When nationwide college athletes are expecting a payout and for the first time, Kentucky colleges will directly pay their sports stars if Kentucky lawmakers act.

Our June Lefler details.

Last year, student athletes and the NCAA reached a settlement in a national class action lawsuit.

That's prompting new legislation in Frankfort and the recent House versus NCAA lawsuit has introduced potential changes that could reshape student athlete compensation.

A proposed $2.576 billion federal settlement is expected to be finalized by April 7th, 2025, which may allow universities to directly compensate student athletes something not previously covered in our initial framework.

Senate Bill three is Kentucky's answer to meet the new name, image and likeness rights of student athletes, often called nil for short.

University of Louisville and University of Kentucky's athletic directors supported.

This will give us the ability to arrange, and help get, relationships with sponsors and those folks, with our former student athletes and folks who may want to use their name and their image and their likeness of our young people, so it allows us to legally comply.

The way that the statute was and the bill was originally, we would be able to compliance and not be able to do some of the things that the the new settlement is asking us to do.

The Senate Education Committee unanimously advanced Senate Bill three and now heads to the full Senate.

Lawmakers ask how this might change the game, like team rosters.

Maybe we can get away from some of this portal hopping that continues all the time.

Would that be something you could speak to?

Are you comfortable speaking to that?

Because I would love to see us get away from this.

This constant movement that doesn't support continuity at all.

Your thoughts we had for a large majority of years, probably 50 years.

We had the NCAA and this is how it was structured.

And and quite honestly, institutions and the NCAA had a large majority of the power.

And then with the approval of name, image and likeness that that pendulum swung over here.

And student athletes have a lot of power now.

And so that, hey, if there's something there where it's like, hey, this just isn't the right place for me.

This isn't the right coach or the right institution, then I do have the ability to transfer.

But getting away from essentially using the portal as a leverage to increase their value, that's, you know, that's not what this was intended for in this new landscape.

Universities can allocate up to $20 million a year to compensate their players.

How will they divvy it up, and which Kentucky sports stars will get some of that money is up in the air with reporting from Maya Brown.

I'm June Lefler for Kentucky Edition.

Thank you.

June and Maya and the Senate Bill three on nil is expected to get a Senate floor vote on Tuesday.