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<ns0:Id>20250AB__213099INT</ns0:Id>
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<ns0:ActionText>INTRODUCED</ns0:ActionText>
<ns0:ActionDate>2026-02-18</ns0:ActionDate>
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<ns0:SessionYear>2025</ns0:SessionYear>
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<ns0:MeasureNum>2130</ns0:MeasureNum>
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<ns0:AuthorText authorType="LEAD_AUTHOR">Introduced by Assembly Member Haney</ns0:AuthorText>
<ns0:Authors>
<ns0:Legislator>
<ns0:Contribution>LEAD_AUTHOR</ns0:Contribution>
<ns0:House>ASSEMBLY</ns0:House>
<ns0:Name>Haney</ns0:Name>
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<ns0:Title> An act to amend Sections 18613 and 18888.5 of, and to add Section 18829 to, the Business and Professions Code, relating to professions and vocations, and making an appropriation therefor.</ns0:Title>
<ns0:RelatingClause>professions and vocations, and making an appropriation therefor</ns0:RelatingClause>
<ns0:GeneralSubject>
<ns0:Subject>State Athletic Commission: boxing and mixed martial arts: sponsorship contracts.</ns0:Subject>
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<html:p>Existing law, the Boxing Act, also known as the State Athletic Commission Act, creates the State Athletic Commission and makes the commission responsible for licensing and regulating, among other sports, boxing and martial arts, including mixed martial arts. Existing law prohibits a person from engaging in the promotion of, or participating in, a boxing or martial arts contest, match, or exhibition without a license, except as specified.</html:p>
<html:p>Existing law requires the commission to appoint a person exempt from civil service to serve as the executive officer to exercise the powers and perform the duties delegated by the commission. Existing law authorizes the commission to employ certain individuals to perform specified duties.</html:p>
<html:p>This bill would authorize the commission to employ an assistant chief athletic
inspector in charge of training to assist the chief athletic inspector in exercising the above-described duties.</html:p>
<html:p>Existing law establishes the Athletic Commission Fund and requires that all moneys received by the commission under these provisions be remitted to the Treasurer and deposited into that fund. Existing law establishes the Boxers’ Pension Fund (BP Fund) and Mixed Martial Arts Retirement Benefit Fund (MMA Fund), and requires that certain amounts be contributed to those funds, as specified. Existing law makes those funds continuously appropriated and provides that amounts in the funds are to be used exclusively for the purposes and administration of those funds. Existing law makes a violation of these provisions a misdemeanor.</html:p>
<html:p>This bill would authorize the commission to enter into a contract or agreement with specified entities to place the entity’s name, logo, insignia, or brand on the apparel of certain
individuals, including referees, as specified. The bill would prohibit a sponsorship contract from, among other things, promoting a sham or fake contest, as specified.</html:p>
<html:p>This bill would require 25% of the payment received under these contracts to be deposited into the Athletic Commission Fund to be used as prescribed and, notwithstanding the above-described deposit requirement, the remaining 75% of the payment received to be divided between the BP Fund and MMA Fund in a manner that fairly represents the revenue derived from each segment, as determined by the commission and set forth in the sponsorship contract. By depositing the above-described payments into the continuously appropriated funds, the bill would make an appropriation.</html:p>
<html:p>This bill would authorize the commission to adopt regulations for the implementation of these provisions. The bill would declare that, notwithstanding existing law, a violation of these provisions
is not a crime.</html:p>
<html:p>Existing law entitles a martial artist who has vested in the MMA Fund, as prescribed, to specified distributions of amounts held in the martial artist’s regular account, as defined, to be made from the MMA Fund. </html:p>
<html:p>This bill would authorize the commission to, upon a determination that the balance of the MMA Fund sufficiently exceeds the amount needed for anticipated future payments, make a one-time payment from the proceeds of sponsorship contracts in the MMA Fund to those individuals who would have met the January 1, 2026, MMA Fund vesting requirements if the vesting requirements had been established on January 1, 2006. By authorizing new uses of a continuously appropriated fund, this bill would make an appropriation.</html:p>
<html:p>This bill would make legislative findings and declarations related to the furtherance of a public purpose.</html:p>
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<ns0:VoteRequired>TWO_THIRDS</ns0:VoteRequired>
<ns0:Appropriation>YES</ns0:Appropriation>
<ns0:FiscalCommittee>YES</ns0:FiscalCommittee>
<ns0:LocalProgram>NO</ns0:LocalProgram>
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<ns0:Preamble>The people of the State of California do enact as follows:</ns0:Preamble>
<ns0:BillSection id="id_E07DE747-054E-43F2-BAA4-3C0673D7E53C">
<ns0:Num>SECTION 1.</ns0:Num>
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Section 18613 of the
<ns0:DocName>Business and Professions Code</ns0:DocName>
is amended to read:
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<ns0:Num>18613.</ns0:Num>
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<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
The commission shall appoint a person exempt from civil service who shall be designated as an executive officer and who shall exercise the powers and perform the duties delegated by the commission and vested in the executive officer by this chapter. The appointment of the executive officer is subject to the approval of the Director of Consumer Affairs.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The commission may employ a chief athletic inspector. If the commission employs a chief athletic inspector, the chief athletic inspector shall exercise the powers and perform the duties delegated by the commission and authorized by the executive officer related to the regulation of events under this chapter.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The
commission may employ an assistant chief athletic inspector. If the commission employs an assistant chief athletic inspector, the assistant chief athletic inspector shall assist the chief athletic inspector in exercising the powers and performing the duties delegated by the commission and authorized by the executive officer related to the regulation of events under this chapter.
</html:p>
<html:p>
(4)
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The commission may employ an assistant chief athletic inspector in charge of training. If the commission employs an assistant chief athletic inspector in charge of training, the assistant chief athletic inspector in charge of training shall assist the chief athletic inspector in exercising the powers and performing the duties delegated by the commission and authorized by the executive officer related to regulation of events under this chapter.
</html:p>
<html:p>
(5)
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The commission may employ in accordance with Section 154 other personnel as may be necessary for the administration of this chapter.
</html:p>
<html:p>
(b)
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(1)
<html:span class="EnSpace"/>
(A)
<html:span class="EnSpace"/>
Pursuant to Section 820.2 of the Government Code, the executive officer appointed pursuant to this section shall not be liable for discretionary acts taken while performing duties pursuant to this chapter.
</html:p>
<html:p>
(B)
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This paragraph is declaratory of existing law and does not constitute a change in existing law.
</html:p>
<html:p>
(2)
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The approval of contests and the assignment of officials for contests by the executive officer under this chapter shall be considered discretionary acts
pursuant to Section 820.2 of the Government Code.
</html:p>
<html:p>
(c)
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This section shall remain in effect only until January 1, 2029, and as of that date is repealed.
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<ns0:Num>SEC. 2.</ns0:Num>
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Section 18829 is added to the
<ns0:DocName>Business and Professions Code</ns0:DocName>
, to read:
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<ns0:Num>18829.</ns0:Num>
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<html:p>
(a)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
Notwithstanding any other law, the commission may enter into a contract with an approved sponsor to place the sponsor’s name or logo, as approved by the commission, on referee, licensee, commission staff, and ringside physician apparel.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Notwithstanding any other law, the commission may enter into an agreement with an Indian tribe or a nonprofit organization to display the name, logo, insignia, or brand, as approved by the commission, of the Indian tribe or nonprofit organization as described in paragraph (1).
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
A contract or agreement entered into pursuant to this section shall be at the discretion of the commission and shall not be subject to any
of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Competitive bidding or any other state contracting requirements.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Review, consent, or approval of any other state department or agency.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
The State Contracting Manual, the State Administrative Manual, the Public Contract Code, or the personal services contracting requirements of Article 4 (commencing with Section 19130) of Chapter 5 of Part 2 of Division 5 of Title 2 of the Government Code.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
Notwithstanding Section 18800, payment received by the commission for a sponsorship pursuant to this section shall be distributed as follows:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Seventy-five percent of the payment shall be divided between the Boxers’ Pension Fund and the Mixed Martial Arts Retirement
Benefit Fund in a manner that fairly represents the revenue derived from each segment, as determined by the commission and set forth in the sponsorship contract.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Twenty-five percent of the payment shall be deposited into the Athletic Commission Fund to be used for referee training, payment, and education.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
Sponsorship contracts entered into pursuant to this section shall not do either of the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Promote a sham or fake contest, as those terms are used in Section 18858.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Promote the use of prohibited substances, as described in Section 18649, or illegal substances.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
The commission may adopt regulations for the implementation of this section, and, notwithstanding
Section 18611, regulations adopted by the commission for the implementation of this section shall be exempt from the rulemaking provisions of the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code).
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
For purposes of this section, the following definitions apply:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
“Approved sponsor” means a sponsor for whom both of the following are true:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
The sponsor is in compliance with all applicable laws and regulations pertaining to their business or profession.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
The sponsor does not have a financial interest in a licensee participating in, or the outcome of, a contest in which the sponsor’s name or approved logo appears pursuant to this section.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
“Indian tribe” means a federally recognized Indian tribe and any department, division, subdivision, agency, or arm or instrumentality thereof.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
“Nonprofit organization” means a tax-exempt organization as defined under Section 501(c)(3) of the Internal Revenue Code.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
Notwithstanding Section 18878, a violation of this section is not a crime.
</html:p>
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<ns0:Num>SEC. 3.</ns0:Num>
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Section 18888.5 of the
<ns0:DocName>Business and Professions Code</ns0:DocName>
is amended to read:
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<ns0:LawSection id="id_8A1DF2A0-79DA-4687-B9A9-F098ABBED9A1">
<ns0:Num>18888.5.</ns0:Num>
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<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
After the participating martial artist has vested in the MMA Fund, the participating martial artist shall not be entitled to distribution of the funds held in the participating martial artist’s regular account until the participating martial artist is at least 50 years of age.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
(1)
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Notwithstanding subdivision (a), the commission may, in its discretion, award to a participating martial artist, who has vested in the MMA Fund but is younger than 50 years old, an early retirement benefit for vocational, education, training, or medical need in the amount contained in the participating martial artist’s regular account at the time the commission makes this award and in the manner provided in the regulations governing the MMA Fund.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Upon distribution of the early retirement benefit authorized by paragraph (1) to the participating martial artist, the participating martial artist’s regular account shall be closed, and the participating martial artist shall not receive, or otherwise be eligible for, any further contributions to the regular account or retirement benefits from the MMA Fund.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Notwithstanding any other law, information submitted by or to a participating martial artist pursuant to this subdivision shall be confidential and not subject to public disclosure unless any of the following applies:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
The martial artist, in writing, waives the confidentiality of information submitted to the commission.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
The information is disclosed pursuant to a lawfully issued
subpoena.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
The information is disclosed pursuant to a written request from a government agency responsible for the enforcement of civil or criminal laws or the professional licensing of individuals that is conducting an investigation about the person who submitted the information to the commission.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
Notwithstanding any other law, if the commission determines that the balance in the MMA Fund sufficiently exceeds the amount needed for anticipated future payments from the MMA Fund, the commission may make a one-time payment from revenue deposited into the MMA Fund from the proceeds of sponsorship contracts pursuant to Section 18829, to those individuals who would have met the vesting requirements under Section 18888.6 if the criteria for vesting in effect on January 1, 2026, had been established
on January 1, 2006.
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<ns0:Num>SEC. 4.</ns0:Num>
<ns0:Content>
<html:p>The Legislature finds and declares that the amendment of Section 18888.5 of the Business and Professions Code by this act serves a public purpose of promoting the fair and equitable treatment of former professional martial artists who would have earned a vested pension interest had the state created a retirement fund when the sport was first approved and does not constitute a gift of public funds within the meaning of Section 6 of Article XVI of the California Constitution.</html:p>
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