The NCAA and top conferences have proposed a 10-year plan to share revenue directly with college athletes, a shift that reshapes the business of college sports. The agreement, discussed on Fox Business’ Varney & Co. by Rep. Burgess Owens, R-Utah, would settle long-running legal fights and formalize
athlete compensation starting as soon as 2025, pending court approval.
The plan follows years of pressure over
name, image, and likeness (NIL) deals and antitrust cases. It aims to resolve disputes over past limits on athlete earnings and set a new model for how schools support players. The deal still faces legal review and could be adjusted before it takes effect.
What Changed Under the Deal
At the heart of the agreement is a framework that lets schools share a portion of sports revenue with athletes while settling past claims.
- Term: 10 years, with periodic reviews and compliance requirements.
- Back pay: An estimated multibillion-dollar fund spread over the decade to resolve antitrust claims from former and current athletes.
- Future sharing: Schools could allocate tens of millions of dollars per year to athletes across sports, subject to program budgets and federal law.
Rep. Burgess Owens, a former NFL player, emphasized the importance of the policy shift and the need for clear rules so that schools, athletes, and families understand how the system will operate.
Legal and Policy Hurdles
The agreement stems from antitrust lawsuits that challenged NCAA limits on athlete compensation. It seeks to end those suits through a court-approved settlement. Judges will review whether the terms are fair and how funds are distributed.
Title IX compliance will be central.
Schools must ensure that any new payments do not violate gender equity rules. That could affect how money is allocated among men’s and women’s programs.
Federal lawmakers have also weighed national NIL standards. Owens has been part of those discussions in Congress, reflecting concern about uneven state rules and the role of booster-led collectives.
Impact on Schools and Athletes
Power-conference programs are likely to opt in early, given their media revenue and donor support. Smaller schools may move more cautiously. Athletic directors face choices regarding roster sizes, staffing, and facility investments to balance budgets.
For athletes, direct sharing could mean steadier support beyond NIL deals. It may reduce dependence on third-party collectives and make school offers clearer and more transparent.
Some worry that non-revenue sports could feel pressure if budgets shift. Others argue that new funds can be managed without cutting opportunities, especially if media rights continue to grow.
Industry Reactions and Concerns
Coaches and compliance officers want uniform rules on how payments are calculated and disclosed. Athlete advocates
support guaranteed benefits and health coverage tied to the new model.
Legal experts highlight unresolved questions, including whether athletes could be considered employees in the future and how unionization efforts might impact school-based payments.
On the business side, media-rights renegotiations, playoff revenue, and conference realignment will shape how much
money schools can share.
What Comes Next
The next steps include court review of the settlement, conference-level guidance, and school budget planning ahead of the 2025 season. Universities will need clear policies on eligibility, taxes, and disclosures to athletes.
Key items to watch:
- Final court approval and any changes ordered by the judge.
- Title IX guidance on payment structures.
- Federal action on a national NIL or athlete-compensation standard.
- How schools balance revenue sharing with support for non-revenue sports.
The move signals a new era for college sports finance. If approved, it will replace years of legal conflict with a structured path for athlete pay. Schools, lawmakers, and players now face a short window to set rules that are fair, transparent, and sustainable.
