What Happened?

College athletes could play under one national set of pay and transfer rules instead of state standards under a Senate college sports bill that passed 77-22 last night. S. 4668 bars schools, conferences and interstate athletic associations from blocking athletes from signing name, image, and likeness agreements, which let players earn money from endorsements and appearances.

Athletes would report pay over $600, and agents could charge no more than 5 Percent of a deal. Players would get one transfer without losing eligibility, in-season football staff moves to head coach jobs elsewhere would face limits, and payments that get around the revenue sharing limit from the House settlement would be barred.

The bill would make that revenue sharing limit permanent with a yearly inflation adjustment, which raises the cap with rising prices. It would also allow a limited antitrust exemption for pooling sports telecasting rights.

Why Does it Matter to Me?

The bill addresses athlete compensation from name, image, and likeness deals, transfer eligibility, and pooled media rights.

Under the bill passed by the Senate, athletes must report compensation greater than $600. The bill caps agent endorsement fees at five percent.

For fans, the stakes are uniform rules for pay, agent registration, transfer eligibility and pooled media rights.

Both Sides, Now

The bill was introduced June 2 by Sen. Ted Cruz (R-TX) with seven cosponsors from both parties, then ordered reported by the Commerce, Science, and Transportation Committee and placed on the Senate calendar. The White House issued a Statement of Administration Policy supporting passage, consistent with executive actions titled Saving College Sports and Urgent National Action to Save College Sports.

Supporters voted as a broad bipartisan majority on the roll call, with Republicans voting 50 in favor and two against and the administration stating, “The Administration supports passage of S. 4668.” Opponents included a concentrated bloc of Democrats, who voted 26 in favor and 19 against, while independents split one to one and one Republican did not vote.

Sen. Rand Paul voted no, breaking with most Republicans, while Sen. Catherine Cortez Masto voted yes.

What Happens Next?

Enactment still requires House action and presidential approval, and H.R. 9137 is identified as an identical House bill. Other 119th Congress proposals on the same subject include the College Athletics Reform Act, the SPORTS Act and the College Athlete Economic Freedom Act.

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