submission. In reply comments dated April 28, brothers Jean-François and Nicolas Leclerc write that they “do not feel at all that the interests of francophone broadcasters and small independent broadcasters were taken into account” in the CAB’s submission. Instead, the Leclercs say the CAB has left a “bitter taste” and let them down in favour of larger broadcasting groups.
The submission particularly criticizes the structure of CAB’s 10-member CEO Radio Council, which has a seat for each of the seven broadcasters with at least 35 station licenses (Category A), two seats for those with at least 10 licenses (Category B), and one seat for all other members (Category C).
“Even within members of Categories B and C, broadcasting companies with more stations have more chances to be elected,” the Leclercs note. And with seven of 10 members, the largest broadcasters “will always have a majority and full control over the decisions taken.”
Though the family says it was invited to join a consultation committee, it complains the committee held all its meetings in English, even when discussing issues specific to French-language broadcasters. “Never, during the course of its consultation process, (did the CAB) choose to address francophone broadcasters in their language to hear their concerns and points of view,” the Leclercs write.
“Independent broadcasters who will be powerless in the face of the expansion of the giants risk no longer being able to compete with one or two stations.” – Leclerc Communication
Cartt.ca asked the CAB for comment on Leclerc’s reply on Monday, but has not yet received a response.
UPDATE (May 19): CAB president Kevin Desjardins told Cartt.ca Wednesday the CAB operates by consensus, “and this was particularly the case with our submission on the Review of the Commercial Radio Policy process.
“The CAB’s submission was shaped over months of consultation with members of all sizes, including ongoing discussions with our CEO Radio Council as well as the CAB Smaller Market and Independent Radio Group.”
Desjardins also fired back at the suggestion that the CAB did not reach out in French, saying it worked with an ad-hoc group of francophone broadcasters including Bell, Cogeco, Arsenal Media, RNC Media and Groupe Radio Simard, which presented a consensus-based submission to the CRTC that the CAB supported. Leclerc Communication participated in that group, Desjardins says, and “I personally presented the CAB’s draft positions in French to this group of our French-language members, and took their comments back to our drafting process.”
“Balancing the needs of a broad and diverse membership is a challenge for any trade association, and the CAB is no exception.” – Kevin Desjardins, CAB
In the end, Leclerc Communication chose not to sign on to the ad-hoc group’s submission, and instead presented their own.
Desjardins said the Leclercs’ position on common ownership was noted but came “without room for compromise.”
Leclerc argues the CAB’s proposal could reduce the Quebec market to two owners — Bell and Cogeco — and small broadcasters would not only face unfair competition for listeners but for potential acquisitions as well. “Independent broadcasters who will be powerless in the face of the expansion of the giants risk no longer being able to compete with one or two stations,” they write.
Leclerc is the only small broadcaster to file comments in the reply phase criticizing the CAB like this. Others who replied said they supported the CAB’s position.
“Balancing the needs of a broad and diverse membership is a challenge for any trade association, and the CAB is no exception,” Desjardins added. “However, I can say with confidence that the CAB’s submission to the Radio Review reflects a balanced approach which was supported by the majority of our membership.”