t owner a fair return for his creative work
and the copyright user a fair income under existing economic conditions;

(C) To reflect the relative roles of the copyright owner and the
copyright user in the product made available to the public with respect
to relative creative contribution, technological contribution, capital
investment, cost, risk, and contribution to the opening of new markets
for creative expression and media for their communication;

(D) To minimize any disruptive impact on the structure of the industries
involved and on generally prevailing industry practices.

(2) To make determinations concerning the adjustment of the copyright
royalty rates in section 111 solely in accordance with the following
provisions:

(A) The rates established by section 111(d)(1)(B) may be adjusted to
reflect (i) national monetary inflation or deflation or (ii) changes in
the average rates charged cable subscribers for the basic service of
providing secondary transmissions to maintain the real constant dollar
level of the royalty fee per subscriber which existed as of the date of
enactment of this Act: *Provided*, That if the average rates charged
cable system subscribers for the basic service of providing secondary
transmissions are changed so that the average rates exceed national
monetary inflation, no change in the rates established by section 111(d)
(1)(B) shall be permitted: *And provided further, *That no increase in
the royalty fee shall be permitted based on any reduction in the average
number of distant signal equivalents per subscriber. The copyright
arbitration royalty panels may consider all factors relating to the
maintenance of such level of payments including, as an extenuating
factor, whether the industry has been restrained by subscriber rate
regulating authorities from increasing the rates for the basic service
of providing secondary transmissions.

(B) In the event that the rules and regulations of the Federal
Communications Commission are amended at any time after April 15, 1976,
to permit the carriage by cable systems of additional television
broadcast signals beyond the local service area of the primary
transmitters of such signals, the royalty rates established by section
111(d)(1)(B) may be adjusted to insure that the rates for the additional
distant signal equivalents resulting from such carriage are reasonable
in the light of the changes effected by the amendment to such rules and
regulations