Bill Text: CA AB252 | 2023-2024 | Regular Session | Amended


Bill Title: The College Athlete Protection Act.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Engrossed - Dead) 2024-06-26 - In committee: Set, second hearing. Hearing canceled at the request of author. [AB252 Detail]

Download: California-2023-AB252-Amended.html

Amended  IN  Senate  May 30, 2024
Amended  IN  Senate  June 19, 2023
Amended  IN  Assembly  May 18, 2023
Amended  IN  Assembly  March 06, 2023

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Assembly Bill
No. 252


Introduced by Assembly Member Holden

January 19, 2023


An act to amend Section 67451 of, to add Chapter 3 (commencing with Section 67460) to Part 40.3 of Division 5 of Title 3 of, and to repeal Sections 67452.3, 67454, 67454 and 67455 of, the Education Code, relating to collegiate athletes.


LEGISLATIVE COUNSEL'S DIGEST


AB 252, as amended, Holden. The College Athlete Protection Act.
The Student Athlete Bill of Rights requires intercollegiate athletic programs at certain 4-year private universities or campuses of the University of California or the California State University that receive, as an average, $10,000,000 or more in annual income derived from media rights for intercollegiate athletics to comply with prescribed requirements relating to student athlete rights. Existing law authorizes an institution of higher education, as defined, to establish a degree completion fund, in accordance with applicable rules and bylaws. Existing law requires an institution of higher education to post in a conspicuous location in its athletic department that is frequented by student athletes a notice detailing certain student athlete rights. Existing law prohibits an institution of higher education from intentionally retaliating against a student athlete for making or filing a complaint about, testifying or otherwise assisting in any investigation into, or opposing any practice that the student athlete believes is, a violation of student athlete rights.
This bill would establish the College Athlete Protection (CAP) Act for purposes of providing various rights, benefits, and protections to college athletes. The bill instead would require certain institutions of higher education to establish a degree completion fund for its college athletes, as provided. The bill instead would require an institution of higher education to distribute to each college athlete a notice containing college athlete rights and would require the institution to post this notice in a conspicuous location frequented by college athletes, as specified. The bill instead would prohibit an institution of higher education, and its employees, coaches, and affiliated medical personnel, as defined, from retaliating against a college athlete for filing a complaint or reporting a violation of a college athlete’s rights under the CAP Act. By imposing new duties on community college districts, the bill would impose a state-mandated local program.
This bill would establish the College Athlete Protection (CAP) Program as a program in the Office of Planning and Research for purposes of the CAP Act. The bill would establish a 21-member 13-member CAP Panel comprised composed of appointed individuals to serve on 4 CAP Subpanels, as specified, for the administration of administer the CAP Act, as provided. The bill would require certain institutions of higher education to be financially responsible for the out-of-pocket sports-related medical expenses of college athletes. The bill would require an institution of higher education to complete an evaluation regarding its compliance with Title IX, as specified, and to publish the evaluation on a publicly accessible internet website of the institution. The bill would require an institution of higher education to administer a financial and life skills development workshop program, and would require the institution’s college athletes to attend the financial and life skills development workshop program, as provided. The bill would require an institution of higher education to pay an annual fee, as specified, to cover the reasonable regulatory costs of the CAP Program. The bill would establish the California Athlete Protection Fund under the administration of the CAP Panel, Program director, with moneys in the fund appropriated to the CAP Panel, upon appropriation of the Legislature, for purposes of the CAP Act, as provided.
This bill would make its provisions severable.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: YES  

The people of the State of California do enact as follows:


SECTION 1.

 Section 67451 of the Education Code is amended to read:

67451.
 For purposes of Chapter 1 (commencing with Section 67450) and this chapter, the following definitions apply:
(a) “Athletic association” means any organization that is responsible for governing intercollegiate athletic programs.
(b) “Athletic program” means an intercollegiate athletic program at any institution of higher education within the meaning of subdivision (d).
(c) “Graduation success rate” means the percentage of student athletes who graduate from an institution of higher education within six years of initial enrollment at that institution, excluding outgoing transfers in good academic standing with athletic eligibility remaining, and including incoming transfers. The rate is to be calculated by combining the rates of the four most recent classes that are available in the exact manner as the rate is calculated under National Collegiate Athletic Association rules.
(d) “Institution of higher education” means any campus of the University of California or the California State University, or any four-year private university located in California, that maintains an intercollegiate athletic program.
(e) “Media rights” means the rights to media coverage of intercollegiate athletics included in contracts that are entered into by intercollegiate athletic conferences and television networks and that generate monetary payments to individual institutions of higher education.
(f) “Office for Civil Rights” means the Office for Civil Rights within the United States Department of Education.
(g) “Student athlete” means any college student who participates in an intercollegiate athletic program of an institution of higher education, and includes student athletes who participate in basketball, football, and other intercollegiate sports.

SEC. 2.Section 67452.3 of the Education Code is repealed.

SEC. 3.SEC. 2.

 Section 67454 of the Education Code is repealed.

SEC. 4.SEC. 3.

 Section 67455 of the Education Code is repealed.

SEC. 5.SEC. 4.

 Chapter 3 (commencing with Section 67460) is added to Part 40.3 of Division 5 of Title 3 of the Education Code, to read:
CHAPTER  3. The College Athlete Protection Act

67460.
 This chapter shall be known, and may be cited, as the College Athlete Protection Act.

Article  1. Definitions

67461.
 As used in this chapter, unless the context requires otherwise, the following definitions apply:
(a) “Affiliated medical personnel” means individuals who provide medical, rehabilitation, or athletic training diagnoses, opinions, or services to college athletes, in collaboration with an institution of higher education. “Affiliated medical personnel” include, but are not limited to, physicians, mental health professionals, physical therapists, and athletic trainers. Individuals do not have to receive compensation from an institution of higher education to be affiliated medical personnel.
(b) “Aggregate athletic grants” means the total amount of athletic grants that an institution of higher education annually reports spends on each intercollegiate athletics team at the institution pursuant to its annual report to the United States Department of Education under the federal Equity in Athletics Disclosure Act to the United States Department of Education for each intercollegiate athletics team at the institution. established pursuant to Section 485 of the federal Higher Education Act of 1965 (20 U.S.C. 1092). “Aggregate athletic grants” shall not include any difference in athletic grant amounts based on cost of attendance disparities between an institution’s in-state or out-of-state college athletes.

(c)“All revenue” includes revenue that is not allocated by sport pursuant to federal Equity in Athletics Disclosure Act reporting standards.

(d)

(c) “Athletic association” means any organization that is responsible for governing intercollegiate athletic programs.

(e)

(d) “Athletic grant” means an athletics scholarship or grant that an institution of higher education pays to a college athlete to cover a portion or all of the institution’s cost of attendance for a full-time, in-state, on-campus undergraduate student determined pursuant to the federal Higher Education Act of 1965 (20 U.S.C. Sec. 1087ll). An athletic grant shall not exceed the institution’s cost of attendance.

(f)

(e) “Athletic program” means an intercollegiate athletic program at an institution of higher education.

(g)

(f) “CAP Fund” means the California Athlete Protection Fund established pursuant to this chapter.

(h)

(g) “CAP Panel” means the California Athlete Protection Panel established pursuant to this chapter.

(i)

(h) “CAP Program” means the California Athlete Protection Program established pursuant to this chapter.

(j)

(i) “College athlete” means a student who is enrolled at an institution of higher education and is listed as a member of an intercollegiate athletics team at the institution. A student’s participation in club or intramural sports at an institution does not meet the definition of college athlete.

(k)“Fair market value compensation” means an amount of compensation for each college athlete who receives an athletic grant that is determined annually by subtracting the intercollegiate athletic team’s aggregate athletic grants from one-half of the intercollegiate athletic team’s revenue and dividing that difference by the number of athletic grants provided to college athletes on that team. This fair market value compensation calculation does not include revenue that is not allocated by sport.

(l)“Institutional funds” means the amount of an institution of higher education’s revenue that is not derived from any intercollegiate athletics source for an academic year that exceeds the amount of its revenue that did not derive from any intercollegiate athletics source reported for the 2021–22 academic year.

(m)

(j) “Grand total revenue” means all revenue that is calculated and reported as “grand total revenue” pursuant to the federal Equity in Athletics Disclosure Act established pursuant to Section 485 of the federal Higher Education Act of 1965 (20 U.S.C. Sec. 1092) by an institution of higher education to the United States Department of Education.
(k) “Institution of higher education” or “institution” means any campus of the University of California, the California State University, the California Community Colleges, an independent institution of higher education, as defined in Section 66010, or a private postsecondary educational institution, as defined in Section 94858, that maintains an athletic program.

(n)

(l) “Intercollegiate athlete” means a California resident who is enrolled at an out-of-state college or university and is listed as a member of an intercollegiate athletics team at the out-of-state college or university. A student’s participation in club or intramural sports at an out-of-state college or university does not meet the definition of intercollegiate athlete.

(o)

(m) “NCAA” means the National Collegiate Athletic Association.

(p)

(n) “NIL” means the use of a college athlete’s name, image, and likeness.

(q)

(o) “Office for Civil Rights” means the Office for Civil Rights within the United States Department of Education.

(r)

(p) “Revenue” means annual intercollegiate athletics revenue as calculated and reported pursuant to the federal Equity in Athletics Disclosure Act by an institution of higher education to the United States Department of Education. “Revenue” includes intercollegiate athletics revenue paid directly by an intercollegiate athletic conference, an athletic association, or a source designated by an institution of higher education, an intercollegiate athletic conference, or an athletic association to cover any athletic program expense or to compensate a college athlete for participating in intercollegiate athletics at the institution.

(s)

(q) “Title IX” means Title IX of the federal Education Amendments of 1972 (20 U.S.C. 1681 et seq.)

Article  2. Findings

67462.
 The Legislature finds and declares all of the following:
(a) Safety, transparency, and quality education for college athletes should be prioritized for athletic programs, intercollegiate athletic conferences, and athletic associations and the state.
(b) Institutions of higher education exist to educate all students. Once athletic recruits sign an agreement to attend a particular university, they should feel confident that they will be able to complete their degrees regardless of sports-related injury or poor athletic performance.

(c)To increase graduation rates and ensure economic equity, institutions of higher education need to establish a degree completion fund for each college athlete with specified rules and manage that fund as a fiduciary for the college athlete without charging the college athlete for any costs incurred.

(d)

(c) The state needs to design and enforce vital safety standards and return-to-play protocols to protect college athletes from serious injuries, sexual abuse, and death.

(e)

(d) Student sexual abuse is an important issue on college campuses. Providing information and notice to college athletes about their rights under Title IX and other pertinent statutes is necessary to ensure their physical and psychological safety.

(f)

(e) College athletes face intense pressure to return to play when injured. Intercollegiate sports programs, including coaches and team medical staff, should collaborate to ensure that a college athlete’s interests are always put first.

(g)

(f) Athletic programs must have a health care model that vests autonomous medical management decisions in primary athletic health care providers, such as team physicians and athletic trainers. These providers, their decisionmaking related to the health and safety of college athletes, and their health care delivery should be protected from outside, nonmedical influences.

(h)

(g) To prevent college athletes from being left to pay an excessive financial burden, institutions of higher education should pay medical costs for college athletes’ sports-related injuries.

(i)

(h) Transparency in athletic recruiting is a high priority given the complexities created by various athletic program policies, including the use of a college athlete’s NIL. Institutions of higher education should disclose to college athletes the financial benefits and risks associated with NIL agreements.

(j)

(i) A proper oversight system should be developed to ensure that appropriate safeguards are in place to avoid the exploitation of college athletes.

(k)

(j) Intercollegiate athletic laws and rules in other states affect the well-being of intercollegiate athletes.

(l)

(k) In National Collegiate Athletic Association v. Alston (2021) 141 S.Ct. 2141, the United States Supreme Court ruled unanimously that NCAA educational-related compensation limits imposed on college athletes violated federal antitrust law, and acknowledged that the NCAA did not dispute that NCAA college athlete compensation limits decrease college athletes’ compensation.

Article  3. General Provisions
67463.

(a)An institution of higher education shall establish a degree completion fund for its college athletes who receive athletic grants pursuant to this section.

(b)An institution of higher education shall use degree completion funds to compensate each college athlete who receives an athletic grant at the institution pursuant to this section.

(c)College athletes on the same intercollegiate athletics team at an institution of higher education during the same academic year shall be designated an equal payment from that institution’s degree completion fund for that academic year.

(d)(1)All degree completion funds of up to twenty-five thousand dollars ($25,000) shall be paid to each college athlete for their participation on the intercollegiate athletics team in an academic year.

(2)Commencing on or before March 15, 2024, and on or before every March 15 thereafter, payments described in paragraph (1) shall be made in an amount based on the institution’s revenue reported for the previous academic year.

(e)An institution shall not use payment designations in its degree completion fund as a reason to reduce or cancel athletic grants provided to any college athlete.

(f)(1)All degree completion fund payments above the amount determined pursuant to subdivision (d) designated for a college athlete shall be paid within 60 days of the college athlete earning a baccalaureate degree or submitting proof, as determined by the CAP Panel, of having a severe medical condition that prevents the college athlete from completing a baccalaureate degree program.

(2)All degree completion fund payments designated for a college athlete who transferred to another institution of higher education or an out-of-state college or university shall be paid within 60 days of the athlete earning a baccalaureate degree or submitting proof, as determined by the CAP Panel, of having a severe medical condition that prevents the athlete from completing a baccalaureate degree program.

(g)(1)An institution of higher education shall accurately account its aggregate athletic grants and revenue. An institution shall not undercount, overcount, or fail to accurately categorize its aggregate athletic grants or revenue.

(2)The CAP Panel may audit an institution of higher education’s aggregate athletic grant and revenue accounting methods, materials, and information to ensure compliance with this section. This audit may include review of the institution’s aggregate athletic grant and revenue accounting methods reported by the institution in its previous revenue reports. This paragraph shall be implemented only in a manner that protects the personally identifiable information of college athletes consistent with state and federal privacy laws.

(h)All degree completion fund payments above the amount determined pursuant to subdivision (d) designated for a college athlete shall be forfeited if the college athlete does not complete a baccalaureate degree program within six years of full-time college enrollment or submit proof, as determined by the CAP Panel, of having a severe medical condition that prevents the college athlete from completing a baccalaureate degree program. All forfeited funds shall be deposited in the institution’s degree completion fund and used for degree completion fund payments to college athletes pursuant to this section.

(i)(1)(A)In making annual degree completion fund payment designations pursuant to this section, an institution of higher education shall use all revenue reported for an academic year that exceeds all revenue reported for the 2021–22 academic year. The institution does not have to pay any remaining fair market value compensation owed to a college athlete into the degree completion fund so long as all of the conditions in this paragraph and subdivision (k) are satisfied.

(B)

Except as provided in subparagraph (F), the institution shall use the difference in revenue calculated pursuant to subparagraph (A), in its entirety, to make degree completion fund payment designations.

(C)

The institution shall make, in aggregate, for an academic year, one-half of the total amount of degree completion fund payment designations for its female college athletes, and one-half of the total amount of degree completion fund payment designations for its male college athletes.

(D)

From the portion of the total amount allocated for female college athletes pursuant to subparagraph (C), the institution shall make degree completion fund payment designations for female college athletes on each women’s intercollegiate athletics team who have not received fair market value compensation for the academic year. In making the degree completion fund payment designations, the institution shall comply with all of the following:

(i)

Determine the percentage of the total fair market value compensation owed to female college athletes on each women’s intercollegiate athletics team at the institution that represents the total fair market compensation owed to all female college athletes at the institution, regardless of sport.

(ii)

Ensure that female college athletes on the same women’s intercollegiate athletics team, regardless of sport, collectively receive the percentage determined pursuant to clause (i) of the total amount designated for female college athletes pursuant to subparagraph (C).

(iii)

If the portion of the total amount allocated for female college athletes pursuant to subparagraph (C) exceeds the total aggregate fair market value compensation owed to all female college athletes on women’s intercollegiate athletics teams at the institution, regardless of sport, the institution shall pay each of its female college athletes who receive an athletic grant an equal amount of the portion for female college athletes pursuant to subparagraph (C).

(E)

From the portion of the total amount allocated for male college athletes pursuant to subparagraph (C), the institution shall make degree completion fund payment designations for male college athletes on each men’s intercollegiate athletics team who have not received fair market compensation. In making the degree completion fund payment designations, the institution shall comply with all of the following:

(i)

Determine the percentage of the total fair market compensation owed to male college athletes on each men’s intercollegiate athletics team at the institution that represents the total fair market compensation owed to all male college athletes at the institution, regardless of sport.

(ii)

Ensure that male college athletes on the same men’s intercollegiate athletics team, regardless of sport, collectively receive the percentage determined pursuant to clause (i) of the total amount designated for male college athletes pursuant to subparagraph (C).

(iii)

If the portion of the total amount allocated for male college athletes pursuant to subparagraph (C) exceeds the total aggregate fair market value compensation owed to all male college athletes on men’s intercollegiate athletics teams at the institution, regardless of sport, the institution shall pay each of its male college athletes who receive an athletic grant an equal amount of the portion for male college athletes pursuant to subparagraph (C).

(F)

Except to comply with subparagraphs (D) and (E), and subdivision (k), degree completion fund payment designations shall not result in any college athlete being designated more than fair market value compensation for any academic year.

(G)

Notwithstanding subparagraph (B), an institution of higher education that gives fair market compensation to all of its male and female college athletes and complies with this section may use any remaining revenue for other purposes as determined by the institution.

(H)The institution may spend institutional funds on intercollegiate athletic expenses without the funds counting as revenue if, within the academic year, the institutional funds are exhausted or the institutional funds are unused and do not remain in an athletic team’s or athletic program’s budget. This subparagraph authorizes an institution to increase athletics spending for athletic program needs without including it in revenue directed to degree completion funds pursuant to this section.

(I)The amount of funds that the institution paid for any athletic team’s expenses for the 2021–22 academic year shall be included as revenue for that academic year, even if the institution did not count the funds as revenue for that academic year.

(J)Notwithstanding subparagraph (I), the amount of funds that an institution paid for any athletic team’s nonregular capital expenses for the 2021–22 academic year shall not be included as revenue for that academic year, even if the institution counted the funds as revenue for that academic year.

(2)An institution may opt to pay CAP Program fees pursuant to this chapter before using revenue described in paragraph (1) for degree completion fund payment designations for college athletes.

(j)Degree completion funds are the property of college athletes and not the property of institutions of higher education. Institutions of higher education shall have a fiduciary duty to its college athletes to manage these funds.

(k)Notwithstanding any other provision of this section, if an institution of higher education deems it necessary, the institution shall adjust the amounts of degree completion fund payment designations to comply with Title IX financial aid proportionality comparisons in athletics. For any adjustment made pursuant to this subdivision, the institution shall comply with all of the following requirements:

(1)The aggregate total amount of degree completion fund payment designations made to the institution’s college athletes shall not be reduced.

(2)The institution shall comply with Title IX financial aid proportionality comparisons in athletics independent of degree completion fund payment designations.

(3)On or before March 15, 2024, and on or before every March 15 thereafter, the institution shall publish on its internet website and submit to the CAP Panel a written explanation about why an adjustment made pursuant to this subdivision is necessary to comply with Title IX proportionality comparisons in athletics, and include both of the following in this written explanation:

(A)Published communications, determinations, and rulings by the Office for Civil Rights used as the basis for the adjustment, as applicable.

(B)The amount of funds in aggregate and per college athlete directed from college athletes in one sport to college athletes in another sport, the names of each sport involved in the adjustment, and the corresponding fair market value compensation paid to college athletes in each sport involved in the adjustment. This subparagraph shall be implemented only in a manner that protects the personally identifiable information of college athletes consistent with state and federal privacy laws.

(l)Degree completion fund payment designations or payments shall not serve as evidence of an employment relationship.

(m)Within 15 days of making degree completion fund payment designations pursuant to this section, each institution of higher education shall submit annually to the CAP Panel a list of all college athletes qualifying for a degree completion fund payment designation, each qualifying college athlete’s intercollegiate team, the amount paid to each qualifying college athlete, and the aggregate amount paid to qualifying college athletes by team. This subdivision shall be implemented only in a manner that protects the personally identifiable information of college athletes consistent with state and federal privacy laws.

(n)An institution of higher education and its personnel shall not make, or attempt to make, formal or informal agreements, policies, or practices with other institutions of higher education, out-of-state colleges and universities, athletic conferences, and athletic associations or their personnel, or other entities with intercollegiate athletics governance powers, to determine degree completion fund payment amounts to college athletes.

(o)This section shall apply only to an institution of higher education with an intercollegiate sports team that participated in an NCAA Division I sport on or after January 1, 2022.

67464.67463.
 (a) An institution of higher education shall distribute a notice to each college athlete at the institution containing all of the following information:
(1) A college athlete’s rights pursuant to Title IX of the federal Education Amendments of 1972 (20 U.S.C. Sec. 1681 et seq.).
(2) An individual notice stating: “All students have the right to report a sexual assault, without retaliation, to law enforcement, the United States Department of Justice, the United States Department of Education’s Office for Civil Rights, (insert name of institution)’s mandated reporters, (insert name of institution)’s Title IX office, and the College Athlete Protection Program director.”
(3) A college athlete’s rights pursuant to the federal Jeanne Clery Disclosure of Campus Security Policy and Campus Crime Statistics Act (20 U.S.C. Sec. 1092(f)).
(4) A college athlete’s rights under this chapter.
(5) Additional rights that the state affords specifically to college athletes.
(b) The notice distributed pursuant to subdivision (a) shall contain sufficient information to enable a college athlete to file a complaint for a violation of any of the rights identified in the notice. This information shall include, but is not limited to, all of the following:
(1) The telephone number used by the Office for Civil Rights for complaint reporting intake, and the telephone number of the Office for Civil Rights’ regional enforcement office.
(2) The internet website address of the Office for Civil Rights’ online complaint form for Title IX complaint reporting.
(3) The internet website address used by the United States Department of Education for reporting violations of the federal Jeanne Clery Disclosure of Campus Security Policy and Campus Crime Statistics Act (20 U.S.C. Sec. 1092(f)).
(4) A list of the job classifications employed by the institution that are deemed mandated reporters pursuant to Section 11165.7 of the Penal Code and the obligations of these mandated reporters.
(5) The telephone number and internet website address for the CAP Program, once the program is operational pursuant to this chapter.
(6) The telephone number of the United States Department of Justice.
(c) An institution of higher education shall post on campus in conspicuous locations frequented by college athletes, including, but not limited to, the institution’s athletic training facilities, the notice distributed pursuant to this section.
(d) Upon the commencement of each academic year, the institution of higher education shall provide each college athlete a copy of the notice described in this section.

67465.67464.
 (a) The College Athlete Protection (CAP) Program is hereby established as a program in the Office of Planning and Research for purposes of this chapter.
(b) The CAP Program shall be administered by the CAP Panel. Program director hired pursuant to paragraph (3). The CAP Program director shall implement the regulations, standards, and policies adopted by the CAP Panel pursuant to this chapter. The CAP Panel shall be housed in the Office of Planning and Research.
(1) (A) The 21-member 13-member CAP Panel shall be appointed as follows:
(i) Eleven Seven members appointed by the Governor.
(ii) Five Three members appointed by the Speaker of the Assembly.
(iii) Five Three members appointed by the Senate Committee on Rules.
(B) The 21-member 13-member CAP Panel shall consist of at least four two former college athletes with experience in college athlete protection advocacy.
(2) CAP Panel members shall be voluntary positions that receive per diem and paid travel accommodations, as determined by the CAP Program director. One member shall be appointed by a majority vote of the CAP Panel’s members to serve as chairperson of the CAP Panel.
(3) (A) The Office of Planning and Research shall hire and establish compensation for a CAP Program director. The CAP Program director shall be a full-time position and serve a six-year term that may be renewed with no term limits. The CAP Program director shall hire additional staff to assist in the implementation and enforcement of this chapter. chapter, including a CAP Program general counsel who has expertise in adjudicating complaints alleging violations of law. The CAP Program director, within 10 days of being hired, shall initiate staff hiring activities with the goal of completing hiring activities by April 15, 2024. 2025.
(B) The CAP Program director shall provide CAP Panel members with the information necessary to help them fulfill their duties pursuant to this chapter.
(C) The CAP Panel shall consult with the CAP Program director when establishing adopting CAP Program regulations, standards, and policies pursuant to this chapter.
(D) The CAP Program director may engage with intercollegiate athletics stakeholders, including state and federal legislators and agencies, to provide information and encourage policies and action to support the implementation, operation, and expansion of college athlete rights and protections pursuant to this chapter.
(E) The CAP Panel, at the discretion of the CAP Program director and consistent with the requirements of the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code), shall seek to conduct meetings, solicit information, and conduct its other duties and powers virtually, and use other methods to minimize costs of the CAP Program.
(4) (A) A CAP Panel member on the initial 21-member 13-member board shall serve a four-year, five-year, or six-year term, as determined by the appointing authority. It is the intent of the Legislature that the 21-member 13-member CAP Panel’s members serve staggered terms.
(B) All subsequent appointments made after the initial 21-member 13-member CAP Panel is appointed shall be six-year terms with no term limits.
(C) A CAP Panel member and the CAP Program director may be reappointed to their position or appointed to a new position pursuant to this subdivision.
(5) (A) A CAP Panel member and the CAP Program director shall not have served, within five years of being appointed as a CAP Panel member or hired as the CAP Program director, respectively, as an affiliated medical personnel, employee, or member of a governing body of an institution of higher education, an out-of-state college or university that has an intercollegiate sports program, an intercollegiate sports athletics conference, or an intercollegiate sports association.
(B) Notwithstanding subparagraph (A), two CAP Panel members shall be employees of institutions of higher education. These two CAP Panel members shall not be employees of the same institution of higher education.
(6) The racial, ethnic, gender, and geographic diversity of California shall be considered by the appointing authority when appointing CAP Panel members.
(7) (A) The CAP Panel shall consist of members who shall serve on the following CAP Subpanels, according to their expertise: who have expertise as follows:

(A)The CAP Health and Safety Subpanel, which shall consist of all of the following:

(i) One member with expertise in sports medicine and traumatic brain injury.
(ii) One member with expertise in athletic training or physical therapy in sports.
(iii) One member with expertise in mental health.
(iv) One member with expertise in workplace health and safety compliance and investigations.
(v) One member with expertise in sexual misconduct investigations.
(vi) Two members who are former college athletes with experience in athlete health and safety issues.

(B)The CAP Recruiting Transparency Subpanel, which shall consist of all of the following:

(i)One member with expertise in contract law.

(ii)One member with expertise in college sports recruiting.

(iii)One member with expertise in college athlete publicity rights law.

(iv)One member who is a former college athlete with experience in the recruiting process.

(C)The CAP Certification Subpanel, which shall consist of all of the following:

(i)One member with expertise in sports agent certification.

(ii)One member with expertise in financial advising standards.

(iii)One member with expertise in marketing standards.

(iv)One member who is a former college athlete with experience in agreements related to CAP certification duties.

(D)The General CAP Subpanel, which shall consist of all of the following:

(i)

(vii) One member with expertise in health care administration, medical claims, and the federal Health Insurance Portability and Accountability Act of 1996 (Public Law 104–191).

(ii)

(viii) One member with expertise in compliance with Title IX in athletics.

(iii)

(ix) One member who is a certified public accountant with expertise in corporate financial audits and corporate compliance investigations.
(x) One member with expertise in adjudicating complaints alleging violations of the law.

(iv)

(xi) One member with expertise in arbitration.

(v)

(xii) One member with expertise in grievance and appeals processes.

(vi)One member with expertise in producing educational materials.

(B) CAP Panel members may have overlapping areas of expertise.
(c) The In accordance with the regulations, standards, and policies adopted by the CAP Panel Panel, the CAP Program director shall have all of the following enforcement duties and powers:
(1) Receive, track, and investigate complaints regarding reported violations of this chapter.
(2) Issue subpoenas, If approved by the CAP Program general counsel, issue subpoenas pursuant to Article 2 (commencing with Section 11180) of Chapter 2 of Part 1 of Division 3 of Title 2 of the Government Code, if necessary, to obtain information necessary to carry out its their duties pursuant to this chapter.
(3) Require an institution of higher education and out-of-state college or university that is subject to this chapter to provide athletic grants, make payments for college athlete medical coverage and expenses, and provide other remedies that the CAP Panel deems necessary to ensure compliance with this chapter.
(4) (A) Refer individuals, institutions of higher education, and out-of-state colleges and universities that are subject to this chapter who do not comply with a CAP Panel penalty or remedy imposed pursuant to subdivision (d) to the Attorney General a district attorney for prosecution, as appropriate.
(B) The Attorney General A district attorney may prosecute individuals and entities that do not comply with a CAP Panel penalty or remedy, as appropriate.

(5)Determine the best practice guidelines, health and safety standards, policies, or other informational materials that may benefit high school athletes, high school sports programs, and the California Interscholastic Federation, and make them available and easily accessible to the public.

(6)At its discretion, implement collaborative and cost-reduction efforts with other states, local governments, intercollegiate sports conferences, intercollegiate sports associations, or other stakeholders to help protect the well-being of intercollegiate athletes in other states.

(7)Hold quarterly meetings.

(8)

(5) Distribute, on or before January 15, 2025, 2026, and each year thereafter, an annual report to each institution of higher education, intercollegiate athletic conference, athletic association, and the Legislature, pursuant to Section 9795 of the Government Code, on the state of college athlete protections established adopted pursuant to this chapter.

(9)

(6) Communicate with the Legislature about ways to improve this chapter.

(10)

(7) Upon appropriation by the Legislature, use funds in the CAP Fund to execute its duties and powers under this chapter.
(d) The CAP Panel shall have all of the following duties and powers:
(1) Adopt regulations, standards, and policies for the implementation and enforcement of this chapter.
(2) Determine the best practice guidelines, health and safety standards, policies, or other informational materials that may benefit high school athletes, high school sports programs, and the California Interscholastic Federation, and make them available and easily accessible to the public.
(3) At its discretion, implement collaborative and cost-reduction efforts with other states, local governments, intercollegiate athletics conferences, intercollegiate sports associations, or other stakeholders to help protect the well-being of intercollegiate athletes in other states.
(4) Hold quarterly meetings.

(d)

(e) (1) In addition to any other remedy or penalty authorized by law, individuals who violate this chapter may be subject to remedies and penalties established pursuant to regulations adopted by the CAP Panel. These regulations shall include a system to appeal the CAP Panel’s rulings. Penalties and remedies established by the CAP Panel may include any, or any combination, of the following:
(A) Training to help prevent future violations.

(B)Temporary or permanent prohibition from being involved in intercollegiate athletics at any institution of higher education.

(C)Other penalties and remedies imposed by the CAP Panel.

(B) Issuance of citations.
(C) Requiring the institution of higher education to notify its college athletes, prospective college athletes, and the public about citations issued pursuant to subparagraph (B) due to violations committed by its employees, volunteers, or affiliated medical personnel.
(D) Issuance of monetary fines and other remedies.
(E) Bringing a CAP Program violation against an individual to an administrative law judge for adjudication.
(i) An administrative law judge who rules that an individual has committed a violation of this chapter may uphold CAP Program penalties and remedies or impose alternative penalties and remedies, including, but not limited to, requiring the institution to notify its college athletes, its prospective college athletes, and the public of the violation, including any penalties and remedies imposed due to the violation.
(ii) An administrative law judge may suspend or permanently ban an individual from participating in intercollegiate athletics at any institution of higher education if the administrative law judge finds any of the following:
(I) That the individual’s violation of this chapter caused a life-threatening medical condition, sexual abuse, or death.
(II) That the individual knowingly provided misleading information or knowingly omitted information that created an inaccuracy in the investigation of a life-threatening medical condition, sexual abuse, or death in violation of this chapter.
(III) That the individual threatened or retaliated against a college athlete or any individual or entity that reported a violation of this chapter that caused a life-threatening medical condition, sexual abuse, or death.
(IV) That the individual failed to adequately respond to a complaint that would have prevented a life-threatening medical condition, sexual abuse, or death.
(2) Before a CAP Program penalty or remedy may be imposed on an individual pursuant to paragraph (1), the individual shall be provided adequate notice and an opportunity for an administrative hearing conducted by an administrative law judge to defend themselves against any allegation of a violation of this chapter.

(2)

(3) The CAP Panel shall consider all of the following factors when imposing penalties and remedies for a violation of this chapter:
(A) The number and duration of violations.
(B) Whether the violation was the result of an intentional or negligent action.
(C) The nature and extent of harm caused by the violation.

67466.67465.
 (a) An institution of higher education shall meet the health and safety standards that are developed, published, adopted, and enforced by the CAP Health and Safety Subpanel established pursuant to Section 67465. Panel. In developing the health and safety standards, the CAP Health and Safety Subpanel Panel shall do all of the following:
(1) Consult with athletic associations, the University of California, the California State University, the California Community Colleges, and the athlete health and safety advocacy community.
(2) Consider existing health and safety guidelines of relevant entities, including, but not limited to, the National Collegiate Athletic Association, intercollegiate athletic conferences, professional sports leagues, and the National Athletic Trainers’ Association.
(3) Develop health and safety standards to prevent serious sports-related injuries, abuse, health conditions, and death, including, but not limited to, those related to traumatic brain injury, sexual harassment and abuse, athlete mistreatment, interpersonal violence, mental health, heat illnesses, sickle cell trait, rhabdomyolysis, asthma, cardiac health, weight management, and pain management.
(b) (1) All reports of suspected health and safety violations at complaints related to athlete safety, including evidence cited and information in complaints, received by an institution of higher education that occur on or after January 1, 2023, 2024, but before the CAP Health and Safety Subpanel Panel adopts the health and safety standards pursuant to this section, shall be submitted to the Department of Justice. The Department of Justice shall forward the reports of suspected health and safety violations to the CAP Program director established hired pursuant to Section 67465 67464 once the CAP Health and Safety Subpanel Panel commences enforcing the health and safety standards adopted pursuant to this section.
(2) Within 90 days of implementation of the CAP Health and Safety Subpanel’s Panel’s health and safety standards developed, published, and adopted pursuant to subdivision (a), an institution of higher education shall comply with all of the following:
(A) Inform its athletic program employees and affiliated medical personnel of their responsibilities established pursuant to the standards.
(B) Inform college athletes of their rights and protections established pursuant to the standards, and inform college athletes of their right to report suspected violations of the standards to the athletic program personnel of their choice, the Attorney General, choice and, once the CAP Health and Safety Subpanel Panel commences enforcing the standards adopted pursuant to this section, the CAP Program director.
(C) Designate at least one employee to oversee compliance with this section and to serve as a point of contact for the CAP Health and Safety Subpanel Panel and submit to the CAP Health and Safety Subpanel Panel the point of contact’s email address, telephone number, and mailing address. If the institution of higher education fails to designate the point of contact for the CAP Health and Safety Subpanel, Panel, the institution’s athletic director shall serve as the point of contact.
(3) Notwithstanding paragraph (2), the CAP Health and Safety Subpanel Panel may require institutions of higher education to comply with the health and safety standards earlier than 90 days after they are adopted if the CAP Health and Safety Subpanel Panel determines, in its discretion, that such compliance is important to prevent great harm to college athletes.
(c) The CAP Health and Safety Subpanel Panel shall have all of the following duties and powers: powers related to athlete safety:
(1) Require transparency from institutions of higher education on injury treatment options for college athletes.
(2) Provide up-to-date information about sports-related health risks.
(3) Ensure that physician, physical therapy, and athletic training records for all treatments of a college athlete by athletic program personnel in the course of the college athlete’s participation in an athletic program are maintained for a period of 10 years after the college athlete leaves the athletic program. These records shall be provided to the college athlete or former college athlete in a timely manner upon request.
(4) Ensure college athletes, athletic program personnel, and affiliated medical personnel are informed about their rights and responsibilities under this section.
(5) Prevent deceptive or fraudulent practices that harm college athletes.
(6) Calibrate mandates in consideration of athletic program size and resources when it deems it appropriate or necessary.
(7) Require assistance from institutions of higher education to help survey college athletes and athletic program personnel, as necessary, under the CAP Program.
(8) Conduct site visits and audits of athletic departments, as necessary, to verify compliance with this section.
(9) Maintain and make publicly available on its internet website a list of individuals who are banned pursuant to subdivision (e) clause (ii) of subparagraph (E) of paragraph (1) of subdivision (e) of Section 67464 from being involved in intercollegiate athletics at institutions of higher education.
(10) Adopt regulations to implement and enforce this section.
(d) All athletic program personnel, including employees, coaches, and affiliated medical personnel, shall report suspected violations of this section to the president or chancellor of the institution, the athletic director of the institution, and the CAP Program director.

(e)(1)An individual shall be banned for life from being involved in intercollegiate athletics at any institution of higher education if the individual has been found by the CAP Health and Safety Subpanel or a court of law to have done any of the following:

(A)Caused a life-threatening medical condition, sexual abuse, or death due to noncompliance with a health and safety standard adopted pursuant to this section.

(B)Caused a life-threatening medical condition, sexual abuse, or death by failing to address noncompliance with a health and safety standard adopted pursuant to this section.

(C)Threatened or retaliated against a college athlete or any individual or entity that reported noncompliance with a standard adopted pursuant to this section that caused a life-threatening medical condition, sexual abuse, or death.

(D)Obstructed or knowingly provided false information related to an investigation of noncompliance with a health and safety standard adopted pursuant to this section that caused a life-threatening medical condition, sexual abuse, or death.

(2)Before a ban may be imposed pursuant to paragraph (1), the individual shall be provided adequate notice and an opportunity for an administrative hearing conducted by an administrative law judge at which the individual shall have the right to defend themselves against any allegation of a violation described in paragraph (1).

(f)(1)Any individual or entity designated by an institution of higher education to investigate allegations of a violation of this section that knowingly omits evidence, conceals or obscures wrongdoing, undermines an investigation, or fails to carry out the responsibilities required by this section may be subject to a penalty imposed by the CAP Health and Safety Subpanel.

(2)Before a penalty may be imposed pursuant to paragraph (1), the individual or entity shall be provided adequate notice and an opportunity for an administrative hearing conducted by an administrative law judge at which the individual or entity shall have the right to defend themselves against any allegation of a violation described in paragraph (1).

(g)

(e) Except as determined by a college athlete, affiliated medical personnel shall have the autonomous, unchallengeable authority to determine medical management and return-to-play decisions for the college athlete. Coaches and athletic program personnel who are not affiliated medical personnel shall not give the college athlete medical advice or attempt to influence or disregard affiliated medical personnel decisions.

(h)

(f) Affiliated medical personnel shall be supervised and held accountable to comply with the health and safety standards adopted pursuant to this section by an institution of higher education’s office or department that is independent of the institution’s athletic department.

67467.67466.
 (a) (1) An institution of higher education that reports twenty million dollars ($20,000,000) or more in annual grand total revenue to the United States Department of Education shall be financially responsible for the out-of-pocket sports-related medical expenses of each college athlete at the institution, and during the two-year period beginning on the date on which the college athlete officially becomes a former college athlete.
(2) Paragraph (1) shall not apply to a college athlete who transfers to another institution of higher education or out-of-state college or university and participates on an intercollegiate athletics team at that institution.
(3) Paragraph (1) shall not apply to a college athlete’s medical expenses for medical conditions unrelated to the college athlete’s intercollegiate sports participation that arise after the expiration of the college athlete’s intercollegiate athletics eligibility.
(b) (1) An institution of higher education that reports fifty million dollars ($50,000,000) or more in annual grand total revenue to the United States Department of Education shall comply with both of the following:
(A) Offer nationally portable primary medical insurance to each college athlete who is enrolled at the institution. This insurance shall be paid for by the institution. The institution shall not discourage a college athlete from accepting this insurance.
(B) Pay the out-of-pocket sports-related medical expenses of each college athlete at the institution, and during the four-year period beginning on the date the college athlete officially becomes a former college athlete.
(2) Paragraph (1) shall not apply to a college athlete that transfers to another institution of higher education or out-of-state college or university and participates on an intercollegiate athletics team at that institution.
(3) Paragraph (1) shall not apply to a college athlete’s medical expenses for medical conditions unrelated to the college athlete’s intercollegiate sports participation that arise after the expiration of the college athlete’s intercollegiate athletics eligibility.
(c) If a college athlete at an institution of higher education that is responsible for the college athlete’s medical expenses pursuant to subdivision (a) or (b) chooses to receive medical care that is not provided pursuant to subdivision (a) or (b) or is not otherwise provided or paid for by the institution, the institution shall offer to the college athlete to pay an amount that is the lesser of the following:
(1) The out-of-pocket expenses for that medical care.
(2) The amount the institution would have paid if the college athlete had received the medical care provided or paid for by the institution.
(d) (1) An institution of higher education shall pay for a college athlete to obtain an independent second opinion on an athletic program-related injury or medical condition endured by the college athlete.
(2) Institution of higher education personnel and affiliated medical personnel shall not withhold a college athlete’s medical or athletic training records if the college athlete requests that those records be released to obtain an independent second opinion pursuant to paragraph (1), or otherwise impede a college athlete’s right to obtain an independent second opinion pursuant to paragraph (1).
(e) (1) No later than three days after the end of a college athlete’s team’s season in the final year of the college athlete’s intercollegiate athletics eligibility, or in the case of a transfer, no later than three days after the institution’s receipt of a college athlete’s notice of intent to transfer to another college or university, an institution of higher education shall provide the college athlete notice of, and an opportunity to undergo, a physical examination within or independent of the institution for the purpose of diagnosing an athletic program-related injury or medical condition.
(2) Institution of higher education personnel and affiliated medical personnel shall not discourage a college athlete or former college athlete from obtaining a physical examination pursuant to paragraph (1).
(3) A former college athlete shall be provided no less than 60 days to complete a physical examination pursuant to paragraph (1).

67468.67467.
 (a) On or before July 1 of each year, an institution shall comply with both of the following:
(1) Complete an evaluation of its compliance with Title IX in athletics and the Office for Civil Rights’ Title IX in athletics regulations. The evaluation shall include an aggregate analysis to determine all of the following:
(A) Whether financial aid is provided on a substantially proportional basis to the number of the institution’s male and female college athletes.
(B) Whether the institution’s male and female college athletes receive equivalent nonfinancial aid athletic treatment, benefits, and opportunities.
(C) Whether the interests and abilities of the institution’s male and female college athletes are equally effectively accommodated. Evaluation pursuant to this subparagraph shall include measures of the institution’s performance on each part of the three-part test described in the Office for Civil Rights’ Title IX in athletics regulations published on December 11, 1979.
(D) The institution’s determination about whether it is in compliance with Title IX in athletics and the specific indicators that provide evidence of its compliance or noncompliance.
(2) Publish the evaluation on a publicly accessible internet website of the institution.
(b) At the beginning of the evaluation published pursuant to subdivision (a), the institution shall include the following statement: “To submit a Title IX complaint, you may contact” (contact information of the Office for Civil Rights and the institution’s Title IX coordinator) and state the appropriate contact information of the Office for Civil Rights and the institution’s Title IX coordinator.

(c)(1)An individual who is determined by the CAP Panel in an administrative hearing to have knowingly refused to comply with this section, or knowingly provided misleading information or knowingly omitted information that created an inaccuracy in an evaluation published pursuant to subdivision (a), shall be banned from being involved in intercollegiate athletics at any institution of higher education.

(2)Before a ban may be imposed pursuant to paragraph (1), an individual shall be provided adequate notice and an opportunity for an administrative hearing conducted by an administrative law judge to defend themselves against any allegation of a violation described in paragraph (1).

67469.67468.
 (a) (1) An institution of higher education that provides a college athlete with an athletic grant shall provide the college athlete with an athletic grant for each subsequent year in which the college athlete is enrolled at the institution for up to six academic years of total full-time college attendance, or until the college athlete receives a baccalaureate degree from the institution, whichever occurs first. The athletic grant shall be provided regardless of the college athlete’s lack of participation due to injury or poor athletic performance on an intercollegiate athletics team at the institution.
(2) The amount of an athletic grant provided to a college athlete each subsequent award year shall be no less than the sum of the amount of the athletic grant provided to the college athlete for the previous year plus the amount of any increase in the cost of attendance at the institution from the previous year to the subsequent award year.
(b) (1) A college athlete who transfers to an institution of higher education shall receive an athletic grant in an amount determined pursuant to subdivision (a) for up to one academic year beyond the college athlete’s remaining intercollegiate athletics eligibility in which the college athlete is enrolled at the institution, or until the college athlete receives a baccalaureate degree from the institution, whichever occurs first.
(2) Unless a college athlete is granted a leave of absence in accordance with the institution of higher education’s leave of absence policies that apply to the general student body, subdivision (a) shall only apply to a college athlete who is enrolled as a full-time student for each regular academic term of an award year.
(3) Subdivision (a) shall not apply to a college athlete who provides a written notice of voluntary withdrawal from an intercollegiate athletics team at the institution, or who fails to consistently participate in mandatory team athletics activities for nonmedical reasons after having been fully informed that their participation in those activities is mandatory.
(4) Subdivision (a) shall not apply to a college athlete who meets any of the following:
(A) Is found by the institution of higher education to have committed academic fraud or other misconduct that would ordinarily result in expulsion.
(B) Earns a grade point average of less than the grade point average required for the college athlete to maintain intercollegiate athletics eligibility for two or more semesters.
(C) Fails to meet intercollegiate athletic association progress toward degree completion requirements.
(D) Is found guilty of a criminal act by a court.
(c) Subdivisions (a) and (b) shall apply only to an institution of higher education with an intercollegiate sports team that participated in an NCAA Division I sport on or after January 1, 2022. 2024.
(d) An individual employed by or volunteering for an athletic program at an institution of higher education shall not do either any of the following:
(1) Attempt to discourage or in any way punish a college athlete from selecting a course or an academic major unless it prevents the college athlete from intercollegiate athletic association progress towards baccalaureate or postgraduate degree completion.
(2) Punish, reduce intercollegiate athletics eligibility, or otherwise retaliate against a college athlete based on the college athlete’s selection of any course, academic major, or baccalaureate or postgraduate degree program at the institution.
(3) Impose more stringent restrictions on the speech of college athletes than those imposed on other students attending the institution.
(4) Impose any fines on college athletes that do not also apply to other students attending the institution.
(e) An individual employed by an athletic program at an institution of higher education shall not interfere with or discourage any college athlete from securing employment or internships, participating in student groups or events, or serving as a member of, or volunteer for, an organization, program, or event, so long as those activities do not interfere with mandatory class time, examination periods, or the athletic program’s mandatory team activities.
(f) An institution of higher education shall not comply with any athletic association’s or intercollegiate athletic conference’s policy that does not count completed high school financial education and personal finance coursework toward athletic eligibility standards for incoming college athletes.
(g) An institution of higher education shall not reduce any discretionary grand total revenue during the academic year below the discretionary grand total revenue reported for the 2021–22 2022–23 academic year.
(h) (1) An institution of higher education shall not reduce any aggregate funds the amount of aggregate funds in an academic year below the amount of aggregate funds used in the 2022–23 academic year for any college athlete’s academic, medical, mental health, athletic training, or nutritional support, nutritional, diversity, equity, and inclusion support for college athletes, eliminate roster slots on any intercollegiate athletics team, reduce aggregate athletic grant amounts, or eliminate any intercollegiate athletics sport entirely that existed during the 2021–22 2022–23 academic year.
(2) Notwithstanding paragraph (1), an institution of higher education may reduce the amount of aggregate funds in an academic year below the amount of aggregate funds used in the 2022–23 academic year for college athlete medical, mental health, or athletic training care if this care is not medically necessary.
(3) This subdivision shall apply to all intercollegiate athletic sports at the institution, including, but not limited to, all intercollegiate female sports and Olympic sports. These sports include, but are not limited to, gymnastics, rowing, soccer, swimming, track and field, and volleyball.
(4) This subdivision only applies to an institution of higher education with an intercollegiate sports team that participated in an NCAA Division I sport on or after January 1, 2024.
(i) Subdivisions (g) and (h) shall not apply to an institution of higher education that is unable to generate, for an academic year, all revenue in an amount that meets or exceeds all revenue reported for the 2021–22 2022–23 academic year due to war, civil unrest, or fire, flood, or other unforeseen disaster or cause beyond the institution’s control as determined by the CAP Panel.

67470.

(a)(1)An institution of higher education or an out-of-state college or university conducting college athlete recruiting activities in the state shall submit, as determined by the CAP Recruiting Transparency Subpanel, all of the following information to the CAP Recruiting Transparency Subpanel:

(A)A complete list of companies and industries that the institution prohibits a prospective college athlete from entering into an NIL agreement with as a college athlete or intercollegiate athlete.

(B)Whether or not the institution of higher education or out-of-state college or university may interfere with or otherwise attempt to influence a prospective college athlete’s, college athlete’s, or intercollegiate athlete’s choice of athlete representation.

(C)Whether or not the institution of higher education or out-of-state college or university may limit a prospective athlete’s, college athlete’s, or intercollegiate athlete’s representation to NIL activities.

(D)Whether or not the institution of higher education or out-of-state college or university receives any payment or benefit from an individual or entity in exchange for granting the individual or entity access to their college athletes or intercollegiate athletes for any NIL-related purpose.

(2)The CAP Recruiting Transparency Subpanel shall solicit the information described in paragraph (1) and post information obtained on a publicly accessible internet website for prospective college athletes, college athletes, and intercollegiate athletes. The information described in paragraph (1) shall be regularly updated.

(b)An institution of higher education shall only use a document created by the CAP Recruiting Transparency Subpanel to offer an athletic grant or intercollegiate athletics participation opportunity to a prospective college athlete. An out-of-state college or university offering an intercollegiate athletics grant or intercollegiate athletics participation opportunity to a California resident shall only use a document created by the CAP Recruiting Transparency Subpanel to offer an intercollegiate athletics grant or intercollegiate athletics participation opportunity to a California resident. A document developed pursuant to this subdivision may be annually updated by the CAP Recruiting Transparency Subpanel and shall include, but is not limited to, all of the following disclosures:

(1)The amount of intercollegiate sports grants to be offered to the prospective college athlete, relative to the most recent cost of attendance at the institution, for each academic year of the prospective athlete’s intercollegiate athletics eligibility.

(2)The total amount of possible annual education-related compensation allowable in accordance with the United States Supreme Court decision in National Collegiate Athletic Association v. Alston (2021) 141 S.Ct. 2141 and the annual amount of education-related compensation to be offered to the prospective college athlete at the institution throughout the prospective college athlete’s intercollegiate athletics eligibility.

(3)The amount of an intercollegiate sports grant, if any, that will be provided to assist the prospective college athlete with undergraduate and graduate school degree completion at the institution following the expiration of the college athlete’s intercollegiate athletics eligibility.

(4)The percentage of comprehensive medical coverage, including any minimum required coverage to participate in intercollegiate athletics and enroll as a student at the institution, that will be paid for by the institution throughout the college athlete’s intercollegiate athletics eligibility.

(5)The percentage of any out-of-pocket sports-related medical expenses, including deductibles, copays, and coinsurance, that will be paid by the institution during the college athlete’s intercollegiate athletics eligibility, and the duration for which those expenses will be covered after the prospective athlete’s intercollegiate athletics eligibility expires. The percentage of out-of-pocket sports-related medical expenses covered by the institution’s in-network and out-of-network services shall be stated on the CAP Panel’s internet website pursuant to this section.

(6)Whether or not the institution will pay for a disability insurance policy for the college athlete in order to cover any future loss of earnings by the athlete due to a sports-related injury or medical condition, and any limits to that policy’s benefits or coverage, including the maximum possible benefits based on similarly situated college athletes.

(7)A list of all colleges and universities, if any, that the institution will not allow the athlete to freely transfer to once the agreement to attend the institution is executed.

(8)The disclosures described in subdivision (a), as determined by the CAP Recruiting Transparency Subpanel, at the beginning of the first page of a document provided to a college athlete pursuant to this subdivision.

(c)This section does not prohibit an institution of higher education or out-of-state college or university that is subject to this section from providing protections or benefits that exceed those required by this section.

67471.

(a)The CAP Certification Subpanel established pursuant to Section 67465 shall certify an individual or entity to provide intercollegiate athletics agent, marketing, and financial advising services to college athletes.

(b)No later than six months after the launch of the CAP Certification Subpanel’s certification operations, an individual or entity shall not provide intercollegiate athletics agent, marketing, or financial advising services to college athletes without the CAP Certification Subpanel’s certified approval or receipt of other certification to provide those services established under law.

(c)The CAP Certification Subpanel shall develop and adopt standards for it to do all of the following:

(1)Certify all of the following:

(A)College athlete agents.

(B)Agencies and entities that employ college athlete agents.

(C)Attorneys that represent college athletes in NIL contracts. This subparagraph does not replace or preempt any other state or local regulation of attorneys in the state.

(D)Individuals and entities that provide financial advising or marketing services to college athletes. This subparagraph does not replace or preempt any federal, state, or local regulation of financial advising or marketing services in the state.

(2)Revoke certifications provided pursuant to paragraph (1).

(3)Protect college athletes from unfair fees and conditions for intercollegiate athletics agent, marketing, and financial advising services.

(d)(1)The CAP Certification Subpanel may assess certification fees, certification renewal fees, fines, and penalties on individuals and entities that do not comply with the standards developed and adopted pursuant to subdivision (c). Fees assessed by the CAP Certification Subpanel pursuant to this paragraph shall not exceed the reasonable regulatory costs incurred by the CAP Certification Subpanel incident to issuing certifications, performing investigations, inspections, and audits related to certification, and the administrative enforcement and adjudication of the certification process.

(2)The CAP Certification Subpanel shall develop an appeals process for an individual or entity to challenge a certification denial or revocation or any fee, fine, or penalty levied against the individual or entity pursuant to paragraph (1).

(3)Fees and fines collected pursuant to subdivision (d) shall be deposited in the CAP Fund established pursuant to Section 67476.

(e)The CAP Certification Subpanel shall not adopt a standard pursuant to this section that requires an individual to have a baccalaureate degree, an associate’s degree, or a graduate degree to provide athletic agency, marketing, or financial advising services to college athletes.

(f)Notwithstanding any other provision of this section, the CAP Certification Subpanel may authorize individuals and entities who have college athlete representation certifications issued by other states or entities to operate as college athlete representatives without obtaining certification from the CAP Certification Subpanel or paying certification fees assessed by the CAP Certification Subpanel.

(1)The CAP Certification Subpanel may enter into collaborative college athlete certification program agreements with other states or entities.

(2)To prevent conflicts of interest, the CAP Certification Subpanel shall not certify college athlete representation provided by an institution of higher education, an out-of-state college or university, an intercollegiate athletic conference, or an athletic association.

(g)The CAP Certification Subpanel shall promulgate regulations for purposes of implementing and enforcing this section, as necessary.

67472.67469.
 (a) On or before January 15, 2024, 2025, and annually thereafter, each institution of higher education that was a member of the NCAA on or after January 1, 2022, shall pay an annual fee to the Office of Planning and Research, in an amount determined by the CAP Panel pursuant to subdivision (b), to cover the reasonable regulatory costs of the CAP Program. The annual fees collected pursuant to this section shall not exceed seven six million dollars ($7,000,000) ($6,000,000) in aggregate per year. The CAP Panel may increase the annual fee limit to account for inflation. The annual fees shall be deposited in the CAP Fund established pursuant to Section 67476. 67475.
(b) The CAP Panel shall base the annual fees on each institution’s total athletics grand total revenue in the most recently published report that was submitted pursuant to the federal Equity in Athletics Disclosure Act established pursuant to Section 485 of the federal Higher Education Act of 1965 (20 U.S.C. Sec. 1092) to the United States Department of Education. The CAP Panel shall establish the annual fees pursuant to all of the following requirements, and may adjust these fees, without exceeding the annual aggregate limit determined pursuant to subdivision (a):
(1) Institutions of higher education with athletic grand total revenue of less than two million four hundred ninety-nine thousand nine hundred ninety-nine dollars ($2,499,999) shall each pay an annual fee of up to one hundred dollars ($100).
(2) Institutions of higher education with athletic grand total revenue between two million five hundred thousand dollars ($2,500,000) and nineteen million nine hundred ninety-nine thousand nine hundred ninety-nine dollars ($19,999,999), inclusive, shall each pay an annual fee of up to 0.01 percent of their grand total athletics revenue from the previous year.
(3) Institutions of higher education with athletic grand total revenue between twenty million dollars ($20,000,000) and twenty-nine million nine hundred ninety-nine thousand nine hundred ninety-nine dollars ($29,999,999), inclusive, shall each pay an annual fee of up to 0.1 percent of their grand total athletics revenue from the previous year.
(4) Institutions of higher education with athletic grand total revenue between thirty million dollars ($30,000,000) and fifty-nine million nine hundred ninety-nine thousand nine hundred ninety-nine dollars ($59,999,999), inclusive, shall each pay an annual fee of up to 0.3 percent of their grand total athletics revenue from the previous year.
(5) Institutions of higher education with athletic grand total revenue of at least sixty million dollars ($60,000,000) shall each pay an annual fee of up to 1.3 percent of their grand total athletics revenue from the previous year.
(6) Notwithstanding paragraphs (1) to (5), inclusive, two-year institutions of higher education shall each pay an annual fee of up to one hundred dollars ($100).
(c) (1) Notwithstanding subdivisions (a) and (b), for the first year in which an annual fee is assessed on institutions of higher education, an institution of higher education’s annual fee shall be the maximum amount that may be assessed to the institution pursuant to subdivision (b).
(2) (A) If the total amount of annual fees collected pursuant to paragraph (1) exceeds the reasonable regulatory costs of the CAP Program, up to seven six million dollars ($7,000,000), ($6,000,000), the CAP Program director shall return from the fund, upon appropriation by the Legislature, one-half of the annual fee paid by institutions of higher education pursuant to the following priority schedule until the total amount exceeding the reasonable regulatory costs of the CAP Program, up to seven million dollars ($7,000,000), six million dollars ($6,000,000), is returned:
(i) Institutions described in paragraphs (1) and (6) of subdivision (b) shall receive first priority.
(ii) Institutions described in paragraph (2) of subdivision (b) shall receive second priority.
(iii) Institutions described in paragraph (3) of subdivision (b) shall receive third priority.
(iv) Institutions described in paragraph (4) of subdivision (b) shall receive fourth priority.
(v) Institutions described in paragraph (5) of subdivision (b) shall receive fifth priority.
(B) It is the intent of the Legislature that the CAP Program director return annual fees pursuant to this paragraph within 60 days of being hired.

67473.67470.
 (a) An institution of higher education shall administer a financial and life skills development workshop program. An institution of higher education shall require each college athlete at the institution to attend the financial and life skills development workshop program during the college athlete’s first and third year of participation in an athletics program at the institution.
(b) A program developed pursuant to this section shall include, but is not limited to, information on both all of the following:
(1) The rights of college athletes under this chapter.
(2) State and federal tax information, including NIL-related taxes, time management skills, personal budgeting, debt management, credit management, and interest rates information.
(3) Information about the Miller-Ayala Athlete Agents Act (Chapter 2.5 (commencing with Section 18895) of Division 8 of the Business and Professions Code).
(4) Information about the importance of job experience in the job market, how to write a résumé, and strategies and skills regarding employment interviews.
(c) A program developed pursuant to this section shall not include any marketing, advertising, referral, or solicitation by providers of commercial products or services.

67474.67471.
 An institution of higher education shall not uphold any rule, requirement, standard, or other limitation that prevents a college athlete at the institution from fully participating in intercollegiate athletics without penalty for any of the following:
(a) For receiving food, shelter, medical expenses, or medical or disability insurance from any source.
(b) For receiving payment to cover expenses, direct provisions, or in-kind benefits from any source for purposes of transportation, room, board, and incidentals at college, or for purposes of meeting with legislators, providing testimony, or meeting with government agencies regarding intercollegiate athletics.
(c) For a college athlete’s family member or friend receiving payment, direct provisions, or in-kind benefits from any source for transportation, room, board, and incidentals to support the college athlete during any period in which the college athlete is addressing a physical or mental health concern.

67475.67472.
 (a) An institution of higher education and the institution’s employees, coaches, and affiliated medical personnel shall not retaliate against a college athlete for filing a complaint or reporting a violation of a college athlete’s rights under this chapter.
(b) For purposes of this chapter, “retaliation” shall include all of the following:
(1) A reduction in or loss of playing time that is not justified by objective measures of athletic performance or compliance with team or the institution of higher education’s policies that do not conflict with this chapter or any federal or state laws.
(2) A reduction in or loss of any education benefits, including athletic grants, merit-based scholarships, or any other compensation.
(3) A reduction in or loss of any meal benefits provided to the college athlete.
(4) A reduction in or loss of any housing benefits provided to the college athlete, including the relocation of the college athlete’s housing owned by the institution of higher education.
(5) A reduction in or loss of athletics or team communications, academic support or records, access to training facilities, or medical treatment.
(6) Pressure to not file a complaint or to withdraw a complaint.
(7) Threats, ridicule, or physical punishment.

67473.
 (a) An institution of higher education shall operate its athletic programs. An institution of higher education shall not contract or license away operational control of an athletic program.
(b) This section does not apply to the hiring of intercollegiate athletics personnel positions at an institution of higher education, including, but not limited to, athletic program directors, coaches, and staff.

67474.
 (a) An athlete agent shall provide any current or prospective college athlete that the agent seeks to represent and the college athlete’s legal guardian or guardians, if applicable, a completed copy of the athlete agent disclosure statement that the agent submitted to the Secretary of State pursuant to the Miller-Ayala Athlete Agents Act (Chapter 2.5 (commencing with Section 18895) of Division 8 of the Business and Professions Code).
(b) A college athlete who enters into an agreement with an athlete agent who does not comply with subdivision (a) or the Miller-Ayala Athlete Agents Act (Chapter 2.5 (commencing with Section 18895) of Division 8 of the Business and Professions Code), shall not be required to comply with the agreement, and shall have all remedies available under the law.

67476.67475.
 The California Athlete Protection (CAP) Fund (CAP Fund) is hereby established. The CAP Panel Program director shall administer the CAP Fund. The CAP Fund shall serve as the repository of all moneys appropriated or collected pursuant to this chapter, except for moneys described in Section 67463. chapter. Moneys in the fund may be used, upon appropriation by the Legislature, by the CAP Panel or a CAP Subpanel established Program director hired pursuant to Section 67465 67464 for purposes of implementing and enforcing this chapter. Up to 5 percent of moneys in the CAP Fund, unless otherwise encumbered, may be used, upon appropriation by the Legislature, by the CAP Panel or a CAP Subpanel established Program director hired pursuant to Section 67465 67464 for administrative costs of implementing and enforcing this chapter.

67477.67476.
 The CAP Panel shall promulgate regulations for purposes of implementing and enforcing this chapter, as the CAP Panel deems appropriate or necessary.

67478.67477.
 This chapter does not limit the enforcement authority of any state or federal agency or shield violators of this chapter from liability.

67479.67478.
 The provisions of this chapter are severable. If any provision of this chapter or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.

SEC. 6.SEC. 5.

 If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.