Item 5 Supporting Document — original pdf

Backup

Statement of the Austin Music Commission Submitted to the U.S. Copyright Office Re: Notice of Inquiry on Issues Related to Performing Rights Organizations Docket No. 2025-1 DRAFT Resolution: Equity and Transparency in Performing Rights Organizations Submitted by the Austin Music Commission Whereas, the city of Austin, Texas is nationally recognized as the “Live Music Capital of the World,” contributing significantly to the cultural and economic vitality of the United States through its diverse music community; and Whereas, Performing Rights Organizations (PROs) play a critical role in administering the licensing and royalty distribution for public performances of copyrighted music; and Whereas, the current structure and practices of PROs have presented increasing challenges related to transparency, equitable compensation, and administrative accessibility for independent artists, small venues, and marginalized communities; and Whereas, the proliferation of PROs without standardized licensing practices has created confusion and compliance burdens, especially for community-based venues and nonprofit cultural institutions; and Whereas, there is a lack of publicly accessible and verifiable data on royalty distribution across demographic, geographic, and genre-based lines, impeding efforts to ensure equity and accountability; and Whereas, significant portions of unclaimed or unmatched “black box royalties” are often distributed to major rights holders by default, without sufficient efforts to trace the original creators, disproportionately impacting emerging and underrepresented artists; and Whereas, many creators, particularly from BIPOC, immigrant, and low-income communities, face barriers to entry in understanding and engaging with the copyright system, PRO registration, and royalty tracking due to systemic inequalities in access, education, and language; and Whereas, local artists and venue operators should not be penalized by licensing frameworks that do not reflect actual usage or local contributions to the cultural economy; and Whereas, the Copyright Office has initiated a Notice of Inquiry on these issues, signaling an opportunity for federal engagement and reform; Now, therefore, be it resolved that the United States Congress recognize the urgent need for reform in the operation of Performing Rights Organizations to ensure equity, transparency, and accountability in the distribution of royalties and licensing practices; and Be it further resolved that Congress direct the U.S. Copyright Office and other relevant agencies to: 1. Mandate transparency from PROs in royalty collection and distribution, including public reporting by genre, geography, and demographic data; 2. Standardize licensing structures to protect small, nonprofit, and local venues from undue burden; 3. Create mechanisms to trace and equitably distribute black box royalties, with a priority toward underrepresented creators; 4. Ensure audit rights for individual rights holders and allow third-party oversight; 5. Fund artist education programs that demystify the PRO system and promote equitable access; 6. Establish accountability frameworks requiring PROs to provide accessible, multilingual, and disability-compliant registration systems; 7. Support local music ecosystems by ensuring fair compensation to independent and regionally significant artists through culturally responsive royalty practices. Resolved this day, [Insert Date], by the Austin Music Commission, City of Austin, Texas. Signed, [Chair Name] Chair, Austin Music Commission [Commission Contact Info]