COMMITTEE ON LEGISLATIVE RESEARCH OVERSIGHT DIVISION FISCAL NOTE L.R. No.:0973H.02P Bill No.:Perfected HCS for HB 48 Subject:Professional Registration and Licensing; Athletics Type:Original Date:April 21, 2023Bill Summary:This proposal modifies provisions relating to bare-knuckle fighting. FISCAL SUMMARY ESTIMATED NET EFFECT ON GENERAL REVENUE FUNDFUND AFFECTEDFY 2024FY 2025FY 2026Total Estimated Net Effect on General Revenue $0$0$0 ESTIMATED NET EFFECT ON OTHER STATE FUNDSFUND AFFECTEDFY 2024FY 2025FY 2026Athletic Fund (0693)$2,728$1,301$1,145Total Estimated Net Effect on Other State Funds $2,728$1,301$1,145 Numbers within parentheses: () indicate costs or losses. L.R. No. 0973H.02P Bill No. Perfected HCS for HB 48 Page 2 of April 21, 2023 KC:LR:OD ESTIMATED NET EFFECT ON FEDERAL FUNDSFUND AFFECTEDFY 2024FY 2025FY 2026Total Estimated Net Effect on All Federal Funds $0$0$0 ESTIMATED NET EFFECT ON FULL TIME EQUIVALENT (FTE)FUND AFFECTEDFY 2024FY 2025FY 2026Total Estimated Net Effect on FTE 000 ☐ Estimated Net Effect (expenditures or reduced revenues) expected to exceed $250,000 in any of the three fiscal years after implementation of the act or at full implementation of the act. ☐ Estimated Net Effect (savings or increased revenues) expected to exceed $250,000 in any of the three fiscal years after implementation of the act or at full implementation of the act. ESTIMATED NET EFFECT ON LOCAL FUNDSFUND AFFECTEDFY 2024FY 2025FY 2026Local Government$0$0$0 L.R. No. 0973H.02P Bill No. Perfected HCS for HB 48 Page 3 of April 21, 2023 KC:LR:OD FISCAL ANALYSIS ASSUMPTION Sections 317.001 to 317.019 – Bare Knuckle Fighting Officials from the Department of Commerce and Insurance (DCI) state that it is estimated that with this proposed legislation, there would be up to 4 additional events per year that would need to be inspected by the Office of Athletics. Under the current language of this proposed legislation, the Office of Athletics believes that it will be able to conduct these additional inspections without any additional FTE. However, the Office of Athletics does believe that with these additional events, the current inspection staff will need to travel, some overnight, which the Office would request additional per diem to pay inspectors, one doctor and one executive director per each additional event. Additional cost for travel expenses would also be accounted for. Revenue Promoter - $675 x 4 events = $2,700 Fighters - $40 x 40 fighters x 4 events = $6,400 In summary, DCI assumes a revenue of $9,100 each year as a result of the changes in this proposal. Expenses DCI assumes a cost (per diem) of $6,372 in FY 2024, $7,799 in FY 2025 and $7,955 in FY 2026 to provide for the implementation of the changes in this proposal. Oversight does not have any information to the contrary. Therefore, Oversight will reflect the revenues and expenses as estimated by DCI in the fiscal note to the Office of Athletics Fund. Officials from the Department of Corrections, the Department of Public Safety - Missouri Highway PatrolMissouri Office of Prosecution Services each assume the proposal will have no fiscal impact on their respective organizations. Oversight does not have any information to the contrary. Therefore, Oversight will reflect a zero impact in the fiscal note for these agencies. In response to a previous version, officials from the Office of the State Courts Administrator and the each assumed the proposal will have no fiscal impact on their organizations. Oversight Therefore, Oversight will reflect a zero impact in the fiscal note for OSCA and SPD. L.R. No. 0973H.02P Bill No. Perfected HCS for HB 48 Page 4 of April 21, 2023 KC:LR:OD House Amendment 1 Oversight assumes House Amendment 1 will not change the fiscal impact as estimated by DCI. FISCAL IMPACT – State GovernmentFY 2024 (10 Mo.) FY 2025FY 2026ATHLETIC FUND (0693)Revenue – DCI §§317.001- 317.019 Licensing Fees & Events p. 3$9,100$9,100$9,100 Cost – DCI §§317.001- 317.019 Per Diem p. 3($6,372)($7,799)($7,955) ESTIMATED NET EFFECT TO THE ATHLETIC FUND (0693)$2,728$1,301$1,145 FISCAL IMPACT – Local GovernmentFY 2024 (10 Mo.) FY 2025FY 2026$0$0$0 FISCAL IMPACT – Small Business Some fighters and promoters could have a positive fiscal impact as a result of this proposal. FISCAL DESCRIPTION This bill authorizes the Division of Professional Registration, within the Department of Commerce and Insurance, to oversee professional bare knuckle fighting in Missouri. The Division will accept applications and issue licenses for contestants and licenses to hold bare knuckle fighting contests. The Division must issue mandatory medical suspensions for contestants who lose consciousness or are injured as a result of blows received to the head or body. The Division is also prohibited from issuing licenses to participate in bare knuckle fighting if the individual has been injured in such a manner that they cannot continue to participate. The Division will have the authority to promulgate rules to govern in every particular professional bare knuckle fighting. This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space. L.R. No. 0973H.02P Bill No. Perfected HCS for HB 48 Page 5 of April 21, 2023 KC:LR:OD SOURCES OF INFORMATION Department of Commerce and Insurance Department of Corrections Department of Public Safety Missouri Highway Patrol Office of the State Public Defender Office of the State Courts Administrator Julie MorffRoss StropeDirectorAssistant DirectorApril 21, 2023April 21, 2023