2016 -- H 7841 SUBSTITUTE A

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LC004970/SUB A

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2016

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A N   A C T

RELATING TO SPORTS, RACING, AND ATHLETICS -- GAMING AND ATHLETICS

LICENSING

     Introduced By: Representative Raymond H. Johnston

     Date Introduced: March 03, 2016

     Referred To: House Corporations

     (Business Regulation)

It is enacted by the General Assembly as follows:

     SECTION 1. The title of Chapter 41-1 of the General Laws entitled "Division of Racing

and Athletics" is hereby amended to read as follows:

CHAPTER 41-1

Division of Racing and Athletics

CHAPTER 41-1

DIVISION OF GAMING AND ATHLETICS LICENSING

     SECTION 2. Sections 41-1-1 and 41-1-3 of the General Laws in Chapter 41-1 entitled

"Division of Racing and Athletics" are hereby amended to read as follows:

     41-1-1. Division of racing and athletics -- Duties Division of gaming and athletics

licensing-- Duties -- Within the department of business regulation there shall be a division of

racing gaming and athletics licensing. The division shall supervise the enforcement of all laws

relating to the regulation and control of racing and athletics, and may in the first instance make

decisions and issue orders, subject to appeal to the racing and athletics hearing board. The

division shall exercise all powers and duties prescribed by chapters 3, 3.1, 4, 5, 7, and 11 of this

title, and all other acts relative to the regulation and supervision of horse racing, dog racing, and

athletics, heretofore performed by the commission on horse racing and athletics. The division

shall exercise all powers and duties prescribed by chapters 3, 3.1, 4, 5, 7, and 11 of this title, and

all other acts relative to the regulation and supervision of horse racing, dog racing, and athletics,

heretofore performed by the commission on horse racing and athletics. The division shall comply

with RI general laws § 42-14-14 in the conduct of any investigation related to any license

application, permit and/or registration related to Chapters 3, 3.1, 4, 7 and 11 of this title. The

division may comply with RI general laws § 42-14-14 in the conduct of any investigation related

to any license application, permit and/or registration related to chapters 5 and 5.2 of this title.

Such investigation shall require the applicant to apply to the bureau of criminal identification of

the Rhode Island state police or the Rhode Island department of the attorney general for a

nationwide criminal records check with fingerprinting. The applicant shall be responsible for

payment of the costs of said criminal records check. The Rhode Island state police or the Rhode

Island department of the attorney general, as applicable, shall send the results of such criminal

records check to the division. Once said results are sent to and received by the Rhode Island

Lottery, the Rhode Island state police and the Rhode Island department of attorney general shall

promptly destroy said fingerprint record(s). On or before February 1, 2011, the agency shall adopt

rules and regulations establishing criteria to be used in determining whether based upon a

criminal records check an application will be approved.

     41-1-3. Construction of references -- Continuity of functions. -- (a) Whenever in any

general or public law, and more particularly in this title, the words "commission on horse racing

and athletics", or the word "commission" in reference to the commission shall appear, the words

shall be deemed to refer to and mean the division of racing and athletics in the department of

business regulation. The division shall be deemed and held to constitute a continuation of the

former commission on horse racing and athletics. The governor is authorized to transfer or

reallocate by executive order the whole or any part of the appropriation of the former commission

on horse racing and athletics to the department and the division.

      (b) Whenever in any general law or public law the words "division of racing and

athletics " shall appear, the words shall be deemed to mean the division of commercial licensing

and racing gaming and athletics licensing in the department of business regulation.

     SECTION 3. Sections 41-3.1-3 and 41-3.1-4 of the General Laws in Chapter 41-3.1

entitled "Dog Racing in Burrillville, Lincoln, and West Greenwich" are hereby amended to read

as follows:

     41-3.1-3. Regulation of operations. -- (a) The division of racing gaming and athletics

licensing is hereby authorized to license dog racing in the towns of Burrillville, Lincoln, and

West Greenwich. The operation of a dog track shall be under the division's supervision. The

division is hereby authorized to issue rules and regulations for the supervision of the operations,

and the regulations are to be issued prior to commencement of licensing hearings.

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      (b) Any license granted under the provisions of this chapter shall be subject to the rules

and regulations promulgated by the division and shall be subject to suspension or revocation for

any cause which the division shall deem sufficient after giving the licensee a reasonable

opportunity for a hearing at which he or she shall have the right to be represented by counsel. If

any license is suspended or revoked, the division shall state the reasons for the suspension or

revocation and cause an entry of the reasons to be made on the record books of the division.

      (c) The division of commercial licensing and racing gaming and athletics licensing in the

department of business regulation shall be prohibited from licensing dog racing and/or the

operation of a dog track upon which dog racing occurs in the town of Lincoln. Any license having

been issued and in effect as of the effective date of this section shall be null and void and any

licensee shall be prohibited form operating thereunder; provided, however, that the following

entities shall be deemed pari-mutuel licensees as defined in § 42-61.2-1 et seq. and licensees as

defined in § 41-11-1 et seq.: (1) Any entity having been issued a license to operate a dog track

prior to December 31, 2008; and (2) Any entity having been issued a license to operate a dog

track prior to December 31, 2008 that after such date is reorganized under a confirmed plan of

reorganization pursuant to chapter 11 of title 11 of the United States Bankruptcy Code (11 U.S.C.

§§ 101 -- 1532); and provided, further, that in the case of a reorganized licensee under clause (2)

above, its application for a Facility Permit license is approved and issued by the department of

business regulation in the event of a proposed change in control of the entity. Nothing herein shall

limit the ability of the department of business regulation, in connection with a proposed change in

control, to investigate and subject to the regulatory due diligence process, any holder of an

ownership interest regardless of percentage of ownership held.

     41-3.1-4. Powers and duties of racing and athletics division Powers and duties of

gaming and athletics licensing division. -- In addition to the other powers conferred upon the

division, the division of racing gaming and athletics licensing shall carry out the provisions of this

chapter, and to that end, the division may:

      (1) Personally or by agent, supervise and check the making of pari-mutuel pools and

wages and the distribution therefrom;

      (2) Fix and set the dates within which any dog track may be operated; provided,

however, there shall be at least one hundred twenty-five (125) days annually of the operation; and

      (3) Require any applicant for a permit to operate a dog track to file an application under

oath setting forth:

      (i) The full name of the person, firm, corporation, or association, and if a corporation, the

name of the state under which it is incorporated, as well as the names of the officers and directors

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of the corporation, and their places of residence, or if an association, the name and residence of

the members of the association;

      (ii) The exact location where it is desired to operate a dog track;

      (iii) Whether or not the dog track is owned or leased, and if leased, the name, residence,

and address of the owners or lessees, or if the owner or lessee be a corporation, the name and

address of the officers and directors thereof;

      (iv) A statement of the assets and liabilities of the person, firm, corporation, or

association making application for the permit; and

      (v) Such other information as the division may require.

     SECTION 4. Sections 41-4-1, 41-4-9, 41-4-9.1, 41-4-10, 41-4-11 and 41-4-12 of the

General Laws in Chapter 41-4 entitled "Mutuel Betting and License Fees" are hereby amended to

read as follows:

     41-4-1. Meets at which betting authorized -- Types of mutuels. -- (a) The division of

racing gaming and athletics licensing may permit at racing events, licensed under the provisions

of chapter 3 of this title betting under pari-mutuel system, so-called, or auction mutuel system, so-

called, except as otherwise provided in this chapter.

      (b) Events run under Class A shall be conducted under the pari-mutuel system only.

      (c) Events run under Classes B, C, and E shall be conducted under the pari-mutuel or

auction mutuel system as the division may determine.

     41-4-9. Accounting system -- Supervision of betting. -- The division of racing gaming

and athletics licensing shall devise a system of accounting and shall supervise betting at a track in

a manner so that the rights of the state are protected, and shall collect all fees and licenses under

such rules and regulations as it shall prescribe.

     41-4-9.1. Licensing of concessioners, vendors, and pari-mutuel totalizator

companies. -- (a) All persons, firms, partnerships, associations, or corporations desiring to

operate any concession allied to any dog racing track, shall apply for a license to the division of

racing gaming and athletics licensing, on such forms and in such a manner as prescribed by

regulations of the division. The division by regulations shall establish other occupational

licensing for all employees of the concessions, all pari-mutuel employees, and all persons

employed in any other capacity by the race track management, and for other persons engaged in

racing activities at any dog racing track.

     (b) All persons, firms, associations, or corporations employed by the management of a

dog racing track in providing pari-mutuel totalizator computer services for pari-mutuel

computations, shall apply for a license to the division of racing gaming and athletics licensing

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upon such forms and in such manner prescribed by regulations of the division. All employees of

the pari-mutuel totalizator computer companies shall be licensed by the division on forms

prescribed by regulations of the division.

     (c) In determining whether to grant a license pursuant to this section the division may

require the applicant to submit information as to: financial standing and credit; moral character;

criminal record, if any; previous employment; corporate, partnership or association affiliations;

ownership of personal assets; and such other information as it deems pertinent to the issuance of

the license. The division may reject for good cause an application for a license, and it may

suspend or revoke for good cause any license issued by it after a hearing held in accordance with

chapter 35 of title 42 and subject to further appeal procedures provided by § 41-2-3.

     (d) The division shall issue a three (3) year license commencing with license year 2007.

The division shall implement a graduated system in 2007 where one third of licenses due to

expire shall be renewed for one year, a second third of licenses due to expire shall be renewed for

two (2) years, and the final third of licenses due to expire shall be renewed for three (3) years,

with licensing fees prorated accordingly. As said licenses become due for renewal, licenses shall

be renewed for a three (3) year period of time. All licenses issued shall be in accordance with

regulations and the following schedule:

     (1) For gaming facility employees:

     (A) Key employees $300.00

     (B) Operation employees $150.00

     (C) Service employees $75.00

     (2) For gaming facility non-employees:

     (A) Concessionaires and vendors: $750.00

     (B) Occupational licenses:

     Owners 450.00

     Trainers 150.00

     Assumed names 150.00

     Kennel people 75.00

     (C) Concessionaire and vendor's employees 75.00

     (D) Pari-mutuel totalizator companies 750.00

     (E) Pari-mutuel totalizator company employees 150.00

      (e) All individual applicants for licensing under this section shall be fingerprinted, and,

upon obtaining the license, shall wear upon his or her outer apparel a photo identification badge,

issued or authorized by the division of racing gaming and athletics licensing under rules and

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regulations promulgated by the division.

     (f) The cost of the licensing pursuant to this section shall be paid by the employer of the

licensee, and shall include one hundred and fifty percent (150%) of the total salaries and benefits

for the state employees engaged in the licensing at each facility. The fund shall be deposited as

restricted receipts for the use of the state and shall be in addition to any taxes and fees otherwise

payable to the state.

     41-4-10. Unclaimed winnings. -- The amount of unclaimed money, as determined by the

division of racing gaming and athletics licensing, now held or which shall hereafter be held by

any licensee, on account of outstanding and un-cashed winning tickets shall, at the expiration of

one year after the close of the meeting during which the tickets were issued, be collected

forthwith from the licensee by the division and shall be paid over to the general treasurer for the

use of the state and all unclaimed money shall be held in an escrow account by the licensee until

collected by the division.

     41-4-11. Entry of premises for inspection of operations. -- The division of racing

gaming and athletics licensing may authorize members of the division or duly authorized deputies

to enter upon the premises at any racing event for the purpose of inspecting books and records,

supervising and examining cashiers, ticket sellers, pool sellers, and other persons handling money

at the event and such other supervision as may be necessary for the maintenance of order at the

event.

     41-4-12. Monthly statement of receipts -- Payments to treasurer. -- The division of

racing gaming and athletics licensing shall, on or before the tenth day of each month, prepare and

file with the general treasurer a full and complete statement of its receipts from all sources, and

shall turn over to the general treasurer all moneys in its possession.

     SECTION 5. Sections 41-5-1, 41-5-3, 41-5-3.1, 41-5-3.2, 41-5-3.3, 41-5-3.4, 41-5-3.5,

41-5-3.6, 41-5-3.7, 41-5-5, 41-5-6, 41-5-7, 41-5-7.1, 41-5-9, 41-5-10, 41-5-11, 41-5-11.1, 41-5-

11.2, 41-5-12, 41-5-13.1, 41-5-15, 41-5-17, 41-5-19, 41-5-20, 41-5-21 and 41-5-24 of the General

Laws in Chapter 41-5 entitled "Boxing and Wrestling" are hereby amended to read as follows:

     41-5-1. License required for boxing exhibitions -- Amateur exhibitions exempt. -- (a)

No boxing or sparring match or exhibition for a prize or a purse, or at which an admission fee is

charged, either directly or indirectly, in the form of dues or otherwise, shall take place or be

conducted in this state unless licensed by the division of racing gaming and athletics licensing in

accordance with this chapter; provided, however, that the provisions of this chapter shall not

apply to any boxing or sparring match or exhibition in which the contestants are amateurs and

which is conducted under the supervision and control of:

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      (1) Any educational institution recognized by the board of governors for higher

education and the board of regents for elementary and secondary education of this state, or

      (2) Any religious or charitable organization or society engaged in the training of youth

and recognized as such by the division of racing gaming and athletics licensing of this state.

      (b) For the purposes of this section an "amateur" shall be deemed to mean a person who

engages in boxing or sparring contests or exhibitions for which no cash prizes are awarded to the

participants, and for which the prize competed for, if any, shall not exceed in value the sum of

twenty-five dollars ($25.00).

     41-5-3. Application for license. -- The division of racing gaming and athletics licensing,

in the discretion of its chairperson or other officer charged with the enforcement of this chapter,

may require any person applying for a license to furnish such information and references as it

may desire. Applications for the license shall be accompanied by a fee of not less than ten dollars

($10.00) nor more than eight hundred dollars ($800), as the division shall fix. Voluntary or

unincorporated associations shall not be entitled to receive a license, and applications in their

behalf shall be made in the name of one or more officers thereof.

     41-5-3.1. Required information on application. -- (a) In addition to such other

information and references as the division of racing gaming and athletics licensing may require,

an application for a license under § 41-5-1 shall be sworn to by the applicant under oath upon the

pains and penalties of perjury and which shall include:

      (1) A card or schedule of all persons who will perform as boxers in the boxing or

sparring match or exhibition for which the license is sought;

      (2) The full legal name of each person, every professional or stage name used by him or

her, and his or her date of birth and social security number;

      (3) A current passport type photograph of each person;

      (4) The complete fight record of each person for the nine (9) months prior to the boxing

or sparring match or exhibition for which the license is sought, including the full legal name of

his or her opponent, any professional or stage name used by his or her opponent at the time of the

match or exhibition, and the date, place, and result of the match or exhibition;

      (5) An itemization of the gross receipts and the expenses anticipated by the applicant in

the conduct of the boxing or sparring match or exhibition for which the license is sought;

      (6) A detailed summary of the contractual agreement between the applicant and each

person who will perform as a boxer in the boxing or sparring match or exhibition for which the

license is sought, including, among other things, the pecuniary gain or other consideration to be

paid to or on behalf of each person by reason of his or her performance in the match or

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exhibition; and

      (7) The name, date of birth, and social security number of the person who will collect,

hold, and transmit to the general treasurer on behalf of the applicant the sums mentioned in § 41-

5-15.

      (b) Notwithstanding the issuance of a license to an applicant under § 41-5-1, the license

shall not be valid unless the holder thereof shall file with the division a sworn supplementary

application updating the original application. The supplementary application shall be filed not

more than thirty-six (36) nor less than twelve (12) hours prior to the starting time for the first

event in the match or exhibition for which the holder has been licensed. In the event that the

licensed match or exhibition is scheduled to be held on a day which is not an ordinary business

day for the division, the supplementary application shall be filed with the division not less than

six (6) hours prior to the close of the last ordinary business day for the division next before the

scheduled day of the match or exhibition.

     41-5-3.2. License issued only to ring equipment owner. -- No license shall be issued by

the division of racing gaming and athletics licensing under § 41-5-1 to an applicant unless the

applicant is the sole owner of the ring equipment to be used in the conduct of the boxing or

sparring match or exhibition for which the license is sought. The division shall require that

satisfactory proof of ownership accompany each application. Sole ownership includes any lease

or rental agreement under which the applicant enjoys control and custody of the ring equipment

substantially equivalent to that of a sole owner.

     41-5-3.3. Insurance required. -- No license issued by the division of racing gaming and

athletics licensing under § 41-5-1 shall be valid unless the license holder shall:

      (1) Within thirty-six (36) hours of the starting time for the first event in the licensed

boxing or sparring match or exhibition have in force such contracts or policies of public liability

insurance and such other contracts or policies of insurance in such amounts as the division shall

reasonably require in connection with the conduct of the match or exhibition, and

      (2) Within twenty-four (24) hours of the starting time furnish to the division satisfactory

proof that the insurance is in force.

     41-5-3.4. Promotion prohibited until license issued. -- (a) No boxing or sparring match

for which a license is required under § 41-5-1 shall be advertised, announced, or otherwise

publicly promoted until:

      (1) The license therefor has been issued by the division of racing gaming and athletics

licensing; or

      (2) The division approves the promotion after a substantially complete application for

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the license has been filed with the division.

      (b) A violation of this section shall be adequate ground for the denial or revocation of a

license.

     41-5-3.5. Inspections of premises and equipment required. -- (a) No license shall be

issued under § 41-5-1 unless the division of racing gaming and athletics licensing shall have

inspected the building where the boxing or sparring match or exhibition is to be conducted and

determined that the building is suitable for the proposed boxing or sparring match or exhibition.

In determining suitability the division shall consider the proposed location for the ring, the

adequacy of the shower and dressing facilities for the performers, and all other matters relevant to

the public welfare. The division shall re-inspect the premises within forty-eight (48) hours of the

starting time for the first event in the licensed match or exhibition and for good cause may

determine that the premises are no longer suitable, in which case the license for the match or

exhibition shall be revoked absolutely or subject to reinstatement upon such terms and conditions

as the division deems appropriate.

      (b) At least four (4) hours prior to the starting time for the first event in a licensed boxing

or sparring match or exhibition, the division shall examine all equipment to be used by the

performers during the match or exhibition, including ring equipment, gloves, and protector cups.

In the event that for good cause the division determines that the conduct of the match or

exhibition with the equipment is not consistent with the highest regard for the safety and well-

being of the performers or the public, the license for the match or exhibition shall be revoked

absolutely or subject to reinstatement upon such terms and conditions as the division deems

appropriate.

     41-5-3.6. Substitutions. -- (a) No substitution of boxers may be made within twenty-

three (23) hours of the starting time for the first event in the boxing or sparring match or

exhibition. If one or more of the boxers listed on the licensee's application fails to appear for his

or her examination in the office of the division of racing gaming and athletics licensing as

prescribed in § 41-5-11, or to enter the ring and perform, and substitution is not permitted under

this section or any other section of this chapter, the contest or contests in which the boxer or

boxers were to appear shall be cancelled and notice of the cancellation shall be made to the public

at the earliest practicable time.

      (b) Any person who paid an admission fee prior to the making of the notice shall, at his

or her election, be entitled to an immediate refund of the admission fee unless the principal draw

in the match or exhibition appeared and performed prior to the making of the notice.

     41-5-3.7. Closed circuit television. -- No closed circuit television shows of matches or

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exhibitions shall be permitted in the state unless the promoter has first obtained a permit from the

division of racing gaming and athletics licensing. A promoter shall submit the application on a

form provided by the division and the application shall contain information pertaining to the

dates, locations, and cities in which the matches shall be shown.

     41-5-5. Separate license for each match -- Approval of city or town authorities. --

The division of racing gaming and athletics licensing shall, subject to the provisions of this

chapter, issue a separate license for each boxing or sparring match and exhibition; provided,

however, that no license shall be issued by the division without the approval of the town council,

police commissioner, board of police commissioners, or other licensing board of the city or town

in which the boxing or sparring match or exhibition is to be held.

     41-5-6. Surety bond filed by licensee. -- No license as provided in § 41-5-1 shall be

granted unless the licensee has executed and filed with the division of racing gaming and athletics

licensing a bond in such penal sum and with such surety or sureties as shall be satisfactory to the

division, running to the state, conditioned upon the payment to the state of the sums mentioned in

§ 41-5-15, and upon faithful compliance by the licensee with the provisions of this chapter, the

rules and regulations of the division, and with such other laws of the state as may be applicable to

anything done by the licensee in pursuance of the license.

     41-5-7. License required for participants and officials in professional matches. -- (a)

No person shall act, except at a purely amateur match or exhibition, directly or indirectly, as

physician, first aid instructor, referee, judge, timekeeper, professional boxer or as manager,

trainer or second of a boxer, at a boxing or sparring match or exhibition unless licensed by the

division of racing gaming and athletics licensing. For the purposes of this chapter a "professional

boxer" is defined as one who competes for a money prize or teaches or pursues or assists in the

practice of boxing as a means of obtaining a livelihood or pecuniary gain.

      (b) In addition to the license requirements set forth in the preceding paragraph the

division of racing gaming and athletics licensing shall have the authority to select referees for

boxing, sparring, or exhibition matches.

     41-5-7.1. Required information on boxer's application for license -- Medical

examination. -- (a) After a license is granted under § 41-5-1 for a boxing or sparring match or

exhibition, no person shall perform as a boxer in the match or exhibition unless he or she shall

have been licensed by the division of racing gaming and athletics licensing at least twenty-four

(24) hours prior to the starting time for the first event in the match or exhibition. In addition to

such other information and references as the division may require, an application to be licensed as

a boxer shall be sworn to by the applicant under oath upon the pains and penalties of perjury and

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shall include:

      (1) A detailed summary of the contractual agreement between the applicant and the

licensee for the boxing or sparring match or exhibition for which the applicant seeks to be

licensed as a boxer, including, among other things, the pecuniary gain or other consideration to be

paid to or on behalf of the applicant by reason of his or her performance in the match or

exhibition;

      (2) A detailed description of every illness, injury, or other incapacity suffered by the

licensee within six (6) months of the boxing or sparring match or exhibition for which the

applicant seeks to be licensed as a boxer, including the dates of each illness, injury, or other

incapacity, the name and address of all persons who treated or examined the applicant, the nature

of the treatment prescribed (including the generic name for any medications or medicines

prescribed), and whether the applicant has recovered;

      (3) The complete fight record of the applicant for the twelve (12) months prior to the

boxing or sparring match or exhibition for which the applicant seeks to be licensed as a boxer,

including the full legal name of his or her opponent, any professional or stage name used by his

or her opponent at the time of the match or exhibition, and the date, place, and results of the

match or exhibition;

      (4) The date and circumstances of any disqualification, sanction, or denial of permission

to box imposed against the applicant by any state authority governing boxing within nine (9)

months of the boxing or sparring match for which the applicant seeks to be licensed as a boxer;

      (5) The full legal name of the applicant, every professional or stage name used by him or

her, and his or her date of birth and social security number; and

      (6) A current passport type photograph of the applicant.

      (b) Notwithstanding the issuance of a license to an applicant, the license shall not be

valid unless the holder thereof shall file with the division a sworn supplementary application

updating his or her original application. The supplementary application shall be filed not more

than forty-eight (48) nor less than twenty-four (24) hours prior to the starting time for the first

event in the match or exhibition for which the holder has been licensed; provided, however, that

no supplementary application shall be required when an original application has been filed within

such time; provided further, however, that in no event shall an original or supplementary

application be filed with the division less than six (6) hours of the closing of business on the last

ordinary business day of the division next occurring before the day on which the match or

exhibition is scheduled to be conducted.

      (c) Every application for a license under § 41-5-7 by a person seeking to be licensed as a

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boxer shall be accompanied by the report of a physician duly licensed by the division. The report

shall certify whether the applicant is fit to perform as a boxer and shall be based on a recently

conducted complete examination of the applicant. The report shall contain a complete medical

history of the applicant and the results of such tests conducted by or on behalf of the examining

physician as the medical history of the applicant warrants or as are material to the physician's

certification.

     41-5-9. Attendance of judges -- Decision. -- The division of racing gaming and athletics

licensing may, in its discretion, require the attendance at any boxing or sparring match or

exhibition of three (3) judges licensed by the division whose duty it shall be to render a decision

at the termination of the boxing or sparring match or exhibition. The decision shall be reached by

the judges using the "ten point must system" as the standard of judgment for all decisions.

     41-5-10. Fees of officials. -- The fees of the referee and other licensed officials, as

established by this chapter, shall be fixed by the division of racing gaming and athletics licensing,

and shall be paid by the licensed organization prior to the exhibition.

     41-5-11. Physician and first aid instructor or licensed practical nurse in attendance -

- Examination of participants before match. -- (a) At any boxing or sparring match or

exhibition there shall be in attendance, at ringside, a duly licensed physician, whose duty it shall

be to observe the physical condition of the boxers and to advise the referee or judges with regard

thereto, and a duly licensed first aid instructor, or licensed practical nurse, whose duty it shall be

to assist the physician and to render such aid to boxers as circumstances may require. Any

competent physician who has had not less than three (3) years' experience as a medical

practitioner may be licensed. Any person holding a valid certification as a first aid instructor

issued by any state chapter of the American Red Cross association and who is competent as such

may be licensed.

      (b) The fee for the physician in attendance and the first aid instructor in attendance, shall

be fixed by the division of racing gaming and athletics licensing, and shall be paid by the licensee

conducting the match or exhibition. The fees shall be tendered to the division at the time the

license for the match or exhibition is issued under § 41-5-1, to be held by the division in escrow

until the services are rendered.

      (c) No boxer shall be permitted to box unless, not more than three (3) hours before, a

physician, licensed under this chapter, shall certify, in writing, that the boxer is physically fit to

engage in the proposed contest. The certification shall be based in part on an examination of the

boxer by a duly licensed physician in the office of the division on the morning of the match or

exhibition or at least six (6) hours before the boxer is scheduled to enter the ring, whichever is

LC004970/SUB A - Page 12 of 21

earlier. The physician's fee, as fixed by the division, shall be paid by the licensee conducting the

match or exhibition prior to the issuance of the certification by the physician. In the event that a

boxer cannot be certified as physically fit to engage in the proposed contest, then such fact shall

be made known to the public prior to the acceptance of an admission fee or the tender of an

admission ticket for the match or exhibition. Any person who pays an admission fee prior to the

disclosure that the boxer is not certified as physically fit shall, at his or her election, be entitled to

an immediate refund of the admission fee. The examinations required by this section shall include

an examination of the boxer's vision and eye condition.

     41-5-11.1. Drug and H.I.V. testing. -- All contestants in a professional boxing or

professional kickboxing match shall submit to drug and H.I.V. testing under such rules and

regulations and for such drugs as the division of racing gaming and athletics licensing shall

prescribe. The costs of the drug testing shall be paid by the contestant and/or promoter for the

boxing or kickboxing match.

     41-5-11.2. Health insurance. -- All contestants in a boxing or sparring match shall carry

such health insurance as the division of racing gaming and athletics licensing shall prescribe, and

shall furnish satisfactory proof of insurance to the division prior to participating in any boxing or

sparring match.

     41-5-12. Duration of matches -- Gloves -- Maximum participation by contestant. --

Boxing or sparring matches or exhibitions shall not exceed twelve (12) rounds in length, and no

round shall exceed three (3) minutes. The contestants shall wear during the contest gloves

weighing ten (10) ounces for contestants one hundred fifty-four (154) pounds or greater and eight

(8) ounce gloves for contestants less than one hundred fifty-four (154) pounds. The gloves shall

be of the webbed thumb variety. No contestant shall participate in more than twelve (12) such

rounds during any period of twenty-four (24) hours. A rest period of at least sixty (60) seconds

shall separate each round. In the event that a boxer's mouthpiece or other protective gear is

damaged, there may be an interruption of the round when there is a lull in the action as

determined by the referee. Protective headgear shall not be required, provided, however, that

upon written application filed by both participating boxers not less than twenty-four (24) hours

prior to a match or exhibition, the division of racing gaming and athletics licensing may review

the match or exhibition to be performed and may waive such provisions of this section as the

division deems appropriate for the particular event to be performed. The application shall be

subscribed to before a notary public or two (2) witnesses who shall affix their respective

signatures and addresses thereto under the pain and penalty of perjury.

     41-5-13.1. Physical knockouts. -- (a) Any boxer suffering a physical knockout during a

LC004970/SUB A - Page 13 of 21

boxing or sparring match or exhibition licensed under § 41-5-1 shall, at the request of his or her

manager or the division of racing gaming and athletics licensing, undergo a magnetic resonant

imaging (MRI) or computerized tomography (CT) test scan within twenty-four (24) hours of the

request. Failure to comply with the request within the prescribed time shall cause the boxer's

license under § 41-5-7 to be revoked by operation of law and shall render the boxer permanently

ineligible for future licensing under § 41-5-7.

      (b) The license under § 41-5-7 of any boxer suffering five (5) physical knockouts in any

twelve (12) month period shall be revoked by operation of law and the boxer shall be

permanently ineligible for future licensing under § 41-5-7.

      (c) Every boxer suffering a physical knockout, at the discretion of the division of racing

gaming and athletics licensing, shall be ineligible to perform in a boxing or sparring match or

exhibition licensed under § 41-5-1 until sixty (60) days have elapsed following the date of the

knockout. The license under § 41-5-7 of every boxer shall be revoked by operation of law

whenever he or she suffers a physical knockout.

      (d) Every boxer suffering a physical knockout during a boxing or sparring match or

exhibition licensed under § 41-5-1 shall submit to an examination by the physician in attendance

immediately following his or her removal from the ring and shall within two (2) hours of the

knockout submit to a complete examination at a local hospital named by the physician in

attendance.

     41-5-15. Tax on admissions -- Accounting and payment -- State inspector. -- (a)

Every licensee holding or conducting any professional boxing or sparring match or exhibition

shall, after its conclusion, pay to the general treasurer for the use of the state a sum equal to five

percent (5%) of the total gross receipts from the sale of tickets and from admission fees;

provided, however, that every licensee holding or conducting any amateur boxing or sparring

match or exhibition shall, at its conclusion, pay to the general treasurer a sum equal to five

percent (5%) of the gross receipts up to one thousand dollars ($1,000) and five percent (5%) of

the balance of the gross receipts; provided, further, however, that if the match or exhibition is

conducted as an incidental feature in an event or entertainment of a different character, the

portion of the total receipts shall be paid to the state as the division of racing gaming and athletics

licensing may determine or as may be fixed by rule adopted under § 41-5-22. Within seventy-two

(72) hours after the conclusion of the match or exhibition, the licensee shall furnish to the

division a report, sworn under oath upon the pains and penalties of perjury, showing the exact

number of tickets sold and admission fees collected for the contest, and the gross receipts thereof,

and such other data as the division may require. All fees for licenses and other income of the

LC004970/SUB A - Page 14 of 21

division shall be turned over to the general treasurer for the use of the state. No licensee shall

distribute more than fifty (50) complimentary tickets in any one event.

      (b) For each match or exhibition the division, through its inspector and upon the

conclusion of the collection of admission fees for the match or exhibition, may examine the box

office admission figures, the admission statements maintained by or on behalf of the licensee, and

such other data as the division may direct. Forthwith upon the conclusion of the match or

exhibition the licensee shall tender to the state inspector the sums mentioned in this section.

Written acceptance of the tender shall be signed by the inspector and counter-signed by the

licensee or an agent of the licensee.

     41-5-17. Suspension or revocation of license. -- Any license granted under this chapter

may be revoked or suspended by the division of racing gaming and athletics licensing for a

violation of any of the provisions of this chapter or of any other law of the state or of any rule or

regulation adopted by the division or whenever the licensee has, in the judgment of the division,

been guilty of any act or offense detrimental to the public interest.

     41-5-19. Witnesses and evidence before division. -- The division of racing gaming and

athletics licensing shall have power to administer oaths, summon and examine witnesses, and

order the production and examination of books, accounts, papers, and records of any club or

organization conducting a boxing or sparring match or exhibition.

     41-5-20. Injunction and abatement of unauthorized matches. -- The superior court

shall have jurisdiction in equity upon any information filed by the division of racing gaming and

athletics licensing, the attorney general of the state, the police authorities of the city or town in

which the boxing or sparring match or exhibition is held or is announced to be held, or of any five

(5) legal voters of the state, stating that a certain building, tenement, or place is used for boxing or

sparring matches or exhibitions by an individual, group, partnership, club, corporation, or

association which is not licensed under this chapter, or contrary to the terms of this chapter, or

that a boxing or sparring match or exhibition is being advertised or announced, or has been

advertised or announced to take place in a certain building or place, or that a certain individual,

club, corporation, or association is selling, exchanging, or giving away tickets, tokens, or symbols

purporting to entitle the holder to the right or privilege of attending a certain boxing or sparring

match or exhibition which is not licensed by the division and is contrary to this chapter, to enjoin

and abate the unauthorized match as a common nuisance.

     41-5-21. Application of chapter to wrestling matches. -- (a) The division of racing

gaming and athletics licensing shall have and exercise the same authority, supervision, and

control over wrestling and exhibitions as is conferred upon the division by this chapter over

LC004970/SUB A - Page 15 of 21

boxing and sparring matches and exhibitions, and the provisions of this chapter, except those of §

41-5-12, shall apply in all respects to wrestling matches and exhibitions to the same extent and

with the same force and effect as they apply to boxing and sparring matches.

      (b) Whenever in this chapter, except in § 41-5-12, the words "boxing or sparring match

or exhibition" or the plural form thereof are used, they shall be construed to include the words

"wrestling match or exhibition" or the plural form thereof, and the word "boxer" shall be

construed to include "wrestler," unless the context otherwise requires, and any person holding,

conducting, or participating in a wrestling match or exhibition shall be subject to the same duties,

liabilities, licensing requirements, penalties, and fees as are imposed by this chapter upon any

person holding, conducting, or participating in a boxing or sparring match or exhibition.

      (c) For the purpose of this chapter a "professional wrestler" is defined as one who

competes for a money prize or teaches or pursues or assists in the practice of wrestling as a means

of obtaining a livelihood or pecuniary gain.

      (d) The division of racing gaming and athletics licensing may waive the provisions of

this chapter within its discretion in the case of wrestling as a form of pre-determined

entertainment.

     41-5-24. Appropriations and disbursements. -- The general assembly shall annually

appropriate such sum as it may deem necessary to carry out the provisions of this chapter, and to

compensate members and employees; the state controller is hereby authorized and directed to

draw his or her orders upon the general treasurer for the sum so appropriated, or so much thereof

as may be necessary upon receipt by him or her of proper vouchers approved by the division of

racing gaming and athletics licensing.

     SECTION 6. Sections 41-5.2-2, 41-5.2-3, 41-5.2-4, 41-5.2-5, 41-5.2-6, 41-5.2-23, 41-

5.2-24, 41-5.2-27, 41-5.2-28 and 41-5.2-29 of the General Laws in Chapter 41-5.2 entitled

"Mixed Martial Arts" are hereby amended to read as follows:

     41-5.2-2. License required for mixed martial arts exhibitions. -- (a) No mixed martial

arts match or exhibition for a prize or a purse, or at which an admission fee is charged, either

directly or indirectly, in the form of dues or otherwise, shall take place or be conducted in this

state unless licensed by the division of racing gaming and athletics licensing in accordance with

this chapter.

     41-5.2-3. Application for license. -- (a) The division of racing gaming and athletics

licensing, at the discretion of its chairperson or other officer charged with the enforcement of this

chapter, may require any person applying for a license to furnish such information and references

as it may desire. Applications for the license shall be accompanied by a fee of not less than ten

LC004970/SUB A - Page 16 of 21

dollars ($10.00) nor more than eight hundred dollars ($800), as the division shall fix. Voluntary

or unincorporated associations shall not be entitled to receive a license, and applications in their

behalf shall be made in the name of one or more officers thereof.

      (b) The division of racing gaming and athletics licensing is further authorized to request

additional information and references as the division may require.

     41-5.2-4. Insurance required. -- No license issued by the division of racing gaming and

athletics licensing under § 41-5.2-2 shall be valid unless the license holder shall:

      (1) Within thirty-six (36) hours of the starting time for the first event in the licensed

boxing or sparring match or exhibition have in force such contracts or policies of public liability

insurance and such other contracts or policies of insurance in such amounts as the division shall

reasonably require in connection with the conduct of the match or exhibition; and

      (2) Within twenty-four (24) hours of the starting time furnish to the division satisfactory

proof that the insurance is in force.

     41-5.2-5. Drug and H.I.V. testing. -- All contestants in a professional mixed martial arts

match shall submit to drug and H.I.V. testing under such rules and regulations and for such drugs

as the division of racing gaming and athletics licensing shall prescribe. The costs of the drug

testing shall be paid by the contestant and/or promoter for the mixed martial arts match.

     41-5.2-6. Health insurance. -- All contestants in a mixed martial arts match shall carry

such health insurance as the division of racing gaming and athletics licensing shall prescribe, and

shall furnish satisfactory proof of insurance to the division prior to participating in any mixed

martial arts match.

     41-5.2-23. Bond procedure. -- All mixed martial arts events shall be subject to the bond

requirements determined by the division of racing gaming and athletics licensing.

     41-5.2-24. Inspectors. -- All mixed martial arts events shall be subject to the presence,

duties and compensation of inspectors as required by the division of racing gaming and athletics

licensing.

     41-5.2-27. Tax on admissions. -- (a) Every licensee holding or conducting any

professional mixed martial arts event or exhibition shall, after its conclusion, pay to the general

treasurer for the use of the state a sum equal to five percent (5%) of the total gross receipts from

the sale of tickets and from admission fees; provided, however, that every licensee holding or

conducting a professional mixed martial arts event or exhibition shall, at its conclusion, pay to the

general treasurer a sum equal to five percent (5%) of the gross receipts up to one thousand dollars

($1,000) and five percent (5%) of the balance of the gross receipts; provided, further, however,

that if the match or exhibition is conducted as an incidental feature in an event or entertainment of

LC004970/SUB A - Page 17 of 21

a different character, the portion of the total receipts shall be paid to the state as the division of

racing gaming and athletics licensing may determine or as may be fixed by rule adopted under §

41-5.2-25. Within seventy-two (72) hours after the conclusion of the match or exhibition, the

licensee shall furnish to the division a report, sworn under oath upon the pains and penalties of

perjury, showing the exact number of tickets sold and admission fees collected for the contest,

and the gross receipts thereof, and such other data as the division may require. All fees for

licenses and other income of the division shall be turned over to the general treasurer for the use

of the state. No licensee shall distribute more than fifty (50) complimentary tickets in any one

event.

      (b) For each match or exhibition the division, through its inspector and upon the

conclusion of the collection of admission fees for the match or exhibition, may examine the box

office admission figures, the admission statements maintained by or on behalf of the licensee, and

such other data as the division may direct. Upon the conclusion of the match or exhibition the

licensee shall tender to the state inspector the sums mentioned in this section. Written acceptance

of the tender shall be signed by the inspector and counter-signed by the licensee or an agent of the

licensee.

     41-5.2-28. Suspension or revocation of license. -- Any license granted under this

chapter may be revoked or suspended by the division of racing gaming and athletics licensing for

a violation of any of the provisions of this chapter or of any other law of the state or of any rule or

regulation adopted by the division or whenever the licensee has, in the judgment of the division,

been guilty of any act or offense detrimental to the public interest.

     41-5.2-29. Physical knockouts. -- (a) Any contestant suffering a physical knockout

during a mixed martial arts match shall, at the request of his or her manager or the division of

racing gaming and athletics licensing, undergo a magnetic resonant imaging (MRI) or

computerized tomography (CT) test scan within twenty-four (24) hours of the request. Failure to

comply with the request within the prescribed time shall cause the contestant's license to be

revoked by operation of law and shall render the contestant permanently ineligible for future

licensing under this chapter.

      (b) The license of any contestant suffering five (5) physical knockouts in any twelve (12)

month period shall be revoked by operation of law and the contestant shall be permanently

ineligible for future licensing as a contestant under this chapter.

      (c) Every contestant suffering a physical knockout, at the discretion of the division of

racing gaming and athletics licensing, shall be ineligible to perform in a mixed martial arts match

licensed under this chapter until sixty (60) days have elapsed following the date of the knockout.

LC004970/SUB A - Page 18 of 21

The license of every contestant shall be revoked by operation of law whenever he or she suffers a

physical knockout.

      (d) Every contestant suffering a physical knockout during a mixed martial arts match

shall submit to an examination by the physician in attendance immediately following his or her

removal from the ring and shall within two (2) hours of the knockout submit to a complete

examination at a local hospital named by the physician in attendance.

     SECTION 7. Section 41-10-1 of the General Laws in Chapter 41-10 entitled "Off Track

Betting" is hereby amended to read as follows:

     41-10-1. License required for off track betting. -- No person, association, or

corporation shall hold or conduct off track betting on any racing event for any stake, purse, or

reward, except such person, association, or corporation as shall be licensed by the division of

racing gaming and athletics licensing as provided by this chapter and as approved by the voters as

required by this chapter.

     SECTION 8. Section 41-11-2 of the General Laws in Chapter 41-11 entitled "Simulcast

Programs from Licensed Betting Facilities" is hereby amended to read as follows:

     41-11-2. Simulcast. -- (a) Notwithstanding the provisions of § 41-4-2 as to location of

programs only, a licensee may enter into a contract with any licensed racing association to

simulcast programs from the facility on certain racing days.

      (b) A licensee may simulcast programs a maximum of two hundred seventy (270) days

in a state fiscal calendar year.

      (c) A licensee shall obtain a permit from the division of racing gaming and athletics

licensing.

      (d) A licensee may accept pari-mutuel wagering on the simulcast at the licensed facility

and not at any other location.

      (e) (1) When the program is a dog race, the licensee shall compensate the owners of dog

kennels who are under contract with the licensee at the time of the program. The compensation

shall be equal to that percentage of the pari-mutuel handle paid to the owners pursuant to the

contract then existing between the licensee and the owners.

      (2) A licensee licensed pursuant to chapter 7 of title 41 who receives simulcasts of dog

races intrastate shall compensate the owners of dog kennels who are under contract with a

licensee licensed pursuant to chapter 3.1 of title 41 at the time of the simulcast an amount equal to

the percentage of the pari-mutuel handle being paid to the dog kennel owners pursuant to their

contracts with the licensee licensed pursuant to chapter 3.1 of title 41.

     SECTION 9. Section 41-5-23 of the General Laws in Chapter 41-5 entitled "Boxing and

LC004970/SUB A - Page 19 of 21

Wrestling" is hereby amended to read as follows:

     41-5-23. Annual report to general assembly. -- The division of gaming racing and

athletics licensing shall make an annual report to the general assembly on or before the first

Wednesday in February, together with any recommendations for legislation, which it may deem

desirable.

     SECTION 10. This act shall take effect upon passage.

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LC004970/SUB A - Page 20 of 21

EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO SPORTS, RACING, AND ATHLETICS -- GAMING AND ATHLETICS

LICENSING

***

     This act would amend the provisions of the general laws referring to the division of

"racing and athletics" to change the term to the "division of gaming and athletics licensing" to

more properly refer to the actual statutory jurisdiction of the division.

     This act would take effect upon passage.

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