SESAC Radio Licensing Rate Increases 10.4% After Arbitration Settlement with RMLC

SESAC Radio Licensing Rate Increases 10.4% After Arbitration Settlement with RMLC

By Marcus Hartley

November 17, 2024 at 11:35 PM

The Radio Music License Committee (RMLC) and SESAC have finalized their 2023-2026 licensing rate following an arbitration proceeding that began in April 2023.

SESAC Music Group white logo

SESAC Music Group white logo

Key Details of the Settlement:

  • New rate: 0.2824% of each station's net revenue
  • Represents a 10.4% increase from previous rate of 0.2557%
  • Substantial discount remains for non-music stations
  • Applies to approximately 10,000 U.S. terrestrial stations

SESAC President Scott Jungmichel called the decision a victory, noting that the arbitration panel rejected RMLC's attempts to lower rates to match ASCAP and BMI levels. He also highlighted that the revenue base subject to fees has expanded significantly compared to the 2017 award.

The agreement follows several other recent music licensing developments:

  • RMLC recently resolved a separate dispute with Global Music Rights (GMR)
  • GMR settled missing-payments complaints with Red Wolf Broadcasting and One Putt Broadcasting
  • A GMR lawsuit against Vermont Broadcast Associates was voluntarily dropped in April 2024

This resolution marks another chapter in the ongoing relationship between performance rights organizations and radio broadcasters, establishing clear licensing terms through 2026.

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