And he totally blew me off. Gee, thanks Dick! I'm glad I didn't vote for him. I plan to email him back and clarify what "performance" means.
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Dear Ms. Hartz:
Thank you for contacting me. I appreciate your sharing your concerns regarding a proposed increase in the royalty fees paid by Internet radio businesses.
On March 2, 2007, the U.S. Copyright Royalty Board of the Library of Congress announced its decision to increase the royalty fees to be paid by Internet radio stations for streaming music during the years of 2006-2010. The rates set by the Board for commercial webcasters, including broadcasters retransmitting their over-the-air signals on the Internet, are as follows:
I.2006 - $.0008 per performance
II.2007 - $.0011 per performance
III.2008 - $.0014 per performance
IV.2009 - $.0018 per performance
V.2010 - $.0019 per performance
The minimum fee is $500 per channel per year. For noncommercial webcasters, the fee will be $500 per channel, for up to 159,140 Aggregate Tuning Hours (one listener listening for an hour) per month. Noncommercial webcasters who exceed that level pay at the commercial rate for all listening in excess of that limit.
This decision is subject to a variety of appeals, including pending requests for a rehearing of the entire matter. Legal appeals are also a distinct possibility.
Under copyright law, owners of sound recordings must license their music for noninteractive webcasts and simulcasts. Webcasters and broadcasters may negotiate an individual rate directly with copyright owners or they may obtain the statutory compulsory license from the government-designated agency SoundExchange at a set rate. SoundExchange must pay 50% of the royalties to the copyright owners (typically labels), 45% to featured artists and 5% to a union fund set up to pay background musicians and singers.
Much has changed since Congress passed the Telecommunications Act of 1996. As new technologies have taken off, each has put strains on the web of regulations originated more than a decade ago. Many observers expect these regulations to be overhauled during the 110th Congress.
A number of ideas are already circulating on Capitol Hill in anticipation of this effort, including proposals that would revise the intellectual property laws governing music broadcast over the Internet. As Congress continues to review these proposals, I will keep your thoughts in mind.
Again, thank you for contacting me. Knowing your concerns is helpful to me.
