CA bill allowing NCAA athletes to be compensated up to $25,000 per academic year passes Assembly

STATEWIDE – Assembly Bill 252, the College Athlete Protection Act (CAP), that includes $25,000 compensation per year for NCAA athletes, passed Assembly, June 1.

Assemblymember and bill author Chris Holden (D-Pasadena) says the bill ensures that institutions uphold and protect college athlete rights.

CAP Regulations

Under the new bill, colleges that receive an average of $10 million or more in annual income derived from media rights for intercollegiate athletics would have to:

Compensate college athletes $25,000 per academic year paid upon graduation or injury that prevents graduation;
Adhere to a 21-member panel that will oversee health and safety, recruitment transparency, and certifications for sports agents, financial advising and marketing.

“As a former college athlete, I know all too well the toll that it can take on a person’s physical, mental, and financial well-being,” said Holden.

Holden says we owe it to these young people to put protections in place and set them up for success post schooling.

AB 252 Opposition

Four-time Olympic swimming medalist Anthony Ervin says he feels threatened by the bill.

“This bill is telling us—swimmers, Olympic sports athletes of all kinds—that our labor has no value at all, that we bring no value to the country. When we win medals and raise our flag—they have no value. Therefore, they’re going to strip away our efforts to get an education and pursue glory for our country. And I think that’s just sad,” said Ervin to Sports Illustrated.

AB 252 would require schools to share revenue with athletes – specifically football and basketball athletes who generate the most income.

Opponents like Ervin say the bill would take funding away from college athletes that compete in the Olympics. Track and field, gymnastics, wrestling, volleyball and swimming teams don’t generate substantial revenue for their athletic departments. There is a fear that the bill could lead to elimination of those teams.

Currently, most athletic departments distribute their combined sports revenue throughout the entire program.

Ervin along with two other Olympic swim medalists, are meeting with legislators in Washington, D.C., to discuss the bill.

SB 206 student athlete compensation and representation

Assembly Bill 252 expands on SB 206, signed into law in 2019. It made California the first state to pass legislation that gave college athletes the right to acquire endorsements and sponsorships while still maintaining athletic eligibility.

AB 252 will be reviewed in the state senate later this summer.

To read the full AB 252 visit https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=202320240AB252