Trump’s New Executive Order Impacts College Sports
President Trump is garnering support from prominent figures in college athletics following his recent executive order aimed at reshaping the landscape of college sports and its athletes.
However, some provisions in the order are likely to upset higher-earning college athletes.
After hosting a college sports roundtable at the White House last March, Trump signed the executive order on Friday titled “Urgent National Action to Save College Sports”.
The new order proposes a theoretical cap on salaries for student-athletes, introduces a five-year grace period for qualification, and limits athletes to a single transfer within that timeframe.
Furthermore, it emphasizes strengthening women’s and Olympic sports at the college level. The order indicates “implementing revenue sharing in a way that protects and expands opportunities in women’s and Olympic sports.”
In reaction, legendary college football coach Nick Saban expressed that the directive would help protect opportunities across all sports, not just in football and basketball, but also for women’s and Olympic sports. Saban, who led Alabama from 2007 to 2023, thanked the president for assisting in managing and funding various sports.
Arkansas men’s basketball coach John Calipari also defended the president against criticisms regarding limits on student-athlete earnings. He shared, “I have spent my life focused on the success and health of student-athletes. Their success, both athletically and academically, is paramount. I have no problem with athletes making money, but what we’ve done recently is harmful, not just to their success but to the future of college sports.” He urged Congress to pass bipartisan legislation to help college athletics.
Trump’s executive order specifically highlights an alleged “fraudulent name, image, and likeness (NIL) scheme,” claiming some student-athletes received compensation beyond their “actual fair market value.” The intention behind this regulation is to deter “play-for-play,” where large programs allegedly pay high sums for athletic participation, potentially disrupting fair competition.
Moving forward, the order stipulates that third parties not associated with university athletic departments cannot pay student-athletes above a capped fair market value. Compensation for student-athletes will align with that of non-student-athletes of similar fame and recognition.
President Trump is calling on Congress to pass additional legislation that would prohibit schools from limiting student participation in NIL agreements. Schools with a minimum of 16 varsity teams and exceeding $20 million annually would also be required to provide medical benefits to their student-athletes.
The executive order is expected to take effect on August 1st.
