Today, U.S. Representatives Mike Conaway (R-TX) and Gene Green (D-TX) introduced the bipartisan Local Radio Freedom Act. The Local Radio Freedom Act declares Congress’ support of free local radio and opposes any new performance fees, taxes, royalties or other charges relating to the public performance of sound recordings on a local radio station for broadcasting sound recordings.
"Local radio broadcasters provide essential information to the local communities they serve,” said Rep. Conaway. “Communities rely on local radio stations to relay important weather information, national emergency information, and important news that will affect their community. The suggested performance taxes on local radio would devastate small local broadcasters in rural areas and ultimately hurt small businesses and consumers.”
There have been rumblings in Congress recently about trying to add a “performance tax” on local radio broadcasters, making them pay for the music they play. Local radio broadcasters provide thousands of hours of essential information to their communities. By imposing a performance fee, thousands of radio stations will suffer economic hardship as will other small businesses and ultimately the American consumers who rely on the stations for local news, weather, etc.
The resolution also states that radio promotes the recording industry’s product. “Radio provides free exposure and promotion for record labels’ acts; broadcasters shouldn’t have to pay labels for the privilege of supporting them. If the stations ‘pay to play,’ the cost will go up for everyone and free over-the-air radio could be hurt,” Rep. Green said.
The bipartisan resolution was introduced with 51 original cosponsors.