Broadcaster

On December 24, 2015, the Copyright Royalty Board revised their determination for the 2016-2020 webcasting rates and terms (“Web IV”) by removing the category of “Broadcaster.” Services who operated as a Broadcaster in 2015 (including “Small Broadcasters”) should operate instead as a “Commercial Webcaster” in 2016. Please visit here for more information about Commercial Webcasters in 2016.

2016 – 2020

This category is not part of the 2016-2020 webcasting rates and terms. Applicable services may wish to operate in 2016 as a Commercial Webcaster (CRB).

1) Eligibility Requirements:

Broadcasters

  1. Must have a substantial business owning and operating one or more terrestrial AM or FM radio stations that are licensed as such by the FCC,
  2. Must not be a “noncommercial” service, and
  3. Must only create nonsubscription transmissions. (Broadcasters wanting to create subscription transmissions must operate separate commercial webcaster (CRB) services.

2) Minimum Fees and Minimum Fee SOA:

  1. Amount: $500, per station or channel, not to exceed $50,000 (if a service has more than 100 stations or channels). All payments must be accompanied by a signed and completed minimum fee Statement of Account.
  2. Recuperability of Minimum Fee: The minimum fee is credited against monthly liability accrued within the same calendar year. Services do not submit additional payment for that year until they have exceeded the minimum fee.
  3. Due date: Annual, on or before January 31. New services beginning streaming on or after February 1 are required to pay minimum fees within 45 days after the end of the month in which streaming first occurs.

3) Liability Rate, Payment, and Monthly SOA:

  1. Rate:
    1. 2011: $0.0017 per performance
    2. 2012: $0.0020 per performance
    3. 2013: $0.0022 per performance
    4. 2014: $0.0023 per performance
    5. 2015: $0.0025 per performance
    6. 2016-2020: $0.0017 performance (2017-2020 rates subject to increases based upon the Consumer Price Index)
  2. Payment and Monthly SOA: Services must submit a Statement of Account each month, calculating the liability owed for that month, within 45 days after the end of that month, accompanied by any payment indicated on the form (if any).
    1. Services are encouraged to use Licensee Direct for ALL submissions.
    2. If no payment is owed, Statements of Account may be submitted via e-mail as a PDF to royaltyadministration@soundexchange.com, or via fax to 202.640.5883.
    3. If payment is owed, the Statement of Account (accompanied by payment) should be mailed, if using regular mail to SoundExchange, Inc, P.O. Box 75202, Baltimore, MD 21275-5202. If you are using overnight delivery send to: Lockbox Services 75202 Wells Fargo Bank 7175 Columbia Gateway Drive Attn: SoundExchange, Inc., Lockbox 75202 Columbia, MD. Tel.: 1-800-289-3557.
    4. Payment must be in the form of a check, money order, or direct bank wire (or ACH payment). For assistance in delivering money via bank wire, please contact SoundExchange at 202.640.5858 or e-mail us at royaltyadministration@soundexchange.com.

4) Reports of Use: Services are required to submit Reports of Use (i.e. the “playlists”) as described in 37 CFR 370.4.

  1. Frequency of Submission. Monthly, within 45 days after the end of each month.
  2. Content. Reports of Use must contain a complete census of all sound recordings accruing performance liability within the month.
    1. Identifying Information. Each track listing must include the following:
      1. Name of Track as listed on the recording
      2. Name of Artist as listed on the recording
      3. ISRC as listed on the recording, or if unavailable, the combination of both the album name and the marketing label as listed on the recording
      4. Audience Measurement. Each track must have associated with it the amount of “actual total performances” accrued by the track within the month.
      5. ATH Allowance. A small percentage of each Report of Use may use aggregate tuning hours (“ATH”) as a metric instead of actual total performances, in the event that a Broadcaster is unable to calculate actual total performances due to the nature of the transmission (e.g. syndicated programming, etc.). In these instances, the audience measurement amount associated with the applicable tracks should be the ATH for the period of the applicable programming. The percentage allowance is as follows:
        1. 2011: 16%
        2. 2012: 14%
        3. 2013: 12%
        4. 2014: 10%
        5. 2015: 8%

5) Format and Delivery Specifications:  Reports of Use are required to be electronically submitted in one of the following ways:

  1. E-mail to reports@soundexchange.com. This method is preferred for all services if the Report of Use contains fewer than 200,000 lines.
  2. FTP. This method is preferred for services submitting Reports of Use containing greater than 200,000 lines. To request a login ID and a password, please e-mail ftp@soundexchange.com.
  3. CDR, DVD-R, or portable USB drive. If a service is unable to submit Reports of Use via e-mail or FTP, they may be delivered physically using the above media to SoundExchange, ATTN: Royalty Administration, 733 10th St., NW, 10th Floor, Washington, DC 20001.

6) Late Payments and Monthly SOA

The late fee program is designed to catch all late payments, any statement of account or any report of use on a month to month basis. A Licensee is required to pay a late fee of 1.5% per month (0.75% for Business Establishment Services; increase to 1.0% effective January 1, 2014) for any payment and/or statements of account received by the collective after the due date. Late fees accrue from the due date of this payment, statement of account or report of use until payment and the related statement of account are received by the collective.

For more information about Reporting Requirements