The SCORE Act & the Future of NIL: A Guide to National Standards for College Athletes
The world of college athletics has been transformed by the ability of student-athletes to profit from their Name, Image, and Likeness (NIL). Yet, this new era is marked by a confusing array of state laws and school-specific policies. This inconsistency has created an uneven playing field, making compliance difficult for schools and navigating deals a challenge for athletes.
The SCORE Act (Student Compensation and Opportunity through Rights and Endorsements Act) is a key federal legislative proposal that aims to address these issues by creating a single, national framework for NIL. If passed, it would fundamentally change how college sports operate, but it's not without its critics.
In this blog post, we'll break down the SCORE Act, explore the need for national standards, and discuss what it could mean for everyone involved.
What Is the SCORE Act?
The SCORE Act is a bipartisan bill introduced in the U.S. House of Representatives. At its core, it aims to establish a uniform federal law for NIL, overriding the current patchwork of different state regulations. The bill seeks to codify many of the changes brought about by the landmark House v. NCAA settlement, including a revenue-sharing model that allows schools to directly compensate athletes.
Key provisions of the Act include:
Providing a limited antitrust exemption for the NCAA and its conferences, which would protect them from future legal challenges over athlete compensation rules.
Explicitly stating that student-athletes are not employees of their universities or conferences.
Requiring that schools with annual athletic revenue over $20 million maintain a minimum of 16 varsity sports to protect non-revenue and Olympic sports.
Limiting agent fees to a 5% cap and requiring schools to provide additional benefits to athletes, such as mental health programs and access to legal and tax services.
Why Are National NIL Standards Necessary?
The lack of a single, nationwide standard has led to several problems since NIL was first allowed. Athletes in states with more flexible NIL laws have an advantage over their peers elsewhere, creating recruiting disparities. Schools are burdened with navigating complex and often conflicting rules, leading to confusion and potential legal liabilities. The rise of NIL collectives and boosters has also created a Wild West environment in recruiting, with little federal oversight.
A national framework, like the one proposed by the SCORE Act, would streamline these challenges and bring much-needed clarity, consistency, and fairness to the college sports landscape.
How the SCORE Act Could Impact Athletes
For student-athletes, the SCORE Act could offer greater protection and consistency. It would create a single set of rules for contracts and disclosures, safeguarding them from predatory deals. Their rights would be the same across the country, eliminating the confusion of state-by-state variations. However, some critics argue the bill could also roll back legal protections for athletes by providing a broad antitrust exemption to the NCAA, potentially limiting their ability to challenge future compensation restrictions.
How the SCORE Act Could Impact Schools
For universities and colleges, the SCORE Act would greatly simplify compliance by replacing multiple state laws with one set of federal guidelines. This could reduce legal liability and bring more structure to recruiting by setting clear limits on the involvement of boosters and collectives. On the other hand, the Act could also lead to new administrative burdens and financial pressures. Critics, including Senator Maria Cantwell, have warned that the bill could fuel a "football arms race" and further widen the gap between major conferences and smaller schools by repealing the revenue-sharing cap from the House v. NCAA settlement.
Current Status of the SCORE Act
The SCORE Act has advanced through two House committees with only Republican votes, although it has bipartisan co-sponsorship. A House vote was expected, but has been delayed as factions within Congress work to ensure it has enough support to pass. The bill faces strong opposition from some Democrats and athlete advocacy groups who argue it disproportionately benefits the NCAA and major conferences at the expense of athletes. Whether the SCORE Act ultimately becomes law or is replaced by another bill remains uncertain, but the push for federal NIL legislation is clearly gaining momentum.
Looking Ahead: The Broader Context of NIL
The debate over the SCORE Act highlights a critical moment for college sports. The conversation is not just about NIL contracts but about the very future of the amateur model. While a definitive federal law has yet to be passed, both athletes and schools can prepare for change by being proactive.
Athletes should seek professional advice for contracts and taxes, while schools should focus on compliance education and financial literacy for their students. The outcome of the SCORE Act will be a key factor in shaping a more stable and equitable future for all of college athletics.