The Facts on Music “Fairness”

The so-called “American Music Fairness Act,” which would impose heavy royalty fees on local AM/FM radio stations to broadcast songs was recently introduced in Congress.

While supporters of this legislation seek to help artists, a significant amount of the money from a new performance tax would go directly to the big, foreign-owned record labels, and ironically, hurt artists’ greatest promotional tool.

Radio is still one of the best ways to introduce artists’ music to their fans. A performance tax would upend a mutually beneficial relationship between radio and artists that has thrived for more than a century.

Here are the real FACTS about music fairness:

Radio delivers fans who support artists.
Radio has the largest reach of any medium – nearly 90% of all Americans 12 and up.

Local radio is a primary way for fans to discover new music and new artists.
Free promotion on local radio is worth $2.4 billion annually.

A performance tax hurts small, local radio.
The typical radio station has five or fewer employees who often take on more than one job to bring you the content you love.

Local radio supports local communities.
A performance tax threatens the local news, weather, traffic and information stations provide.

A performance tax puts local jobs at risk.
More than 2.47 million jobs depend on the broadcasting business.

Radio pays royalties.
Local radio stations pay hundreds of millions of dollars annually to songwriters and composers.

A performance tax puts more money in the record labels’ pockets.
The recording industry is made up of three international conglomerates who jointly generated $14.9 billion in revenue in 2019.

Congress isn’t falling for it.
More than 230 legislators from both parties are supporting local radio and opposing a performance tax.

You can make your voice heard.
Tell Congress to say NO to a performance tax on local radio.