Sponsors (14)
The bill clarifies and expands performance rights and establishes predictable, periodically reviewed royalty rules that better compensate creators and provide small-station relief, but it shifts costs and administrative burdens onto broadcasters and transmitting services (and potentially consumers), while increasing procedural complexity and litigation risk.
Songwriters, recording owners, and artists gain clearer and broader public-performance coverage for analog and non-digital radio broadcasts and retain their existing performance rights, increasing potential royalty revenues.
Broadcasters and rights holders get a more predictable rate-setting framework — rates fixed through Dec 31, 2028 and a mandated five-year review cycle — which reduces rate uncertainty and gives both sides a regular opportunity to adjust terms.
Qualifying small terrestrial radio stations receive low fixed annual royalties (tiered at $10, $100, or $500) plus clear eligibility and certification rules, lowering operating costs and simplifying compliance for many small and nonprofit stations.
Non-digital broadcasters, terrestrial radio stations, and transmitting services face new or expanded licensing/royalty obligations for analog transmissions, raising operating costs that may be passed on to consumers through higher prices or reduced service.
Small stations that exceed revenue caps can abruptly lose eligibility for the low flat-rate tiers and face much higher royalty bills, while the required certification, revenue-allocation rules, and limits on using the flat rates as evidence increase administrative burden and litigation risk.
Delaying certain payments until the Judges complete the new proceeding shifts timing and cash to payers but delays compensation to rights holders, potentially harming creators' near-term revenues.
Based on analysis of 12 sections of legislative text.
Introduced January 31, 2025 by Darrell Issa · Last progress January 31, 2025
Expands federal copyright performance-right and statutory-license language so that protections and license rules that used to apply only to “digital” audio now apply to all “audio transmissions,” including analog terrestrial radio. It directs the Copyright Royalty Judges to open proceedings to set rates and terms for nonsubscription broadcast transmissions, establishes three small-broadcaster flat annual fees ($10, $100, $500) with eligibility limits and certification rules, and requires certain direct-license holders to pass half of specified direct-license royalties into the statutory collective for distribution to rights holders. The act also preserves existing public-performance rights for songwriters and tells the judges to weigh economic and competitive evidence about whether radio use substitutes for or promotes sales.