Closing Bell

U.S. Sens. Ted Cruz (R-Texas) and Maria Cantwell (D-Wash.) reached an agreement on Wednesday on “landmark bipartisan legislation to regulate college athletics.” The comprehensive bill, reached after more than two months of negotiations, would grant the NCAA its “long-sought antitrust exemption related to athlete transfers, eligibility and the compensation cap.” The bill, called the Protect College Sports Act, “precludes the creation of a so-called ‘super league’; creates an agent registry limiting fees to 5%; permits the pooling of media rights; and bars coaches from leaving their team before the season ends.” The bill “remains mostly neutral on athlete employment, leaving open as a possibility for athletes to eventually be deemed employees or/and collectively bargain.” Here are some other highlights of the bill:

• Administrators will be able to enforce policies related to movement by “permitting only one transfer before a player must miss a season of eligibility.” Further transfers are “permitted under certain conditions.”
• College athletes will have five years of eligibility and pro athletes will be prohibited from “participating in college sports if they earned compensation in their pro careers beyond prize money.”
• Portions of the House settlement will be codified by “granting legal protection to the NCAA and College Sports Commission to enforce strict standards in prohibiting third-party NIL deals.” This grants the CSC a path to enforce cap policies “without the threat of legal challenges.” Cantwell said that conferences will be allowed to “increase the cap” (YAHOO SPORTS, 5/27).

The bill looks “very much like a ‘best of’ pair of legislative proposals -- one called SCORE, another called SAFE" (AP, 5/27). The Cruz and Cantwell effort “may have the best chance of passing as any effort” by Congress to create change in college sports “to date” (ESPN.com, 5/27).

Reps. Tim Walberg (R-Mich.), the Chair of the House Education Committee, and Brett Guthrie (R-Ky.), the Chair of the House Energy and Commerce Committee issued a statement on the bill, saying, “Any lasting framework must confront the central issue that continues to cast uncertainty over the future of college sports: whether student-athletes will ultimately be treated as employees. Congress cannot deliver real stability, consistency, or certainty to schools, conferences, and student-athletes while leaving that question unresolved.” They added, “Without addressing employment, smaller universities along with women’s and Olympic programs may face massive financial burdens and be forced to cut programs and scholarships. ... We are concerned this may inadvertently further destabilize college athletics” (X, 5/27).

Sen. Chris Murphy (D-Conn.) reacted to the bill on X, writing its “primary effect seems to be to limit the compensation of athletes while protecting the huge salaries of all the adults - coaches, ADs, sports industry executives.” Murphy: “Sure, there are some good things for players in this bill, but this seems like a great deal for the NCAA and the rich guys who run college sports, and a bad deal for athletes” (X, 5/27).

The MLB Players’ Association made its initial proposal in CBA talks Wednesday, stating that it would result in increased revenue sharing that would guarantee every small-market team with a minimum of $240M in revenue annually.

Other key components of the proposal included a minimum salary of $1.5M starting in 2027, the elimination of the qualifying offer, free agency for players with five or more years of service time who have reached age-30, and an increase in luxury tax thresholds (to $300M from $244M).

The union says the $240M in minimum revenue sharing would come with stipulations that those funds be utilized to improve on-field performance, with those teams having payrolls of at least $150M. As a result, the union says “clubs will be able to keep more of the stadium-related revenues they generate; tens of millions in extra revenue sharing will go to low-revenue clubs that qualify for the playoffs or have a winning record; significantly increased sharing of local media revenues from high to low revenue teams.”

Additionally, there would be “penalties for clubs that neglect to spend revenue sharing payments on team payroll.”

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N.Y. Attorney General Letitia James and New Jersey Attorney General Jennifer Davenport on Wednesday “issued subpoenas” to FIFA, compelling the organization to “disclose how it arrived at the unprecedented ticket prices” for this summer’s World Cup. The investigation will also “look at other FIFA ticketing practices after fans reported being misled about seat locations and ticket categories.” Investigators have “zeroed in on the eight matches, including the final” that will be held at MetLife Stadium in East Rutherford, N.J. They are also “looking at potentially problematic tactics around the changing of ticket categories” (WALL STREET JOURNAL, 5/27).

The offices of James and Davenport said they were getting “investigatory support from the New York City Department of Consumer and Worker Protection (DCWP)” as they subpoenaed information from FIFA. The investigation is the “latest twist in a monthslong ticketing saga that has colored the buildup to this World Cup.” The attorneys general did not put a timeline on the investigation. Given the possibility that FIFA “could challenge the subpoenas, it’s unlikely that they will get a response before the World Cup kicks off on June 11” (THE ATHLETIC, 5/27).

U.S. District Judge Pamela Chen on Wednesday agreed to dismiss charges against former Fox International Channels CEO Hernan Lopez and Full Play Group SA in a “corruption case related to TV rights for international soccer tournaments.” Chen accepted an explanation provided by U.S. Attorney Joseph Nocella Jr. that the prosecution of Lopez “‘doesn’t fit within’ the Trump administration’s prosecutorial priorities.” Lopez told reporters that he was “relieved that ‘a case that never should have started is finally over.’” Lopez and the sports media company in 2023 were convicted in a trial in N.Y. of “paying tens of millions of dollars in bribes to nab broadcasting rights to the World Cup and other top soccer matches.” But they were “subsequently granted an acquittal by Chen.” Chen during Wednesday’s hearing said that she was “not basing her decision to dismiss the indictment ‘in any way’ on her prior decision granting the acquittal” (AP, 5/27).

NWSL club San Diego Wave FC has named Premier League club Leeds United Chief Business Officer Morrie Eisenberg CEO, effective August 2026. Eisenberg also currently serves as Board Trustee for the Leeds United Foundation and as senior advisor to Leeds owner 49ers Enterprises (San Diego Wave). Eisenberg arrived at Leeds in October 2023, where he was “tasked with input into the Elland Road redevelopment plan, commercial revenue streams and business operations” (YORKSHIRE EVENING POST, 5/27).

Alpine F1 Team has entered into a title sponsorship with Gucci, with the team racing as “Gucci Racing Alpine Formula One Team” beginning with the 2027 FIA F1 World Championship. The team also will compete in the brand’s colors. The collaboration introduces Gucci Racing, a new business and experiential platform featuring a dedicated logo featuring the brand’s interlocking “G” alongside the Gucci Racing wordmark (Alpine Racing).

The sponsorship follows the conclusion of Alpine F1’s deal with current title sponsor BWT. The multiyear deal with Gucci makes Alpine the latest F1 team to agree to a new title sponsorship in the championship’s new era, after McLaren appointed Mastercard as its title partner for the 2026 season (MOTORSPORT, 5/27).

Alpine F1 partnering with Gucci is a “significant deal” as Gucci becomes the “first luxury fashion house to take title sponsorship of an F1 team.” But Gucci could be “just the first of a few luxury fashion brands to become a title sponsor over the next few years” (THE ATHLETIC, 5/27).

A new premium seating experience is coming to Reliant Stadium, designed for both Texans games and the Houston Livestock Show and Rodeo and located within the club level. The new offering will debut as H-Town Loge for the 2026 Texans season. For the 2027 rodeo season, the same experience will transform into Heritage Club. Each section is designed for groups of four or eight, featuring lounge-style seating (Texans). Texans CRO Scott Shepherd said that there will be “fewer than 20 loge boxes available for Texans games and RodeoHouston events.” Construction on the new seating options will begin after FIFA moves out of Reliant Stadium following the World Cup. The investment in more premium options for fans at the stadium comes as the Texans have “introduced other ultra-premium experiences at the venue for the 2026 season,” including the BMW Lone Star Ballroom and BMW M Club Blue (HOUSTON BUSINESS JOURNAL, 5/27).

Premier League club Manchester United’s financial results revealed an operating profit of nearly £40M (US$54M) for the nine months to March 31. The club turned a profit of almost £37.7M (US$51M) for the period in question, up from a loss of £3.2M (US$4.3M) in the “corresponding timeframe nine months a year ago.” The club said that cost-cutting measures introduced by co-owner Jim Ratcliffe and the board, along with improved Premier League performances have “helped grow revenue.” ManU have increased their revenue guidance from up to £660M (US$886M) to £665M (US$893M) since their Q2 results, with EBITDA rising from a maximum of £200M (US$269M) to £210M ($282M). ManU also confirmed firing former coach Ruben Amorim and his staff “cost the thick end” of almost £16.7M (US$22.4M) (MANCHESTER EVENING NEWS, 5/27).

For Q3, the club’s broadcast revenue increased by 57.1% to £64.9M (US$87.1M). While matchday and broadcast revenue have “remained strong,” sponsorship income saw a 9.4% dip over the last quarter, falling to £38.5M (US$51.7M). This was “primarily due to the expiration of the club’s training kit deal with Tezos” (GOAL, 5/27). The club’s return to the Champions League is also “expected to boost revenue next fiscal year” as they “benefit from lucrative broadcast rights and new sponsorship deals” (REUTERS, 5/27).

Pat McAfee announced that his show will be debuting a “State of the Union of sorts,” with NBA Commissioner Adam Silver, MLB Commissioner Rob Manfred, MLS Commissioner Don Garber, WNBA Commissioner Cathy Engelbert and UFC CEO & President Dana White joining “The Pat McAfee Show” tonight at 7pm ET. McAfee noted there will be surprise guests as well. He said this window was “supposed to be” the Cavaliers-Knicks Eastern Conference Finals Game 5, but Cleveland was swept. He said networks “don’t want sweeps,” and now “not only have they got to fill time, but also there’s a lot of advertising in Game 5, Game 7″ (“The Pat McAfee Show, ESPN, 5/27).