SCORE Act
Description
This bill would create a federal framework for student athlete NIL compensation and clarify that athletes are not school employees.
Summary
What it does
This bill would establish a federal framework for student athletes to receive compensation for the use of their name, image, or likeness (NIL) and would prohibit schools or athletic associations from restricting these agreements. It proposes that student athletes not be classified as employees and would require high-revenue athletic programs to provide medical benefits and maintain a minimum number of varsity sports teams. Additionally, the bill would authorize athletic associations to set rules for eligibility and recruitment while preempting related state laws and providing certain antitrust protections.
Who is affected
This bill directly affects student athletes by establishing their right to enter name, image, or likeness (NIL) agreements and clarifying that they are not considered employees of their respective organizations. It also impacts institutions of higher education, particularly those generating $20 million or more in annual athletic revenue, which must provide specific medical benefits and maintain at least 16 varsity teams. Additionally, the legislation governs the regulatory authority of athletic conferences and interstate intercollegiate athletic associations, such as the NCAA, regarding eligibility and recruitment rules.
Key provisions
- Protection of Name, Image, and Likeness (NIL) Rights. The bill prohibits higher education institutions, conferences, and athletic associations from restricting a student athlete's ability to enter into agreements for the use of their name, image, or likeness.
- Requirements for High-Revenue Athletic Programs. Institutions generating $20 million or more in annual athletic revenue must provide counseling and medical benefits to student athletes and maintain a minimum of 16 varsity sports teams.
- Athletic Association Regulatory Authority. Interstate intercollegiate athletic associations are authorized to establish rules regarding athletic eligibility, recruitment, transfer policies, and the disclosure of NIL agreements.
- Employment Status and Antitrust Compliance. The bill clarifies that student athletes are not considered employees of their institutions or conferences and stipulates that compliance with the bill's provisions is lawful under federal and state antitrust laws.
- Preemption of State Laws. Federal law would supersede state regulations concerning student athlete compensation, benefits, employment status, eligibility, and academic standards.
Fiscal impact
Not applicable: No CBO cost estimate available
Effective dates
Not applicable: Official Summary does not address effective dates
Relationship to existing law
The bill addresses elements of the court-approved settlement in the In re College Athlete NIL Litigation and establishes that compliance with its provisions is considered lawful under federal and state antitrust laws. Additionally, the bill preempts state laws regarding the compensation, benefits, employment status, and academic standards of student athletes.
Stated purpose
The bill establishes a national framework for student athletes to receive compensation for the use of their name, image, or likeness (NIL) while addressing elements of the 'House' settlement. It aims to standardize athletic eligibility and recruitment rules, clarify that student athletes are not employees, and mandate specific medical benefits and sports program requirements for high-revenue institutions.