NASHVILLE, Tenn. — During a recent address at the NCAA’s annual convention, NCAA President Charlie Baker highlighted the organization’s capability to allocate $1.2 billion over the next decade as a means to resolve a lawsuit with significant implications for college athletics. He also appealed for Congressional action aimed at streamlining the regulatory landscape of college sports.
“The consensus I picked up when I started this role was quite straightforward — address what lies within your control first,” Baker remarked. “Since then, we’ve adapted college sports to align with the evolving demands of today’s student-athletes. Despite our reforms, we cannot tackle every challenge independently.”
Baker emphasized three vital areas that he wants Congress to address:
— Nullify the potential for athletes to be classified as employees of their institutions, an issue that has gained traction recently with withdrawals of court cases by players and advocates from institutions like Dartmouth and Southern California, which were aimed at establishing unions and employee status.
— Replace the more than 30 varying state laws with a singular federal law that would regulate the entire college sports framework.
— Provide the NCAA with protection against ongoing lawsuits concerning eligibility in the form of antitrust provisions.
Baker shared that he has been met with understanding from lawmakers in Washington, D.C., regarding the need for a national framework to support college sports.
Senator Ted Cruz, the Republican chair of the Senate Commerce Committee, has indicated that he is prepared to push for legislation that would facilitate NCAA regulation of college athletics. He remarked, “College sports is facing a crisis at present. Inaction from Congress could lead to severe consequences.”
Baker is hopeful about the direction college sports is heading since the House’s initial approval of the settlement, which outlines direct payments to players for the use of their names, images, and likenesses (NIL). Currently, these payments are made mainly through collectives tied to the institutions but not officially affiliated. If the settlement progresses as anticipated in April, universities could individually allocate around $22 million for these expenditures, as seen with Colorado and Central Florida, who are planning to internalize their payments.
Furthermore, the settlement is set to designate approximately $2.8 billion for back payments to former athletes who missed out on the NIL benefits instituted in 2021. Baker mentioned that the NCAA would cover approximately $1.2 billion of this amount, leaving individual schools responsible for the remainder.
The NCAA’s ability to fund these payments stems from an unexpectedly favorable financial outlook. Baker revealed that the organization anticipates generating roughly $100 million more in ticket sales for its championships in fiscal year 2025 compared to fiscal year 2023, projecting sales of $277 million. Additionally, television revenue is projected to rise by 19%, or $180 million, during the same timeframe.
A significant portion of this boost can be credited to the increased visibility and support for women’s sports. A forthcoming decision at this week’s meetings is expected to allow NCAA revenue share units to be allocated to conferences based on the performance of their women’s basketball teams, paralleling existing practices for men’s basketball.
The NCAA is also leveraging a data-sharing strategy to deepen its understanding of fans, ultimately enhancing marketing efforts.
However, Baker chose not to address a rising movement advocating for greater autonomy for the four most prominent college sports conferences: the Southeastern, Big Ten, Atlantic Coast, and Big 12. With the College Football Playoff managing football, the NCAA maintains control over March Madness, which is regarded as its centerpiece. Yet, there is a growing consensus that the basketball tournament’s allure hinges on opportunities for less prominent teams to succeed against more dominant programs.
Nevertheless, it seems probable that the larger conferences will pursue an expansion of the tournament field from 68 to 76 or more teams, thereby securing more slots for their organizations. There are even proposals underway suggesting that these top four conferences should assume control of March Madness from the NCAA.
