Senate Subcommittee Hears Testimony on Performance Tax

Last week, NAB Chief Operating Officer Curtis LeGeyt testified at a Senate Judiciary Intellectual Property Subcommittee staff briefing, "The Scope of Music Rights within the DMCA." Although presented as part of a broader review the subcommittee is undertaking of the Digital Millennium Copyright Act, the briefing focused on the performance tax issue. Click here to view LeGeyt's statement.

Panelists included Scott Hunter, executive director, National Religious Broadcasters Music License Committee as well as representatives from The Recording Academy, American Association of Independent Music and SoundExchange.

LeGeyt and Hunter laid out why Congress should not seek to impose a performance tax on local radio stations, especially during these challenging economic times. They drove home the point that local radio is unique among all entertainment mediums because it is free and focused on serving communities. Both noted that performers greatly benefit from the promotional value of radio, which is developed through serious costs incurred by broadcasters.

NAB will remain in close contact with the subcommittee as it considers any potential legislative changes in the next Congress and will continue to build support for the Local Radio Freedom Act, which opposes a performance tax on radio.Thanks to your grassroots efforts and the work of NAB's advocacy team, the resolution has reached 211 cosponsors in the House and 27 in the Senate. Once the number of House cosponsors reaches 218, we will have secured a majority of the House on the Local Radio Freedom Act, which will pose a significant hurdle for record labels to move performance tax legislation. Click here to find out if your legislators support this resolution and ask them to stand up for local radio!