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New Policy Could Allow High School Athletes to Profit

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Today marks the beginning of the public comment period for the State Board of Education’s proposed policy regarding name, image, and likeness (NIL). Under this policy, high school athletes in North Carolina could monetize their success beyond academic and scholarship awards with sponsored autographs, endorsements, and promotional activities. Effectively, it would allow high school students to become professional influences as a result of their athletic success.

Information About Name, Image, and Likeness

Policies like this have recently been allowed at the collegiate level, allowing college athletes to financially benefit from more than just scholarships they may receive. Then last year in North Carolina, the General Assembly passed Senate Bill 452—DOI & Ins Law Amd/Revise HS Athletics, which directed the State Board of Education to adopt rules regarding NIL for high school, or interscholastic, students.

The State Board of Education created a policy that would allow high school students in North Carolina to engage in NIL activities with some exceptions.

The following activities would be prohibited:

  • Referencing a school, PSU (Public School Unit), conference, or administering organization.
  • Receiving compensation for the use of intellectual property of a school, PSU, conference, administering organization, or the NFHS (National Federation of State High School Associations).
  • Appearing in the uniform of the student’s school or school sports team.
  • Endorsing or promoting the goods or services of a third party during athletic competition or other school activities.
  • Displaying the mark, logo, brand, or other identifying insignia of a third party unless part of a standard uniform for the school or sport.

In addition, students would not be allowed to promote:

  • Adult establishments or entertainment services
  • Alcohol or alcoholic products
  • Tobacco, vaping, or nicotine products
  • Cannabis or related products
  • Controlled substances
  • Opioids or prescription pharmaceuticals
  • Weapons, firearms, or ammunition
  • Casinos or gambling, including sports betting
  • Activities that would disrupt the operations of the school or PSU.

Important to note here is that more than thirty states already allow NIL for high school students. In addition, the NC Independent Schools Athletic Association began allowing NIL this academic year, and the NC High School Athletic Association (NCHSAA) Board of Directors approved it last year, but this ultimately had no effect due to the General Assembly requiring the State Board of Education to be responsible for establishing policies on this issue.

Things to Think Through

There are pros and cons to this policy. Advocates argue that students should be free to financially benefit from their athletic achievements, which often require a level of commitment that interferes with many part-time employment opportunities. At the same time, though, student athletes are already under a good deal of pressure to balance school and sports, and this could incentivize them to prioritize sports over academics. Another concern is that these teenagers could be receiving large amounts of money and attention. A safeguard proposed by the NCHSAA would offer financial education to these students to help them manage their income responsibly.

Next Steps for NIL in North Carolina

The public comment period on the proposed NIL rules will be open until December 6th, and there will be a public hearing on November 8th. If you have opinions on whether or not this policy should be approved or concerns with specific provisions of the proposed policies, we encourage you to share it! After this period, the State Board of Education will meet on January 9th and vote on the rules.

Written comments may be submitted to:

Ryan M. Collins
Office of General Counsel
State Board of Education
6302 Mail Service Center
Raleigh, NC 27699-6302
ryan.collins@dpi.nc.gov

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