SENATE BILL NO. 151
INTRODUCED BY D. MAHLUM
AN ACT PROHIBITING UNIVERSITY FITNESS CENTERS, EXCEPT A FITNESS CENTER AT A UNIT OF THE UNIVERSITY SYSTEM WITH LESS THAN 3,500 STUDENTS, FROM SELLING SERVICES TO INDIVIDUAL MEMBERS OF THE GENERAL PUBLIC WHEN THERE IS A FOR-PROFIT FITNESS CENTER OPERATING IN THE COMMUNITY; PROVIDING AN EXCEPTION FOR UNIVERSITIES THAT SELL MEMBERSHIPS TO STUDENTS, EMPLOYEES, AND THEIR IMMEDIATE FAMILIES; ALLOWING THE SALE OF MEMBERSHIPS TO A LIMITED NUMBER OF ALUMNI UNDER CERTAIN CIRCUMSTANCES; ALLOWING THE SALE OF DAY PASSES TO RELATIVES OF STUDENTS AND EMPLOYEES; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
Section 1. Definitions. As used in [section 2], the following definitions apply:
(1) "For-profit fitness center" means a private sector facility that offers instruction, training, consultation, equipment, or space to the public for a fee to maintain, encourage, or develop physical fitness or conditioning.
(2) (a) "University fitness center" means a facility at a university unit, as provided in 20-25-201, that offers instruction, training, consultation, equipment, or space to maintain, encourage, or develop physical fitness or conditioning.
(b) The term does not include a university's swimming pool facilities, golf course facilities, or youth camps.
Section 2. Competition between for-profit fitness centers and university fitness centers prohibited -- exception. (1) Except as provided in subsection (2), a university fitness center may not sell a contract or charge a monthly fee to individual members of the general public for the use of fitness center facilities if a for-profit fitness center offering similar services operates in the community where the university fitness center operates.
(2) The provisions of subsection (1) do not apply to:
(a) contracts or monthly fees that may be charged to students, employees, or the immediate family members of a student or an employee of a university;
(b) contracts or monthly fees that may be charged to alumni of the university as long as the number of alumni memberships does not exceed 10% of the total number of alumni who are dues-paying members of the university's alumni association and who reside in the municipality where the university is located and as long as the cost of the alumni membership is at least as much as the average cost of membership in for-profit fitness centers in the municipality; and
(c) daily passes sold to relatives of university students or employees.
(3) The provisions of this section do not apply to units of the university system with less than 3,500 full-time students.
Section 3. Codification instruction. [Sections 1 and 2] are intended to be codified as an integral part of Title 20, chapter 25, part 3, and the provisions of Title 20, chapter 25, part 3, apply to [sections 1 and 2].
Section 4. Effective date. [This act] is effective on passage and approval.
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