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Sunday Edition


31
May
2005
BMI-Getting What You Played For


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As I sat down to write another column, late as usual, I pondered on my month of rollercoaster disappointments involving the decline of Southern Gospel music. My first thoughts were, we are not getting our fair share of the lucrative music industries pie. Or could it be that we are bigger than the other genres, and politically the big labels are holding us out, and I don't mean the ones your thinking about. I mean Universal, Sony, BMG, Disney, Warner etc. Our entire industry's label sales combined are smaller than what one major label gives away in demos on one project. That will make some folks angry. But, facts are facts. Even the most sought after companies aren't able to move many acts on their roster past 10,000 units a year.

While traveling this month, I sat in on many conversations that didn't involve me. But, I listen and learn. During my visits to New York, Los Angeles and of course meetings here in Nashville, I had a chance to answer some questions the Southern Gospel music writers, labels, publishers and industry leaders have had over these mysterious claims of BMI cutting Southern Gospel writers 60 to 70 percent in their payments for song royalties.

Lets start with the facts, and inform some of our readers of the role BMI, radio, industry, writers, artists etc play in monies folks make from songs they have written. Broadcast Music Incorporated (BMI) has been the home of most Southern Gospel writers and publishers since its inception. Most of the songs you hear on your local radio stations are BMI affiliated songs. The writers are paid a few cents every time that song is played. BMI's job is to monitor and collect those fees on a regular basis from the radio stations, television, Internet or any area the material has been exposed to a listener impression.

Here is the latest round of BMI/Southern Gospel upsets. Writers were notified recently their payments would be significantly dropped. In some cases as much as 70%. This announcement has lead to online campaigns to solicit the President of BMI, a letter writing campaign, writers showing up at their offices demanding answers, online polls and every tactic imaginable to lobby BMI to reinstate its old payment policies. With all the Urban Legends surrounding the mysterious drop in royalties, I decided to listen and educate myself. (Remember this- I have as much to lose as does the other writers-I have written 10 Top 40 songs and a recent #1. But, with that said, I need the facts, not a bunch of wind and accusations.)

I reminded myself of a meeting recently in Washington, DC where a few members of CERTA and I were discussing parental advisories on music and film products. (By the way June is the National Labeling Month for parental advisories and material warnings on video games and music. If your going to let music, TV and video games Nanny your children this summer. Please be advised of the content. Visit http://www.erlam.org for more information.)

Now, on with the show. Sorry, I just like saying that. I miss my old radio days. A very prominent figure (we will call this person "Pat"- Could be male could be female) and I discussed in length the issues surrounding the BMI and Southern Gospel royalties dilemma. I think my mouth remained open for about 2 hours, my eyes began to stare at the ceiling and I began to ponder my next move. I was also sitting there thinking, "I just had a number one song, went through all the junk to promote it, spent my money, label's money and hundreds of hours of man power to be sitting here listening to the actual statistics and numbers to our industries airplay." If I only worked Southern Gospel and depended on the genre solely to provide for my family and employees, we would be hitching a ride out of DC and eating Ramon noodles for Thanksgiving. But, God has blessed me in other areas. So, during flight lay overs, script rewrites and calming of the divas, I made phone calls and visits to find the answers to life in Southern Gospel Land's latest urban Legend "Gospel is being penalized by BMI and rock acts are spending our money."

In the late 80's, early 90's, Billboard Magazine and other media outlets took the guessing out of record sales. All products were bar coded and scanned at retail. What the music industry discovered was Urban and Country music were the biggest sellers. While pop had more marketing muscle, it was the cosmetic successor. That's exactly what has happened at BMI, data is now being used to track actual airplay and spins. And guess what? Southern Gospel has been dipping into other genres pots. For years BMI, in their attempts to lure Gospel writers and build a Christian base, has over compensated Southern Gospel writers, by giving them a percentage of the quarterly take. Those days are over, each genre is paid by its collected royalties, the days of the big pot being split amongst the formats is over. In other words Southern Gospel is not being cut 70%, they are now being paid exactly what they deserve and have earned. BMI has not cast a sad day upon Southern Gospel, or a lost war, its just the facts. With the music industry in a battle for its life, accuracy and accountability are a must for even the largest corporations.

An even greater problem for Southern Gospel which I also learned from BMI is that radio stations can't afford to pay their fees. If BMI cannot collect all of the royalties, then there is no way to disburse the monies to us. So, if Southern Gospel fans are listening to Country and Pop radio, the advertisers aren't going to support Southern Gospel stations. This leaves the owners with poor revenues. If you're a station owner and it's a choice between BMI licenses fees or the light bill, you're probably going to pay the light bill to keep the station from going dark.
So, let's sum it up.

Fact: BMI is not cutting Southern Gospel writers and publishers out of 70% of there hard earned money, they are only paying them what they have honestly accrued in airplay money.

Fact: BMI is a dear friend and fan of Southern Gospel music, they welcome their writers and encourage their success. But, they have to answer to God and a board of directors. They cannot give us monies we have not earned or collected.

Due to my personal involvement with this issue I will leave myself open for comments or questions.

Rick Hendrix
http://www.rickhendrix.com

Reader Comments

Interesting topic(s). From my vantage point, SG music is "dying" because artists, labels, studios, etc. are operating outside of God's will. Think about it...We have artists that can't sing, know little, if any, about music, calling themselves "artists". Is it truly God's will for them to be in this particular area of ministry?

What about labels, promoters, and studios that are thriving on these very artists for income? Aren't they promoting the illegal and immoral, ethical behavior of these artists (yes, I'm preaching to me, since I was involved in this several years ago until I was "educated" by God). Some of this activity is ignorance on the artist's part, but again, if you DON'T know all of the elements concerning the industry, you need to be educated BEFORE starting that group or making that first recording.

People, we need to wake up and seek God for our "calling". Just because Aunt Sue likes our singing doesn't make us a SG artist set for the road. Our ministries are NOT going to expand into secular markets, such as country, urban, etc., until we are ALL in God's will. Then, HE WILL TAKE US THERE!!!


Commented by Q-note On 06/09/2005
Rick-

Another powerful article. My response to this is mixed; as a gospel songwriter who is still anxiously awaiting a first song to be recorded by a "big" group.....I have 2 in the hands of really big SGM groups at the present, and had one that almost made it onto another recent big project.

That having been said, if money (royalties) are the reason we write, we're missing the boat. I've heard that Bill Gaither built several houses and a recording studio with what he made from "He Touched Me", but it would seem that those songs are once-in-a-lifetime, and those days are over. I'm sure Rodney Griffin, Dianne Wilkinson, Sandy Knight, Kyla Rowland, Gordon Jensen and others, have done very well over the years with the great songs they have written.

Another motivation might be the "pride" one could get, knowing that a song they wrote had "made it". But...the LORD gave the song, and He hates pride.

The real 2 motivating factors must be, that the Lord would use the song to see sinners get saved, and/or to see saints get blessed. That would be what Jesus taught: "laying up treasures in Heaven..."

Thanks for another thought-provoking article. Keep up the good work.


Commented by On 06/09/2005
Speaking of BMI- This should say how screwed up our charting system is. BMI's most played number one song of the year with more spins than any song last year in Southern Gospel was a song that didnt even make top 5

Ruppes-Lord It Hurts But Your Still God

Isnt that weird.How do we explain that??

Dale


Commented by On 06/12/2005
Julie Said: "I would rather keep my songs.If BMI and the artist are going to keep the money.I can use them in my local church."

Julie, I have to disagree with you. As a writer myself, I would rather the groups have them. You're putting a value on God's gift to many people, with-holding it from some because someone else doesn't have the responsibility to pay their bills.

I'm affected by BMI's actions, but I can't blame them. I do however know that my songs are touching lives. Had I not let any groups record them (taken your approach), where would my blessings come from?? I can go find another job to pay my bills. It's not about the money (though it is nice when it comes in), it's about the gift God has placed in my lap and how I use it.


Commented by amy unthank On 06/13/2005
Way to go Amy. As a songwriter I can't agree with you more. The money is nice and needful, but I wouldn't take a red cent for what God has done through my song.


Commented by Justin Endicott On 06/15/2005
I agree with Amy and Justin to an extent. But often, calling this a "ministry" causes people to think that we do not have to be responsible with what we do. Because we call it a ministry, the songwriter does not produce the best song possible. Because we call it a ministry, the singer does not develop his voice. Because we call it a ministry, the musician does not master his instrument. Because we call it a ministry, the record company does not follow ethical business practices when dealing with artists and songwriters. Being in ministry does not mean that less is required of us, it means more is required. If we do less, it is no wonder that BMI's survey methods would barely recognize SG out there. We reap what we sow. I'm glad that the songwriters that have responded are being blessed when the artists sing their songs. But it does not absolve everyone from doing this thing in a responsible and ethical manner.


Commented by Keith Prater On 06/15/2005
Amy-WAY to GO- I hear this hogwash all the time from artist and writers. But, from you ,I know its true. What a great thing to say. I think the writers have always gotten the bad end of the deal.

Dale


Commented by On 06/19/2005
Danny Jones is still eluding to a cover up at BMI.has something else happened since Hendrix article?


Commented by On 06/19/2005
Dale,
Singing News is all over the BMI stuff.I guess Danny is late with information.


Commented by On 06/20/2005
So, is sogospelnews grin


Commented by On 06/20/2005
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