Paying student-athletes

COURTESY PHOTO

Florida’s governing body overseeing high school athletics could soon approve a proposal allowing high school athletes to be paid through business agreements such as endorsement deals.

The Florida High School Athletic Association discussed a potential change to the organization’s bylaws earlier in May that would allow student-athletes to profit from their name, image and likeness under what is commonly known as an NIL policy. The 13-member board, which includes eight members appointed by Gov. Ron DeSantis, is slated to vote on the proposal during a June 4 meeting.

The proposal would overhaul a part of the FHSAA’s bylaws that govern “amateurism” in athletics. According to the plan, schools and districts must remain out of the deals.

The proposal states that “Student-athletes and their parents/guardians will be required to negotiate any NIL activities independent of their school, school district, or the FHSAA (Florida High School Athletic Association).”

Business deals allowed under the policy would include, but not be limited to, commercial endorsements, promotional activities, social media presence, and product or service advertisements.

The potential change follows a seismic shift in collegiate sports over the past several years, allowing college athletes to profit from their name, im- age and likeness. An initial NIL law went into effect in Florida in July 2021, and last year, DeSantis approved changes that essentially expanded the law to allow universities to become more involved in the process.

Under Florida’s collegiate NIL law, colleges and universities are required to offer financial literacy workshops for student athletes before they graduate. The possible high-school NIL policy seeks to promote financial education for athletes.

“By providing student-athletes with knowledge about potential legal and financial drawbacks associated with NIL activities, high schools can contribute to the overall welfare of their student-athletes,” the proposal says. “The FHSAA stands ready to help its student-athletes succeed in this new sports and business landscape.”

Board members did not decide how high-school financial education would be addressed or whether districts would be responsible for providing it.

The discussion also touched off a debate about whether student-athletes should be allowed to hire agents to assist them in navigating NIL deals.

A draft of the proposal posted on the FHSAA’s website before the meeting included an existing rule prohibiting high school athletes from hiring agents “to manage his/her athletic” career.

The policy also states that student-athletes and their families are “encouraged to seek legal counsel and tax advice when considering NIL activity.”

Paul Selvidio, a member of the FHSAA board and the chief financial officer for the Community School of Naples, argued that agents could be experts in NIL issues that would help student-athletes.

“I think we have to be careful there. If we’re asking people to get advice on their NIL opportunities, this seems to be a gray area that needs further clarification,” Selvidio said.

Selvidio contended that agents would be essential to educating athletes and families.

“I certainly know what an agent is, but an agent does a lot of different things. Which would include, I’d imagine, once NIL gets adopted here, they’ll be the local NIL experts,” Selvidio added.

Board members agreed to a change in the proposed policy that would ease the prohibition against hiring agents. The revised plan would restrict the hiring of agents “for all other activities other than advising on NIL-related matters.”

High school athletes also would face various other restrictions when negotiating endorsement deals.

According to the proposal, student athletes would not be allowed to use their school’s logos, mascots or uniforms when promoting businesses or products “unless granted authorization by prior written consent from the school, district or (Florida High School Athletic) Association, respectively.”

Athletes looking to cash in from NIL deals also would be prohibited from endorsing certain products and services. Alcohol, tobacco, vaping, gambling, cannabis, prescription drugs and weapons are among the products and services that are not allowed under the proposal.

The proposal also would prohibit NIL business agreements from being used to recruit student-athletes.

It says, in part, that “NIL activities shall not be used to pressure, urge, or entice a student-athlete to attend a school for the purpose of participating in interscholastic athletics. The NIL agreement shall not be used as a guise for athletic recruiting.” ¦

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