The Michael Jordans of Tomorrow Act.

SB 563, "The Michael Jordans of Tomorrow Act," allows North Carolina's public universities (specifically UNC system institutions) to directly compensate student-athletes for participation in intercollegiate sports, up to $20.5 million annually from athletic department revenue. It also creates a 50% tax credit for businesses that pay student-athletes for name/image/likeness (NIL) agreements, capped at $500,000 per business yearly. Universities must report all direct compensation payments to state committees annually and collaborate with the state to ensure compliance with federal and state laws. The bill aims to enhance North Carolina's competitiveness in recruiting athletes by modernizing NIL policies and providing state-level incentives.