The Race to a NCAA Bill
This Friday Feature summarizes the most recent updates on Federal NCAA bills
The College Athletes Protection & Compensation Act
Last week, a bipartisan group of senators began working on a college sports bill that would pre-empt state laws to create national regulations for NIL compensation and fund long-term health care plans for athletes.
While only a draft at this point, the Act would work to help address many problems that the NCAA has been calling for help on. The Act would form the College Athletics Corporation (CAC)- a non-governmental oversight and enforcement agency. CAC would help provide certification for agents who want to represent college athletes and maintain a database of NIL deals.
The new governing body would also establish a medical trust fund that athletes would have access to even after completing their time at the college of their choosing. This fund would come from contributions by the NCAA and schools or conferences that earn upwards $50 million in revenue per year.
Most importantly, however, the CAC would have the subpoena power to investigate potential violations, something that the NCAA staff cannot do—even after their most recent memo threatening action. (Link)
The trio of Sens. Richard Blumenthal (D-Conn.), Cory Booker (D-NJ), and Jerry Moran (R-Kan.) are partnering together to push for the act. Although Blumenthal and Booker are some of the largest critics of NCAA leaders, the two still support college athletes. As Blumenthal said, college athletes “need a level playing field with guarantees of economic opportunities, educational outcomes, and essential health care.” (link).
The Protecting Athletes, Schools, and Sports Act (PASS)
On Tuesday, Sens. Joe Manchin and Tommy Tuberville introduced a college sports bill that would set reporting requirements for athlete’s NIL deals, regulate collectives, and restrict when players can transfer.
In the view of these senators, this legislation strikes a balance between protecting the rights of student-athletes and maintaining the integrity of college sports.
The Act would establish a regulator to oversee agents and collectives, and also establish a uniform NIL contract for athletes. Furthermore, the bill would make it illegal for states to pass laws that permit college athletes to share revenue with schools and conferences.
Similar to the College Athletes Protection & Compensation Act, the Protecting Athletes, Schools, and Sports Act would also require schools to fund some long-term health care for their athletes. Furthermore, it would also regulate transfer rules making it harder for athletes to transfer from school to school. Under the Act, athletes would be required to complete three years of academic eligibility before being able to switch schools and immediately compete. (link)
New Congressional Bill Joining PASS
On Wednesday, Sen. Chris Murphy and Rep. Lori Trahan formally relaunched a legislative effort to broaden college athletes’ ability to make money through NIL. The measure would allow athletes from foreign countries to engage in NIL while they are in the United States. Previously, the way that U.S. student visa rules regarding work by foreign students operated made it virtually impossible for these athletes to take advantage of NIL deals.
Furthermore, the bill would formally affiliate collectives with their respective schools and require reviews of schools’ compliance with Title IX.
Lastly, the bill would prevent schools from using any group of athletes’ NIL for any purpose, unless it has obtained a group license from those athletes. While the bill wouldn’t require a school to pay the athletes on the team for the license, the school would be required to notify them about how much revenue it will be getting from its use of their NIL. (link)
Since the NCAA began urging Congress to pass federal legislation in 2020, over a dozen bills have been proposed. Not one has even advanced to the initial step in the process. (link)