82_FR_7889 82 FR 7876 - Distribution of 2010-13 Cable Royalty Funds

82 FR 7876 - Distribution of 2010-13 Cable Royalty Funds

LIBRARY OF CONGRESS
Copyright Royalty Board

Federal Register Volume 82, Issue 13 (January 23, 2017)

Page Range7876-7878
FR Document2017-01358

The Copyright Royalty Judges announce settlement of controversies and requests for partial distribution of cable television distant retransmission royalties claimed by National Public Radio (NPR) and Music Claimants. National Public Radio appeared in this proceeding on its own behalf and on behalf of its NPR Members retransmitted as distant signals by cable television operators. Music Claimants include Broadcast Music, Inc. (BMI) and the American Society of Composers, Authors, and Publishers (ASCAP), as well as SESAC, Inc.

Federal Register, Volume 82 Issue 13 (Monday, January 23, 2017)
[Federal Register Volume 82, Number 13 (Monday, January 23, 2017)]
[Notices]
[Pages 7876-7878]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-01358]


-----------------------------------------------------------------------

LIBRARY OF CONGRESS

Copyright Royalty Board

[Consolidated Docket No. 14-CRB-0010-CD (2010-13)]


Distribution of 2010-13 Cable Royalty Funds

AGENCY: Copyright Royalty Board, Library of Congress.

ACTION: Notice requesting comments.

-----------------------------------------------------------------------

SUMMARY: The Copyright Royalty Judges announce settlement of 
controversies and requests for partial distribution of

[[Page 7877]]

cable television distant retransmission royalties claimed by National 
Public Radio (NPR) and Music Claimants. National Public Radio appeared 
in this proceeding on its own behalf and on behalf of its NPR Members 
retransmitted as distant signals by cable television operators. Music 
Claimants include Broadcast Music, Inc. (BMI) and the American Society 
of Composers, Authors, and Publishers (ASCAP), as well as SESAC, Inc.

DATES: Comments are due on or before February 22, 2017.

ADDRESSES: Submit electronic comments via email to [email protected]. Those 
who choose not to submit comments electronically should see ``How to 
Submit Comments'' in the Supplementary Information section below for 
physical addresses and further instructions. This notice and request is 
also posted on the agency's Web site (www.loc.gov/crb) and on 
Regulations.gov (www.regulations.gov).

FOR FURTHER INFORMATION CONTACT: Kimberly Whittle, Attorney-Advisor, by 
telephone at (202) 707-7658 or email at [email protected].

SUPPLEMENTARY INFORMATION: Each year cable systems must submit royalty 
payments to the Register of Copyrights as required by the statutory 
license set forth in section 111 of the Copyright Act for the distant 
retransmission to cable subscribers of over-the-air television and 
radio broadcast signals. See 17 U.S.C. 111(d). The Copyright Royalty 
Judges (Judges) oversee distribution of royalties to copyright owners 
whose works were included in a qualifying retransmission and who timely 
filed a claim for royalties. Allocation of the royalties collected 
occurs in one of two ways. In the first instance, the Judges may 
authorize distribution in accordance with a negotiated settlement among 
all claiming parties. 17 U.S.C. 111(d)(4)(A). If all claimants do not 
reach agreement with respect to the royalties, the Judges must conduct 
a proceeding to determine the distribution of any royalties that remain 
in controversy. 17 U.S.C. 111(d)(4)(B). Alternatively, the Judges may, 
on motion of claimants and on notice to all interested parties, 
authorize a partial distribution of royalties, reserving on deposit 
sufficient funds to resolve identified disputes. 17 U.S.C. 
111(d)(4)(C), 801(b)(3)(C).

National Public Radio

    On December 6, 2016, the Judges received a joint motion \1\ seeking 
distribution by stipulation to NPR of 0.16% of all cable royalty funds 
on deposit for royalty years 2010 through 2013, inclusive (2010-13 
Funds) (NPR Motion). The Moving Parties confirm that no other claimant 
or category of claimants asserts a controversy regarding the funds 
allocated to NPR. The Moving Parties further agree that the 
distribution of royalties to NPR shall equal the value of its 0.16% 
settlement share minus the dollar value of partial distributions NPR 
has received to date for each of the 2010-13 Funds.\2\ The stated 
amounts reflect a 0.16% share of the total funds on deposit as of the 
date of the final distribution to NPR for each of the years included in 
the 2010-13 Funds; \3\ the dollar amounts might vary as of the date of 
distribution, depending upon costs incurred for managing the funds and 
interest accrued on the funds. The Parties further stipulate and agree 
that these sums, once distributed, shall not be subject to repayment 
and that no additional sums shall be distributed to NPR in the future 
with respect to the 2010-13 Funds, and that NPR need not participate 
further in royalty distribution proceedings related to the 2010-13 
Funds.
---------------------------------------------------------------------------

    \1\ The Moving Parties included all other participants in this 
consolidated proceeding: Motion Picture Association of America, 
Joint Sports Claimants, National Association of Broadcasters and the 
Commercial Television Claimants, Music Claimants, Canadian Claimants 
Group, Settling Devotional Claimants, National Public Radio, Public 
Broadcasting Service and the Public Television Claimants, and 
Multigroup Claimants (collectively, the Moving Parties).

    \2\ The amounts that NPR received in partial distribution for 
each of the 2010-13 Funds can be found at http://www.copyright.gov/licensing/distribution-fund.pdf. To date, NPR has received a total 
---------------------------------------------------------------------------
of $846,675.38 in partial distributions, as follows:

2010: $179,048.31 (distributed October 25, 2012)
2011: $187,871.22 (distributed April 25, 2013)
2012: $236,077.95 (distributed January 15, 2015)
2013: $243,677.90 (distributed June 18, 2015)

    \3\ The total funds for each of the years included in the 2010-
13 Funds as of September 30, 2016, can be found at page 6 of http://www.copyright.gov/licensing/financial-statements/operating/sep2016.pdf (chart tracking cable royalties entitled ``Growth in the 
Copyright Royalty Funds As of September 30, 2016''). Recognizing 
that the amount of NPR's 0.16% settlement share will be determined 
as of the date of the final distribution to NPR, at least as of 
September 30, 2016, the total funds attributable for each of the 
years included in the 2010-13 Funds (calculated by adding the 
amounts already distributed and the ``Funds Available for 
Distribution'' as of September 30, 2016) were reported as follows:

--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                 Funds available for
                        Cable                               Distributed              distribution              Fund total             Percent growth
--------------------------------------------------------------------------------------------------------------------------------------------------------
2013................................................          $135,376,610.47           $90,865,875.68          $226,242,486.15                    3.363
2012................................................           131,154,417.29            87,726,471.99           218,880,889.28                    4.699
2011................................................           104,372,898.09           104,683,702.75           209,056,600.84                    4.919
2010................................................            99,471,281.18            99,783,533.64           199,254,814.82                   15.577
--------------------------------------------------------------------------------------------------------------------------------------------------------

Music Claimants

    On December 15, 2016, the Judges received a joint motion seeking 
distribution by stipulation to the Music Claimants from the cable 
royalty funds on deposit for royalty years 2010 through 2013, inclusive 
(2010-13 Funds) (Music Motion). The Moving Parties consist of all 
participants in this consolidated proceeding. In the Music Motion, the 
Moving Parties notified the Judges that they stipulate and agree that 
Music Claimants shall receive a share of each of the 2010-13 Funds as 
follows (the Music Claimants' Share):

----------------------------------------------------------------------------------------------------------------
                                                             Basic fund         3.75% fund        Syndex fund
                          Year                               (percent)          (percent)          (percent)
----------------------------------------------------------------------------------------------------------------
2010...................................................               3.50               3.50               3.50
2011...................................................               3.50               3.50               3.50
2012...................................................               3.55               3.55               3.55
2013...................................................               3.55               3.55               3.55
----------------------------------------------------------------------------------------------------------------


[[Page 7878]]

The Moving Parties stipulate that the value of the Music Claimants' 
Share is as listed as above, minus the dollar value of partial 
distributions of the 2010-13 Funds that Music Claimants have received 
to date.\4\ The Licensing Office will calculate the Music Claimants' 
Share of the total funds as of the date of the distribution to Music 
Claimants for each of the years included in the 2010-13 Funds, 
including interest accrued to the date of distribution and excluding 
(1) the distribution to NPR of its 0.16% share as specified in the 
December 6, 2016, NPR Motion and (2) taxable costs incurred by the 
Department of Licensing.
---------------------------------------------------------------------------

    \4\ The amounts Music Claimants have received in partial 
distribution for each of the 2010-13 Funds are available at http://www.copyright.gov/licensing/distribution-fund.pdf.
---------------------------------------------------------------------------

    The Moving Parties represent that there are no outstanding inter- 
or intra-category controversies regarding the claims in the Music 
Claimant category. The Parties further stipulate and agree that these 
sums shall not be subject to repayment once distributed, that Music 
Claimants need not participate further in royalty distribution 
proceedings related to the 2010-13 Funds, and that no additional sums 
shall be distributed to Music Claimants in the future with respect to 
the 2010-13 Funds, provided that Music Claimants shall be entitled to 
receive the Music Claimants' Share of any additional royalties 
deposited into any of the 2010-13 Funds due to any audit of any cable 
system operator's Statement of Account pursuant to 37 CFR 201.16 that 
Music Claimants joined as participating copyright owners.
    The Moving Parties' further stipulate that the terms described in 
the Music Motion represent a compromise and settlement and apply to the 
2010, 2011, 2012, and 2013 Cable Royalty Distribution Proceedings only; 
no party accepts the requested allocation as precedent and no party 
admits to any principle underlying stipulated amounts of the Music 
Claimants' Share.

Partial Distribution

    The Moving Parties therefore request the Judges to order a partial 
distribution of royalties to NPR in the agreed amounts and a partial 
distribution to Music Claimants in the agreed amounts pursuant to 
section 801(b)(3)(C) of the Copyright Act.\5\ 17 U.S.C. 801(b)(3)(C). 
That section requires that, before ruling on the motion, the Judges 
publish a notice in the Federal Register seeking responses to the 
motion for partial distribution to ascertain whether any claimant 
entitled to receive the subject royalties has a reasonable objection to 
the requested distribution. Accordingly, this Notice seeks comments 
from interested claimants on whether any reasonable objection exists 
that would preclude the distributions to NPR or Music Claimants 
described in this Notice. Parties making objection to the partial 
distribution must advise the Judges of the existence and details of all 
objections by the end of the comment period. The Judges will not 
consider any objections with respect to the partial distribution motion 
that come to their attention after the close of the comment period.
---------------------------------------------------------------------------

    \5\ The requested distributions represent partial distributions 
of the 2010-13 Funds, but not partial distributions to NPR or the 
Music Claimants, whose claims are satisfied by the requested 
distributions.
---------------------------------------------------------------------------

    The Judges have caused the joint motion regarding NPR and the joint 
motion regarding Music Claimants to be posted on the Copyright Royalty 
Board Web site at http://www.loc.gov/crb.

How To Submit Comments

    Interested members of the public must submit comments to only one 
of the following addresses. If not commenting by email or online, 
commenters must submit an original of their comments, five paper 
copies, and an electronic version on a CD.
    Email: [email protected]; or
    Online: www.regulations.gov; or
    U.S. mail: Copyright Royalty Board, P.O. Box 70977, Washington, DC 
20024-0977; or
    Overnight service (only USPS Express Mail is acceptable): Copyright 
Royalty Board, P.O. Box 70977, Washington, DC 20024-0977; or
    Commercial courier: Address package to: Copyright Royalty Board, 
Library of Congress, James Madison Memorial Building, LM-403, 101 
Independence Avenue SE., Washington, DC 20559-6000. Deliver to: 
Congressional Courier Acceptance Site, 2nd Street NE. and D Street NE., 
Washington, DC; or
    Hand delivery: Library of Congress, James Madison Memorial 
Building, LM-401, 101 Independence Avenue SE., Washington, DC 20559-
6000.

    Dated: January 17, 2017.
Suzanne M. Barnett,
Chief U.S. Copyright Royalty Judge.
[FR Doc. 2017-01358 Filed 1-19-17; 8:45 am]
 BILLING CODE 1410-72-P



                                                  7876                          Federal Register / Vol. 82, No. 13 / Monday, January 23, 2017 / Notices

                                                  and Slacker, Inc. (Docket No. 17–CRB–                   SoundExchange’s December 22, 2016,                        As part of the terms set for these
                                                  0010–AU), concerning the royalty                        notices of intent to audit.                            licenses, the Judges designated
                                                  payments each made pursuant to two                        Dated: January 13, 2017.                             SoundExchange, Inc. as the Collective,
                                                  statutory licenses.                                     Suzanne M. Barnett,
                                                                                                                                                                 i.e., the organization charged with
                                                  FOR FURTHER INFORMATION CONTACT:                                                                               collecting the royalty payments and
                                                                                                          Chief Copyright Royalty Judge.
                                                  Anita Brown, Program Specialist, by                                                                            statements of account submitted by
                                                                                                          [FR Doc. 2017–01320 Filed 1–19–17; 8:45 am]            licensees, including those that operate
                                                  telephone at (202) 707–7658 or by email
                                                  at crb@loc.gov.
                                                                                                          BILLING CODE 1410–72–P                                 commercial webcaster services,
                                                  SUMMARY INFORMATION: The Copyright
                                                                                                                                                                 preexisting satellite digital audio radio
                                                  Act, title 17 of the United States Code,                                                                       services, new subscription services, and
                                                                                                          LIBRARY OF CONGRESS                                    those that make ephemeral copies for
                                                  grants to sound recordings copyright
                                                  owners the exclusive right to publicly                  Copyright Royalty Board                                transmission to business establishments.
                                                  perform sound recordings by means of                                                                           The Collective is also charged with
                                                                                                          [Docket No. 17–0006–CRB–AU]                            distributing the royalties to the
                                                  certain digital audio transmissions,
                                                                                                                                                                 copyright owners and performers
                                                  subject to limitations. Specifically, the               Notice of Intent To Audit                              entitled to receive them under the
                                                  right is limited by the statutory license
                                                                                                                                                                 section 112 and 114 licenses. See 37
                                                  in section 114 which allows nonexempt                   AGENCY:  Copyright Royalty Board,
                                                                                                                                                                 CFR 380.4(d), 382.13(b)(1), 383.4(a),
                                                  noninteractive digital subscription                     Library of Congress.
                                                                                                                                                                 384.4(b)(1).
                                                  services, eligible nonsubscription                      ACTION: Public notice.                                    As the Collective,t, SoundExchange
                                                  services, and preexisting satellite digital                                                                    may, once during a calendar year,
                                                  audio radio services to perform publicly                SUMMARY INFORMATION:      The Copyright
                                                                                                                                                                 conduct an audit of a licensee for any
                                                  sound recordings by means of digital                    Royalty Judges announce receipt of a                   or all of the prior three years in order
                                                  audio transmissions. 17 U.S.C. 114(f). In               notice of intent to audit the 2013, 2014,              to verify royalty payments.
                                                  addition, a statutory license in section                and 2015 statements of account of Sirius               SoundExchange must first file with the
                                                  112 allows a service to make necessary                  XM Radio, Inc., concerning royalty                     Judges a notice of intent to audit a
                                                  ephemeral reproductions to facilitate                   payments its Commercial Webcaster                      licensee and deliver the notice to the
                                                  the digital transmission of the sound                   service, Preexisting Satellite Digital                 licensee. See 37 CFR 380.6, 382.15,
                                                  recording. 17 U.S.C. 112(e).                            Audio Radio Service, New Subscription                  383.4(a), and 384.6.
                                                     Licensees may operate under these                    Service, and Business Establishment                       On December 22, 2016,
                                                  licenses provided they pay the royalty                  Service made pursuant to two statutory                 SoundExchange filed with the Judges a
                                                  fees and comply with the terms set by                   licenses.                                              notice of intent to audit Sirius XM
                                                  the Copyright Royalty Judges. The rates                 FOR FURTHER INFORMATION CONTACT:                       Radio, Inc.’s Commercial Webcaster
                                                  and terms for the section 112 and 114                   Anita Brown, Program Specialist, by                    service, Preexisting Satellite Digital
                                                  licenses are set forth in 37 CFR parts                  telephone at (202) 707–7658 or by email                Audio Radio Service, New Subscription
                                                  380 and 382–84.                                         at crb@loc.gov.                                        Service, and Business Establishment
                                                     As part of the terms set for these                   SUMMARY INFORMATION: The Copyright                     Service for the years 2013, 2014, and
                                                  licenses, the Judges designated                         Act, title 17 of the United States Code,               2015. The Judges must publish notice in
                                                  SoundExchange, Inc., as the Collective,                 grants to copyright owners of sound                    the Federal Register within 30 days of
                                                  i.e., the organization charged with                     recordings the exclusive right to                      receipt of a notice announcing the
                                                  collecting the royalty payments and                     publicly perform sound recordings by                   Collective’s intent to conduct an audit.
                                                  statements of account submitted by                      means of certain digital audio                         See 37 CFR 380.6(c), 382.15(c), 383.4(a),
                                                  eligible nonexempt noninteractive                       transmissions, subject to limitations.                 and 384.6(c). Today’s notice fulfills this
                                                  digital subscription services such as                   Specifically, the right is limited by the              requirement with respect to
                                                  Commercial Webcasters and with                          statutory license in section 114 which                 SoundExchange’s December 22, 2016,
                                                  distributing the royalties to the                       allows nonexempt noninteractive digital                notice of intent to audit.
                                                  copyright owners and performers                         subscription services, eligible
                                                  entitled to receive them under the                                                                               Dated: January 13, 2017.
                                                                                                          nonsubscription services, and
                                                  section 112 and 114 licenses. See 37                                                                           Suzanne M. Barnett,
                                                                                                          preexisting satellite digital audio radio
                                                  CFR 380.4(d).                                           services to perform publicly sound                     Chief Copyright Royalty Judge.
                                                     As the Collective, SoundExchange                     recordings by means of digital audio                   [FR Doc. 2017–01321 Filed 1–19–17; 8:45 am]
                                                  may, only once a year, conduct an audit                 transmissions. 17 U.S.C. 114(f).                       BILLING CODE 1410–72–P
                                                  of a licensee for any or all of the prior                  In addition, a statutory license in
                                                  three calendar years in order to verify                 section 112 allows a service to make
                                                  royalty payments. SoundExchange must                    necessary ephemeral reproductions to                   LIBRARY OF CONGRESS
                                                  first file with the Judges a notice of                  facilitate the digital transmission of the
                                                  intent to audit a licensee and deliver the                                                                     Copyright Royalty Board
                                                                                                          sound recording, including
                                                  notice to the licensee. See 37 CFR 380.6.               transmissions to business                              [Consolidated Docket No. 14–CRB–0010–
                                                     On December 22, 2016,                                establishments.1 17 U.S.C. 112(e).                     CD (2010–13)]
                                                  SoundExchange filed with the Judges                        Licensees may operate under these
                                                  notices of intent to audit Radionomy,                                                                          Distribution of 2010–13 Cable Royalty
                                                                                                          licenses provided they pay the royalty
                                                  IMVU, Inc., and Slacker, Inc., for the                                                                         Funds
mstockstill on DSK3G9T082PROD with NOTICES




                                                                                                          fees and comply with the terms set by
                                                  years 2013, 2014, and 2015. The Judges                  the Copyright Royalty Judges. The rates                AGENCY:  Copyright Royalty Board,
                                                  must publish notice in the Federal                      and terms for the section 112 and 114                  Library of Congress.
                                                  Register within 30 days of receipt of a                 licenses are set forth in 37 CFR parts                 ACTION: Notice requesting comments.
                                                  notice announcing the Collective’s                      380 and 382–84.
                                                  intent to conduct an audit. See 37 CFR                                                                         SUMMARY: The Copyright Royalty Judges
                                                  380.6(c). Today’s notice fulfills this                    1 Subjectto the limitations set forth in section     announce settlement of controversies
                                                  requirement with respect to                             114(d)(1)(C)(iv).                                      and requests for partial distribution of


                                             VerDate Sep<11>2014   19:02 Jan 19, 2017   Jkt 241001   PO 00000   Frm 00094   Fmt 4703   Sfmt 4703   E:\FR\FM\23JAN1.SGM   23JAN1


                                                                                                        Federal Register / Vol. 82, No. 13 / Monday, January 23, 2017 / Notices                                                                                                    7877

                                                  cable television distant retransmission                                                                retransmission and who timely filed a                                       Funds; 3 the dollar amounts might vary
                                                  royalties claimed by National Public                                                                   claim for royalties. Allocation of the                                      as of the date of distribution, depending
                                                  Radio (NPR) and Music Claimants.                                                                       royalties collected occurs in one of two                                    upon costs incurred for managing the
                                                  National Public Radio appeared in this                                                                 ways. In the first instance, the Judges                                     funds and interest accrued on the funds.
                                                  proceeding on its own behalf and on                                                                    may authorize distribution in                                               The Parties further stipulate and agree
                                                  behalf of its NPR Members retransmitted                                                                accordance with a negotiated settlement                                     that these sums, once distributed, shall
                                                  as distant signals by cable television                                                                 among all claiming parties. 17 U.S.C.                                       not be subject to repayment and that no
                                                  operators. Music Claimants include                                                                     111(d)(4)(A). If all claimants do not                                       additional sums shall be distributed to
                                                  Broadcast Music, Inc. (BMI) and the                                                                    reach agreement with respect to the                                         NPR in the future with respect to the
                                                  American Society of Composers,                                                                         royalties, the Judges must conduct a                                        2010–13 Funds, and that NPR need not
                                                  Authors, and Publishers (ASCAP), as                                                                    proceeding to determine the distribution                                    participate further in royalty
                                                  well as SESAC, Inc.                                                                                    of any royalties that remain in                                             distribution proceedings related to the
                                                  DATES: Comments are due on or before                                                                   controversy. 17 U.S.C. 111(d)(4)(B).                                        2010–13 Funds.
                                                  February 22, 2017.                                                                                     Alternatively, the Judges may, on                                              2 The amounts that NPR received in partial

                                                  ADDRESSES: Submit electronic                                                                           motion of claimants and on notice to all                                    distribution for each of the 2010–13 Funds
                                                  comments via email to crb@loc.gov.                                                                     interested parties, authorize a partial                                     can be found at http://www.copyright.gov/
                                                  Those who choose not to submit                                                                         distribution of royalties, reserving on                                     licensing/distribution-fund.pdf. To date, NPR
                                                  comments electronically should see                                                                     deposit sufficient funds to resolve                                         has received a total of $846,675.38 in partial
                                                  ‘‘How to Submit Comments’’ in the                                                                      identified disputes. 17 U.S.C.                                              distributions, as follows:
                                                  Supplementary Information section                                                                      111(d)(4)(C), 801(b)(3)(C).                                                 2010: $179,048.31 (distributed October 25,
                                                  below for physical addresses and further                                                               National Public Radio                                                          2012)
                                                  instructions. This notice and request is                                                                                                                                           2011: $187,871.22 (distributed April 25,
                                                                                                                                                           On December 6, 2016, the Judges                                              2013)
                                                  also posted on the agency’s Web site                                                                   received a joint motion 1 seeking                                           2012: $236,077.95 (distributed January 15,
                                                  (www.loc.gov/crb) and on                                                                               distribution by stipulation to NPR of                                          2015)
                                                  Regulations.gov (www.regulations.gov).                                                                 0.16% of all cable royalty funds on                                         2013: $243,677.90 (distributed June 18, 2015)
                                                  FOR FURTHER INFORMATION CONTACT:                                                                       deposit for royalty years 2010 through                                         3 The total funds for each of the years
                                                  Kimberly Whittle, Attorney-Advisor, by                                                                 2013, inclusive (2010–13 Funds) (NPR                                        included in the 2010–13 Funds as of
                                                  telephone at (202) 707–7658 or email at                                                                Motion). The Moving Parties confirm                                         September 30, 2016, can be found at page 6
                                                  crb@loc.gov.                                                                                           that no other claimant or category of                                       of http://www.copyright.gov/licensing/
                                                  SUPPLEMENTARY INFORMATION: Each year                                                                   claimants asserts a controversy                                             financial-statements/operating/sep2016.pdf
                                                  cable systems must submit royalty                                                                      regarding the funds allocated to NPR.                                       (chart tracking cable royalties entitled
                                                  payments to the Register of Copyrights                                                                 The Moving Parties further agree that                                       ‘‘Growth in the Copyright Royalty Funds As
                                                  as required by the statutory license set                                                               the distribution of royalties to NPR shall                                  of September 30, 2016’’). Recognizing that
                                                  forth in section 111 of the Copyright Act                                                              equal the value of its 0.16% settlement                                     the amount of NPR’s 0.16% settlement share
                                                                                                                                                                                                                                     will be determined as of the date of the final
                                                  for the distant retransmission to cable                                                                share minus the dollar value of partial
                                                                                                                                                                                                                                     distribution to NPR, at least as of September
                                                  subscribers of over-the-air television                                                                 distributions NPR has received to date                                      30, 2016, the total funds attributable for each
                                                  and radio broadcast signals. See 17                                                                    for each of the 2010–13 Funds.2 The                                         of the years included in the 2010–13 Funds
                                                  U.S.C. 111(d). The Copyright Royalty                                                                   stated amounts reflect a 0.16% share of                                     (calculated by adding the amounts already
                                                  Judges (Judges) oversee distribution of                                                                the total funds on deposit as of the date                                   distributed and the ‘‘Funds Available for
                                                  royalties to copyright owners whose                                                                    of the final distribution to NPR for each                                   Distribution’’ as of September 30, 2016) were
                                                  works were included in a qualifying                                                                    of the years included in the 2010–13                                        reported as follows:
                                                                                                                                                                                                                       Funds available for
                                                                                                              Cable                                                                              Distributed                                       Fund total            Percent growth
                                                                                                                                                                                                                          distribution

                                                  2013   ...............................................................................................................................          $135,376,610.47            $90,865,875.68            $226,242,486.15                3.363
                                                  2012   ...............................................................................................................................           131,154,417.29             87,726,471.99             218,880,889.28                4.699
                                                  2011   ...............................................................................................................................           104,372,898.09            104,683,702.75             209,056,600.84                4.919
                                                  2010   ...............................................................................................................................            99,471,281.18             99,783,533.64             199,254,814.82               15.577




                                                  Music Claimants                                                                                        on deposit for royalty years 2010                                           Motion, the Moving Parties notified the
                                                    On December 15, 2016, the Judges                                                                     through 2013, inclusive (2010–13                                            Judges that they stipulate and agree that
                                                  received a joint motion seeking                                                                        Funds) (Music Motion). The Moving                                           Music Claimants shall receive a share of
                                                  distribution by stipulation to the Music                                                               Parties consist of all participants in this                                 each of the 2010–13 Funds as follows
                                                  Claimants from the cable royalty funds                                                                 consolidated proceeding. In the Music                                       (the Music Claimants’ Share):

                                                                                                                                                                                                                        Basic fund               3.75% fund              Syndex fund
                                                                                                                                  Year                                                                                   (percent)                (percent)               (percent)

                                                  2010      ...........................................................................................................................                                              3.50                       3.50                  3.50
                                                  2011      ...........................................................................................................................                                              3.50                       3.50                  3.50
                                                  2012      ...........................................................................................................................                                              3.55                       3.55                  3.55
mstockstill on DSK3G9T082PROD with NOTICES




                                                  2013      ...........................................................................................................................                                              3.55                       3.55                  3.55




                                                    1 The Moving Parties included all other                                                              and the Commercial Television Claimants, Music                              Television Claimants, and Multigroup Claimants
                                                  participants in this consolidated proceeding:                                                          Claimants, Canadian Claimants Group, Settling                               (collectively, the Moving Parties).
                                                  Motion Picture Association of America, Joint Sports                                                    Devotional Claimants, National Public Radio,
                                                  Claimants, National Association of Broadcasters                                                        Public Broadcasting Service and the Public



                                             VerDate Sep<11>2014                19:02 Jan 19, 2017                    Jkt 241001             PO 00000              Frm 00095               Fmt 4703   Sfmt 4703     E:\FR\FM\23JAN1.SGM       23JAN1


                                                  7878                          Federal Register / Vol. 82, No. 13 / Monday, January 23, 2017 / Notices

                                                  The Moving Parties stipulate that the                   responses to the motion for partial                    LIBRARY OF CONGRESS
                                                  value of the Music Claimants’ Share is                  distribution to ascertain whether any
                                                  as listed as above, minus the dollar                    claimant entitled to receive the subject               Copyright Royalty Board
                                                  value of partial distributions of the                   royalties has a reasonable objection to                [Docket No. 17–0005–CRB–AU]
                                                  2010–13 Funds that Music Claimants                      the requested distribution. Accordingly,
                                                  have received to date.4 The Licensing                   this Notice seeks comments from                        Notice of Intent To Audit
                                                  Office will calculate the Music                         interested claimants on whether any
                                                  Claimants’ Share of the total funds as of                                                                      AGENCY:  Copyright Royalty Board,
                                                                                                          reasonable objection exists that would                 Library of Congress.
                                                  the date of the distribution to Music                   preclude the distributions to NPR or
                                                  Claimants for each of the years included                                                                       ACTION: Public notice.
                                                                                                          Music Claimants described in this
                                                  in the 2010–13 Funds, including
                                                                                                          Notice. Parties making objection to the                SUMMARY:    The Copyright Royalty Judges
                                                  interest accrued to the date of
                                                                                                          partial distribution must advise the                   announce receipt of a notice of intent to
                                                  distribution and excluding (1) the
                                                                                                          Judges of the existence and details of all             audit the 2013, 2014, and 2015
                                                  distribution to NPR of its 0.16% share
                                                                                                          objections by the end of the comment                   statements of account of Music Choice
                                                  as specified in the December 6, 2016,
                                                                                                          period. The Judges will not consider any               concerning the royalty payments its
                                                  NPR Motion and (2) taxable costs
                                                                                                          objections with respect to the partial                 Preexisting Subscription Service and
                                                  incurred by the Department of
                                                                                                          distribution motion that come to their                 Business Establishments Service made
                                                  Licensing.
                                                    The Moving Parties represent that                     attention after the close of the comment               pursuant to two statutory licenses.
                                                  there are no outstanding inter- or intra-               period.                                                FOR FURTHER INFORMATION CONTACT:
                                                  category controversies regarding the                                                                           Anita Brown, Program Specialist, by
                                                                                                             The Judges have caused the joint
                                                  claims in the Music Claimant category.                                                                         telephone at (202) 707–7658 or by email
                                                                                                          motion regarding NPR and the joint
                                                  The Parties further stipulate and agree                                                                        at crb@loc.gov.
                                                                                                          motion regarding Music Claimants to be
                                                  that these sums shall not be subject to                                                                        SUMMARY INFORMATION: The Copyright
                                                                                                          posted on the Copyright Royalty Board
                                                  repayment once distributed, that Music                                                                         Act, title 17 of the United States Code,
                                                                                                          Web site at http://www.loc.gov/crb.
                                                  Claimants need not participate further                                                                         grants to copyright owners of sound
                                                  in royalty distribution proceedings                     How To Submit Comments                                 recordings the exclusive right to
                                                  related to the 2010–13 Funds, and that                                                                         publicly perform sound recordings by
                                                  no additional sums shall be distributed                    Interested members of the public must               means of certain digital audio
                                                  to Music Claimants in the future with                   submit comments to only one of the                     transmissions, subject to limitations.
                                                  respect to the 2010–13 Funds, provided                  following addresses. If not commenting                 Specifically, the right is limited by the
                                                  that Music Claimants shall be entitled to               by email or online, commenters must                    statutory license in section 114 which
                                                  receive the Music Claimants’ Share of                   submit an original of their comments,                  allows nonexempt noninteractive digital
                                                  any additional royalties deposited into                 five paper copies, and an electronic                   subscription services, eligible
                                                  any of the 2010–13 Funds due to any                     version on a CD.                                       nonsubscription services, and
                                                  audit of any cable system operator’s                       Email: crb@loc.gov; or                              preexisting satellite digital audio radio
                                                  Statement of Account pursuant to 37                                                                            services to perform publicly sound
                                                  CFR 201.16 that Music Claimants joined                     Online: www.regulations.gov; or                     recordings by means of digital audio
                                                  as participating copyright owners.                         U.S. mail: Copyright Royalty Board,                 transmissions. 17 U.S.C. 114(f).
                                                    The Moving Parties’ further stipulate                 P.O. Box 70977, Washington, DC 20024–                     In addition, a statutory license in
                                                  that the terms described in the Music                   0977; or                                               section 112 allows a service to make
                                                  Motion represent a compromise and                                                                              necessary ephemeral reproductions to
                                                                                                             Overnight service (only USPS Express
                                                  settlement and apply to the 2010, 2011,                                                                        facilitate the digital transmission of the
                                                                                                          Mail is acceptable): Copyright Royalty                 sound recording, including for
                                                  2012, and 2013 Cable Royalty                            Board, P.O. Box 70977, Washington, DC
                                                  Distribution Proceedings only; no party                                                                        transmissions to business
                                                                                                          20024–0977; or                                         establishments.1 17 U.S.C. 112(e).
                                                  accepts the requested allocation as
                                                  precedent and no party admits to any                       Commercial courier: Address package                    Licensees may operate under these
                                                  principle underlying stipulated amounts                 to: Copyright Royalty Board, Library of                licenses provided they pay the royalty
                                                  of the Music Claimants’ Share.                          Congress, James Madison Memorial                       fees and comply with the terms set by
                                                                                                          Building, LM–403, 101 Independence                     the Copyright Royalty Judges. The rates
                                                  Partial Distribution                                                                                           and terms for the section 112 and 114
                                                                                                          Avenue SE., Washington, DC 20559–
                                                    The Moving Parties therefore request                  6000. Deliver to: Congressional Courier                licenses are set forth in 37 CFR parts
                                                  the Judges to order a partial distribution              Acceptance Site, 2nd Street NE. and D                  380 and 382–84.
                                                  of royalties to NPR in the agreed                       Street NE., Washington, DC; or                            As part of the terms set for these
                                                  amounts and a partial distribution to                                                                          licenses, the Judges designated
                                                  Music Claimants in the agreed amounts                      Hand delivery: Library of Congress,                 SoundExchange, Inc. as the Collective,
                                                  pursuant to section 801(b)(3)(C) of the                 James Madison Memorial Building, LM–                   i.e., the organization charged with
                                                  Copyright Act.5 17 U.S.C. 801(b)(3)(C).                 401, 101 Independence Avenue SE.,                      collecting the royalty payments and
                                                  That section requires that, before ruling               Washington, DC 20559–6000.                             statements of account submitted by
                                                  on the motion, the Judges publish a                       Dated: January 17, 2017.                             licensees, including those that operate
                                                  notice in the Federal Register seeking                  Suzanne M. Barnett,                                    preexisting subscription services and
mstockstill on DSK3G9T082PROD with NOTICES




                                                                                                                                                                 those that make ephemeral copies for
                                                                                                          Chief U.S. Copyright Royalty Judge.
                                                    4 The amounts Music Claimants have received in                                                               transmission to business establishments.
                                                  partial distribution for each of the 2010–13 Funds      [FR Doc. 2017–01358 Filed 1–19–17; 8:45 am]            The Collective is also charged with
                                                  are available at http://www.copyright.gov/licensing/
                                                  distribution-fund.pdf.
                                                                                                          BILLING CODE 1410–72–P                                 distributing the royalties to the
                                                    5 The requested distributions represent partial                                                              copyright owners and performers
                                                  distributions of the 2010–13 Funds, but not partial
                                                  distributions to NPR or the Music Claimants, whose                                                               1 Subject to the limitations set forth in section

                                                  claims are satisfied by the requested distributions.                                                           114(d)(1)(C)(iv).



                                             VerDate Sep<11>2014   19:02 Jan 19, 2017   Jkt 241001   PO 00000   Frm 00096   Fmt 4703   Sfmt 4703   E:\FR\FM\23JAN1.SGM   23JAN1



Document Created: 2017-01-20 01:30:06
Document Modified: 2017-01-20 01:30:06
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ActionNotice requesting comments.
DatesComments are due on or before February 22, 2017.
ContactKimberly Whittle, Attorney-Advisor, by telephone at (202) 707-7658 or email at [email protected]
FR Citation82 FR 7876 

2025 Federal Register | Disclaimer | Privacy Policy
USC | CFR | eCFR