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RMLC Reports $40 million break on ASCAP Fees - Radio World

RMLC Reports $40 million break on ASCAP Fees

New decision is interim step in fee litigation
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The Radio Music License Committee says a judge has reached a decision on interim fees to be paid by radio stations pending the conclusion of the industry’s ASCAP rate case.

The RMLC negotiates music licensing fees for most of the radio industry with the major music publishing organizations such as ASCAP and BMI. RMLC Executive Director Bill Velez announced that the decision by U.S. District Court Judge Denise Cote would reduce the annual industry-wide fees payable by the radio industry to ASCAP by some $40 million from the 2009 level.

Velez said the RMLC sees this as a first step “towards a return to reasonable fee levels for the industry that reflect current economic conditions.”

The interim fee replaces a previous temporary fee decrease and the new rate is retroactive to Jan. 1 of this year. Stations should see the fee adjustments reflected in their June or July ASCAP monthly bills.

Meanwhile, the court case about the fees continues; the new fees will remain in place until final fees are either negotiated or determined by the rate court.

Similar interim fee proceedings are pending with BMI.

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