CRTC to review local TV programming improvement tax
The CRTC today announced that it will be holding a public consultation next April to review the Local Programming Improvement Fund (LPIF), and is inviting Canadians to submit comments by February 15, 2012.
The tax was implemented in 2009 after intense lobbying from Bell’s CTV Network and Shaw Media’s Global Television network.
Since 2009, the federal regulator’s tax requires that cable and satellite companies contribute 1.5% of their gross revenues in order to subsidize the cost of developing local programming on Over-the-Air stations across the country.
In simple terms, the tax is a revenue redistribution plan which takes money primarily from cable and satellite subscribers and gives the money to 75 conventional television stations (seee list of stations receiving the subsidy below) in order to subsidize the cost of local television production of local interest.
The federal regulator says the review will provide for determining whether the fund should be maintained, modified or cancelled. The Commission is seeking comments on the following topics:
- evaluation of the fund’s objectives and the performance of recipient stations;
- additional spending on local programming as a condition for receiving funding;
- eligibility for the fund and the funding allocation formula;
- cable and satellite companies’ contributions to the fund; and
- the relevance of maintaining, modifying or abandoning the fund.
Interested Canadians may submit comments by February 15, 2012 by completing an online form on the CRTC website, writing to the Secretary General, CRTC, Ottawa, Ontario K1A 0N2; or by sending a fax to 819-994-0218.
The CRTC has redistributed over $300 million from consumers to the following eligible stations since the tax was first implemented.
Location, Call Sign
- Dawson Creek,CJDC-TV
- Medicine Hat,CHAT-TV
- North Bay,CKNY-TV
- Portage La Prairie,CHMI-TV
- Prince Albert,CIPA-TV
- Prince George,CKPG-TV
- Saint John,CIHF-TV-2
- Saint John,CKLT-TV
- Sault Ste. Marie,CHBX-TV
- St. John’s,CBNT
- St. John’s,CJON-TV
- Thunder Bay,CHFD-TV
- Thunder Bay,CKPR-TV
- Val D’Or,CFVS-TV
Discuss the LPIF Fund in Digital Home’s Television Industry / Channels and Providers discussion forum.