WASHINGTON, DC — The payola agreement reached today by the FCC and big broadcast chains represents a major — but tentative — step toward once again opening the nation’s airwaves to local music and voices.

Payola and radio consolidation have turned commercial radio into a bland, homogenized format that largely ignores independent musicians and whole genres of music such as jazz and bluegrass. This agreement signals a possible new direction for commercial radio and more options for radio listeners.

In addition to the enhanced enforcement provisions against payola, the Future of Music Coalition is encouraged that the broadcast industry has voluntarily accepted the "Rules of Engagement" — basic guidelines that will ensure more local music and a diversity of voices are broadcast, and spells out how commercial stations and independent labels will work together in the future.

The FMC has worked for seven years to document the practice of payola and put safeguards in place against it.

"Unfortunately, payola has become as common a feature of commercial radio as shock jocks and 18-song sets. It is an encouraging that the FCC and broadcasters are working together to root out a problem that keeps deserving, independent bands off the public airwaves," said Jenny Toomey, executive director of the FMC.

Future of Music Policy Director Michael Bracy said: "These are remarkable times for those music fans who have the resources to subscribe to satellite services, listen to web-delivered radio stations or are fortunate to have an effective local broadcast station. Most of commercial radio, however, has been living under the shadow of consolidation and the payola-like practices that have essentially blocked independent music from the public airwaves. Today’s announcement provides a glimmer of hope that music released by independent record labels — over 80% of the music released in this country — can have a legitimate shot of commercial airplay."

While the agreement represents an important step, it is hardly the end of the fight against payola. Payola is still a major issue and the FCC needs to remain vigilant about rooting it out.

FMC applauds the ongoing leadership of FCC Commissioner Jonathan Adelstein, US Senator Russ Feingold and NY Governor Eliot Spitzer that brought about this resolution. In particular, we also want to recognize the work of the American Association for Independent Music (A2IM), especially Don Rose and Peter Gordon. Over the past months, they have worked doggedly to educate the FCC about the challenges facing the independent music community and participated actively in crafting today’s announced agreement.

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About the Future of Music Coalition
Future of Music Coalition is a national non-profit education, research and advocacy organization that identifies, examines, interprets and translates the challenging issues at the intersection of music, law, technology and policy. FMC achieves this through continuous interaction with its primary constituency — musicians — and in collaboration with other creator/citizen groups.