Shaw and Videotron have both announced that they have stopped sending their contributions to the Canadian Television Fund until there is a review of its accountability, implicitly calling for an overhaul of the governance structure.
While the direct target is CTF, this may be viewed as an indirect challenge to the CRTC. The CRTC’s Broadcast Distribution Regulations require cable and direct-to-home satellite operators to contribute a portion of their gross annual revenues to the CTF. In Shaw’s case, this amounts to $5M per month.
CTF’s governance structure had 3 representatives from the CCTA, a cable industry association that dissolved last year. Videotron had not been a member of CCTA for a number of years and so it had no way to influence the direction of its contributions. CTF’s January 12 news release says that it “has requested that the CCTA nominate a candidate to ensure proper representation from the BDU community on the CTF Board of Directors.”
Did CTF miss the news of CCTA’s demise last year? Exactly who at the non-existant CCTA did CTF approach “to ensure proper representation from the BDU community?”
Pierre Karl Péladeau, president and CEO of Videotron parent Quebecor said:
Fund managers pay little heed to the main private-sector contributors to the Fund and give little consideration to their point of view in decision-making.
We fully intend to continue being a leading contributor to the financing of Canadian production but we have decided to withhold our monthly contributions to the Canadian Television Fund until significant changes are made to its management and direction.
It seems that CTF has fallen out of touch with its funding community.
Update: [January 25, 9:15 pm]
Heritage Minister Bev Oda has called a meeting of the funders of CTF.