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NCAA proposes NIL CAP at $23.1 million

7,231 Views | 51 Replies | Last: 1 mo ago by Faustus
AggieDruggist89
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for a final approval this april.

Does it level the playing field?

Absolutely not. It just goes back to the old "cheating" ways in addition to the NIL money.

This helps the old cheaters and the NCAA. Nothing more. NCAA can now go and grasp back some old power of recruiting violation investigations. And tu likes will get a way and we will get caught.
BCR
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What's the coaching salary cap going to be?
ElephantRider
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There's no way to control it. Can't put the toothpaste back in the tube
The Banned
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This totally defeats what "NIL" is. Name. Image. Likeness. The NCAA doesn't get to control how much someone makes off of their name, their image or their likeness when a 3rd party wants to pay for it.

This would be like the NBA telling Nike how much they're allowed to pay LeBron. Sure, the NBA can make sure no LA Lakers gear is in the commercial, but that's about it.
TxAg76
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Just means the bagmen go back to working behind the curtain, that's all.
bigjag19
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No different than a cap in other sports. A team can still elect to pay 1 player 20 million just has a small pool for the rest.
TX_Aggie37
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The lack of foresight by the folks in charge over the last couple years has been absolutely laughable. How anybody could have thought that opening the NIL door wouldn't have resulted in mass chaos is beyond me.

I don't even care that much, it's just comical how bad they screwed it up. Something had to be done, but what a massive cluster it's become.
jefe95
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So what's the payroll for Tex and osu?

25mm each?

Best teams money can buy?
the most cool guy
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The Banned said:

This totally defeats what "NIL" is. Name. Image. Likeness. The NCAA doesn't get to control how much someone makes off of their name, their image or their likeness when a 3rd party wants to pay for it.

This would be like the NBA telling Nike how much they're allowed to pay LeBron. Sure, the NBA can make sure no LA Lakers gear is in the commercial, but that's about it.

Exactly. Once you get away from the amateur model, you can't go back, even part way. The idea that an adult football player's compensation for the value of his own name, image, and likeness should be capped simply because he happens to be in college doesn't work.

OP, are you sure this is actual NIL and not revenue sharing by the university? I don't think the NCAA would try to cap NIL after the last few years of losing every lawsuit over it.

The only possible way to make it work would be that every player signs an express contract capping their NIL value during their college eligibility and agreeing that the college football program they play for has full authority to allocate whatever value to their name, image, and likeness it deems appropriate during the limited time they're in college.

But if you're making every single player sign that contract just to participate, you run into anti-trust problems again.
one safe place
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Too late for that. We are in the days of hired mercenaries now, pay for play.
The Banned
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bigjag19 said:

No different than a cap in other sports. A team can still elect to pay 1 player 20 million just has a small pool for the rest.


That cap is based off of revenue sharing from the team and the league. There are no caps on endorsements. NIL is endorsements. You can't cap it and still call it NIL. Players can and will continue to receive offers to move to a new school with money that comes from outside of that 23 million
The Banned
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the most cool guy said:

The Banned said:

This totally defeats what "NIL" is. Name. Image. Likeness. The NCAA doesn't get to control how much someone makes off of their name, their image or their likeness when a 3rd party wants to pay for it.

This would be like the NBA telling Nike how much they're allowed to pay LeBron. Sure, the NBA can make sure no LA Lakers gear is in the commercial, but that's about it.

Exactly. Once you get away from the amateur model, you can't go back, even part way. The idea that an adult football player's compensation for the value of his own name, image, and likeness should be capped simply because he happens to be in college doesn't work.

OP, are you sure this is actual NIL and not revenue sharing by the university? I don't think the NCAA would try to cap NIL after the last few years of losing every lawsuit over it.

The only possible way to make it work would be that every player signs an express contract capping their NIL value during their college eligibility and agreeing that the college football program they play for has full authority to allocate whatever value to their name, image, and likeness it deems appropriate during the limited time they're in college.

But if you're making every single player sign that contract just to participate update, you run into anti-trust problems again.


Your last paragraph is spot on. It simply cannot happen again. And it shouldn't happen again. I hate what is happening to CFB, but if me holding on to the sport I loved means that these kids were not able to profit off of their own name, image or likeliness just so fans can be happy, it isn't worth it.

CFB will not go back to what it was and people need to adjust accordingly
the most cool guy
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bigjag19 said:

No different than a cap in other sports. A team can still elect to pay 1 player 20 million just has a small pool for the rest.
Uh no, it's completely different. In other sports, the cap is on on the total salary that can be paid by the franchise as a salary. There is no cap on third parties (Nike, Gatorade, State Farm, etc.) paying players millions of dollar for the use of their name, image, and likeness. You can't cap that unless you force every single college football player to sign away the rights to their own name, image, and likeness for 3-5 years, but that's a major anti-trust issue.
AWP 97
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bigjag19 said:

No different than a cap in other sports. A team can still elect to pay 1 player 20 million just has a small pool for the rest.


It's no different as long as players can still sign NIL deals outside of what the schools pay them. I.e., like professional athletes' endorsement deals outside of their league's salary cap.
Philip J Fry
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Not constitutional. The NFL doesn't get to tell Nike that they can't pay a players millions to wear their shoes. No way this holds up. Eventually, these college kids will make more money than professionals do.
Logos Stick
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No limit.
greg.w.h
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AggieDruggist89 said:

for a final approval this april.

Does it level the playing field?

Absolutely not. It just goes back to the old "cheating" ways in addition to the NIL money.

This helps the old cheaters and the NCAA. Nothing more. NCAA can now go and grasp back some old power of recruiting violation investigations. And tu likes will get a way and we will get caught.
That is for school use of NIL in marketing and aligns with the $2+ billion in back pay to former football and men's basketball athletes from 2016 to time of filing adjusted. Judge in House specifically did not want to limit external NIL but accepted a narrow definition of those associated with the university to regulate their NIL funding. None of this is durable without collective bargaining agreement which is what the NCAA and member institutions tried to buy with th back payment and escalating forward payments.

External NIL is between a sponsor and an athlete and should not be allowed to include any form of performance pay. The value of the individual for NIL is his performance on the field and his influence. Good influencers are paid more for external NIL based on followers/reach.
BMX Bandit
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This "cap" will only be on money paid directly by the schools to players.

It is not a cap on the revenue that any player or all players can make from NIL.


Thread title is very fake news
jrgypsum
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This is legit comment.

NCAA is trying to hold onto a role they not suited for.
AggieDruggist89
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the most cool guy said:

The Banned said:

This totally defeats what "NIL" is. Name. Image. Likeness. The NCAA doesn't get to control how much someone makes off of their name, their image or their likeness when a 3rd party wants to pay for it.

This would be like the NBA telling Nike how much they're allowed to pay LeBron. Sure, the NBA can make sure no LA Lakers gear is in the commercial, but that's about it.

Exactly. Once you get away from the amateur model, you can't go back, even part way. The idea that an adult football player's compensation for the value of his own name, image, and likeness should be capped simply because he happens to be in college doesn't work.

OP, are you sure this is actual NIL and not revenue sharing by the university? I don't think the NCAA would try to cap NIL after the last few years of losing every lawsuit over it.

The only possible way to make it work would be that every player signs an express contract capping their NIL value during their college eligibility and agreeing that the college football program they play for has full authority to allocate whatever value to their name, image, and likeness it deems appropriate during the limited time they're in college.

But if you're making every single player sign that contract just to participate, you run into anti-trust problems again.

I don't know.. You may be right.

Quote:

The National Collegiate Athletic Association (NCAA) is proposing a settlement that would cap the amount of money schools can spend on student athletes' name, image, and likeness (NIL) compensation:


  • The settlement would limit schools to a maximum of $23.1 million in spending per year, increasing annually over the course of the 10-year agreement.

  • The spending limit is based on a formula that gives athletes 22% of the average power conference school's revenue from media rights, ticket sales, and sponsorships.

  • The revenue share cap for each school in 2025-26 is approximately $20.5 million.

  • Schools can decide how to distribute the revenue share among their sports teams and student-athletes.

  • The settlement also allows for third-party NIL payments to student-athletes, but they must be fair market value payments for a legitimate business purpose.

The settlement is subject to final approval, with a hearing scheduled for April 7, 2025. Athletes impacted by the settlement can file objections or opt out until January 31, 2025.


NIL rules and regulations are constantly changing, so it's important to stay informed. You can check with your high school or sports association, college, or conference to learn what's allowed.









JDCAG (NOT Colin)
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The Banned said:

the most cool guy said:

The Banned said:

This totally defeats what "NIL" is. Name. Image. Likeness. The NCAA doesn't get to control how much someone makes off of their name, their image or their likeness when a 3rd party wants to pay for it.

This would be like the NBA telling Nike how much they're allowed to pay LeBron. Sure, the NBA can make sure no LA Lakers gear is in the commercial, but that's about it.

Exactly. Once you get away from the amateur model, you can't go back, even part way. The idea that an adult football player's compensation for the value of his own name, image, and likeness should be capped simply because he happens to be in college doesn't work.

OP, are you sure this is actual NIL and not revenue sharing by the university? I don't think the NCAA would try to cap NIL after the last few years of losing every lawsuit over it.

The only possible way to make it work would be that every player signs an express contract capping their NIL value during their college eligibility and agreeing that the college football program they play for has full authority to allocate whatever value to their name, image, and likeness it deems appropriate during the limited time they're in college.

But if you're making every single player sign that contract just to participate update, you run into anti-trust problems again.


Your last paragraph is spot on. It simply cannot happen again. And it shouldn't happen again. I hate what is happening to CFB, but if me holding on to the sport I loved means that these kids were not able to profit off of their own name, image or likeliness just so fans can be happy, it isn't worth it.

CFB will not go back to what it was and people need to adjust accordingly


This is kind of where I land too.

Do I like what it has become? No.
Did I feel more engaged and enjoy things more 20 years ago? Sure.

At the same time, going back to the old model basically forces the kids out of getting the money they are generating, and I'm not okay with that.

Basically, I loved the old way, but the old way wasn't good so I'm just going to be hopeful they figure some things out to make things better moving forward.
halfastros81
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So we're right back where we started but with a floor payout of $ 23.1 mm to players . Now the cheating won't start until you exceed the baseline. Nothings changed financially as far as the power balance . The portal has leveled things up some as far as spreading the talent around and providing a way for late developers to get their piece of the NIL money pie.
zb008
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Logos Stick said:

No limit.


Enjoy tu dominance then.
The Banned
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JDCAG (NOT Colin) said:

The Banned said:

the most cool guy said:

The Banned said:

This totally defeats what "NIL" is. Name. Image. Likeness. The NCAA doesn't get to control how much someone makes off of their name, their image or their likeness when a 3rd party wants to pay for it.

This would be like the NBA telling Nike how much they're allowed to pay LeBron. Sure, the NBA can make sure no LA Lakers gear is in the commercial, but that's about it.

Exactly. Once you get away from the amateur model, you can't go back, even part way. The idea that an adult football player's compensation for the value of his own name, image, and likeness should be capped simply because he happens to be in college doesn't work.

OP, are you sure this is actual NIL and not revenue sharing by the university? I don't think the NCAA would try to cap NIL after the last few years of losing every lawsuit over it.

The only possible way to make it work would be that every player signs an express contract capping their NIL value during their college eligibility and agreeing that the college football program they play for has full authority to allocate whatever value to their name, image, and likeness it deems appropriate during the limited time they're in college.

But if you're making every single player sign that contract just to participate update, you run into anti-trust problems again.


Your last paragraph is spot on. It simply cannot happen again. And it shouldn't happen again. I hate what is happening to CFB, but if me holding on to the sport I loved means that these kids were not able to profit off of their own name, image or likeliness just so fans can be happy, it isn't worth it.

CFB will not go back to what it was and people need to adjust accordingly


This is kind of where I land too.

Do I like what it has become? No.
Did I feel more engaged and enjoy things more 20 years ago? Sure.

At the same time, going back to the old model basically forces the kids out of getting the money they are generating, and I'm not okay with that.

Basically, I loved the old way, but the old way wasn't good so I'm just going to be hopeful they figure some things out to make things better moving forward.



If interest wanes due to this setup, so does the revenue. If the money isn't there, maybe kids go back to picking schools for the sake of the school. Unlike that happens, but we'll see
pointer74
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Wrong….. these kids are now employees
As employees the school and NCAA can control how they make money

Now if kid wants to go do a garage sale…. Well maybe you can bend the rules
But IRS will want to know what you sold for 1 million dollars and the NCAA will want to know who the buyer is
Aggie Dad 26
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ElephantRider said:

There's no way to control it. Can't put the toothpaste back in the tube


Liar

BMX Bandit
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pointer74 said:

Wrong….. these kids are now employees
As employees the school and NCAA can control how they make money




Quite the hot take, but labor laws and antitrust laws disagree with you
FarmersFight95
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That will never happen. Very few kids will give a dam about the school over the amount of money they're leaving on the table. The love of money is the root of all evil. And even though money has always been a part of college football, it's on steroids now. The last few years it has exponentially exploded, and combined with the transfer rules, it has ruined the game.
HoustonAggie427
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AggieDruggist89 said:

for a final approval this april.

Does it level the playing field?

Absolutely not. It just goes back to the old "cheating" ways in addition to the NIL money.

This helps the old cheaters and the NCAA. Nothing more. NCAA can now go and grasp back some old power of recruiting violation investigations. And tu likes will get a way and we will get caught.


How in the world can you track and enforce that?
Admiral Nelson
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pointer74 said:

Wrong….. these kids are now employees
As employees the school and NCAA can control how they make money


The NFL and MLB can have salary caps because they are a part of the agreement with the Union. College football and the NCAA can't do that because of antitrust law, that is exactly what the SCt ruled.
greg.w.h
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pointer74 said:

Wrong….. these kids are now employees
As employees the school and NCAA can control how they make money

Now if kid wants to go do a garage sale…. Well maybe you can bend the rules
But IRS will want to know what you sold for 1 million dollars and the NCAA will want to know who the buyer is
They aren't employees. Yet…
Aginnebraska
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I keep saying this whole NCAA cap limit and University NIL spending is a complete NON-ISSUE. It remains to be seen exactly what specific affect these NCAA rules will be. However, Title IX mandates equal treatment of men and women athletes for NCAA members.

This requirement will minimize the impact of NIL dollar payments. Schools don't want to get in the business of picking and chosing which athletes gets paid and how much they get paid. Likely those payments would be made public at an individual level which would be poisonous to the moral and teamwork. Schools won't want to get into fights with individual athletes in different sports about who is getting more money or less money etc.

I could see a higher stipend available to all athletes but it won't be 'move the needle' level dollars to individuals. The big schools will continue to look to the outside NIL collectives to manage the big $ NIL funds that draw in blue chip players. Those contracts will be discrete and they can laser focused to funnel NIL dollars into the major revenue sports without restriction of sport, gender etc.
infinity ag
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The only way is to scrap everything and go back to college kids not getting paid.
I was never for uncontrolled NIL and TP. It is a sheetshow now.

These days I don't feel like our players are "a team". It just a bunch of players. Same with all teams. They are there for the season and could be gone the next. Like the pros. NCAA destroyed college football.
Aginnebraska
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Most schools need every dollar from their TV contracts, ticket sales etc to keep the lights on in their athletic programs. The LAST thing they want to be in the business of paying specific players. I am differentiating between the schools themselves and the NIL collectives. You can't look at them as one in the same. The collectives are independent 3rd parties who might be affiliated with a school but will make manage their budget independent of oversight and responsibility.

Sure the very biggest schools might have an operating surplus but the big dollar NIL contracts will be exclusively in paid out by 3rd parties. Federal Title IX compliance issues will ensure that the schools will have to divide these dollars equally between women athletes and men athletes which means that there simply won't be enough left in the university wallet for big men football and basketball NIL payments.

If I were the university, I would insist donors to send their money to 3rd party NIL collectives who could direct the dollars more efficiently to where it gets the most impact on the playing field.
the most cool guy
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HoustonAggie427 said:

AggieDruggist89 said:

for a final approval this april.

Does it level the playing field?

Absolutely not. It just goes back to the old "cheating" ways in addition to the NIL money.

This helps the old cheaters and the NCAA. Nothing more. NCAA can now go and grasp back some old power of recruiting violation investigations. And tu likes will get a way and we will get caught.


How in the world can you track and enforce that?

Whatever the OP is referring to, be it NIL or revenue sharing (I think it's the latter), this is the ultimate problem. Whatever "cap" gets set will be new line that everyone will illicitly cross, and nothing will be done to enforce it. So instead of who can figure out how to pay their players/recruits more than $0, it will just be who can figure out how to pay their players/recruits more than $23 million.
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