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NCAA begins request for proposal process following adoption of NIL measures

Nakos updated headshotby:Pete Nakos02/16/24

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Tennessee NCAA
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The NCAA has begun its request for proposal process following last month’s adoption of NIL transparency and consumer protection measures, a source tells On3.

The NCAA Division I Council formally approved the implementation of a voluntary registry for NIL service providers, mandatory disclosures of NIL deals, more standardized contracts and educational programs for athletes and NIL entities at January’s annual convention in Phoenix. The measures are effective Aug. 1.

The governing body has now started the proposal process, accepting bids for its agent registry, disclosure database and education program, a source tells On3. The source briefed on the process said the deadline to submit proposals is next Friday with a decision expected by the end of March. Vendors and different software platforms will be able to bid on the projects.

Roughly four years ago, the NCAA went through a similar process to potentially work with third-party vendors to assist with the administration of activities related to the use of an athlete’s name, image or likeness.

The process of adopting these measures began last July when the NCAA held a two-day NIL stakeholder meeting in Indianapolis. The group’s goal was to draft a plan that was shared with the Division I Board of Directors and ultimately became proposals from the Division I Council. The decision to adopt the proposals comes after months where the NCAA was not able to find any movement on Capitol Hill. Federal legislation doesn’t appear to be moving to the top of any lawmaker’s agenda at the moment either.

This all comes as the NCAA is fighting a legal battle over its NIL rights as attorneys general in Tennessee and Virginia are seeking a preliminary injunction that would halt the governing body’s ability to prohibit discussions about pay-for-play and NIL during the recruiting process.

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What do the NCAA’s NIL protections cover?

The registration of NIL service providers will include agents, financial advisors and others who support college athletes in NIL arrangements. Completely voluntarily, information sent to the NCAA would be published in a registry for athletes to access.

In the registry, athletes could review their experiences with those service providers. In a previous statement, the DI council said it would be similar to a “rate my professor” platform.

Since Charlie Baker took over as the NCAA’s new president last spring, he’s been pushing for a standardized contract. According to the DI council, those possible terms would include: a description of services, payment structure, duration of contract, termination clause for breach of contract, athletes right to terminate at end of NCAA eligibility and authentication that compensation provided is not a recruiting inducement.

Any NIL agreements exceeding a certain value would be required to report specific info, such as compensation received, services, length of deal, to schools within 30 days of entering an agreement. If a service provider was involved, the agent’s name would be included. Before a recruit could be issued a National Letter of Intent or written offer, they’d be required to disclose current or previous NIL deals.