Bipartisan Letter Disses Local Freedom Radio Act
April 18, 2013 at 10:52 AM (PT)
While the NAB touts its bipartisan support for the LOCAL RADIO FREEDOM ACT (H. Con. Res. 16), which opposes any sort of performance royalty for terrestrial radio, a different bipartisan group of Congressmen -- DARRELL ISSA (R-CA), JOHN CONYERS (D-MI), MARSHA BLACKBURN (R-TN) and MELVIN WATT (D-CA.) -- sent a bipartisan letter to their colleagues urging them not to cosponsor the LOCAL RADIO FREEDOM ACT (H. Con. Res. 16).
The letter, entitled, "The LOCAL FREEDOM RADIO ACT Shuts Down Debate, Stifle Innovation and Harms Artists," cites creative side talking points such as unlike satellite and Net radio, AM/FM stations are "exempt from paying such royalties and can use the property of artists, musicians and music companies without their consent and without providing compensation. This business model stifles creativity and innovation and discriminates against competing radio platforms."
CLEAR CHANNEL's revenue-sharing deals with labels is also mentioned, with the letters' authors asserting that the Act "could undercut future private negotiations and adversely impact the music industry.
"We urge you to refrain from cosponsoring this resolution because it impedes future debate, it stifles innovation, and it will continue to maintain an unfair playing field."
Read the entire letter here.