[House Report 109-209]
[From the U.S. Government Publishing Office]
109th Congress Rept. 109-209
HOUSE OF REPRESENTATIVES
1st Session Part 2
======================================================================
UNITED STATES BOXING COMMISSION ACT
_______
September 30, 2005.--Ordered to be printed
_______
Mr. Sensenbrenner, from the Committee on the Judiciary, submitted the
following
R E P O R T
[To accompany H.R. 1065]
[Including cost estimate of the Congressional Budget Office]
The Committee on the Judiciary, to whom was referred the
bill (H.R. 1065) to establish the United States Boxing
Commission to protect the general welfare of boxers and to
ensure fairness in the sport of professional boxing, having
considered the same, report an amendment, but without
recommendation on the bill as amended.
CONTENTS
Page
The Amendment.................................................... 1
Purpose and Summary.............................................. 7
Background....................................................... 8
Hearings......................................................... 8
Committee Consideration.......................................... 8
Vote of the Committee............................................ 8
Committee Oversight Findings..................................... 8
New Budget Authority and Tax Expenditures........................ 8
Congressional Budget Office Cost Estimate........................ 8
Performance Goals and Objectives................................. 12
Constitutional Authority Statement............................... 12
Section-by-Section Analysis and Discussion....................... 12
Changes in Existing Law Made by the Bill, as Reported............ 14
THE AMENDMENT
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``United States Boxing Commission Act''.
SEC. 2. DEFINITIONS.
As used in this Act, the following definitions apply:
(1) Commission.--The term ``Commission'' means the United
States Boxing Commission established under section 3.
(2) Boxer.--The term ``boxer'' means an individual who fights
in a professional boxing match.
(3) Boxing commission.-- The term ``boxing commission'' means
an entity authorized under State or tribal law to regulate
professional boxing matches.
(4) Indian lands.--The term ``Indian lands'' has the meanings
given that terms by paragraphs (4) of section 4 of the Indian
Gaming Regulatory Act (25 U.S.C. 2703).
(5) Judge.--The term ``judge'' means an official who scores a
boxing match to determine the winner.
(6) Manager.--The term ``manager'' means a person other than
a promoter who, under contract, agreement, or other arrangement
with a boxer, undertakes to control or administer, directly or
indirectly, a boxing-related matter on behalf of that boxer,
including a person who is a booking agent for a boxer.
(7) Matchmaker.--The term ``matchmaker'' means a person that
proposes, selects, and arranges for boxers to participate in a
professional boxing match. Such term does not include a hotel,
casino, resort, or other commercial establishment hosting or
sponsoring a professional boxing match, or a provider of cable,
satellite, or network television programming, unless--
(A) the hotel, casino, resort, or other commercial
establishment, or provider of cable, satellite, or
network television programming is primarily responsible
for proposing, selecting, and arranging for boxers to
participate in the professional boxing match; and
(B) there is no other person primarily responsible
for proposing, selecting, and arranging for boxers to
participate in the match.
(8) Referee.--The term ``referee'' means the official inside
the boxing ring who supervises the boxing match.
(9) Professional boxing match.--The term ``professional
boxing match'' means a boxing contest held in the United States
between individuals for financial compensation. Such term does
not include a boxing contest that is regulated by a duly
recognized amateur sports organization, as approved by the
Commission.
(10) Promoter.--The term ``promoter''--
(A) means the person primarily responsible for
organizing, promoting, and producing a professional
boxing match; but
(B) does not include a hotel, casino, resort, or
other commercial establishment hosting or sponsoring a
professional boxing match, or a provider of cable,
satellite, or network television programming, unless--
(i) the hotel, casino, resort, or other
commercial establishment, or provider of cable,
satellite, or network television programming is
primarily responsible for organizing,
promoting, and producing the match; and
(ii) there is no other person primarily
responsible for organizing, promoting, and
producing the match.
(11) State.--The term ``State'' means each of the 50 States,
Puerto Rico, the District of Columbia, and any territory or
possession of the United States, including the Virgin Islands.
(12) Sanctioning organization.--The term ``sanctioning
organization'' means an organization, other than a boxing
commission, that sanctions professional boxing matches, ranks
professional boxers, or charges a sanctioning fee for
professional boxing matches in the United States--
(A) between boxers who are residents of different
States; or
(B) that are advertised, otherwise promoted, or
broadcast (including closed circuit television) in
interstate commerce.
(13) Suspension.--The term ``suspension'' includes within its
meaning the temporary revocation of a boxing license.
(14) Tribal organization.--The term ``tribal organization''
has the same meaning as in section 4(l) of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b(l)).
SEC. 3. ESTABLISHMENT OF UNITED STATES BOXING COMMISSION.
(a) In General.--The United States Boxing Commission is established
as a commission within the Department of Commerce.
(b) Members.--
(1) In general.--The Commission shall consist of 3 members
appointed by the President, by and with the advice and consent
of the Senate.
(2) Qualifications.--No member of the Commission may, while
serving as a member of the Commission--
(A) be engaged as a professional boxer, boxing
promoter, agent, fight manager, matchmaker, referee,
judge, or in any other capacity in the conduct of the
business of professional boxing;
(B) have any pecuniary interest in the earnings of
any boxer or the proceeds or outcome of any boxing
match; or
(C) serve as a member of a boxing commission.
(3) Bipartisan membership.--Not more than 2 members of the
Commission may be members of the same political party.
(4) Geographic balance.--Not more than 2 members of the
Commission may be residents of the same geographic region of
the United States when appointed to the Commission. For
purposes of the preceding sentence, the area of the United
States east of the Mississippi River is a geographic region,
and the area of the United States west of the Mississippi River
is a geographic region.
(5) Terms.--
(A) In general.--The term of a member of the
Commission shall be 3 years. No member of the
Commission shall serve more than 2 terms.
(B) Midterm vacancies.--A member of the Commission
appointed to fill a vacancy in the Commission occurring
before the expiration of the term for which the
member's predecessor was appointed shall be appointed
for the remainder of that unexpired term.
(C) Continuation pending replacement.--A member of
the Commission may serve after the expiration of that
member's term until a successor has taken office.
(6) Removal.--A member of the Commission may be removed by
the President only for cause.
(c) Executive Director.--
(1) In general.--The Commission shall employ an Executive
Director to perform the administrative functions of the
Commission under this Act, and such other functions and duties
of the Commission as the Commission shall specify.
(2) Discharge of functions.--Subject to the authority,
direction, and control of the Commission the Executive Director
shall carry out the functions and duties of the Commission
under this Act.
(d) General Counsel.--The Commission shall employ a General Counsel
to provide legal counsel and advice to the Executive Director and the
Commission in the performance of its functions under this Act, and to
carry out such other functions and duties as the Commission shall
specify.
(e) Staff.--The Commission shall employ such additional staff as the
Commission considers appropriate to assist the Executive Director and
the General Counsel in carrying out the functions and duties of the
Commission under this Act.
(f) Meetings.--The Commission shall hold its first meeting no later
than 30 days after all members shall have been appointed, and shall
meet thereafter not less frequently than once every 60 days.
(g) Compensation.--
(1) Members of commission.--
(A) In general.--Each member of the Commission shall
be compensated at a rate equal to the daily equivalent
of the annual rate of basic pay prescribed for level IV
of the Executive Schedule under section 5315 of title
5, United States Code, for each day (including travel
time) during which such member is engaged in the
performance of the duties of the Commission.
(B) Travel expenses.--The members of the Commission
shall be allowed travel expenses, including per diem in
lieu of subsistence, at rates authorized for employees
of agencies under subchapter I of chapter 57 of title
5, United States Code, while away from their homes or
regular places of business in the performance of
services for the Commission.
(2) Executive director and staff.--The Commission shall fix
the compensation of the Executive Director, the General
Counsel, and other personnel of the Commission. The rate of pay
for the Executive Director, the General Counsel, and other
personnel may not exceed the rate payable for level V of the
Executive Schedule under section 5316 of title 5, United States
Code.
SEC. 4. FUNCTIONS.
(a) General Functions.--The general functions of the Commission are--
(1) to protect the general interests of boxers consistent
with the provisions of this Act; and
(2) to ensure uniformity, fairness, and integrity in
professional boxing;
(3) except as otherwise determined by the Commission, oversee
all professional boxing matches in the United States.
(b) Initial Rulemaking.--Not later than 180 days after the date on
which the Commission shall hold its first meeting, the Commission
shall, by rule promulgate uniform standards for professional boxing in
consultation with the Association of Boxing Commissions.
(c) Additional Functions.--In addition to its general functions under
subsection (a), the Commission shall--
(1) work with the boxing commissions of the several States
and tribal organizations to improve the status and standards of
professional boxing in the United States;
(2) ensure, in cooperation with the Attorney General, or a
designee of the Attorney General, (who shall represent the
Commission in any judicial proceeding under this Act), the
chief law enforcement officer of the several States, and other
appropriate officers and agencies of Federal, State, and local
government, that Federal and State laws applicable to
professional boxing matches in the United States are
vigorously, effectively, and fairly enforced;
(3) review State boxing commission regulations for
professional boxing and provide assistance to such authorities
in meeting minimum standards prescribed by the Commission under
this Act;
(4) if the Commission determines appropriate, publish a
newspaper, magazine, or other publication and establish and
maintain an Internet website consistent with the provisions of
this Act; and
(5) promulgate rules, regulations, and guidance, and take any
other action necessary and proper to accomplish the purposes
of, and consistent with, the provisions of this Act.
(d) Prohibitions.--The Commission may not--
(1) promote boxing events or rank professional boxers; or
(2) provide technical assistance to, or authorize the use of
the name of the Commission by, boxing commissions that do not
comply with requirements of the Commission.
SEC. 5. LICENSING AND REGISTRATION OF BOXING PERSONNEL.
(a) Licensing.--
(1) Requirement for license.--Beginning 1 year after the date
of enactment of this Act, no person may compete in a
professional boxing match or serve as a boxing manager, boxing
promoter, matchmaker, judge, referee, or sanctioning
organization for a professional boxing match except as provided
in a license granted to that person under this subsection.
(2) Application and term.--
(A) In general.--The Commission shall--
(i) establish application procedures, forms,
and fees for licenses granted under this
section;
(ii) establish and publish appropriate
standards for such licenses;
(iii) issue a license to any person who, as
determined by the Commission, meets the
standards established by the Commission under
this Act; and
(iv) begin issuing such licenses not later
than 270 days after the date on which
Commission holds its first meeting.
(B) Duration.--A license issued under this section
shall be for a renewable--
(i) 4-year term for a boxer; and
(ii) 2-year term for any other person.
(C) Procedure.--The Commission may issue a license
under this paragraph through boxing commissions or in a
manner determined by the Commission.
(b) Licensing Fees.--
(1) Authority.--The Commission may prescribe and charge
reasonable fees for the licensing of persons under this Act.
The Commission may set, charge, and adjust varying fees on the
basis of classifications of persons, functions, and events
determined appropriate by the Commission.
(2) Limitations.--In setting and charging fees under
paragraph (1), the Commission shall ensure that, to the maximum
extent practicable--
(A) club boxing is not adversely effected;
(B) sanctioning organizations and promoters pay
comparatively the largest portion of the fees; and
(C) boxers pay as small a portion of the fees as is
possible.
SEC. 6. NATIONAL REGISTRY OF BOXING PERSONNEL.
The Commission shall establish and maintain (or authorize a third
party to establish and maintain) a unified national computerized
registry for the collection, storage, and retrieval of such information
as the Commission shall prescribe by rule related to the performance of
its duties.
SEC. 7. CONSULTATION REQUIREMENTS.
The Commission shall consult with the Association of Boxing
Commissions--
(1) before prescribing any regulation or establishing any
standard under the provisions of this Act; and
(2) not less than once each year regarding matters relating
to professional boxing.
SEC. 8. MISCONDUCT.
(a) Suspension and Revocation of License or Registration.--
(1) Authority.--The Commission may, after notice and
opportunity for a hearing, suspend or revoke any license issued
under this Act if the Commission--
(A) finds that the license holder has violated any
provision of this Act or a standard prescribed under
this Act;
(B) reasonably believes that a standard prescribed by
the Commission under this Act is not being met, or that
bribery, collusion, intentional losing, racketeering,
extortion, or the use of unlawful threats, coercion, or
intimidation have occurred in connection with a
license; or
(C) finds that the suspension or revocation is in the
public interest.
(2) Period of suspension.--A suspension of a license under
this section shall be effective for a period determined
appropriate by the Commission.
(3) Period of revocation.--In the case of a revocation of the
license of a boxer, the revocation shall be for a period of not
less than 1 year.
(b) Investigations and Injunctions.--
(1) Authority.--The Commission may--
(A) conduct any investigation that it considers
necessary to determine whether any person has violated,
or is about to violate, any provision of this Act or
any regulation prescribed under this Act;
(B) require or permit any person to file with it a
statement in writing, under oath or otherwise as the
Commission shall determine, as to all the facts and
circumstances concerning the matter to be investigated;
(C) in its discretion, publish information concerning
any violations; and
(D) investigate any facts, conditions, practices, or
matters to aid in the enforcement of the provisions of
this Act, in the prescribing of regulations under this
Act, or in securing information to serve as a basis for
recommending legislation concerning the matters to
which this Act relates.
(2) Powers.--
(A) In general.--For the purpose of any investigation
under paragraph (1) or any other proceeding under this
Act--
(i) any officer designated by the Commission
may administer oaths and affirmations, subpoena
or otherwise compel the attendance of
witnesses, take evidence, and require the
production of any books, papers,
correspondence, memoranda, or other records the
Commission considers relevant or material to
the inquiry; and
(ii) the provisions of sections 6002 and 6004
of title 18, United States Code, shall apply.
(B) Witnesses and evidence.--The attendance of
witnesses and the production of any documents under
subparagraph (A) may be required from any place in the
United States, including Indian land, at any designated
place of hearing.
(3) Enforcement of subpoenas.--
(A) Civil action.--In case of contumacy by, or
refusal to obey a subpoena issued to, any person, the
Commission may file an action in any district court of
the United States within the jurisdiction of which an
investigation or proceeding is carried out, or where
that person resides or carries on business, to enforce
the attendance and testimony of witnesses and the
production of books, papers, correspondence,
memorandums, and other records. The court may issue an
order requiring the person to appear before the
Commission to produce records, if so ordered, or to
give testimony concerning the matter under
investigation or in question.
(B) Failure to obey.--Any failure to obey an order
issued by a court under subparagraph (A) may be
punished as contempt of that court.
(C) Process.--All process in any contempt case under
subparagraph (A) may be served in the judicial district
in which the person is an inhabitant or in which the
person may be found.
(D) Administrative subpoenas.--The requirements of
section 3486 of title 18, United States Code, shall
apply to the administration and enforcement of
subpoenas under this Act.
(4) Evidence of criminal misconduct.--No person may be
excused from attending and testifying or from producing books,
papers, contracts, agreements, and other records and documents
before the Commission, in obedience to the subpoena of the
Commission, or in any cause or proceeding instituted by the
Commission, on the ground that the testimony or evidence,
documentary or otherwise, required of that person may tend to
incriminate the person or subject the person to a penalty or
forfeiture.
(5) Injunctive relief.--If the Commission determines that any
person is engaged or about to engage in any act or practice
that constitutes a violation of any provision of this Act, or
of any regulation prescribed under this Act, the Commission may
bring an action in the appropriate district court of the United
States, the United States District Court for the District of
Columbia, or the United States courts of any territory or other
place subject to the jurisdiction of the United States, to
enjoin the act or practice, and upon a proper showing, the
court shall grant without bond a permanent or temporary
injunction or restraining order.
(6) Mandamus.--Upon application of the Commission, the
district courts of the United States, the United States
District Court for the District of Columbia, and the United
States courts of any territory or other place subject to the
jurisdiction of the United States, shall have jurisdiction to
issue writs of mandamus commanding any person to comply with
the provisions of this Act or any order of the Commission.
(c) Intervention in Civil Actions.--
(1) In general.--The Commission, on behalf of the public
interest, may intervene of right as provided under rule 24(a)
of the Federal Rules of Civil Procedure in any civil action
relating to professional boxing filed in a district court of
the United States.
(2) Amicus filing.--The Commission may file a brief in any
action filed in a court of the United States on behalf of the
public interest in any case relating to professional boxing.
(d) Hearings by Commission.--Hearings conducted by the Commission
under this Act shall be public and may be held before any officer of
the Commission. The Commission shall keep appropriate records of the
hearings.
SEC. 9. NONINTERFERENCE WITH BOXING COMMISSIONS.
(a) Noninterference.--Nothing in this Act prohibits any boxing
commission from exercising any of its powers, duties, or functions with
respect to the regulation or supervision of professional boxing or
professional boxing matches to the extent not inconsistent with the
provisions of this Act.
(b) Minimum Standards.--Nothing in this Act prohibits any boxing
commission from enforcing local standards or requirements that exceed
the minimum standards or requirements promulgated by the Commission
under this Act.
SEC. 10. ASSISTANCE FROM OTHER AGENCIES.
Any employee of any executive department, agency, bureau, board,
commission, office, independent establishment, or instrumentality may
be detailed to the Commission, upon the request of the Commission, on a
reimbursable or nonreimbursable basis, with the consent of the
appropriate authority having jurisdiction over the employee. While so
detailed, an employee shall continue to receive the compensation
provided pursuant to law for the employee's regular position of
employment and shall retain, without interruption, the rights and
privileges of that employment.
SEC. 11. STUDIES.
(a) Health and Safety Study.--
(1) Study.--The Commission shall conduct a study on the
health and safety aspects of boxing, including an examination
of--
(A) the risks or serious injury and the nature of
potential injuries, including risks particular to
boxers of each sex;
(B) the long term effect of boxing on the health of
boxers;
(C) the availability of health insurance for boxers;
(D) the extent to which differences in equipment
effect the risks of potential injury; and
(E) the effectiveness of safety standards and
regulations.
(2) Report.--Not later than 1 year after the date of
enactment of this Act, the Commission shall submit a report on
the study required by this section to the Committee on
Commerce, Science, and Transportation of the Senate and the
Committee on Energy and Commerce of the House of
Representatives, including recommendations to improve the
health and safety aspects of boxing.
(b) Study on the Definition of Promoter.--
(1) Study.--The United States Boxing Commission shall conduct
a study on how the term ``promoter'' should be defined for
purposes of the United States Boxing Commission Act.
(2) Hearings.--As part of that study, the Commission shall
hold hearings and solicit testimony at those hearings from
boxers, managers, promoters, premium, cable, and satellite
program service providers, hotels, casinos, resorts, and other
commercial establishments that host or sponsor professional
boxing matches, and other interested parties with respect to
the definition of that term as it is used in the United States
Boxing Commission Act.
(3) Report.--Not later than 1 year after the date of the
enactment of this Act, the Commission shall submit to the
Committee on Commerce, Science, and Transportation of the
Senate and the Committee on Energy and Commerce of the House of
Representatives a report on the study conducted under
subsection (a). The report shall--
(A) set forth a proposed definition of the term
``promoter'' for purposes of the United States Boxing
Commission Act; and
(B) describe the findings, conclusions, and rationale
of the Commission for the proposed definition, together
with any recommendations of the Commission, based on
the study.
SEC. 12. REPORTS.
(a) Annual Report.--Not later than 2 years after the date of
enactment of this Act, and each year thereafter, the Commission shall
submit a report on its activities to the Committee on Commerce,
Science, and Transportation of the Senate and the Committee on Energy
and Commerce of the House of Representatives. The annual report shall
include--
(1) a detailed discussion of the activities of the Commission
for the year covered by the report;
(2) an overview of the licensing and enforcement activities
of the State and tribal organization boxing commissions; and
(3) recommendations regarding additional persons or entities
within the sport of boxing over whom to extend the licensing
requirement established by this Act.
(b) Public Report.--The Commission shall annually issue and publicize
a report of the Commission on the progress made at Federal and State
levels and on Indian lands in the reform of professional boxing, which
shall include comments on issues of continuing concern to the
Commission.
SEC. 13. SUNSET PROVISION.
This Act shall cease to have effect 12 years after the date of
enactment of this Act.
SEC. 14. AUTHORIZATION OF APPROPRIATIONS.
(a) In General.--There are authorized to be appropriated for the
Commission for each fiscal year such sums as may be necessary for the
Commission to perform its functions for that fiscal year.
(b) Receipts Credited as Offsetting Collections.--Notwithstanding
section 3302 of title 31, United States Code, any fee collected under
this Act--
(1) shall be credited as offsetting collections to the
account that finances the activities and services for which the
fee is imposed;
(2) shall be available for expenditure only to pay the costs
of activities and services for which the fee is imposed; and
(3) shall remain available until expended.
PURPOSE AND SUMMARY
The purpose of H.R. 1065, the ``United States Boxing
Commission Act of 2005,'' is to create a Federal boxing
commission to regulate the sport of boxing at the professional
level. The Commission would have the power to regulate boxers
and promoters, investigate illegal activities in the sport, and
use the Federal courts to enforce its regulatory authority.
The legislation was sequentially referred to the House
Judiciary Committee on July 28, 2005. The sequential referral
expires September 30, 2005. The Judiciary Committee sequential
referral was triggered by the provisions of the bill (Section
8) that enable the newly-formed U.S. Boxing Commission to issue
and enforce subpoenas and to compel testimony by potential
witnesses to illegal activity.
BACKGROUND
Various studies and investigations have found that
corruption and organized criminal activity are present within
the sport of boxing. Other studies have identified ways in
which boxing safety can be improved. To address these concerns,
Congress enacted the ``Professional Boxing Safety Act of 1996''
(110 Stat. 3309) and the ``Muhammad Ali Boxing Reform Act of
2000'' (114 Stat. 327). These pieces of legislation
respectively increased the powers of State boxing commissions
to ensure safe fights and regulated some of the financial
aspects of boxing including contracts.
The Senate companion legislation sponsored by Senator
McCain, S. 148, passed the Senate on May 9, 2005 by unanimous
consent.
HEARINGS
The House Committee on the Judiciary held no hearings on
H.R. 1065.
COMMITTEE CONSIDERATION
On July 28, 2005, the House Committee on the Judiciary
received a sequential referral of H.R. 1065. On September 29,
2005 the Committee met in open session and ordered without
recommendation reported the bill H.R. 1065 to the House by a
voice vote, a quorum being present.
VOTE OF THE COMMITTEE
In compliance with clause 3(b) of rule XIII of the Rules of
the House of Representatives, the Committee notes that there
were no recorded votes during the Committee consideration of
H.R. 1065.
COMMITTEE OVERSIGHT FINDINGS
In compliance with clause 3(c)(1) of rule XIII of the Rules
of the House of Representatives, the Committee reports that the
findings and recommendations of the Committee, based on
oversight activities under clause 2(b)(1) of rule X of the
Rules of the House of Representatives, are incorporated in the
descriptive portions of this report.
NEW BUDGET AUTHORITY AND TAX EXPENDITURES
Clause 3(c)(2) of rule XIII of the Rules of the House of
Representatives is inapplicable because this legislation does
not provide new budgetary authority or increased tax
expenditures.
CONGRESSIONAL BUDGET OFFICE COST ESTIMATE
In compliance with clause 3(c)(3) of rule XIII of the Rules
of the House of Representatives, the Committee sets forth, with
respect to the bill H.R. 1065, the following estimate and
comparison prepared by the Congressional Budget Office pursuant
to section 402 of the Congressional Budget Act of 1974.
September 30, 2005.
Hon. F. James Sensenbrenner, Jr.,
Chairman, Committee on the Judiciary, House of Representatives,
Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 1065, the United
States Boxing Commission Act.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Melissa Z.
Petersen.
Sincerely,
Douglas Holtz-Eakin.
Enclosure.
H.R. 1065--United States Boxing Commission Act
Summary: H.R. 1065 would establish the United States Boxing
Commission (USBC) within the Department of Commerce. The
commission would protect the interests of boxers and would
govern the business of professional boxing by regulating the
sport of boxing, licensing and registering boxing participants,
and overseeing all boxing matches in the United States.
Assuming appropriation of the necessary amounts, CBO
estimates that implementing H.R. 1065 would cost $5 million in
2006 and $26 million over the 2006-2010 period. Enacting the
bill would not affect direct spending or revenues.
By placing requirements on boxing commissions run by state
and tribal governments, H.R. 1065 would impose
intergovernmental mandates as defined in the Unfunded Mandates
Reform Act (UMRA). CBO estimates that the cost for those
mandates would not be significant and would not exceed the
threshold established in that act ($62 million in 2005,
adjusted annually for inflation).
H.R. 1065 would impose several private-sector mandates, as
defined in UMRA, on the boxing industry. CBO estimates that the
total direct cost of those mandates would fall below the annual
threshold established by UMRA for private-sector mandates ($123
million in 2005, adjusted annually for inflation).
Estimated cost to the Federal Government: The estimated
budgetary impact of H.R. 1065 is shown in the following table.
The costs of this legislation fall within budget function 370
(commerce and housing credit).
------------------------------------------------------------------------
By fiscal year, in millions of
dollars--
----------------------------------
2006 2007 2008 2009 2010
------------------------------------------------------------------------
CHANGES IN SPENDING SUBJECT TO APPROPRIATION
Estimated Authorization Level........ 6 6 5 5 5
Estimated Outlays.................... 5 6 5 5 5
------------------------------------------------------------------------
Basis of Estimate: CBO estimates that implementing H.R.
1065 would cost $26 million over the 2006-2010 period, assuming
appropriation of the necessary amounts. For this estimate, we
assume that the bill will be enacted near the beginning of
fiscal year 2006 and that the amounts estimated to be necessary
will be appropriated for each year beginning in fiscal year
2006. Enacting the bill would not affect direct spending or
revenues.
Currently, tribal and state boxing commissions act as
governing bodies--issuing licenses, ensuring boxing safety, and
monitoring boxing contracts and fights within their
jurisdiction. The USBC would not replace those entities or the
activities they undertake; however, H.R. 1065 would create a
separate, federal entity to govern the sport of professional
boxing with national, minimal standards and licensing
requirements.
United States Boxing Commission
H.R. 1065 would create the USBC within the Department of
Commerce. It would be headed by three commissioners to be
appointed by the President. In addition to those positions,
H.R. 1065 would allow the hiring of necessary staff to fulfill
the requirements of the bill. The USBC would create and monitor
compliance with regulations establishing uniform standards for
professional boxing and would oversee all boxing matches held
in the United States. Based on information provided by the
Department of Commerce, CBO estimates the costs of the USBC
would be about $4 million in 2006 and about $23 million over
the 2006-2010 period, assuming the appropriation of the
necessary amounts.
Licensing and registration
H.R. 1065 would require the USBC to license boxers,
managers, and promoters every two to four years. CBO assumes
that license fees would be similar to those currently charged
by state boxing commissions. The bill would require the USBC to
maintain a registry with the names of licensed boxers,
managers, and promoters, as well as boxing judges and referees.
Based on spending for similar registries, CBO estimates that
the cost of developing the boxing registry would be about $2
million over the 2006-2009 period, assuming the appropriation
of the necessary amounts. CBO estimates that the licensing fees
(considered offsetting collections) would offset the cost of
maintaining the registry by about 2009.
Estimated impact on state, local, and tribal governments:
H.R. 1065 contains intergovernmental mandates as defined in
UMRA, because it would preempt the regulatory authority of
certain state and tribal boxing commissions and require states
and tribes to comply with uniform regulations to be created by
the United States Boxing Commission. The USBC also would have
the authority to promulgate uniform regulations and to review
the regulations of state boxing commissions. Information from
tribes involved in professional boxing and from the Association
of Boxing Commissions indicates that many state and tribal
boxing commissions already regulate boxing matches using
standards similar to those that would be required by this bill.
CBO therefore expects any costs associated with additional
regulations to be minimal.
H.R. 1065 also would give the USBC authority to subpoena
witnesses and evidence from any place in the United States,
including Indian land. This authority would be considered a
mandate under UMRA, but because it would be used rarely, it
would not be likely to impose significant costs.
CBO estimates that the cost of complying with all of the
intergovernmental mandates in the bill would not be
significant, and therefore, would not exceed the threshold
established in UMRA ($62 million in 2005, adjusted annually for
inflation).
Estimated impact on the private sector: H.R. 1065 would
impose several private-sector mandates, as defined in UMRA, on
the boxing industry. Such mandates would require private
entities of the industry to be licensed by the United States
Boxing Commission, comply with USBC standards, and provide
testimony, evidence, or materials related to any investigations
conducted by the USBC. CBO estimates that the total direct cost
of those mandates would fall below the annual threshold
established by UMRA for private-sector mandates ($123 million
in 2005, adjusted annually for inflation).
The bill would require boxers, managers, promoters,
referees, judges, and sanctioning organizations to be licensed
by the USBC established in the bill. Those private entities
would be required to comply with the minimum standards set
forth by the USBC to receive and renew their licenses. USBC
would be required to consult with the Association of Boxing
Commissions when setting uniform standards for the industry.
CBO expects that future uniform standards established by the
USBC would be incremental but, in many ways, similar to some
combination of current state standards. CBO cannot estimate the
costs associated with complying with those future minimum
standards due to the uncertainty of what those standards would
be. However, CBO expects that the incremental costs to comply
with those standards would be minimal compared to UMRA's
threshold because the boxing industry must currently comply
with state standards. According to representatives of the
boxing industry, license fees would most likely cost the
industry less than $1 million per year.
In addition, entities in the private-sector, if subpoenaed,
would be required to attend and provide testimony, evidence, or
materials related to any investigations the USBC may conduct.
Such a requirement would be a private-sector mandate under
UMRA. Based on information from the Department of Labor, CBO
expects that the commission would likely exercise its subpoena
power sparingly and that the costs to comply with a subpoena
would not be significant.
Previous CBO estimates: On July 18, 2005, CBO transmitted a
cost estimate for H.R. 1065, the United States Boxing
Commission Act, as ordered reported by the House Committee on
Energy and Commerce on June 29, 2005. The two pieces of
legislation are similar, and the estimated cost to the federal
government are identical. The Judiciary Committee's version of
H.R. 1065 differs in that it contains an additional provision
regarding administrative subpoenas. The new provision does not
affect CBO's private-sector mandate determination for the bill.
On April 1, 2005, CBO transmitted a cost estimate for S.
148, the Professional Boxing Amendments Act of 2005, as ordered
reported by the Senate Committee on Commerce, Science, and
Transportation March 10, 2005. Both S. 148 and H.R. 1065 would
create a United States Boxing Commission that would have
similar duties related to the sport of professional boxing. S.
148 would create a medical registry and would make violations
of certain provisions of the Professional Boxing Safety Act of
1996 federal crimes, while H.R. 1065 would not. The federal
cost estimates for the bills reflect these differences.
S. 148 contains additional testing and reporting
requirements for state and tribal boxing commissions. The
intergovernmental mandates statements reflect these differences
between the two bills.
Both S. 148 and H.R. 1065 would require the professional
boxing industry to be licensed by the USBC, to comply with the
standards to be established by the USBC licensing, and to
attend and provide testimony, evidence, or materials related to
any investigations the USBC may conduct. S. 148 includes
additional mandates on the boxing industry not found in H.R
1065 by requiring additional safety standards, standard clauses
for contracts, and filing of reports. CBO determined that the
aggregate direct costs associated with complying with the
mandates found in S. 148 would fall below the annual threshold
established by UMRA for private-sector mandates ($123 million
in 2005, adjusted annually for inflation).
Estimate prepared by: Federal Costs: Melissa Z. Petersen.
Impact on State, Local, and Tribal Governments: Sarah Puro.
Impact on the Private Sector: Craig Cammarata.
Estimate approved by: Peter H. Fontaine, Deputy Assistant
Director for Budget Analysis.
PERFORMANCE GOALS AND OBJECTIVES
The Committee states that pursuant to clause 3(c)(4) of
rule XIII of the Rules of the House of Representatives, H.R.
1065 is designed to regulate the sport of professional boxing
and to empower the newly created U.S. Boxing Commission to turn
to the Federal courts to compel compliance with its
investigations into misconduct in the sport.
CONSTITUTIONAL AUTHORITY STATEMENT
Pursuant to clause 3(d)(1) of rule XIII of the Rules of the
House of Representatives, the Committee finds the authority for
this legislation in art. I, Sec. section 8, cl. 3 of the
Constitution.
SECTION-BY-SECTION ANALYSIS AND DISCUSSION
The following section-by-section analysis describes the
bill as reported by the Committee on the Judiciary.
Section 1. Short title
Section 1 provides for the short title of the legislation,
the ``United States Boxing Commission Act.''
Section 2. Definitions
Section 2 provides for a series of definitions used in the
legislation.
Section 3. Establishment of the United States Boxing Commission
Section 3 establishes the United States Boxing Commission
(``Commission'') within the United States Department of
Commerce. The Commission will consist of three commissioners
appointed by the President who must meet certain geographic and
bipartisanship requirements. Conflict of interest from existing
occupations and financial interest in professional boxing will
disqualify individuals from serving. Additional staff positions
within the Commission with specified pay rates are identified
in Section 3.
Section 4. Functions
Section 4 identifies the general and specific duties of the
Commission. These duties include:
--Promulgating uniform standards for professional
boxing within 180 days;
--Ensuring that Federal and State laws related to
boxing are enforced;
--Assisting State boxing commissions; and
--Promulgating additional standards related to
boxing.
Existing State boxing standards are not preempted by the
legislation.
The Committee adopted an amendment to ensure that the U.S.
Attorney General or his designee can represent the Commission
in any judicial proceeding under this Act. As reported from the
Committee on Energy and Commerce, the legislation appeared to
allow only the Attorney General himself to represent the
Commission. The amendment permits the Attorney General to
designate other qualified individuals to represent the
Commission before the judicial branch, such as United States
Attorneys.
Section 5. Licensing registration of boxing personnel
Section 5 creates a licensing requirement for boxers,
referees, promoters, judges, and sanctioning organizations. The
Commission is provided 270 days to promulgate the
licensingstandards. Licensing fees are authorized with the goal of
keeping fees on individual boxers low.
Section 6. National registry of boxing personnel
The Commission is required to establish a central registry
of boxing personnel under this section of the legislation.
Section 7. Consultation requirements
Section 7 imposes upon the Commission a requirement to
consult with the Association of Boxing Commissions on a minimum
yearly basis.
Section 8. Misconduct
As amended, section 8 provides the Commission with the
authority and tools to investigate misconduct and to suspend or
revoke a license issued under the Act upon determination that
certain actions have occurred. Commission determinations cannot
be used in Federal or State courts and agencies as grounds for
other actions unless the forfeiture or restriction of the
license itself results in actionable harm. A determination of
racketeering by the Commission cannot be used to convict an
individual of the same offense in Federal or State courts, or
to cause a penalty to be imposed by other Federal or State
agencies.
Similar to other Federal agencies and commissions, the
legislation provides the Commission with the authority to seek
compulsion of its subpoenas in Federal court in the district
where the investigation is occurring or where the person
subject to the subpoena resides. The amendment reported by the
Committee on the Judiciary subjects this authority to existing
restrictions on such administrative subpoena authority for
other agencies listed in 18 U.S.C. Sec. Sec. 3486, 6002, and
6004.
The Committee amendment to this section also reduced the
authority of the Executive Director of the Commission to seek
injunctions in Federal courts. The Committee believes that any
actions taken on the Commission's behalf before the Federal
judiciary should be authorized by a majority vote of the
Presidentially-appointed and confirmed Commissioners, rather
than an Executive Director who has not been so appointed and
confirmed. In practice, this change should have little effect
on the actions of the Commission, since the three Commissioners
can quickly vote to authorize such action. In addition, the
requirement that the Commissioners themselves authorize such
actions ensures that the balanced qualifications imposed upon
the Commissioners themselves in section 3 of the legislation,
including bipartisanship, have a role in determining whether to
seek an injunction in Federal courts.
Section 9. Noninterference with boxing commissions
Section 9 prohibits the Commission from exercising its
powers in a way that limits other State boxing commissions from
operating unless the State commissions act contrary to the Act.
Section 10. Assistance from other agencies
This section authorizes detailees from other Federal
agencies to participate in the work of the Commission.
Section 11. Studies
Section 11 requires a series of studies on health and
safety issues related to boxing as well as the definition of
the term ``boxing promoter.''
Section 12. Reports
Section 12 requires several reports on an annual and
biennial basis.
Section 13. Sunset provision
Section 13 imposes a 12-year sunset requirement on the Act.
Section 14. Authorization of appropriations
Section 14 authorizes that fees collected by the Commission
shall be available for use by the Commission.
CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED
The bill was referred to this committee for consideration
of such provisions of the bill and the amendment as fall within
the jurisdiction of this committee pursuant to clause 1(k) of
rule X of the Rules of the House of Representatives. The
changes made to existing law by the amendment reported by the
Committee on Energy and Commerce are shown in the report filed
by that committee (Rept. 109-209, Part 1). The amendments made
by this committee do not make any changes to existing law.