Music Modernization Act Momentum Building in House and Senate

House Judiciary Committee Chairman Bob Goodlatte, R-Va., plans to combine the Music Modernization Act (MMA) (HR-4706) from Rep. Doug Collins, R-Ga., the Compensating Legacy Artists for their Songs, Service, and Important Contributions to Society (Classics) Act (HR-3301) and the Allocation for Music Producers (AMP) Act (HR-881) into one legislative package to be introduced Friday. That’s according to a senior House Republican aide and an industry official.

Momentum for companion legislation is also building in the Senate. Matt Whitlock, staffer for Sen. Orrin Hatch, R-Utah, author of the MMA (S-2334), said a staff-level briefing is scheduled for Thursday, and Hatch is working with co-sponsors toward committee action in April or May. Senate Judiciary Committee Chairman Chuck Grassley, R-Iowa, expects to hold a hearing on the bill soon, Sen. Lamar Alexander, R-Tenn., told us, saying Congress at least needs to pass the MMA this year “because songwriters need it” (see 1803070029).

The House package will share the same name as the Hatch and Collins legislation. A House markup is tentatively scheduled for March 21, the Republican aide said. It’s unclear if there will be an introduction of a package of bills in the Senate as well.

Alexander joined Hatch and co-sponsor Sen. Bob Corker, R-Tenn., in Nashville Monday with a group of songwriters led by the Nashville Songwriters Association International (NSAI). “We had a terrific session in Nashville with Sen. Hatch and Corker and I,” Alexander said. He noted the bill’s 16 co-sponsors, which includes Sen. Patrick Leahy, D-Vt.: “We have the two leading senators on copyright law, Leahy and Hatch, and an equal number of Democrat and Republican supporters. … I would hope we could pass it this year.”

House Internet Subcommittee Chief Counsel Joe Keeley is soliciting comments to further refine the MMA, said Chris Castle, a music industry attorney. Castle, who expects the solicitation to end in the next week or so, said a legislative redraft has been circulating with the solicitation. “They know they’ve got a tiger by the tail,” Castle said. “If they can’t get it done [before summer recess], I don’t think it’s going to happen.”

Executive Director Bart Herbison told us NSAI “absolutely 100 percent” supports the MMA. “We just need to remind people that during the transition of the digital delivery of music, everybody in the music industry has had to adapt," he said. "All of the status quo businesses suffered, but nobody like the songwriters.”

Maria Schneider and other artists have argued the legislation improperly favors music publishers and big data companies over songwriters, which she said has been the status quo. Public Knowledge Policy Counsel Meredith Rose said the group supports the legislation, but a few tweaks could make it a “great bill.”

The MMA would establish a Copyright Royalty Board, which would set fair-market songwriter royalties. PK recommends an even split of representation on the governing board between songwriters and publishers. The board was originally split 8-2 in favor of publishers, and was later expanded to 10-4. Rose said the organization would also be concerned if the other copyright bills are folded into the mix, and it jeopardizes passage of the MMA, echoing comments from the Content Creators Coalition, which has cited arguments from Schneider. The group wrote a letter this week to Collins and lead Democratic sponsor Rep. Hakeem Jeffries, D-N.Y., calling for “equal representation” on the board.

The Digital Media Association isn't "opposed to the Classics or AMP Act,” said General Counsel Greg Barnes. "To the extent that adding either of those two bills will help secure passage of MMA, we support them. To the extent, however, that they would make passage of MMA less likely, we’d find ourselves opposed.” Barnes and Rose noted Hatch and Goodlatte have added incentive for a legislative victory on copyright as they near retirement.

Songwriters Guild of America President Rick Carnes is concerned about the makeup of the governing board and said questions remain over auditing provisions for the body and the certification process for the electronic database. Songwriters need to be paid by streaming services, he said: “Obviously, people are getting paid, and they’re saying, ‘We can’t find you,’ and I get that that’s not working for anybody. We have to do something, and collective licensing works well enough in the performance area. Hopefully, it will work now in the mechanical area.”