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Recording Academy And Music Community Coalitions Continue Advocacy For COVID-19 Relief

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In the face of a devastating pandemic, the Academy and its members unite with #SaveOurStages, CARES For Music and #SaveLiveEventsNow to fight for much-needed relief
Advocacy
Oct 15, 2020 - 2:23 pm

As we've rounded the seven-month mark of the coronavirus pandemic and its decimating effect on the live music industry, the Recording Academy continues to push even harder to make sure the needs of the music community are heard and met by lawmakers in Washington. The next round of stimulus will be critical for music professionals of all kinds, and the Academy has remained at the forefront of uniting the causes that affect its members the most, speaking up loud and clear on their behalf. This has required tireless yet invaluable work.

Because no one can do it alone, the Academy is proud to take part in three key music community coalitions every supporter and advocate should know about – let's take a closer look at each one…

#SaveOurStages

Independent venues have been some of the hardest hit small businesses in any industry due to the pandemic. That's why they banded together to start the #SaveOurStages movement, which amplifies the music industry’s call for the passage of the Save our Stages Act and the RESTART Act. With support from a group of artists, the movement has been endorsed by many organizations in the music community, including the National Independent Venue Association (NIVA), Academy of Contemporary Music (ACM), Broadcast Music, Inc. (BMI), National Independent Talent Organization (NITO), Recording Industry Association of America (RIAA) and others.

With the apt abbreviation of SOS, #SaveOurStages has gained a lot of momentum and is holding its Save Our Stages Festival and fundraiser this weekend, Oct. 16-18, featuring a stacked lineup of artists in support of the cause.

CARES For Music

Music communities across the U.S. need help right now. Thankfully CARES For Music provides a toolkit that empowers local advocates to lobby state and local government to invest in their struggling local music economies using funding that is already available through the CARES Act.

Founded by Sound Diplomacy and gener8tor, the campaign also has support from the Music Business Association (MBA), NIVA, and NITO. The toolkit can be downloaded from the organization's website.

#SaveLiveEventsNow

Right now, twelve million live event workers are struggling, and their livelihoods rely on support from Congress. The #SaveLiveEventsNow initiative asks Congress to provide direct financial aid for these workers through continued and improved unemployment benefits, employer retention tax credits, and other forms of assistance.

Supporters include the International Alliance of Theatrical Stage Employees (IATSE), Live Nation, SAG-AFTRA, and Music Artists Coalition (MAC), among others. The #SaveLiveEventsNow website offers simple and effective ways to add your voice to the chorus by making sure your representatives know how crucial their support is

With a looming election and stimulus talks at the forefront of the national conversation, now is the time to come together to support these causes and multiply our efforts to make a real difference. Through these coalitions and ardent advocacy, the Recording Academy will continue to fight for the livelihoods of the people who make the music we love possible.

Take Action Now: Urge Congress To Match Much-Needed Relief

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House Passes New Stimulus Package Benefitting Music Creators, Venues & Businesses

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The updated HEROES Act promises to restore unemployment benefits, support the arts, help music venues survive, and more – find out what it means for the music community
Nate Hertweck
Advocacy
Oct 2, 2020 - 10:25 am

Encouraging news for creators arrived this week from Washington, as the House of Representatives voted late Thursday on an updated version of the HEROES Act. The new $2.2 trillion, creator-friendly relief bill includes numerous provisions that would provide critical assistance to the music community.

The HEROES Act serves as an important step in the bipartisan negotiations between the Democrats and Republicans. All week long, Speaker Pelosi and Treasury Secretary Steve Mnuchin engaged in a series of negotiations, and they remain committed to reaching a deal that can be signed into law.

“The Recording Academy is gratified that this legislation includes support for music creators and thanks Speaker Pelosi and the legislators involved," said Recording Academy Chair & Interim President/CEO Harvey Mason jr. "As an organization that is the voice of music professionals who are deeply impacted by the current economy, we hope that all parties will work together to forge a compromise that will be signed into law as quickly as possible.”

While negotiations continue, let's take a look at what the new HEROES Act means for music makers, venues, professionals, businesses and more.

Unemployment Benefits

The new act would restore the enhanced $600 weekly unemployment payment for all out-of-work workers, which would be secured through next January. The updated HEROES Act has also improved unemployment payments for self-employed individuals with “mixed-earner” income—a combination of both 1099 and W2 incomes – who received diminished payments due to an unintended problem with the CARES Act. To rectify this issue, the new bill includes a $125 additional payment for qualified “mixed earner” workers. This element of the bill is an essential component for music professionals who remain out of work, including those with gigs cancelled into 2021.

Performance Venue Support

Few businesses have been hit as hard as music venues during the pandemic. The updated HEROES Act would provide $10 billion for closed venues and stages through inclusion of the Save our Stages Act, which is a Small Business Administration grant program that would provide six months of support for independent live music venues. This funding is critical for venues to be able to pay the capital expenses associated with social distancing, COVID-incurred costs and regular operation.

Support for the Arts

The bill includes $135 million for the National Endowment for the Arts (NEA) to support emergency grants to the greater arts community. An independent federal agency, the NEA helps support participation in the arts nationwide, celebrating America’s rich and diverse cultural heritage and bringing arts access and education to generations of urban and rural communities. With new challenges facing the arts, this additional funding reflects the Recording Academy's call for – and Congress' commitment to – inspiring and supporting future creators. 

Small Business Loans

As the pandemic continues into another new month, many small businesses continue to struggle for survival. Thankfully, similar to many of the provisions of the RESTART Act, the new bill includes more flexible loan programs to better serve the hardest hit small businesses. It also provides dedicated business loans and protections for minority-owned small businesses, sole proprietorships, and self-employed entities.

At a time when the music community remains in desperate need of support, the updated HEROES Act is responsive to the needs of the music ecosystem and an important step towards making our community whole, but more work needs to be done to get a bipartisan package through Congress and signed into law. And while this $2.2 trillion stimulus bill faces an uncertain future, its passage indicates Congressional leadership has heard the voices of Academy members and music advocates.

Take Action Now: Urge Congress To Match Much-Needed Relief

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Music Buildings Across The Country To Light Up Red For #RedAlertRESTART

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On Sept. 1, as many as 1,500 venues, studios and music businesses across the country will be lit in red in solidarity to urge Congress to pass the critical RESTART Act as quickly as possible
Advocacy
Sep 1, 2020 - 9:38 am

Struggling live entertainment venues, recording studios and other music businesses are banding together today as part of the #RedAlertRESTART movement. Alongside others in the live event and entertainment industry, the Recording Academy is participating in a nationwide grassroots movement to urge Congress to save our workers and businesses. Starting at 9 p.m. ET, as many as 1,500 venues, stages, and other buildings across the U.S. will be lit in red, with supporting messages delivered to Congress and shared on social media.  

The symbolic solidarity of showing the cornerstones of our community on red alert will send a strong message to Congress to pass critical legislation, like the RESTART Act, as soon as possible and provide self-employed workers and small business the support they desperately need to survive the pandemic.

The Red Alert grassroots effort comes on the heels of last month's District Advocate day, when 2,000 Academy members joined forces to meet with lawmakers across the country to urge them to pass much-needed assistance programs to help the music workforce and ecosystem survive. It worked, as more and more lawmakers have stepped forward to support our industry, but Washington remains at an impasse. Music makers must keep raising their voices.

Fortunately, there is still time to get involved. As congressional leaders continue to negotiate a potential multi-trillion-dollar relief package, drawing their attention to the venues, studios and businesses at the heart of the music community will continue to raise awareness of the plight of music makers and music businesses.

Here are three easy steps for how to take action on Sept. 1: 

  1. Light Up Your Venue – Create A Red Alert: Join the movement and show solidarity. We encourage you to turn your studio, your venue, or your music business red.
  2. Share on Social Media: The music community needs support starting with the passage of the RESTART Act. Spread the word using #RedAlertRESTART, #WeMakeEvents, and #DistrictAdvocate.
  3. Contact Congress: Let your voice be heard where it matters most. Contact your member of Congress here.

Now is the time to get involved, sound the red alert and contact Congress to act in support of music makers and businesses who are struggling to survive. Together, the music community can show express its dire need for support during dire times.

Take Action Today: Learn About The Key Issues Facing Creators And How You Can Help

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Rep. Judy Chu (D-Calif.)

Photo by Paul Morigi/WireImage

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Congress Works To Improve COVID-19 Relief For Creators

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A look at the limits of the current relief packages and how new changes could benefit creatives
Nate Hertweck
Advocacy
Jun 17, 2020 - 3:52 pm

Lawmakers continue their work to refine their legislative relief efforts amidst the coronavirus pandemic. Thankfully, the Recording Academy and greater music community have also continued their advocacy efforts to ensure creators are considered and supported by these legislative updates to the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Let's take a closer look at how Congress is doing this and what it means for music makers…

Paycheck Protection Program Gets Remixed

On June 5, President Trump signed the Paycheck Protection Program Flexibility Act (PPPFA) of 2020 (H.R. 7010) into law. The act had overwhelming bipartisan and bicameral support, passing the House by a landslide 417-1 vote and the Senate by unanimous consent.

The passage of this update is a welcomed sign for music creators, many of whom were struggling to understand the complex and ever-changing program and to use the paycheck protection loan to its maximum benefit. The technical fix alters the rules governing loan forgiveness by extending the spending requirement from eight to 24 weeks, lowering the percentage of the loan required to be spent on payroll from 75 percent to 60 percent, and pushing back the June 30 deadline to rehire laid-off workers.

Self-Employed Creators = Small Businesses

The CARES Act originally included self-employed creators in the benefits offered by the Small Business Administration (SBA). The Academy has been aggressively working on Capitol Hill to ensure that these new SBA programs remained funded and provided relief for self-employed workers, keeping creators in the mix.

Prior to the passage of the technical fix, Congress had already appropriated supplemental funding to ensure the program could meet the needs of as many small businesses as possible, including self-employed creators. And, to hold the SBA more accountable, the House Small Business Committee has been holding hearings on the PPP loans and the Economic Injury Disaster Loans (EIDL) special grant program.

Reps. Judy Chu (D-Calif.) and Jimmy Gomez (D-Calif.) both expressed the importance of getting these SBA programs to work for the creative workforce and self-employed artists, including the of the Economic Injury Disaster Loans (EIDL).

"SBA's administration of EIDL has been unacceptable at a time when small businesses need this relief more than ever," said Rep. Chu. "Self-employed and independent contractors constitute a significant part of Southern California's economy and they have been adversely impacted by the SBA's cap on EIDL emergency grants of $1,000 per employee. This cap is just not reflective of Congressional intent."

Rep. Gomez addressed the challenges creative professionals face in his district in securing relief.

"[Southern California] is home to many talented artists and creatives who allow our film, television and theatre industries to thrive," he said. "Like other freelancers and self-employed individuals, they're still waiting to apply for the pandemic unemployment insurance, and if they did apply for a paycheck protection loan, they were last in line." 

"It must be improved by addressing the unique needs of the self-employed, like many of those working in the creative industries," Rep. Chu explained. "SBA's regulations limiting EIDL emergency grants to $1,000 per employee and requiring that 75 percent of loan forgiveness applies to payroll costs do not account for self-employed workers who may spend as much as more on expenses like health insurance or rent as they do on their salaries.”

These concerns are not limited to California's creative community. Similar concerns about PPP and EIDL have been brought up by lawmakers in other hearings with Senior Administration officials since May, including Sen. Sinema (D-Ariz.) who asked Treasury Sec. Mnuchin why the EIDL was shifted internally to only $1,000 per employee without Congressional approval. On June 10, Sen. Romney (R-Utah) asked Sec. Mnuchin at a separate hearing on the needs for additional stimulus funding, while Sen. Collins (R-Maine) brought up extending PPP for industries that are continuing to struggle.

Unemployment Solutions

For many music makers, earning a living in their craft requires career creativity in addition to artistic creativity. Many work several jobs and play several roles in the music economy. Thankfully, Rep. Chu and Rep. Adam Schiff (D-Calif.), along with more than 20 members of the House, sent a letter to House leadership asking for additional protections for independent workers with multiple types of income in future coronavirus legislation.

During last week’s Senate Finance Committee hearing, Labor Sec. Scalia echoed some of Reps. Chu and Schiff’s argument on behalf of multiple income workers. When asked by Sen. Warner (D-Va.) to confirm that underemployed freelancers are covered by the Pandemic Unemployment Assistance (PUA) program, Sec. Scalia applauded the inclusion of freelancer and gig worker protections in the CARES Act and stated that he does believe that the Department of Labor addressed problems freelancers were facing when initially applying for PUA benefits.

Sen. Cortez Masto (D-NV) also raised the issue of sustained high unemployment rate in the hospitality and entertainment industry, asking the Secretary about the department's plans for future financial assistance for gig workers. These protections are crucial, because as Recording Academy Chairman and Interim CEO Harvey Mason jr appropriately stated, "music is the original 'gig economy.'"

Obviously, there is still a long road ahead for the music industry and other creative industries to rebound from the economic devastation caused by COVID-19, but by staying active in advocacy, the Recording Academy is ensuring creatives are considered. You can add your voice to the chorus by contacting your lawmakers and ask for their support of creators during these trying times.

Take Action To Help Music Creators In Need Of COVID-19 Relief

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Harvey Mason jr.

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Recording Academy's Harvey Mason jr. Testifies On AM-FM Act & Stimulus

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The music industry membership organization's Chair & Interim CEO took the (virtual) stand today on behalf of music makers
Nate Hertweck
Advocacy
May 27, 2020 - 3:54 pm

With so many people and professions affected by the coronavirus crisis, now is the time for music industry leaders to speak up and advocate for their community. With this in mind, Recording Academy Chair & Interim CEO Harvey Mason jr. testified today in front of the Senate Judiciary Intellectual Property Subcommittee on the scope of music rights in sound recordings, the dire need for the United States to catch up with other free countries by passing the Ask Musicians for Music (AM-FM) Act, and the importance of supporting music creators in the next phase of COVID-19 relief stimulus.

"Any future relief package should get people back to work, not give industries unfair advantages," said Mason jr. "Unfortunately, musicians will not be able to get back to live performances soon, so the next stimulus should ensure they get paid fairly for their music that has been a lifeline for our fellow citizens. As the Section 512 study showed last week, there are many ways Congress can do more to help the music community, such as including the AM-FM Act in the next COVID-19 bill."

The AM-FM Act, a bipartisan and bicameral bill introduced by Sen. Marsha Blackburn (R-Tenn.) and House Judiciary Chairman Jerry Nadler (D-N.Y.), would establish a performance right for sound recordings broadcast by terrestrial radio, ending a decades-long loophole that has enabled AM/FM radio broadcasters to use the music of hard-working performers and producers without obtaining any form of permission or paying any compensation. Under the AM-FM Act, artists, producers, and copyright owners would be able to negotiate fair market rates with broadcasters in exchange for permission for it to be aired.

“Radio is the only business in America that can use someone else’s intellectual property without permission or compensation. Fixing this copyright anomaly should be a priority of the Senate Judiciary Committee," Mason jr. said.

This blind spot in American policy also underscores the glaring discrepancy between the U.S. and other countries around the world, including the U.K. and Canada, who pay performance rights royalties to the musicians and artists' whose music is played on terrestrial radio.

"The United States of America: the one country in the world that should be a leader in free market transactions, a leader in protecting intellectual property, and a leader in assuring fair pay for one’s work. Yet sadly, we are the one country that does not recognize a performance right for sound recordings," said Mason jr.

With millions of music makers living in uncertainty,  Congress holds a valuable opportunity in its hands to ensure they receive fair support alongside other small business and finally institute the long-overdue performance rights for sound recordings that would pay creators what they deserve for their work.

Ironically, the National Association of Broadcasters (NAB) has continued to fight against the AM-FM Act and performance rights for sound recordings even though the broadcasters themselves enjoy the very same rights to permission and compensation they are denying creators. Mason jr. explained:

"Just two weeks ago the NAB CEO, Gordon Smith, told his members: 'We don’t know how long this pandemic will last, or what the lasting effects of it might be on our economy. But there is one thing I do know… broadcasters endure.' I wish I could tell our members the same thing. In this crisis, many workers are sadly not getting paid because their work is not needed at this time. But on radio, musicians are not getting paid while their work is needed more than ever. The current crisis has shone a bright spotlight on this injustice. And the time to fix it is now."

During the hearing, Mason jr. discussed how local radio provides entertainment for the general public, which is primarily due to the efforts of music creators. For non-music content serving as “entertainment” on terrestrial radio, Mason jr. reminded the panel that stations pay those entities a fee to broadcast that content on their airwaves, specifically sporting events. Mason jr. stated that he is open to having future discussions with the NAB about these issues and requested Congressional involvement in those negotiations.  

The AM-FM Act is finally getting its due consideration by the Senate Judiciary Committee and would be a critical victory for artists’ rights. You can help to advance the bill by contacting your lawmakers and ask for their support.

Take Action To Help Music Creators In Need Of COVID-19 Relief