Pull back NIL executive order to keep NC college teams competitive, key senator says
Posted April 25, 2023 12:00 p.m. EDT
Updated April 25, 2023 12:14 p.m. EDT
As states move to loosen regulations on name, image and likeness for college athletes, passing legislation that often puts them in direct conflict with the NCAA guidelines, a key North Carolina state senator is calling on the governor to rescind his 2021 executive order on the subject.
Gov. Roy Cooper's July 2, 2021 directive serves as a guidepost for schools in North Carolina on name, image and likeness (NIL) matters. It outlines general responsibilities for institutions, but uses "may" language throughout providing some flexibility.
But Arkansas, Colorado and Oklahoma have either passed or introduced legislation in their states, giving schools and athletes much broader latitude when it comes to NIL. Oklahoma's bill, for example, would not permit the NCAA to investigate or punish schools or collectives for NIL-related activities. Some of the bills give athletes more opportunities that they would have in North Carolina.
In order to keep North Carolina's college competitive, Sen. Amy Galey, a chairwoman of the Senate Higher Education Committee, wants Cooper to pull back his executive order.
“It would be really nice if the governor would rescind that executive order because it actually does not have the force of law," she said. "There is no underlying statute giving him the authority to issue an executive order related to name, image and likeness. And that executive order ends up creating confusion for well-meaning people who are trying to navigate what they’re supposed to do in this rapidly evolving, emerging field.”
Galey introduced a narrowly tailored bill that would make clear that NIL contracts or contracts between athletes and their representatives are not public records in North Carolina. Public colleges have denied public records requests for individual NIL contracts. Senate Bill 574 has passed two committees and has bipartisan support.
Galey said she considered more exhaustive legislation, but opted for a much tighter bill.
“We want our sports teams in North Carolina to be absolutely as competitive as other college programs across this country," she said. "We don’t want our student athletes to miss out on any opportunities. And we don’t want, through some kind of well-meaning, floundering attempt, (to) end up actually tying the hands of our colleges and universities and hinder their competitiveness in any way. If a college can do it in Florida, if they can do it in Texas, if they can do it in Michigan or Kentucky, we want our schools in North Carolina to be able do that, too. NIL is ultimately a federal issue, not a state issue.”
ACC commissioner Jim Phillips, Notre Dame's president and athletic director and the NCAA have called for federal legislation on the issue. New NCAA president Charlie Baker told a group of athletic directors this week that movement by some states strengthens the case for federal legislation.
"How do we deal with the fact that we’re gonna have certain states that are basically going to say what the NCAA thinks doesn’t matter?” said Baker, according to The Athletic. "That does make, in some respects, the idea of creating additional framework through federal legislation stronger than it would be otherwise. Because we have evidence it’s going to be hard to do this on a voluntary basis.”
Cooper's office said it not been asked by any school to change its order. The executive order makes clear that NIL deals cannot be used as a direct inducement to enroll or remain at a school and schools cannot compensate athletes for the use of their NIL. Arkansas' new law requires schools to compensate athletes if they are used for publicity.
“The Governor’s Office has received no request from universities in North Carolina to rescind or change the Executive Order concerning name, image and likeness," said Jordan Monaghan, a communications director for Cooper, in an email to WRAL. "The order was issued with encouragement and feedback from universities following the NCAA’s rule change in 2021.”
NC State and UNC declined comment through their athletic departments when asked if they had requested a change or if they felt, in any way, hampered by it. Messages left with collectives at both NC State and UNC were not returned.
More than 650 UNC athletes reported NIL deals to the school last year, according to its annual report. The department estimated that about half of all deals were reported to the school. Twenty-seven UNC athletes hired marketing agents, according to the report for the 2021-22 academic year.
UNC basketball stars Armando Bacot and Deja Kelly were among the most prolific in signing NIL deals. A Duke basketball walk-on signed with Degree deodorant, while Duke track athlete Emily Cole became one of the first breakout NIL performers.
The Pack of Wolves NIL Collective, which helps NC State athletes, announced last year that all scholarship football players would have the opportunity to earn at least $25,000 this year through appearances for charitable organizations.
