43094 Federal Register / Vol. 78, No. 139 / Friday, July 19, 2013 / Proposed Rules 

1Prior to the enactment of the Copyright Royalty 

and Distribution Reform Act of 2004, which 

established the Copyright Royalty Judges, rates and 

terms for the statutory license under section 112(e) 

were set under the Copyright Arbitration Royalty 

Panel system, which was administered by the 

Librarian of Congress. 

CFR 182.7255 of the GRAS regulations 

be amended to prohibit the use of 

Chondrus extract (carrageenin) in infant 

formula (Docket No. FDA–2013–P– 

0472). (Carrageenin is an alternate name 

for carrageenan.) 

Although the petitioner has submitted 

both a food additive petition and a 

citizen petition, for reasons of 

administrative efficiency, we may 

address all aspects of the petitions 

under the procedures established in 

section 409 of the FD&C Act and 

regulations issued under that section. 

We have determined under 21 CFR 

25.32(m) that this action is of a type that 

does not individually or cumulatively 

have a significant effect on the human 

environment. Therefore, neither an 

environmental assessment nor an 

environmental impact statement is 

required. 

Dated: July 16, 2013. 

Dennis M. Keefe, 

Director, Office of Food Additive Safety, 

Center for Food Safety and Applied Nutrition. 

[FR Doc. 2013–17330 Filed 7–18–13; 8:45 am] 

BILLING CODE 4160–01–P 

LIBRARY OF CONGRESS 

Copyright Royalty Board 

37 CFR Part 384 

[Docket No. 2012–1 CRB Business 

Establishments II] 

Determination of Rates and Terms for 

Business Establishment Services 

AGENCY: Copyright Royalty Board, 

Library of Congress. 

ACTION: Proposed rule. 

SUMMARY: The Copyright Royalty Judges 

are publishing for comment proposed 

regulations that set the rates and terms 

for the making of an ephemeral 

recording of a sound recording by a 

business establishment service for the 

period January 1, 2014, through 

December 31, 2018. 

DATES: Comments and objections are 

due no later than August 19, 2013. 

ADDRESSES: Comments and objections 

may be sent electronically to 

crb@loc.gov. In the alternative, send an 

original, five copies, and an electronic 

copy on a CD either by mail or hand 

delivery. Please do not use multiple 

means for transmission. Comments and 

objections may not be delivered by an 

overnight delivery service other than the 

U.S. Postal Service Express Mail. If by 

mail (including overnight delivery), 

comments and objections must be 

addressed to: Copyright Royalty Board, 

P.O. Box 70977, Washington, DC 20024– 

0977. If hand delivered by a private 

party, comments and objections must be 

brought between 8:30 a.m. and 5 p.m. to 

the Copyright Office Public Information 

Office, Library of Congress, James 

Madison Memorial Building, Room LM– 

401, 101 Independence Avenue SE., 

Washington, DC 20559–6000. If 

delivered by a commercial courier, 

comments and objections must be 

delivered between 8:30 a.m. and 4 p.m. 

to the Congressional Courier Acceptance 

Site located at 2nd and D Street NE., 

Washington, DC, and the envelope must 

be addressed to Copyright Royalty 

Board, Library of Congress, James 

Madison Memorial Building, LM–403, 

101 Independence Avenue SE., 

Washington, DC 20559–6000. 

FOR FURTHER INFORMATION CONTACT: 

LaKeshia Keys, Program Specialist, by 

telephone at (202) 707–7658 or email at 

crb@loc.gov. 

SUPPLEMENTARY INFORMATION: In 1995, 

Congress enacted the Digital 

Performance in Sound Recordings Act, 

Public Law 104–39, which created an 

exclusive right for copyright owners of 

sound recordings, subject to certain 

limitations, to perform publicly sound 

recordings by means of certain digital 

audio transmissions. Among the 

limitations on the performance right 

was the creation of a statutory license 

for nonexempt, noninteractive digital 

subscription transmissions. 17 U.S.C. 

114(d). 

The scope of the section 114 statutory 

license was expanded in 1998 upon the 

passage of the Digital Millennium 

Copyright Act of 1998 (DMCA), Public 

Law 105–34, in order to allow for the 

public performance of a sound 

recording when made in accordance 

with the terms and rates of the statutory 

license, 17 U.S.C. 114(d), by a 

preexisting satellite digital audio radio 

service or as part of an eligible 

nonsubscription transmission. In 

addition to expanding the section 114 

license, the DMCA also created a 

statutory license for the making of an 

‘‘ephemeral recording’’ of a sound 

recording by certain transmitting 

organizations. 17 U.S.C. 112(e). This 

license allows entities that transmit 

performance of sound recordings to 

business establishments, pursuant to the 

limitations set forth in section 

114(d)(1)(C)(iv), to make an ephemeral 

recording of a sound recording for a 

later transmission. Id. The license also 

provides a means by which a 

transmitting entity with a statutory 

license under section 114(f) can make 

more than one phonorecord permitted 

under the exemption set forth in section 

112(a). 17 U.S.C. 112(e). 

Chapter 8 of the Copyright Act 

requires the Copyright Royalty Judges 

(Judges) to conduct proceedings every 

five years to determine the rates and 

terms for ‘‘the activities described in 

section 112(e)(1) relating to the 

limitation on exclusive rights specified 

by section 114(d)(1)(C)(iv).’’ 1 17 U.S.C. 

801(b)(1), 804(b)(2). In accordance with 

section 804(b)(2), the Judges 

commenced a proceeding to set rates 

and terms for the making of ephemeral 

sound recordings by a business 

establishment service on January 5, 

2007, 72 FR 584, and published in the 

Federal Register on March 27, 2008, 

final regulations setting those rates and 

terms. 73 FR 16199. Therefore, the next 

proceeding was to be commenced in 

January 2012. 17 U.S.C. 804(b)(2). 

Accordingly, the Judges published a 

notice commencing the current 

proceeding and requesting interested 

parties to submit their petitions to 

participate. 77 FR 133 (Jan. 3, 2012). 

Petitions to Participate were received 

from: Pandora Media, Inc.; Music 

Choice; DMX, Inc.; Muzak LLC; Music 

Reports, Inc.; Clear Channel 

Broadcasting, Inc.; SoundExchange, 

Inc.; and Sirius XM Radio, Inc. The 

Judges set the timetable for the threemonth negotiation period, see 17 U.S.C. 

803(b)(3), and directed the participants 

to submit their written direct statements 

no later than November 16, 2012. 

Subsequently, the Judges granted the 

participants’ request to extend the 

deadline to November 29, 2012, in order 

to allow the participants to finalize a 

settlement agreement. See Order 

Granting Joint Motion for Extension of 

Time for Filing Written Direct 

Statements, Docket No. 2012–1 CRB 

Business Establishments II (Nov. 14, 

2012). On November 29, 2012, the 

Judges received a Motion to Adopt 

Settlement stating that all participants 

had reached a settlement obviating the 

need for a hearing. 

Section 801(b)(7)(A) of the Copyright 

Act authorizes the Judges to adopt rates 

and terms negotiated by ‘‘some or all of 

the participants in a proceeding at any 

time during the proceeding’’ provided 

they are submitted to the Judges for 

approval. This section provides in part 

that the Judges must provide to both 

non-participants and participants to the 

rate proceeding who ‘‘would be bound 


wreier-aviles on DSK5TPTVN1PROD with PROPOSALS
Federal Register / Vol. 78, No. 139 / Friday, July 19, 2013 / Proposed Rules 43095 

by the terms, rates, or other 

determination set by any agreement . . . 

an opportunity to comment on the 

agreement.’’ 17 U.S.C. 801(b)(7)(A)(i). 

Participants to the proceeding may also 

‘‘object to [the agreement’s] adoption as 

a basis for statutory terms and rates.’’ Id. 

The Judges ‘‘may decline to adopt the 

agreement as a basis for statutory terms 

and rates for participants that are not 

parties to the agreement,’’ only ‘‘if any 

participant [to the proceeding] objects to 

the agreement and the [Judges] 

conclude, based on the record before 

them if one exists, that the agreement 

does not provide a reasonable basis for 

setting statutory terms or rates.’’ 17 

U.S.C. 801(b)(7)(A)(ii). 

Rates and terms adopted pursuant to 

section 801(b)(7)(A) are binding on all 

copyright owners of sound recordings 

and business establishment services 

making an ephemeral recording of a 

sound recording for the period January 

1, 2014, through December 31, 2018. 

As noted above, the public may 

comment and object to any or all of the 

proposed regulations contained in this 

notice. Such comments and objections 

must be submitted no later than August 

19, 2013. 

List of Subjects in 37 CFR Part 384 

Copyright, Digital audio 

transmissions, Ephemeral recordings, 

Performance right, Sound recordings. 

Proposed Regulations 

For the reasons set forth in the 

preamble, the Copyright Royalty Judges 

propose to amend part 384 of chapter III 

of title 37 of the Code of Federal 

Regulations to read as follows: 

PART 384—RATES AND TERMS FOR 

THE MAKING OF EPHEMERAL 

RECORDINGS BY BUSINESS 

ESTABLISHMENT SERVICES 

■ 1. The authority citation for part 384 

continues to read as follows: 

Authority: 17 U.S.C. 112(e), 801(b)(1). 

§ 384.1 [Amended] 

■ 2. Section 384.1 is amended as 

follows: 

■ a. In paragraph (a), by removing 

‘‘§ 384.2(a)’’ and adding ‘‘§ 384.2’’ in its 

place, and by removing ‘‘2009–1013’’ 

and adding ‘‘January 1, 2014, through 

December 31, 2018’’ in its place; 

■ b. In paragraph (b), by removing 

‘‘licenses set forth in 17 U.S.C. 112’’ and 

adding ‘‘license set forth in 17 U.S.C. 

112(e)’’ in its place; and 

■ c. In paragraph (c), by removing 

‘‘services’’ and adding ‘‘Licensees’’ in its 

place. 

■ 3. Section 384.2 is amended by 

revising the definition for ‘‘Copyright 

Owner’’ to read as follows: 

§ 384.2 Definitions. 

* * * * * 

Copyright Owners are sound 

recording copyright owners who are 

entitled to royalty payments made 

under this part pursuant to the statutory 

license under 17 U.S.C. 112(e). 

* * * * * 

§ 384.3 [Amended] 

■ 4. Section 384.3 is amended as 

follows: 

■ a. In paragraph (a), by removing 

‘‘service pursuant to the limitation on 

exclusive rights specified by 17 U.S.C. 

114(d)(1)(C)(iv)’’ and adding ‘‘Business 

Establishment Service’’ in its place and 

removing ‘‘10%’’ and adding ‘‘12.5%’’ 

in its place; and 

■ b. In paragraph (b), by removing 

‘‘$10,000 for each calendar year’’ and 

adding ‘‘$10,000 for each calendar year 

of the License Period’’ in its place. 

■ 5. Section 384.4 is amended as 

follows: 

■ a. By revising the paragraph heading 

for paragraph (a); 

■ b. In paragraph (b)(2)(i), by removing 

‘‘condition precedent in paragraph (b)(2) 

of this section’’ and adding ‘‘condition 

precedent in this paragraph (b)(2)’’ in its 

place, and by removing ‘‘authorized 

such Collective’’ and adding 

‘‘authorized the Collective’’ in its place; 

■ c. By revising paragraphs (c) through 

(e); 

■ d. By revising introductory text of 

paragraph (f); 

■ e. In paragraph (f)(2), by removing 

‘‘facsimile number’’ and adding 

‘‘facsimile number (if any)’’ in its place, 

and by removing ‘‘individual or 

individuals’’ and adding ‘‘person’’ in its 

place; 

■ f. In paragraph (f)(3), by removing 

‘‘handwritten’’; 

■ g. In paragraph (f)(3)(i), by removing 

‘‘a corporation’’ and adding 

‘‘corporation’’ in its place; 

■ h. In paragraph (f)(6), by removing ‘‘a 

corporation’’ and adding ‘‘corporation’’ 

in its place; 

■ i. In paragraph (f)(8), by removing ‘‘if 

the Licensee is a corporation or 

partnership,’’; 

■ j. By revising paragraphs (g) and (h); 

and 

■ k. By removing paragraph (i). 

The revisions read as follows: 

§ 384.4 Terms for making payment of 

royalty fees and statements of account. 

(a) Payment to the Collective. * * * 

* * * * * 

(c) Monthly payments. A Licensee 

shall make any payments due under 

§ 384.3(a) on a monthly basis on or 

before the 45th day after the end of each 

month for that month. All monthly 

payments shall be rounded to the 

nearest cent. 

(d) Minimum payments. A Licensee 

shall make any minimum payment due 

under § 384.3(b) by January 31 of the 

applicable calendar year, except that 

payment by a Licensee that has not 

previously made Ephemeral Recordings 

pursuant to the license under 17 U.S.C. 

112(e) shall be due by the 45th day after 

the end of the month in which the 

Licensee commences to do so. 

(e) Late payments. A Licensee shall 

pay a late fee of 1.0% per month, or the 

highest lawful rate, whichever is lower, 

if either or both a required payment or 

statement of account for a required 

payment is received by the Collective 

after the due date. Late fees shall accrue 

from the due date until both the 

payment and statement of account are 

received by the Collective. 

(f) Statements of account. For any part 

of the License Period during which a 

Licensee operates a Business 

Establishment Service, at the time when 

a minimum payment is due under 

paragraph (d) of this section, and by 45 

days after the end of each month during 

the period, the Licensee shall deliver to 

the Collective a statement of account 

containing the information set forth in 

this paragraph (f) on a form prepared, 

and made available to Licensees, by the 

Collective. In the case of a minimum 

payment, or if a payment is owed for 

such month, the statement of account 

shall accompany the payment. A 

statement of account shall contain only 

the following information: 

* * * * * 

(g) Distribution of royalties. (1) The 

Collective shall promptly distribute 

royalties received from Licensees 

directly to Copyright Owners, or their 

designated agents, that are entitled to 

such royalties. The Collective shall only 

be responsible for making distributions 

to those Copyright Owners or their 

designated agents who provide the 

Collective with such information as is 

necessary to identify the correct 

recipient. The Collective shall distribute 

royalties on a basis that values all 

Ephemeral Recordings by a Licensee 

equally based upon the information 

provided under the reports of use 

requirements for Licensees contained in 

§ 370.4 of this chapter. 

(2) If the Collective is unable to locate 

a Copyright Owner entitled to a 

distribution of royalties under 

paragraph (g)(1) of this section within 3 

years from the date of payment by a 

Licensee, such royalties shall be 

handled in accordance with § 384.8. 


wreier-aviles on DSK5TPTVN1PROD with PROPOSALS
43096 Federal Register / Vol. 78, No. 139 / Friday, July 19, 2013 / Proposed Rules 

(h) Retention of records. Books and 

records of a Licensee and of the 

Collective relating to payments of and 

distributions of royalties shall be kept 

for a period of not less than the prior 3 

calendar years. 

§ 384.5 [Amended] 

■ 6. Section 384.5 is amended as 

follows: 

■ a. In paragraph (a), by removing 

‘‘part’’ and adding ‘‘section’’ in its place, 

and by removing ‘‘account, any 

information’’ and adding ‘‘account and 

any information’’ in its place; 

■ b. In paragraph (b), by removing ‘‘The 

Collective shall have’’ and adding ‘‘The 

party claiming the benefit of this 

provision shall have’’ in its place; 

■ c. In paragraph (c), by removing 

‘‘activities directly related thereto’’ and 

adding ‘‘activities related directly 

thereto’’ in its place; 

■ d. In paragraph (d)(1), by removing 

‘‘work, require access to the records’’ 

and adding ‘‘work require access to 

Confidential Information’’ in its place; 

■ e. In paragraph (d)(2), by removing 

‘‘Collective committees’’ and adding 

‘‘the Collective committees’’ in its place, 

and by removing ‘‘confidential 

information’’ and adding ‘‘Confidential 

Information’’ in its place each place it 

appears; 

■ f. In paragraph (d)(3), by removing 

‘‘respect to the verification of a 

Licensee’s royalty payments’’ and 

adding ‘‘respect to verification of a 

Licensee’s statement of account’’ in its 

place; 

■ g. In paragraph (d)(4), by removing 

‘‘Copyright owners whose works’’ and 

adding ‘‘Copyright Owners, including 

their designated agents, whose works’’ 

in its place, by removing ‘‘, or agents 

thereof’’, and by removing ‘‘confidential 

information’’ and adding ‘‘Confidential 

Information’’ in its place; and 

■ h. In paragraph (e), by removing ‘‘to 

safeguard all Confidential Information’’ 

and adding ‘‘to safeguard against 

unauthorized access to or dissemination 

of any Confidential Information’’ in its 

place, and by removing ‘‘belonging to 

such Collective’’ and adding ‘‘belonging 

to the Collective’’ in its place. 

■ 7. Section 384.6 is amended by 

revising paragraph (d) to read as 

follows: 

§ 384.6 Verification of royalty payments. 

* * * * * 

(d) Acquisition and retention of 

report. The Licensee shall use 

commercially reasonable efforts to 

obtain or to provide access to any 

relevant books and records maintained 

by third parties for the purpose of the 

audit. The Collective shall retain the 

report of the verification for a period of 

not less than 3 years. 

* * * * * 

■ 8. Section 384.7 is amended as 

follows: 

■ a. In paragraph (a), by removing 

‘‘Provided’’ and adding ‘‘provided’’ in 

its place; and 

■ b. By revising paragraph (d). 

The revision reads as follows: 

§ 384.7 Verification of royalty 

distributions. 

* * * * * 

(d) Acquisition and retention of 

record. The Collective shall use 

commercially reasonable efforts to 

obtain or to provide access to any 

relevant books and records maintained 

by third parties for the purpose of the 

audit. The Copyright Owner requesting 

the verification procedure shall retain 

the report of the verification for a period 

of not less than 3 years. 

* * * * * 

■ 9. Section 384.8 is revised to read as 

follows: 

§ 384.8 Unclaimed funds. 

If the Collective is unable to identify 

or locate a Copyright Owner who is 

entitled to receive a royalty distribution 

under this part, the Collective shall 

retain the required payment in a 

segregated trust account for a period of 

3 years from the date of distribution. No 

claim to such distribution shall be valid 

after the expiration of the 3-year period. 

After expiration of this period, the 

Collective may apply the unclaimed 

funds to offset any costs deductible 

under 17 U.S.C. 114(g)(3). The foregoing 

shall apply notwithstanding the 

common law or statutes of any State. 

Dated: July 12, 2013. 

Suzanne M. Barnett, 

Chief Copyright Royalty Judge. 

[FR Doc. 2013–17243 Filed 7–18–13; 8:45 am] 

BILLING CODE 1410–72–P 

ENVIRONMENTAL PROTECTION 

AGENCY 

40 CFR Parts 52 and 81 

[EPA–R01–OAR–2013–0020; FRL–9834–7] 

Approval and Promulgation of Air 

Quality Implementation Plans; 

Connecticut; Redesignation of 

Connecticut Portion of the New YorkNew Jersey-Connecticut 

Nonattainment Area to Attainment of 

the 1997 Annual and 2006 24-Hour 

Standards for Fine Particulate Matter 

AGENCY: Environmental Protection 

Agency (EPA). 

ACTION: Proposed rule. 

SUMMARY: EPA is proposing to approve 

the State of Connecticut’s June 22, 2012 

request to redesignate the Connecticut 

portion of the New York-N. New JerseyLong Island, NY-NJ-CT fine particle 

(PM2.5) area (i.e., New Haven and 

Fairfield Counties; herein called the 

‘‘Southwestern CT Area’’ or ‘‘the Area’’) 

from nonattainment to attainment for 

the 1997 annual National Ambient Air 

Quality Standards (NAAQS or 

standard), as well as for the 2006 24- 

hour PM2.5 NAAQS. As part of these 

proposed approvals, EPA proposes to 

approve (1) a State Implementation Plan 

(SIP) revision containing a 10-year 

maintenance plan for the Area; (2) a 

2007 base-year emissions inventory for 

the Area; and (3) new motor vehicle 

emissions budgets (MVEBs) for the years 

2017 and 2025 that are contained in the 

10-year PM2.5 maintenance plan for the 

Area. 

In addition, in the course of proposing 

to approve Connecticut’s request to 

redesignate the Southwestern CT Area, 

EPA addresses a number of additional 

issues, including the effects of two 

decisions of the United States Court of 

Appeals for the District of Columbia 

(D.C. Circuit Court): (1) The Court’s 

August 21, 2012 decision to vacate and 

remand to EPA the Cross-State Air 

Pollution Control Rule (CSAPR), and (2) 

the Court’s January 4, 2013 decision to 

remand to EPA two final rules 

implementing the 1997 PM2.5 standard. 

This action is being taken in 

accordance with the Clean Air Act 

(CAA). 

DATES: Written comments must be 

received on or before August 19, 2013. 

ADDRESSES: Submit your comments, 

identified by Docket ID Number EPA– 

R01–OAR–2013–0020 by one of the 

following methods: 

1. www.regulations.gov: Follow the 

on-line instructions for submitting 

comments. 

2. Email: arnold.anne@epa.gov 

3. Fax: (617) 918–0047. 

4. Mail: ‘‘Docket Identification 

Number EPA–R01–OAR–2013–0020,’’ 

Anne Arnold, U.S. Environmental 

Protection Agency, EPA New England 

Regional Office, 5 Post Office Square, 

Suite 100 (mail code: OEP05–2), Boston, 

MA 02109–3912. 

5. Hand Delivery or Courier. Deliver 

your comments to: Anne Arnold, 

Manager, Air Quality Planning Unit, 

Office of Ecosystem Protection, U.S. 

Environmental Protection Agency, EPA 

New England Regional Office, 5 Post 

Office Square, Suite 100, Boston, MA 

02109–3912. Such deliveries are only 


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