Newspapers fighting subsidy cut

Following word last week that the Publications Assistance Program will be cut by $15 million next year, Times’ publisher Jim Cumming warned political action must be taken now or subscription rates will go up.
“The Publications Assistance Program is actually a subsidy to the subscribers of papers,” Cumming noted yesterday. “The money was supplied to reduce the mailing costs to receive subscriptions to community newspapers across Canada.
“And in Rainy River District, Atikokan, Fort Frances, and Rainy River have been beneficiaries of the program since its inception,” he added.
“It has allowed us to keep our subscription prices lower because the Heritage ministry subsidized Canada Post to deliver the papers to our subscribers.
“Not only subscribers in our immediate area, but subscribers in the two adjoining provinces. Our subscribers in Manitoba and Quebec are subsidized.
“Beyond that area, our subscribers pay a greater cost,” Cumming noted.
But he added the reduction also would greatly increase subscription rates for the people that even get [the Times] in Fort Frances and the district.
“It would impact the newspaper,” he stressed.
The Publications Assistance Program (PAP), operated by the Department of Canadian Heritage, provides postal subsidies to magazines, community newspapers, and periodicals.
The program has an annual budget of $65 million, comprised of $50 million from Canadian Heritage and $15 million from Canada Post Corp.
Canada Post, however, recently announced that as of April 1, 2007, it no longer will be contributing to the program—representing a 25 percent funding cut.
But Cumming said he believes political action by the Canadian Community Newspapers Association may see the situation turn around prior to April.
“We’re hopeful the minister of Canadian Heritage will come to understand how valuable the program is to papers in Canada,” he remarked. “Newspapers record a community’s history, its successes and problems, and shares that with people.
“Newspapers, by their very nature, help draw the community together and help provide identity to the community.
“Eliminating that funding may have the potential, in lots of very small markets, to remove that life-giving breath to communities,” Cumming warned. “It’s serious for an awful lot of papers across Canada.”
Cumming recalled the CCNA fought against proposed cuts to the program back in 2002, and ended up convincing then-Canadian Heritage minister Sheila Copps to actually increase funding to it in order to keep up with the postal rate increases at that time.
Cumming also noted CCNA members are being encouraged to lobby their federal representatives to speak against the program cut, adding Thunder Bay-Rainy River MP Ken Boshcoff has done a good job in doing so.
In fact, Boshcoff expressed his outrage at the $15-million cut to the PAP during question period Friday in the House of Commons.
“This cut will cause severe hardship for hundreds of small papers across the country as they are not eligible for support, such as those provided to magazines, film, and television,” argued Boshcoff.
“This cut takes direct aim at rural communities and will stop many presses permanently,” he added. “Will the minister of heritage immediately address this punishing funding cut?”
Boshcoff added the $15-million cut “is punishing rural Canada.”
“The Fort Frances Times, the Atikokan Progress, and the Rainy River Record are papers in my riding that depend on the [PAP],” he told the House. “The integral services they provide in their communities are being put into severe jeopardy by this funding cut.
“Where will local businesses promote their wares? How will local charities advertise their fundraising events?” he wondered. “Certainly members can understand the harmful effects of this cut to this program.
“When will the minister of heritage stop the bleeding?” Boshcoff pressed.
In response, Heritage minister Bev Oda acknowledged “the PAP program does support publishing, community newspapers, farm publications and Canadian heritage will continue to provide [its] $45 million.”
“We understand that Canada Post has been in discussions with the minister of Transport, Infrastructure and Communities and hopefully will find some resolution to continue the support to those important publications,” Oda added.
“We are looking at this file,” Transport minister Lawrence Cannon told the House on Friday.
“We consider that it is extremely important for the viability of our small rural communities in this country and we will, in due course, announce the course of action that we intend to take,” he added.