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HB 1917

PROP TX-VETERANS

104th Regular Session Introduced by Jackie Haas and 1 co-sponsor

HB 1917 empowers Arkansas student-athletes to earn from their name, image, and likeness, exempts their income from state tax, and clarifies their non-employee status.

Rule 19(a) / Re-referred to Rules Committee
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Bill Summary · HB 1917

Summary of HB 1917: Arkansas Student-Athlete Publicity Rights Act Amendment

Bill Number: HB 1917
Title: To Amend the Arkansas Student-Athlete Publicity Rights Act; and to Amend the Law Related to Athletic Program Funding
Status: Now Act 839
Introduced: March 31, 2025
Sponsors: Rep. M. Shepherd, Rep. Evans, Sen. Hester

Purpose and Intent

HB 1917 aims to enhance the Arkansas Student-Athlete Publicity Rights Act by expanding the rights of student-athletes to receive compensation for the commercial use of their name, image, and likeness (NIL). The bill also introduces tax exemptions for such income and clarifies the employment status of student-athletes in relation to their compensation.

Key Provisions

  1. Expanded Compensation Rights:

    • The bill allows institutions of higher education, their supporting foundations, and authorized entities to compensate student-athletes for the commercial use of their publicity rights.
    • It repeals the previous provision that permitted only charitable organizations to compensate student-athletes.
  2. Income Tax Exemption:

    • Income received by student-athletes from their institutions for the use of their NIL or as a share of athletic revenue will be exempt from state income tax starting from tax years beginning on or after January 1, 2025.
  3. Clarification of Employment Status:

    • The bill clarifies that receiving compensation under this Act does not classify student-athletes as employees of their institutions, conferences, or associations.
  4. Confidentiality of Agreements:

    • Personal and financial information in agreements related to NIL compensation will be confidential and exempt from disclosure under the Freedom of Information Act.
  5. Prohibition of Conflicts:

    • Contracts for NIL compensation cannot conflict with institutional policies or require student-athletes to promote third-party entities during athletic activities without authorization.

Impact

  • Who is Affected:

    • The legislation primarily impacts student-athletes at institutions of higher education in Arkansas, allowing them to monetize their NIL rights more effectively.
    • Institutions of higher education and their affiliated organizations will also be affected as they navigate the new compensation structures.
  • Fiscal Impact:

    • The estimated fiscal impact for FY2026 is a reduction of $500,000 in general revenue due to the tax exemption for student-athletes.
    • Implementation will require updates to tax forms and systems, with an estimated cost of $4,000 for programming changes.

Procedural Aspects

  • The bill was introduced on March 31, 2025, and underwent several legislative actions, including readings, committee reviews, and votes.
  • It was passed by both the House and Senate and was signed into law, becoming Act 839 on April 17, 2025.

Conclusion

HB 1917 represents a significant shift in the landscape of college athletics in Arkansas, empowering student-athletes to capitalize on their publicity rights while providing them with tax benefits and clarifying their status as non-employees. This legislation aligns with national trends toward greater financial autonomy for student-athletes in collegiate sports.

Compiled from official sources — confirm details with the bill’s official record.

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