Last week Feingold told an audience at the Future of Music Coalition policy summit in Washington D.C. that he plans to go forward with legislation he introduced last year that calls for an investigation into anti-competitive behavior by radio station owners and concert promoters, with the largest player in the field being Clear Channel Communications. 

Feingold is expected to move forward with his legislation during the new Congress. There is speculation that he will get bi-patrician support from Arizona Senator John McCain as a co-sponsor of the bill.  McCain’s support would go along way with moving the legislation forward as he chairs the Senate Commerce Committee. If things go as planned we can expect hearings on this matter sometime during this Congress. 

Many industry insiders blame another Democrat, former President Clinton with aiding the creation of the Clear Channel monster when he signed the 1996 Telecommunications Act, which weakened restriction on concentrated ownership of radio stations in the U.S. 

Feingold addressed the Act during his remarks and the unfortunate consequences of its passage. “When the 1996 Telecommunications Act became law there were approximately 5,100 owners of radio stations. Today, there are only about 3,800 owners, a reduction of about 25%. Many of the same corporations that own multiple radio stations in a given market also wield their power through their ownership of a number of businesses related to the music industry. 

“For example, the Clear Channel Corporation owns over 1200 radio companies, more than 700,000 billboards, various promotion companies, and venues across the United States.  Also, just three years ago, in 1999, Clear Channel bought SFX productions, the nation's largest promotion company.”

Below are excerpts from Feingold’s remarks at the summit where he further described his legistlation and his plans to move forward on this issue: 

…over the last year, I have learned what most of you know firsthand, that concentration of ownership in the radio and concert industry has made it difficult for individuals, artists, and organizations to find outlets to express their creativity and promote diversity.

Because of these concerns, last year I introduced legislation, the Competition in the Radio and Concert Industries Act, which would reduce the levels of concentration and curb some of these anti-competitive practices. 

My legislation prohibits those who own radio stations and concert promotion services or venues from leveraging their cross-ownership to hinder competition in the industry. For example, if an owner of a radio station and a promotion service hinders access to the airwaves of a rival promoter or artist, then the owner would be subject to penalties. 

My legislation will also helpto curb the concentration that leads to these anticompetitive practices. 

It would strengthen the FCC merger review process by requiring the FCC to scrutinize the mergers of any radio station ownership group that reaches more than 60% of the nation. 

My legislation will also curb consolidation on the local level by preventing any upward revision of the limitation on multiple ownership of radio stations in local markets. The bill would also prohibit the current shakedown system, where the big radio corporations leverage their market power to require payments from artists in exchange for playing their songs. And it will also close a loophole that allows large radio ownership companies to exceed the cap by 'warehousing stations' through a third party. In these cases, they control the station through a third party, but the stations are not counted against their local ownership cap. 

Songs and ideas should not be broadcast on the radio based on how much money has changed hands. Airplay should be based on good songs and good ideas – what the local audience wants to hear. 

My legislation will slow the levels of concentration and address a number of concerns that I have heard from artists and others, although it does not address all the barriers we face. 

Passing this legislation will not be easy. Last year, my legislation had two cosponsors, Senator Durbin of Illinois and Senator Miller of Georgia. But we have heard from more than a dozen other Senators who are interested in signing on. 

I will be re-introducing my legislation in the coming weeks and my hope is that we will have Congressional hearings early this year. We need your help. 
Some say that we need more Washington lobbyists to pass this bill. But I don't think so. 

We don't need more Washington lobbyists to advocate for my legislation. To pass this bill, people like you, who want to restore localism and diversity to our airwaves, must speak out for change. We must speak out to give our airwaves back to the public, and the only way that we can do that is if we work together to help channel the public's voice in Washington. 

So, let's work together to restore competition to the radio and concert industry by putting independent radio stations, local concert promoters, and artists on a level playing field. 

People should have choices, listeners should have a diversity of options, and Americans should be able to hear new and different voices. Radio allows us to connect to our communities, to our culture, and to our democracy. It is one of the most vibrant mediums we have for the exchange of ideas, and for artistic expression. We must fight to preserve it, and together I believe we can do just that. 

Radio is a public medium, and we must ensure that it serves the public good. That's a democratic vision of American radio well worth fighting for. 

You can read the full text of Senator Feingold’s remarks by clicking here. 

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