By:  Barrientos                                       S.B. No. 1319

         Line and page numbers may not match official copy.

         Bill not drafted by TLC or Senate E&E.

                                A BILL TO BE ENTITLED

                                       AN ACT

 1-1     relating to the regulation of boxing and wrestling.

 1-2           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-3           SECTION 1.  Section 3, Texas Boxing and Wrestling Act

 1-4     (Article 8501-1, Vernon's Texas Civil Statutes), is amended to read

 1-5     as follows:

 1-6                 (9)  "Boxing promoter" means a person to be licensed by

 1-7     the commissioner who arranges, advertises, or conducts a boxing

 1-8     contest, match, or exhibition, or shows or causes to be shown in

 1-9     Texas a closed circuit or pay-per-view telecast of any match

1-10     involving any professional participant whether or not the telecast

1-11     originates in Texas.

1-12                 (10)  "Telecast" means any visual transmission sent by

1-13     any means of signal within, into, for or from this State.  It

1-14     includes closed circuit television, pay per view and television

1-15     broadcast via satellite, cable or any other means.

1-16                 (11) [(10)]  "Wrestling promoter" means a person to be

1-17     licensed by [registered with] the commissioner [secretary of state]

1-18     who arranges, advertises, or conducts a wrestling contest, match,

1-19     or exhibition, or shows or causes to be shown in Texas a closed

1-20     circuit or pay-per-view telecast of any match involving any

1-21     professional participant whether or not the telecast originates in

 2-1     Texas.

 2-2                 (12) [(11)]  "Elimination tournament boxing promoter"

 2-3     means a person licensed by the commissioner [department] who

 2-4     arranges, advertises, or conducts an elimination tournament.

 2-5                 (13) [(12)]  "Elimination tournament" means a boxing

 2-6     contest in which elimination tournament contestants compete in a

 2-7     series of matches until only one contestant remains in each weight

 2-8     category.

 2-9                 (14) [(13)]  "Elimination tournament contestant" means

2-10     a person who competes in an elimination tournament.

2-11                 (15) [(14)]  "Championship tournament" means an

2-12     international, state, regional, or national elimination tournament

2-13     that allows the winners of another elimination tournament to

2-14     compete for a championship in each weight category.

2-15                 (16) [(15)]  "Regional tournament" means an elimination

2-16     tournament that allows an elimination tournament contestant from

2-17     outside the immediate area where the tournament is held to compete

2-18     against local tournament contestants.

2-19                 (17) [(16)]  "Local tournament" means an elimination

2-20     tournament that allows only a resident of this state to compete.

2-21                 (18)  "Closed circuit telecast" means any telecast

2-22     which is not intended to be available for viewing without the

2-23     payment of a fee, collected for or based upon such event viewed for

2-24     the privilege of viewing the telecast.  Closed circuit telecast

2-25     includes telecasts of events projected into arenas, stadiums, and

 3-1     places where consumers pay to view the event.

 3-2                 (19)  "Pay-per-view" means any telecast which is not

 3-3     intended to be available for viewing without the payment of a fee,

 3-4     collected for or based upon such event viewed for the privilege of

 3-5     viewing the telecast.  Pay-per-view events include telecasts of

 3-6     events projected into individual consumer homes where consumers pay

 3-7     to view the event.

 3-8                 (20)  "Gross revenue or gross receipts" means the gross

 3-9     price charged for the sale or lease of telecasting, closed circuit

3-10     or pay-per-view rights without any deduction for commissions,

3-11     brokerage fees, production fees, distribution fees, production

3-12     fees, advertising or other expenses or charges, and shall include

3-13     the face value of all tickets sold and complimentary tickets

3-14     redeemed.

3-15                 (21)  "Professional wrestling" means any performance of

3-16     wrestling skills and techniques by two or more professional

3-17     wrestlers, to which any admission is charged. Participating

3-18     wrestlers may not be required to use their best efforts in order to

3-19     win, the winner may have been selected before the performance

3-20     commences and contestants compete for valuable consideration. Such

3-21     contests take place in a rope-enclosed ring and are fought in timed

3-22     rounds.

3-23                 (22)  "Ultimate fighting, Ultimate Fighting

3-24     Championship. or extreme fighting" means any boxing or wrestling

3-25     match, contest or exhibition, between two or more contestants, with

 4-1     or without protective headgear, who use their hands, without

 4-2     gloves, or their feet, or both, and who compete for a financial

 4-3     prize or any item of pecuniary value, and which match, contest, or

 4-4     exhibition is not recognized by and not sanctioned by any

 4-5     officially recognized state, regional or national boxing or

 4-6     athletic sanctioning authority, or any promoter duly licensed by

 4-7     the commissioner of the Texas Department of Licensing and

 4-8     Regulation.

 4-9                 (23)  "System operator" "cable operator" or "facility

4-10     operator" means any person who broadcasts or telecasts a closed

4-11     circuit telecast or pay per view event regardless of the technology

4-12     used to transmit or receive the broadcast or telecast.

4-13                 (24)  "Event" means any occurrence in which a boxer,

4-14     wrestler, or kick boxer displays or exhibits his skills, performs

4-15     or fights.

4-16           SECTION 2.  Section 4 of the Texas Boxing Act (Article

4-17     8501-1, Vernon's Texas Civil Statutes), is amended to read as

4-18     follows:

4-19           (c)  The commissioner is authorized to promulgate rules and

4-20     regulations and hold administrative hearings in accordance with the

4-21     Administrative Procedure [and Texas Register] Act (Government Code,

4-22     Chapter 2001 [(Article 6252-13a, Vernon's Texas Civil Statutes])

4-23     and Article 9100, Vernons Texas Civil Statutes.  The commissioner

4-24     shall promulgate any and all reasonable rules and regulations which

4-25     may be necessary for the purpose of enforcing the provisions of the

 5-1     Boxing and Wrestling Act.  The commissioner is authorized to

 5-2     promulgate rules and regulations governing professional kickboxing

 5-3     contests or exhibitions which shall be fought on the basis of the

 5-4     best efforts of the contestants.  The commissioner shall have the

 5-5     power and authority to revoke or suspend the license or permit of

 5-6     any judge, boxer, manager, referee, timekeeper, second, or boxing

 5-7     promoter for violations of any rule or regulation promulgated

 5-8     pursuant to this Act or for the violation of any provision of this

 5-9     Act, and may deny an application for a license when the applicant

5-10     does not possess the requisite qualifications.

5-11           [(e)  In the conduct of any administrative hearing held

5-12     pursuant to this Act, the commissioner may administer oaths to

5-13     witnesses, receive evidence, and issue subpoenas and subpoenas

5-14     duces tecum to compel the attendance of witnesses and the

5-15     production of papers and documents related to matters under

5-16     investigation.  Administrative hearings shall be held in conformity

5-17     with the Administrative Procedure and Texas Register Act

5-18     (Government Code, Chapter 2001 Article 6252-13a, Vernon's Texas

5-19     Civil Statutes).]

5-20           SECTION 3.  Section 5 of the Texas Boxing Act (Article

5-21     8501-1, Vernon's Texas Civil Statutes) is amended to read as

5-22     follows:

5-23           [(a)]  Any party to the hearing aggrieved by the decision or

5-24     order of the commissioner may secure judicial review as prescribed

5-25     by the Administrative Procedure Act, Government Code 2001,

 6-1     subchapter G CONTESTED CASES: JUDICIAL REVIEW and Article 9100,

 6-2     Vernons Texas Civil Statutes.  Judicial review shall be by the

 6-3     substantial evidence rule. [thereof in the following manner:]

 6-4                 [(1)  The petition must be filed in a district court of

 6-5     Travis County, Texas, within 30 days after the decision or order of

 6-6     the commissioner becomes final.]

 6-7                 [(2)  The filing of a petition for review shall not

 6-8     itself stay the effect of the decision or order complained of, but

 6-9     the commissioner or the reviewing court may order a stay upon

6-10     appropriate terms and if a stay is so granted no supersedeas bond

6-11     shall be required.]

6-12                 [(3)  Service of process.  The petition for review shall

6-13     be served on the commissioner and upon all parties of record in any

6-14     hearing before the commissioner in respect to the matter for which

6-15     review is sought.  After service of such petition upon the

6-16     commissioner and within the time permitted for filing an answer or

6-17     as soon thereafter as the record is made available to the

6-18     commissioner, the commissioner shall certify to the district court

6-19     in which such petition is filed the record of the proceedings to

6-20     which the petition refers.  The cost of preparing and certifying

6-21     such record shall be paid to the commissioner by the petitioner and

6-22     taxed as part of the cost in the case, to be paid as directed by

6-23     the court upon final determination of said case.]

6-24                 [(4)  The review of any decision or order of the

6-25     commissioner shall be tried by the court without a jury in the same

 7-1     manner as civil actions generally, but no evidence shall be

 7-2     admissible which was not adduced at the hearing on the matter

 7-3     before the commissioner or officially noticed in record of such

 7-4     hearing.]

 7-5                 [(5)  The burden of proof shall be on the plaintiff.

 7-6     The reviewing court may affirm the action complained of or remand

 7-7     the matter to the commissioner for further proceedings.]

 7-8                 [(6)  Appeals from any final judgment may be taken by

 7-9     either party in the manner provided for in civil actions generally,

7-10     but no appeal bond shall be required of the commissioner.]

7-11           SECTION 4.  Section 6 of the Texas Boxing Act (Article

7-12     8501-1, Vernon's Texas Civil Statutes) is amended to read as

7-13     follows:

7-14           (a)  A person who violates a provision of this Act or any

7-15     rule or regulation of the department or the commissioner commits a

7-16     Class A misdemeanor.

7-17           (b)  Any person who violates any provision of this Act or the

7-18     rules and regulations of the department or the commissioner may be

7-19     assessed an administrative [a civil] penalty to be paid to the

7-20     State of Texas in an amount not to exceed $1,000 for each such

7-21     violation [as the court may deem proper].

7-22           (c)  Whenever it appears that any person has violated or is

7-23     threatening to violate any of the provisions of this Act or of the

7-24     rules and regulations of the department or the commissioner, either

7-25     the attorney general or the department may cause a civil suit to be

 8-1     instituted either for injunctive relief to restrain such person

 8-2     from continuing the violation or threat of violation or for

 8-3     assessment and recovery of the civil penalty or for both.  Venue

 8-4     for such suit shall be in the district courts of Travis County,

 8-5     Texas.

 8-6           (d)  Any promoter, facility owner or operator, or system

 8-7     operator who intentionally makes a false or fraudulent report

 8-8     required pursuant to this act shall be guilty of a class A

 8-9     misdemeanor.

8-10           (e)  Any promoter, facility owner or operator or system

8-11     operator who intentionally fails to make a report of or to pay the

8-12     taxes as required by this act shall be guilty of a class A

8-13     Misdemeanor.

8-14           SECTION 5.  Section 8 of the Texas Boxing Act (Article

8-15     8501-1, Vernon's Texas Civil Statutes) is amended to read as

8-16     follows:

8-17           (a)  A person state may not act as a boxing or wrestling

8-18     promoter or an elimination tournament boxing promoter until the

8-19     person has been licensed by the commissioner under this Act.  [A

8-20     person may not act as a wrestling promoter until the person has

8-21     registered with the secretary of.]

8-22           (b)  The application for a boxing or wrestling promoter's

8-23     license shall be made upon a form furnished by the commissioner and

8-24     shall be accompanied by the license fee set by the commission.  The

8-25     application for a boxing or wrestling promoter's license shall be

 9-1     accompanied by a surety bond subject to the approval of the

 9-2     commissioner and conditioned on the payment of the tax imposed

 9-3     under Section 11 of this Act. The commissioner shall fix the sum of

 9-4     the surety bond, but the sum may not be less than $300.

 9-5           (c)  The licensing [registration] of a wrestling promoter

 9-6     shall be made on a form furnished by the Commissioner [secretary of

 9-7     state] and shall be accompanied by the licensing [registration] fee

 9-8     set by the Commissioner [secretary of state] in an amount

 9-9     reasonably necessary to cover the administrative costs of licensing

9-10     [registration].  The licensing [registration] application shall be

9-11     accompanied by a $5,000 surety bond to be filed with the

9-12     Commissioner [secretary of state].

9-13           SECTION 6.  Section 9 of the Texas Boxing Act (Article

9-14     8501-1, Vernon's Texas Civil Statutes) is amended to read as

9-15     follows:

9-16           (b)  No person shall act as a professional wrestler, manager

9-17     of a professional wrestler, referee, judge, timekeeper, or

9-18     matchmaker until he has been licensed pursuant to this Act.

9-19           (c) [(b)]  The application for a license shall be made upon a

9-20     form furnished by the commissioner and shall be accompanied by the

9-21     license fee.

9-22           (d)  It is a violation of this Act to furnish false

9-23     information on a license application.

9-24           (e) [(c)]  Revenue obtained from license fees shall be

9-25     deposited to the credit of the General Revenue Fund.

 10-1          SECTION 7.  Section 10 of the Texas Boxing Act (Article

 10-2    8501-1, Vernon's Texas Civil Statutes) is amended to read as

 10-3    follows:

 10-4          (b)  The commissioner is authorized to promulgate rules and

 10-5    regulations setting forth reasonable qualifications for an

 10-6    applicant seeking a license as a wrestler, wrestling promoter,

 10-7    wrestling manager, matchmaker, judge or referee.

 10-8          (c) [(b)]  The commissioner may after investigation and

 10-9    hearing deny an application for a license when the applicant has

10-10    failed to meet the established qualifications or has violated any

10-11    provision of this Act or any rule or regulation issued pursuant to

10-12    this Act.

10-13          (d) [(c)]  The commissioner may waive any license requirement

10-14    for an applicant with a valid license from another state with which

10-15    this state has a reciprocity agreement.

10-16          SECTION 8.  Section 11 of the Texas Boxing Act (Article

10-17    8501-1, Vernon's Texas Civil Statutes) is amended to read as

10-18    follows:

10-19          Sec. 11.  GROSS TAX RECEIPTS OR REVENUE AND REPORTING

10-20    REQUIREMENTS.  (a)  LIVE CONTEST HELD IN TEXAS:  Any person who

10-21    conducts a boxing or wrestling match, contest, or exhibition,

10-22    including an elimination tournament, wherein an admission fee is

10-23    charged, shall furnish to the department within 21 calendar days

10-24    (including weekends) [72 hours] after the termination of the event,

10-25    a duly verified report on a form furnished by the department

 11-1    showing the number of tickets sold, prices charged, and amount of

 11-2    gross receipts obtained from the event.  A cashier's check or money

 11-3    order made payable to the State of Texas in the amount of three

 11-4    percent of the total gross receipts of the event shall be attached

 11-5    to the verified report.

 11-6          (b)  CLOSED CIRCUIT TELECASTS: Any person who charges an

 11-7    admission fee for exhibiting a simultaneous telecast of any event

 11-8    regulated by this Act [live, spontaneous, or current boxing match,

 11-9    contest, or exhibition] on a closed circuit telecast in Texas must

11-10    possess a [boxing] promoter's license issued pursuant to this Act

11-11    and must obtain a permit for each closed circuit telecast shown in

11-12    Texas.  The gross receipts tax described in Section 11(a) e [herein

11-13    is applicable to said telecast, and the boxing] promoter shall

11-14    furnish to the department within 21 calendar days (including

11-15    weekends) [72 hours] after the event a duly verified report on a

11-16    form furnished by the department showing the number of tickets

11-17    sold, prices charged, and amount of gross receipts obtained from

11-18    the event.  A cashier's check or money order made payable to the

11-19    State of Texas in the amount of the tax due shall be attached to

11-20    the verified report.  This section applies to telecasts shown in

11-21    Texas regardless of the origin of the event.

11-22                (1)  Under this section, the promoter shall notify the

11-23    commissioner of the names and addresses of all facilities to or

11-24    through which the closed circuit telecast will be shown fourteen

11-25    (14) days prior to the date of the closed circuit event, and shall

 12-1    provide daily updates to the commissioner of any additions and

 12-2    deletions of facilities.

 12-3          (c)  TELEVISION RIGHTS: Any person who sells television

 12-4    broadcast rights of a boxing or wrestling match, contest, or

 12-5    exhibition must possess a boxing or wrestling promoters license

 12-6    issued pursuant to this Act.  This section applies to the sale of

 12-7    television rights wherein the event is not simultaneously shown in

 12-8    a pay-per-view format.  A three percent tax of the television

 12-9    rights is applicable to such telecasts.  However, such tax on

12-10    television broadcasts shall not exceed $50,000 per event.  The

12-11    boxing or wrestling promoter shall furnish to the Department within

12-12    21 calendar days (including weekends) after the event is televised,

12-13    a duly verified report on a form furnished by the department which

12-14    shows the gross revenue to the promoter for television rights of

12-15    the event.  This section applies only to an event held in Texas.  A

12-16    cashier's check or money order made payable to the State of Texas

12-17    in the amount of the tax due shall be attached to the verified

12-18    report.

12-19          (d)  PAY-PER-VIEW EVENTS: A promoter who charges or receives

12-20    a fee for having an event seen on a pay-per-view telecast that is

12-21    shown in this state, utilizing a cable television system, satellite

12-22    dish or any other means of transmitting or receiving the telecast,

12-23    shall pay three percent of the promoter's gross revenue

12-24    attributable to the individual's or entity's pay-per-view telecast

12-25    fees, exclusive of federal, state, or local tax.  This tax is

 13-1    applicable to the gross revenue from the telecast derived from

 13-2    Texas subscribers, regardless of the origin of the event.  The

 13-3    promoter shall furnish to the Department within 21 calendar days

 13-4    (including weekends) after the event is broadcast, a duly verified

 13-5    report on a form furnished by the department which shows the number

 13-6    of orders sold and the price per order derived from viewership in

 13-7    Texas.  A cashier's check or money order made payable to the State

 13-8    of Texas in the amount of the tax due shall be attached to the

 13-9    verified report.

13-10                (1)  Each system operator, cable operator, or facility

13-11    operator whose facilities are utilized to telecast an event under

13-12    this Act shall, within 15 calendar days (including weekends)

13-13    following the date of the telecast, file a report with the

13-14    Commissioner stating the number of orders sold in Texas and the

13-15    price per order.

13-16                (2)  If an event is sold by the number of rounds

13-17    fought, each system operator, cable operator, or facility operator

13-18    shall report to the Commissioner the price per round, the number of

13-19    orders sold in Texas and the number of rounds fought.

13-20                (3)  System operators, cable operators, or facility

13-21    operators are not responsible for payment of taxes under this Act.

13-22          (e)  The commissioner shall provide forms for reporting under

13-23    this section.

13-24          (f)  The department may audit reports filed under this

13-25    section.

 14-1          (g) [ c)]  Revenue obtained from the gross receipts taxes

 14-2    imposed under this section shall be deposited to the credit of the

 14-3    General Revenue Fund.

 14-4          [(d)  The department may audit a report filed under

 14-5    Subsection (a) of this section made by a person conducting an

 14-6    elimination tournament under this section.]

 14-7          SECTION 8.  New Article 3, Section 21 of the Texas Boxing Act

 14-8    (Article 8501-1, Vernon's Texas Civil Statutes) is added to read as

 14-9    follows:

14-10                          ARTICLE 3 PROHIBITIONS

14-11          Sec. 21.   (a)  Ultimate or extreme fighting is prohibited in

14-12    the State of Texas.

14-13          (b)  Anyone who promotes or participates in ultimate

14-14    fighting, or anyone who serves as an agent, principal partner,

14-15    publicist, vendor, producer, referee, or contractor of or for

14-16    ultimate fighting is guilty of a class "A" misdemeanor.

14-17          (c)  Any medical personnel who administers to, treats or

14-18    assists any participants of ultimate or extreme fighting shall not

14-19    be subject to the provisions of this section.

14-20          (d)  No license or permit will be issued for any contests

14-21    known as "ultimate fighting" or any activities similar in nature.

14-22    For purposes of this Act, "ultimate fighting" shall mean a contest

14-23    or bout whereby any part of the contestant's body may be used as a

14-24    weapon or any means of fighting may be used with the specific

14-25    purpose to intentionally injure the other contestants in such a

 15-1    manner that they may not defend themselves and in which there is no

 15-2    referee. No person, partnership, organization, corporation, limited

 15-3    liability company or association shall conduct, compete or

 15-4    otherwise participate in any contest or bout as defined in this

 15-5    section and Section 3.

 15-6          SECTION 9.  This Act takes effect September 1, 1997.

 15-7          SECTION 10.  The importance of this legislation and the

 15-8    crowded condition of the calendars in both houses create an

 15-9    emergency and an imperative public necessity that the

15-10    constitutional rule requiring bills to be read on three several

15-11    days in each house be suspended, and this rule is hereby suspended.