Late-Filed and Underpaid Royalties, 29071-29073 [E8-11274]

Download as PDF Federal Register / Vol. 73, No. 98 / Tuesday, May 20, 2008 / Rules and Regulations (7) Persons who hold a valid ‘‘Vessel Security Officer’’ endorsement may serve as vessel or company personnel with security duties (33 CFR 104.220), and as all other vessel personnel (33 CFR 104.225), without meeting any additional requirements. TITLE 46 CFR—SHIPPING PART 10—LICENSING OF MARITIME PERSONNEL 3. The authority citation for part 10 continues to read as follows: Authority: 14 U.S.C. 633; 31 U.S.C. 9701; 46 U.S.C. 2101, 2103, and 2110; 46 U.S.C. chapter 71; 46 U.S.C. 7502, 7505, 7701, and 8906; Executive Order 10173; Department of Homeland Security Delegation No. 0170.1. Section 10.107 is also issued under the authority of 44 U.S.C. 3507. 4. In § 10.104, add the definition of Vessel Security Officer in alphabetical order to read as follows: I * * * * * Vessel Security Officer (VSO) means a person onboard the vessel accountable to the Master, designated by the Company as responsible for security of the vessel, including implementation and maintenance of the Vessel Security Plan, and for liaison with the Facility Security Officer and vessel’s Company Security Officer. * * * * * I * * * * (b) * * * (10) GMDSS radio operator; and (11) Vessel Security Officer. * * * * * I 8. In § 15.1101, add paragraph (a)(6) to read as follows: General. (a) * * * (6) Vessel Security Officer (VSO) means a person onboard the vessel accountable to the Master, designated by the Company as responsible for security of the vessel, including implementation and maintenance of the Vessel Security Plan, and for liaison with the Facility Security Officer and vessel’s Company Security Officer. * * * * * I 9. Add § 15.1113 to read as follows: § 15.1113 Definitions of terms used in this Definitions of terms used in this * § 15.1101 I § 10.104 part. § 15.301 part. Vessel Security Officer (VSO). After July 1, 2009, on board seagoing vessel, all persons performing duties as VSO must hold a valid endorsement as Vessel Security Officer. Dated: May 6, 2008. Brian M. Salerno, Rear Admiral, U.S. Coast Guard, Assistant Commandant for Marine Safety, Security and Stewardship. [FR Doc. E8–11225 Filed 5–19–08; 8:45 am] BILLING CODE 4910–15–P LIBRARY OF CONGRESS 5. Add § 10.811 to read as follows: § 10.811 Requirements to qualify for an STCW endorsement as vessel security officer. Copyright Office (a) The applicant for an endorsement as vessel security officer must present satisfactory documentary evidence in accordance with the requirements in 33 CFR 104.215. (b) All applicants for an endorsement must meet the physical examination requirements in § 10.205(d)(1)–(2) of this chapter. [Docket No. RM 2008–5] 37 CFR Parts 201 PART 15—MANNING REQUIREMENTS 6. The authority citation for part 15 continues to read as follows: jlentini on PROD1PC65 with RULES I Authority: 46 U.S.C. 2101, 2103, 3306, 3703, 8101, 8102, 8104, 8105, 8301, 8304, 8502, 8503, 8701, 8702, 8901, 8902, 8903, 8904, 8905(b), 8906, 9102, and 8103; and Department of Homeland Security Delegation No. 0170.1. 7. Amend § 15.301 by adding paragraph (b)(10) and revising paragraph (b)(11) to read as follows: I VerDate Aug<31>2005 16:52 May 19, 2008 Jkt 214001 Late–Filed and Underpaid Royalties Copyright Office, Library of Congress. ACTION: Final rule. AGENCY: SUMMARY: The Copyright Office is amending its rules governing the payment of interest on late or underpaid royalty fees under the Copyright Act to clarify when interest for late and underpayments is due in light of the Copyright Office’s electronic funds transfer requirement. In addition, the Copyright Office amends the rules to add text that was inadvertently deleted by a previous rulemaking action. The Copyright Office also makes a technical correction to its satellite carrier requirements to recognize changes made to Section 119 in 2004. EFFECTIVE DATE: May 20, 2008. PO 00000 Frm 00035 Fmt 4700 Sfmt 4700 29071 Ben Golant, Assistant General Counsel, and Tanya M. Sandros, General Counsel, Copyright GC/I&R, P.O. Box 70400, Washington, DC 20024. Telephone: (202) 707–8380. Telefax: (202) 707– 8366. FOR FURTHER INFORMATION CONTACT: On August 10, 2006, the Copyright Office published a final rule requiring the submission of royalty fees to be made by electronic funds transfer (‘‘EFT’’). 71 FR 45739 (August 10, 2006). The purpose of this notice is to make technical amendments to Section 201.17(i) and other similar rules for satellite carriers and digital audio recording technologies to clarify when interest accrues for late and underpayments in light of the recent EFT requirement. In addition, we intend to re–insert regulatory text, originally contained in Section 201.17(i)(2), that was incorrectly deleted from Title 37 CFR when the EFT requirements were adopted. SUPPLEMENTARY INFORMATION: I. Electronic Funds Transfer Requirement Under the new EFT regulations, 37 CFR 201.17(i), a number of changes were made regarding the payment of copyright royalties. The most important change was that payment could only be made through an electronic funds transfer. This change eliminates the options of payment by certified or cashier’s check, or money order. Most payors already use EFTs, and requiring the use of EFTs substantially enhances the efficiency of the collection process. The regulations also require that the parties submit specific identifying and linking information as part of the EFT, and/or as part of a ‘‘remittance advice’’ which accompanies Statement(s) of Account, and that the ‘‘remittance advice’’ be faxed or emailed to the Licensing Division. Failure to submit the EFT in accordance with the rules may require the remitter to resubmit the EFT correctly. Should this occur, the remitter will be responsible for any assessed interest charge that accrues as a result of a late payment or an underpayment. The rules now include a waiver provision for those situations where there may be circumstances which make it virtually impossible for a remitter to use the electronic payment option or imposes a financial or other hardship. Requests for a waiver must include a statement setting forth the reasons why the waiver should be granted and the statement must be signed by a duly authorized representative of the entity making the payment, certifying that the E:\FR\FM\20MYR1.SGM 20MYR1 29072 Federal Register / Vol. 73, No. 98 / Tuesday, May 20, 2008 / Rules and Regulations late–filed SOAs for digital audio recording devices is comparable to that for satellite carriers. Section 201.28(l)(1) states: information provided is true and correct. II. Proposed Amendments Section 201.17(c)(1) states that: Statements of Account shall cover semiannual accounting periods of (i) January 1 through June 30, and (ii) July 1 through December 31, and shall be deposited in the Copyright Office, together with the total royalty fee for such accounting periods . . . .by not later than the immediately following August 29, if the Statement of Account covers the January 1 through June 30 accounting period, and by not later than the immediately following March 1, if the Statement of Account covers the July 1 through December 31 accounting period. Section 201.17(i)(2) (before it was deleted) stated that: Royalty fee payments submitted as a result of late or amended filings shall include interest. Interest shall begin to accrue beginning on the first day after the close of the period for filing statements of account for all underpayments of royalties for the cable compulsory license occurring within that accounting period. The accrual period shall end on the date appearing on the certified check, cashier’s check, money order or electronic payment submitted by a cable system, provided that such payment is received by the Copyright Office within five business days of that date. If the payment is not received by the Copyright Office within five business days of its date, then the accrual period shall end on the date of the actual receipt by the Copyright Office. jlentini on PROD1PC65 with RULES Morever, Section 201.17(i)(2)(iii) (before it was deleted) stated that ‘‘Interest is not required to be paid on any royalty underpayment or late payment from a particular accounting period if the interest charge is less than or equal to five dollars ($5.00).’’ It is important to note that the Copyright Office’s regulations concerning interest and accrual vis–a– vis late–filed SOAs for satellite carriers is different than that for cable operators. Section 201.11(i)(1) states: Royalty fee payments submitted as a result of late or amended filings will include interest. Interest will begin to accrue beginning on the first day after the close of the period for filing statements of account for all underpayments or late payments of royalties for the satellite carrier statutory license for secondary transmissions for private home viewing occurring within that accounting period. The accrual period will end on the date appearing on the certified check, cashier’s check, money order, or electronic payment submitted by a satellite carrier, provided that such payment is received by the Copyright Office within five business days of that date. If the payment is not received by the Copyright Office within five business days of its date, the accrual period will end on the date of actual receipt by the Copyright Office. (Emphasis added) The Copyright Office’s regulations regarding interest and accrual vis–a–vis VerDate Aug<31>2005 16:52 May 19, 2008 Jkt 214001 Royalty payments submitted as a result of late payments or underpayments shall include interest, which shall begin to accrue on the first day after the close of the period for filing Statements of Account for all late payments or underpayments of royalties occurring within that accounting period. The accrual period for interest shall end on the date appearing on the certified check, cashier’s check, money order, or electronic payment submitted by the manufacturing or importing party, if the payment is received by the Copyright Office within five business days of that date. If the payment is not received by the Copyright Office within five business days of its date, the accrual period shall end on the date of actual receipt by the Copyright Office. (Emphasis added) We note that the five–day language, contained in Section 201.17(i)(2) of the Copyright Office’s rules (before it was deleted), does not extend the Statement of Account filing period deadlines. However, the appropriate interest accrual period for late–filed SOAs has been subject to dispute because the ‘‘five business day’’ language of Section 201.17(i)(2) applies, on its face, to underpayments, not to late payments. It has been the Copyright Office’s Licensing Division’s practice that interest on late payments begins to accrue on the first day after the close of the period for filing statements of account until the date payment is received by the Copyright Office. If the ‘‘five business day’’ language applied in the instance of late payments, which it does not under the practices of the Copyright Office, then the amount of interest due would be less. Given the facts and circumstances, and the need for clarity and administrative consistency, technical amendments to the existing regulations are appropriate. We propose to amend Section 201.17(i) by adding the phrase ‘‘late payments’’ to the existing regulatory language. In the interest of consistency, this change would make the rule largely parallel to Sections 201.11(i) and 201.28(l). As such, all royalty payments made by EFT must be made the day they are due. Interest will begin to accrue the next day for all late– filed submissions and on royalties that are underpaid. The accrual period ends when a full royalty payment is received by the Copyright Office. We also propose to modify the ‘‘five business day’’ rule, currently found in all three regulations, and apply it only to those circumstances where a waiver of the EFT rule is granted by the Copyright Office. While the Office has received very few waivers since the EFT PO 00000 Frm 00036 Fmt 4700 Sfmt 4700 regulations were implemented, we still believe that special provisions concerning royalty payments by check are appropriate. In cases where a waiver is granted, the accrual period ends on the date the mailed payment is postmarked. However, if the payment is not received by the Copyright Office within five business days of its due date, then the accrual period shall end on the date of the actual receipt by the Copyright Office. Finally, Section 201.11(i) is amended to recognize that in 2004, Congress expanded Section 119 to include secondary transmissions to commercial establishments. Satellite Home Viewer Extension and Reauthorization Act of 2004, a part of the Consolidated Appropriations Act of 2004. See Pub. L. No. 108–447, 118 Stat. 3394 (2004) (‘‘Section 107’’). List of Subjects in 37 CFR Part 201 Copyright. Proposed Regulation In consideration of the foregoing, the Copyright Office is amending part 201 of 37 CFR, chapter II in the manner set forth below: I PART 201–GENERAL PROVISIONS 1. The authority citation for part 201 continues to read as follows: I Authority: 17 U.S.C. 702. 2. Revise § 201.11(i)(1) to read as follows: I § 201.11 Satellite carrier statements of account covering statutory licenses for secondary transmissions. * * * * * (i) * * * (1) Interest. Royalty fee payments submitted as a result of late or amended filings will include interest. Interest will begin to accrue beginning on the first day after the close of the period for filing statements of account for all underpayments or late payments of royalties for the satellite carrier statutory license for secondary transmissions for private home viewing and viewing in commercial establishments occurring within that accounting period. The accrual period shall end on the date the electronic payment submitted by a satellite carrier is received by the Copyright Office. In cases where a waiver of the electronic funds transfer requirement is approved by the Copyright Office, and royalties payments are either late or underpaid, the accrual period shall end on the date the payment is postmarked. If the payment is not received by the Copyright Office within five business E:\FR\FM\20MYR1.SGM 20MYR1 Federal Register / Vol. 73, No. 98 / Tuesday, May 20, 2008 / Rules and Regulations days of its date, then the accrual period shall end on the date of the actual receipt by the Copyright Office. * * * * * I 3. Amend § 201.17 by adding paragraph (i)(4) to read as follows: § 201.17 Statements of account covering compulsory licenses for secondary transmissions by cable systems. * * * * * (i) * * * (4) Royalty fee payments submitted as a result of late or amended filings shall include interest. Interest shall begin to accrue beginning on the first day after the close of the period for filing statements of account for all late payments and underpayments of royalties for the cable statutory license occurring within that accounting period. The accrual period shall end on the date the electronic payment submitted by a cable operator is received. The accrual period shall end on the date the electronic payment submitted by a satellite carrier is received by the Copyright Office. In cases where a waiver of the electronic funds transfer requirement is approved by the Copyright Office, and royalties payments are either late or underpaid, the accrual period shall end on the date the payment is postmarked. If the payment is not received by the Copyright Office within five business days of its date, then the accrual period shall end on the date of the actual receipt by the Copyright Office. * * * * * I 4. Revise § 201.28(l))(1) to read as follows: § 201.28 Statements of account for digital audio recording devices or media. jlentini on PROD1PC65 with RULES * * * * * (l) * * * (1) Royalty payments submitted as a result of late payments or underpayments shall include interest, which shall begin to accrue on the first day after the close of the period for filing Statements of Account for all late payments or underpayments of royalties for the digital audio recording obligation occurring within that accounting period. The accrual period shall end on the date the electronic payment submitted by the remitter is received. In cases where a waiver of the electronic funds transfer requirement is approved by the Copyright Office, and royalties payments are either late or underpaid, the accrual period shall end on the date the payment is postmarked. If the payment is not received by the Copyright Office within five business days of its date, then the accrual period VerDate Aug<31>2005 16:52 May 19, 2008 Jkt 214001 shall end on the date of the actual receipt by the Copyright Office. * * * * * Dated: April 30, 2008. Marybeth Peters, Register of Copyrights. Approved by: James H. Billington, The Librarian of Congress. [FR Doc. E8–11274 Filed 5–19–08; 8:45 am] BILLING CODE 1410–30–S ENVIRONMENTAL PROTECTION AGENCY 40 CFR Part 81 [EPA–R09–OAR–2008–0435; FRL–8568–3] Designation of Areas for Air Quality Planning Purposes; California; Ventura Ozone Nonattainment Area; Reclassification to Serious Environmental Protection Agency (EPA). ACTION: Final rule. AGENCY: SUMMARY: Effective June 15, 2004, EPA classified the Ventura County ozone nonattainment area as ‘‘subpart 2/ moderate’’ for the 8-hour ozone standard with an attainment date of no later than June 15, 2010. On February 14, 2008, the California Air Resources Board submitted a request for reclassification of the Ventura County ozone nonattainment area from ‘‘moderate’’ to ‘‘serious.’’ Under section 181(b)(3) of the Clean Air Act, EPA is granting California’s request for voluntary reclassification of the Ventura County ozone nonattainment area to ‘‘serious’’ in today’s document. DATES: Effective Date: This rule is effective on June 19, 2008. ADDRESSES: EPA has established docket number EPA–R09–OAR–2008–0435 for this action. The index to the docket is available electronically at http:// www.regulations.gov and in hard copy at EPA Region IX, 75 Hawthorne Street, San Francisco, California. While all documents in the docket are listed in the index, some information may be publicly available only at the hard copy location (e.g., copyrighted material), and some may not be publicly available in either location (e.g., confidential business information). To inspect the hard copy materials, please schedule an appointment during normal business hours with the contact listed in the FOR FURTHER INFORMATION CONTACT section. FOR FURTHER INFORMATION CONTACT: Dave Jesson, Air Planning Office (AIR– 2), U.S. Environmental Protection PO 00000 Frm 00037 Fmt 4700 Sfmt 4700 29073 Agency, Region IX, (415) 972–3957, jesson.david@epa.gov. SUPPLEMENTARY INFORMATION: Throughout this document, the terms ‘‘we,’’ ‘‘us,’’ and ‘‘our’’ refer to EPA. I. Reclassification of Ventura County to Serious Ozone Nonattainment Effective June 15, 2004, we classified the Ventura County ozone nonattainment area under the Clean Air Act (‘‘Act’’ or CAA) as ‘‘subpart 2/ moderate’’ for the 8-hour ozone national ambient air quality standard (NAAQS). See 69 FR 23858, at 23889 (April 30, 2004); and 40 CFR 81.305. Our classification of Ventura County as a ‘‘moderate’’ ozone nonattainment area establishes a requirement that the area attain the 8-hour ozone NAAQS as expeditiously as practicable, but no later than six years from designation, i.e., June 15, 2010. By letter dated February 14, 2008, the Executive Officer for the California Air Resources Board (CARB) submitted a request to reclassify three California areas designated nonattainment for the 8-hour ozone standard. Ventura was one of the three areas, and for the Ventura County ozone nonattainment area, CARB has requested reclassification from ‘‘moderate’’ to ‘‘serious.’’ We are acting on the request for Ventura in today’s document. In a separate document, we will propose a schedule for required plan submittals for Ventura County under the new classification. We will also act on the requests for the other two areas listed in CARB’s February 14, 2008 letter, as well as the reclassification requests previously received from CARB for the San Joaquin Valley, South Coast, and Coachella Valley ozone nonattainment areas, in a separate document. We are deferring action on the State’s reclassification requests for the five other areas to allow for notification to, and the opportunity for consultation with, the Indian tribes located within the five areas. No Indian tribes are located within Ventura County. In the separate document, we will also propose schedules for required plan submittals under the new classifications for these areas. We are reviewing this request as one made pursuant to section 181(b)(3) of the Act which provides for ‘‘voluntary reclassification’’ and states: ‘‘The Administrator shall grant the request of any State to reclassify a nonattainment area in that State in accordance with table 1 of subsection (a) of this section to a higher classification. The Administrator shall publish a notice in the Federal Register of any such request and of action by the Administrator E:\FR\FM\20MYR1.SGM 20MYR1

Agencies

[Federal Register Volume 73, Number 98 (Tuesday, May 20, 2008)]
[Rules and Regulations]
[Pages 29071-29073]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-11274]


=======================================================================
-----------------------------------------------------------------------

LIBRARY OF CONGRESS

Copyright Office

37 CFR Parts 201

[Docket No. RM 2008-5]


Late-Filed and Underpaid Royalties

AGENCY: Copyright Office, Library of Congress.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: The Copyright Office is amending its rules governing the 
payment of interest on late or underpaid royalty fees under the 
Copyright Act to clarify when interest for late and underpayments is 
due in light of the Copyright Office's electronic funds transfer 
requirement. In addition, the Copyright Office amends the rules to add 
text that was inadvertently deleted by a previous rulemaking action. 
The Copyright Office also makes a technical correction to its satellite 
carrier requirements to recognize changes made to Section 119 in 2004.

EFFECTIVE DATE: May 20, 2008.

FOR FURTHER INFORMATION CONTACT: Ben Golant, Assistant General Counsel, 
and Tanya M. Sandros, General Counsel, Copyright GC/I&R, P.O. Box 
70400, Washington, DC 20024. Telephone: (202) 707-8380. Telefax: (202) 
707-8366.

SUPPLEMENTARY INFORMATION: On August 10, 2006, the Copyright Office 
published a final rule requiring the submission of royalty fees to be 
made by electronic funds transfer (``EFT''). 71 FR 45739 (August 10, 
2006). The purpose of this notice is to make technical amendments to 
Section 201.17(i) and other similar rules for satellite carriers and 
digital audio recording technologies to clarify when interest accrues 
for late and underpayments in light of the recent EFT requirement. In 
addition, we intend to re-insert regulatory text, originally contained 
in Section 201.17(i)(2), that was incorrectly deleted from Title 37 CFR 
when the EFT requirements were adopted.

I. Electronic Funds Transfer Requirement

    Under the new EFT regulations, 37 CFR 201.17(i), a number of 
changes were made regarding the payment of copyright royalties. The 
most important change was that payment could only be made through an 
electronic funds transfer. This change eliminates the options of 
payment by certified or cashier's check, or money order. Most payors 
already use EFTs, and requiring the use of EFTs substantially enhances 
the efficiency of the collection process. The regulations also require 
that the parties submit specific identifying and linking information as 
part of the EFT, and/or as part of a ``remittance advice'' which 
accompanies Statement(s) of Account, and that the ``remittance advice'' 
be faxed or emailed to the Licensing Division. Failure to submit the 
EFT in accordance with the rules may require the remitter to resubmit 
the EFT correctly. Should this occur, the remitter will be responsible 
for any assessed interest charge that accrues as a result of a late 
payment or an underpayment.
    The rules now include a waiver provision for those situations where 
there may be circumstances which make it virtually impossible for a 
remitter to use the electronic payment option or imposes a financial or 
other hardship. Requests for a waiver must include a statement setting 
forth the reasons why the waiver should be granted and the statement 
must be signed by a duly authorized representative of the entity making 
the payment, certifying that the

[[Page 29072]]

information provided is true and correct.

II. Proposed Amendments

    Section 201.17(c)(1) states that:

Statements of Account shall cover semiannual accounting periods of 
(i) January 1 through June 30, and (ii) July 1 through December 31, 
and shall be deposited in the Copyright Office, together with the 
total royalty fee for such accounting periods . . . .by not later 
than the immediately following August 29, if the Statement of 
Account covers the January 1 through June 30 accounting period, and 
by not later than the immediately following March 1, if the 
Statement of Account covers the July 1 through December 31 
accounting period.

    Section 201.17(i)(2) (before it was deleted) stated that:

Royalty fee payments submitted as a result of late or amended 
filings shall include interest. Interest shall begin to accrue 
beginning on the first day after the close of the period for filing 
statements of account for all underpayments of royalties for the 
cable compulsory license occurring within that accounting period. 
The accrual period shall end on the date appearing on the certified 
check, cashier's check, money order or electronic payment submitted 
by a cable system, provided that such payment is received by the 
Copyright Office within five business days of that date. If the 
payment is not received by the Copyright Office within five business 
days of its date, then the accrual period shall end on the date of 
the actual receipt by the Copyright Office.

    Morever, Section 201.17(i)(2)(iii) (before it was deleted) stated 
that ``Interest is not required to be paid on any royalty underpayment 
or late payment from a particular accounting period if the interest 
charge is less than or equal to five dollars ($5.00).''
    It is important to note that the Copyright Office's regulations 
concerning interest and accrual vis-a-vis late-filed SOAs for satellite 
carriers is different than that for cable operators. Section 
201.11(i)(1) states:

Royalty fee payments submitted as a result of late or amended 
filings will include interest. Interest will begin to accrue 
beginning on the first day after the close of the period for filing 
statements of account for all underpayments or late payments of 
royalties for the satellite carrier statutory license for secondary 
transmissions for private home viewing occurring within that 
accounting period. The accrual period will end on the date appearing 
on the certified check, cashier's check, money order, or electronic 
payment submitted by a satellite carrier, provided that such payment 
is received by the Copyright Office within five business days of 
that date. If the payment is not received by the Copyright Office 
within five business days of its date, the accrual period will end 
on the date of actual receipt by the Copyright Office. (Emphasis 
added)

    The Copyright Office's regulations regarding interest and accrual 
vis-a-vis late-filed SOAs for digital audio recording devices is 
comparable to that for satellite carriers. Section 201.28(l)(1) states:

Royalty payments submitted as a result of late payments or 
underpayments shall include interest, which shall begin to accrue on 
the first day after the close of the period for filing Statements of 
Account for all late payments or underpayments of royalties 
occurring within that accounting period. The accrual period for 
interest shall end on the date appearing on the certified check, 
cashier's check, money order, or electronic payment submitted by the 
manufacturing or importing party, if the payment is received by the 
Copyright Office within five business days of that date. If the 
payment is not received by the Copyright Office within five business 
days of its date, the accrual period shall end on the date of actual 
receipt by the Copyright Office. (Emphasis added)

    We note that the five-day language, contained in Section 
201.17(i)(2) of the Copyright Office's rules (before it was deleted), 
does not extend the Statement of Account filing period deadlines. 
However, the appropriate interest accrual period for late-filed SOAs 
has been subject to dispute because the ``five business day'' language 
of Section 201.17(i)(2) applies, on its face, to underpayments, not to 
late payments. It has been the Copyright Office's Licensing Division's 
practice that interest on late payments begins to accrue on the first 
day after the close of the period for filing statements of account 
until the date payment is received by the Copyright Office. If the 
``five business day'' language applied in the instance of late 
payments, which it does not under the practices of the Copyright 
Office, then the amount of interest due would be less.
    Given the facts and circumstances, and the need for clarity and 
administrative consistency, technical amendments to the existing 
regulations are appropriate. We propose to amend Section 201.17(i) by 
adding the phrase ``late payments'' to the existing regulatory 
language. In the interest of consistency, this change would make the 
rule largely parallel to Sections 201.11(i) and 201.28(l). As such, all 
royalty payments made by EFT must be made the day they are due. 
Interest will begin to accrue the next day for all late-filed 
submissions and on royalties that are underpaid. The accrual period 
ends when a full royalty payment is received by the Copyright Office.
    We also propose to modify the ``five business day'' rule, currently 
found in all three regulations, and apply it only to those 
circumstances where a waiver of the EFT rule is granted by the 
Copyright Office. While the Office has received very few waivers since 
the EFT regulations were implemented, we still believe that special 
provisions concerning royalty payments by check are appropriate. In 
cases where a waiver is granted, the accrual period ends on the date 
the mailed payment is postmarked. However, if the payment is not 
received by the Copyright Office within five business days of its due 
date, then the accrual period shall end on the date of the actual 
receipt by the Copyright Office.
    Finally, Section 201.11(i) is amended to recognize that in 2004, 
Congress expanded Section 119 to include secondary transmissions to 
commercial establishments. Satellite Home Viewer Extension and 
Reauthorization Act of 2004, a part of the Consolidated Appropriations 
Act of 2004. See Pub. L. No. 108-447, 118 Stat. 3394 (2004) (``Section 
107'').

List of Subjects in 37 CFR Part 201

    Copyright.

Proposed Regulation

0
In consideration of the foregoing, the Copyright Office is amending 
part 201 of 37 CFR, chapter II in the manner set forth below:

PART 201-GENERAL PROVISIONS

0
1. The authority citation for part 201 continues to read as follows:

    Authority: 17 U.S.C. 702.

0
2. Revise Sec.  201.11(i)(1) to read as follows:


Sec.  201.11  Satellite carrier statements of account covering 
statutory licenses for secondary transmissions.

* * * * *
    (i) * * *
    (1) Interest. Royalty fee payments submitted as a result of late or 
amended filings will include interest. Interest will begin to accrue 
beginning on the first day after the close of the period for filing 
statements of account for all underpayments or late payments of 
royalties for the satellite carrier statutory license for secondary 
transmissions for private home viewing and viewing in commercial 
establishments occurring within that accounting period. The accrual 
period shall end on the date the electronic payment submitted by a 
satellite carrier is received by the Copyright Office. In cases where a 
waiver of the electronic funds transfer requirement is approved by the 
Copyright Office, and royalties payments are either late or underpaid, 
the accrual period shall end on the date the payment is postmarked. If 
the payment is not received by the Copyright Office within five 
business

[[Page 29073]]

days of its date, then the accrual period shall end on the date of the 
actual receipt by the Copyright Office.
* * * * *

0
3. Amend Sec.  201.17 by adding paragraph (i)(4) to read as follows:


Sec.  201.17  Statements of account covering compulsory licenses for 
secondary transmissions by cable systems.

* * * * *
    (i) * * *
    (4) Royalty fee payments submitted as a result of late or amended 
filings shall include interest. Interest shall begin to accrue 
beginning on the first day after the close of the period for filing 
statements of account for all late payments and underpayments of 
royalties for the cable statutory license occurring within that 
accounting period. The accrual period shall end on the date the 
electronic payment submitted by a cable operator is received. The 
accrual period shall end on the date the electronic payment submitted 
by a satellite carrier is received by the Copyright Office. In cases 
where a waiver of the electronic funds transfer requirement is approved 
by the Copyright Office, and royalties payments are either late or 
underpaid, the accrual period shall end on the date the payment is 
postmarked. If the payment is not received by the Copyright Office 
within five business days of its date, then the accrual period shall 
end on the date of the actual receipt by the Copyright Office.
* * * * *

0
4. Revise Sec.  201.28(l))(1) to read as follows:


Sec.  201.28  Statements of account for digital audio recording devices 
or media.

* * * * *
    (l) * * *
    (1) Royalty payments submitted as a result of late payments or 
underpayments shall include interest, which shall begin to accrue on 
the first day after the close of the period for filing Statements of 
Account for all late payments or underpayments of royalties for the 
digital audio recording obligation occurring within that accounting 
period. The accrual period shall end on the date the electronic payment 
submitted by the remitter is received. In cases where a waiver of the 
electronic funds transfer requirement is approved by the Copyright 
Office, and royalties payments are either late or underpaid, the 
accrual period shall end on the date the payment is postmarked. If the 
payment is not received by the Copyright Office within five business 
days of its date, then the accrual period shall end on the date of the 
actual receipt by the Copyright Office.
* * * * *

    Dated: April 30, 2008.
Marybeth Peters,
Register of Copyrights.
    Approved by:
James H. Billington,
The Librarian of Congress.
[FR Doc. E8-11274 Filed 5-19-08; 8:45 am]
BILLING CODE 1410-30-S