BILL ANALYSIS Senate Research Center S.B. 1181 89R6315 PRL-F By: Alvarado Business & Commerce 4/11/2025 As Filed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT The purpose of S.B. 1181 is to strengthen the regulation of combative sports in Texas by closing statutory loopholes, improving licensing processes, and allowing for department-approved elimination tournaments under the Texas Department of Licensing and Regulation (TDLR). Current law allows promoters to exploit licensing and bonding exceptions by misclassifying events as being affiliated with the Pan American Games, which creates regulatory inconsistencies and enforcement challenges. Also, the existing licensing structure causes delays for contestants, particularly over weekends, potentially interfering with scheduled combat events. Current law also prohibits all elimination tournaments, despite growing interest from certain combat sports organizations in allowing structured, regulated tournaments with proper safety standards. S.B. 1181 amends multiple sections of the Occupations Code to address these issues. First, it removes Pan American Games from the list of events exempt from licensing and bonding requirements, ensuring that only recognized U.S. Olympic and Paralympic Committee member organizations benefit from these exceptions. Second, it requires promoters to obtain TDLR approval before holding an event, ensuring compliance with participant licensing requirements before competitions occur. Third, the bill allows for elimination tournaments with department approval while maintaining safeguards against unsafe formats, such as "battle royale" tournaments, by ensuring adequate rest periods and competition standards. Finally, the bill creates a new criminal penalty, making it a Class A misdemeanor for knowingly promoting an event without TDLR approval. Support for S.B. 1181 is expected from organizations that have historically backed similar regulatory reforms. Additionally, combat sports organizations advocating for regulated elimination tournaments may also support the bill. Currently, there is no opposition for the bill. The bill may require TDLR to increase staffing resources to review and approve elimination tournaments, though a fiscal cost has not been formally determined. As proposed, S.B. 1181 amends current law relating to the regulation of combative sports by the Texas Department of Licensing and Regulation and creates a criminal offense. RULEMAKING AUTHORITY Rulemaking authority is expressly granted to the Texas Commission of Licensing and Regulation in SECTION 6 of this bill. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 2052.110, Occupations Code, as follows: Sec. 2052.110. LICENSE AND BONDING EXCEPTIONS. Provides that, if the contestants are amateurs, the licensing and bonding requirements of Chapter 2052 (Combative Sports) do not apply to certain events, including an event conducted by a member organization or recognized sports organization of the United States Olympics & Paralympic Committee or an international sports federation or recognized federation of the International Olympic Committee. Deletes existing text providing that, if the contestants are amateurs, the licensing and bonding requirements of Chapter 2052 do not apply to an event which is conducted by an organization of the United States Olympic Games, the Paralympic Games, or the Pan-American Games and in which participants train or compete for advancement to or within the games. Makes nonsubstantive changes. SECTION 2. Amends Section 2052.115, Occupations Code, as follows: Sec. 2052.115. PROMOTER RESPONSIBILITIES. Requires a promoter, for each event, to: (1) before holding the event, obtain Texas Department of Licensing and Regulations (TDLR) approval in the form and manner required by TDLR; (2) ensure all contestants participating in the event satisfy the eligibility requirements for licensure, rather than assure that all contestants scheduled to participate are licensed before the event; and (3)-(5) makes nonsubstantive changes to these subdivisions. SECTION 3. Amends Section 2052.254, Occupations Code, as follows: Sec. 2025.254. ELIMINATION TOURNAMENTS. Prohibits an elimination tournament, except as authorized by Texas Commission of Licensing and Regulation (TCLR) rule, from being conducted in this state. Makes a nonsubstantive change. SECTION 4. Amends Subchapter G, Chapter 2052, Occupations Code, by adding Section 2052.301, as follows: Sec. 2052.301. UNAUTHORIZED EVENT; CRIMINAL OFFENSE. (a) Provides that a person commits an offense if the person knowingly acts as a promoter of an event TDLR has not approved as required by Section 2052.115. (b) Provides that an offense under this section is a Class A misdemeanor. SECTION 5. Repealer: Section 2052.3015 (Promoter Penalty for Late License), Occupations Code. SECTION 6. (a) Provides that the change in law made by this Act does not affect the validity of a proceeding pending before a court or other governmental entity on the effective date of this Act. (b) Requires TDLR to prescribe the form and manner of approval required by Section 2052.115, Occupations Code, as amended by this Act. Authorizes TCLR to adopt any rules necessary to implement the changes in law made by this Act. (c) Provides that an offense or other violation of law committed before the effective date of this Act is governed by the law in effect when the offense or violation was committed, and the former law is continued in effect for that purpose. Provides that, for purposes of this subsection, an offense or violation was committed before the effective date of this Act if any element of the offense or violation occurred before that date. SECTION 7. Effective date: upon passage or September 1, 2025.
BILL ANALYSIS
Senate Research Center S.B. 1181
89R6315 PRL-F By: Alvarado
Business & Commerce
4/11/2025
As Filed
Senate Research Center
S.B. 1181
89R6315 PRL-F
By: Alvarado
Business & Commerce
4/11/2025
As Filed
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
The purpose of S.B. 1181 is to strengthen the regulation of combative sports in Texas by closing statutory loopholes, improving licensing processes, and allowing for department-approved elimination tournaments under the Texas Department of Licensing and Regulation (TDLR). Current law allows promoters to exploit licensing and bonding exceptions by misclassifying events as being affiliated with the Pan American Games, which creates regulatory inconsistencies and enforcement challenges. Also, the existing licensing structure causes delays for contestants, particularly over weekends, potentially interfering with scheduled combat events. Current law also prohibits all elimination tournaments, despite growing interest from certain combat sports organizations in allowing structured, regulated tournaments with proper safety standards.
S.B. 1181 amends multiple sections of the Occupations Code to address these issues. First, it removes Pan American Games from the list of events exempt from licensing and bonding requirements, ensuring that only recognized U.S. Olympic and Paralympic Committee member organizations benefit from these exceptions. Second, it requires promoters to obtain TDLR approval before holding an event, ensuring compliance with participant licensing requirements before competitions occur. Third, the bill allows for elimination tournaments with department approval while maintaining safeguards against unsafe formats, such as "battle royale" tournaments, by ensuring adequate rest periods and competition standards. Finally, the bill creates a new criminal penalty, making it a Class A misdemeanor for knowingly promoting an event without TDLR approval.
Support for S.B. 1181 is expected from organizations that have historically backed similar regulatory reforms. Additionally, combat sports organizations advocating for regulated elimination tournaments may also support the bill. Currently, there is no opposition for the bill. The bill may require TDLR to increase staffing resources to review and approve elimination tournaments, though a fiscal cost has not been formally determined.
As proposed, S.B. 1181 amends current law relating to the regulation of combative sports by the Texas Department of Licensing and Regulation and creates a criminal offense.
RULEMAKING AUTHORITY
Rulemaking authority is expressly granted to the Texas Commission of Licensing and Regulation in SECTION 6 of this bill.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 2052.110, Occupations Code, as follows:
Sec. 2052.110. LICENSE AND BONDING EXCEPTIONS. Provides that, if the contestants are amateurs, the licensing and bonding requirements of Chapter 2052 (Combative Sports) do not apply to certain events, including an event conducted by a member organization or recognized sports organization of the United States Olympics & Paralympic Committee or an international sports federation or recognized federation of the International Olympic Committee.
Deletes existing text providing that, if the contestants are amateurs, the licensing and bonding requirements of Chapter 2052 do not apply to an event which is conducted by an organization of the United States Olympic Games, the Paralympic Games, or the Pan-American Games and in which participants train or compete for advancement to or within the games. Makes nonsubstantive changes.
SECTION 2. Amends Section 2052.115, Occupations Code, as follows:
Sec. 2052.115. PROMOTER RESPONSIBILITIES. Requires a promoter, for each event, to:
(1) before holding the event, obtain Texas Department of Licensing and Regulations (TDLR) approval in the form and manner required by TDLR;
(2) ensure all contestants participating in the event satisfy the eligibility requirements for licensure, rather than assure that all contestants scheduled to participate are licensed before the event; and
(3)-(5) makes nonsubstantive changes to these subdivisions.
SECTION 3. Amends Section 2052.254, Occupations Code, as follows:
Sec. 2025.254. ELIMINATION TOURNAMENTS. Prohibits an elimination tournament, except as authorized by Texas Commission of Licensing and Regulation (TCLR) rule, from being conducted in this state. Makes a nonsubstantive change.
SECTION 4. Amends Subchapter G, Chapter 2052, Occupations Code, by adding Section 2052.301, as follows:
Sec. 2052.301. UNAUTHORIZED EVENT; CRIMINAL OFFENSE. (a) Provides that a person commits an offense if the person knowingly acts as a promoter of an event TDLR has not approved as required by Section 2052.115.
(b) Provides that an offense under this section is a Class A misdemeanor.
SECTION 5. Repealer: Section 2052.3015 (Promoter Penalty for Late License), Occupations Code.
SECTION 6. (a) Provides that the change in law made by this Act does not affect the validity of a proceeding pending before a court or other governmental entity on the effective date of this Act.
(b) Requires TDLR to prescribe the form and manner of approval required by Section 2052.115, Occupations Code, as amended by this Act. Authorizes TCLR to adopt any rules necessary to implement the changes in law made by this Act.
(c) Provides that an offense or other violation of law committed before the effective date of this Act is governed by the law in effect when the offense or violation was committed, and the former law is continued in effect for that purpose. Provides that, for purposes of this subsection, an offense or violation was committed before the effective date of this Act if any element of the offense or violation occurred before that date.
SECTION 7. Effective date: upon passage or September 1, 2025.