Internet Radio Equality Act Announced
In Internet radio, RIAA, SoundExchange | 4 comments | permalink
Just in via RAIN
The Internet Radio Equality Act H.R. 2060 has just been introduced by Representatives Jay Inslee (D-WA) and Donald Manzullo (R-IL ).
The Internet Radio Equality Act (pdf)has just been introduced (in mid-afternoon) by Representative Jay Inslee (D-WA, pictured right)
and eight cosponsors, with more cosponsors on the bill expected shortly.
The bill has five major provisions:
* Nullifies the recent decision of the CRB judges
* Changes the royalty rate-setting standard that applies to Internet radio royalty arbitrations in the future so that it is the same standard that applies to satellite radio royalty arbitrations — the 801(b)(1) standard that balances the needs of copyright owners, copyright users, and the public (rather than “willing buyer / willing seller”). (For more detail on this point, read the recent RAIN issue on “Copyright law,” here.)
* Instructs future CRBs that the minimum annual royalty per service may be set no higher than $500.
* Establishes a “transitional” royalty rate, until the 2011-15 CRB hearing is held, of either .33 cents per listener hour, or 7.5% of annual revenues, as selected by the provider for that year. Those rates would be applied retroactively to January 1, 2006. (The logic behind this rate, incidentally, is an attempt to match the royalty rate that satellite radio pays for this royalty — thus the name of the bill.)
* Expands the Copyright Act’s Section 118 musical work license for noncommercial webcasters to enable noncomms to also perform sound recordings over Internet radio at royalty rates designed for noncommercial entities, and sets an transition royalty at 150% of the royalty amount paid by each webcaster in 2004. (Note that this amount would be a set, flat fee through the end of the decade.)
* For future CRBs (e.g., 2011-15), adds three new reports in the CRB process: The Assistant Secretary of Commerce for Communications and Information will submit a report to the CRB judges on the industry impact in terms of competitiveness of the judges’ proposed rates; at the same time, the FCC will submit a report to the CRB judges on the effects of the judges’ proposed rates on localism, diversity of programming, and competitive barriers to entry; and the Corporation for Public Broadcasting will submit a report to Congress and the CRB judges on the effect of the the judges’ proposed rates on their licencees.
Emphasis mine
This is wonderful news folks. But this is no done deal.
U.S. citizens - Your action is needed NOW! Please call your congressperson to ask them to co-sponsor this bill.
Head on over to SaveNetRadio.org for further details.
Inslee says:
“You can’t put an economic chokehold on this emerging force of democracy,” Inslee said in a statement e-mailed by a spokeswoman. “There has to be a business model that allows creative Webcasters to thrive and the existing rule removes all the oxygen from this space.”
Well said sir.
Sphere It
Please co-sponsor the Internet Radio Equality Act H.R. 2060, which has just been introduced by Representatives Jay Inslee (D-WA) and Donald Manzullo (R-IL ).
The feedback I’ve received from my senators and rep have me believing they equate the radio stream with say, a fee based iTunes download. They don’t seem to be making the distinction that the quality in streaming isn’t nearly as good and maybe shouldn’t considered a digital product, but more like an FM broadcast. I think it’s important to get them to perceive this difference.
Please call your representatives. Please save Internet radio. Thanks for calling attention to this bill.
Dear Reps Inslee & Manzullo ~
I want to commend the 2 of you on leading the way to introduce the Radio Equality Act. Please pass this message to my own congresswoman, Diana DeGette (Colo.) to urge her support for your bill.
About all I listen to on the radio or streaming on the Web is non-commercial radio (except when I log on overseas radios in some place like Turkey, Indonesia, or wherever).
We need to keep streaming for all such smaller and non-profit stations affordable, so we can have a diversity of voices — whether in talk programs or in music. Too many good stations will be swamped with unaffordable streaming bills from the Copyright & Royalty Board if their current proposal is allowed to stand — they simply will not be able to afford Internet access.
Not to mention, as one radio commentator pointed out, the usage statistics demanded by CRB would be a “nightmare” to figure out.
Here’s wishing you success in passing the Radio Equality Act and garnering the support of Rep. DeGette.
Lavaun Abbott