Howard University (Howard) and one of its student-athletes Mori Diane, sought injunctive and declaratory relief in district court, alleging that their Constitutional rights had been abridged because certain members of the Howard soccer team, including Diane, were found by the National Collegiate Athletic Association (NCAA) to have participated in intercollegiate soccer competition and in two NCAA championships while ineligible under applicable NCAA rules; as a result, sanctions were imposed by the NCAA against Howard and, as mandated by NCAA rules, by Howard against Diane. District Court Judge Gerhard Gesell found that state action was prеsent, that the NCAA procedures invoked did not violate due process, and that while two challenged NCAA rules passed equal protection scrutiny, a third, the foreign-student rule, violated equal protection in that it created an unjustifiable alienage classification. Howard University v. NCAA,
I. Facts
Plaintiff-appellant Howard University is a private institution of higher learning. Plaintiff-appellant Mori Diane is a student at Howard and a member of its intercollegiate soccer team. Defendant-cross-appellant NCAA is a voluntary, unincorporated association of colleges, universities and other institutions of higher learning, of which aрproximately fifty percent are state- or federally-supported. Howard has been at all relevant times a member of this Association. A. 20-21.
The NCAA is governed by a large and detailed manual which has been made part of the record. A. 149-258. The manual contains the NCAA’s Constitution and By-laws, promulgated at the annual convention of members, and interpretations and executive actions arising from them. Between conventions, Association affairs are conducted by an eighteen-member Council, its executive committee and a paid staff. Investigators and staff attorneys interpret and enforce the largе body of NCAA rulings and precedents.
The NCAA’s basic purpose, contained in its constitution, includes initiating and stimulating intercollegiate athletic programs, encouraging member organizations “to adopt eligibility rules to comply with satisfactory standards of scholarship, sportsmanship and amateurism,” *215 and supervising the conduct of, and establishment of eligibility standards for, events promoted by the Association. NCAA Constitution art. II §§ 1(a), (c), (f), A. 151. To implement those goals, the Association has adopted extensive rules and regulations, including those under attack here. A prerequisite to an institution’s membership in the NCAA is adherence to and enforcement of these rules. All sanctions passed by the Association are imposed on its member institutions. NCAA Constitution, art. IV §§ 1, 2, A. 158.
Howard University finished third in the 1970 NCAA soccer championship and won the national championship in 1971. The Howard team consisted totally of alien student-athletes. In January, 1972, the NCAA staff received a letter attaching a Washington Post sports article and suggesting possible inquiry into the Howard soccer program. The article featured Keith Aqui, a star of the soccer team and a 25-year-old freshman at Howard. A. 27-28. Shortly thereafter, Warren S. Brown, Secretary of the NCAA’s Committee on Infractions, initiated an exchange of corrеspondence with Howard’s Director of Athletics Leo F. Miles, seeking eligibility information about Mr. Aqui and other members of the soccer team. A. 29-39. On June 9, 1972, Mr. Brown forwarded the matter to the Committee on Infractions which assigned a staff investigator to the case. A. 40.
On November 8, 1972, after receiving investigative reports, the Committee sent to Dr. James Cheek, President of Howard University, a notice of an “Official Inquiry” alleging violations of specified provisions of the NCAA Constitution, By-laws, and Executive Regulations, and directing interrogatories to the University concerning the allegations. Dr. Cheek was advised that the Committee on Infractions would meеt on December 19, 1972 and was invited to send a representative. A. 74-80. On November 17, 1972, Dr. Cheek responded by letter which designated Athletic Director Miles as Howard’s representative at the meeting. A. 83. On December 11th, Howard forwarded the requested responses to the Official Inquiry. A. 89-104.
At the December 19th meeting, the Committee reviewed evidence that Howard violated three NCAA rules. A. 114-19. In particular, evidence was offered that two student-athletes participated in the 1971 NCAA soccer championship in violation of the foreign student rule. That rule 1 operates against an alien student-athlete who prior to his matriculation аt a member institution participates after his nineteenth birthday as a representative of any team in a foreign country; for each year of such participation, the rule eliminates one year of his potential NCAA championship eligibility. Evidence also indicated that one student apparently violated the five-year rule 2 which dictates that a student-athlete’s five potential years to complete his athletic eligibility commences when he first enrolls at a collegiate institution. Further, information was introduced that three student-athletes had received athletic-related financial aid during their freshman year without having complied with the NCAA’s 1.600 rule. The 1.600 *216 rule 3 mandates that member institutions limit financial aid and freshmen eligibility to student-athletes who have predicted minimum grade point averages of at least 1.600 (based upon a 4.000 scale) as determined by NCAA-approved tables.
At the hearing, Howard participated in the discussion of the issues, presented evidence rebutting the allegation that one particular .student-athlete’s participation violated the 1.600 rule, and was invited to make a statement. After Howard’s representatives departed, the Committee reviewed the evidence and found Howard in violation оf the three NCAA rules. A. 114-19.
The Committee’s written report was forwarded by letter to Howard on December 22, 1972, which also indicated that the NCAA Governing Council would take up the matter on January 9th; Howard’s participation was again invited. A. 120-29. After hearing the report and a statement by Howard’s representatives, the Council adopted a resolution which found five violations by Howard of NCAA rules, including utilization of ineligible players during the 1970 and 1971 NCAA championships and imposed a one-year probation during which Howard’s soccer team would be ineligible for post-season competition. A. 133-36. Pursuant to NCAA Executive Regulation 2 — 3-(e), the Council infоrmed Howard that its third-place finish in the 1970 and its first-place finish in the 1971 soccer championship had been vacated and requested the return of the team trophies. A. 142.
In March, 1973, the University stated its refusal to comply with the NCAA’s request and its desire to press the issues in a “higher forum”. A. 144-45. Howard was informed that it could appeal the Council’s decision to a special NCAA convention called for August, 1973. A. 146-48. No such appeal was taken before the filing of this suit.
The case was tried to Judge Gesell on a partially stipulated record of NCAA documents and the NCAA proceedings recounted above. After hearing both testimony and argument, Judge Gesell found subject matter jurisdiction under 28 U.S.C. § 1331 (1970), holding that the NCAA’s activities constituted state action. The court upheld the five-year and 1.600 rules against an equal protection challenge, finding the rationale behind the rules to be both reasonable and nondiscriminatory. However, Judge Gesell found that the foreign-student rule violated equal protection in that it created an “explicit classification according to alienage and one that is, on balance, unjustified.” Finally, the court rejected the argument that the NCAA enforcement proceedings had denied plaintiffs-appellants due process. Although enjoining further enforcement of the foreign-student rule, the court’s decision, by upholding the other rules under attack, left undisturbed the sanctions imposed by the NCAA.
II. Jurisdiction — The Question of Governmental Action
The district court found subject-matter jurisdiction under 28 U.S.C. § 1331 (1970):
Under all of these circumstances, while Howard is not itself a governmental institution, its athletic affairs and related educational policies are affected by the concerted action of the many state and federal institutions that participate as NCAA members in *217 the promulgation and enforcement of the Association’s rules, regulations and procedures. This involvement by state and federal institutions is pervasive, and bеars directly upon the subject matter of the complaint. The actions of these institutions, in short, caused the alleged injuries. Thus, government action is clearly shown and the Court has jurisdiction. See Burton v. Wilmington Parking Authority,365 U.S. 715 ,81 S.Ct. 856 ,6 L.Ed.2d 45 (1961).
It is axiomatic that only governmental, not private action is subject to the constitutional restraints of the fifth and fourteenth amendments.
See, e. g.,
Moose Lodge No. 107 v. Irvis,
We recognized that we are not the first court, nor the first circuit court to confront the question of the applicability of constitutional restraints to the NCAA. The Ninth Circuit in Associated Students, Inc. v. NCAA,
Moreover, the affairs of ostensibly private organizations in several states which regulatе high school athletic programs and other extracurricular activities have consistently been found to constitute governmental action. While the first holdings involved cases alleging racial discrimination,
see, e. g.,
Louisiana High School Athletic Ass’n v. St. Augustine High School,
Against this considerable body of precedent, the NCAA relies heavily on the district court decision in McDonald v. NCAA,
The
McDonald
analysis contains, however, fatal flaws. While
St. Augustine
dealt with racial discrimination, the high school cases, as indicated above, now clearly extend constitutional scrutiny to the types of rules and regulations at issue here. As to the second point, the district judge misperceived the issue. It is undeniable that the NCAA, unlike the state athletic associations, is not the delegated body which is the substituted overseer of one particular state’s athletic program.
Compare
Terry v. Adams,
Approximately half of the NCAA’s 655 institutional members are state- or federally-supported. Since financial contribution to the NCAA is basеd upon institutional size, and since public universities generally have the largest student bodies, the public institutions provide the vast majority of the NCAA’s capital (the NCAA’s annual administrative budget at the time of the suit being $1.3 million). A.. 179, 343. Principal power in the Association lies with the Convention, which is made up of representatives of the member institutions. The Convention elects the governing Council and the NCAA’s principal officers, adopts and amends the constitution and by-laws, and reviews all Council and committee actions. As can be seen from this description, the state instrumentalities are a dominant force in determining NCAA policy and in dictating NCAA aсtions. That conclusion is buttressed by reference to the record before us which documents that both the President and Secretary-Treasurer were representatives of public instrumentalities and that state instrumentalities traditionally provided the majority of the members of the governing Council and the various committees. 11 A. 198-207. Thus, governmental *220 involvement, while not exclusive, is “significant”, and all NCAA actions appear “impregnated with a governmental character.” See Moose Lodge, supra; Evans v. Newton, supra.
The NCAA’s regulation and supervision over intercollegiate athletics is extensive and represents an immeasurably valuable service for its member institutions. The NCAA conducts championship events in most sports for the benefit of its member institutions.
12
The Association regulates the amateur status of student-athletes, sets financial aid policies, prescribes playing and practice seasons, fixes minimum academic standards, establishes standards for approved extra events and determines eligibility for intercollegiate competition and NCAA championships.
13
The NCAA also negotiates television contracts, the proceeds of which, $13,000,000 annually, flow directly to the participating schools, primarily the public universities. A. 343-46. The foregoing analysis indicates that the NCAA and its member public instrumentalitiеs are joined in a mutually beneficial relationship, and in fact may be fairly said to form the type of symbiotic relationship between public and private entities which triggers constitutional scrutiny.
See
Jackson v. Metropolitan Edison Co.,
If the NCAA was composed of solely public institutions, clearly state action would be present. In contrast, if the NCAA had no public members, its actions would be private for constitutional purposes. Drawing the line as to the requisite quantum of public participation to invoke fourteenth amendment protections is a difficult task indeed. However, that is unnecessary in this case where the degree of public participation and entanglement between the entities is substantial and pervasive. In light of this substantial participation, we must agree with the Fifth Circuit’s recent comment in
Parish:
“it would be strange doctrine indeed to hold that the states could avoid the restrictions placed upon them by the Constitution by banding together to form or to support a ‘private’ organization to which they have relinquished some portion of their governmental power.”
III. Constitutional Challenges
In district court appellants Howard and Diane argued that the three applicable NCAA rules denied them equal protection and that the NCAA proceedings which culminated in sanctions against appellant Howard infringed upon their due process rights. We turn first to the equal protection challenge.
The Supreme Court has most recently articulated the generally applicable equal protection standard in its unanimous decision in Reed v. Reed,
the Fourteenth Amendment does not deny to States the power to treat different classes of persons in different ways. ... A classification “must be reasonable, not arbitrary, and must rest upon some ground of difference having a fair and substantial relаtion to the object of the legislation, so that all persons similarly circumstanced shall be treated alike.” Royster Guano Co. v. Virginia,253 U.S. 412 , 415,40 S.Ct. 560 ,64 L.Ed. 989 (1920).
One student-athlete, Keith Aqui, was adjudged to have violated the five-
*221
year rule.
14
The district court found that the rule “is designed to compel the regular progression of athletes through a four-year college curriculum without unnecessary or material delay” and “is reasonable and fundamental to the Association’s objectives and in no way discriminates against aliens.”
The 1.600 rule applies only to championship events. Its objectives are,
inter alia,
to reduce the recruitment and exploitation of young athletes who are not representative of the institution’s student body and to limit athletic competition to actual
student-athletes.
O.I. 418 reads:
A student-athlete whо practices or participates while ineligible under the [1.600 rule] shall be charged with the loss of one year of practice and varsity eligibility by his institution for each year gained improperly, which shall be the next year the student is in attendance. A student-athlete who receives financial aid while ineligible for such aid . shall be declared permanently ineligible ... by his institution. The institution may appeal to the Council for a reduction of the ineligibility in either instance. The loss of eligibility may apply only at the institution involved in the violation.
A. 177. Appellants rely principally on the holding and reasoning of the district court opinion in Associated Students, Inc. v. NCAA, C. No. S-2754 (E.D.Cal. 1973), which opined that the rule as interpreted by O.I. 418 established an over-inclusive classification since it declares ineligible student-athletes who demonstrated by the conclusion of the first year that they had the ability to achieve academic success by actually earning at least 1.600 grade point average. However, since the filing of appellants’ brief, the Ninth Circuit rejected the district court’s reasoning and upheld the rule as interpreted as reasonably related to the objective behind it. Associated Students, Inc. v. NCAA,
supra,
We find the Ninth Circuit’s reasoning persuasive. One primary objective of thе rule is to prevent member schools from granting scholarships to individuals who do not have a realistic chance of obtaining a degree. To effectuate that objective, the eligibility determination obviously must be made at the time of the student’s application and certification. To adopt appellants’ theory would permit member institutions to recruit ineligible athletes with the hope (or expectation) that they might meet prediction standards after their first year in college and thus become eligible for athletics during the remainder of their college career. In order to prevent such a complete undermining of the rule’s legitimate objective, O.I. 418 requires ineligibility for an improperly certified athlete, regardless of his college academic record. A penalty need not be the best that might have been provided, but only reasonably related to the rule’s purpose. We think that the 1.600 rule, as interpreted by O.I. 418, meets that test.
Accord, id.;
Parish v. NCAA,
supra. See
*222
also
Schubert v. NCAA,
The district court did strike down the third rule at issue, the foreign-student rule. While it is somewhat unclear from the briefs and argument whether the NCAA places the correctness of that ruling in dispute here, we reach its merits and also find that the rule violates the equal protection guarantee. The rule clearly establishes an alienage classification, treating foreign student-athletes differently than American student-athletes, and thus must be subjected to close judicial scrutiny. In re Griffiths,
We must conclude that the NCAA has failed to meet its burden. The NCAA claims that the rule’s objective is to prevent older, foreign players from dominating championship competition because of age and experience. While the objective of preventing older players from dominating competition may be substantial, the classification as drawn results in an arbitrary discrimination against aliens. Under the rule, foreign student-athletes are penalized for activities (for example summer amateur participation) in which American athletes may freely compete. Thus, this suspect alienage classification as drawn cannot stand.
Turning to the due process question, we should first note our substantial doubts whether appellant Howard and especially appellant Diane have recognizable property interests subject to due process protections under the standards of Boаrd of Regents v. Roth,
In sum, we conclude that state action is present, that the five-year and 1.600 rules, but not the foreign-student rule, pass constitutional scrutiny, and that no due process violation has occurred. The judgment, therefore, is
Affirmed.
Notes
. The “Foreign-Student” Rule. Any participant in a National Collegiate Athletic Association event must meet all of the following requirements for eligibility .... He must not previously have engaged in three seasons of varsity competition aftеr his freshman year, it being understood that: . Participation as an individual or as a representative of any team whatever in a foreign country by an alien student-athlete in each twelve-month period after his nineteenth birthday and prior to his matriculation at a member institution shall count as one year of varsity competition. NCAA By-law 4-l(f)(2), A. 173.
. The “Five-Year” Rule. An institution shall not permit a student-athlete to represent it in intercollegiate athletic competition unless he meets the following requirements of eligibility: He must complete his seasons for participation within five calendar years from the beginning of the semester or quarter in which he first rеgistered at a collegiate institution. NCAA Constitution art. Ill § 9(a), A. 156.
. The “1.600 Rule". A member institution shall not be eligible to enter a team or individual competitors in an NCAA-sponsored meet, unless the institution in the conduct of all its intercollegiate athletic programs: (1) Limits its scholarship or grant-in-aid awards (for which the recipient’s athletic ability is considered in any degree), and eligibility for participation in athletics or in organized athletic practice sessions during the first year in residence to student-athletes who have predicted minimum grade point averages of at least 1.600 (based on a maximum of 4.000) as determined by the Association’s national prediction tables or Association-approved conference or institutional tables. . . . NCAA By-law 4-6(b)(1), A. 175.
. The state action requirement also arises in cases dealing with the “under color of state law” standard of 42 U.S.C. § 1983 (1970). The Supreme Court has indicated that the “under color of state law” requirement is equivalent to the constitutional state action standard, United States v. Price,
. The district court in Parish relied heavily on the high school line of cases, discussed infra and opined:
Although NCAA is a nationwide association, it does control public schools which are State agenciеs to the extent that the high school athletic associations control their respective members at least insofar as . regulations, sanctions, and discipline are concerned. Moreover, State funds are used by public schools to pay membership dues in this association.
. Moreover, the
Parish
court asserted that regulation of intercollegiate athletics was beyond the effective reach of any single state and that there was little doubt “that were the NCAA to disappear tomorrow, government would soon step in to fill the void.” Thus,' the NCAA by taking upon itself the role of coordinator and overseer of college athletics is performing a traditional governmental function.
The Seventh Circuit, in upholding the constitutionality of the “2.0 Rule”, which has superceded the “1.6 Rule” under attack here, did not reach the state action question. Schubert v. NCAA,
. Smith v. Southern Methodist University, CA-3-74-895B (N.D.Tex.1974) (unreported order); Buckton v. NCAA,
.
See also
Oklahoma High School Athletic Ass’n v. Bray,
.
See, e. g.,
Gilpin v. Kansas State High School Activities Ass’n, Inc.,
supra
note 8,
. It is because the question in this case is one of entanglement that the Supreme Court’s latest pronouncements on state action, Jackson v. Metropolitan Edison Co.,
. While, unlike in the high school cases, no particular state’s instrumentalities are able to control the association, it is clear that all NCAA actions are undertaken on the votes of public instrumentalities, and it would not overstate the practical situation to assert that no NCAA action could be taken by the Convention, Council, or any committee without the substantial support of the public instrumentalities.
. It is notable that many of these events take place at public university facilitiеs, where they are hosted by the public instrumentalities.
. Concededly, the NCAA’s regulation is not as all-embracing as some of the high school associations discussed previously. For example, the NCAA exercises no control over officials, does not involve itself in scheduling or classroom teaching assignments for coaches, and cannot prohibit member schools from competing with non-member schools. Nevertheless, the NCAA regulation is pervasive, and similar enough to the high school associations so that we feel that those cases must be given great weight in resolving the question before us.
. Howard also attaсks the rule’s application in this case. The NCAA found that because Mr. Aqui attended Mausica College, Trinidad in 1965, his eligibility had expired prior to the 1970 season. A. 134. Howard contends that Mausica does not fall within the scope of the “collegiate institution” portion of the five-year rule. However, we discern no reason to disturb the NCAA’s finding in light of appellant’s admissions in the record of the rule’s applicability to Aqui’s attendance at Mausica. See A. 35, 473-74.
. We note the NCAA’s representation that under the appeal authorized under O.I. 418, a student-athlete’s ineligibility is consistently reduced to a period equal to that which he participаted in athletics in violation of the rule. Appellant Diane apparently has had his period of ineligibility reduced in such a manner. See NCAA’s Br. at 46.
Since we uphold the rules, we need not decide whether in light of our finding of state action vis-a-vis the NCAA, the actions of a private university, Howard, taken against appellant Diane, that are triggered by its voluntary concurrence in the decisions of the NCAA also constitute state action.
See
Parish v. NCAA,
supra
note 4,
. Several courts have held that the privilege of participating in athletics must be deemed to fall outside the protection of due process.
See, e. g.,
Parish v. NCAA,
supra
note 4; Mitchell v. Louisiana High School Athletic Ass’n,
