Internet Radio Equality Act

Internet Radio Equality Act - Declares to be ineffective: (1) the March 2, 2007, Determination of Rates and Terms of the U.S. Copyright Royalty Judges regarding rates and terms for the digital performance of sound recordings and ephemeral recordings; (2) the April 17, 2007, modification of that determination by an order denying motions for rehearing; and (3) any subsequent modification by the Copyright Royalty Judges published in the Federal Register.

Replaces standards for determining reasonable rates and terms of royalty payments for public performances of sound recordings by means of eligible nonsubscription transmission services and new subscription services with a requirement that such rates and terms be established in accordance with stated objectives of the Copyright Royalty Judges. (Currently, rates and terms are required to distinguish among different types of eligible nonsubscription transmission services and include a minimum fee for each type.) Allows a minimum annual royalty for each provider subject to such rates and terms. Provides a transition rule for payment of royalties by providers of digital audio transmissions that would have been subject to the rates and terms nullified by this Act.

Revises royalty payment provisions concerning the use of certain works in noncommercial broadcasting to include: (1) sound recordings; and (2) performance or display by nonprofit organizations and public broadcasting entities. Provides a transition rule for the payment by a public broadcasting entity to owners of copyrights in sound recordings.

Requires a report to the Copyright Royalty Judges by the Assistant Secretary of Commerce for Communications and Information on the competitiveness of the Internet radio marketplace and the effect on Internet radio providers of proposed rate determinations in proceedings concerning: (1) public performances of sound recordings by means of the services described above; or (2) the use of certain works in noncommercial broadcasting.

Requires the Federal Communications Commission (FCC), upon publication of the commencement of proceedings of the Copyright Royalty Judges to determine rates and terms under the statutory license described in this Act, to report on the effect of such proposals on localism, diversity, and competition in the Internet radio marketplace (including in rural areas). Requires a report to Congress and the Copyright Royalty Judges by the Corporation for Public Broadcasting (CPB) on the effect of such proposals upon public broadcasting licensees and permittees.

Written by the nonpartisan Congressional Research Service. All summary versions on Congress.gov