College Athlete Economic Freedom Act
Sponsored By: Representative Rep. Trahan, Lori [D-MA-3]
Introduced
Summary
Empower college athletes to monetize their name, image, and likeness (NIL). This bill would set a single federal rulebook that lets athletes sign NIL deals alone or together, adds enforcement tools, and adjusts visas for international players.
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- College athletes: Would protect athletes' rights to market their NIL and to hire agents or lawyers. It would preserve existing grant-in-aid eligibility while banning institutional rules that block NIL deals.
- International college athletes: Would change visa and employment rules so international athletes can take part in NIL deals without losing status and would allow schools to report eligibility and wages for those activities.
- Institutions and institutional collectives: Would require institutional NIL collectives to register with the Federal Trade Commission and file annual reports by September 1 with disaggregated data by gender, race, and sport, and to provide equitable NIL support without discrimination.
- Enforcement and preemption: Would give the FTC authority to treat NIL violations as unfair or deceptive acts, allow private lawsuits for damages and fees, and preempt state laws that conflict with athletes' ability to contract for NIL.
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Bill Overview
Analyzed Economic Effects
5 provisions identified: 5 benefits, 0 costs, 0 mixed.
Scholarships safe if you do NIL
If enacted, the bill would say NIL pay would not hurt your chance to get a scholarship (grant‑in‑aid). It would not change the amount, length, or renewal of your scholarship. The bill would also leave the current tax rules for qualified scholarships unchanged.
New rights to do name‑image likeness deals
If enacted, the bill would let college athletes and recruits market their name, image, and likeness. Schools and athletic groups could not block you from NIL deals or from using an agent or a group to represent you. If a school helps with NIL, that help would have to be open to all athletes, no matter gender, race, or sport. A school would need a license before using a team’s or group’s NIL and must tell the group how it will be used and any school revenue. School‑affiliated NIL collectives would have to register with the FTC and file a yearly report by September 1 for the prior July 1–June 30 period, with data broken down by gender, race, and sport.
NIL work for international college athletes
If enacted, international college athletes in the F(ii) category would be allowed to do NIL work during their authorized stay. DHS would issue proof of work authorization, and a school‑signed Form I‑20 for NIL would count as evidence. Past NIL work alone would not make you inadmissible or cause loss of status. Your school would need to agree to report if you stop attending. If a court or agency later says college athletes are employees, doing NIL would not violate F(ii) status, and you could be paid like other athletes.
Stronger federal enforcement of NIL rules
If enacted, the Federal Trade Commission would enforce these NIL rules, including for nonprofit groups. The FTC would issue rules, and violations would count as per se antitrust violations. People hurt by violations could sue in federal court for actual damages and attorney fees. States could not enforce laws that limit NIL contracts, except they could still enforce agent‑certification rules.
Grants to study the NIL market
If enacted, the Commerce Department could give grants or contracts at least once a year to study the NIL market. Each report would cover the prior year, estimate athlete pay by gender, race, and sport, and be published with its surveys. Grantees would also send recommendations to address any gaps. Congress would need to approve money as needed for this work.
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Sponsors & CoSponsors
Sponsor
Rep. Trahan, Lori [D-MA-3]
MA • D
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
No roll call votes available for this bill.
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