Nadler, Blackburn Announce Fair Play Fair Pay Act

House Judiciary IP Subcommittee ranking member Jerrold Nadler, D-N.Y., and Rep. Marsha Blackburn, R-Tenn., said Monday that they were filing the Fair Play Fair Pay Act, as expected (see 1504100044). The bill would require most terrestrial radio stations to begin paying performance royalties and would require digital broadcasters to begin paying royalties for pre-1972 sound recordings. The bill would also require satellite broadcasters to pay royalties at market rates. “The current system is antiquated and broken,” Nadler said during a news conference in New York to announce the bill. “It pits technologies against each other and allows certain services to get away with paying little or even nothing to artists.” The bill contains carve-outs for college radio stations and radio stations that report revenue of less than $1 million per year. Stations with less than $1 million annual revenue would pay a maximum of $500 per year in royalties, while college radio stations would pay a maximum of $100. The carve-outs are meant to prevent major broadcasting companies from using small radio stations as a reason for members of Congress to vote against the bill. MusicFIRST Executive Director Ted Kalo praised the bill’s introduction, saying in a statement that “fair market value for music will encourage creativity by music creators.” The bill will also “promote innovation among music services,” he said. The NAB and the Digital Media Association said Friday that they would oppose the bill.