Your statements are correct. Just that there were no rules broken. A rider may race collegiate with only a collegiate license and many do.
As you are a USAC official - email
rshafer@usacycling.org and ask him.
This is a red herring that turned a post about how to ride track right to rules. So as too rules here is one:
For collegiate nats, is this allowed to race in? (photo cred - USA Cycling)