[quote=“49RFootballNow, post:1, topic:23260”]…So the questions are:
- Are college athletics programs for profit corporations that are legally separate in financial matters from their host publicly financed institutions?[/quote]
No. You don’t see athletics departments incorporating themselves. If they do, raises tax concerns. Now if you meant are they for-profit “institutions,” then the answer is still know. The Athletic Director, or shareholders, or alumni, etc. do not take home the profits. It goes back to the people (although not in a “Salvation Army” type of way as we think of it).
To put it into perspective, there are porn sites that are “not for-profit.” Nobody specifically is profiting, it is for the public (in some perverse way).
2) If they are for profit corporations, then would the BCS and/or proposed split be a monopoly and subject to federal anti-trust regulations?
It really does not matter if for profit or not for profit, the US Antitrust Law typically does not differentiate between the two. But you do get more leniency if you are not for profit.
3) If they are not considered separate from their not for profit host institutions, then can they legally benefit from taxpayer money while seeking to harm other publicly funded institutions (ex: tax exemptions for athletic donations, state funds for athletics in some states)?
Actual harm would be nearly impossible to show. The whole but for them there would be this argument is tough. Thus, would have to show influence through market share and the danger of harm. Alot would ride on defining the market and thus the market share. Is it just college sports? Pro sports too? All primetime or Saturday television and radio? Other ticketed events? etc.
4) If they are non profit publicly funded institutions than can they legally participate in a for profit corporation like the BCS if said institution is declared a monopoly under federal law?
If BCS is a monopoly deemed by the Federal Courts, it would no longer exist. It would be broken up. Once you get that ruling, it is the kiss of death on your business, so in short, no. But if BCS is not a monopoly, the Girl Scouts align with cookie manufaturer who has a stranglehold on making Girl Scout cookies. Non profits deal with For Profits all the time. Remember the fund raisers from Elementary School?
The overly simplistic answer I tend to get to this is that they are not trying to kill non-BCS athletics and that our government has better things to do. I think protecting public institutions from having their investments nullified by other public institutions out for greed is something that the Fed Gov needs to handle, considering the billions in taxpayer dollars at both the federal and state levels that these institutions benefit from.
Non-profits compete for the same dollars all the time. Just a fact. United Way gets more donations because people know it and it’s bigger, than say, the Celiac Foundation of Los Angeles.
I really don’t think anything will become of this. It’s just something to get people passionate about voting. To try to force subjugation on non-profits means you want the Government to have an active hand in distributing funds.
Just remember that Antitrust Law is the one section of law that goes against our National Structure. It’s a very socialistic idea, and therefore is entered into with trepidation by the Government.