Special protection for small broadcasters

(a) Specified royalty fees Section 114(f)(1) of title 17, United States Code, is amended by inserting at the end the following new subparagraph: (D) (i) Notwithstanding the provisions of subparagraphs (A) through (C), the royalty rate shall be as follows for nonsubscription broadcast transmissions by each individual terrestrial broadcast station licensed as such by the Federal Communications Commission that satisfies the conditions in clause (ii)— (I) $10 per calendar year, in the case of nonsubscription broadcast transmissions by a broadcast station that generated revenue in the immediately preceding calendar year of less than $100,000; (II) $100 per calendar year, in the case of nonsubscription broadcast transmissions by a broadcast station that is a public broadcasting entity as defined in section 118(f) and generated revenue in the immediately preceding calendar year of $100,000 or more, but less than $1,500,000; and (III) $500 per calendar year, in the case of nonsubscription broadcast transmissions by a broadcast station that is not a public broadcasting entity as defined in section 118(f) and generated revenue in the immediately preceding calendar year of $100,000 or more, but less than $1,500,000. (ii) An individual terrestrial broadcast station licensed as such by the Federal Communications Commission is eligible for a royalty rate set forth in clause (i) if— (I) the revenue from the operation of that individual station was less than $1,500,000 during the immediately preceding calendar year; (II) the aggregate revenue of the owner and operator of the broadcast station and any person directly or indirectly controlling, controlled by, or under common control with such owner or operator, from any source, was less than $10,000,000 during the immediately preceding calendar year; and (III) the owner or operator of the broadcast station provides to the nonprofit collective designated by the Copyright Royalty Judges to distribute receipts from the licensing of transmissions in accordance with subsection (f), by no later than January 31 of the relevant calendar year, a written and signed certification of the station’s eligibility under this clause and the applicable subclause of clause (i), in accordance with requirements the Copyright Royalty Judges shall prescribe by regulation. (iii) For purposes of clauses (i) and (ii)— (I) revenue shall be calculated in accordance with generally accepted accounting principles; (II) revenue generated by a terrestrial broadcast station shall include all revenue from the operation of the station, from any source; and (III) in the case of affiliated broadcast stations, revenue shall be allocated reasonably to individual stations associated with the revenue. (iv) The royalty rates specified in clause (i) shall not be admissible as evidence or otherwise taken into account in determining royalty rates in a proceeding under chapter 8, or in any other administrative, judicial, or other Federal Government proceeding involving the setting or adjustment of the royalties payable for the public performance or reproduction in ephemeral phonorecords or copies of sound recordings, the determination of terms or conditions related thereto, or the establishment of notice or recordkeeping requirements.. (b) Technical correction Section 118(f) of title 17, United States Code, is amended by striking section 397 of title 47 and inserting section 397 of the Communications Act of 1934 (47 U.S.C. 397).