The NCAA is still pushing for Congressional legislation to standardize college athletes earning money through their names, likenesses and images (NIL). However, one of the top policy-making committees voted on Tuesday to start promoting association rule changes with the same goal.
In a press release, the NCAA stated that it will try to have ready proposals for voting in January.
- Require that athletes report any NIL contracts above a certain amount – most likely $600. The schools would then report the anonymized information at least twice a month to the NCAA national office or to a third-party designated by the association. Before a National Letter of Intent could be offered, recruits would need to disclose their information to the school.
- Allow the NCAA the authority to recommend a standard contract for all NIL agreements involving athletes.
- Agents and financial advisors that assist athletes with NIL agreements should register voluntarily with the NCAA. This information would be published and athletes could rate their experience with these providers, and possibly file grievances.
- Create the parameters of an educational program designed to help athletes better understand a variety of topics related to participating in NIL activities.
It is possible that the move to advance these ideas will only become official after Wednesday’s Council meeting, but it won’t be until then.
Tom McMillen said, “I wish this had been done a year earlier.” The LEAD1 Association represents athletic directors at Football Bowl Subdivision Schools. “But they’re at least doing it now.”
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The association is now on track to achieve several goals of NCAA President Charlie Baker, including the basic goal of enabling the NCAA to take action on NIL by the early 2024 if Congress doesn’t act in the interim. The college sports NIL is currently governed by state laws.
McMillen said that the recent budget battles on Capitol Hill, and the ouster Tuesday of Kevin McCarthy, R.-Calif. as Speaker of House, are “taking all the oxygen out” of the room. It’s less likely that anything will be done (on college sports) this year. However, there could be a window early next year before the election cycle in 2024 begins.
The NCAA faces a challenge in implementing any changes to association rules without being sued. In January 2021 the NCAA appeared to be on the brink of making changes to the NIL rules, which included a requirement for athletes reporting their NIL activities. Makan Delrahim was the head of the Justice Department’s Antitrust Division at the time. He wrote to the then-NCAA president Mark Emmert a letter stating that the association’s attempts to regulate athletes’ NIL activity “may raise concern under the antitrust law.”
McMillen praised Baker and the Council nonetheless for Tuesday’s actions.
McMillen stated that “it is all subject to litigation” if Congress does not help. “But I am glad they are taking the risk.” They must take the risk. This thing can’t be run without a rudder. Frankly, I believe (the Council) can do more. “But this is a great first step.”
