Trump Administration Withdraws Title IX Guidance on Student-Athlete Compensation and NIL Earnings

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The Trump administration obliterates Biden’s NIL guidance, freeing colleges from gender-based revenue sharing.

Key Takeaways

  • Trump’s Department of Education rescinds Biden-era guidance on NIL compensation and Title IX compliance
  • Biden’s guidance required equitable distribution of NIL earnings based on gender
  • Trump administration deems the guidance legally unfounded and unnecessarily complex
  • Move aligns with broader conservative stance on collegiate sports governance
  • Rescission allows colleges to pursue revenue-sharing plans without gender equity constraints

Trump Administration Slashes Biden’s “Profoundly Unfair” NIL Guidance

In a decisive move, the Trump administration has rescinded the Biden-era guidance on Name, Image, and Likeness (NIL) compensation for student-athletes. This action marks a significant shift in the interpretation of Title IX’s application to collegiate sports, particularly regarding the distribution of NIL earnings between male and female athletes.

Craig Trainor, the Acting Assistant Secretary for Civil Rights, spearheaded this reversal, labeling the previous administration’s guidance as both legally baseless and excessively burdensome. The Trump administration’s stance reflects a broader conservative approach to collegiate sports governance, emphasizing less federal intervention and more flexibility for educational institutions.

Dismantling the “Overly Burdensome” Biden Framework

The Biden administration’s guidance, issued just before Trump’s inauguration, had mandated that NIL compensation be treated as “athletic financial assistance” subject to equitable distribution between men’s and women’s programs. This interpretation effectively required colleges to ensure that NIL earnings were proportionally available to male and female athletes, a stipulation that many Republicans argued could lead to the cutting of athletic programs.

“Enacted over 50 years ago, Title IX says nothing about how revenue-generating athletics programs should allocate compensation among student athletes. The claim that Title IX forces schools and colleges to distribute student-athlete revenues proportionately based on gender equity considerations is sweeping and would require clear legal authority to support it. That does not exist. Accordingly, the Biden NIL guidance is rescinded.” – Craig Trainor

Trainor’s statement underscores the Trump administration’s view that the Biden guidance overstepped its bounds, attempting to enforce a sweeping interpretation of Title IX without proper legal foundation. This rescission effectively removes the requirement for NIL payments to be proportional based on gender, allowing colleges more freedom in their financial decision-making regarding student-athlete compensation.

Implications for Collegiate Sports and Revenue Sharing

The withdrawal of the Biden-era guidance comes at a crucial time in collegiate sports. A recent settlement in the House v. NCAA case mandates revenue sharing with athletes starting in the 2025–26 academic year, including back pay. This settlement, if approved, could allow colleges to share up to $20.5 million with athletes, primarily benefiting football and men’s basketball players.

“The NIL guidance, rammed through by the Biden Administration in its final days, is overly burdensome, profoundly unfair, and it goes well beyond what agency guidance is intended to achieve.” – Craig Trainor

The Trump administration’s decision to rescind the guidance allows colleges to pursue these revenue-sharing plans without the constraints of gender-based proportionality. This move aligns with the conservative viewpoint that market forces, rather than federal mandates, should dictate the distribution of NIL earnings.

A Broader Shift in Title IX Enforcement

The rescission of the NIL guidance is part of a larger shift in Title IX enforcement under the Trump administration. A ‘Dear Colleague’ letter from the Department of Education has shifted Title IX enforcement from the 2024 Rule to the 2020 Rule, emphasizing a return to pre-Biden era interpretations of the law.

“In light of the recent federal court decision vacating the 2024 Title IX Rule, and consistent with President Trump’s Defending Women Executive Order, the binding regulatory framework for Title IX enforcement includes the principles and provisions of the 2020 Title IX Rule and the longstanding Title IX regulations outlined in 34 C.F.R. 106 et seq., but excludes the vacated 2024 Title IX Rule. Accordingly, open Title IX investigations initiated under the 2024 Title IX Rule should be immediately reevaluated to ensure consistency with the requirements of the 2020 Title IX Rule and the preexisting regulations at 34 C.F.R. 106 et seq.” – President Donald Trump

This comprehensive approach to Title IX enforcement, coupled with President Trump’s executive order banning transgender girls and women from participating in women’s sports, signals a decisive conservative stance on gender issues in collegiate athletics. The Trump administration’s actions represent a clear departure from the progressive policies of the Biden era, prioritizing what they view as fairness and legal consistency over gender-based equity mandates.

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Sources:

  1. NCAA revenue sharing: Trump administration rescinds Biden’s Title IX Policy, NIL guidance
  2. Trump Administration Rescinds Biden Title IX Guidance on Equal Athlete Pay
  3. Trump Administration Cancels Biden-Era Gender Rule on NIL Money
  4. Trump Education Dept rescinds Biden administration’s ‘profoundly unfair’ guidance on NIL compensation | Fox News

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