ss shall, after deducting reasonable
administrative costs under this paragraph, distribute such fees to the
copyright owners entitled to receive them, or to their designated
agents. If the Librarian of Congress finds the existence of a
controversy, the Librarian of Congress shall, pursuant to chapter 8 of
this title, convene a copyright arbitration royalty panel to determine
the distribution of royalty fees.

(C) Withholding of fees during controversy. During the pendency of any
proceeding under this subsection, the Librarian of Congress shall
withhold from distribution an amount sufficient to satisfy all claims
with respect to which a controversy exists, but shall have discretion to
proceed to distribute any amounts that are not in controversy.

(c) Adjustment of Royalty Fees.-

(1) Applicability and determination of royalty fees. The rate of the
royalty fee payable under subsection (b)(1)(B) shall be effective unless
a royalty fee is established under paragraph (2) or (3) of this
subsection.

(2) Fee set by voluntary negotiation.-

(A) Notice of initiation of proceedings. On or before July 1, 1996, the
Librarian of Congress shall cause notice to be published in the Federal
Register of the initiation of voluntary negotiation proceedings for the
purpose of determining the royalty fee to be paid by satellite carriers
under subsection (b)(1)(B).

(B) Negotiations. Satellite carriers, distributors, and copyright owners
entitled to royalty fees under this section shall negotiate in good
faith in an effort to reach a voluntary agreement or voluntary
agreements for the payment of royalty fees. Any such satellite carriers,
distributors, and copyright owners may at any time negotiate and agree
to the royalty fee, and may designate common agents to negotiate, agree
to, or pay such fees. If the parties fail to identify common agents, the
Librarian of Congress shall do so, after requesting recommendations from
the parties to the negotiation proceeding. The parties to each
negotiation proceeding shall bear the entire cost thereof.

(C) Agreements binding on parties; filing of agreements. Voluntary
agreements negotiated at any time in accordance with this paragraph
shall be binding upon all satellite carriers, distributors, and
copyright owners that are parties thereto. Copies of such agreements
shall be filed with the Copyright Office within 30 days after execution
in accordance with regulations that the Register of Co