http://www.kurthanson.com/archive/news/042607b/index.shtml
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 Acts 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.)
(NOTE: This paragraph contains a correction from earlier
versions of this day's issue of RAIN.)
* 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. (NOTE: This parargraph is an
addendum to earlier versions of this day's issue of
RAIN.)
Now that the bill has been introduced, the http://SaveNetRadio.org
"call to action" is specific and direct: The site is now
asking listeners to call their Representative and ask
him/her to "cosponsor the Internet Radio Equality Act,
introduced by Representative Jay Inslee." Once listeners
click the "Call Your Representatives" button on the site and
enter their zip code, they are given their Representative's
House office phone number and a list of "talking points" to
emphasize.
http://www.kurthanson.com/documents/Internet_Radio_Equality_Act.pdf
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