H.R. 5664
119th CONGRESS 1st Session
To establish the Artist Compensation Royalty Fund, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES · September 30, 2025 · Sponsor: Ms. Tlaib · Committee: Committee on the Judiciary
Table of contents
SEC. 1. Short title
- This Act may be cited as the Living Wage for Musicians Act of 2025.
SEC. 2. Artist Compensation Royalty Fund
- (a) Establishment
- (1) In general
- The Register, with the approval of the Librarian of Congress, shall designate an eligible entity to establish and administer a fund to be known as the Artist Compensation Royalty Fund.
- (2) Notice of designation in Federal Register
- Not later than 30 days after the eligible entity is designated under paragraph (1), the Register shall publish a notice in the Federal Register that—
- includes the contact information for the eligible entity; and
- the reason for why the Register designated the eligible entity under such paragraph.
- Not later than 30 days after the eligible entity is designated under paragraph (1), the Register shall publish a notice in the Federal Register that—
- (1) In general
- (b) Deposit of amounts into Fund
- (1) Deposit
- The Fund Administrator shall deposit into the Fund any amounts received by the Fund Administrator under paragraph (2) or (3).
- (2) Amounts from service providers
- Not later than the last day of the first calendar quarter after the calendar quarter in which the Fund Administrator is designated, and each calendar quarter thereafter, a service provider shall provide to the Fund Administrator, for deposit into the Fund—
- the amounts collected by the service provider in the prior calendar quarter from the living wage royalty fee; and
- 10 percent of any non-subscription revenue received by the service provider in the prior calendar quarter.
- Not later than the last day of the first calendar quarter after the calendar quarter in which the Fund Administrator is designated, and each calendar quarter thereafter, a service provider shall provide to the Fund Administrator, for deposit into the Fund—
- (3) Amounts from sources other than service providers
- The Fund Administrator may receive amounts for deposit into the Fund from any source, including from a Federal, State, or local government.
- (1) Deposit
- (c) Use of Fund
- Amounts in the Fund shall be made available in accordance with section 3.
SEC. 3. Payments to musical artists from Artist Compensation Royalty Fund
- (a) In general
- (1) Allocation of payments
- Amounts in the Fund shall be allocated as follows:
- 90 percent of such amounts shall be allocated for payments to eligible featured artists.
- 10 percent of such amounts shall be allocated for payments to eligible non-featured artists.
- Amounts in the Fund shall be allocated as follows:
- (2) Payments from Fund
- Not later than the last day of the calendar quarter in which amounts are first deposited into the Fund under section 2(b)(2), and once each calendar quarter thereafter, the Fund Administrator shall promptly provide—
- a percentage of the amount allocated under paragraph (1)(A) of this subsection to each eligible featured artist, that is equal to the percentage of qualifying streams accrued by the eligible featured artist in the prior calendar quarter out of all qualifying streams accrued by all eligible featured artists in the prior calendar quarter; and
- payment from the amount allocated under paragraph (1)(B) of this subsection to the American Federation of Musicians and Screen Actors Guild and the American Federation of Television and Radio Artists Intellectual Property Rights Distribution Fund (or any successor Fund) for distribution to each eligible non-featured artist.
- Not later than the last day of the calendar quarter in which amounts are first deposited into the Fund under section 2(b)(2), and once each calendar quarter thereafter, the Fund Administrator shall promptly provide—
- (3) Unclaimed funds
- If the Fund Administrator attempts to the best of the ability of the Fund Administrator to identify an eligible featured artist to provide payment to such artist under paragraph (2)(A), and is unable to identify such artist at such time, the Fund shall—
- retain the required payment in a segregated trust account; and
- if the Fund Administrator is not able to identify such artist after a period determined reasonable by the Fund Administrator, deposit the payment back into the Fund.
- If the Fund Administrator attempts to the best of the ability of the Fund Administrator to identify an eligible featured artist to provide payment to such artist under paragraph (2)(A), and is unable to identify such artist at such time, the Fund shall—
- (1) Allocation of payments
- (b) Retention of records
- The Fund Administrator shall—
- keep books and records relating to—
- amounts provided to the Fund Administrator under section 2(b)(2); and
- amounts distributed from the Fund under subsection (a) of this section; and
- retain any such book or record for a period of not less than 3 calendar years after the date on which such book or record is created.
- keep books and records relating to—
- The Fund Administrator shall—
SEC. 4. Service Provider Obligations
- (a) Living wage royalty fee
- Beginning on a date determined appropriate by the Fund Administrator, the service provider shall charge each person charged a subscription fee by the service provider an additional fee in an amount equal to 50 percent of the subscription fee charged by the service provider, except that such additional fee shall not be an amount less than $4 or more than $10.
- (b) Notice of additional fee
- In each statement or receipt a service provider provides for the charge of a subscription fee and the additional fee required by subsection (a), the service provider shall include a line item describing such additional fee.
- (c) Treatment of royalty
- A service provider may not include the amounts collected by the service provider from the living wage royalty fee in any calculation by the service provider of the total costs or revenue of content for the service provider.
- (d) Records
- (1) Retention
- Beginning on the date on which the Fund Administrator is designated—
- each service provider shall keep books and records relating to activities carried out by the service provider under this Act; and
- retain such book and records for a period of not less than 3 calendar years after the date on which such book or record is created.
- Beginning on the date on which the Fund Administrator is designated—
- (2) Regulations
- The Fund Administrator may—
- require, by regulation, that service providers provide the Fund Administrator information on—
- (i) non-subscription revenue received by the service provider;
- (ii) revenue received by the service provider from subscription fee;
- (iii) the collection of the living wage royalty fee by the service provider; and
- (iv) data of the service provider with respect to the number streams accrued by artists through such service provider; and
- audit the books and records of a service provider to verify any information provided by that service provider under subparagraph (A).
- require, by regulation, that service providers provide the Fund Administrator information on—
- The Fund Administrator may—
- (1) Retention
SEC. 5. Enforcement
- The Fund Administrator may establish, by regulation, penalties for—
- a violation of a prohibition under this Act by a service provider; or
- a failure to comply with a requirement under this Act by a service provider.
SEC. 6. Definitions
- In this Act:
- The term —
artist - The term
eligible entitymeans— - The term
eligible featured artistmeans a featured artist who— - In this paragraph, the term
eligible non-featured artistmeans a non-featured artist that provides the American Federation of Musicians and Screen Actors Guild and the American Federation of Television and Radio Artists Intellectual Property Rights Distribution Fund (or any successor Fund) with the information determined necessary by such Fund— - The term
end usermeans a unique person that receives an offering from the service provider, including the following: - The term
featured artistmeans an artist who is prominently featured on a sound recording made available through an offering. - The term
Fundmeans the Artist Compensation Royalty Fund established by the Fund Administrator under section 2(a). - The term
Fund Administratormeans the eligible entity designated under section 2(a)(1). - The term
living wage royalty feemeans the additional free required to be charged under section 4(a). - The term
master recordingmeans the original sound recording of a song. - The term —
non-featured artist - The term
non-subscription revenuemeans any revenue received from music streaming (including revenue received from advertising with respect to such music streaming), other than revenue from a subscription fee. - The term
offeringmeans the provision of a stream by a service provider. - The term
qualifying streammeans with respect to a master recording and a calendar month, the lesser of— - The term
Registermeans the Register of Copyrights. - The term
service providermeans an entity, that— - The term —
stream - The term
subscription feemeans a monthly fee that a person pays to the service provider to access an offering of the service provider, whether or not the person pays the fee on a standalone basis or as part of a single transaction that includes such fee and another fee for one or more product or services having more than token value.
- The term —