New NIL bill passes Utah legislature

Utah’s state legislature recently passed HB202 regarding student-athletes and NIL deals at the collegiate level. NIL deals allow any student at the university to receive compensation for the use of their name, image and likeness; often, however, the deals go to student-athletes. This is the first bill Utah has passed relating to NIL deals, and it will be enacted on May 1.  

Associate athletic director for compliance Tony Hearrell’s job is to answer questions about NIL deals and provide the necessary education for players on them. He reviews contracts that players bring to him to ensure there is no pay-for-play.  

Hearrell’s job isn’t to approve the deals, but just to review them.   

“We can monitor from my standpoint to make sure there’s no pay-for-play,” Hearrell said. 

It is against NCAA rules for players to receive payment to stay at a specific school. Thus, there is a fine line to be drawn between illegal pay-for-play and legal NIL deals, and this is where Hearrell comes in. 

Before the bill was passed, Utah State University was bound by NCAA rules.
“What NIL looks like in the state of Utah may be different than what NIL looks like in the state of Florida or North Carolina,” Hearrell said.  

As of right now, before the bill goes into effect, the university is not allowed to be involved in these deals. They must follow NCAA rules, which do not allow institutional involvement with NIL deals, according to Hearrell.  

Student-athletes are currently not required to disclose any deals to the university — that is, until the bill goes into effect.  

One of the struggles for the athletics department is there is no way for them to know if players have received an NIL deal.  

“If McDonald’s did a deal with one of our players, and they’re giving them $1,000 a month and they don’t say anything, we don’t see it,” Hearrell said. “We have asked them to, but there’s no way for us or any other entity to require it because it is not required by the NCAA. So, there could not be repercussions if they don’t.” 

The new bill requires disclosing deals that are over $600. The NCAA will be enacting that same rule later this year on Aug. 1, according to Hearrell.  

“That [HB202] is mirroring that rule. I can almost guarantee you,” Hearrell said.  

Hearrell likened non-disclosure from players to the university to going over the speed limit.  

“You ever drive five over the speed limit? You get pulled over? No. Did you break the law? Yes,” Hearrell said. 

The university is not involved with setting up contracts for the athletes. That is done between the athlete and the company sponsoring them. 

Hearrell says one of the best ways for him to know these things are happening is through educating the coaches and players. He believes they will come to him about these deals if they know they can go to him for education. 

“There’s nothing wrong with NIL, so there’s no reason to hide it,” Hearrell said.  

One reason the bill is being passed is because of pay-to-play, so schools don’t pay players for the purposes of playing.  

“Does the contract state that you have to stay here to receive this?” Hearrell said about a hypothetical review.  

Hearrell then described what a collective is.  

“It’s just a group that gets together that raises funds to be able to give the athletes, you know, use the athlete’s NIL to promote their collective,” Hearrell said.  

The collective can act in a variety of ways, including using the athlete’s NIL to promote their business or charity.  

Hearrell gave an example of how this works.  

“You’re going to promote this nonprofit or this collective, you’re going to make an appearance, like for example, Ruby’s from 6-9 p.m., where you’re going to meet people in the community, sign autographs, you know, you’re going to wear a t-shirt about the collective,” Hearrell said. “In return, we’re going to give you $500.”  

Each institution has its own collective.  

Anyone can come to Hearrell for deals they want to do with athletes at Utah State. Then, he can connect those people to the players to set up a deal between them.  

Hearrell described himself as the gatekeeper to the NIL rules at the university.  

“The more people educated on it, the less issues you have,” Hearrell said.  

Darius Brown II, guard for the men’s basketball team, said he has had NIL deals during the season. He specifically spoke about Ruby’s and Boneyard Barbering.  

“The whole team gets free haircuts for posting about them,” Brown II said.  

People and companies usually reach out to him through social media or Opendorse.  

“Opendorse is an app that goes through the school, so the school sees all your NIL deals, and they can reach out to you through there,” Brown II said.  

Out of all the deals Brown II has, he said Boneyard is his favorite.  

Marcus Maes, barber and owner of Boneyard Barbering, sponsors the men’s basketball team with free haircuts. He then gets social media posts from the players in return.  

Maes knew some players before he opened the barbershop, which is how he got this NIL deal with the team.  

“When I was going to college at Utah State, I was friends with a lot of players. And I played just kind of pick-up with them and naturally started cutting their hair when I opened up the barbershop,” Maes said.  

Boneyard sponsors some players on Brigham Young University’s men’s basketball team at the location in Provo. He plans on reaching out to Weber State University’s team with his Ogden location.  

“I just think it’s really cool seeing the haircuts on TV… and that they trust us,” Maes said. “The thing is that the players come and go, the coaches come and go, but they’re all still getting their hair cut at Boneyard. That’s why they’re good every year.” 

The NIL deals not only benefit the players, but the companies who sponsor them. Maes said customers will come in who heard about Boneyard through the basketball team.  

“A lot of the little kids at the games, they want to ask for the Sam Merrill haircut,” Maes said. “This year is kind of the Mason Falslev haircut.”