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| by: | Jan 22, 2007 |
Shaw Communications has sparked confusion and frustration among TV-makers following word that it is pulling its financial support from the Canadian Television Fund - taking some $56 million in annual contributions off the table.
Cable boss Jim Shaw announced the abrupt about-face in a Dec. 20 letter to CTF chairman Doug Barrett, demanding immediate changes to its mandate and governance structure, according to a recent statement from the fund, but offered no other details. It added that a meeting between Shaw, the CTF and the Department of Canadian Heritage had been set for later this month.
But that came as news to a Heritage spokesperson who denied knowledge of any such meeting and seemed to be keeping the dispute at arm's length.
"We are aware of what's happening and we're aware of the significance of the situation," says Chisholm Pothier. "We hope those two sides continue discussions and reach a solution."
Except for the Jan. 12 statement about Shaw's letter, CTF has refused to make any comment. A Shaw spokesperson confirmed the company's plans, but also refused to comment.
Contributions to the CTF are regulated by the CRTC, which could take Shaw to court if the dispute isn't worked out, according to CRTC spokesperson Denis Carmel. Cable companies are required to contribute five percent of their annual revenue to the fund, minus the amount spent on community channels.
"Nobody has formally complained to us. We're confident that the issue will resolve itself," says Carmel.
The loss of funding threatens to cripple the often rickety fund, and has raised the ire of its stakeholders. Shaw's contribution represents more than 20% of the CTF's overall budget for 2006/07.
"The concern is that if Mr. Shaw thinks he can pull out of the CTF without any ramifications, what's to stop anyone else from doing it?" asks Maureen Parker, exec director of the Writers Guild of Canada, adding that the cable exec is "acting like a maverick."
The CFTPA also expressed concern, and says it's watching the situation very closely.
"The CTF is incredibly important to the sector, and this would have a significant impact. We will do whatever we can to assure that adequate funding is there for producers," says CFTPA spokesman Jeff Brinton.
