BMI secured its largest rate increase for the radio industry through a settlement with the Radio Music License Committee. The agreement, filed with the US District Court for the Southern District of New York, sets a retroactive rate of 2.14% for 2022, rising gradually to 2.20% for 2026 through 2029. Per program license base rates also increase slightly to 0.37–0.38% in the same period. All stations must now pay a minimum annual fee of $773.
Previously, terrestrial broadcast and simulcast stations paid 1.78% of revenue, with a 12% deduction. About 8,895 commercial radio stations are considered bound stations under this settlement, either through direct representation by the RMLC or voluntary agreement to its terms. The RMLC had earlier sought to combine rate court proceedings with ASCAP and BMI, hoping to maintain the current 3.51% combined rate through a market share allocation. The court denied that request.
BMI President and CEO Mike O’Neill said the new deal “reflects our market-leading share of the music performed on radio stations across the country.” He added that the settlement would better compensate BMI’s songwriters while avoiding costly litigation, noting that “negotiation is always better than litigation.”
RMLC Chairman Ed Atsinger described the agreement as a positive outcome for broadcasters, stating it allows stations to plan for the long term while reinforcing the industry’s respect for its partnerships with songwriters. He emphasized that avoiding litigation costs was a key benefit of the deal.
The settlement follows a similar development involving SESAC less than a year earlier. In November 2024, after arbitration, SESAC’s blanket fee for RMLC-represented stations rose to 0.2824% of net revenue, up from 0.2557%, retroactive to January 2023. Both SESAC and the RMLC claimed victory at the time, signaling the ongoing tension and negotiation between performing rights organizations and broadcasters over licensing fees.
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