Latest news and analysis from Senate Judiciary Committee hearing on NIL
For the 10th time since 2020, college sports and NIL will have another moment on Capitol Hill.
The Senate Judiciary Committee hosts a legislative hearing on Tuesday morning, featuring a who’s who of the college sports landscape with seven witnesses scheduled to testify. How the meeting plays out remains to be seen. Previous hearings have turned into a pep rally, while last month’s questioned the NCAA’s motives for turning to Congress for assistance.
Among the NCAA’s top wishes in a federal NIL mandate include an antitrust exemption, preemption over state NIL laws and codifying athletes are not employees. Listeners should also be prepared for discussions centered around conference realignment, collective bargaining and revenue sharing.
The meeting comes as the 118th Congress is currently dealing with war in Ukraine, the Israel-Hamas conflict and a looming government shutdown. Beyond that, a presidential election is on the horizon and the House is attempting to elect a new speaker.
On3 had every angle of the hearing covered, with multiple reporters analyzing the event.
Tenth legislative hearing on NIL comes to close
12:50 p.m. – The 10th hearing on NIL and college sports since 2020 is over. While senators asked a range of pointed questions to the seven witnesses, it remains to be seen what legislation is produced or moves forward at this time.
Congress is currently dealing with a range of domestic and international issues, plus a presidential election is quickly approaching. A notable takeaway is the conversation has moved forward. In previous hearings, the focus was just on NIL and inducements. Now the discussion has shifted to the argument over athletes as employees and revenue sharing.
It was also notable that Sens. Booker, Cruz and Tuberville each had time to talk and interact with the witnesses. Each could play a key role if a bill ever makes it out of committee and to the floor.
Charlie Baker makes interesting comment on enforcement
12:40 p.m. – Throughout the summer, lawmakers in Arkansas, Colorado, Missouri, Montana, New York and Oklahoma sponsored or passed bills to prevent the NCAA from launching investigations into NIL activities.
Answering a question from Sen. Bluementhal on Tuesday, Baker admitted he’s had some “interesting experiences” with state attorney generals since he took the job.
Walker Jones ‘ready’ for governance
12:20 p.m. – As the leader of the Ole Miss collective and speaking on behalf of 25 NIL entities, Walker Jones made it clear Tuesday that they are ready to accept governance.
The former Ole Miss football player also spoke to how collectives have evolved in the last 12 months. Collectives’ jobs are no longer just focused on cutting checks.
“We stand ready to have governance to have oversight to have a federal standard,” he said. “We are ready to work with all our colleagues up here on this panel and with the government where necessary because we’re lucky enough that we deal with the athletes every day. We’re in the trenches with them. We’re in the realities, and we just don’t buy into all the negativity that you hear.
Senate staffer weighs in on pro-labor comments
12:05 p.m. – Peter Mills, a senate staffer, brings up a very fascinating point.
Republican Sens. Kennedy and Hawley both shared pro-labor views during their time on the microphone on Tuesday. This comes after two years in which many thought Democrats were the only ones who shared pro-labor views.
It’s another signed that athlete unions are likely to come.
Sen. Hawley turns discussion to Middle East
11:56 a.m. – Sen. Josh Hawley began his line of questioning by asking NCAA president Charlie Baker about the anti-Israeli statements made this week. Hawley also had a series of questions about transgender athletes.
The Republican from Missouri closed his time asking why athletes should not form unions. Baker said he’s had countless conversations with athletes who do not want to be employees.
Jack Swarbrick wants true NIL
11:45 a.m. – Asked to provide a model that Congress could refer to as it crafts NIL legislation, Notre Dame athletic director Jack Swarbrick said there isn’t one to reference. However, he emphasized his belief in NIL deals and ideas as opposed to pay-for-play and inducements.
Sen. Kennedy: ‘You may regret asking Congress to intervene’
11:25 a.m. – As the NCAA and Charlie Baker ask for a federal mandate, Sen. John Kennedy (R-La.) said to pump the brakes.
Kennedy said the governing body should pause before handing the college sports model over to Congress, explaining how much more complicated the system could become with lawmakers stepping in.
“I would strongly encourage you and your colleagues to try to get together and come up with a new system for us to consider,” Kennedy said. “It looks like somebody designed it on purpose. You may regret asking Congress to intervene here. All of a sudden, you’re going to be micromanaged.”
Charlie Baker takes aim at NIL collectives
11:18 a.m. – Shortly after Walker Jones emphasized collectives are creating more and more deals for female athletes and that they’re committed to diversity, Charlie Baker took aim at his comments.
“With all due respect to you, Walker (Jones), nobody knows what is going on,” the NCAA president said. “It’s a guess and rumor. When people say we’re doing much better when it comes to women student-athletes on NIL, I don’t know if that’s true.”
Sen. Graham: ‘You’re going to destroy college athletics’
11:05 a.m. – Sen. Lindsey Graham’s five minutes led to arguably the most entertaining conversation of the day. The Republican from South Carolina pushed Walker Jones for an answer on who is the highest-paid college athlete. He cited LSU gymnast Livvy Dunne, who has a $3.2 million On3 NIL Valuation.
The senator closed his time by sending a message to his colleagues and the seven witnesses.
“If this committee and Commerce Committee doesn’t act in about a year, this thing will be a mess,” Graham said. “You’re going to destroy college athletics.”
Jack Swarbrick voices concern of athletes becoming employees
10:55 a.m. – Notre Dame athletic director Jack Swarbrick picked up on his case against athletes becoming employees. He wrote an op-ed with Notre Dame president John Jenkins in May, urging Congress to clarify athletes are not employees and give the NCAA the ability to enact and enforce rules for pay-for-play, among other wishes.
Walker Jones makes case for NIL collectives
10:47 a.m. – Ole Miss collective leader and founding member of The Collective Association, Walker Jones emphasizes collectives make up 80% of all NIL deals. And combatting previous comments about Title IX concerns, the former Under Armour executive said: “We are committed to diversity and inclusion in sourcing opportunities for all athletes regardless of the sport they play.”
NIL collectives have surfaced at nearly every Division I school over the last 26 months. At the top level of college football, the race is to stockpile the most cash to distribute to current players so recruits know what they can make once they enroll at the college.
Jones pushed back on collectives participating in the recruiting process.
“We do not participate in the recruiting process,” Jones said. “That is best left to coaches and athletic departments under the strict watch of the NCAA.”
NCPA’S Ramogi Huma pushes for broad legislation
10:40 a.m. – After three consecutive witnesses urging Congress to push through a national NIL standard, National College Players Association president Ramogi Huma made his case for a broad piece of legislation.
Huma says he would like to see a bill that addresses athlete healthcare and safety. He also voiced his opposition to Congress prohibiting athlete employment and granting the NCAA its antitrust exemption.
Tony Petitti emphasizes Title IX implications
10:35 a.m. – In Big Ten commissioner Tony Petitti’s opening statement, he touched on the Title IX implications of NIL.
As a growing number of institutions test the boundaries of their relationship with school-affiliated collectives, concerns have continued to mount over the elephant in the NIL space: Title IX.
“NIL and Title IX are about to collide – and it’s just a question of when and where,” lawyer Arthur Bryant, widely viewed as the nation’s foremost Title IX expert, recently told On3.
Charlie Baker hits key points in opening statement
10:25 a.m. – NCAA president Charlie Baker has been touting the same wish list to be included in a federal mandate since he took the job this spring.
The former Massachusetts Governor touched on all those items in his opening statement, while also emphasizing how the NCAA is modernizing with extending post-college healthcare and scholarships.
“We want to partner with Congress to go further and curtail inducements and prevent collectives and other third parties from tampering with students,” he said. “We would like to have a national standard where a patchwork of laws, as you pointed out Sen. Blumenthal, currently exists.
“We support codifying current regulatory guidance into law by granting student-athletes special status that would affirm they are not employees.”
Sen. Richard Blumenthal opens hearing
10:10 a.m. – Sen. Richard Blumenthal is chairing Tuesday’s hearing, stepping in for committee chair Richard Durbin, who is out due to knee surgery. A Democrat from Connecticut, Blumenthal released a discussion draft of a bipartisan federal bill with Sens. Cory Booker (D-N.J.) and Jerry Moran (R-KS) in July.
Titled the “College Athletes Protection and Compensation Act of 2023,” the discussion draft would preempt “most if not all” state laws, while also establishing a database and “affording the association a degree of legal protection.” It also provided lifetime scholarships and long-term medical coverage, but it reportedly didn’t address the issue of athletes being classified as employees of their institutions.
“I believe strongly we need a national standard for name, image and likeness mainly to protect the athletes against potential disreputable agents or unscrupulous deals,” Blumenthal said. “…. Students are better off than they were.”
Watch Senate Judiciary Committee hearing on NIL
9:45 a.m. – Unlike past legislative hearings, this will not be available on YouTube. Instead, a live stream is running on the committee’s website here.
Ole Miss’ Grove Collective Walker Jones explains strategy
8:15 a.m. – Walker Jones will be the first NIL collective leader to testify before Congress at a hearing. The executive director of Ole Miss’ Grove Collective and a leader inside The Collective Association (TCA), a trade organization whose membership has grown to 24 NIL entities.
Part of the reason Jones and TCA were invited to D.C. was a previous meeting with Sen. Lindsey Graham, who also sits on the judiciary committee. The productive meeting has earned them a seat at the table on Tuesday.
Jones will have no problem standing up for collectives if Baker or Big Ten commissioner Tony Petitti takes aim. He also has no plans to push for specific legislation outside of TCA’s revenue-sharing model and an agent registry.
“I think it’s a good opportunity for us to set the record on who we are and what we’re not, probably more importantly,” he told On3. “I’m not going to sit up there and say, ‘You should have this, you should have a federal preemption.’ It’s going to be more of, ‘We [The Collective Association] can give you more real-time, attainable information to all the stakeholders so everyone can make the best decisions.'”
A crop of collectives will be supporting Jones in the audience, too. Representatives from NIL entities at Tennessee, South Carolina, Cincinnati, Duke, Iowa, Florida State, BYU, Arizona State and Georgia will be in attendance.
Welcome
8 a.m. – Good morning and welcome to Tuesday’s live blog. We’ll be covering the 10th hearing on name, image and likeness since 2020. NCAA president Charlie Baker is set to testify, only amplifying the stakes.
Stay tuned for the latest news and analysis from college sports date on Capitol Hill. The Senate Judiciary Committee’s hearing begins at 10 a.m. ET.
Check out all of our coverage leading into today’s hearing:
+Breaking down witness list for 10th NIL legislative hearing on Capitol Hill
+The most important questions to ask Charlie Baker in Tuesday’s NIL hearing
+As NIL hearing nears, ‘Are we going to have Congress run college sports?’
+NCAA’s Charlie Baker, Big Ten’s Tony Petitti scheduled to testify at NIL legislative hearing
Be sure to subscribe to the On3 NIL and Sports Business Newsletter. Make sure to follow along on Twitter.