The bill amends the Arkansas Student-Athlete Publicity Rights Act and related laws concerning athletic program funding. Key provisions include granting student-athletes the right to enter contracts and receive compensation for the commercial use of their publicity rights. Institutions of higher education are authorized to facilitate opportunities for student-athletes to earn compensation, enter licensing agreements, and are protected from liability when revoking agreements that conflict with institutional policies. Additionally, the bill clarifies that student-athletes will not be considered employees of their institutions based on their participation in athletics, and it establishes that income from compensation for name, image, or likeness rights is exempt from state income tax.

The bill also modifies funding limits for intercollegiate athletic programs at state-supported institutions, increasing the allowable budget from two percent to four percent of total unrestricted educational revenues. It includes provisions for annual adjustments based on the Consumer Price Index and exempts certain expenditures related to compliance with federal regulations and support for women's athletic programs. The effective date for the tax-related provisions is set for tax years beginning on or after January 1, 2025.

Statutes affected:
HB 1917: 4-75-1303, 4-75-1305, 4-75-1304, 4-75-1307(a), 4-75-1307, 4-75-1308(d), 4-75-1308
Act 839: 4-75-1303, 4-75-1305, 4-75-1304, 4-75-1307(a), 4-75-1307, 4-75-1308(d), 4-75-1308