SSB 3192 (LSB 5823SC (4) 83)

SENATE FILE _____

BY  (PROPOSED COMMITTEE ON LABOR AND BUSINESS RELATIONS BILL BY CHAIRPERSON COURTNEY)

A BILL FOR

An Act relating to the regulation of professional and amateur mixed martial arts matches and events by the labor commissioner and providing penalties.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 90A.1, Code 2009, is amended by adding the following new subsection:
   NEW SUBSECTION.  2A.  “Mixed martial arts match” means a professional or amateur mixed martial arts match or event that is open to the public.
    Sec. 2.  Section 90A.1, subsections 3 and 4, Code 2009, are amended to read as follows:
   3.  “Official” means a person who is employed as a referee, judge, timekeeper, or match physician for a boxing or wrestling match or event covered by this chapter.
   4.  “Participant” means a person involved in the boxing or wrestling a match or event covered by this chapter, and includes contestants, seconds, managers, and similar event personnel.
    Sec. 3.  Section 90A.1, subsection 6, Code 2009, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  c.  Organizes, holds, advertises, or otherwise conducts a mixed martial arts match.
    Sec. 4.  Section 90A.2, subsection 1, Code 2009, is amended to read as follows:
   1.  A person shall not act as a promoter of a professional boxing or wrestling match or a mixed martial arts match without first obtaining a license from the commissioner. This subsection shall not apply to a person distributing a closed-circuit, pay-per-view, or similarly distributed signal to a person acting as a promoter or to a person viewing the signal in a private residence.
    Sec. 5.  Section 90A.4, Code 2009, is amended to read as follows:
   90A.4  Match promoter responsibility.

   The A promoter, as defined in section 90A.1, subsection 6, paragraph “a”, shall be responsible for the conduct of all officials and participants at a professional boxing or wrestling match or event covered by this chapter. The commissioner may reprimand, suspend, deny, or revoke the participation of any promoter, official, or participant for violations of rules adopted by the commissioner. Rulings or decisions of a promoter or an official are not decisions of the commissioner and are not subject to procedures under chapter 17A. The commissioner may take action based upon the rulings or decisions of a promoter or an official. This section shall not apply to a promoter as defined in section 90A.1, subsection 6, paragraph “b”.
    Sec. 6.  Section 90A.5, subsection 1, paragraphs c and h, Code 2009, are amended to read as follows:
   c.  A boxer contestant fails to pass a prefight physical examination.
   h.  A match promoter, professional boxer contestant, or participant is in violation of rules adopted pursuant to section 90A.7.
    Sec. 7.  Section 90A.5, subsection 1, Code 2009, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  i.  A contestant does not present adequate proof of age pursuant to section 90A.12.
    Sec. 8.  Section 90A.6, subsection 1, unnumbered paragraph 1, Code 2009, is amended to read as follows:
   The commissioner may suspend, deny, revoke, annul, or withdraw a license, registration, or authority to participate in a professional boxing or wrestling match or mixed martial arts match if any of the following occur:
    Sec. 9.  Section 90A.9, subsection 1, Code 2009, is amended to read as follows:
   1.  The promoter of a professional boxing or wrestling match or event or a mixed martial arts match shall, within twenty days after the match or event, furnish to the commissioner a written report stating the number of tickets sold, the gross amount of admission proceeds of the professional boxing or wrestling match or event, and other matters the commissioner may prescribe by rule. The value of complimentary tickets in excess of five percent of the number of tickets sold shall be included in the gross admission receipts. Within twenty days of the match or event, the promoter shall pay to the treasurer of state a tax of five percent of its total gross admission receipts, after deducting state sales tax, from the sale of tickets of admission to the professional boxing or wrestling match or event.
    Sec. 10.  Section 90A.11, Code 2009, is amended to read as follows:
   90A.11  License penalty penalties —— cease and desist order.
   1.  A person who acts as a professional boxing or wrestling match promoter, as defined in section 90A.1, without first obtaining a license commits a serious misdemeanor. In addition to criminal penalties, the promoter and shall be liable to the state for the taxes and penalties pursuant to section 90A.9.
   2.  a.  Notwithstanding the procedural requirements of chapter 17A, the commissioner may issue an order to cease and desist a match or event if the criteria of this subsection are met. The county sheriff shall assist with service and enforcement of the commissioner’s order to cease and desist if requested by the commissioner. The provisions of chapter 17A shall apply after enforcement of the order to cease and desist.
   b.  The commissioner may issue an order to cease and desist a match or event if all of the following have occurred:
   (1)  The commissioner conducted an investigation and determined a promoter is organizing, advertising, holding, or conducting an event or match that is within the scope of section 90A.2.
   (2)  The promoter has not applied for or has been denied a license.
   (3)  The deadline to file a timely license application has passed.
   3.  a.  A person who acts as a promoter without first obtaining a license is subject to a civil penalty of not more than ten thousand dollars for each violation.
   b.  The commissioner shall notify the unlicensed promoter of a proposed civil penalty by service in the same manner as an original notice or by certified mail. If within fifteen business days from the receipt of the notice, the unlicensed promoter fails to file a notice of contest in accordance with rules adopted by the commissioner pursuant to chapter 17A, the penalty as proposed shall be deemed final agency action for purposes of judicial review.
   c.  The commissioner shall notify the department of revenue upon final agency action regarding the assessment of a civil penalty against an unlicensed promoter. Interest shall be calculated on the penalty from the date of final agency action.
   d.  Judicial review of final agency action pursuant to this section may be sought in accordance with the terms of section 17A.19. If no petition for judicial review is filed within sixty days after service of the final agency action of the commissioner, the commissioner’s findings of fact and final agency action shall be conclusive in connection with any petition for enforcement which is filed by the commissioner after the expiration of the sixty-day period. The clerk of court, unless otherwise ordered by the court, shall enter a decree enforcing the final agency action and shall transmit a copy of the decree to the commissioner and the unlicensed promoter named in the petition.
   e.  Civil penalties recovered pursuant to this section shall be remitted by the commissioner to the treasurer of state for deposit in the general fund of the state.
    Sec. 11.  Section 90A.12, Code 2009, is amended by adding the following new subsection:
   NEW SUBSECTION.  3.  A person shall not be a contestant in a mixed martial arts match unless the contestant is twenty-one years of age or older. Each contestant shall submit to the commissioner a certified birth certificate, or similar document, validating the contestant’s date of birth prior to the match in order to verify the contestant’s eligibility. 
EXPLANATION
   This bill places the regulation of amateur and professional mixed martial arts (MMA) matches and events under the authority of the labor commissioner.
   An MMA match is defined as a professional or amateur MMA match or event that is open to the public. The definition of “promoter” is expanded to include a person who organizes, holds, advertises, or conducts professional or amateur MMA matches.
   Under Code section 90A.4, promoters are accountable for the conduct of all officials and participants at MMA matches and events.
   Pursuant to Code section 90A.5(1), as amended by the bill, the commissioner may suspend an MMA match or event if an MMA contestant does not pass a required prefight physical exam; if a promoter, contestant, or participant is in violation of any rules; or if an MMA contestant fails to present adequate proof of age in order to compete.
   The commissioner also has the authority in certain circumstances as presented in Code section 90A.6(1) to revoke, deny, or withdraw a license for or deny participation in an MMA match or event.
   Promoters are required to pay taxes on the gross receipts of MMA matches and events. The process and tax are described in Code section 90A.9(1).
   The bill amends Code section 90A.11 to authorize the labor commissioner to impose civil penalties not to exceed $10,000 per violation for acting as a promoter without a license. The labor commissioner may issue a cease and desist order to prevent a promoter from holding an unlicensed event or match.
   The bill provides that an MMA contestant must be at least 21 years of age, and provide proof thereof pursuant to new Code section 90A.12(3).