Performance tax “a blow of apocalyptic proportions”

Posted on 31. Mar, 2010 in Commentary

In a commentary published Tuesday in Dartmouth College’s student newspaper, The Dartmouth, author Divya Gunasekaran notes, “…air play has served as a free promotional opportunity for artists.  Record labels may be suffering financially, but undermining radio stations to save the skins of a few major labels can hardly be called a solution.”

Not only does it alter the “symbiotic relationship between artist and radio station,” it will significantly impact college radio stations and force many to close their doors.  For decades, college radio stations around the country have provided their communities with unique and varied musical entertainment while promoting new and local artists.

Without local radio broadcasters to spin their music, how many of your favorite bands and artists would have never taken off?

Source: The Dartmouth

Radio rally strikes back over royalty bill

Posted on 05. Mar, 2010 in News

Members of the Free Radio Alliance yesterday greeted Capitol Hill staffers on their way to work and asked them to oppose the Performance Rights Act.  Capitol Hill’s largest publication, The Hill, wrote about the rally this morning.  The gathering was in response to the RIAA-backed MusicFirst Coalition’s press conference with Dionne Warwick that same day.

The Free Radio Alliance says radio airtime is free promotion that is key to singers’ careers. In fact, they pointed out with posters, that’s how they heard Dionne Warwick’s songs in the first place. Imposing a royalty would only enrich big record labels, including those overseas.

A performance tax on radio broadcasters in the US would have crippling consequences.  College, local and minority-owned stations would be the hardest hit with many of them shuttering their doors.  Broadcasters are struggling in this economy already – added fees and royalties paid to large record companies overseas will only add to that burden.

Sen. Mark Warner speaks out against performance tax

Posted on 26. Feb, 2010 in News

Senator Mark Warner (D-VA) called in to the 1070 WINA morning news show in Charlottsville, VA yesterday and expressed his concern that legislation pending in the House of Representatives would stifle local radio stations and prevent them from serving the public interest.  The Performance Rights Act could potentially cost radio stations millions of dollars in extra fees, sacrificing their ability to stay in business.

“The last thing we need is to choke of more off our local media.  We need more voices…that actually represent the local interests.”

Listen to Senator Warner’s complete comments at 1070 WINA by clicking play below.

[audio:http://67.72.16.166/wina/2239543.mp3]

National Black Church Initiative Speaks Out Against Performance Tax

Posted on 25. Feb, 2010 in Press Releases

A coalition of 34,000 church- and minority-owned radio broadcasters wrote a letter today to U.S. House of Representatives Speaker Nancy Pelosi today urging her to oppose the Performance Rights Act, otherwise known as the performance tax.

“This is the worst time to impose additional fees on minority-owned radio stations that are already dealing with layoffs, salary cuts and sinking revenues anywhere between 10-50 percent under the current economic crisis.”

The letter, signed by Reverend Anthony Evans and more than 190 other leaders in the African-American community, represents a very serious concern in the locally- and minority-owned broadcasting community.  According to the Congressional Budget Office, the performance tax  to local radio broadcasters could be “substantial”.

Four percent of radio stations in the United States are owned by African-Americans and the performance tax would “disproportionally harm minority radio broadcasters,” according to the letter.

“Minority-owned and church-owned radio stations speak directly to our communities, often carry our Sunday morning church service broadcasts and are a cherished resource to our communities and culture that must be nurtured and protected. Silencing our voices on the airwaves when African-Americans are already underrepresented could be an unintended consequence if this legislation were allowed to pass.”

Click here to read the letter in full (PDF 4MB).  Become a member of the Free Radio Alliance and join in the fight to protect minority-owned broadcasters.  It’s free and easy.

Media Institute opposes Performance Rights Act

Posted on 04. Feb, 2010 in News

The Media Institute, a non-profit foundation dedicated to researching the effects of communication policy issues, opposes the Performance Rights Act.  The institute’s latest report titled “Performance Fees on Radio Stations: A Debacle Waiting To Happen,” details the effects of the proposed law and how it would specifically damage minority-owned and local broadcasters.  FMQB reports:

Black and Hispanic stations would bear the brunt of compulsory performance fees for sound recordings, and the loss of such stations would be particularly acute for Black and Hispanic communities where local radio stations are “a primary venue for the expression of minority and ethnic viewpoints,” the paper states.

The report concludes that the Performance Rights Act…

“would most likely reduce diversity, and thus run contrary to Congress’s long-standing goal of enhancing media diversity. The economic and diversity impacts would be especially harsh on minority-owned radio stations, the outlets least able to tolerate additional burdens. Record companies should not try to kill the ‘golden goose’ of radio broadcasting in an effort to boost their bottom lines. Free music for free airplay has stood the test of time. It’s an arrangement that is not broken, and does not need to be fixed.”

Read the full story at FMQB.

Radio is more important than ever to songwriters

Posted on 26. Oct, 2009 in News

It’s a singles business.  That’s what songwriters are saying more these days as record executives are more interested selling singles than full albums – and it’s radio that is providing that critical publicity to make a chart-topper.  Fewer consumers are purchasing full albums and instead turn to the hits and download them online from retailers like iTunes and Amazon.

At the CMJ Music Marathon in Manhattan last week, a panel of hit songwriters concurred, “the best way to land a hit is a tried-and-true one: Get on the radio.

“The business is so singles-driven now,” Ossoff says, adding that the new trend is for songwriters to submit only a verse and a chorus to execs, who will tell them to finish songs that have hit potential.

“Radio’s become more important because of what has happened,” said David Katz, half of the production-songwriting team S*A*M and Sluggo, responsible for recent hits from Boys Like Girls, The Academy Is . . . , and Metro Station. “The hit song’s become a more important medium because no one buys albums any more.”

Source: Newsday