Yes you do.
Here in the UK it's even worse, a business will have to pay royalties even if they have a radio switched on playing music on their premises.
I think this is totally stupid. Fair enough, if a radio station wants to play music they should have to pay and if a business wants to play music to their customers they should have to pay. But if a bussiness wants to have a radio on playing to their customers then they shouldn't, because the record company is already receiving royalties from the radio station!
There is also a good arguement to scrap these kind of royalties because playing a band's music actually encourages people to buy their music.
It'll probably cost a lot of money, even for a low powered station.