Hawaiʻi is set to establish “name, image and likeness” rules to recruit and retain student-athletes at the University of Hawaiʻi.
A landmark, class-action settlement last year allowed student-athletes across the country to be paid for the use of their personal branding.
Dozens of states have since created NIL laws, and the state is poised to become the next one with the passage of Senate Bill 3263.
Last week, state lawmakers passed the measure, which would require UH to create its own NIL rules. It also agreed to send $2.5 million from the state's general funds to the university system to pay student-athletes.
That money, along with $4 million from UH's tuition and fees special fund and $5 million in “matching gifts, grants, and donations” from the school, will go into an endowment fund for NIL payments.
UH officials, along with players and coaches, urged the Legislature to let the university participate in NIL so it has a shot at recruiting and retaining the best athletes in the nation.
“In today’s collegiate landscape, NIL directly impacts the current and future success of our programs. Support for the University of Hawai’i and NIL is essential to retaining and recruiting our top student athletes who make the decision to come represent the State of Hawai’i,” said UH football head coach Timmy Chang in written testimony from April.
Advocates of the measure said not participating in NIL will drive students to other colleges. Some UH coaches say they’ve already lost students who can get more money elsewhere.
But there was pushback against the bill.
In a tight-budget year in which the state is trying to make up for lost federal funding for food, health care and other programs, some argue that public funds shouldn’t be spent trying to recruit out-of-state students.