Senate passes college sports bill on NIL, transfers and eligibility

The Senate approved the Protect College Sports Act 77-22, sending the first federal college athletics framework to the House. The bill would set national rules for NIL, transfers, eligibility, agent fees and compliance, but it is not law yet.

Why it matters: - The Protect College Sports Act would replace a patchwork of state NIL rules and association bylaws with one federal framework. - The bill could reshape how student-athletes sign NIL deals, change schools, and keep eligibility. - Colleges and athletics departments would face new compliance, reporting, and contract-review obligations.

What happened: - The Senate passed S. 4668 by a 77-22 bipartisan vote on Sept. 28, advancing the measure to the House. - Senate Commerce Committee Chairman Ted Cruz and Ranking Member Maria Cantwell negotiated the bill. - Senators Eric Schmitt and Chris Coons are among the cosponsors. - K Altman Law is reviewing the legislation and its compliance implications for student-athletes, families, colleges, and athletics departments.

The details: - The bill would codify the 2025 House v. NCAA settlement. - It would set national standards for name, image and likeness agreements. - It would give the NCAA limited antitrust protection to enforce rules on eligibility, transfers and compensation. - It would allow one penalty-free transfer. - It would create a five-year eligibility framework. - It would require athlete agents to register. - It would cap agent fees at 5%. - It would require disclosure of qualifying NIL agreements. - It would impose minimum sport-offering and roster requirements aimed at protecting women’s and Olympic sports. - If enacted, athletics departments would need new reporting, disclosure and oversight systems. - Student-athletes and families would need to work with registered agents and document NIL activity under federal thresholds. - Institutions would need to align internal policies, contract review procedures and eligibility determinations with federal standards.

Between the lines: - The bill would move much of college sports compliance away from state-by-state variation and toward a single national rulebook. - The legislation does not resolve whether college athletes are employees. - Some groups, including the NAACP, the AFL-CIO and the Congressional Black Caucus, oppose the measure. - The House is not scheduled to return until after the November elections, which could slow the bill’s path. - The measure still needs approval from both chambers before the current Congress ends. - Candice Lapham, NIL attorney at K Altman Law, said federal standards would provide a more predictable set of rules and that athletes and families should read agreements carefully and understand disclosure requirements before signing.

What's next: - The bill now goes to the House of Representatives. - Existing NIL, transfer and eligibility rules remain in effect until Congress acts. - Student-athletes and families should keep copies of NIL agreements, amendments, payment records and communications with agents, collectives and brand partners. - They should verify agent credentials, fee terms, duration and termination rights in writing. - They should confirm current institutional, conference and state reporting rules before signing new agreements. - They should ask athletics compliance offices to confirm requirements in writing before making transfer or NIL decisions. - K Altman Law says outcomes vary by jurisdiction, institution and athletic association, and readers should consult qualified counsel for specific situations.