Two NIL Bills at the Capitol: What UH Fans Need to Know

Two major bills at the Hawaiʻi State Capitol could significantly impact how University of Hawaiʻi student-athletes are compensated for their name, image, and likeness (NIL). While both bills deal with NIL, they take very different approaches — and understanding the difference matters for the future of UH athletics.

Here’s a simple breakdown of what each bill does, followed by a look at the pros and cons.

HB2384: Setting the Rules for NIL at UH

What it is:
HB2384 creates a statewide NIL framework for the University of Hawaiʻi. Instead of focusing on how much money athletes are paid, this bill focuses on rules, protections, transparency, and oversight.

What HB2384 does:

• Confirms that UH student-athletes can earn money from NIL activities

• Ensures NIL compensation does not affect scholarships or eligibility

• Requires UH to adopt clear NIL policies

• Provides education for athletes on contracts, taxes, and finances

• Protects athletes’ privacy by reporting NIL activity in aggregate, not by name

• Requires UH to consider Title IX when administering NIL programs

• Allows both third-party NIL deals and institutional agreements

• Includes a sunset date of 2030, meaning lawmakers will review it before making it permanent

Why it matters:
HB2384 is about getting NIL right before going all-in financially. It gives UH flexibility as college sports continue to change, while putting guardrails in place to protect student-athletes.

SB3263: Creating an NIL Endowment Fund

What it is:
SB3263 creates a permanent NIL endowment fund to directly pay UH student-athletes through a university-run program.

How the money works:

• Requires a minimum $10 million endowment

• The State would contribute $5 million

• UH must raise $5 million to match it

• The $10 million principal cannot be spent

• Only investment earnings (typically ~4–5% per year) can be used to pay athletes

What that means in real terms:

• A $10M endowment would likely generate about $400,000–$500,000 per year

• That amount would be spread across all participating athletes and sports

Other key points:

• Athletes paid through the fund must use a registered agent

• UH must publicly report which athletes are paid and how much

• If UH ever leaves Division I athletics, the entire fund reverts to the state

• The bill has no sunset date — it’s permanent

Why it matters:
SB3263 prioritizes long-term funding stability, but limits how much money athletes can receive each year and requires significant fundraising by UH.

Comparing the Two: Pros and Cons

HB2384 — Pros

• Protects student-athletes and their privacy

• Flexible and adaptable to future NIL changes

• Allows third-party NIL opportunities

• Strong Title IX emphasis

• Temporary, with built-in legislative review

HB2384 — Cons

• Does not create a guaranteed funding source

• Leaves NIL compensation levels largely up to the market

SB3263 — Pros

• Creates a permanent NIL funding structure

• Provides predictable, long-term funding

• Strong public transparency and accountability

SB3263 — Cons

• UH must raise millions in matching funds

• Most of the money is locked away and cannot be spent

• Annual payouts may be small compared to modern NIL expectations

• Public disclosure of individual athlete payments raises privacy concerns

• Little flexibility if NIL rules change nationally

The Big Picture for UH Fans

At its core, this is a debate about approach.

• HB2384 focuses on rules, protections, and flexibility first

• SB3263 focuses on building a long-term funding engine, even if short-term payouts are limited

As NIL continues to evolve nationwide, these decisions could shape the future of UH athletics for years to come.

Upcoming Hearing on HB2384 — Get Involved

House Bill 2384, the measure that establishes a statewide framework for name, image, and likeness (NIL) activity at the University of Hawaiʻi, is scheduled for a public hearing before the House Higher Education Committee.

This is a key opportunity for UH fans, student-athletes, coaches, and community members to listen in, offer testimony, or simply stay informed about how NIL policy could evolve in Hawaiʻi.

Hearing Date: Wednesday, February 11, 2026
Time: 2:30 p.m. HT
Location: Bachman Hall, University of Hawai’i at Mānoa OR via video conference HERE
Committee: House of Representatives Committee on Higher Education (HED)

How to Participate in the HB2384 Hearing

• Visit the official hearing notice page: HB 2384 RELATING TO STUDENT-ATHLETE COMPENSATION

• Click “Submit Testimony”

• Select HB2384

• Choose “Support”, “Oppose”, or “Comments Only”

• Write a short message (even a few sentences helps)

• Submit before the posted deadline

Tip: You don’t need to be an expert. Saying why NIL protections and transparency matter to you as a UH fan is enough.

Option 2: Watch or Attend the Hearing