$10 Million Plus To Settle Payola Claims?
February 1, 2007 at 5:46 AM (PT)
USA TODAY reports in today's edition that the nation's four largest radio broadcasters would make payments and other contributions valued at about $10 million under a proposed settlement of a year-long probe by the FCC into payola claims, say FCC officials and others with direct knowledge of the matter.
While the FCC's three Republicans generally have backed less-punitive terms, Democrats JONATHAN ADELSTEIN and MICHAEL COPPS have been pushing for tougher concessions, FCC officials say. The officials requested anonymity because the proceeding is pending.
In a letter WEDNESDAY to the Senate Commerce Committee, Sen. RUSS FENGOLD (D-WI) encouraged leading members of the panel to urge FCC commissioners to adopt tough constraints on payola. The commissioners are scheduled to appear today at the committee's FCC oversight hearing.
Under settlement terms proposed several weeks ago, the broadcasters would devote $7 million of airtime to independently produced music. Radio also would pay $3 million to a fund for the NAB to provide training to member stations to stop payola.