Photo Credit: iHeartRadio offices in San Francisco by HaeB / CC by 4.0
The Federal Communications Commission warns radio station owners it’s taking action on so-called “payola” violations.
FCC Chairman Brendan Carr sent a letter to iHeartMedia CEO Robert Pittman on Monday, saying the FCC is scrutinizing the company’s activity surrounding live music events. In particular, the FCC is cracking down on whether iHeart is improperly pressuring artists to perform without payment at events.
“It would be particularly concerning to me if, on the heels of the FCC’s Enforcement Advisory, iHeart is proceeding in a manner that does not comply with federal ‘payola’ requirements,” writes Carr. “Indeed, I want to know whether iHeart is effectively and secretly forcing musicians to choose between, one, receiving their usual, ordinary, and full-scale compensation for performing, or, two, receiving less favorable airplay on iHeart radio stations.”
Carr’s letter references the FCC’s advisory, issued on February 6, that followed payola accusations leveled by Senator Marsha Blackburn (R-TN). These remind radio broadcasters that manipulating airplay based on an artist’s participation in station events without proper disclosure violates federal law.
“This upcoming iHeart event provides the Commission with a real-world example of how such events are put together — including artist solicitation and compensation,” wrote Carr, referencing this year’s iHeartCountry Festival, which is slated to feature artists like Brooks & Dunn, Rascal Flatts, Thomas Rhett, Sam Hunt, and more.
The FCC is requesting information from iHeart regarding the artists scheduled to appear, any compensation they’re receiving, and typical performance fees for the musicians outside of the festival. The company has 10 days to comply, and must also disclose whether artists’ participation at the event will influence their airplay.
“We look forward to demonstrating to the Commission how performing at the iHeartCountry Festival — or declining to do so — has no bearing on our stations’ airplay,” said a statement from iHeart, adding they “appreciate FCC Chairman Carr’s interest in ensuring the radio industry is compliant with all applicable laws and regulations.”
Carr is also ordering an investigation into NPR and PBS over potential violations of government rule, specifically by highlighting their acknowledgement of financial sponsors on-air.