NMPA Clarifies Royalty Rate Increase
The National Music Publishers’ Association (NMPA), the Nashville Songwriters Association International (NSAI) and the Recording Industry Association of America (RIAA) holds great promise for songwriters in the fight for fairer rates.
Every five years, the Copyright Royalty Board (CRB) sets rates for the next five year period. While the majority of this fight is between copyright owners and streaming services, since streaming makes up the bulk of today’s market, an important part of this proceeding is setting rates for physical product, CDs and vinyl, and downloads.
These ownership models have declined significantly over the years, but still encompass an important piece of the business.
In order to focus precious time and resources on the bigger streaming battle and avoid costly and risky litigation, it is advantageous for publishers, songwriters and labels to try to come to an agreement on their own, outside the proceeding, and due to the hard work and compelling voices of countless songwriters across the country, we have come to a settlement with an historic rate increase.
The agreement we have submitted to the court will give songwriters a 32% raise for what’s called “Subpart B” which comprises CDs, vinyl and downloads. The proposal would increase the royalty rate from 9.1 cents to 12 cents and include a yearly cost of living adjustment to address inflation. These increases would take effect for the years 2023-2027.
