Legislative Update

Tuesday
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The Legislature recently made a big push to provide final votes on most of the bills still in play this session. Additionally, Gov. Katie Hobbs acted on bills that had been transmitted to her desk. Below is a summary of those that impact the university. 

The Senate Education and Transportation Committee voted to move Regent Lee Stein’s appointment to the Arizona Board of Regents on for a vote of the full Senate. 

The House of Representatives has adjourned until May 20, and the Senate has adjourned until May 28.

Bills signed by Gov. Hobbs

SB1615 (student athletes; employment status; restriction) was signed by Gov. Hobbs on May 7. ABOR and the U of A supported this bill and worked with the sponsor to ensure the final language reflected the university's policy recommendations. SB1615 clearly outlines the rights of Arizona student-athletes to receive compensation for the use of their name, image and likeness – or NIL – and ensures a national organization like the NCAA cannot retaliate against state universities for facilitating and allowing students to engage in NIL agreements. SB1615 included an emergency clause, which means it became law immediately after it was signed by the governor. Sen. T.J. Shope (R-Casa Grande) sponsored the bill. He is an avid sports fan and wanted to ensure Arizona athletic programs remain competitive.

HB2880 (unauthorized encampments; higher education institutions) was also signed by Gov. Hobbs on May 7. HB2880 prohibits an individual or group of individuals from setting up and occupying an encampment on a university or community college campus. The bill also requires a university to comply with ABOR’s Student Code of Conduct and initiate disciplinary action against any student who refuses to leave campus after being directed to do so by the university.  ABOR and the U of A did not take a position on this bill. However, the sponsor, Rep. Alma Hernandez (D-Tucson), did make several amendments that provided universities with more flexibility after hearing concerns from stakeholders. 

Below are the details of each bill.

SB1615 (student athletes; employment status; restriction)
Sponsor: Sen. T.J. Shope (R-Casa Grande)
Position: Support

Sen. Shope has agreed to a large amendment that included all the recommendations made by the U of A and Arizona State University. The U of A’s amendment language was provided by U of A Vice President and Director of Athletics Desireé Reed-Francois’ team and reviewed by the Office of the General Counsel. This bill passed with an emergency clause and the required vote to make the provisions law immediately after the governor signed it on May 7.

Prohibits a student athlete from:

  1. executing a contract for the use of the student athlete's own name, image and likeness (NIL) before disclosing the contract to the student athlete's university or if the contract conflicts with outlined contracts or policies; and
  2. using any of the university's property to increase the opportunities to earn compensation for the use of the student athlete's own NIL.

Allows a university that competes in an intercollegiate sport to:

  1. compensate a student athlete for the use of the student athlete's own NIL, except that the university may not use monies collected from student fees to pay for compensation; and
  2. provide monies, assets, resources, opportunities, services or other benefits to an institutional marketing associate or third-party entity to incentivize the facilitation of opportunities for a student athlete to earn compensation for the use of the student athlete's own NIL.

Prohibits a university that competes in intercollegiate sport from limiting or preventing a student from participating in athletics or earning a scholarship because the student athlete participates in outlined activities.

Prohibits a regulator from preventing student athlete from fully participating in an intercollegiate athletic program because the student:

  1. earns compensation for the use of the student's NIL or position on the intercollegiate athletic team's roster; or
  2. obtains professional representation.

Expands the prohibitions on a regulator preventing a postsecondary institution from engaging in outlined activities by prohibiting a regulator from preventing a postsecondary institution from:

  1. becoming a member of any regulator that is a membership organization; or
  2. participating in an intercollegiate athletic program sponsored by the regulator.

Prohibits a regulator from:

  1. considering a complaint, initiating an investigation or taking any adverse action against a postsecondary institution, institutional marketing associate or third- party entity for engaging in authorized conduct; and
  2. imposing a penalty against a university or student athlete or preventing the university or student athlete from participating in an intercollegiate athletic program for a violation of the regulator's rules or regulations relating to compensation for NIL.

Specifies that a university may not classify a student athlete as an employee solely based on the student athlete's receipt of compensation as outlined.

Allows a student athlete to bring a cause of action against a university for a violation of the requirements.

Allows a university, institutional marketing associate or third-party entity to bring a cause of action against a regulator to enjoin the regulator for taking adverse action against the outlined entity for engaging in any of the authorized conduct.

Requires a university to notify the student athlete in writing if the university determines that the student athlete violated the outlined requirements.

Allows a university to bring a cause of action against the student athlete if the student athlete does not correct a violation within 10 days after receipt of notice.

Determines that records relating to a contract or proposed contract for the use of the student athlete's own NIL are not public record, and that information collected by the university relating to such contracts are confidential and not subject to public disclosure.

Allows a public university or a nonprofit organization that assists student athletes to earn compensation from NIL to conduct a raffle.

Deems that an employee of a university or third-party entity is not liable for a student athlete's inability to earn compensation because of a decision or action that routinely occurs in the course of intercollegiate athletic programs.

Specifies that this legislation does not affect the rights of a student athlete under Title IX of the Federal Education Amendments of 1972.

Adds an emergency clause. The bill must receive a 2/3 vote in the Senate and House to trigger the emergency clause. 

HB2880 (unauthorized encampments; higher education institutions)
Sponsor: Rep. Alma Hernandez (D-Tucson) 
Position: ABOR did not take a position

This bill received bipartisan support and will become law on the general effective day, which is 90 days after sine die.

Prohibits an individual from establishing or occupying an encampment on the campus of a university or community college.

Allows a university or college to restrict student expression for a violation of the prohibition.

Directs, if an individual or group of individuals violates the prohibition, an administrator of the university or community college to:

  1. direct the individual or group of individuals to immediately dismantle the encampment and vacate the campus;
  2. advise the individual or group of individuals that any individual who fails to comply with the direction to leave is guilty of criminal trespass;
  3. if the individual or group of individuals refuses to comply, initiate legal action, including reporting the trespass to a local law enforcement agency, to have the individual or group of individuals removed from campus; and
  4. initiate disciplinary action against any student who refuses to comply with the direction to leave pursuant to the university's or community college's student code of conduct.

Stipulates that any individual who establishes or occupies an encampment in violation of the prohibition is both:

  1. not lawfully present on the university's or community college's campus for the purposes of free speech or a student's right to speak in a public forum; and
  2. liable for all damages that the individual causes, including the direct and indirect costs of:
  3. removing the established or occupied encampment and restoring the campus; and
  4. repairing any destruction, defacement or alteration of the university or community college property, including buildings, grounds, equipment and resources, that resulted from the individual's intentional or negligent conduct relating to the encampment.

Requires a law enforcement agency, peace officer or member of the university's or community college's campus security to enforce the prohibition.

Grants a law enforcement agency, peace officer or member of the university's or community college's campus security the authority to remove an encampment and any individual or group of individuals from the campus that has violated the prohibition and refuses to comply with the direction to leave.

Requires each university under the jurisdiction of ABOR to comply with the ABOR's Student Code of Conduct. 

Defines an encampment as a temporary shelter, including tents, that is installed on the campus of a university or community college and that is used to stay on the campus overnight or for a prolonged period of time.