Trudeau-approved media wants Google to pay them ‘as soon as possible’

To qualify for a portion of the $100 million fund, news organizations must be recognized as qualified Canadian journalism organizations under the Income Tax Act.

Trudeau-approved media wants Google to pay them ‘as soon as possible’
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The feds appear to be dragging their feet after signing a deal months ago with Google to fund Canadian media with concern that the first $100 million payment for eligible media will not arrive in time.

The Canadian Journalism Collective (CJC), a federally incorporated non-profit created to distribute funds, pledged to do so in a "fair, transparent, and inclusive manner." 

The committee of 12 people, representing independent publishers and minority publications, recently submitted plans for its governance structure to the Canadian Radio-television and Telecommunications Commission (CRTC).

The CRTC agreed to pay Canadian media upon their approval of the governance structure. Google will conditionally pay into the CJC upon receiving an exemption from Bill C-18, the Online News Act.

The exemption permits Google to pay into a single collective bargaining group acting as a media fund. Otherwise, it would have to enter into individual agreements with news publishers.

“We hope these next steps will be completed as quickly as possible, so Canadian publishers and journalists can soon begin to receive the proceeds of this new contribution model,” Google earlier said. 

However, some publications worry the funding may come too late amid significant layoffs across the industry. They wrote the CRTC to demand the first annual $100 million payment while the plan is finalized.

“The alternative – rejecting Google’s application outright – risks bringing us back to square one,” Corus Entertainment said in its submissions. Corus, the parent company of Global News, laid off 35 journalists in June. 

The Canadian Association of Broadcasters called for funds to “flow to qualified recipients as soon as possible.” Earlier this year, Google invited news organizations to apply for compensation, attracting some 1,500 applicants.

The broadcaster group hopes those eligible will receive the first round of funds by the end of the year, which the CJC would allocate through established criteria.

Google said it’s willing to cover the costs of setting up the organization, but would not entertain making payments until it receives a full exemption.

The distribution will be proportionate to the number of full-time journalists employed by each organization.

To qualify for a portion of the $100 million fund, news organizations must be recognized as qualified Canadian journalism organizations under the Income Tax Act.

CBC/Radio-Canada will not receive more than $7 million from the annual fund, with another $30 million, at most, being reserved for other broadcasters such as newspapers and digital platforms.

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