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2 | 2 | | HOUSE DOCKET, NO. 1789 FILED ON: 1/15/2025 |
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3 | 3 | | HOUSE . . . . . . . . . . . . . . . No. 1930 |
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4 | 4 | | The Commonwealth of Massachusetts |
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5 | 5 | | _________________ |
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6 | 6 | | PRESENTED BY: |
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7 | 7 | | Francisco E. Paulino |
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8 | 8 | | _________________ |
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9 | 9 | | To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General |
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10 | 10 | | Court assembled: |
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11 | 11 | | The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: |
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12 | 12 | | An Act empowering student-athletes through NIL rights. |
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13 | 13 | | _______________ |
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14 | 14 | | PETITION OF: |
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15 | 15 | | NAME:DISTRICT/ADDRESS :DATE ADDED:Francisco E. Paulino16th Essex1/15/2025 1 of 7 |
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16 | 16 | | HOUSE DOCKET, NO. 1789 FILED ON: 1/15/2025 |
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17 | 17 | | HOUSE . . . . . . . . . . . . . . . No. 1930 |
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18 | 18 | | By Representative Paulino of Methuen, a petition (accompanied by bill, House, No. 1930) of |
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19 | 19 | | Francisco E. Paulino relative to NIL rights for student-athletes. The Judiciary. |
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20 | 20 | | The Commonwealth of Massachusetts |
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21 | 21 | | _______________ |
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22 | 22 | | In the One Hundred and Ninety-Fourth General Court |
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23 | 23 | | (2025-2026) |
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24 | 24 | | _______________ |
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25 | 25 | | An Act empowering student-athletes through NIL rights. |
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26 | 26 | | Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority |
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27 | 27 | | of the same, as follows: |
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28 | 28 | | 1 SECTION 1. Definitions |
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29 | 29 | | 2 As used in this act, unless the context clearly requires otherwise: |
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30 | 30 | | 3 "Student-athlete": An individual who engages in, is eligible to engage in, or has been |
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31 | 31 | | 4recruited to engage in intercollegiate athletics for an institution of higher education in the |
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32 | 32 | | 5Commonwealth. |
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33 | 33 | | 6 "Institution of higher education": Any public or private college, university, or other post- |
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34 | 34 | | 7secondary educational institution located in the Commonwealth. |
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35 | 35 | | 8 "Name, image, or likeness (NIL)": A student-athlete's identifiable attributes, including |
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36 | 36 | | 9but not limited to their name, image, voice, photograph, signature, or likeness, used for |
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37 | 37 | | 10promotional or commercial purposes. 2 of 7 |
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38 | 38 | | 11 "Athlete agent": A person who, for compensation or the promise of compensation, |
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39 | 39 | | 12provides professional representation to student-athletes in connection with NIL agreements, |
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40 | 40 | | 13contracts, or endorsements. |
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41 | 41 | | 14 "NIL agreement": A written or oral agreement under which a student-athlete receives |
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42 | 42 | | 15compensation for the authorized use of their NIL. |
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43 | 43 | | 16 "Group licensing": Agreements or arrangements that involve multiple student-athletes |
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44 | 44 | | 17licensing their NIL collectively for commercial purposes. |
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45 | 45 | | 18 SECTION 2. Rights of Student-Athletes |
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46 | 46 | | 19 A student-athlete may earn compensation for the use of their NIL. Such compensation: |
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47 | 47 | | 20 (a) Shall not affect the student-athlete’s scholarship eligibility or participation in |
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48 | 48 | | 21athletics; and |
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49 | 49 | | 22 (b) Shall not be contingent upon athletic performance or enrollment at a specific |
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50 | 50 | | 23institution. |
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51 | 51 | | 24 Institutions of higher education and athletic associations: |
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52 | 52 | | 25 (a) Shall not prevent or restrict a student-athlete from earning compensation for NIL; |
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53 | 53 | | 26 (b) Shall not provide direct compensation to a student-athlete for NIL use; and |
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54 | 54 | | 27 (c) May assist student-athletes in understanding compliance requirements and applicable |
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55 | 55 | | 28laws. 3 of 7 |
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56 | 56 | | 29 Group licensing arrangements involving student-athletes shall be permitted, provided |
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57 | 57 | | 30such arrangements comply with this act and do not infringe on individual NIL rights. |
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58 | 58 | | 31 A student-athlete may enter a professional sports draft without forfeiting eligibility to |
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59 | 59 | | 32participate in intercollegiate athletics, provided they do not sign a professional contract. |
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60 | 60 | | 33 SECTION 3. Institutional Responsibilities |
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61 | 61 | | 34 Institutions shall designate an NIL compliance officer or equivalent resource, scaled to |
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62 | 62 | | 35their size and capacity, to manage disclosures and ensure agreements align with institutional and |
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63 | 63 | | 36NCAA policies. |
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64 | 64 | | 37 Institutions must: |
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65 | 65 | | 38 (a) Notify student-athletes of any conflicts between NIL agreements and team contracts |
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66 | 66 | | 39within five (5) business days of disclosure; |
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67 | 67 | | 40 (b) Provide clear guidelines on permissible NIL activities, including how they align with |
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68 | 68 | | 41NCAA and conference rules; |
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69 | 69 | | 42 (c) Offer or partner with external organizations to provide optional legal and financial |
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70 | 70 | | 43advisory services for student-athletes. |
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71 | 71 | | 44 Smaller institutions may apply for state-provided resources, including training and |
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72 | 72 | | 45financial support, to meet compliance and educational requirements under this act. |
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73 | 73 | | 46 Institutions may not: |
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74 | 74 | | 47 (a) Use NIL agreements to gain a competitive advantage in recruiting or retaining |
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75 | 75 | | 48student-athletes; 4 of 7 |
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76 | 76 | | 49 (b) Force student-athletes to participate in group licensing arrangements. |
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77 | 77 | | 50 SECTION 4. NIL Agreements and Disclosure |
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78 | 78 | | 51 Student-athletes must disclose NIL agreements to their institution’s designated |
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79 | 79 | | 52compliance officer within seventy-two (72) hours of signing or before participating in the next |
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80 | 80 | | 53athletic event, whichever occurs first. |
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81 | 81 | | 54 NIL agreements must include: |
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82 | 82 | | 55 (a) The scope of NIL rights being licensed; |
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83 | 83 | | 56 (b) The duration of the agreement; |
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84 | 84 | | 57 (c) Compensation details, including method and timing of payment; |
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85 | 85 | | 58 (d) A cancellation or termination clause; |
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86 | 86 | | 59 (e) A statement confirming the agreement does not conflict with existing team contracts. |
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87 | 87 | | 60 Group licensing agreements must specify: |
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88 | 88 | | 61 (a) How compensation will be distributed among participants; |
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89 | 89 | | 62 (b) Opt-in provisions for individual student-athletes; |
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90 | 90 | | 63 (c) Protections for student-athletes who choose not to participate. |
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91 | 91 | | 64 SECTION 5. Athlete Agent Regulation |
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92 | 92 | | 65 Athlete agents must register with the Commonwealth through a process overseen by the |
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93 | 93 | | 66Office of the Secretary of State. 5 of 7 |
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94 | 94 | | 67 (a) Applications shall include disclosure of prior disciplinary actions, NIL-related |
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95 | 95 | | 68activities, and relationships with current or former student-athletes. |
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96 | 96 | | 69 (b) Registrations must be renewed every two years, with updated disclosures provided. |
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97 | 97 | | 70 Athlete agents are prohibited from: |
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98 | 98 | | 71 (a) Offering gifts, inducements, or other benefits to influence a student-athlete's decision |
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99 | 99 | | 72to sign; |
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100 | 100 | | 73 (b) Making false or misleading statements about potential NIL opportunities; |
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101 | 101 | | 74 (c) Using agreements that lack transparency or fail to comply with this act. |
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102 | 102 | | 75 Agent fees for NIL agreements may not exceed 15% of gross compensation received by |
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103 | 103 | | 76the student-athlete under the agreement. |
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104 | 104 | | 77 Agents must provide student-athletes with a plain-language summary of all agreements, |
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105 | 105 | | 78including terms of compensation, services provided, and duration. |
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106 | 106 | | 79 Violations by athlete agents shall result in: |
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107 | 107 | | 80 (a) Fines up to $100,000 per violation; |
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108 | 108 | | 81 (b) Suspension or revocation of registration; |
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109 | 109 | | 82 (c) Civil liability for damages suffered by the student-athlete. |
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110 | 110 | | 83 SECTION 6. Privacy and Public Records 6 of 7 |
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111 | 111 | | 84 NIL agreements and related disclosures submitted to institutions or state agencies are |
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112 | 112 | | 85exempt from public records laws and shall not be disclosed without the written consent of the |
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113 | 113 | | 86student-athlete. |
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114 | 114 | | 87 Institutions must implement safeguards to ensure the confidentiality of NIL-related |
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115 | 115 | | 88materials. |
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116 | 116 | | 89 SECTION 7. Education and Training |
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117 | 117 | | 90 Institutions shall provide annual training for student-athletes on NIL-related topics, |
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118 | 118 | | 91including: |
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119 | 119 | | 92 (a) Contract negotiation; |
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120 | 120 | | 93 (b) Financial literacy and tax compliance; |
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121 | 121 | | 94 (c) Branding, intellectual property, and group licensing rights. |
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122 | 122 | | 95 Institutions may partner with external organizations to provide workshops and resources |
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123 | 123 | | 96for student-athletes. |
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124 | 124 | | 97 SECTION 8. Enforcement |
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125 | 125 | | 98 The Massachusetts Attorney General shall oversee compliance and enforcement of this |
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126 | 126 | | 99act, with the authority to: |
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127 | 127 | | 100 (a) Investigate complaints and alleged violations within sixty (60) days of filing; |
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128 | 128 | | 101 (b) Impose penalties, fines, and corrective actions on agents, institutions, or third parties |
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129 | 129 | | 102that violate this act; 7 of 7 |
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130 | 130 | | 103 (c) Provide guidance to institutions and student-athletes on compliance. |
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131 | 131 | | 104 Penalties for violations include: |
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132 | 132 | | 105 (a) Fines up to $250,000 for institutions engaging in prohibited conduct; |
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133 | 133 | | 106 (b) Revocation of privileges for repeat violators; |
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134 | 134 | | 107 (c) Civil actions initiated by student-athletes for damages, including attorneys’ fees. |
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135 | 135 | | 108 SECTION 9. Implementation Task Force |
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136 | 136 | | 109 A state advisory task force shall be established to oversee the implementation of this act, |
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137 | 137 | | 110composed of representatives from: |
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138 | 138 | | 111 (a) Higher education institutions; |
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139 | 139 | | 112 (b) Student-athlete advocacy groups; |
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140 | 140 | | 113 (c) The Attorney General’s office. |
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141 | 141 | | 114 The task force shall provide annual reports to the legislature on implementation progress |
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142 | 142 | | 115and recommend future updates. |
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143 | 143 | | 116 SECTION 10. Severability |
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144 | 144 | | 117 If any provision of this act or its application is held invalid, the remaining provisions |
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145 | 145 | | 118shall remain in full force and effect. |
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146 | 146 | | 119 SECTION 11. Effective Date |
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147 | 147 | | 120 This act shall take effect on July 1, 2027. |
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