Department of Education releases memo on student-athlete NIL pay, Title IX compliance

The Department of Education The Office for Civil Rights released guidance Thursday regarding name, image and likeness (NIL) pay and its compliance with federal Title IX rules.

The office released its guidelines in a nine-page memorandum stating that athletic programs must offer equal opportunities regardless of gender.

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The letter stated that the school’s compensation for NIL student-athletes is considered “athletic financial aid” under Title IX “because athletic financial aid includes any financial and other assistance provided by a school to a student-athlete that is related to the student’s participation in a sport is not limited to scholarships or grants.”

“However, OCR has long recognized that the school has Obligations from Title IX when funding from private sources, including private donations and funds raised by booster clubs, creates gender disparities in a school’s athletic program or program component,” the memo states. “The fact that funding is provided by a private source does not relieve the school of its responsibility to treat all its student-athletes in a non-discriminatory manner.

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“It is possible that NIL agreements between student-athletes and third parties create similar differences and therefore trigger a school’s obligations under Title IX. Because these NIL agreements vary widely and continue to evolve, and because the application of Title IX’s equal athletic opportunity requirements is a factual inquiry , this Fact Sheet does not offer specific guidance on the application of Title IX in the context of compensation provided for the use of NIŠ student-athletes by a third party, including the NIL collective.”

Miguel Cardona is the Secretary of Education in President Biden’s administration, but will leave after he is elected Trump takes office on January 20.