NCAA takes step on pay for athletes
The NCAA is moving closer to allowing Division I athletes to earn money from endorsements and sponsorship deals they can strike on their own as early as next year, The Associated Press reported Thursday.
Recommended rule changes that would clear the way for athletes to earn money from their names, images and likeness are being reviewed by college sports administrators this week before being sent to the NCAA Board of Governors, which meets Monday and Tuesday.
If adopted, the rules would allow athletes to make sponsorship and endorsement deals with all kinds of companies and third parties, from car dealerships to concert promoters to pizza shops, according to a person who has reviewed the recommendations.
The recommendations are expected to form the foundation for legislation the NCAA hopes to pass in January so it can take effect in 2021. Changes could still be made before January.
No school-branded apparel or material could be used by athletes in their personal endorsement deals. Athletes would be required to disclose financial terms of contracts to their athletic departments, along with their relationships with any individuals involved.
Athletes would be allowed to enter into agreements with individuals deemed to be school boosters.
The NCAA would create a mechanism to evaluate potential deals for fair market value and spot possible corruption. An athlete could compromise their eligibility for failing to disclose details of a financial agreement or relationship, the person said.
The recommendations also call for allowing athletes to sign autographs for money, sell their memorabilia, and be paid for personal appearances and working as an instructor in their sport.
The recommendations come from a working group set up 11 months ago and led by Ohio State ADGene Smith and Big East Commissioner Val Ackerman.
The need for change was sped up by pressure from state lawmakers. California was first to enact a law that would make it illegal for NCAA schools to prohibit college athletes from making money on endorsements, social media advertising and other activities tied to name, image and likeness.
Dozens of states have followed California’s lead, some more aggressively than others. California’s law doesn’t go into effect until 2023 while a Florida bill awaiting the governor’s signature would go into effect July 2021.
NCAA leaders have gone to Congress looking for help to fend of a patchwork of state laws and create a national standard.
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