Trump’s Executive Order and the SCORE Act: How Do They Impact UNM
President Donald Trump, left, and Sen. Dave McCormick, R-Pa, attend the finals at the NCAA wrestling championships in Philadelphia in March. Photo courtesy of Matt Rouke/AP Photo
President Donald Trump signed a 5-page Executive Order on Thursday titled “SAVING COLLEGE SPORTS.”
UNM does not believe the EO makes any significant or impactful changes.
”My understanding is there’s an Executive Order, but until Congress acts, it's just a strong recommendation at this point,” UNM Deputy Athletic Director Ryan Berryman said.
The Executive Branch has limited power under the US Constitution to enact real, permanent solutions to the issues in college athletics. Real, impactful change would require Congress to pass legislation granting the NCAA an antitrust exemption, which is currently being considered with the Student Compensation and Opportunity through Rights and Endorsements (SCORE) Act.
Nevertheless, there are still some crucial takeaways from Trump’s EO, and how it could affect UNM.
Expanded Opportunities for Athletes in Non-Revenue Sports
The EO said colleges may not disproportionately cut athletes from non-revenue sports like track and field so that it can devote more resources and NIL payments to student-athletes on football and men’s basketball teams.
Changes from the House Settlement case require any university that opted in to comply with new roster limits, which have resulted in many student-athletes in non-revenue sports across the country being cut.
At this time, UNM is still in the process of identifying roster cuts from the 2024-25 season.
“I wouldn’t say all roster cuts are directly attributable to House,” Berryman said. “There’s some competitive cuts and there’s some other people who stopped playing, and some natural attrition as well.”
The EO requires college athletic departments that generate at least $125,000,000 in athletic revenue in 2024-25 to ensure more scholarship opportunities in non-revenue sports than were available in 2023-24. Alternatively, schools that generate less than 125,000,000 but more than 50,000,000 are required to offer the same number of scholarship opportunities or non-revenue sports as were provided in the 2024-25 academic year.
UNM’s fiscal report for fiscal year 2024-25 will not be released until September or October. In fiscal year 2023-24, UNM generated $54,644,322 in operating revenue, but UNM expects to exceed that number in FY25.
“(Our revenue) will be up just as a result of the season that basketball had,” Berryman said.
Under the EO, UNM would be required to “provide the maximum number of roster spots for non-revenue sports permitted under the applicable collegiate athletic rules.”
The EO has no immediate impact or authority to punish schools that do not comply.
The EO gives several executive agencies, including the Secretary of Education, the Attorney General, the Secretary of Health and Human Services and the Chairman of the Federal Trade Commission, 30 days to develop a plan to set forth policies that effectuate the requirements to expand opportunities for non-revenue sports.
Students vs. Employees
Now that college universities are paying athletes directly, a legal question arises as to whether student-athletes should be considered employees under the law.
The NCAA has fought against student-athletes being considered employees. Will Weissert of the Associated Press reports that if student athletes are employees, universities could become responsible for paying wages, benefits, and workers’ compensation insurance.
“We will continue to monitor the ever-changing athletics landscape and adjust as needed as the federal framework develops,” Berryman said.
Student-athletes could benefit financially if they are considered employees under the law. In this case, they would be able to bargain collectively, just like the NBA or the NFL and negotiate for more money and benefits from college universities.
The EO directs the Secretary of Labor and the National Labor Relations Board to “implement the appropriate measures” to “clarify the status of college athletes” and to “maximize the educational benefits and opportunities.”
No Pay-for-Play Deals
The EO attempts to regulate pay-for-play deals from third-party collectives.
“Third-party, pay-for-play payments to collegiate athletes are improper and should not be permitted to universities,” the Order said.
The EO does not go as far as the guidelines issued by the College Sports Commission two weeks ago, which would invalidate any deals from a third-party NIL collective.
There are no enforcement penalties under the EO if a college or university were to allow an illegal NIL payment.
Stopping the Lawsuits
The EO instructs the Attorney General and Chairman of the FTC to stabilize and preserve college athletics through litigation, guidelines, policies or other actions as appropriate.”
The Trump Administration has pulled millions of dollars in federal funding from colleges and universities over the last two years. Any future rules or regulations set by the Trump Administration related to the EO that are violated could result in a reduction in federal funds to universities.
The EO instructs the Attorney General to explore potential lawsuits or new policies against States that try to enforce state laws on athlete compensation that conflict with the NCAA rules.
The Attorney General and the FTC have 60 days to develop a strategy to implement Trump’s goal to shield the NCAA from liability.
The SCORE Act
Trump’s EO could push Congress to pass the SCORE ACT, which, like the EO, aims to stabilize college athletics.
The SCORE Act was introduced in the US House of Representatives in July and has since been considered by the Energy and Commerce and Education and Workforce Committees in the House of Representatives.
Amanda Christovich of Front Office Sports reports that the SCORE Act would:
· Allow the NCAA to set guidelines on athlete NIL payments
· Allow for a one-time transfer for college athletes without penalty
· Protect the NCAA from eligibility and other lawsuits surrounding challenges to the NCAA’s rulemaking authority
· Pre-empt State law, it conflicts with
· Prohibit athletes from becoming employees.
The SCORE Act is expected to reach the House Floor for a vote in September. Although it has a chance to pass in the House, it is likely to face strong opposition in the Senate.
If passed, the SCORE Act would provide the NCAA with what it needs to stabilize college athletics and an antitrust exemption, clarity regarding student-athletes’ non-employment status and preemption of conflicting state laws.
