H.R. 5812

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5812 Introduced in House (IH)]

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119th CONGRESS
1st Session
H. R. 5812

To amend the Higher Education Act of 1965 to cap certain 
intercollegiate athletics compensation and buyouts as a condition of 
institutional participation in Federal student aid programs, and for 
other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

October 24, 2025

Mr. Baumgartner introduced the following bill; which was referred to 
the Committee on Education and Workforce

_______________________________________________________________________

A BILL

To amend the Higher Education Act of 1965 to cap certain 
intercollegiate athletics compensation and buyouts as a condition of 
institutional participation in Federal student aid programs, and for 
other purposes.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Correcting Opportunity and 
Accountability in Collegiate Hiring Act (COACH Act)''.

SEC. 2. FINDINGS.

Congress finds the following:
(a) Intercollegiate athletics, when properly governed, promote 
student development and broad-based participation aligned with 
educational missions.
(b) Institutions participating in programs under title IV of the 
Higher Education Act of 1965 (20 U.S.C. 1070 et seq.) receive 
substantial Federal support and tax advantages, creating a heightened 
obligation to manage athletics in service of educational priorities and 
equal opportunity.
(c) Escalating compensation and buyouts for athletics personnel can 
divert resources from academic priorities and broad-based 
opportunities, including women's and Olympic sports, and warrant 
reasonable, uniform guardrails as a condition of title IV 
participation.
(d) Federal courts have held that the National Collegiate Athletic 
Association's caps on coaches' pay violate antitrust laws--e.g., Law v. 
NCAA (10th Cir. 1998) permanently enjoining the NCAA's ``restricted-
earnings coach'' salary cap rule--and have continued to scrutinize 
coach-compensation restraints (including rules setting compensation to 
zero); therefore, any statutory cap must be accompanied by a targeted 
antitrust safe harbor to permit collective implementation and 
enforcement.

SEC. 3. PROGRAM PARTICIPATION AGREEMENTS.

Section 487(a) of the Higher Education Act of 1965 (20 U.S.C. 
1094(a)) is amended by adding at the end the following:
``(30) Limitations on intercollegiate athletics 
compensation and buyouts.--
``(A) Compensation cap.--As a condition of 
eligibility under this title, the institution shall 
ensure that the total annual compensation paid, 
promised, or provided to any athletics department 
employee does not exceed 10 times the institution's 
tuition and required fees for a first-time, full-time 
undergraduate for the most recent academic year.
``(B) Buyouts and separation payments.--Any payment 
to terminate, buy out, or settle an employment 
agreement with an athletics department employee shall 
be treated as compensation for purposes of subparagraph 
(A) in the year paid, and may not cause the cap in 
subparagraph (A) to be exceeded.
``(C) Conference and affiliate coverage.--The 
institution shall ensure compliance with this paragraph 
for any agreement entered by an athletics conference, 
media-rights consortium, collective, foundation, or 
other affiliate that allocates, assigns, or provides 
compensation or buyouts to the institution's athletics 
department employees.
``(D) Certification and disclosure.--The Secretary 
shall require annual program participation agreement 
certification that the institution and its affiliates 
are in compliance with this paragraph and shall require 
public disclosure of the cap amount for the year and 
the tuition and required fees figure used to calculate 
it and the number of covered employees whose total 
annual compensation is within 10 percent of the cap.
``(E) Transition.--
``(i) Written employment agreements 
executed before the date of this Act may 
continue for their remaining original term 
(excluding extensions or renewals), provided 
that the agreement and scheduled payments are 
disclosed under subparagraph (D); and no 
amendment increases compensation above amounts 
stated in the agreement as of the date of this 
Act.
``(ii) Prospective compliance.--Agreements 
executed on or after the date of this Act shall 
comply with this paragraph.
``(F) Definitions.--In this paragraph, the term:
``(i) Athletics department employee--means 
any employee of the institution (or of a 
related organization acting for the 
institution) whose primary duties relate to 
intercollegiate athletics, including head and 
assistant coaches, the director of athletics, 
associate or assistant athletic directors, and 
senior athletics administrators.
``(ii) Tuition and required fees--means the 
published undergraduate tuition and required 
fees for a first-time, full-time undergraduate 
student at the institution, as reported to the 
Integrated Postsecondary Education Data System 
pursuant to section 487(a)(17) of the Higher 
Education Act of 1965 (20 U.S.C. 1094(a)(17)). 
For public institutions with differential 
resident and nonresident rates, the in-state 
figure applies.
``(iii) Athletics conference--means a 
voluntary association of institutions of higher 
education formed to organize, regulate, or 
commercialize intercollegiate varsity athletics 
competition, including any media-rights or 
data-rights affiliate.
``(iv) `Total annual compensation'--means 
wages, salaries, stipends, allowances, 
incentive or performance bonuses, signing or 
retention bonuses, deferred compensation, 
employer retirement contributions above 
standard plan matches, severance, buyouts, 
cancellation or mitigation payments, in-kind 
compensation, appearance fees, debt servicing, 
debt relief, and any other compensation paid by 
or through a related organization (including a 
foundation, booster organization, media arm, or 
affiliate) or a third party under an 
arrangement to perform services for the 
institution.''.

SEC. 4. LIABILITY LIMITATION.

(a) In General.--Adoption of, agreement to, compliance with, or 
enforcement of any rule, regulation, requirement, standard, or other 
provision established pursuant to, or in compliance with, section 3 of 
this Act shall be treated as lawful under the antitrust laws and any 
similar State provision having the force and effect of law.
(b) Antitrust Laws.--The term ``antitrust laws'' in sub-paragraph 
(a) has the meaning given such term in the 1st section of the Clayton 
Act (15 U.S.C. 12) and includes section 5 of the Federal Trade 
Commission Act (15 U.S.C. 45) to the extent that such section 5 applies 
to unfair methods of competition.
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