HOUSE BILL No. 6311

 

July 1, 2010, Introduced by Reps. Agema, Green, Meekhof, Proos, Lori, Huckleberry, Mayes, Young, Roy Schmidt, DeShazor, Paul Scott, Ball, Kurtz, Pavlov, Daley, Knollenberg, Spade, Gonzales, Miller, Durhal, Lindberg, Walsh, Booher, Bolger, Meadows, Stamas, Haveman, Hansen, Horn, Cushingberry and Johnson and referred to the Committee on Regulatory Reform.

 

     A bill to regulate amateur mixed martial arts; to create

 

certain commissions and provide certain powers and duties for

 

certain state agencies and departments; to license and regulate

 

certain persons engaged in, and connected to, the business of

 

amateur mixed martial arts and certain persons conducting certain

 

contests and exhibitions; to confer immunity under certain

 

circumstances; to provide for the conducting of certain tests; to

 

assess certain fees; to create certain funds; to promulgate rules;

 

and to provide for penalties and remedies.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. This act shall be known and may be cited as the

 

"Michigan amateur mixed martial arts regulatory act".

 

CHAPTER 1


 

     Sec. 10. As used in this act:

 

     (a) "Amateur" means a person who is not competing and has

 

never competed for a money prize or who is not competing and has

 

never competed with or against a professional for a prize.

 

     (b) "Brazilian ju-jitsu", also known as "Gracie ju-jitsu",

 

means a martial art developed in Brazil by the Gracie family during

 

the mid-twentieth century with a major emphasis on ground fighting

 

and grappling.

 

     (c) "Choke" means a submission technique that restricts blood

 

flow in the carotid arteries, resulting in a competitor's either

 

tapping out or losing consciousness. Some of the most frequently

 

employed chokes are the guillotine choke, rear-naked choke, leg

 

triangle choke, and arm triangle choke.

 

     (d) "Commission" means the Michigan amateur mixed martial arts

 

commission created in section 21.

 

     (e) "Complainant" means a person who has filed a complaint

 

with the department alleging that a person has violated this act or

 

a rule promulgated or order issued under this act.

 

     (f) "Department" means the department of energy, labor, and

 

economic growth.

 

     (g) "Director" means the director of the department.

 

     (h) "Employee of the department" means an individual employed

 

by the department or a person under contract to the commission

 

whose duty it is to enforce the provisions of this act or rules

 

promulgated or orders issued under this act.

 

     (i) "Fish-hooking" means the action of hooking or grasping and

 

pulling the inside of an opponent's cheek so as to control his or


 

her head movement.

 

     (j) "Freestyle wrestling" means an Olympic grappling sport

 

that permits contestants to attack their opponent above and below

 

the waist.

 

     (k) "Fund" means the Michigan amateur mixed martial arts fund

 

created in section 22.

 

     (l) "Good moral character" means good moral character as

 

determined and defined in 1974 PA 381, MCL 338.41 to 338.47.

 

     (m) "Grappling" means a technique of throwing, locking,

 

holding, and wrestling, as opposed to kicking and punching.

 

     (n) "Greco-Roman wrestling" means an Olympic grappling sport

 

in which all holds are applied above the waist in an attempt to

 

throw the opponent.

 

     (o) "Ground and pound" means a term that describes the barrage

 

of strikes delivered by the contestant who is in his or her

 

opponent's guard or in the mount position.

 

     Sec. 11. As used in this act:

 

     (a) "Hammer-fist" means a strike with the small finger side of

 

the fist, as if holding a hammer.

 

     (b) "Ju-jitsu" means gentle art, a traditional Japanese self-

 

defense that includes kicking, striking, kneeing, throwing,

 

choking, and joint locks.

 

     (c) "Judo" means the gentle way, a grappling art created by

 

Jigoro Kano, based on the techniques of ju-jitsu.

 

     (d) "Kickboxing" means a striking sport that permits punches,

 

kicks, and knees.

 

     (e) "Mixed martial arts" means a general term that describes


 

the convergence of techniques from a variety of combative sports

 

disciplines, including boxing, wrestling, judo, ju-jitsu,

 

kickboxing, and others. Mixed martial arts techniques include the

 

use of Brazilian ju-jitsu, chokes, freestyle wrestling, grappling,

 

pankration, Greco-Roman wrestling, shooting, ground and pound,

 

hammer-fist, judo, ju-jitsu, kickboxing, and muay Thai. Mixed

 

martial arts techniques do not include the use of fish-hooking and

 

spiking.

 

     (f) "Muay Thai" means a pure striking art in which blows are

 

delivered with the hands, feet, knees, and elbows.

 

     (g) "Pankration" means an ancient style of Greek wrestling and

 

boxing in which kicks, throws, and joint locks are used.

 

     (h) "Physician" means that term as defined in section 17001 or

 

17501 of the public health code, 1978 PA 368, MCL 333.17001 and

 

333.17501.

 

     (i) "Professional" means a person who is competing or has

 

competed in the past in any professional sport for a money prize.

 

     (j) "Promoter" means any person who produces or stages any

 

contest or exhibition of amateur mixed martial arts, but does not

 

include the venue where the exhibition or contest is being held

 

unless the venue contracts with the individual promoter to be a co-

 

promoter.

 

     (k) "Respondent" means a person against whom a complaint has

 

been filed, who may be a person who is or is required to be

 

licensed under this act.

 

     (l) "Rule" means a rule promulgated under the administrative

 

procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328.


 

     (m) "School", "college", or "university" does not include an

 

institution formed or operated principally to provide instruction

 

in amateur mixed martial arts and other sports.

 

     (n) "Shoot" means a wrestling technique wherein a competitor

 

attempts to capture his or her opponent's legs and take him or her

 

off his feet.

 

     (o) "Spike" or "spiking" means, after lifting and inverting an

 

opponent, attempting to slam him or her headfirst into the canvas.

 

     (p) "Strikes" means a cumulative number of punches

 

administered by a contestant to his or her opponent.

 

CHAPTER 2

 

     Sec. 20. This act does not apply to the following:

 

     (a) Amateur wrestling.

 

     (b) Amateur martial arts sports or activities held by a public

 

or private school.

 

     (c) Contests or exhibitions conducted by or participated in

 

exclusively by an agency of the United States government or by a

 

school, college, or university or an organization composed

 

exclusively of those entities if each participant is an amateur.

 

     Sec. 21. (1) There is created within the department a Michigan

 

amateur mixed martial arts commission, consisting 7 voting members.

 

The purpose of the commission is to administer, enforce, and

 

regulate a program of amateur mixed martial arts.

 

     (2) The commission is an independent and autonomous entity

 

within the department. Subject to subsections (3) and (4), a

 

majority of the members of the commission shall be licensees under

 

this act. The department shall control budgeting, procurement,


 

human resources, information technology, and related management

 

functions of the commission.

 

     (3) Subject to subsection (4), the governor may appoint, as

 

the initial members of the commission who are required to be

 

licensed, individuals who meet either or both of the following

 

qualifications:

 

     (a) Are certified or otherwise approved by a national

 

organization that certifies or otherwise approves individuals in

 

the amateur mixed martial arts.

 

     (b) Have actively engaged in amateur mixed martial arts or

 

taught in an educational institution which prepares applicants for

 

licensure, or a combination of both, for not less than the 2 years

 

immediately preceding their appointment.

 

     (4) Within 3 years after effective date of this act, each

 

individual appointed under subsection (3) shall be licensed under

 

this act.

 

     (5) Of the initial members of the commission, the terms of 3

 

of the members, including 2 of the members who have a license and 1

 

of the members representing the general public, shall be 4 years;

 

the terms of 2 of the members, including 1 of the members who have

 

a license and 1 of the members representing the general public,

 

shall be 3 years; and the terms of 2 of the members, including 1 of

 

the members who have a license and 1 of the members representing

 

the general public, shall be 2 years.

 

     (6) Except as provided in subsection (5), members of the

 

commission shall serve for a term of 4 years.

 

     (7) Five members of the commission constitute a quorum for the


 

exercise of the authority conferred upon the commission. A

 

concurrence of at least 4 of the members, or a concurrence of a

 

majority of those members who have not participated in an

 

investigation or administrative hearing regarding a matter before

 

the commission, is necessary to render a decision by the commission

 

and is considered to be a quorum.

 

     (8) A member of the commission shall not, at any time during

 

his or her service as a member, promote or sponsor any contest or

 

exhibition of amateur mixed martial arts, or combination of those

 

events, or have any financial interest in the promotion or

 

sponsorship of those contests or exhibitions. However, this

 

prohibition does not apply to a member involved in a charity event

 

promoting the sport or in an awards event naming the best in sport.

 

     (9) The commission shall meet not fewer than 4 times per year,

 

and shall schedule additional interim meetings upon request and at

 

the discretion of the chair.

 

     (10) The records of the commission are subject to disclosure

 

under the freedom of information act, 1976 PA 442, MCL 15.231 to

 

15.246.

 

     (11) Meetings of the commission are subject to the open

 

meetings act, 1976 PA 267, MCL 15.261 to 15.275.

 

     Sec. 22. (1) The commission shall elect 1 of its members as

 

the chair of the commission. The commission may purchase and use a

 

seal. The department may promulgate rules for the administration of

 

this act, but only after first consulting with the commission. The

 

commission may request the department to promulgate a rule under

 

section 38 of the administrative procedures act of 1969, 1969 PA


 

306, MCL 24.238. Notwithstanding the time limit provided for in

 

section 38 of the administrative procedures act of 1969, 1969 PA

 

306, MCL 24.238, the department shall respond in writing to any

 

request for rule promulgation by the commission within 30 calendar

 

days after a request. The response shall include a reason and

 

explanation for acceptance or denial of the request.

 

     (2) The department shall promulgate rules to include all of

 

the following:

 

     (a) Number and qualifications of ring officials required at

 

any exhibition or contest.

 

     (b) Powers, duties, and compensation of ring officials.

 

     (c) Qualifications of licensees.

 

     (d) License fees not otherwise provided under this act.

 

     (e) Any necessary standards designed to accommodate federally

 

imposed mandates that do not directly conflict with this act.

 

     (f) A list of enhancers and prohibited substances, the

 

presence of which in a contestant is grounds for suspension or

 

revocation of the license or other sanctions.

 

     (3) An amateur mixed martial arts fund is created as a

 

revolving fund in the state treasury and is administered by the

 

director. The money in the fund is to be used only for the costs of

 

enforcement of this act and for any costs associated with the

 

administration of this act, including, but not limited to,

 

reimbursing the department of attorney general for the reasonable

 

costs of services provided to the department under this act. Money

 

remaining in the fund at the end of the fiscal year and interest

 

earned shall be carried forward into the next fiscal year and shall


 

not revert to the general fund. The department shall deposit into

 

the fund all money received from license fees, event fees, and

 

administrative fines imposed under this act and from any other

 

source. The department shall be the administrator of the fund for

 

auditing purposes.

 

     (4) Annually, the legislature shall fix the per diem

 

compensation of the members of the commission. Travel or other

 

expenses incurred by a commission member in the performance of an

 

official function shall be payable by the department pursuant to

 

the standardized travel regulations of the department of

 

technology, management, and budget.

 

     (5) The commission may affiliate with any other state or

 

national mixed martial arts commission or athletic authority. The

 

commission, upon approval of the director, may enter into any

 

appropriate reciprocity agreements.

 

     (6) The commission and department are vested with management,

 

control, and jurisdiction over all amateur mixed martial arts

 

contests or exhibitions to be conducted, held, or given within this

 

state. Except for any contests or exhibitions exempt from this act,

 

a contest or exhibition shall not be conducted, held, or given

 

within this state except in compliance with this act.

 

     (7) The director, in consultation with the commission, shall

 

promulgate the following rules:

 

     (a) Rules to establish the procedures and standards of the

 

conduct of amateur mixed martial arts under this act. The rules may

 

in whole or in part, adopt by reference any existing standards

 

considered appropriate by the director and the commission.


 

     (b) Rules to impose license fees for participants as further

 

described in section 35. Those fees shall be the substantial

 

equivalent of those participants' license fees imposed upon

 

professional mixed martial arts participants under the Michigan

 

unarmed combat regulatory act, 2004 PA 403, MCL 338.3601 to

 

338.3663.

 

CHAPTER 3

 

     Sec. 30. (1) A person shall not engage in or attempt to engage

 

in an activity regulated under this act unless the person is

 

licensed by the department to engage in that activity or unless the

 

person is exempt from licensure under this act.

 

     (2) A person who violates subsection (1) is guilty of a

 

misdemeanor punishable by a fine of not more than $500.00 or

 

imprisonment for not more than 93 days, or both.

 

     (3) A person who violates subsection (1) a second or any

 

subsequent time is guilty of a misdemeanor punishable by a fine of

 

not more than $1,000.00 or imprisonment for not more than 1 year,

 

or both. However, a person who knowingly puts a professional in the

 

ring with an amateur is guilty of a felony punishable by a fine of

 

$25,000.00 per incident or imprisonment for not more than 5 years,

 

or both.

 

     (4) Notwithstanding the existence and pursuit of any other

 

remedy, an affected person may maintain injunctive action in a

 

court of competent jurisdiction to restrain or prevent a person

 

from violating subsection (1). If successful in obtaining

 

injunctive relief, the affected person shall be entitled to actual

 

costs and attorney fees. As used in this subsection, "affected


 

person" means a person directly affected by the actions of a person

 

suspected of violating this act and includes, but is not limited

 

to, the commission, the department, or a member of the general

 

public.

 

     (5) An investigation may be conducted by the department to

 

enforce this act. A person who violates this act is subject to the

 

strictures prescribed in this section and section 43.

 

     (6) The remedies under this section are independent and

 

cumulative. The use of 1 remedy by a person shall not bar the use

 

of other lawful remedies by that person or the use of a lawful

 

remedy by another person.

 

     Sec. 31. By filing an application for licensure, an applicant

 

does both of the following:

 

     (a) Certifies his or her general suitability, character,

 

integrity, and ability to participate, engage in, or be associated

 

with amateur mixed martial arts contests or exhibitions. The burden

 

of proof is on the applicant to establish to the satisfaction of

 

the commission that the applicant is qualified to participate in

 

mixed martial arts amateur sports.

 

     (b) Accepts the risk of adverse public notice, embarrassment,

 

criticism, financial loss, or other action with respect to his or

 

her application and expressly waives any claim for damages as a

 

result of any adverse public notice, embarrassment, criticism,

 

financial loss, or other action. Any member of the commission or

 

any witness testifying under oath regarding an application and

 

investigation of the applicant is immune from civil liability for

 

libel, slander, or any other tort relative to any written or oral


 

statement made by that person.

 

     Sec. 32. An amateur mixed martial arts contest or exhibition

 

shall not be held or conducted in this state except under a

 

promoter's license issued by the department as provided for in

 

section 33.

 

     Sec. 33. (1) An application for a promoter's license shall be

 

in writing and shall correctly show and define the applicant.

 

     (2) An applicant for a promoter's license shall demonstrate

 

good moral character. If an applicant for a promoter's license is

 

denied a license due to lack of good moral character, the applicant

 

may petition the commission for a review of the decision under

 

section 46.

 

     (3) A promoter shall apply for and obtain an annual license

 

from the department in order to present a program of amateur mixed

 

martial arts contests or exhibitions. The annual license fee is

 

$300.00. The commission shall request, and the applicant shall

 

provide, such information as it determines necessary to ascertain

 

the financial stability of the applicant.

 

     (4) The promoter shall pay an event fee determined by the

 

department to pay for the inspection and the officials at each

 

event.

 

     Sec. 34. (1) The director, in consultation with the

 

commission, may promulgate rules for the application and approval

 

process for promoters. Until the rules are promulgated, the

 

applicant shall comply with the standards described in subsection

 

(2).

 

     (2) The rules regarding the application process shall include


 

at least the following:

 

     (a) An initial application processing fee sufficient to cover

 

the costs of processing, but not less than $300.00.

 

     (b) A requirement that background information be disclosed by

 

the applicant if the applicant is an individual, or by the

 

principal officers or members and individuals having at least a 10%

 

ownership interest if the applicant is any other legal entity, with

 

emphasis on the applicant's business experience.

 

     (c) Information from the applicant that is not more than 7

 

years old concerning past and present civil lawsuits, judgments,

 

and filings under the bankruptcy code.

 

     (d) Any other relevant and material information considered

 

necessary by the director upon consultation with the commission.

 

     (3) As part of the approval process for promoters, the

 

commission may require the applicant or his or her representative

 

to be present at a commission meeting in which the application is

 

considered.

 

     Sec. 35. The department, in consultation with the commission,

 

shall promulgate rules to provide for license fees for all

 

participants in the activities regulated by this act that are not

 

otherwise provided for in this act, including, but not limited to,

 

nurse practitioner, referee, judge, matchmaker, timekeeper, amateur

 

mixed martial artist, amateur contestant, or manager or a second of

 

those persons.

 

CHAPTER 4

 

     Sec. 40. A complaint alleging that a person has violated this

 

act or a rule promulgated or an order issued under this act shall


 

be filed with the commission in writing. The department of attorney

 

general, the department, the commission, or any other person may

 

file a complaint.

 

     Sec. 41. (1) The department, upon receipt of a complaint under

 

section 40, immediately shall begin an investigation of the

 

allegations of the complaint and shall open a correspondence file

 

for tracking purposes. The department shall acknowledge the

 

complaint in writing within 15 days after receipt of the complaint.

 

If the department submits the complaint, the department shall

 

designate 1 or more employees of the department to investigate and

 

report all findings.

 

     (2) The department shall conduct the investigation required

 

under subsection (1). In furtherance of that investigation, the

 

department may request that the attorney general petition a court

 

of competent jurisdiction to issue a subpoena requiring a person to

 

appear before the department and be examined with reference to a

 

matter within the scope of the investigation and to produce books,

 

papers, or documents pertaining to the investigation.

 

     (3) The investigative unit of the department, within 30 days

 

after the department receives the complaint, shall report to the

 

director on the status of the investigation. If, for good cause

 

shown, an investigation cannot be completed within 30 days, the

 

department may extend the time in which a report may be filed.

 

     (4) If the report of the investigative unit of the department

 

does not disclose a violation of this act or a rule promulgated or

 

an order issued under this act, the complaint shall be closed by

 

the department. The reasons for closing the complaint shall be


 

forwarded to the respondent and complainant, who then may provide

 

additional information to reopen the complaint.

 

     (5) If the report of the investigative unit made pursuant to

 

subsection (3) discloses evidence of a violation of this act or a

 

rule promulgated or an order issued under this act, the department

 

or the department of attorney general shall prepare the appropriate

 

action against the respondent, which may be any of the following:

 

     (a) A formal complaint.

 

     (b) A cease and desist order.

 

     (c) A notice of summary suspension subject to sections 42 and

 

48(5).

 

     (6) At any time during its investigation or after the issuance

 

of a formal complaint, the department may bring together the

 

complainant and the respondent for an informal conference. At the

 

informal conference, the department shall attempt to resolve issues

 

raised in the complaint and may attempt to aid the parties in

 

reaching a formal settlement or stipulation.

 

     Sec. 42. (1) After an investigation has been conducted under

 

section 41, the department may issue an order summarily suspending

 

a license based on an affidavit by a person familiar with the facts

 

set forth in the affidavit or, if appropriate, based upon an

 

affidavit on information and belief that an imminent threat to the

 

integrity of the sport, the public interest, and the welfare and

 

safety of an amateur mixed martial arts contestant exists.

 

Thereafter, the proceedings described in this chapter shall be

 

promptly commenced and decided.

 

     (2) A person whose license has been summarily suspended under


 

this section may petition the department to dissolve the order.

 

Upon receiving a petition, the department immediately shall

 

schedule a hearing to decide whether to grant or deny the requested

 

relief.

 

     (3) An administrative law hearings examiner shall grant the

 

requested relief dissolving the summary suspension order, unless

 

sufficient evidence is presented that an imminent threat to the

 

integrity of the sport, the public interest, and the welfare and

 

safety of an amateur mixed martial arts contestant exists that

 

requires emergency action and continuation of the department's

 

summary suspension order.

 

     (4) The record created at the hearing to dissolve a summary

 

suspension order shall become part of the record on the complaint

 

at a subsequent hearing in a contested case.

 

     (5) A summary suspension of an amateur mixed martial arts

 

contestant for refusal or failure to submit to a drug test or a

 

test for the presence of controlled substances, enhancers,

 

prohibited drugs, or other prohibited substances, as described in

 

section 48(5), shall proceed under this section.

 

     Sec. 43. (1) After an investigation has been conducted under

 

section 41, the department may order a person to cease and desist

 

from a violation of this act or a rule promulgated or order issued

 

under this act.

 

     (2) A person ordered to cease and desist may request a hearing

 

before the department if a written request for a hearing is filed

 

within 30 days after the effective date of the order.

 

     (3) Upon a violation of a cease and desist order issued under


 

this act, the department of attorney general may apply to a court

 

of competent jurisdiction to restrain and enjoin, temporarily or

 

permanently, or both, a person from further violating a cease and

 

desist order.

 

     Sec. 44. (1) A summary suspension order, cease and desist

 

order, or injunctive relief issued or granted in relation to a

 

license is in addition to and not in place of an informal

 

conference; criminal prosecution; proceeding to deny, revoke, or

 

suspend a license; or any other action authorized by this act.

 

     (2) After an investigation has been conducted and a formal

 

complaint prepared under section 41, the department shall serve the

 

formal complaint upon the respondent and the complainant. At the

 

same time, the department shall serve the respondent with a notice

 

describing the compliance conference and hearing process and

 

offering the respondent a choice of 1 of the following

 

opportunities:

 

     (a) An opportunity to meet with the department to negotiate a

 

settlement of the matter.

 

     (b) If the respondent is a licensee under this act, an

 

opportunity to demonstrate compliance prior to holding a contested

 

case hearing.

 

     (c) An opportunity to proceed to a contested case hearing.

 

     (3) A respondent upon whom a formal complaint has been served

 

pursuant to this section may select, within 15 days after the

 

receipt of notice, 1 of the options described in subsection (2). If

 

a respondent does not notify the department of the selection of 1

 

of those options within the time period described in this section,


 

then the department shall proceed to a contested case hearing as

 

described in subsection (2)(c).

 

     (4) An informal conference may be attended by a member of the

 

commission, at the discretion of the department, and may result in

 

a settlement, consent order, waiver, default, or other method of

 

settlement agreed upon by the parties and the department. A

 

settlement may include the revocation or suspension of a license;

 

censure; probation; restitution; or a sanction provided for in

 

section 48. The commission may reject a settlement and require a

 

contested case hearing.

 

     (5) An employee of the department may represent the department

 

in any contested case hearing.

 

     (6) This chapter does not prevent a person against whom a

 

complaint has been filed from showing compliance with this act or a

 

rule promulgated or order issued under this act.

 

     (7) The department or the department of the attorney general

 

may petition a court of competent jurisdiction to issue a subpoena

 

to require the person subpoenaed to appear or testify or produce

 

relevant documentary material for examination at a proceeding.

 

     Sec. 45. (1) At the conclusion of a hearing conducted under

 

section 44, the administrative law hearings examiner shall submit a

 

determination of findings of fact and conclusions of law to the

 

department, the department of attorney general, and the commission,

 

in a hearing report. The submitted hearing report may recommend the

 

sanctions to be assessed as prescribed in section 48.

 

     (2) A copy of a hearing report shall be submitted to the

 

complainant and to the respondent.


 

     (3) Within 60 days after receipt of an administrative law

 

hearings examiner's hearing report, the commission shall meet and

 

make a determination of the penalties to be assessed under section

 

48. The commission's determination shall be made on the basis of

 

the administrative law hearings examiner's report. A transcript of

 

a hearing or a portion of the transcript shall be made available to

 

the commission upon request. If a transcript or a portion of the

 

transcript is requested, the commission's determination of the

 

penalty or penalties to be assessed under section 48 shall be made

 

at a meeting held within 60 days after receipt of the transcript or

 

portion of the transcript.

 

     (4) If the commission does not determine the appropriate

 

penalty or penalties to be assessed within the time limits

 

prescribed by subsection (3), the director may determine the

 

appropriate penalty and issue a final order.

 

     (5) A member of the commission who has participated in an

 

investigation or administrative hearing on a complaint filed with

 

the department or who has attended an informal conference shall not

 

participate in making a final determination in a proceeding on that

 

complaint.

 

     Sec. 46. (1) A person seeking a license or renewal under this

 

act may petition the department and the commission for a review if

 

that person does not receive a license or renewal.

 

     (2) A petition submitted under subsection (1) shall be in

 

writing and shall set forth the reasons the petitioner feels that

 

the licensure or renewal should be issued.

 

     (3) The department may issue a license or renewal if, based on


 

a review of the qualifications of the person who submitted a

 

petition under subsection (1), the department and the commission

 

determine that the person could perform the licensed activity with

 

competence.

 

     Sec. 47. (1) The department shall initiate an action under

 

this chapter against an applicant or take any other lawful action

 

against the license of any contestant, promoter, or other

 

participant who the department determines has done any of the

 

following:

 

     (a) Entered into a contract for an amateur mixed martial arts

 

contest or exhibition in bad faith.

 

     (b) Participated in any sham or fake amateur mixed martial

 

arts contest or exhibition.

 

     (c) Participated in an amateur mixed martial arts contest or

 

exhibition pursuant to a collusive understanding or agreement in

 

which the contestant competes or terminates the amateur mixed

 

martial arts contest or exhibition in a manner that is not based

 

upon honest competition or the honest exhibition of the skill of

 

the contestant.

 

     (d) Failed to give his or her best efforts, failed to compete

 

honestly, or failed to give an honest exhibition of his or her

 

skills in an amateur mixed martial arts contest or exhibition.

 

     (e) Performed an act or engaged in conduct that is detrimental

 

to an amateur mixed martial arts contest or exhibition, including,

 

but not limited to, any foul or unsportsmanlike conduct in

 

connection with an amateur mixed martial arts contest or

 

exhibition.


 

     (f) Gambled on the outcome of an amateur mixed martial arts

 

contest or exhibition in which he or she is a contestant, promoter,

 

matchmaker, ring official, or second.

 

     (g) Assaulted another licensee, commission member, or employee

 

of the department while not involved in or while outside the normal

 

course of an amateur mixed martial arts contest or exhibition.

 

     (h) Practiced fraud or deceit in obtaining a license.

 

     (2) The department, in consultation with the commission, shall

 

promulgate rules to provide for both of the following:

 

     (a) The timing of drug tests for contestants.

 

     (b) Specific summary suspension procedures for amateur mixed

 

martial arts contestants and participants who test positive for

 

drugs or fail to submit to a drug test under section 48(3). The

 

rules shall include the following:

 

     (i) A procedure to allow the commission to place the licensee

 

upon the national suspension list.

 

     (ii) An expedited appeal process for the summary suspension.

 

     (iii) A relicensing procedure following summary suspension.

 

     (3) An employee of the department must be present at all

 

weigh-ins, medical examinations, contests, exhibitions, and matches

 

to ensure that this act and rules promulgated under this act are

 

strictly enforced.

 

     (4) Each promoter shall furnish each member of the commission

 

present at an amateur mixed martial arts contest or exhibition with

 

a seat in the area immediately adjacent to the amateur mixed

 

martial arts contest or exhibition. An additional seat shall be

 

provided in the venue.


 

     (5) The commission chair, a commission member assigned by the

 

commission chair, or a department official designated by the

 

commission chair shall have final authority involving any conflict

 

at a contest, exhibition, or match and shall advise the chief

 

inspector in charge accordingly. In the absence of the chair, an

 

assigned member, or a department official designated by the

 

commission chair, the chief inspector in charge shall be the final

 

decision-making authority.

 

     Sec. 48. (1) Upon receipt of an application for reinstatement

 

and the payment of an administrative fine prescribed by the

 

commission, the commission may reinstate a revoked license or lift

 

a suspension. If disciplinary action is taken against a person

 

under this act that does not relate to an amateur mixed martial

 

arts contest or exhibition, the commission may, in lieu of

 

suspending or revoking a license, prescribe an administrative fine

 

not to exceed $10,000.00. If disciplinary action is taken against a

 

person under this act that relates to the preparation for an

 

amateur mixed martial arts contest or an exhibition, the occurrence

 

of an amateur mixed martial arts contest or an exhibition, or any

 

other action taken in conjunction with an amateur mixed martial

 

arts contest or an exhibition, the commission may prescribe an

 

administrative fine not to exceed $100,000.00 in the case of any

 

other person. This administrative fine may be imposed in addition

 

to, or in lieu of, any other disciplinary action that is taken

 

against the person by the commission.

 

     (2) If an administrative fine is imposed under this section,

 

the commission may recover the costs of the proceeding, including


 

investigative costs and attorney fees. The department or the

 

attorney general may bring an action in a court of competent

 

jurisdiction to recover any administrative fines, investigative and

 

other allowable costs, and attorney fees. The filing of an action

 

to recover fines and costs does not bar the imposition of other

 

sanctions under this act.

 

     (3) A participant in an amateur mixed martial arts contest or

 

exhibition shall submit to a postexhibition test of body fluids to

 

determine the presence of controlled substances, prohibited

 

substances, or enhancers. The department shall promulgate rules to

 

set requirements regarding preexhibition tests of body fluids to

 

determine the presence of controlled substances, prohibited

 

substances, or enhancers.

 

     (4) The promoter is responsible for the cost of the testing

 

performed under this section.

 

     (5) Either of the following is grounds for summary suspension

 

of the individual's license in the manner provided for in section

 

42:

 

     (a) A test resulting in a finding of the presence of

 

controlled substances, enhancers, or other prohibited substances as

 

determined by rule of the department.

 

     (b) The refusal or failure of a contestant to submit to the

 

drug testing ordered by an authorized person.

 

CHAPTER 5

 

     Sec. 50. (1) A referee, judge, matchmaker, timekeeper, mixed

 

martial artist, contestant, or manager, or a second of those

 

persons, shall obtain a participant license from the department


 

before participating either directly or indirectly in an amateur

 

mixed martial arts contest or exhibition.

 

     (2) An application for a participant license shall be in

 

writing, shall be verified by the applicant, and shall set forth

 

those facts requested by and conform to the rules promulgated by

 

the department.

 

     (3) The department shall issue an identification card with

 

each contestant's license.

 

     (4) The commission or a member of the commission has standing

 

to contest the issuance or nonissuance of an exhibition or other

 

license by written or electronic communication to the department.

 

     Sec. 51. (1) A person seeking a license under this act as a

 

judge or referee may be required to satisfactorily pass an

 

examination or training program acceptable to the department.

 

     (2) A contestant seeking a license under this act as a

 

contestant shall pass a physical examination that is performed by a

 

licensed physician, a licensed physician's assistant, or a

 

certified nurse practitioner acceptable to the department and the

 

commission.

 

     (3) Until the expiration of 1 year after the effective date of

 

this act, the department shall issue an equivalent license without

 

an examination to a person who is licensed in any capacity under

 

the Michigan unarmed combat regulatory act, 2004 PA 403, MCL

 

338.3601 to 338.3663, on the effective date of this act, upon

 

application on a form provided by the department.

 

     Sec. 52. (1) In addition to the requirements of section 51, a

 

person seeking a license as an amateur referee, judge, or


 

timekeeper shall referee, judge, or keep time for a minimum of 300

 

rounds of competitive amateur mixed martial arts.

 

     (2) After a person has successfully completed the requirements

 

of section 51(2), if applicable, and subsection (1), the commission

 

may issue the person a license.

 

     Sec. 53. (1) In addition to the requirements of section 52, a

 

person seeking a license as an amateur judge shall score,

 

unofficially, not fewer than 200 rounds of amateur mixed martial

 

arts. In order to fulfill the requirements of this subsection, an

 

applicant shall only unofficially judge contests that are approved

 

by the commission for that purpose. An applicant shall not receive

 

compensation for judging amateur mixed martial arts contests or

 

exhibitions under this subsection. Scorecards shall be transmitted

 

to the department and the commission for review and evaluation.

 

     (2) An employee of the department or a person authorized by

 

the commission shall complete a standardized evaluation sheet for

 

each amateur mixed martial arts contest or exhibition judged by a

 

licensee. The commission shall annually review the evaluation

 

sheets. A commission member attending an amateur mixed martial arts

 

contest or exhibition may also submit to the department a

 

standardized evaluation sheet.

 

     Sec. 54. (1) A contestant participating in an amateur mixed

 

martial arts contest or exhibition shall be insured by the promoter

 

for not less than $10,000.00 for medical and hospital expenses to

 

be paid to the contestant to cover injuries sustained in the

 

contest and for not less than $10,000.00 to be paid in accordance

 

with the statutes of descent and distribution of personal property


 

if the contestant should die as a result of injuries received in an

 

amateur mixed martial arts contest or exhibition.

 

     (2) A promoter shall pay the policy premium and deductible

 

regarding any medical or hospital expenses for a contestant's

 

injuries.

 

     Sec. 55. (1) An amateur mixed martial arts contest or

 

exhibition shall be of not more than 3 rounds in length, except

 

that an amateur mixed martial arts contest or exhibition that

 

involves a national or international championship may last not more

 

than 5 rounds in the determination of the department. During a

 

contest, the contestants shall wear gloves weighing at least 6

 

ounces each. Rounds shall be not longer than 3 minutes, with not

 

less than a 1-minute rest between rounds.

 

     (2) A participant in an amateur mixed martial arts contest or

 

exhibition shall be certified to be in proper physical condition by

 

a licensed physician, a licensed physician's assistant, or a

 

certified nurse practitioner before participating in an amateur

 

mixed martial arts contest or exhibition. The department shall

 

designate any medical test that may be required to determine

 

whether the individual is in proper physical condition.

 

     Sec. 56. (1) A licensed physician shall be in attendance at

 

each amateur mixed martial arts contest or exhibition. The

 

physician shall observe the physical condition of the contestants

 

and advise the referee or judges with regard to the health of those

 

contestants. The physician shall examine each contestant before he

 

or she enters the ring.

 

     (2) If, in the opinion of the physician, the health or safety


 

of a contestant requires that the amateur mixed martial arts

 

contest or exhibition in which he or she is participating be

 

terminated, the physician shall notify the referee. The referee

 

shall terminate the amateur mixed martial arts contest or

 

exhibition.

 

     Sec. 57. (1) If a contestant or participant loses

 

consciousness during or as a result of an amateur mixed martial

 

arts contest or exhibition in which he or she participates, he or

 

she shall not again be eligible to participate in an amateur mixed

 

martial arts contest or exhibition in this state unless examined by

 

a physician appointed by the commission and unless the physician

 

certifies the contestant's or participant's fitness to participate.

 

     (2) The contestant or participant shall pay the cost of the

 

examination conducted under subsection (1).

 

CHAPTER 6

 

     Sec. 60. This act takes effect 90 days after the date it is

 

enacted into law.