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Happy New Year Songwriters! You’ve Got New Royalties

Happy New Year Songwriters & Music Publishers!

Take note of the new mechanical royalty rates that are now in effect for the use of your songs in the United States:

As of January 1, 2023, royalty rates are as follows:

• Physical / Permeant Download: 12¢ per minute or 2.31¢ per minute or fraction thereof, whichever amount is greater

• Interactive Streaming / Limited Downloads / Locker Services / Other Digital Deliveries: 15.1% of Service Revenue or Total Content Cost Prong Calculation, whichever amount is greater by offering.

As a reminder, if you own the publishing in your songs, you may be eligible to join The Mechanical Licensing Collective to get paid directly 100% of your digital audio mechanical royalties. This is a separate royalty stream, which your PRO (ASCAP / BMI / SESAC) does not collect or pay out. You earn two songwriter royalties when your songs are streamed on Spotify, Apple Music, Tidal, and other digital music services. You earn a performance royalty (ASCAP, BMI, SESAC) and a mechanical royalty (The MLC).

Learn more about The MLC at http://www.themlc.com and join for free today!

About The MLC in 60 Seconds:

[Video] Artist Managers Connect presents AMA About The Mechanical Licensing Collective with Dae Bogan

Dae Bogan conducts a Facebook Live “Ask Me Anything” regarding The Mechanical Licensing Collective in the Artist Managers Connect Facebook group on January 20th, 2021. Watch

Is the blanket license royalty rate determined after the majors have negotiated their license with the DSPs?

Does registration with the MLC supersede registrations with HFA and MRI?

If a song was previously licensed under the voluntary license, does it now have a secondary revenue to coming from the blanket license, or do you have to choose one path over the other?

Will the MLC establish reciprocal mechanical collections with foreign mechanical CMOs such as MCPS and AMCOS?

Watch me answer these questions and many more from artist managers in my “Ask Me Anything About The Mechanical Licensing Collective”

Watch: https://youtu.be/Kz43LyYXMUI

[Video] Songtrust Presents ‘Let’s Talk Music Publishing: The Mechanical Licensing Collective (The MLC)’ With Dae Bogan

Watch the recording of Songtrust’s webinar.

Description: With the beginning of the new year, as the initiation of The Mechanical Licensing Collective (The MLC) begins, songwriters have a lot of questions about how this will affect them in 2021 and beyond. Join the Songtrust team, along with special guest Dae Bogan, Head of Third Party Partnerships at The MLC, to discuss everything you need to know about The MLC and their relationship to Songtrust.

Dae Bogan Joins The Mechanical Licensing Collective

See article in Music Row

I am thrilled to announce that I have joined The Mechanical Licensing Collective as the Head of Third-Party Partnerships.

Over the last 15 years, I have supported the independent music community as an indie artist/songwriter/producer/DJ manager, indie label owner, indie music publisher, music retailer, live music producer, educator, writer, advisor/consultant to digital media companies and rights-holders, and as a serial entrepreneur of music tech startups.

In 2018, after many years of music industry negotiations, Congress passed the Music Modernization Act (MMA) to update the way in which music creators are accounted to and paid in the United States. In 2019, the Register of Copyrights designated the Mechanical Licensing Collective (MLC) as the non-profit organization responsible for administering the blanket mechanical license—issuing licenses to digital music services such as Spotify, Apple, Amazon Music, Deezer, and Tidal—and paying out royalties to songwriters.

I’ve been involved in the MMA x MLC conversation for several years; from conducting research into the metadata issues impacting mechanical licensing in the United States in 2015 (which led to me founding TuneRegistry and RoyaltyClaim), to helping to promote a bill in 2016 that became Title 3 of the MMA, to partnering with HFA to open up more access to self-published songwriters in 2017 and streamlining that process in 2018, to speaking at the MMA Symposium in D.C. in 2019 on how the MLC can reach and serve self-published songwriters.

Now, I will serve the independent music community as Head of Third-Party Partnerships at The Mechanical Licensing Collective (The MLC) where I will lead the organization’s strategy for engaging third-party entities to support initiatives in rights administration, data management, operations, and education.

I look forward to continuing my mission to support songwriters while effecting and empowering innovation within the music industry.

♥️ Dae Bogan Music

Music Licensing Collective: Call for Nominations

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NOMINATION PERIOD NOW OPEN FOR SONGWRITER-MEMBER SEATS OF MUSIC LICENSING COLLECTIVE BOARD/COMMITTEES
 
Nashville, Tenn. (November 5, 2018) — Nominations are now open for songwriter members of the Board of Directors, Unclaimed Funds Committee and Dispute Resolution Committee of the Music Licensing Collective (MLC) to be submitted to the US Copyright Office for approval as established by the recently passed Music Modernization Act. Prospective nominees can be submitted at http://www.mlcsongwriters.com through 11:59pm CST, December 5, 2018.
 
Per the statutory requirements of the Music Modernization Act, a new digital music mechanical licensing entity is being formed called the Music Licensing Collective (MLC). By statute, there will be songwriter representatives on the Board of Directors of the Music Licensing Collective (MLC) as well as the Unclaimed Funds Committee and Dispute Resolution Committee. Four (4) self-published songwriters will be selected for the Board of Directors; these positions require that an individual be a professional songwriter who currently controls his/her own publishing. Additionally, five (5) professional songwriters will be selected for the Unclaimed Funds Committee and three (3) professional songwriters will be selected for the Dispute Resolution Committee. (The only requirement for these positions is that a songwriter be eligible to collect royalties in the US.)
 
American Society of Composers, Authors and Publishers (ASCAP), Broadcast Music Inc. (BMI), Nashville Songwriters Association International (NSAI), Songwriter’s Guild of America (SGA) and Songwriters of North America (SONA) have each named two songwriters to a ten-person selection committee to review nominations, evaluate candidates through a multi-step process and ultimately select songwriters for service to the original Board and Committees of the Music Licensing Collective (MLC) that will then be submitted to the US Copyright Office. The selection committee members are Steve Bogard (NSAI), Rick Carnes (SGA), Lynn Gillespie Chater (SGA), Dallas Davidson (BMI), Chris DeStefano (NSAI), Bob DiPiero (BMI), Dan Foliart (ASCAP), Adam Gorgoni (SONA), Michelle Lewis (SONA) and Paul Williams (ASCAP).
 
 
DIRECT INQUIRIES TO:
Jennifer Turnbow
615-256-3364
jennifer@nashvillesongwriters.com

A Curated List Of My Thoughts On The Music Modernization Act (And Related Topics)

music-modernization-act

I am a very vocal music creators’ rights advocate and copyright purist. Often, I have the opportunity to share my *opinions* on topics within and circling the music industry that impact the ways in which music creators — especially DIY musicians — navigate and thrive in the United States.

Over the last ten months I have been especially vocal about the Music Modernization Act. I’ve been quoted in Billboard, Rolling Stone, Pitchfork and Digital Media News. I’ve been invited to panel discussions at music industry conferences and keynotes at universities. And I have written several think pieces (and rants) on the bill, which is now law, and related issues.

Still, I am asked what my thoughts are on the MMA.

I’ll summarize my thoughts by saying that I believe the intent of the MMA is good and admirable on its surface — that is, to improve the way rightsholders are accounted to and paid for the use of their music. I believe there is some good stuff in the MMA; particularly, the entirety of Title 2 (The CLASSICS Act) and Title 3 (The AMP Act). However, I feel that there is still work to be done. I also feel that some compromises, at the expense of DIY music creators, were made too easily (this is partially based on private discussions that I’ve had with individuals with privileged knowledge of the negotiations and dealings that took place during the drafting and subsequent amending of the MMA). That being said, I also believe that the soon to be formed Mechanical Licensing Collective has the opportunity to prove to songwriters that this law was truly about them.

Only time will tell.

Here’s a 2018 curated list of my “thoughts” on the Music Modernization Act (and related topics):

  • (Oct 16, 2018) Here Are 10 Ways That The Music Licensing Collective (MLC) Can Set The Bar As A Collective Licensing Organization In The 21st Century – https://bit.ly/2RW9kW2
  • (Sep 14th, 2018 in Pitchfork) Why So Many Hip-Hop Producers Are Putting Business Before Beats – https://bit.ly/2PEsi1x
  • (Aug 19th, 2018) Another Music Modernization Act Opinion Piece – https://bit.ly/2NLp9LC
  • (Aug 15th, 2018 in Rolling Stone) Why More Pop Songwriters Are Stepping Into the Spotlight – https://bit.ly/2ClAuAc
  • (Jul 24th, 2018) Songwriters Are Owed Nearly $2B In Unclaimed Royalties!!! — Maybe More — I’ve Been Saying This For Some Time Now (Against Pushback), But Finally The Press Has Confirmed It – https://bit.ly/2CMR6Sp
  • (May 15th, 2018 in Billboard) Black Box Royalties Myths, Common Misconceptions Debunked at Music Biz 2018 – https://bit.ly/2q4dhLD
  • (May 7th, 2018 in Digital Music News) Is the Music Modernization Act Enabling ‘Legal Theft’ Against Smaller Artists? – https://bit.ly/2IugrCS
  • (Apr 25th, 2018) 5 Ways The Music Modernization Act Could Be Fairer To ALL Music Creators – https://bit.ly/2Jzn1tb
  • (Apr 20th, 2018) I Was Interviewed By The Congressional Budget Office Regarding The Music Modernization Act, And Now I’m Even More Concerned For DIY Musicians – https://bit.ly/2AdwpN0
  • (Jan 17th, 2018) – My Thoughts On The MMA In Light Of The CRB Mechanical License Rate Decision – https://bit.ly/2P6bT98

Where do you stand on the MMA?

Here Are 10 Ways That The Music Licensing Collective (MLC) Can Set The Bar As A Collective Licensing Organization In The 21st Century

music licensing collective dae bogan

If you work in the music industry and own a radio, TV, smartphone, or computer then you’ve probably already heard that the The Orrin G. Hatch–Bob Goodlatte Music Modernization Act (MMA) has been signed into law. At this point, every major music rights organization has published their praise of the legislation, which will create a blanket streaming mechanical license for Spotify, Apple, Amazon, Google, Tidal, and other on-demand music streaming companies; bring pre-1972 sound recordings under federal copyright protection and open up a flow of royalties from digital services to the artists (or their estates) and copyright owners of those recordings; and codify an allocation of digital radio royalties to music producers.

Title 1 of the MMA, also called Music Modernization Act, sets out  provisions and guidance for the formation of a collective mechanical licensing body to be called the Mechanical Licensing Collective (MLC). The MLC will administer a safe harbor blanket license for the streaming of musical works, collect licensee fees from licensees, prepare and remit statements of earnings to songwriters and music publishers, and make royalty payments to the same.

The MLC will join the ranks of SoundExchange, ASCAP, BMI, and SESAC in the sense that it will become a powerful representative of the collective rights of thousands of music creators and rights-holders in the United States. However, unlike its counterparts, the MLC will be born in the 21st century. And as a 21st century collective licensing organization, the MLC has the unique opportunity to implement, at inception, 21st century business practices utilizing 21st century best practices and technologies.

Here are 10 ways that the Mechanical Licensing Collective can set the bar as a 21st century collective licensing organization:
 
1.) Provide its members with a data BI (business intelligence) dashboard to better visualize their mechanical royalties data and dive deeper into their statements. The dashboard could enable forecasting based on projected streaming activity (maybe offer scenario planning, which makes it possible to attract loans against future royalties). They could ingest data from a service like BuzzAngle to offer estimated royalty accrual in real-time so that members who are artists can see the net effect of playlist streaming campaigns on their bottom line and choose to invest more into campaigns in virtual real-time.
 
2.) Maintain a public and accessible unclaimed royalties database. Deploy artificial intelligence to evaluate unmatched usage reports as opposed to relying solely on exact name and ISWC matches. And expand the statute of limitations on unclaimed royalties to 10 years
 
3.) Require DSPs who take advantage of the safe harbor streaming mechanical license to recommend (and provide guidance) to aggregators and labels to provide composition ownership information in their metadata when uploading releases to the DSP. This can be done with custom parameters in DDEX ERN or via the new DDEX MWN (Musical Works Ownership) message schema.
 
4.) Work with the U.S. Copyright Office to create an integrated musical works registrations process so that works are simultaneously registered with the MLC and LOC.
 
5.) Expand the statute of limitation period on unclaimed royalties to 10 years and hold funds in an interest-bearing escrow account from which 25% of the interest flows to the general fund of the MLC and 75% of the interest is paid to the payee, along with the balance of unpaid royalties, once the payee has come forward or have been found.
 
6.) Commission an annual audit and publish the findings to members.
 
7.) Use blockchain, where applicable.
 
8.) Remit statements and payments monthly when a member opts to receive direct deposits and electronic statements.
 
9.) Display assessed administration fees on royalty statements.
 
10.) Do not implement high usage weights or bonuses.

Another Music Modernization Act Opinion Piece

Some music industry executives believe that my position on many issues affecting music creators is too bullish. They dismiss my analyses as sensationalism. They believe, or are at least silent on the notion, that demanding the fair and equitable treatment of middle-class songwriters and recording artists should come with exceptions that disproportionately benefit corporations: major publishers and digital service providers.

But I am a copyright purist.

I believe that the authors of copyrighted musical works — songwriters — should have more say in the way in which their creations are valued and monetized in the marketplace. I do not believe in trickle-down economics or its promise that what’s best for the few at the top will benefit the majority at the bottom.

Greed disproves this all of the time.

Greed is asking songwriters to forgo the potential financial upside of bringing forward legitimate claims of past copyright infringement while simultaneously telling the songwriter community that monies that may become due to them could be redirected, by market share, to the few at the top who negotiated the preemptive dismissal of claims in the first place. Greed is telling artists to campaign for a piece of legislation that will reduce the number of entrants into the on-demand streaming market while simultaneously controlling/dominating the editorial opportunities of the DSP incumbents, greatly reducing opportunities that would otherwise be made available to emerging artists by startups that wish to partner with and elevate emerging artists.

I do believe that the Music Modernization Act will pass. I just hope that the decision-makers give some real thought to the millions of up-and-coming music creators who are not represented by the individuals who wrote the legislation that’ll change the way their copyrights will be exploited in the U.S.

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