As local radio broadcasters converge on Capitol Hill this week to champion the enduring value of AM/FM stations, they have reason to celebrate a renewed push to safeguard their industry from the looming threat of new performance fees. On Tuesday, the Local Radio Freedom Act (LRFA) was reintroduced to the U.S. Senate, following its earlier reappearance in the House of Representatives in February. This bipartisan legislation aims to preserve the traditional, symbiotic relationship between radio stations and the music industry, shielding broadcasters from royalties that could strain their budgets and jeopardize their ability to serve communities nationwide.
Leading the charge in the Senate are Senators John Barrasso (R-WY) and Maggie Hassan (D-NH), who introduced the resolution with the backing of 18 additional senators from across the political spectrum. In the House, Representatives Steve Womack (R-AR) and Kathy Castor (D-FL) spearheaded a companion bill last month, rallying 114 co-sponsors—a robust showing that echoes the previous iteration of the LRFA, which garnered support from over 250 members of Congress. This broad, bipartisan coalition underscores the widespread recognition of radio’s vital role in American life.
The LRFA stands as a direct counterweight to the American Music Fairness Act (AMFA), a competing proposal that would mandate over-the-air broadcasters to pay performance royalties akin to those imposed on digital streaming platforms like Spotify or Pandora. For decades, terrestrial radio has operated under a mutually beneficial arrangement: stations provide artists with free airplay, offering invaluable promotion, while broadcasters incur no additional cost beyond existing licensing fees paid to songwriters and publishers.
The AMFA, however, seeks to upend this system by extending royalties to performers and record labels, a shift that the Congressional Budget Office (CBO) has cautioned could saddle broadcasters with “substantial costs.” For many small or rural stations already operating on thin margins, such fees could force cuts to local programming, staff, or even closure.
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Senator Hassan |
The resolution has drawn praise from industry leaders as well. Laura Grott, President of the Wyoming Association of Broadcasters, expressed gratitude for the state’s congressional delegation: “We’re thankful for the unwavering support of our Wyoming Delegation and especially to Senator Barrasso for taking the lead on this critical resolution. It protects our local broadcasters from an additional fee to record labels and artists when they play their music—a cost that could stifle the free service we’ve provided for generations.”
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Curtis LeGeyt |
The reintroduction of the LRFA comes at a pivotal moment.
As streaming services dominate urban markets and younger demographics, AM/FM radio remains a lifeline in rural areas and for older listeners, offering a free, reliable source of information and entertainment where broadband access may be spotty or unaffordable. The debate over performance royalties pits broadcasters against the recording industry, with artists and labels arguing they deserve compensation for airplay, while stations contend that their promotional value far outweighs any need for additional fees. With the LRFA gaining momentum, the outcome of this legislative tug-of-war could shape the future of radio for decades to come. For now, as broadcasters make their case in Washington, they’re buoyed by a growing chorus of congressional voices committed to keeping the airwaves free.
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