Reps. Bob Goodlatte and Jerrold Nadler

Reps. Bob Goodlatte and Jerrold Nadler

Photo: Sean Zanni/WireImage.com

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House Judiciary Committee Approves Music Modernization Act

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Bill with unprecedented support that would revolutionize the music industry moves closer to becoming law, ensuring fair pay for music creators
Renée Fabian
Advocacy
Apr 11, 2018 - 3:23 pm

The Recording Academy has been trumpeting the Music Modernization Act a lot lately, and for good reason. Since rumors broke on the comprehensive bill in January, which garnered historic support from the far reaches of the music industry, the Academy has remained optimistic and enthusiastic that the MMA would pass Congress this year. Now, that dream is one step closer to becoming a reality.

On April 10 House Judiciary Committee Chairman Bob Goodlatte (R-Va.), Ranking Member Jerrold Nadler (D-N.Y.) and 29 additional members of the House of Representatives introduced the MMA. Today, the bill, H.R. 5447, went to the House Judiciary Committee for markup, where it passed unanimously with a vote of 32–0 following review.

From here, the MMA will proceed to the full House for a vote in the near future, and then attention turns to the Senate who will be tasked with considering similar, comprehensive reforms. A Senate Judiciary hearing and markup on music licensing reform is anticipated in the next few months.

The MMA marks a historic step forward for music legislation, which hasn't been updated in a generation. The comprehensive package combines three previous bills, including a songwriter-focused Music Modernization Act (H.R. 4706), which establishes an independent board to handle mechanical royalties while offering digital music services a "safe harbor" from copyright infringement lawsuits.

It also includes the CLASSICS Act (H.R. 3301), which requires digital services to pay for songs recorded prior to 1972, and the Allocation for Music Producers Act (H.R. 881), which codifies into law the way that producers and engineers get paid royalties for their work on sound recordings.

The current version of the MMA has also adopted a feature of the Fair Play Fair Pay Act (H.R. 1836) to update how the Copyright Royalty Board determines the rate digital services pay for recordings.

"This legislation, which is the first major update to our music licensing laws in decades, brings early 20th century music laws for the analog era into the 21st Century digital era," said Goodlatte.

"I look forward to working with [Chairman Goodlatte], and all those who made this bill a reality, to see that it is enacted into law," added Nadler.

"We are thrilled to celebrate the introduction of the Music Modernization Act," Neil Portnow, President and CEO of the Recording Academy told Billboard. "This historic bill has been a goal of the Recording Academy for several years as it unites the music community under one piece of legislation and provides meaningful updates to copyright law to help all music creators.

"This collaboration is the kind of work that changes the game for the music industry. Congress is recognizing the impact and cultural significance of work before 1972, while paving the way for the next generation of music creators."

Pitch In! Tell The House To Pass The Music Modernization Act Today

Rep. Doug Collins and Daryl Friedman at the 2018 GRAMMYs on the Hill Awards

Rep. Doug Collins and the Recording Academy's Daryl Friedman
Photo: Paul Morigi/WireImage.com

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Music Modernization Act Passes House Of Representatives Unanimously

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Passage comes one week after GRAMMYs on the Hill Advocacy
Brian Haack
Advocacy
Apr 25, 2018 - 2:28 pm

The Music Modernization Act officially passed the U.S. House of Representative today, winning its first battle for legislative approval on the House floor with a unanimous 415–0 vote. Having previously passed mark-up by the House Judiciary Committee on April 11 with a unanimous 32–0 vote of approval, the MMA arrived at the House with a mandate from the masses that Congress enact equitable reforms in the music industry.

Rep. Bob Goodlatte Mentions GRAMMYs on the Hill

"Sometimes big pieces of legislation can come together only through the efforts of a large number of people who invest their time in making change happen, as so many members of this committee and so many stakeholders in the music and digital delivery communities have done," said House Judiciary Committee Chairman Bob Goodlatte (R-Va.) during the committee's mark-up.

Just last week, the Recording Academy hosted the 2018 GRAMMYs On The Hill Awards gala, bringing together a who's who of Capitol Hill heavyweights and music creators. The combined forces not only celebrated the power of advocacy, creativity and music but pushed forward the momentum for the MMA.

Why GRAMMYs On The Hill Makes A Difference

"Music creators compose the soundtrack to our lives. These creators deserve to be paid a fair wage for their work," said Recording Academy President/CEO Neil Portnow. "The passage of the Music Modernization Act in the House of Representatives is a historic step forward for all music creators, ensuring that they are credited, paid, and shown the respect they deserve for the impact they have on our culture and daily life. We are honored that GRAMMYs on the Hill helped to pave the way for these long overdue updates."

"Last week, GRAMMYs on the Hill brought the stories of artists, composers, producers, and songwriters to Washington, sharing the challenges of their industry and the robust solutions provided by the Music Modernization Act," added honoree Rep. Doug Collins (R-Ga.). "The Recording Academy and an array of stakeholders have helped a bipartisan group of legislators protect an American art form, and I'm grateful for the consensus that was reflected in today's vote."

Looking forward, a happy ending for music creators would be a bill signing ceremony at the White House before the end of this year. However, before that can come to fruition, the bill will next proceed to the U.S. Senate, with the burden now on our nation's senators to make the right choice to protect music creators and update the laws that prevent music creators from being fairly compensated for their creative works.

Music Modernization Act: A Vision For Unity

Slash Advocacy

Rep. Joe Crowley (D-NY), Slash of Guns N' Roses, Producer Mike Clink and Committee Chairman Rep. Bob Goodlatte (R-VA)
Photo: Paul Morigi/WireImage for the Recording Academy

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Giving Thanks To Music's Biggest Advocates Waving Goodbye To Washington

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As Thanksgiving approaches, the music community has much to be grateful for from these retiring Congressional champions of creators' rights
Nate Hertweck
Advocacy
Nov 14, 2018 - 3:44 pm

This year has marked a watershed in the overlapped world of music and politics. The enactment of the Hatch-Goodlatte Music Modernization Act represented the culminations of years of tireless work toward comprehensive music licensing and copyright reform. Last week's Midterm Elections changed the landscape in Congress, with the Democratic Party taking over the majority in the House of Representatives and the Republican Party expanding its majority in the Senate.

But through all this political activity of 2018, we are reminded that the achievements and progress would not have been possible without the dedication and integrity of many supportive elected leaders. As new incoming lawmakers make their way to Washington, and hard-working music creators refuel their drive toward the next frontier of creators' rights, some of the most impactful Congressional champions are preparing to leave Washington after years of service

Let's take a look at a few of our strongest retiring allies in Congress who are leaving a legacy of fairness and progress for music creators. Their willingness to listen to the professional music community and navigate our needs through the political process in order to build a better system is truly the stuff of champions.

A man so integral to the MMA his name was attached to it, Representative Bob Goodlatte (R-Va) was a patient force behind a multi-year effort to enact lasting copyright reform that produced the Hatch-Goodlatte Music Modernization Act. Goodlatte earned a reputation as an honest broker who seeks to solve complex issues through consensus. He also served as Chairman of the House Judiciary Committee and was honored at the 2015 GRAMMYs On The Hill Awards for his support for copyright and his understanding of music creator's unique role in American life.

Representative Joe Crowley (D-NY) will be ending his term this year. As the lead Democratic sponsor of the Allocations For Music Producers (AMP) Act, which was included in the MMA, Crowley's support went a long way toward the ultimate passage of the MMA. Crowley most recently served as Democratic Caucus Chair. The lead Republican sponsor of the AMP Act, Representative Tom Rooney (R-Fla) is also retiring this year. Rooney and Crowley were both honored alongside Zac Brown Band at the 2016 GRAMMYs On The Hill Awards for their years of support for music creators. These two co-sponsors of AMP actually went into the recording studio together back in 2011 as part of the first-ever recording session of the GRAMMY Congressional Band with Crowley on vocals/guitars and Rooney on drums.

Representative Darrell Issa (R-Calif.) introduced the CLASSICS Act in July 2017, which set out to close the loophole for digital radio to finally compensate pre-1972 recordings like their newer peers. As the lead Republican sponsor of the Act, Issa helped see its tenets ultimately incorporated into the MMA and his efforts now stand to benefit countless legacy artists. Issa was also a consistent, strong voice for establishing a performance right for artists on AM/FM radio. He was honored for his Advocacy efforts at the 2010 GRAMMYs on the Hill Awards.

"Rep. Issa has been a great champion of fair compensation for artists," said Daryl Freidman, Chief Industry, Government & Member Relations Officer for the Recording Academy earlier this year when Issa announced his retirement. "We will miss his friendship, leadership and humor. But before he retires, we look forward to finishing together the work we started to support music and to ensure that the current and next generation of creators are respected and compensated fairly for their work."

Finally, the other namesake of the Hatch-Goodlatte Music Modernization Act, Senator Orrin Hatch (R-Utah) will retire next month as well. Hatch officially introduced the landmark bill in the Senate, playing a key role in shepherding the comprehensive music reform package in the Senate, and ensuring it won support of more than 80 of his colleagues as co-sponsors. The MMA is just the capstone on Sen. Hatch’s long history of fighting for songwriters, artists, and all creators in Congress. A professional songwriter and former chairman of the Senate Judiciary Committee, Hatch understands the plight of the music community and has shown the gumption it takes to enact change on Capitol Hill. For his leadership, Sen. Hatch was honored with the very first GRAMMYs on the Hill Award in 2001.

As the Thanksgiving holiday approaches, we'd like to thank all of these true champions of creators' rights for their service to our craft, our industry and our country.

Welcoming Music Champions Returning To Congress In 2019

Reps. Bob Goodlatte and Jerrold Nadler

Reps. Bob Goodlatte and Jerrold Nadler

Photo: Sean Zanni/WireImage.com

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Congress Rallies Behind Creators For Music Policy Reform During GRAMMY Week In New York

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With a suite of bills lined up to modernize copyright policy with comprehensive music reform, support from members of Congress strengthens during GRAMMY Week Judiciary Committee hearing
Nate Hertweck
Advocacy
Feb 7, 2018 - 4:20 pm

Recently, a diverse panel of music industry professionals representing various roles in the creative process testified at a Judiciary Committee hearing titled "Music Policy Issues: A Perspective From Those Who Make It." The committee worked closely with the Recording Academy to plan the hearing in New York City in coordination with the 60th GRAMMY Awards, during the week of events and celebrations known as GRAMMY Week leading up to Music's Biggest Night.

The panel included Recording Academy President/CEO Neil Portnow as the only business witness with the other five witnesses being music creators in various roles in the industry and two of the other five being Trustees of the Recording Academy. The hearing discussed several specific bills, including the Fair Play Fair Pay Act, the Music Modernization Act, the CLASSICS Act, and the AMP Act, and urged the committee to join them in their quest to make comprehensive updates to copyright law.

The hearing was led by Rep. Bob Goodlatte (R-Va.), Chairman of the House Committee on the Judiciary, who set the stage for the day's discussion and outlined Congress' role in this critical conversation.

"When crafting our current copyright laws governing music licensing, Congress could not have foreseen all of today’s technologies and the myriad of ways consumers engage with creative works," said Goodlatte. "[This] field hearing will be an excellent opportunity to hear directly from a wide of range of music professionals on the opportunities and challenges the music industry faces in the digital age.”

Ranking Member Jerry Nadler (D-N.Y.) was delighted to have the hearing — and Music's Biggest Night — take place on his home turf in New York City, but he was also determined to spur momentum for progress in the way of copyright reform.

"There is widespread agreement that the music licensing system is in need of comprehensive reform," said Nadler. "This hearing will be an important step in our effort to update the music licensing system and examine the specific problems most in need of a legislative solution."

Several Congress members on the committee have previously shown their strong support for creators' rights, but hearing perspectives on these issues from inside the industry put faces and voices to the cause. As the witnesses described the challenges they face in monetizing their art and their craft, the interconnection between issues and the overarching need for reform began to snap into focus.

"I love the idea of combining the [bills] into a comprehensive statutory bill of rights for musical artists and songwriters, and other people in the music industry," said Rep. Jamie Raskin (D-Md.), who was quick to offer his support.

Congress Memebers
Congress Judiciary Committee Hearing

Taking the notion one step further, Rep. Ted Lieu (D-Calif.) contextualized the competitive advantage of incentivizing creativity, saying, "If you look at the various sectors of the economy, we can do very well in various sectors such as high-tech or agriculture, bio-tech, tourism, and one of those sectors is the creative economy. In California, where I'm from, one in 10 jobs are related to the creative economy. … It doesn't just happen, you need a legal framework to protect creators and also create incentives."

Passing all of these individual acts as a combined consensus bill would go a long way toward creating the incentives to which Lieu referred. The committee members asked many questions that delved into both how royalties are handled in the current catalogs of the creators on the panel, and how they as lawmakers can ensure future music professionals are entering a business climate set up to be as fair as possible.

"If some pay and others don't, we truly have an unfair competition problem by those who don't," said Rep. Darrell Issa (R-Calif.), noting that the committee has a broad jurisdiction, even beyond copyright, and that they are tasked with the responsibility to look to all types of law, including anti-trust and unfair competition, so business can develop their business models on a fair playing field."

However, there are many considerations in making any industry fair.

Presenting some of the alternate perspectives affected by these issues, Rep. Blake Farenthold (R-Texas), who started working as a DJ at a radio station at age 15, seemed less sympathetic to the performers, though somewhat open to considering the creators' perspective. 

"You get complete sympathy from me that I believe songwriter, in particular,r are underpaid. I think the performers, I used to say, 'Well get out and play some more concerts and you can make some more money,'" said Farenthonld. "But I want to come up with a fair solution for everybody, and I really do like some of the bills that are out here."

Shifting the conversation to online, Farenthold spoke to the need for a consolidated database so that services like YouTube will know who to pay for the use of sound recordings. GRAMMY-nominated songwriter Tom Douglas pointed out that part of the MMA would essentially establish a collective clearinghouse for all songwriters and publishers that will enable proper payment of streaming royalties.

As the panel of witnesses divulged the tribulations of making a living in the recording industry, many Congress members couldn't help but express gratitude, no only for their time testifying on these crucial issues, but for the music they've given the world. The committee members were nearly all moved in some way by the life's work of the witnesses, whether it was GRAMMY-winning legend Dionne Warwick, GRAMMY-nominated singer/songwriter Aloe Blacc or multi-platinum producer Mike Clink, who turned heads in the room by revealing his integral role as producer for bands such as Guns N' Roses and Mötley Crüe.

"Thank you all for what you have done to make life better, and what you continue to do," said Rep. Val Demings (D-Fla.), weighing in as the newest member of the committee. "Music brings hope to some of the most hopeless people and children."

No doubt, the star power of the witness panel inspired a level of gratitude and awe in the committee, but these brave spokespeople truly represented the wide swath of creators and their rights. Ultimately, these issues go much deeper than the music's most successful musicians, songwriters and producers, and even go beyond music in terms of impacting all creative fields.

"I wouldn't want anyone to leave with the idea that this is just a situation that affects either the top musicians in the country as opposed to all musicians," said Raskin, "or just this industry because there are lots of people across the economy who are not getting the fair fruits of their labors and their participation in the economy."   

Take Action: Tell Congress To Support Comprehensive Music Reform

The hearing room on Capitol Hill

Photo: Eric Thayer/Getty Images

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Music & Advocacy Primer: 7 Things To Watch In 2018

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Attn. Music Creators: Here are the political storylines you should keep a watchful eye on this year
Tim McPhate
Renée Fabian
Advocacy
Jan 3, 2018 - 11:36 am

Are you looking to make a different kind of New Year's resolution for 2018?

If you're a music creator, how about making educating yourself on important issues affecting the music community a top priority?

Of course, sometimes it's difficult to keep your ear to the ground with regard to what's happening in our nation's capital and how it affects music creators.

From midterm elections, key departures and new appointments to music licensing, consent decrees and funding for the arts, here is a handy list of seven key music-and-advocacy storylines to keep your eye on in the Year of the Dog — straight from our Washington, D.C., Advocacy & Public Policy office.

1. Rep. Goodlatte's Last Year

Rep. Bob Goodlatte (R-Va.), the chairman of the House Judiciary Committee and a key supporter of intellectual property, will retire at the close of 2018.

In recent years, the Virginian conducted hearings on the state of our nation's copyright laws in addition to helming policy proposals that called for changes to the Copyright Office. Alongside Rep. Jerrold Nadler (D-N.Y.) and GRAMMY winner Alicia Keys, he was honored by the Recording Academy at the 2015 GRAMMYs on the Hill Awards.

"This is a natural stepping-off point and an opportunity to begin a new chapter of my career and spend more time with my family, particularly my granddaughters," said Goodlatte, a 13-term Congressman who has served as the committee's chairman for the last five years.

Goodlatte's departure begs the question: Which Republican will emerge as the front-runner for the party's top seat on the House Judiciary Committee?

2. Midterm Elections: Who Will Take Control?

Speaking of races, it's the biggest political question of the year. What's going to happen with the midterm elections on Nov. 6, 2018?

Depending on your news outlet of choice, the predictions are likely as varied as the GRAMMYs' 84 categories. While this past year has been eventful as far as politics go, it's difficult to prognosticate what the national political landscape will be like next November. But the facts remain: All 435 seats in the United States House of Representatives and 33 of the 100 seats in the United States Senate are up for grabs, and that looming uncertainty could shape the legislative agenda over the next 12 months.

3. Rep. Nadler: The New House Judiciary Top Dem

On Dec. 20 Rep. Jerrold Nadler emerged victorious in the race for the top Democratic spot on the House Judiciary Committee. Nadler bested challenger Rep. Zoe Lofgren (D-Calif.) by a final count of 118 to 72.

Nadler's appointment, which fills the seat vacated by former Rep. John Conyers Jr. (D-Mich.), could bode well for the music community this year. The former GRAMMYs on the Hill honoree is a longtime champion for music creators with credibility on music licensing issues thanks to his many years of experience as the leading Democrat on the House of Representatives' Subcommittee on Courts, Intellectual Property and the Internet. 

"The Recording Academy looks forward to working with the Congressman in his prestigious position to advance this important legislation and advocate for a sustainable future for all music creators," said The Recording Academy's Daryl P. Friedman.

4. Music Licensing Legislation Ripe For Action

Several music licensing reform bills have been introduced into the House of Representatives, making 2018 ripe for action. First, the Allocation For Music Producers (AMP) Act would ensure how producers and engineers get paid by codifying into law, for the first time, the producer's right to collect the royalties they are due and by formalizing SoundExchange's current voluntary policy.

Meanwhile, the Compensating Legacy Artists For Their Songs, Service And Important Contributions To Society (CLASSICS) Act would bring pre-1972 recordings into the federal copyright system and ensure that digital transmissions of both pre and post-1972 recordings receive the same treatment — allowing rights holders an avenue to protect their copyrights and get paid for their work.

Both the AMP Act and the CLASSICS Act are also contained in the Fair Play Fair Pay Act, a more comprehensive reform measure that would modernize laws governing sound recordings, including the establishment of a domestic public performance right for broadcasts of recordings on terrestrial radio. Fair Play Fair Pay ensures that all broadcasted recordings, regardless of platform or date released, receive the same federal copyright protections and have the ability to collect royalties.

And just weeks ago, the Music Modernization Act was introduced with bipartisan and industry support to update antiquated laws that govern songwriters. The bill ensures songwriters are paid when digital platforms use their music, while also improving transparency, providing better royalty rates, and giving songwriters more involvement over their mechanical rights.

As we move into the New Year, these important pieces of legislation would better standardize music licensing rules for music creators, creating a more level playing field for musical works currently protected by copyright laws.

5. Protect National Endowment For The Arts Funding

Established by Congress in 1965, the National Endowment for the Arts provides federal funding to artists and organizations making outstanding cultural contributions to the U.S. This funding has allowed music and the others arts to flourish nationwide, creating jazz festivals, choral events and providing at-risk students enrichment opportunities, among many other projects.

"The modest support that we provide to music and the arts is returned many times over, whether measured in jobs and economic impact, or sheer cultural enrichment and introspection," said Recording Academy President/CEO Neil Portnow in May 2017.

Under the current administration, funding of the agency remains at risk. In March 2017, President Donald Trump's proposed federal budget would have eliminated the NEA, which would create a huge deficit in funding for arts programs that help sustain our country's healthy arts and economic ecosystem, which generates $166 billion in revenue and 4.6 million jobs across multiple industries, according to a 2017 study.

Advocates of the arts have helped protect the NEA thus far, with bipartisan Congressional support pushing to fully fund the agency for the current Fiscal Year.  Later this month, Congress aims to pass a full spending bill that would include NEA funding, but experts predict that the president could propose similar cuts for his Fiscal Year 2019 budget. If you believe in the value of the arts, visit our Advocacy Action page to learn how you can make a difference.

6. Save The Date: District Advocate 2018

Strength in numbers. That's the underlying thought behind the Recording Academy's District Advocate Day, the largest grassroots initiative for music in the nation.

More than 1,000 music creators, across all 50 states, united on Oct. 18 for the 2017 installment with the mission of addressing a range of key legislative issues affecting the music industry with congressional offices in their home districts. Lawmakers from California to New York were peppered with discussions about improving outdated laws, modernizing copyright protections, protecting songwriters and composers, and advocating for the next generation of music makers.

Look for news on the official date for the 2018 District Advocate Day, which is tentatively slated for October. This year's campaign will carry an even greater importance given it will precede the aforementioned November midterm elections.

7. Consent Decrees Under Makan Delrahim

The consent decrees that govern performing rights organizations ASCAP and BMI are sorely in need of a refresh since they haven't changed much since 1941. This year, the Department of Justice that governs these regulations has a new frontman, Assistant Attorney General Makan Delrahim.

As the new head of the antitrust department, Delrahim brings with him a philosophical outlook that seems to include an understanding that many of our outdated consent decrees need an update to stay on par with dramatically changed markets and technologies.

"We're thinking hard about ways that consent decrees can be improved," Delrahim said during his keynote speech at the American Bar Association in November 2017. "Believe it or not, we have nearly 1,300 judgments in effect, with some that are well over 100 years old. One dates to 1891. My favorite is the one pertaining to music rolls, still protecting consumers against the ills of anticompetitive behavior in the mechanical organ market. … Do you see what I mean about static solutions to the realities of dynamic markets?"

While it remains to be seen how Delrahim's favoring of less regulation could impact the consent decrees that impact PROs and music royalty payments, it does seem that he has his eye on updating outdated laws, which could be to music creator's benefit. 

Guns N' Roses' Slash Lobbies Congress For Fair Pay For Musicians