As college sports fans eagerly anticipate the start of the fall season, Congress is working to resolve several issues related to name, image and likeness (NIL) compensation for student-athletes, the role of universities, conferences and leagues in which students play, and media rights.

This debate has drawn in federal tax, antitrust, labor, healthcare, communications and interstate commerce jurisdictions, culminating in the Protect College Sports Act (the “Act”), which the Senate is now considering. McGuireWoods Consulting government affairs professionals and attorneys from McGuireWoods LLP’s Sports Industry and Higher Education teams are closely following these issues, as well as possible implications.

President Trump, NCAA member conferences, and many House and Senate leaders have expressed their interest in passing an NIL framework into law before the start of the college sports season. After months of negotiations and revisions to the initially proposed Act, and with August recess on the horizon for Congress, time is of the essence. Should the Act stall before August recess, the reality of a bill coming to the floor in September may have to compete with other priorities, including several reauthorizations and administration personnel nominations. If the Act passes the Senate, it will need to pass the House of Representatives before it can proceed to President Trump’s desk.

S. 4668, the Protect College Sports Act

On June 2, 2026, Sen. Ted Cruz, R-Texas introduced the Protect College Sports Act, alongside Sen. Maria Cantwell, D-Wash., ranking member of the Senate Commerce, Science and Transportation Committee. The Act passed the committee on June 18, 2026, and now awaits consideration on the Senate floor. The Act has been revised significantly as a result of negotiations among the Senate and NCAA member conferences. As proposed, the Act seeks to codify the following into law:

NCAA Member Conference and School Requirements

• Pay-for-play is prohibited, and the NCAA is empowered to enforce rules against recruiting violations and transfer tampering.
• Institutions and conferences may not provide student-athletes with compensation that circumvents the permanent revenue sharing limit of $48.8 million, which includes $21.3 million from the House Settlement, a $22.5 million retention pool, and $5 million for non-revenue sports, subject to annual inflation adjustments.
• Division I institutions must report anonymized NIL data to the NCAA to determine fair market value.
• The Act provides a limited antitrust exemption for universities, conferences and athletic associations for enforcing the Act’s rules on compensation, eligibility, transfers and agent oversight.
• Power conferences will be capped at 19 schools, and before a school can move to another conference, it will first be required to operate independently for five years.
• Large revenue conferences (over $700 million) are prohibited from consolidating with or acquiring other conferences.
• Schools are required to cover out-of-pocket medical costs for sports-related injuries during participation and for five years after an athlete’s final competition, as well as catastrophic injury coverage, second opinion coverage and an end-of-college physical. A $60 million medical trust fund will assist smaller schools to cover these costs.

Student-Athlete Guidelines and Eligibility Guardrails

• Student-athletes may earn NIL compensation and must disclose all NIL revenue earned over $600.
• The Act is neutral as to whether student-athletes are employees or nonemployees.
• Student-athletes are given one free transfer without affecting eligibility with limited exceptions.
• Pro-athletes may not return to collegiate competition, with a limited exception for undrafted student-athletes.
• The Act creates a private right of action for student-athletes to bring claims against schools, conferences and the NCAA for violations of NIL, academic, medical, health, safety and other protections.

College Coaching Staff Regulations

• Football coaches and senior staff may not depart midseason to coach another college football program.
• Athletic department employees may not pressure student-athletes to choose a certain major or coursework or prevent them from participating in student groups or events.

Agent Regulation

• NIL agents must be registered with a state.
• NIL agents’ contract endorsement fees will be capped at 5%.
• The Act creates a private right of action for student-athletes to pursue claims against agents that engage in abusive or fraudulent practices.

Sports Media Requirements

• There must be one free local broadcast option for football and basketball games in the local market of each participating school.
• A targeted antitrust exemption will allow member schools and conferences to voluntarily pool/sell certain college sports media rights, similar to the Big Four Leagues, so long as 75% of FBS schools agree.

McGuireWoods and McGuireWoods Consulting continue to monitor agency, NCAA, and state and federal legislative action related to the evolving framework applicable to collegiate sports. For questions, contact the authors of this article or a member of the Sports Industry Team or the Higher Education Enforcement & Regulatory Counseling Practice Group.

McGuireWoods

This insight is co-authored by the following individuals from McGuireWoods LLP:

• Addison E. Fontein
• Sarah K. Wake