College athletes and compensation - NIL, Alston v NCAA, etc 💰

Elizabeth Holmes Theranos GIF

clt says her business model was bigly better, what a joke

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Good article. Thanks for sharing.

I just have this gut feeling that at some point some universities are going to say we are out of this rat race.

It’s getting ridiculous.

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fergie GIF

clt says some people wanted NIL

clt asks about taxes. will student athletes :rofl: need to pay income tax where they play, similar to pro players?

They should. Right now they are getting the best of both worlds. At some point they either need to be signing contracts and treated as employees and taxed or commit to being students.

A post was merged into an existing topic: Daily musings and oddities :spiral_calendar:

Hard to share revenue when you are not profitable.

This would not apply to the vast majority of D1 and a big chunk of the FBS.

There will never be revenue sharing at a school that collects athletic fees from students to support athletics.

You can mark that down.

If any school tried it, it would be a race to who could go after them first, state law makers, lawyers representing students or the Feds. Yep the feds.

I can just see the class action lawsuit against schools in this scenario who receive federal loan aid.

This would apply to private schools as well.

Revenue sharing in any school that collects athletic fees would mean that federal loans are not just going towards athletic fees (that happens today) but actually into the pockets of student athletes.

That is not going to happen.

This will be the line in the sand.

This will be the point at which the breakaway happens.

And we will see how the small number of schools with actual positive cash flow without student fees likes playing only each other (going to miss those FCS and G5 wins!!!) and how they like actually having to balance a budget.

Coaching salaries will go down as well as admin salaries as the pie is split with the student athletes.

The gravy train will keep running, but won’t be quite as sweet for the coaches and AD employees.

This will also likely result in cuts in other sports down to basketball, football and enough women’s sports to meet title 9.

The entire colllege athletic infrastructure at the top level will be completely reshaped.

No more subsidizing of other sports by the revenue sports except for the bare minimum.

The revenue sharing schools will force the NCAA to draft new rules for them allowing this.

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The only way I see revenue sharing work is if the NCAA pools all the FBS media money and shares it’s amongst the FBS schools equally. We both know that isn’t going to happen though.

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Yes. These players are gonna get an education on what the IRS calls their money…when it was called cheating, these payments were under the table and below the IRS radar. Not anymore

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I agree there has to be an entirely new model designed to accommodate and ethically integrate NIL into college athletics. Maybe a NIl salary CAP? Luxury tax? Let the IRS regulate the big spenders/raiders

  1. Ban NIL collectives. No payrolling entire rosters.

  2. Replace with revenue sharing (TV, merchandising, licensing, etc) with the players as one pool, and distribute their share evenly at each division level. E.g., all FBS players get an equal cut. This is essentially the NFL model, but with more even sharing amongst the players.

  3. If you’re going to have individual player NILs to comply with court rulings, they must have a functional performance element - e.g. Player X does a commercial for your business.

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I think something has to be done to stabilize rosters as well. This basic every year free agency is crazy. Maybe something like if you take the media pool money you get locked in for 2 years at the school or something.

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Amazes me how these coaches, who at one point were probably at the G5 level, now want to do this when they know it’s not feasible for anyone not living on a P5 television contract. If they do revenue sharing I hope all of the players at the G5 level get together & sue ESPN & other networks involved for equal pay since they will ultimately be financing the payroll for the P5 to do this. The networks have pretty much chosen who are the haves & have nots with their conference building & destroying behind the scenes so I hope they are eventually held accountable.