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Readers Respond to Naddler's Proposed Tax

8-20-2012

Monday afternoon, Congressman Jerrold Nadler circulated a discussion draft of his Interim Fairness in Radio Act. Yesterday RadioInk.com readers responded with plenty of comments about his idea. Those comments ranged from, "Here we go again," to "It's about time," to "This is ridiculous." Take a look at what your colleagues are saying and let us know your thoughts. Should radio pay to play?

The proposed legislation is a step toward a law requiring radio stations to pay a fee directly to artists for playing their music. This would be in addition to fees radio stations already pay to BMI, ASCAP, and SESAC. Nadler said, "The lack of a performance royalty for terrestrial radio airplay is a significant inequity and grossly unfair. Terrestrial radio companies have built into their businesses an exemption from paying a performance right." Nadler has not specified what the fee should be nor does he have any co-sponsors at this time.

Radio has long held the position that there is a lot of value for an artist to get their music played on radio, in that it leads to consumers buying their music. A recent Nielson study confirmed that consumers still choose radio when seeking out new music. A representative from Nadler's office told Radio Ink today that there was "some mutual benefit." But added, "Radio wouldn't have anything to play without the songs."

Representative Nadler also said, "It is a violation of fundamental principles of intellectual property that artists would be denied the right to control their own creations, as is the case now with sound recordings over broadcast radio.  The United States is the only industrialized nation that does not have a performance right for sound recordings over terrestrial radio."




(8/28/2012 8:06:15 AM)
I have no problem paying the artists to play there music. Just some quick questions for the congressman... Will I be able to charge the artist for my airtime when your bill passes? Will I get some of the revenue from the concerts the artists hold? And just because everyone else is jumping off a cliff..we should too?

- brian
(8/25/2012 11:36:27 AM)
"It fails to recognize the unparalleled promotional value of local radio airplay and would kill jobs at America's hometown radio stations."

I'm sorry but there are no jobs left to kill at my large radio company.

- Jaxson
(8/22/2012 2:17:43 PM)
Radio has been creating stars and huge cash flow for record companies for years. The symbiotic relationship has been good for both sides. Record companies made big mistakes in how to use the internet and now they are trying to screw over their best friend. Many smaller stations who play the new artists will go under. Stations that have to pay will only play sure hits. This will bite the record companies big-time...then what?

- Gary Wayne
(8/22/2012 9:05:56 AM)
iBiquity has stolen millions in fees from broadcasters, so why shouldn't the RIAA be allowed to steal from broadcasters, too?

- Fraudsters
(8/22/2012 7:45:50 AM)
i think congress should focus on fixing americas issues NOW before any other so called issues get any attention!
chicken or the egg?

- smiller

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