STAND. COM. REP. NO. 1268-26

Honolulu, Hawaii

, 2026

RE: S.B. No. 3263

S.D. 2

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Higher Education, to which was referred S.B. No. 3263, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO THE UNIVERSITY OF HAWAII,"

begs leave to report as follows:

The purpose of this measure to establish the Name, Image, and Likeness Endowment Trust Fund, to be administered by the University of Hawaii, to compensate student athletes through a Name, Image, and Likeness Program.

Your Committee received testimony in support of this measure from the Department of Athletics at the University of Hawaiʻi at Mānoa; Hawaii Ironworkers Stabilization Fund; and four individuals. Your Committee received testimony in opposition to this measure from the Grassroot Institute of Hawaii.

Your Committee finds that creating a long-term, sustainable revenue stream for name, image, and likeness compensation is essential to help the University of Hawaii recruit and retain elite student athletes; however your Committee notes that concerns have been raised that the endowment trust fund established by this measure will never be able to generate enough funding to keep the University of Hawaii competitive with the athletic departments of their common opponents and universities of a similar size.

Your Committee further finds that the changing landscape of collegiate athletics requires a modern, flexible framework to protect student-athletes, ensure compliance with the National Collegiate Athletic Association rules, and promote transparency and accountability.

Your Committee also finds that the H.B. No 2384, H.D.2 (Regular Session of 2026), a measure that also addresses student athlete compensation for the use of their name, image, and likeness was previously passed by the House.

Accordingly, your Committee has amended this measure by:

(1) Deleting its contents and inserting the contents of H.B. 2384, H.D. 2, a measure that:

(A) Affirms student-athletes' rights to engage in name, image, and likeness activities for compensation;

(B) Requires the University of Hawaii to adopt policies governing institutional name, image, and likeness agreements and other aspects of such activity;

(C) Establishes certain transparency and accountability requirements in the administration of institutional name, image, and likeness activities;

(D) Provides protections and educational support for student-athletes who enter into name, image, and likeness agreements;

(E) Appropriates funds; and

(F) Sunsets on June 30, 2030;

(2) Removing the appropriation; and

(3) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Higher Education that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3263, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 3263, S.D. 2, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committee on Higher Education,

____________________________

ANDREW TAKUYA GARRETT, Chair