OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http://www.cga.ct.gov/ofa

sHB-5277

AN ACT CONCERNING MIXED MARTIAL ARTS.


OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 14 $

FY 15 $

Department of Emergency Services and Public Protection

GF - Cost

$40,000 - $90,000

$40,000 - $90,000

Department of Revenue Services

GF - Revenue Gain

150,000-270,000

195,000-360,000

Municipal Impact: None

Explanation

The bill, which allows the Department of Emergency Services and Public Protection to regulate both amateur and professional mixed martial arts matches, would result in a cost of $40,000 to $90,000. The estimated cost to regulate each match is roughly $8,000. The agency may also incur overtime and other expenses related to regulation and legal review of applications, totaling up to $50,000 annually. The analysis assumes roughly five events annually.

The bill results in a revenue gain of $150,000 to $270,000 in FY 14 and $195,000 to $360,000 annually thereafter related to licenses, permits, and admissions tax revenue. This estimate assumes annual ticket sales will be between 20,000 and 30,000, including both professional and amateur events. The revenue gain is lower in FY 14 due to the effective date of October 2013, which is anticipated to limit the number of matches that may occur in FY 14.

The Out Years

The annualized ongoing fiscal impact identified above would continue into the future subject to inflation.