No. 32671 (Amendment): R859-1-501. Promoter's Responsibility in Arranging Contests - Permit Fee, Bond, Restrictions

DAR File No.: 32671
Filed: 05/13/2009, 08:19
Received by: NL

RULE ANALYSIS

Purpose of the rule or reason for the change:

The revisions to Title 63C, Chapter 11 during the last legislative session (H.B. 400) removed the section establishing event and broadcasting fees from the statute. Event and broadcast fees now need to be defined through rulemaking. (DAR NOTE: H.B. 400 (2009) is found at Chapter 369, Laws of Utah 2009, and will be effective 07/01/2009.)

Summary of the rule or change:

This amendment defines event and broadcast fees.

State statutory or constitutional authorization for this rule:

Title 63C, Chapter 11

Anticipated cost or savings to:

the state budget:

If there are events with more than 5,000 attendees, there will be increase in event fees that will help offset some of the costs of regulating the events. It is anticipated there will be 1 or 2 events of this size each year which may result a $2,800 annual savings to the state. In addition, for unarmed combat events, if the promoter hasn't submitted the event and card and paid the applicable record keeping fees, the commission will collect the designated record keeping fee(s) established by the Association of Boxing Commissions (ABC). This fee is currently $50 per event or $5 per contestant for boxing and forward the fee(s) to the designated ABC record keeper.

local governments:

There are no anticipated cost or savings since this proposed amendment will not impact local government.

small businesses and persons other than businesses:

For large events attracting more than 5,000 people, the increased cost to a local business or person will be either $400 or $1,400 depending on the size of the event. Then net total increased annual costs to local businesses for large events is anticipated to be less than $2,800. In addition, for unarmed combat events, if the promoter hasn't submitted the event and card and paid the applicable record keeping fees, the commission will collect the designated record keeping fee(s) established by the ABC. This fee is currently $50 per event or $5 per contestant for boxing and forward the fee(s) to the designated ABC record keeper. Assuming 100 unarmed combat events per year, the increase in fees per year is estimated at $5,000.

Compliance costs for affected persons:

The net total increased annual cost to local businesses or individuals is anticipated to be less than $8,000.

Comments by the department head on the fiscal impact the rule may have on businesses:

The net total increased annual cost to local businesses or individuals is anticipated to be less than $8,000. These fees will help offset some of the costs the commission incurs in regulating these events and allow the commission to participate in the ABC designated record keeping databases to help ensure the accuracy of contestant records, including suspensions, medical history, and fight record. Alan Dayton, Chair PSUAC

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Sports Authority (Utah)
Pete Suazo Utah Athletic Commission
324 S STATE ST
STE 500
SALT LAKE CITY UT 84111

Direct questions regarding this rule to:

Bill Colbert at the above address, by phone at 801-538-8876, by FAX at 801-538-8888, or by Internet E-mail at [e-mail]

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

07/01/2009

This rule may become effective on:

07/08/2009

Authorized by:

Bill Colbert, Secretary, PSUAC

RULE TEXT

R859. Sports Authority (Utah), Pete Suazo Utah Athletic Commission.

R859-1. Pete Suazo Utah Athletic Commission Act Rule.

R859-1-501. Promoter's [Responsibility]Responsibilities in Arranging a Contest[s][ - Permit Fee, Bond, Restrictions].

(1) Before a licensed promoter may hold a contest or single contest as part of a single promotion, the promoter shall file with the Commission an application for a permit to hold the contest not less than 15 days before the date of the proposed contest, or not less than seven days for televised contests.

(2) The application shall include the date, time, and place of the contest as well as information concerning the on-site emergency facilities, personnel, and transportation.

(3) The permit application must be accompanied by a contest registration fee determined by the Department under Section 63-38-32.

(4) Before a permit to hold a contest is granted, the promoter shall post a surety bond with the Commission in the amount of $10,000.

(5) Prior to the scheduled time of the contest, the promoter shall have available for inspection the completed physical facilities which will be used directly or indirectly for the contest. The designated Commission member shall inspect the facilities in the presence of the promoter or the promoter's authorized representative, and all deficiencies cited upon inspection shall be corrected before the contest.

(6) A promoter shall be responsible for verifying the identity, ring record, and suspensions of each contestant. A promoter shall be held responsible for the accuracy of the names and records of each of the participating contestants in all publicity or promotional material.

(7) A promoter shall be held responsible for a contest in which one of the contestants is disproportionately outclassed.

(8) Before a contest begins, the promoter shall give the designated Commission member the money for payment of contestants, referees, judges, and the attending physician. The designated Commission member shall pay each contestant, referee, judge, and physician in the presence of one witness.

(9) A promoter shall be not under the influence of alcohol or controlled substances during the contest and until all purses to the contestants and all applicable fees are paid to the commission, officials and ringside physician.

(10) At the time of an unarmed combat contest weigh-in, the promoter of a contest shall provide primary insurance coverage for each uninsured contestant and secondary insurance for each insured contestant in the amount of $10,000 for each licensed contestant to provide medical, surgical and hospital care for licensed contestants who are injured while engaged in a contest or exhibition:

(a) The term of the insurance coverage must not require the contestant to pay a deductible for the medical, surgical or hospital care for injuries he sustains while engaged in a contest of exhibition.

(b) If a licensed contestant pays for the medical, surgical or hospital care, the insurance proceeds must be paid to the contestant or his beneficiaries as reimbursement for the payment.

(c) The promoter should also have life insurance coverage of $10,000 for each contestant in case of death.

(11) In addition to the payment of any other fees and money due under this part, the promoter shall pay the following event fees:

(a)(i) $100 for a contest or event occurring in a venue of fewer than 200 seats;

(ii) $200 for a contest or event occurring in a venue of at least 200 but fewer than 500 seats;

(iii) $300 for a contest or event occurring in a venue of at least 500 seats but fewer than 1,000 seats;

(iv) $400 for a contest or event occurring in a venue of at least 1,000 seats but fewer than 3,000 seats;

(v) $600 for a contest or event occurring in a venue of at least 3,000 seats but fewer than 5,000 seats;

(vi) $1000 for a contest or event occurring in a venue of at least 5,000 seats but fewer than 10,000 seats; or

(viii) $2000 for a contest or event occurring in a venue of at least 10,000 seats; and

(b) 3% of total gross receipts from the sale, lease, or other exploitation of broadcasting, television, and motion picture rights for each contest or exhibition.

(c) the applicable fees assessed by the Association of Boxing Commission designated official record keeper.

(d) the commission may exempt from the payment of all or part of the assessed fees under this section for a special contest or exhibition based on factors which include:

(i) a showcase event promoting a greater interest in contests in the state;

(ii) attraction of the optimum number of spectators;

(iii) costs of promoting and producing the contest or exhibition;

(iv) ticket pricing;

(v) committed promotions and advertising of the contest or exhibition;

(vi) rankings and quality of the contestants; and

(vii) committed television and other media coverage of the contest or exhibition.

(viii) contribution to a 501(c)(3) charitable organization.

 

KEY: licensing, boxing, unarmed combat, white-collar contests

Date of Enactment or Last Substantive Amendment: [March 1], 2009

Notice of Continuation: May 10, 2007

Authorizing, and Implemented or Interpreted Law: 63C-11-101 et seq.