HouseH.R. 10266119th Congress

No Elite Athletes Using X-pro status to ensure Prioritizing Recruitment Of Student-athletes (NEAUX PROS) Act

Full Text

Official text as published. Use Ctrl+F / Cmd+F to search within the document.

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 10266 Introduced in House (IH)]

<DOC>

119th CONGRESS
  2d Session
                               H. R. 10266

 To amend the Higher Education Act of 1965 to condition institutional 
eligibility for participation in programs under title IV of that Act on 
   an institution's not permitting certain professional athletes to 
compete in intercollegiate athletics competition in the sport in which 
    they hold a professional sports contract, to establish criminal 
 penalties for athletics officials who knowingly recruit or sign such 
   athletes to compete in violation of that condition, and for other 
                               purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                           September 3, 2026

  Mr. Fuller introduced the following bill; which was referred to the 
Committee on Education and Workforce, and in addition to the Committee 
  on the Judiciary, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL

 
 To amend the Higher Education Act of 1965 to condition institutional 
eligibility for participation in programs under title IV of that Act on 
   an institution's not permitting certain professional athletes to 
compete in intercollegiate athletics competition in the sport in which 
    they hold a professional sports contract, to establish criminal 
 penalties for athletics officials who knowingly recruit or sign such 
   athletes to compete in violation of that condition, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``No Elite Athletes Using X-pro status 
to ensure Prioritizing Recruitment Of Student-athletes (NEAUX PROS) 
Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The Federal Government, through title IV of the Higher 
        Education Act of 1965 (20 U.S.C. 1070 et seq.), provides 
        substantial financial assistance to institutions of higher 
        education, including institutions that sponsor intercollegiate 
        athletics programs.
            (2) Intercollegiate athletics in the United States have 
        historically been organized and promoted as competition among 
        student-athletes who are not simultaneously under contract to 
        compete professionally in the same sport.
            (3) Permitting an individual under contract to a 
        professional sports team, league, club, or organization in a 
        given sport to also compete as a student-athlete in that same 
        sport at an institution receiving Federal student assistance 
        blurs the distinction between amateur and professional 
        competition and may disadvantage student-athletes who are not 
        also under professional contract.
            (4) It is appropriate for Congress to condition an 
        institution's continued eligibility to participate in title IV 
        programs on the institution's not permitting such dual 
        participation, in the same manner Congress has conditioned 
        title IV eligibility on other institutional conduct unrelated 
        to the direct administration of student financial aid.
            (5) Athletics department officials who knowingly direct, 
        lead, or carry out the recruitment or signing of a professional 
        athlete in violation of this Act bear individual responsibility 
        for circumventing the eligibility condition established by this 
        Act that is distinct from, and in addition to, the 
        institution's own responsibility under its program 
        participation agreement.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Covered institution.--The term ``covered institution'' 
        means an institution of higher education (as defined in section 
        102 of the Higher Education Act of 1965 (20 U.S.C. 1002)) that 
        has entered into a program participation agreement under 
        section 487 of that Act (20 U.S.C. 1094).
            (2) Covered sport.--The term ``covered sport'' means a 
        sport in which a covered institution sponsors a varsity 
        intercollegiate athletics team.
            (3) Intercollegiate athletics competition.--The term 
        ``intercollegiate athletics competition'' means participation, 
        as a member of a varsity team representing a covered 
        institution in a covered sport, in organized practice or 
        competition against another institution of higher education, 
        whether or not the individual receives athletically related 
        student financial assistance.
            (4) Professional sports contract.--
                    (A) In general.--The term ``professional sports 
                contract'' means a binding contract, express or 
                implied, between an individual and a professional 
                sports team, league, club, or other organization that 
                organizes or sanctions professional-level competition 
                in a sport, under which the individual is entitled to 
                receive a salary, signing bonus, or other compensation 
                in exchange for the individual's athletic services in 
                that sport.
                    (B) Exclusions.--The term does not include--
                            (i) an agreement relating solely to the use 
                        of an individual's name, image, or likeness 
                        that does not obligate the individual to render 
                        athletic services to a professional sports 
                        team, league, club, or organization; or
                            (ii) compensation paid to the individual 
                        directly by a covered institution, including 
                        compensation paid under a revenue-sharing 
                        arrangement permitted under the settlement 
                        approved in In re College Athlete NIL 
                        Litigation (N.D. Cal.) or successor authority, 
                        or under any Federal statute enacted after the 
                        date of enactment of this Act that expressly 
                        authorizes such compensation without loss of 
                        intercollegiate athletics eligibility.
            (5) Professional athlete.--The term ``professional 
        athlete'' means, with respect to a covered sport, an individual 
        who is a party to a professional sports contract for that 
        covered sport and who has not rescinded that contract in 
        accordance with section 5(a).
            (6) Covered athletics official.--The term ``covered 
        athletics official'' means, with respect to a covered 
        institution, an individual who, as an employee or agent of the 
        covered institution (including a head coach, assistant coach, 
        athletic director, general manager, or other athletics 
        department staff member), has authority to recruit prospective 
        student-athletes, extend an offer of athletically related 
        student financial assistance, sign a prospective student-
        athlete to a National Letter of Intent or substantially 
        equivalent instrument, or certify the eligibility of a student-
        athlete to compete in intercollegiate athletics competition, or 
        who knowingly directs or authorizes another person to take any 
        such action.
            (7) Secretary.--The term ``Secretary'' means the Secretary 
        of Education.

SEC. 4. CONDITION ON PROGRAM PARTICIPATION AGREEMENTS.

    (a) In General.--Section 487(a) of the Higher Education Act of 1965 
(20 U.S.C. 1094(a)) is amended--
            (1) in paragraph (28), by striking ``and'' at the end;
            (2) in paragraph (29), by striking the period at the end 
        and inserting ``; and''; and
            (3) by adding at the end the following:
            ``(30) The institution will not permit an individual whom 
        the institution knows, or in the exercise of reasonable 
        diligence should know, is a professional athlete (as defined in 
        section 3 of the Collegiate Amateur Athletics Protection Act of 
        2026) to compete in intercollegiate athletics competition (as 
        so defined) in the covered sport in which the individual holds 
        a professional sports contract.''.
    (b) Guidance and Verification Process.--The Secretary shall issue 
guidance establishing--
            (1) standards for the diligence a covered institution is 
        expected to exercise in determining whether a prospective or 
        current student-athlete is a professional athlete for purposes 
        of paragraph (30) of section 487(a) of the Higher Education Act 
        of 1965, as added by subsection (a); and
            (2) a process by which a covered institution or a covered 
        athletics official may seek a written determination from the 
        Department of Education regarding the status of a particular 
        individual under that paragraph.
    (c) Enforcement.--A violation of paragraph (30) of section 487(a) 
of the Higher Education Act of 1965, as added by subsection (a), shall 
be treated as a violation of a program participation agreement for 
purposes of part G of title IV of that Act (20 U.S.C. 1094 et seq.), 
and shall be subject to the limitation, suspension, and termination 
procedures, and other remedies, available to the Secretary under that 
part.

SEC. 5. RESCISSION; TRANSITION FOR CURRENT COMPETITORS.

    (a) Rescission.--An individual who has entered into a professional 
sports contract for a covered sport is not a professional athlete for 
purposes of this Act with respect to that covered sport if, before 
receiving any compensation under the contract and before rendering any 
athletic services under the contract, the individual--
            (1) rescinds the contract in writing; and
            (2) provides written notice of the rescission to the 
        covered institution at which the individual seeks to compete 
        and to the professional sports team, league, club, or 
        organization that was a party to the contract.
    (b) Transition for Current Competitors.--The amendment made by 
section 4(a) shall not apply with respect to an individual who, as of 
the date of enactment of this Act, is both a party to a professional 
sports contract for a covered sport and is competing in intercollegiate 
athletics competition in that covered sport, until the first day of the 
first academic year of the relevant covered institution that begins 
after the date of enactment of this Act.

SEC. 6. RULE OF CONSTRUCTION.

    Nothing in this Act, or the amendment made by this Act, shall be 
construed to--
            (1) restrict the eligibility of an individual to be 
        selected in, or to negotiate the terms of a potential contract 
        arising from, a draft or other selection process conducted by a 
        professional sports team, league, club, or organization;
            (2) affect the eligibility of an individual to receive 
        compensation for the use of the individual's name, image, or 
        likeness, except to the extent such compensation is paid 
        pursuant to a professional sports contract as defined in 
        section 3;
            (3) limit the authority of a covered institution, or of an 
        athletic association or conference of which a covered 
        institution is a member, to adopt or enforce eligibility rules 
        more restrictive than the requirements of this Act;
            (4) create a private right of action against a covered 
        institution, the Secretary, or any other person; or
            (5) affect the availability of prosecution under any other 
        applicable Federal criminal statute, including sections 201, 
        224, 1001, 1341, and 1343 of title 18, United States Code.

SEC. 7. CRIMINAL PENALTIES FOR KNOWING RECRUITMENT OR SIGNING OF 
              PROFESSIONAL ATHLETES.

    (a) In General.--Chapter 11 of title 18, United States Code, is 
amended by adding at the end the following:
``Sec. 228. Recruitment or facilitation of ineligible professional 
              athlete participation in intercollegiate athletics
    ``(a) Offense.--It shall be unlawful for a covered athletics 
official knowingly to recruit, offer to enroll, sign to a National 
Letter of Intent or substantially equivalent instrument, certify the 
eligibility of, or otherwise cause to compete in intercollegiate 
athletics competition, an individual whom the official knows to be a 
professional athlete, if--
            ``(1) the recruitment, offer, signing, certification, or 
        other act is in or affecting interstate or foreign commerce; or
            ``(2) the covered institution by which the official is 
        employed, or for which the official acts as an agent, receives, 
        in the 1-year period before the offense, benefits in excess of 
        $10,000 under a Federal program involving a grant, contract, 
        subsidy, loan, guarantee, insurance, or other form of Federal 
        assistance.
    ``(b) Penalty.--A person who violates subsection (a) shall be fined 
under this title, imprisoned not more than 5 years, or both.
    ``(c) Enhanced Penalty.--A person who violates subsection (a) shall 
be fined under this title, imprisoned not more than 10 years, or both, 
if the violation was undertaken for financial gain or was part of a 
pattern of 2 or more violations of subsection (a).
    ``(d) Affirmative Defense.--It is an affirmative defense to a 
prosecution under this section that the defendant reasonably relied on 
a written determination issued under section 4(b)(2) of the Collegiate 
Amateur Athletics Protection Act of 2026 that the individual was not a 
professional athlete, and that the determination had not been withdrawn 
or superseded at the time of the conduct at issue.
    ``(e) No Institutional Liability.--This section does not impose 
criminal liability on a covered institution as an organization. 
Liability under this section attaches only to an individual covered 
athletics official who violates subsection (a).
    ``(f) Venue.--A prosecution under this section may be brought in 
any judicial district in which the covered institution involved is 
located or in which any act in furtherance of the offense occurred.
    ``(g) Definitions.--In this section, the terms `covered athletics 
official', `covered institution', `professional athlete', and 
`intercollegiate athletics competition' have the meanings given those 
terms in section 3 of the Collegiate Amateur Athletics Protection Act 
of 2026.''.
    (b) Clerical Amendment.--The table of sections for chapter 11 of 
title 18, United States Code, is amended by adding at the end the 
following:

``228. Recruitment or facilitation of ineligible professional athlete 
                            participation in intercollegiate 
                            athletics.''.

SEC. 8. EFFECTIVE DATE.

    (a) Funding Condition.--Except as provided in section 5(b), the 
amendment made by section 4(a) shall take effect on the first day of 
the first academic year of a covered institution that begins after the 
date of enactment of this Act.
    (b) Criminal Penalties.--Section 7, and the amendments made by that 
section, take effect on the date of enactment of this Act, and apply 
only to conduct occurring on or after that date.

SEC. 9. SEVERABILITY.

    If any provision of this Act, or the application of a provision to 
any person or circumstance, is held to be unconstitutional or otherwise 
invalid, the remainder of this Act, and the application of that 
provision to any other person or circumstance, shall not be affected.
                                 <all>