Now, For Something To Really Worry About

[Dick Loftin]

See today's Tulsa World, Business Section, Page E3 "Performers Push For Radio Royalties"

Artists are pushing Congress to force radio stations to pay performers for playing their music. This so-called "Performance Fee," will be in addition to the royalties radio stations pay to ASCAP, BMI, SESAC. These fees, if they become law, could account for as much as 7 percent of a radio stations income. Now, just imagine what a 7 percent expense would do to your radio station. (Answer: More Job Losses.)

I am a big believer in copyright and intellectual property rights, but radio stations and musicians have enjoyed a mutually beneficial arrangement for decades. The musicians and record companies provide the music to radio, and we play the records, give them free promotion when they perform in town or release a new album. This measure will severely damage the relationship and create an unnecessary financial hardship on our business.

If there was EVER a time to "Write your Congressman," this is it. Don't let this, and possibly your job, fall through the cracks.

Your comments are appreciated.

 

[OKCRadioGuy]

Everytime I hear that group wanting more and more money for some reason I think of the song, "Gypsies Tramps and Thieves"... There is NOTHING on the earth slimier than the record industry... NOTHING. Car salesmen, the IRS, NOTHING!

 

[Kent]

If radio takes the fight to the people, radio should win easily. The public hates, and I mean HATES, the recording industry. If I owned a station and this issue were coming up for a vote, I'd do like the webcasters with their "Day of Silence" and do a "Day Without Music" or something of the like. I'd also provide them with the means to contact their representatives and let them know how they feel. The public knows what the record industry did to internet radio, which was an industry too young to stand up for itself when the DMCA passed. It also remembers the music CD settlement over price fixing, the having to replace CD's because their copy protection was malicious software, and all of the lawsuits the labels have filed against people. The help is there if radio will ask for it.

What strikes me as amazing is that the labels, if they really felt radio was freeloading on them, could stop the problem today. All they'd have to do is stop promoting their records! Radio won't go near their songs if they stop promoting them. Of course, they want the radio play, and that $2 billion in profit Warner Music just reported isn't enough! Something else that makes my blood boil is the likes of millionaires like Sheryl Crow, Dionne Warwick, and Patti LaBelle demanding a handout. If I got a $1 million tomorrow, this 30-something could live the rest of his life without working another day. I see no reason to feel sorry for them. Of course, they'll turn around and tell you they're looking out for the likes of their peers who had a single hit and didn't make much money or the band members who had to split that money 5 different ways. However, that's a lie, and they either know it or don't understand how the industry works. Those starving band members with only one hit aren't getting much play on oldies stations today, and they wouldn't be the ones to benefit substantially from any royalty.

Something that also upsets me is that Congress is listening to the record labels on this. In 2002, they were inquiring why record labels were willing to pay independent promoters to pay radio stations for access. Congress wouldn't have given them the time of day if they asked for a royalty less than 10 years ago!

 

[mattbradley]

This is indeed an industry killer. When I wrote my letter to Dan Boren on this subject I pointed out that there couldn't be a worse time to pass this. The economy is in trouble as it is without the help of this performance fee. There will be deep cuts in the radio industry if this passes. Local radio will take a huge hit.

 

[GeneSavage]

Kent: Don't be so sure this will be a slam-dunk for radio.

As someone who dabbles in internet radio, I can tell you all the letters, e-mails, phone calls, days of silence, banners, & ads gave us absolutely NOTHING. The RIAA still has internet radio by the groin, & our "representatives" all say, gee, they're REAL concerned about internet radio, but don't want to discount artists' & labels' "needs," too.

Everyone that I talked to about it was either unwilling to sign on but would vote for it if it came to the floor, or seemed annoyed I was even calling.

Many, most of them are getting contributions of $1,000 or more from the R.I.A.A. (References upon request.)

Broadcast radio would be smart to begin publishing phone numbers & addresses of congressmen now, & encouraging people to tell their congressmen that they will be watching... and if this is allowed to go through, they WILL vote them out.

Otherwise, radio is going to get squeezed even tighter than it already is. Matt's absolutely right... look for massive job losses & massive loss of local content if this is put into law.

Do NOT wait on this one. Do not sit on the fence.

You have been warned...

 

[Dick Loftin]

Ok, Here's the list. Good luck! --Dick Loftin


Oklahoma Congressional Delegation

Hon. Tom Cole
U. S. House of Representatives
501 Cannon HOB
Washington, DC 20515
[email protected]
(202) 225-6165

Hon. Dan Boren
U. S. House of Representatives
216 Cannon
Washington, DC 20515
[email protected]
(202) 225-2701

Hon. John Sullivan
U. S. House of Representatives
114 Cannon HOB
Washington, DC 20515
www.sullivan.house.gov
(202) 225-2211

Hon. Frank Lucas
U. S. House of Representatives
2342 Rayburn House Office Building
Washington, DC 20515
[email protected]
(202) 225-5565

Hon. Mary Fallin
U. S. House of Representatives
1432 Longworth HOB
Washington, DC 20515
www.fallin.house.gov
(202) 225-2132

Hon. Jim Inhofe
U. S. Senate
453 Russell Building
Washington, DC 20510
[email protected]
(202) 224-4721

Hon. Tom Coburn
U. S. Senate
172 Russell
Washington, DC 20510
e-mail has to go through the form on his website:
www.coburn.senate.gov
(202) 224-5754

 

[Bob Oshea]

Hey DL & everybody-
From the sound of things it would appear they are once again trying to tinker the industry completely into the dirt. Why am I not surprised? This is worse than the auto industry! And I don't know any fool who has offered any bailout money for radio. Absolutely nothing surprises me anymore. Radio stations should charge them for the air time!

O'Shea

 

[OKCRadioGuy]

Aren't those sorry-assed politicans going to feel real funny when their place to get info out goes broke. Unfortunatly they won't notice until after it happens (if they pass such a poor bill).

 

[Bob Oshea]

Everytime I hear that group wanting more and more money for some reason I think of the song, "Gypsies Tramps and Thieves"... There is NOTHING on the earth slimier than the record industry... NOTHING. Car salesmen, the IRS, NOTHING!

That is the gods honest truth. The record industry is the biggest and baddest where it comes to robbing the artist blind as a bat and now they're going after the industy that's kept'em fartin' through silk since the invention of music radio. Talk about the cat and the canary, those people are absolutely shameless. I say radio should charge the labels for the air time to match the "performace fee". Or double it. Hey, we can always go back to theatre radio and screw the labels.

 

[Dick Loftin]

Hello Radio Friends, Below is the letter I sent to the list of representatives I posted earlier. I hope this letter will help you compose your own to send to the reps. I can see a severe cutback on new artists and new music because radio stations will stick to "known" music/artists (since now, they're paying for it) and live interviews with any artists will vanish. The record companies better be careful about what they wish for.
Food for thought. Please give thought to sending a letter/email to your representative.

Best, Dick Loftin

Dear Representative _____,

I am writing to ask that you support and cosponsor House Resolution 49
(H. Con. Res. 49, "Local Radio Freedom Act"), a measure that addresses
an effort by international recording companies to charge a "performance
fee" to local radio stations for music produced by their artists, and
appose H.R. 848, the measure that will allow the recording companies to
charge the fees.

I cannot tell you how important it is for you to support and cosponsor
House Resolution 49. There has been a common bond between radio stations
and record companies for eighty years. This bond has introduced new
artists to audiences, giving them vast exposure and has launched careers
while providing entertainment for the public. The mutually beneficial
arrangement between radio stations and record companies, as it exists
now, will be severely damaged by adding what amounts to a "pay for play"
fee for the recording companies, most of which are foreign-owned.

I have been in the radio business for nearly forty years and I can tell
you that my job and the jobs of many people in my business will be at
serious risk if H.R. 848 should become law. Our business has suffered
tremendously by the downturn in the economy resulting in the loss of
jobs of my friends, and should this measure pass, more jobs will be
lost. It will happen. This means fewer radio professionals will be on
duty to provide much needed information to Oklahomans in times of severe
weather or breaking news situations. Ultimately, the public will suffer.


For the sake of jobs, and public safety, in America and particularly
here in Oklahoma, I urge you to SUPPORT and COSPONSOR H. CON. RES. 49,
and OPPOSE H.R. 848.

Respectfully,


Dick Loftin

 

[Kent]

Before we get too far into badmouthing politicians in general (it's easy to do, I know), keep in mind that the Performance Rights Act, so far, isn't getting much momentum. That's not to say that it's dead or on life support, but the RIAA is having a tough time drubbing up support for it. It hasn't drawn a single new member of Congress as a co-sponsor, and it doesn't look to have drawn any new co-sponsors since a hearing last summer. The Local Radio Freedom Act has over 100 co-sponsors.

I certainly recommend writing your Congressman and speaking out against this bill. However, it's also import to keep in mind the direction Congress appears to be leaning.

 

[ionosphere]

Before we get too far into badmouthing politicians in general (it's easy to do, I know), keep in mind that the Performance Rights Act, so far, isn't getting much momentum. That's not to say that it's dead or on life support, but the RIAA is having a tough time drubbing up support for it. It hasn't drawn a single new member of Congress as a co-sponsor, and it doesn't look to have drawn any new co-sponsors since a hearing last summer. The Local Radio Freedom Act has over 100 co-sponsors.

I certainly recommend writing your Congressman and speaking out against this bill. However, it's also import to keep in mind the direction Congress appears to be leaning.

Good points. I think everyone in this industry is quick to jump on their hind legs because of the already somewhat unstable state of the industry. I don't see this bill passing at all, but it could be a sign of things to come from the record folks.

 

[Olfarht]

Don McLean must have been a prophet. If the Recording Industry gets it's way, that will be the day that music died !!