CIPF criticism ‘misleading,’ Blais tells committee

OTTAWA — CRTC chairman Jean-Pierre Blais defended the rationale and timing of the regulator’s controversial decision to change the eligibility requirements to access certified independent production funds (CIPFs) in face of pointed questions from members of Parliament Thursday morning. The Aug. 25 decision to reduce from eight to six the number of certification points a production must have — granted for each key role a Canadian fills on a production — has sparked concern from members of creative industries (such as actors and screenwriters) who feel they will be pushed out for foreign talent. It’s a decision Liberal MP Julie Dabrusin said she’s been “hearing about almost daily since its release.” She added: “People stop me on the street to ask about this.” Appearing in front of the House of Commons’ standing committee on Canadian Heritage as part of its ongoing study into media and local communities, Blais asserted the CRTC’s independence when pressed about the decision’s release in the midst of Heritage Canada’s ongoing review of Canadian cultural institutions. “I don’t understand why we have to change that framework when we do have success stories … in the world and I don’t understand why you had to do it now when the minister and the department is the in the middle of this comprehensive review,” Liberal MP Seamus O’Regan said. “As parliamentarians, you should know that the Broadcasting Act guarantees, codifies and ensures the independence of the CRTC as an independent quasi-judicial body,” Blais responded. When prompted to share “the reason for urgency” in releasing the decision before Heritage Minister Mélanie Joly’s review was complete, Blais reiterated that the process started with the Let’s Talk TV proceeding in 2013 and was again highlighted last year. “There is no news here. I know people are spinning it as that. We said we would be doing this in 2015 and in fact, I looked quite carefully in the last election, nobody commented on that. Nobody,” Blais said. When the Liberals were elected to form government, “democratically, we wanted to institute a comprehensive review,” O’Regan said. “I just would have thought that perhaps some respect would be shown to that.” In addition to the timing of the decision, Blais also refuted claims that changes to the CIPF framework indicated a removal of support for Canadian producers, saying that six out of 10 points has been the standard for Canadian content at the CRTC since 1984. The independent production funds “represent less than two per cent, about 1.6 per cent, of the funding” for Canadian projects, Blais said, while the Canada Media Fund “usually requires 10 out of 10. And it’s funding most of the productions in this country that you probably see in prime time from Canadian broadcasters.” He added: “It is a complicated ecosystem. So anybody who’s telling you we have reduced six out of 10 from 10 out of 10 is misleading you because in fact what is recognized as Canadian was, is, and continues to be six out of 10. The issue here is accessibility to additional funding given by either taxpayers or subscribers.” When asked to address an issue frequently raised in front of the committee — that Canadian companies feel they are being disadvantaged since foreign over-the-top services such as Netflix Inc. aren’t subject to federal taxes — Blais said he could see the argument from the point of view of Quebecor Inc.’s Videotron and BCE Inc., which operate Club Illico and Crave, respectively. “Just as an ordinary citizen, I’m a bit surprised by that. I know that it’s not the approach taken by other jurisdictions,” Blais said. “But I suggest you ask that question of the department of finance.” — With reporting by Charelle Evelyn at cevelyn@thewirereport.ca and editing by Anja Karadeglija at akarad@thewirereport.ca

CIPF criticism ‘misleading,’ Blais tells committee

Broadcast | October 20, 2016

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CIPF criticism ‘misleading,’ Blais tells committee

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