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MYTA: The licensing societies would like a negotiated solution that assists small business.

FACT:

Invitations to negotiate have been employed by ASCAP and BMI previously to distract Members of Congress from the real issues in this legislation and escape an uncomfortable situation the fact that 64 Members of Congress have cosponsored H.R. 789, which should justify a hearing at which small businesspeople could tell the subcommittee about the societies' heavy-handed "customer relations."

FACT:

The societies' representatives have previously told Coalition representatives that the only subject they will negotiate is rates how much small business music users will pay. The Coalition's concerns, and the legislation, are broader than rates, and include structural changes to make the system fair to all consumers of music.

MYTH: Music licensing reform legislation would be a confiscation of intellectual property and

significantly reduce songwriters' income.

FACT:

Songwriters and licensing societies are, and would continue to be should H.R. 789 be enacted, compensated handsomely for every performance in a commercial establishment. Broadcast networks, broadcast stations, cable networks, cable systems or satellite systems

and often two or three of them each pay amply for the very same performances that business establishments are asked to pay for again.

MYTH: Music licensing reform legislation would impose onerous, expensive and unnecessary

burdens on the licensing societies.

FACT:

H.R. 789 is basic consumer protection legislation that would relieve onerous, expensive and unnecessary burdens imposed by the current system on small business.

H.R. 789 would require the licensing societies to:

provide music consumers easy on-line access to lists of the songs licensed by each

society;
• provide consumer information that ensures price equity for small business

establishments;
• resolve local licensing disputes through local arbitration, not in New York City;
• offer radio broadcasters limited use licenses at rates that reflect the amount of music

actually used;
respect agreements between lessors and lessees regarding music licensing liability.

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H.R. 789 also would require the Justice Department, as the only party empowered to bring compliance issues to the attention of the "rate court," to report annually to Congress regarding its oversight of the ASCAP and BMI consent decrees.

A marching band plays a song during halftime

of a nationally-televised football game.

Quick, how many times should the music licensing societies (ASCAP/BMI/SESAC) be paid?

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Greater Southern Country Music Assn.

6104 Chimney Rock

Killoon, TX 76542
Hon. Jan MAYATA-Chmn
House Sinal Business Committee
Washington, DC 20515
near Congresswoman Moyers:

May 2, 1998 Q.3.C.M.A. represents over 2000 menntuluonywherster cry artiotalpublishers and over Apo radio stations, both Country and Gospel/Christian Religious in the United States and Europe. As the Rep. at Large, I am writing on behalf of our members to support the investigations against ASCAP urid the allegations of the Nadonal Restaurant Association and INA RAligious Broadcasters Association.

Many of our members are also ASCAP members as songwriters andor publishers. Our membors' rooords aro distributed our member mmo mations who return monthly or weekly playlists to our inayuzivo uffic in Florida

to be wompiled Imo our monthly charts in country and Constian music for both the USA and Europe. In all, there aru towe tour charts in Baoh magazine. publishod monthly or bi-monthly for the past eight years.

Our merbarS ATA Aldo portormers in restaurants, chsbs, hotels, resorts, and churches in Loui the USA and Europe. Honco, our arrillarion with the National Restaurant Association and tho Roligious Broadcasters.

what we wish to show to the committeo is that as wutti ASCAP miernbere and wrigwriters publishers/artists/composers: wo are supposed to be rocaving the royaitos that ASCAP so diligently coltucts froni the restaurants and radio stations-Zut wo don't get any money atau

ASCAP collects thesa royalties under the talso protonses that they are fairty distributing these riunieys to us-the writors and publishers whoga works aro being partormed Thoy sign us up as members wider the ouviglut (ruud that they will collecl uur royalties and distribute them to us. In fact, ASCAP doos nelthar. There is a clique in Tin Pan Alley, Nastavilhed, arnt LA. tut gets the lion's share of the funds, while our members get totally defraudad

Last year, I had os many as nino songs listed on the G.S.C.M.A. charts at ono time, and two on the Europe and USA charts for 16 and 21 monthe coon. My ASCAP checko? Zero! My publisher, with over 4000 gold records, several dozan artists, and consistorilly at last 20 peoplo on tho charts at each LAGUNA? His ASCAP chooke-Zero! Why? Only a small fraction of the FCC licur ww ruchu mations are surveyed by ASCÁP. They rotuso to survey our MAMDAT stations or Unes Restaurants to see what they are playing, so that they can keep the monwys collected in the hands of their Iraide olique. Anor 1995'3 Congressional Action, Urey surnt all memboro the attached 'Momber Extonsion Agroernent' noquiring us to rubber-stamp the fraud or loss our membershipo.

i filed complaints with FBI oftions in both Avatn, Taxus arid Now York City. Both offices consulted with the local US Attorney's offices and refused to Investigato ASCAP. You dont suppose there was too much payola going on. do you I complained to Janot Reno's office. Her lotter is on filo in Cong. Chet Edward's Benon, Texas with my apring 1995 detallad complaint in this manor. Janet Reno refused to invesligate the large annual monetary fraud in the history of tho Unhed STOP There own member Tinanolai statements roveals Ihal liray 1003 D 13 a Bilken dollars annually from the US AlonAl Amall wonder that may can attord a nugo nighriso in Now York City.LA, und Nuutsville. und to openly bus US attorneys. Foctorul Judywes in uw Gouthem Distnct of New York, and the FBI.

On behalf of our Q9CMA members, please tako this fraud and conspiracy to comma fraud rotally out of business. Please stop tho Congressional sponsorship of this fraud. Quit looking the other way, as Congrase nos for the past the Gernsen, and minvent mia wheel. tra totally corrupt and decades beyond repair.

Mely Ironiiw you uwt I wni www u statu chagulo tu Umi warly convention. and that it is an election your.

Your prompt action is required. Sincerely,

O. Dennis D. Sowall

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Asoap Alert 96

By Durmies D. Suwill-G.S.C.M.A. Rep. at Large Today, I received ASCAP's April 22. Member's 'Artioon Alert letter, bearing tho signaturo of Marilyn Bergman, Chmn of the Roard. The letter CallS member to Artion regarding Conorcacional naks.11 A 909 and 709, together with Senate bis 13 1197, 148, and 48. H.R.089 and 6.483 are extension of copyright hus toge copyrinnt coveragn for the ine of the authorloomposor plus 70 years I lence the nicknames: Le Plus 70".

The other three bils, 1137, 1028 and 789, are remnants and renasnings of 1995's business from both the National Restauram Association and me Nanona i tengmua Broadcancrs. Both organizations are wanting A3CAP out of the picture for years at traix, mia chiatribution of tunds, and gestapo-like tactics. Both organizations have large-scale support inom dAtraink ASX. AP member composers publishers thornsahesi (myse inchideret) You may recau the Congressional hearings in May of 1995 with the National Vinstmusrant Aa..

the problem at hand is that many ASXCAP composer mannen min alkepartamera At many of the restaurants. The restaurant owners have heard our songs on the local radio stations, seen us perform every week for years, paid the ASCAP license, never had theatrestaurant surveyed to see what songs were paid ftact is, ASCAP has never had any intanton ot tainy distributing the royalties collected), and never soon their performariñamherkampoernalisti DAN any of the royalties collected. Ilonce the mydl

Ihn mligious broadcasters have the same scenario to report in the church anna. INA sam nnistamine radio, are the same artists playing the youth concerts and ina local churches, and aren't getting paid though AICAP never misses collectim a royntity or liceman iht. Hence tho MUT

Now, back to ASCAP. As usual, they want the members to storm Congross with chills and lotters wanting Lito Plus 70 approvod, and everything else defeated. Problem is, only a angu part of the membership is in the pay clique. The rest of tho members fully support the move to take ABCAP Otaky out of business and re-invent the wheel, when it comes to royalty distribution The Restaurant and Religious Broadcasters would fully support AZCAP W the nstistumambers composers (and their own associates who are A3LAP members) was being thirty pala The entire basis of their complaints is: why must we be forced to sponsor this traudu

ASCAP even responded to the 1985 Congressional hearings and legislation by amanding meir member agreements to the ettect. AR members must accept the A3CAP board decisions rogarding distribution of royalties, or they can't be members at all! We were all given until January 1, 1996 to rubber stamp tho tve, or 90, our memberships! It was very clear. Sion AX AP's carte blanche, or you're ottä here)

As Roprosentadve at Lange, I called them and told them. Pay our members (G.S.C.M.A), I'll pushlish it and ten the members to call and write their Congressmen, as ASCAP members. ang tuly support the opposing legislation. To they can't do business lainy, and my years of experience proves ina iney can't and won't; then Congress, take them out of business!

Bottom line is, when I tell them lll do something if they don't get their act honest, you can put it in the bank rul publish it tor all the world to see, and here it is! Sic 'em folks!

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