Late last week, the fatigue but also relief was evident in the longtime college sports administrator’s voice. These people in power are neither hardliners nor revolutionaries. But when given the opportunity to anonymously discuss negotiations surrounding the high-profile case, they said the following about a potential House v. NCAA settlement: “I hope that we are finally on the verge of a new model for college athletics.”
That sums up the sentiment of many in college sports these days.
This spring, a shift in the atmosphere within the industry is coming to a head. After a long period of complaining and fighting about freedom of name, image and likeness and the changes brought about by the transfer portal, it appears… It shows …University leaders have reached a new stage in accepting the new normal and seeking practical and pragmatic solutions.
Evidence of this comes from the House’s efforts to settle the lawsuit. In this lawsuit, the plaintiffs seek damages to past athletes for lost profits in the years prior to NIL reform, as well as system changes that will benefit current and future athletes. The two sides have been discussing contract details, first reported and confirmed by ESPN. The AthleticThis would cost the NCAA and its schools billions of dollars and set up a new framework that would allow athletes to directly receive a portion of their schools’ revenue.
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The cuts could amount to about $20 million a year for all of the school’s athletes, including football, basketball, nonrevenue sports, men’s teams, and women’s teams, according to people briefed on the talks. . Schools participate in revenue sharing on an opt-in basis, allowing some schools to choose to pay less than the proposed maximum, half of the amount, or not at all.
This does not solve the transfer portal, NIL, and pay-for-play issues (assuming they even matter). However, in the administrator’s eyes, this is an important step because revenue sharing will have a domino effect on her NIL and possibly the portal. Schools that pay athletes directly can reduce donor fatigue. Another possibility is to use revenue sharing to persuade players not to transfer. And the willingness to even look at revenue sharing could actually be a step towards getting support from the government.
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In the past, the NCAA has been seen by some as trying to hold back athletes’ rights. Now, as one administrator said, an organization can go to Congress and say: See what we’ve done here, fixed some of these mistakes. Now, would you like to work with us?
To be clear, the House settlement is not a done deal. If the case is resolved, other details may be revealed. Plaintiffs’ attorney Jeffrey Kessler has not commented publicly since rumors of a near-settlement began. None of the university’s leaders are willing to discuss the record of this story. But conversations with people in the industry reveal how things got to this point and what’s left.
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For many, a settlement in the House lawsuit is a foregone conclusion. It was too risky to go to court with Kessler, who knows how to beat the NCAA. The NCAA lost control in the first place because of court losses, but the power brokers finally decided to be more pragmatic.
NCAA President Charlie Baker is seen as a positive force behind these moves, and there is talk among coaches and staff that certain changes Baker has advocated could soon become reality. It has become. The option is for schools to bring NIL member schools in-house and pay them directly. Players earn exclusive rights. The change would allow schools to supplement what athletes earn through revenue sharing, allowing them to pay athletes a certain amount of money if they appear on the cover of season tickets, for example.
When Baker was hired two years ago, the former Massachusetts governor was seen as a glorified lobbyist for Congress, which seemed like a fool’s errand. In fact, not a single bill has come close to becoming a reality. But Baker brought a new voice to the organization, proposing reforms and urging longtime university administrators to accept that the old days are not coming back.
According to multiple industry sources, members of the power conferences have indicated a willingness to get involved, as well as the two most powerful: The Big Ten and SEC may be the two richest conferences. But it was not the only driving force for reconciliation. University presidents have generally been the most reluctant, but as one official put it, there has been an “evolution of thinking” over the past year.
General turmoil was the driving factor, but recent events are moving us towards a tipping point.
• This college football offseason, the transfer portal has been busier than ever, with major players making moves and flashy reports about the money involved in those decisions.
• A West Virginia court struck down an NCAA rule that limited players to one-time free transfers and issued an injunction that said players could leave the organization after any number of years and could not miss a season.
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• NCAA investigation into Tennessee football regarding recruitment of quarterback Niko Iamareaba. The Tennessee attorney general successfully sought a temporary restraining order to prevent the NCAA from enforcing its own recruiting rules.
Another official said the final blow against the status quo was particularly helpful in mobilizing large numbers of people.
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Again, I want to be clear: we don’t have everyone yet. The House case could still go to court in December. Negotiations may break down over details. Issues that the settlement may not fully resolve, from how the new system fits with Title IX to whether capping revenue sharing could raise antitrust issues. Concerns remain.
However, the momentum is now in the direction of reconciliation. As one official said, some want to solve everything at once, while others say authorities need to do what they can and move on from there. And things seem to be heading there in the coming weeks.
Whether that means taking the drastic step of calling players employees, a potentially necessary step to regain control over transfers and other rules, remains a matter of great debate. But the ground has moved enough that many are talking more than just hushed tones about jobs, or at least collective agreements.
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A proposal released this week by Jason Stahl, who calls himself the president of the College Football Players Association, envisions athletes participating in collective bargaining as non-employees without restrictions on their economic rights. Once the House lawsuit is resolved and a new financial model is created, university power brokers can take the next step.
“I hope this proposal sparks a conversation about how college athletes can bargain collectively in the future,” Stahl said.
Staal is wary of the new organization’s overreach, including eliminating anything that could be seen as limiting the economic rights of collectives and athletes. But he is open to dialogue.
“We are willing to work toward a sustainable model for college athletics,” Stahl said. “We’re going to tame the chaos.”
Almost exactly three years ago, the U.S. Supreme Court issued a unanimous decision against the NCAA in the Allston case. Ten days later, the NIL Market opened to athletes from all over the country. Three years later, the NCAA and university power brokers are tired of the court defeat and the fallout from that loss. Those on the other side, lawyers, union organizers and reform-minded critics, seem largely ready to work on solutions.
Is it all a done deal? No, but things are tentatively moving in that direction.
(Photo: Adam Cairns/Columbus Dispatch/USA Today)
