Post by calihanmole on Apr 18, 2024 11:09:54 GMT -5
I’m not sure if the future will allow any school to play the NIL game without direct management from ADs and the universities themselves. Look at this law making headlines today in Virginia that makes it illegal for the NCAA to prevent schools themselves from paying athletes directly. I think this law will hold up and be adopted by every other state.
Once that happens, the schools will truly be, as Commish says, minor leagues with no salary caps. Small schools will never be able to compete with big schools when it comes to cold hard cash. Not saying this means small schools throw in the towel and just fold. But they will lose players who outperform expectations EVERY SINGLE TIME. if a small school has an NIL package of $20,000 but then Flasghip U offers $200,000 and nicer facilities, living arrangements, etc. every 19 year old is taking the better offer. And why shouldn’t they?
The ethical and legal issues surrounding this are fascinating. If the Virginia law holds, can a university directly raise money for the fund that pays their student athletes? Donors get a tax deduction because of the school’s nonprofit status. And the schools just hand that money, in some cases a LOT of money, to student athletes as “salary” or “stipend” or “NIL compensation.” I guess that’s not much different than donors endowing coaching positions at schools, which has proliferated. Still, I wonder if policy makers will consider changes.
Once that happens, the schools will truly be, as Commish says, minor leagues with no salary caps. Small schools will never be able to compete with big schools when it comes to cold hard cash. Not saying this means small schools throw in the towel and just fold. But they will lose players who outperform expectations EVERY SINGLE TIME. if a small school has an NIL package of $20,000 but then Flasghip U offers $200,000 and nicer facilities, living arrangements, etc. every 19 year old is taking the better offer. And why shouldn’t they?
The ethical and legal issues surrounding this are fascinating. If the Virginia law holds, can a university directly raise money for the fund that pays their student athletes? Donors get a tax deduction because of the school’s nonprofit status. And the schools just hand that money, in some cases a LOT of money, to student athletes as “salary” or “stipend” or “NIL compensation.” I guess that’s not much different than donors endowing coaching positions at schools, which has proliferated. Still, I wonder if policy makers will consider changes.