Pay-to-play has been one of the most controversial and talked-about topics in college sports, and now it may be on its way.
This seems entirely out of the norm for the NCAA, which has historically taken steps to prevent college athletes from being paid before bowing under pressure in recent years to allow them to profit from the name, image and resemblance without direct involvement of the school.
According to multiple reports Tuesday, NCAA President Charlie Baker is set to introduce a new Division I proposal this week that would give programs more freedom in creating policies and allow athletes to be paid directly. .
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Proposed collegiate sports subdivision
Letter from Baker sent to Division I members included a new “prospective framework” that would allow schools to join or opt out of a new subdivision, although they would be required to adhere to a strict standard for investing in athletes.
Members of the new subdivision would be able to enter into NIL agreements with their own athletes, which is a bit of a departure from the current structure.
Schools will also be able to directly compensate athletes through a trust fund. Schools in the new subdivision would also be required to “distribute thousands of dollars in additional education-related funds, without limitation,” according to the original Yahoo Sports report. There is no cap on funds.
“This kicks off a long-overdue conversation among members that focuses on the differences that exist between schools, conferences and divisions and how to create more permissive and flexible rules within the NCAA that prioritize to student-athletes,” Baker wrote in the letter. “Colleges and universities need to be more flexible, and the NCAA needs to be as well.”
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How the new NCAA subdivision will work
To enter the subdivision, a school must invest $30,000 per year per athlete in what is called an “enhanced educational trust fund” for at least half of a school’s countable athletes.
For four-year athletes, this will total no less than $120,000. The school determines when athletes receive the amount. Title IX also comes into play, since 50 percent of the investment must go to female athletes.
Schools in the new subdivision would also have autonomy regarding matters relating to scholarship limits and countable coaches.
Programs from the two Division I subdivisions would compete for NCAA championships in most sports, although FBS football would be excluded. This will all always remain within the framework of the College Football Playoff.
According to Nicole Auerbach of The Athletic, every school would have to adhere to the new subdivision, although a conference could require league-wide adoption. This would not be limited to existing power conference schools; any Division I school willing to invest could join the new subdivision.
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What the new NCAA subdivision means for college athletics
Simply put, what is being set in motion is to begin a conversation about serious change regarding one of the most important and polarizing topics in college sports. However, this will be a very costly investment for athletic departments. The most notable change is that schools would be allowed to directly enter into an NIL agreement with their own athlete, which is currently not permitted.
Schools have the option to purchase the NIL rights of their own student-athletes, although the trust fund is a different concept in itself.
It is also believed that moving forward with a model like this could help avoid some of the legal challenges surrounding NIL, which have been constant throughout its existence.
