• Loading stock data...
Wednesday, January 15, 2025

New NCAA Proposal Takes Step Toward Compensating Athletes

  • President Charlie Baker sent a letter to Division I schools suggesting a new payment and NIL revenue model.
  • It’s the NCAA’s latest attempt to keep amateurism intact.
NCAA President Charlie Baker has proposed new rules that would allow athletes to receive more compensation.
Kirby Lee-USA TODAY Sports

For the first time, the NCAA is proposing loosening its grip on amateurism rules for the richest schools in Division I.

On Tuesday, NCAA President Charlie Baker sent a letter to D-I schools, obtained by Front Office Sports, proposing a model that would allow some institutions to compensate athletes more directly and share in name, image, and likeness revenue. 

The letter’s recommendations fall short of deeming athletes employees, offering salaries, or allowing them to unionize.

This marks the NCAA’s latest attempt to save itself from the flurry of litigation that could force it to altogether abandon its business model of athlete amateurism. From federal courts to the National Labor Relations Board to Congress, outside entities are pushing for reform.

“It is time for us – the NCAA – to offer our own forward-looking framework,” Baker said in his letter, which proposes three main changes:

  • All D-I schools get the opportunity to offer whatever “educational benefits” they believe are appropriate. Currently, cash education-related benefits are currently capped, as per the ruling in the NCAA v. Alston Supreme Court decision in 2021.
  • Schools can enter NIL opportunities “with their student-athletes,” something they previously weren’t allowed to do.
  • And a “subdivision” of the richest programs will each invest $30,000 per year, per athlete, in a trust fund for at least half of players. (Baker noted that this must fit within the current Title IX framework.)

Baker’s proposal “gives the educational institutions with the most visibility, the most financial resources and the biggest brands an opportunity to choose to operate with a different set of rules that more accurately reflect their scale and their operating model,” he wrote. 

He also suggested that the new rules would allow self-regulation within the schools impacted by collectives and the transfer portal.

Schools will now have the opportunity to provide feedback on the proposal, though there is no timeline in the letter for next steps.

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

Don Garber

NASL Trial Could Get in Underbelly of American Soccer

NASL alleges an illegal conspiracy between MLS and U.S. Soccer.
The United States Capitol during the certification of votes by Congress making Donald Trump president on Jan. 6, 2025.

U.S. House Passes Ban on Transgender Athletes in Women’s Sports

The bill would apply to all educational levels, from kindergarten to college.
Nov 26, 2024; Phoenix, Arizona, USA; NBA on TNT television analyst Reggie Miller (left) and Kevin Harlan during the Los Angeles Lakers against the Phoenix Suns during an NBA Cup game at Footprint Center.

Kevin Harlan Nearing Deal to Join Amazon NBA Coverage

The announcer is in talks to join Ian Eagle on Prime Video.
Ohio State quarterback Will Howard (18) yells instructions to his team during the College Football Playoff semifinal game against the Texas Longhorns in the Cotton Bowl at AT&T Stadium on Friday, Jan. 10, 2024 in Arlington, Texas.

CFP Semifinals TV Ratings Drop 17% in 12-Team Format’s First Year

This year’s semifinal games averaged 19.2 million viewers on ESPN.

Featured Today

Race leader and eventual stage winner Primož ROGLIČ (SVN/RedBull-Bora-Hansgrohe) in the final kilometer up the finish climb of stage 19 from Logroño to Alto De Moncalvillo (ESP/168km) of the 79th La Vuelta Ciclista a España 2024 on 6 September. // Kristof Ramon / Red Bull Content Pool // SI202409060905 // Usage for editorial use only //Primož ROGLIČ (SVN/RedBull-Bora-Hansgrohe) congratulated by teammate Florian LIPOWITZ (DEU/RedBull - BORA - hansgrohe) after a very strong stage 13 from Lugo to Puerto De Ancares (ESP/171km) of the 79th La Vuelta Ciclista a España 2024 on 30 August

Red Bull Is on a Hot Streak in Sports. Can It Win..

The company is betting on a big future in cycling.
Ohio State Buckeyes defensive end Jack Sawyer (33) knocks the ball out of the hands of Texas Longhorns quarterback Quinn Ewers (3) and returns the fumble for a touchdown in the fourth quarter of the Cotton Bowl Classic during the College Football Playoff semifinal game at AT&T Stadium in Arlington, Texas on January, 10, 2025.
January 11, 2025

College Football Is Closer Than Ever to Perfecting the Championship Process

Despite valid criticisms, the first expanded Playoff is working.
Jan 2, 2025; New Orleans, LA, USA; Notre Dame Fighting Irish head coach Marcus Freeman (R) reacts on the sidelines in the final minute against the Georgia Bulldogs during the fourth quarter at Caesars Superdome.
January 9, 2025

Amid Realignment Mania, Notre Dame Stayed Independent. It Paid Off

How the CFP semifinal-bound Fighting Irish made their business model work.
Ohio State wide receiver Jeremiah Smith (4) celebrates a first-down catch against Oregon during the 2025 Rose Bowl in Pasadena, Calif.
January 3, 2025

The Biggest Changes to College Sports Are Coming in 2025

Sweeping developments could affect the college sports foundation this year.
January 10, 2025

With National Title in Sight, Ohio State’s Ryan Day Closes In on..

“It’s what life’s all about,” Day said of the doubters he faced.
exclusive
January 11, 2025

Carson Beck Has Scored Nearly $10M in NIL Deals in 12 Months:..

A source says the $4 million figure attributed to Canes Connection is inaccurate.
Sponsored

How UBS Crafts Impactful Partnerships Across Sports, Arts, and Culture

As UBS continues to expand its impressive array of sports and entertainment partnerships, the company solidifies its position as a leader in wealth management.
Dec 27, 2024; Las Vegas, NV, USA; Helmets at the line fo scrimmage as DUPLICATE***Southern California Trojans long snapper Hank Pepper (31) snaps the ball against the Texas A&M Aggies at Allegiant Stadium.
January 10, 2025

Another College Athlete Employment Movement Dies Ahead of NLRB’s Expected Swing

The union representing Dartmouth athletes withdrew its petition recently, too.
January 9, 2025

Notre Dame Win Brings Its Solo CFP Purse to $20 Million

The Fighting Irish advanced to the national championship game.
January 9, 2025

Full-Circle Quinn Ewers Saga in Spotlight at Cotton Bowl

The junior has one year of college eligibility remaining.
Dec 31, 2024; Glendale, AZ, USA; Penn State Nittany Lions head coach James Franklin against the Boise State Broncos in the Fiesta Bowl at State Farm Stadium.
January 9, 2025

James Franklin Wants All Schools in a Conference—Including Notre Dame

Notre Dame and Penn State play Thursday in the Orange Bowl.