Dealing with the Uncertainties of College Basketball Coaches’ Historic Housing Rule

Alabama basketball coach Nate Oats, along with other college basketball coaches, are concerned about the uncertainties surrounding the landmark House v. NCAA settlement. The settlement allows schools to distribute approximately $20-23 million annually to their athletes starting in 2025. While football players are expected to receive the largest share, men’s basketball coaches are also curious about their allocation.

One advantage the Big East conference may have is that it does not sponsor football. This could potentially allow Big East schools to prioritize basketball in revenue sharing. SEC and Big Ten coaches have expressed concern about this scenario, as they worry about competing with schools that could allocate a significant portion of revenue to basketball.

The settlement agreement allows schools to share up to 22 percent of the power-conference school’s average annual revenue each season from media rights, ticket sales and sponsorships. The distribution of NCAA Tournament money will also play a major role in determining the revenue share for different sports. Coaches are uncertain about the impact this will have on their programs and are concerned about the financial implications.

In addition to the financial aspects, the settlement also includes changes to scholarship restrictions and roster limits by sport. Football will see an increase in allowable scholarships, while men’s basketball and baseball will also see changes. Coaches are already considering how to communicate these changes to recruits and how it will affect their budgets.

Fundraising will continue to be a critical aspect of financing college sports programs, and donors will still play a significant role. The ability to secure outside marketing deals for players will now be handled primarily by agents, changing the dynamics of player endorsements. While Big East coaches appreciate not having to share their NIL pool with football, they recognize the financial advantages of other conferences.

Despite the uncertainties and challenges that the settlement presents, coaches like UConn’s Dan Hurley remain optimistic and focused on finding solutions. Hurley emphasizes the need to adapt and figure out the best strategies to navigate the changes in college athletics. The changing landscape of college sports requires coaches to be flexible and innovative in managing their programs amid the changing dynamics of revenue sharing and player compensation.