On January 31, 2025, U.S. Senators Marsha Blackburn (R-Tenn.), Alex Padilla (D-Calif.), Thom Tillis (R-N.C.), and Cory Booker (D-N.J.) introduced the bipartisan American Music Fairness Act of 2025. The Act has similar bi-partisan legislation in the HOR. The Act seeks to ensure that artists and music creators are paid for the use of their songs on AM/FM radio. The intent of this legislation is to bring radio broadcasters in line with music streaming platforms, which already pay artists for their music.
Notably, the US does not allow for the payment of artists for the use of their music on AM/FM radio. This loophole is the subject of regular and repeated legislative efforts. It never seems to quite garner enough support to pass.
Most terrestrial radio stations subscribe to licensing entities called performing rights organizations. They pay a flat fee to use the music. The PRO then pays royalties to music publishers and songwriters. However, royalties are not paid to performers for their performance. Some performers are also songwriters and receive payments as songwriters.
Radio stations argue against this type of legislation. They note that broadcasters and musicians have mutually benefited from the exposure provided by radio airplay. Stations already pay the PROs and imposing an additional cost would cripple an industry that is already struggling financially. However, the Act does have a carve-out for small and indie stations to pay a nominal fee for the right to play unlimited music. It appears that nearly two-thirds of radio stations would pay $500 or less for unlimited music for a year.
Over 300 recording artists signed a letter asking for the passage of the Act.
Senator Blackburn’s senate page provides the following summary of the Act:
- The United States is the only democratic country in the world in which artists are not compensated for the use of their music on AM/FM radio. By requiring broadcast radio corporations to pay performance royalties to creators for AM/FM radio plays, the American Music Fairness Act would close an antiquated loophole that has allowed corporate broadcasters to forgo compensating artists for the use of their music for decades.
The American Music Fairness Act would:
- Require terrestrial radio broadcasters to pay royalties to American music creators when they play their songs;
- Protect small and local stations who qualify for exemptions – specifically those that fall under $1.5 million in annual revenue and whose parent companies fall under less than $10 million in annual revenue overall – by allowing them to play unlimited music for less than $500 annually; and
- Create a fair global market that ensures foreign countries pay U.S. artists for the use of their songs overseas.
- In recognition of the important role of locally owned radio stations in communities across the U.S., the American Music Fairness Act also includes strong protections for small, college, and non-commercial stations.
The American Music Fairness Act is endorsed by the Recording Academy, SAG-AFTRA, the American Association of Independent Music, the MusicFirst Coalition, the Recording Industry Association of America, SoundExchange, and the American Federation of Musicians.
In 2022, the NAB (National Association of Broadcasters) objected to the bill. It is anticipated they will do the same again. Their comments are found here NAB Statement on House Judiciary Committee Markup of American Music Fairness Act | Newsroom | National Association of Broadcasters. But the gist of what they say is that broadcasters can’t afford this and it will hurt local radio stations, local jobs, and prevent new artists from getting airplay/radio exposure. Rather, the NAB supports the passage of the “Local Radio Freedom Act.” It appears that this legislation was reintroduced on February 13, 2025.
It will be interesting to see if one or both of these Acts pass in some format this year. Although there is a lot of support from the music industry, the NAB seems to be able to suppress the legislation every time it is introduced. Although this will clearly benefit performing artists, there is a serious concern about the impact on radio’s ability to sustain itself. With so many broadcasting options, for radio to remain free to the public, it must retain its advertisers. It is unclear whether the additional fees caused by the AMFA would ‘break the back’ of the industry or not.
Here is the link to the information about the Local Radio Freedom Act introduced by Congressmembers Womack and Castor. Womack, Castor Reintroduce Bipartisan Local Radio Freedom Act | U.S. Congressman Steve Womack
The Text of the Senate American Music Fairness Act Bill is found here: https://www.blackburn.senate.gov/services/files/F729D30A-CAF7-4371-85EB-0ED969F4C2B4
A great article on this Act is found here: Over 300 Artists Seek Passage of American Music Fairness Act. I used information from this article in my blog.