A bill state lawmakers hope will attract the Ultimate Fighting Championship to Hawaii by creating a Combat Sports Commission has passed its final committee hurdle.
The House Finance Committee on Tuesday recommended passage on third reading of Senate Bill 1027. It has been scheduled for an April 11 House floor vote.
The bill, introduced by Sen. Lorraine Inouye of Hilo, would create the new commission under the Department of Commerce and Consumer Affairs. The bill’s aim is to put stricter regulatory oversight over combat sports than is currently provided by the state’s Mixed Martial Arts Program, which is also under DCCA.
Inouye said she believes the bill’s passage would encourage the UFC to hold events in Hawaii.
“I understand there’s been interest from before,” Inouye said. “They have commissions on the mainland. When there were inquiries to come to Hawaii, the decision by the (UFC) was no, because there was no commission in Hawaii, and it’s their preference to have their events in states where it’s a part of their incorporated portfolio.
“I’m happy that the bill is moving. I think there will be a lot of inquiries and a lot of people will be happy to attend” UFC fights.
Bellator MMA — the second-largest U.S.-based promotion but considerably smaller than the UFC — holds events at Honolulu’s Blaisdell Center Arena. Crowds for their events have drawn attention as a potential source of income for the state. That said, the establishment of a commission doesn’t guarantee the UFC would come to Hawaii.
“In my discussions with event promoters and event providers, it is related to venues, the ability to pack as many people into an event to put on a show that would be profitable enough for them to run an event,” said James Skikewski, DCCA’s Mixed Martial Arts Program’s executive director, in testimony March 29 before the House Finance Committee.
During that hearing, DCCA Director Nadine Ondo told the committee a commission is “unnecessary.”
“We believe that the appropriate way to go with this is to have a working group created to perhaps best meet the expansion of the current Mixed Martial Arts Program to accommodate the issues and concerns that have been raised by the combat sports supporters of this measure” she said.
Walt Carvalho, a longtime boxing coach, cut man and fight promoter who lives in Hilo, told lawmakers the current MMA program has “ruined” smaller MMA shows.
“They can’t afford to pay the fees the DCCA are charging. They’ve been charging for 10 years, and not one dime has gone back into combat sports,” Carvalho testified.
“Every single state and country has an athletic commission. It’s not a committee, it’s a commission. You have commissioners and inspectors and people who work for the commission. And they’re paid by the commission. They’re not paid by the promotions. The moneys generated goes back into the program.
“And were not asking for funding. How’s that?”
The cost of a commission is an unknown. The bill proposes licensing fees and taxes on ticket sales to fund the commission.
“It’s going to take time to put this commission together. In the meantime, we’ll develop a strong foundation with the smaller programs, the smaller events, until we’re ready to take on a big show. Because the UFC is not a joke. Dana White is not a joke,” Carvalho said, referring to the longtime UFC president.
Carvalho described the money the UFC would bring to Hawaii as “phenomenal.” He added that venue problems, the lack of a credible commission and DCCA’s insistence on a cut of everything keeps the UFC away.
“They take 2% of the gate. Not only 2% of the tickets sold, but 2% of the face value of the comp tickets that you gave away to the radio station, or to somebody’s family,” Carvalho said, and he opined DCCA also would demand a cut of the UFC’s pay-per-view revenue.
J.D. Penn Jr., older brother of BJ Penn, former two-division UFC champion and a member of the UFC Hall of Fame, also thinks there should be a commission for combat sports.
“Not to say anything bad about boxing, but MMA should have their own commission,” Penn, who has spearheaded Rumble on the Rock and Just Scrap MMA promotions, told the Tribune-Herald on Tuesday. “It’s the fastest-growing sport, as we know, and it needs to have a commission with the right people in charge, people with mixed martial arts knowledge.”
The UFC rarely has held outdoor events, and White has said there’s no guarantee of sunshine, even in Hawaii. Asked if there’s a proper venue in Hawaii for the UFC, Penn replied, “I would say, no, not for a big event.”
“I know the UFC, if they come to Hawaii, would want to hold a huge event,” he added. “Just with their staging, their lighting, their big screens, they’d probably cut down about 30% of their seats to do the show and bring in the production they want.
“The venue is definitely a huge hurdle.”
In addition, Penn said, the state needs to provide financial incentives, not taxes and fees, to attract the UFC and other large events.
“We’re supposed to be the Aloha State,” he said. “So, I think the government, or whoever’s in charge, should sit down with these organizations and cut a deal — whatever it would take to make it work. We should be having all of these big events, UFC, XFL (and) the Pro Bowl.
“All of these events should be in Hawaii.”
Email John Burnett at jburnett@hawaiitribune-herald.com.