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House Anti-Royalties Bill Has Majority Support
WASHINGTON -- June 24, 2008: The Local Radio Freedom Act now has the support of a majority of the House of Representatives, as four more legislators have signed on to the resolution, bringing the total to 219 of the House's 435 members.
The LRFA reads, "Congress should not impose any new performance fee, tax, royalty, or other charge relating to the public performance of sound recordings on a local radio station for broadcasting sound recordings over the air, or on any business for such public performance of sound recordings."
The LRFA was introduced in October 2007, a few weeks before bills were introduced in the House and Senate that would for the first time impose performance royalties on over-the-air broadcasters.
The NAB has been battling those bills, and NAB EVP Dennis Wharton said, "Today's announcement sends a powerful message to foreign-owned record labels that Congress is not falling for their bogus campaign to blame local radio stations for their financial woes. NAB thanks those members of Congress who appreciate the fact that free radio airplay of music generates untold millions into the wallets of performers and record labels. We will continue to educate policymakers on the devastating impact this RIAA tax would have on America's hometown radio stations."
The LRFA is a non-binding resolution and not a law forbidding royalties. An identical resolution in the Senate, introduced just last month, now has the support of 13 Senators.
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