MONTREAL, April 19, 2012 /CNW Telbec/ -Telefilm Canada is pleased to announce that the Canadian Radio-television and Telecommunications Commission (CRTC), the independent public organization that regulates and supervises the Canadian broadcasting and telecommunications systems, has officially recognized Telefilm's new private donation fund as a Certified Independent Production Fund. Examples of other endorsed funds include the Bell Broadcast and New Media Fund, Le Fonds Harold Greenberg, and the Canada Media Fund (CMF).
"Telefilm is committed to finding innovative ways to fulfill its role as investor and promoter by offering the Canadian industry new tools to help it diversify its funding sources and to attract larger audiences. We are extremely pleased that the private donation fund now has the recognition of the CRTC," said Carolle Brabant, Telefilm Canada's Executive Director. "The CRTC's decision effectively allows Canadian broadcasters to play an even bigger role in fostering the creation of Canadian content as well in the marketing and promotion of homegrown stories. Along with the backing of the Canadian Chamber of Commerce, Canada's most influential business association, support for this unique initiative continues to grow as we anticipate announcing shortly the names of five champions."
Under the CRTC's Broadcasting Distribution Regulations, broadcasting distribution undertakings (BDUs) are required to contribute to the Canadian broadcasting system by fostering the production of new quality Canadian programming through a financial contribution to be directed to an independent production fund. Specifically:
- A BDU must direct a minimum of 80% of its contribution to the Canada Media Fund (whose funds are administered by Telefilm);
- A BDU may direct up to 20% of its contribution to one or more independently-administered production funds, other than the CMF, provided that it meets certain criteria.
- The private donation fund will also be allowed to be the recipient of Tangible Benefits if there is a transaction involving a broadcast undertaking.
Telefilm's new private donation fund
On March 2, at the Prime Time in Ottawa conference, Telefilm announced the launch of a new private donation fund consisting of two streams: one stream will provide better support to promising emerging filmmakers while the other is aimed at established filmmakers and will seek to help them achieve their full potential both in Canada and abroad.
By drawing on companies as well as on individual donors interested in supporting the production, distribution and promotion of Canadian feature films—investors who will at the same time benefit from proportional tax deductions or credits—the fund will also help foster the success of Canadian cinema.
Once fully up and running, Telefilm estimates that the fund could be endowed with an annual budget of $5 million, a significant amount that producers could use to leverage other investment dollars. The fund will lead to the creation of some 150 jobs every year.
Telefilm will administer investments from the private sector, with these investments to be covered in a separate annual report. The fund will incur management expenses of less than 5%.
Consultations with companies demonstrated that the private sector has a real interest in Canadian film, which enjoys very positive branding. This new fund comes into effect immediately, and companies or individuals interested in becoming donors should contact Telefilm for further information.
Telefilm is dedicated to the cultural, commercial and industrial success of Canada's audiovisual industry. Through its various funding and promotion programs, Telefilm supports dynamic companies and creative talent here at home and around the world. Telefilm also administers the programs of the Canada Media Fund. Visit telefilm.ca and follow us on Twitter at twitter.com/telefilm_canada.
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