NCAA GOVERNMENT RELATIONS REPORT

Executive Summary of Legislative Issues

[See Attachment for detail of each item.]

1. The 108^th Congress.

The first session of the 108^th Congress was highlighted by the passage of several significant pieces of legislation, partisanship battles and deadlock over several other legislative issues. The Republican-led Congress approved the third tax cut in three years, landmark Medicare-prescription drug legislation and spending bills totaling $166 billion for military and reconstruction operations in Iraq and Afghanistan. Congress will likely address a number of important issues in 2004 including domestic energy production, welfare and taxes.

With the 2004 Presidential election less then a year away, much of the focus in Washington has been on the Democratic Party and its search for a viable opponent to President Bush. There are currently nine nominees for the democratic nomination for President. The field includes three current senators (Lieberman, Kerry, Edwards) and two current representatives (Gephardt, Kucinich).

2. State and Federal Regulation of Athlete Agents.

a. State Efforts: To date, twenty-eight jurisdictions have passed the Uniform Athlete Agent Act (UAAA). During 2003, the UAAA was passed in Maryland, Texas, North Carolina, Rhode Island, Kansas, North Dakota, Montana, Kentucky, Georgia, Oklahoma and New York. NCAA staff will continue to work with the National Conference of Commissioners on Uniform State Laws (NCCUSL) to pass the UAAA in additional states in 2004.

b. Federal Efforts: Representative Bart Gordon (D-TN) sponsored legislation (H.R. 361), which provides for civil penalties against unscrupulous agents and acts as a “federal backstop” in those states that have not yet passed the state model law. The Sports Agent Responsibility and Trust Act (SPARTA) prohibits athlete agents from attempting to lure student-athletes into signing representation contracts by making false promises or misleading statements and from providing anything of value to the athlete or anyone associated with the athlete. The bill includes a “Sense of Congress” section that directly supports passage of the important registration requirements in the UAAA and does not preempt or conflict with the state model law. The House of Representatives passed H.R. 361 on June 4, 2003. Senator Ron Wyden (D-OR) introduced a similar bill in the Senate on June 3, 2003.

3. Internet Gambling.

Representative Spencer Bachus (R-AL) introduced the Unlawful Internet Gambling Funding Prohibition Act, which was passed by the House on June 10, 2003. On March 13, 2003, Senator Jon Kyl (R-AZ) introduced S. 627, a similar version of the legislation, which contains the civil and criminal penalties. S. 627, was unanimously approved by the Committee on Banking, Housing, and Urban Affairs on July 31, 2003. This bill has yet to receive consideration by the full Senate. The NCAA will encourage the strongest possible bill to curb the damaging effects of Internet gambling on collegiate sports.

4. Controlled Substances.

During the 2003 legislative session, members of the House and Senate have taken steps to address concerns with steroid precursors by introducing legislation which would include steroid precursors within the definition of illegal anabolic steroids. Early in the 2003 legislative session, Representative John Sweeney (R-NY) and Representative Tom Osborne (R-NE) reintroduced H.R. 207, the Anabolic Steroid Precursor Control and Health Education Act. H.R. 207 has been referred to several committees and is currently under consideration in the Subcommittee on Education Reform. In October 2003, Senator Joseph Biden (D-DE) introduced S. 1780, the Anabolic Steroid Control Act of 2003. S. 1780 has been referred to the Committee on the Judiciary.

Congress has also taken a leadership role in addressing the dangers of ephedrine. In March 2003, Representative John Sweeney (R-NY) introduced H.R. 1075, the Ephedra Public Protection Act, which would amend the Federal Food, Drug, and Cosmetic Act to require the Secretary of Health and Human Services to classify supplements containing ephedrine alkaloids as unsafe if they present an unreasonable health risk. H.R. 1075 has been referred to the House Subcommittee on Health. In November 2003, Senator Richard Durbin (D-IL) introduced S. Res. 260, which expresses a sense of the Senate that the Secretary of Health and Human Services should take action to remove dietary supplements containing ephedrine alkaloids from the market. S. Res. 260 has been referred to the Committee on Health, Education, Labor, and Pensions. The NCAA favors strong legislation in these areas to protect student athletes from the harmful effects of these dangerous substances.

5. Bowl Championship Series.

On September 4, 2003, the House Judiciary Committee held a hearing on the antitrust implications of the college football Bowl Championship Series. The Senate Judiciary Committee also held a hearing on October 29, 2003, to probe into this issue. NCAA President Myles Brand and representatives from the BCS and non-BCS schools participated in these informational hearings.

6. Alcohol Advertising Policies.

On November 12, 2003, Representative Tom Osborne (R-NE) and former UNC basketball coach Dean Smith participated in a press conference organized by the Center for Science in the Public Interest to discuss their campaign to end all advertising of alcohol during televised college sports events. Next steps include a grassroots campaign to educate Athletic Directors and college Presidents about this issue and encourage them to continue this debate within their conferences and within the NCAA.

7. Other State Issues.

California. State Senator Kevin Murray (D-Los Angeles) introduced the Student-Athletes’ Bill of Rights, which would bar in-state colleges and universities from abiding by the NCAA’s rules on scholarships, health insurance coverage and agent relationships and would effectively pull all California colleges and universities out of the NCAA. The California Senate passed SB 193 on May 29, 2003. The Assembly’s Higher Education Committee held a hearing on SB 193 on July 8, 2003 and committee members decided to hold the legislation in their committee and seek additional information. The Committee will next consider the legislation during the 2004 session. Several members of the committee expressed strong concerns regarding various NCAA rules. NCAA staff participated in the hearing and has worked actively in California to educate state legislators about the harmful consequences of the bill. The legislation has attracted opposition from the California member institutions, the conferences with California members, and the state associations representing the California schools, among others.

The Pacific-10 Conference hosted a summit for California institutions on October 28, 2003, to discuss the bill and reach a consensus on what steps should be taken to address these issues. The summit provided all participants an opportunity to educate those legislators in attendance about the NCAA legislative process, current status of NCAA bylaws and proposals and potential consequences from passage of SB 193.

8. Higher Education Associations and Organizations.

NCAA government relations staff will continue to work closely with the American Council on Education (ACE), the National Association of State Universities and Land Grant Colleges (NASULGC) and other organizations representing the interests of higher education. The staff will continue to share information and support on issues of common interest. Both ACE and NASULGC have been helpful in supporting various issues on the NCAA’s legislative agenda. The NCAA staff plan to continue to work closely with the staffs and members of the Congressional Black Caucus Foundation as well to discuss issues of common interest.