RMLC announced that it has reached an agreement with BMI on the terms of a new license agreement that covers the period January 1, 2017, through December 31, 2021. According to RMLC, “This license preserves the scope of rights contained in the BMI-10 license for over-the-air broadcasts, stations’ simulcast streaming and website activity, and HD multicasting.” According to RMLC, the basic terms are as follows:
- Going forward, for terrestrial broadcast/simulcast transmissions, a 1.78% of revenue fee structure will apply, less a standard deduction of 12%. Digital revenues are subject to an increased deduction of up to 30%, compared to 25% under the old license.
- Retention of the per program (or program period) license applicable to many talk-formatted stations, with a base fee of 0.31% of revenues, less the same standard deductions detailed above.
- Continued rights coverage to accommodate our industry’s “new media” platforms related to Internet websites, smart phones, and other wireless devices.
- The settlement entails a one-time $5 million litigation fee to be paid by the industry to BMI by December 31, 2020. The industry-wide allocation of this fee will be tied to station amounts that were payable to BMI for calendar year 2019, on a straight pro-rata basis. You can expect to receive a statement from the RMLC for this assessment in short order
For additional information on the RMLC website click HERE.
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