39000 Federal Register / Vol. 87, No. 125 / Thursday, June 30, 2022 / Rules and Regulations 

1The types of eligible services consist of 

subscription, nonsubscription, satellite digital 

audio radio services, and business establishment 

services. 

2Until that time, interim regulations were in 

effect. See 71 FR 59010 (Oct. 6, 2006). 

section unless authorized by the COTP 

or the COTP’s designated representative. 

(2) To seek permission to enter or 

remain in the zone, contact the COTP or 

the COTP’s representative via VHF–FM 

channel 16 or 215–271–4807. Those in 

the safety zone must comply with all 

lawful orders or directions given to 

them by the COTP or the COTP’s 

designated representative. 

(3) No vessel may take on bunkers or 

conduct lightering operations within the 

safety zone during its enforcement 

period. 

(4) This section applies to all vessels 

except those engaged in law 

enforcement, aids to navigation 

servicing, and emergency response 

operations. 

(d) Enforcement. The U.S. Coast 

Guard may be assisted in the patrol and 

enforcement of the safety zone by 

Federal, State, and local agencies. 

(e) Enforcement period. This zone 

will be enforced from approximately, 

but no earlier than, 9 p.m. to 

approximately, but no later than, 10 

p.m. on July 4, 2022. 

Dated: June 27, 2022. 

Jonathan D. Theel, 

Captain, U.S. Coast Guard Captain of the 

Port Delaware Bay. 

[FR Doc. 2022–14044 Filed 6–29–22; 8:45 am] 

BILLING CODE 9110–04–P 

LIBRARY OF CONGRESS 

Copyright Royalty Board 

37 CFR Part 370 

[Docket No. 20–CRB–0007–RM] 

Regulation Concerning Proxy 

Distributions for Unmatched Royalties 

Deposited During 2010–2018 

AGENCY: Copyright Royalty Board, 

Library of Congress. 

ACTION: Final rule. 

SUMMARY: The Copyright Royalty Judges 

(Judges) are amending the applicable 

regulations to authorize the use of proxy 

reports of use to facilitate distribution of 

royalties collected for periods prior to 

January 1, 2019, for the licenses to make 

ephemeral reproduction and perform 

publicly sound recordings by means of 

digital audio transmissions. Proxy 

reports of use will be used for those 

services for which no reports of use 

were submitted or for which the reports 

of use were unusable. 

DATES: Effective August 1, 2022. 

FOR FURTHER INFORMATION CONTACT: 

Anita Brown, CRB Program Specialist, 

(202) 707–7658, crb@loc.gov. 

SUPPLEMENTARY INFORMATION: 

Background 

Sections 112 and 114 of the Copyright 

Act, title 17 of the United States Code, 

are the statutory licenses governing the 

public performance of sound recordings 

by certain types of eligible services 1 by 

means of a digital audio transmission. 

17 U.S.C. 112(e), 114. Services operating 

under these licenses are required to, 

among other things, pay royalty fees and 

report to copyright owners of sound 

recordings on the use of their works. Id. 

The Copyright Act directs the Judges to 

determine the royalty rates to be paid, 

17 U.S.C. 114(f)(1)(A), (f)(2)(A) and 17 

U.S.C. 112(e)(3), and to establish 

regulations to give copyright owners 

reasonable notice of the use of their 

works and create and maintain records 

of use for delivery to copyright owners. 

17 U.S.C. 114(f)(4)(A) and 17 U.S.C. 

112(e)(4). 

The purpose of the notice and 

recordkeeping requirement is to ensure 

that the royalties collected under the 

statutory licenses are distributed by a 

central source—a Collective—or other 

agents designated to receive royalties 

from the Collective to the correct 

recipients. The Judges promulgated final 

notice and recordkeeping regulations on 

October 13, 2009.2 See 74 FR 52418. 

On November 20, 2018, 

SoundExchange, Inc., the entity 

designated by the Judges as the 

Collective, requested that the Judges 

amend the applicable regulations to 

authorize SoundExchange ‘‘to use proxy 

reporting data to distribute to copyright 

owners and performers certain sound 

recording royalties for periods before 

2019 that are otherwise undistributable 

due to licensees’ failure to provide 

reports of use’’ or their provision of 

‘‘reports of use that are so deficient as 

to be unusable.’’ Letter from Steven R. 

Englund, counsel for SoundExchange, 

Inc., Docket No. 20–CRB–0007–RM at 1 

& n.1. 

In a second letter dated April 23, 2020 

(April Letter), SoundExchange renewed 

its request. In the April Letter, 

SoundExchange stated it was holding 

approximately $32 million in statutory 

royalties for the period 2010 through 

2018 and requested that the Judges 

authorize SoundExchange to distribute 

these royalties using the same ‘‘annual/ 

license type methodology’’ that the 

Judges approved in 2011. April Letter at 

2, citing 37 CFR 370.3(i), 370.4(f). 

SoundExchange requested that the 

Judges change the dates in the cited 

regulations from ‘‘2010’’ to ‘‘2019.’’ 

In May 2020, the Judges published a 

notice of proposed rulemaking (NPRM) 

seeking comment on SoundExchange’s 

proposal. 85 FR 32323 (May 29, 2020). 

In the notice, the Judges also announced 

that, if they adopted the proposed 

regulations, they intended to change the 

mandatory ‘‘shall’’ to a permissive 

‘‘may’’ to authorize the subject 

distributions. Comments responsive to 

the NPRM were due June 29, 2020. 

The Judges received three comments 

in response to the NPRM. One 

commenter, David Powell, filed a 

comment that in no way revealed an 

interest in the rulemaking proceeding. 

The comment of Sun-Glo Records, Inc. 

asserted an interest in recording 

royalties, but did not oppose the 

proposed rule change. 

The third comment was submitted by 

SoundExchange, and addresses specific 

topics concerning which the Judges had 

previously inquired in connection with 

this NPRM. Specifically, 

SoundExchange states in this comment 

that: 

(1) It agrees with the Judges that it is 

preferable to use permissive language 

(the word ‘‘may’’) that would merely 

allow SoundExchange to use proxy data 

to distribute the relevant royalties, 

rather than mandatory regulatory 

language (the word ‘‘shall’’); 

(2) It has exhausted all reasonable 

alternative means to obtain missing 

reports; and 

(3) Use of the proposed annual/ 

license type method, as set forth in the 

proposed regulations, is a reasonable 

option. 

Given that the proxy will be applied 

to a small percentage of royalties for the 

relevant time period and that no viable 

alternatives have been provided, the 

Judges are adopting as final the 

proposed regulations as set forth in the 

NPRM allowing for the use of the proxy 

proposed by SoundExchange for the 

distribution of royalties for all periods 

before January 1, 2019. Adoption of the 

proposed regulations, especially in the 

absence of opposition to the proposed 

proxy, will promote the expeditious 

distribution of the affected royalties. 

List of Subjects in 37 CFR Part 370 

Copyright, Sound recordings. 

Final Regulations 

For the reasons set forth in the 

preamble, the Copyright Royalty Judges 

amend 37 CFR part 370 as follows: 


jspears on DSK121TN23PROD with RULES1
Federal Register / Vol. 87, No. 125 / Thursday, June 30, 2022 / Rules and Regulations 39001 

1See Order, Facing Foster Care et al. v. HHS, No. 

21–cv–00308 (D.D.C. Feb. 2, 2021) (order 

postponing effective date), ECF No. 18. 

2See Order, Facing Foster Care et al. v. HHS, No. 

21–cv–00308 (D.D.C. Aug. 5, 2021) (order 

postponing effective date), ECF No. 23. 

3See Order, Facing Foster Care et al. v. HHS, No. 

21–cv–00308 (D.D.C. Nov. 3, 2021) (order 

postponing effective date), ECF No. 8. 

4See Order, Facing Foster Care et al. v. HHS, No. 

21–cv–00308 (D.D.C. Dec. 27, 2021) (order 

postponing effective date and holding the case in 

abeyance). 

5See Order, Facing Foster Care et al. v. HHS, No. 

21–cv–00308 (D.D.C. Apr. 15, 2022) (order 

postponing effective date), ECF No 34. 

6See Order, Facing Foster Care et al. v. HHS, No. 

21–cv–00308 (D.D.C. Apr. 29, 2022) (order 

postponing effective date), ECF No 37. 

7See Order, Facing Foster Care et al. v. HHS, No. 

21–cv–00308 (D.D.C. May 26, 2022) (order 

postponing effective date), ECF No 39. 

PART 370—NOTICE AND 

RECORDKEEPING REQUIREMENTS 

FOR STATUTORY LICENSES 

■ 1. The authority citation for part 370 

continues to read as follows: 

Authority: 17 U.S.C. 112(e)(4), 114(f)(4)(A), 

803(b)(6)(A). 

■ 2. Section 370.3 is amended by 

revising paragraph (i) to read as follows: 

§ 370.3 Reports of use of sound 

recordings under statutory license for 

preexisting subscription services. 

* * * * * 

(i) In any case in which a preexisting 

subscription service has not provided a 

report of use required under this section 

for use of sound recordings under 

section 112(e) or section 114 of title 17 

of the United States Code, or both, prior 

to January 1, 2019, reports of use for the 

corresponding calendar year filed by 

other preexisting subscription services 

may serve as the reports of use for the 

non-reporting service, solely for 

purposes of distribution of any 

corresponding royalties by the 

Collective. 

■ 3. Section 370.4 is amended by 

revising paragraph (f) to read as follows: 

§ 370.4 Reports of use of sound 

recordings under statutory license for 

nonsubscription transmission services, 

preexisting satellite digital audio radio 

services, new subscription services and 

business establishment services. 

* * * * * 

(f) In any case in which a 

nonsubscription transmission service, 

preexisting satellite digital audio radio 

service, new subscription service, or 

business establishment service has not 

provided a report of use required under 

this section for use of sound recordings 

under section 112(e) or section 114 of 

title 17 of the United States Code, or 

both, prior to January 1, 2019, reports of 

use for the corresponding calendar year 

filed by other services of the same type 

may serve as the reports of use for the 

non-reporting service, solely for 

purposes of distribution of any 

corresponding royalties by the 

Collective. 

Dated: June 13, 2022. 

Suzanne M. Barnett, 

Chief U.S. Copyright Royalty Judge. 

Approved by: 

Carla D. Hayden, 

Librarian of Congress. 

[FR Doc. 2022–13944 Filed 6–29–22; 8:45 am] 

BILLING CODE 1410–72–P 

DEPARTMENT OF HEALTH AND 

HUMAN SERVICES 

45 CFR Part 75 

RIN 0991–AC16 

Grants Regulation; Removal of NonDiscrimination Provisions and 

Repromulgation of Administrative 

Provisions Under the Uniform Grant 

Regulation 

AGENCY: Assistant Secretary for 

Financial Resources (ASFR), Health and 

Human Services (HHS or the 

Department). 

ACTION: Final rule; delay of effective 

date. 

SUMMARY: The U.S. District Court for the 

District of Columbia in Facing Foster 

Care et al. v. HHS, 21–cv–00308 (D.D.C. 

Feb. 2, 2021), has delayed the effective 

date of portions of the final rule making 

amendments to the Uniform 

Administrative Requirements 

promulgated on January 12, 2021. 

DATES: Pursuant to court order, the 

effective date of the final rule published 

January 12, 2021, at 86 FR 2257, is 

delayed until July 1, 2022. See 

SUPPLEMENTARY INFORMATION for details. 

FOR FURTHER INFORMATION CONTACT: 

Johanna Nestor at Johanna.Nestor@

hhs.gov or 202–205–5904. 

SUPPLEMENTARY INFORMATION: On 

January 12, 2021 (86 FR 2257), the 

Department issued amendments to and 

repromulgated portions of the Uniform 

Administrative Requirements, 45 CFR 

part 75. 86 FR 2257. That rule 

repromulgated provisions of part 75 that 

were originally published late in 2016. 

It also made amendments to 45 CFR 

75.300(c) & (d). 

Specifically, the rule amended 

subsection (c), which had stated, ‘‘It is 

a public policy requirement of HHS that 

no person otherwise eligible will be 

excluded from participation in, denied 

the benefits of, or subjected to 

discrimination in the administration of 

HHS programs and services based on 

non-merit factors such as age, disability, 

sex, race, color, national origin, religion, 

gender identity, or sexual orientation. 

Recipients must comply with this 

public policy requirement in the 

administration of programs supported 

by HHS awards.’’ The rule amended 

subsection (c) to state, ‘‘It is a public 

policy requirement of HHS that no 

person otherwise eligible will be 

excluded from participation in, denied 

the benefits of, or subjected to 

discrimination in the administration of 

HHS programs and services, to the 

extent doing so is prohibited by federal 

statute.’’ 

Additionally, the rule amended 

paragraph (d), which had stated, ‘‘In 

accordance with the Supreme Court 

decisions in United States v. Windsor 

and in Obergefell v. Hodges, all 

recipients must treat as valid the 

marriages of same-sex couples. This 

does not apply to registered domestic 

partnerships, civil unions or similar 

formal relationships recognized under 

state law as something other than a 

marriage.’’ The rule amended paragraph 

(d) to state, ‘‘HHS will follow all 

applicable Supreme Court decisions in 

administering its award programs.’’ 

On February 2, the portions of rulemaking amendments to § 75.300 (and a 

conforming amendment at § 75.101(f)) 

were challenged in the U.S. District 

Court for the District of Columbia. 

Facing Foster Care et al. v. HHS, 21–cv– 

00308 (D.D.C. filed Feb. 2, 2021). On 

February 9, the court postponed, 

pursuant to 5 U.S.C. 705, the effective 

date of the challenged portions of the 

rule by 180 days, until August 11, 

2021.1 On August 5, the court again 

postponed the effective date of the rule 

until November 9, 2021.2 On November 

3, the court further postponed the 

effective date of the rule until January 

17, 2022.3 On December 27, the court 

further postponed the effective date of 

the rule until April 18, 2022.4 On April 

15, the court further postponed the 

effective date of the rule until May 2, 

2022.5 On April 29, the court further 

postponed the effective date of the rule 

until June 1, 2022.6 On May 26, the 

court further postponed the effective 

date of the rule until July 1, 2022.7 The 

Department is issuing this notice to 

apprise the public of the court’s order. 

Xavier Becerra, 

Secretary. 

[FR Doc. 2022–13888 Filed 6–29–22; 8:45 am] 

BILLING CODE 4151–19–P 


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