Conyers: 'Serious Struggle' For Royalty Bill
House Judiciary Chairman John Conyers told a crowd of 300 in Los Angles, Calif. on Friday that passing legislation he introduced earlier this week to end a longstanding royalty exemption granted to AM and FM radio "is going to be a serious struggle" due to opposition from the National Association of Broadcasters. Moving the measure through the House -- and the Senate where a companion bill is sponsored by Judiciary Chairman Patrick Leahy -- will require the help of the labor and civil rights movements in addition to music industry interests, he said. Conyers added the problem has "gone unremedied for too damned long." The bills received hearings but stalled in the Judiciary Committees in the 110th Congress.
Conyers appeared at a town hall-style Recording Academy event that preceded the music industry's biggest night of the year -- the 51st Grammy Awards on Sunday. He was joined by Rep. Darrell Issa, R-Calif., and Marsha Blackburn, R-Tenn., who are original cosponsors of the bill. The chairman noted the legislation is "a work in progress" and invited his audience to provide input. Blackburn pointed out the House version includes enhanced protections for songwriters but the Senate version does not. She vowed to ensure that both bills would contain that language before the legislation goes to conference. [Read CongressDaily's recent coverage here]
When asked whether President Barack Obama -- who has been in office for less than three weeks and is trying to work with Capitol Hill to pass a huge economic stimulus package -- had weighed in on the bill, Conyers laughed that the new administration has "a couple of things on their plate right now." MusicFirst Coalition Executive Director Jennifer Bendall noted that the Commerce Department under former President George W. Bush wrote a letter supporting the legislation last year and "we expect no change" from the Obama administration. "There is no meritorious reason... for anyone to oppose this," she said.
NAB claims the bill would endanger local radio and eliminate countless radio-related jobs around the country. Broadcasters have long argued that the promotional value of airplay and the resulting album and concert ticket sales make up for the disparity. Greater Media CEO Peter Smyth wrote in his latest "From the Corner Office" Web column that the proposal would cost the radio industry between $400 million and $7 billion per year. Conyers said he would welcome an explanation of that estimate in an upcoming hearing. Issa argued that NAB has rejected every offer for compromise that has been extended during negotiations. "Come to the table not just with 'no' but with alternatives," he said.
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