A national debate over Internet radio is costing one local band listeners and may end up costing the Web site it broadcasts on big bucks.
On March 2 the The Library of Congress Copyright Royalty Board endorsed a proposal to enact royalty rates for webcasts and streaming music sites that play commercial music from labels such as Sony and BMI. Fees would be charged for performance of copyrighted music.
If adopted by the board, bands such as Weekend Warriors, the house band at Country Place Jamboree in Franklin County, would be forced to pay for live performances online or completely abandon the Webcast, said Greg Dawson, owner of WGED Net, the New York-based Internet station that broadcasts the band.
"A three- or four-hour show would average $3,000," said Greg Dawson, whose dad, Glenn, plays saxophone for Weekend Warriors.
The proposal, created by SoundExchange, a royalty-collecting division of the Recording Industry Association of America (RIAA) seeks to charge subscribers until the year 2010. In addition, the proposal says Internet radio providers would have to pay for listeners in 2006.
Rates would require radio Internet webcasters to pay for each song streamed by each user. Rates would gradually increase over the next three years, beginning with a retroactive 8-cent charge per listener per song in 2006 up to a 19-cent charge by 2010, WebProNews reports.
Greg Dawson said in 1998 Congress passed a Digital Act outlining a rate charge for 2006 and turning over control of Internet radio to the Copyright Board.
"The only commercial radio I do is with CPJ," Greg Dawson said.
Greg Dawson said he hasnt received formal contact from the Copyright Board or RIAA but his e-mail has been flooded with messages from listeners and other Internet radio owners inquiring about the effect the proposal would have.
"All of a sudden it was a big scare," Greg Dawson said.
Greg Dawson said when he heard about the proposal he immediately ceased broadcasting the Weekend Warriors live Saturday night show, which had been on the air since November.
The live performance drew 50,000 listeners two weeks ago; Greg Dawson said he saw an impact to his station right away once the show went off air.
"Twenty thousand people stopped listening," he said.
He said the Copyright Board can track his play lists to determine how many commercial songs he plays, and then charge him accordingly.
"Right now Im unemployed and they can take everything I have," he said.
Glenn Dawson said he fears his son will be charged for webcasts the group did before the March 2 proposal.
"We would have never done it if we had known," Glenn Dawson said.
Greg Dawson said there are still many gray areas with the proposal and he worries about the power passing the proposal would give the Copyright Board to control what is broadcast online.
"In my opinion this is an attempt to wipe out the independent broadcaster," Greg Dawson said. "One day theyre going to go after everybody. Wheres it going to stop?"
Greg Dawson said even major Internet radio providers such as AOL and Yahoo could face charges.
Last week the Copyright Board responded to complaints from radio broadcasters that rates were too high and agreed to re-examine the proposal.
"The reason theyre reconsidering it is theres been an outcry from people listening to it," Glenn Dawson said.
Greg Dawson said he is unsure when a final decision will be made on the proposal, but while hes waiting, he said hes left with few options.
"For stations like mine I kick back over to totally independent," he said.
Greg Dawson said he primarily broadcasts independent musicians playing their own original material; most are jazz and folk artists. He said he doesnt make any money from the broadcasts, but does have advertisers on his Web site.
The bands sound and light technician Brian Fry said hes heard of other artists in Kentucky facing the same problems, but Weekend Warriors is the only Frankfort band he knows affected by the situation.
"Its like theyre trying to shut down independent stations," he said. "Were the only place in Frankfort that broadcasts like this."
Fry questioned the plausibility of charging to broadcast songs online but not charging for each specific performance.
"Its so unclear what theyre going to do a lot of people are scared away from it," Fry said.
Ben Lathran, who provides vocals for the band, said hes also unclear about the charges.
"I dont fully understand it," he said.
Lathran said he considers what his band does an "assistance of sales to artists." He says he sees no problem with performing, but not actually recording songs.
"I can understand where they would not want us to record, but on this end what we do helps promote their music."
CPJ co-owner Tomiyia Barrett said the webcast also gave publicity to her business, which sees between 30 to 150 patrons Saturday nights. Barrett said she realizes an online broadcast that reaches across nation probably doesnt have a major impact on drawing individuals to CPJ, but that the exposure is still good for business.
"It lets people know we exist," she said.
She said restrictions on airplay hinder upcoming artists trying to break into the music industry.
Lathran said the band will continue to perform at CPJ while awaiting the judgment from the Copyright Board.
"Whatever they allow us to do, well do," he said.
Weekend Warriors plays country music at CPJ every Saturday. The band consists of Glenn Dawson, Tommy Bledsoe, James Mulcahy, Peggy Chandler and Richard Watson.
Greg Dawson started WGAD Net in April 2006; he operates the station on four computers from his office studio outside Rochester, N.Y.
-The Boston Globe contributed to this story.