“Sharing the Wealth: NCAA Revenue Sharing and Mizzou Athletics – What’s in Store?”

Over the past week, there have been gradual revelations about a proposed overhaul in revenue sharing within college athletics. Ross Dellenger of Yahoo! Sports recently provided a comprehensive breakdown of this proposal, which involves a substantial lawsuit settlement. The figures involved are staggering.

NCAA Settlement
In the past decade, the NCAA has faced numerous lawsuits, from Title IX issues to antitrust matters. One such lawsuit, House v. NCAA, seeks back pay for former NCAA athletes and a future revenue-sharing arrangement, potentially costing the NCAA up to $4 billion. In an attempt to mitigate this, the NCAA may settle, with Dellenger estimating a settlement of around $2.9 billion over ten years. But how does this translate for schools like Mizzou?

By the Numbers
According to Dellenger, this ten-year settlement could cost each power school, including Mizzou, up to $300 million, or $30 million annually. This projection assumes certain figures are met, including:

A capped allowable revenue distribution ranging from $17-22 million per school
At least $2 million per school in withheld NCAA revenue distribution
Up to $10 million in additional scholarship costs due to roster expansions in specific sports
This addition of $30 million to power school budgets precedes considerations like coaching salaries, facilities, and existing scholarship commitments. For Mizzou, which reportedly generated $141,558,287 in athletics revenue last year, this could represent a 21% increase in expenses in either 2025 or 2026, depending on the timing of any settlement.

Revenue Distribution
The proposed settlement includes the creation of allowable revenue distribution to athletes, effectively dismantling the NCAA’s amateurism model. Schools could directly pay athletes, with caps ranging from $17-22 million annually. While powerhouse schools may readily meet these caps, lesser-budgeted schools like Mizzou could face challenges. The voluntary nature of these caps means schools could opt for lower distributions, potentially impacting their ability to attract top talent.

NCAA Withholdings
To offset the settlement, the NCAA would withhold $2 million annually per school from payouts over a decade. While a relatively small percentage of Mizzou’s budget, this totals $20 million over ten years, adding strain to an already tight budget.

Additional Scholarships
The proposed settlement also involves increasing scholarship limits in sports like baseball and softball, potentially costing schools up to $10 million more annually. Again, this could disproportionately affect schools like Mizzou, further widening the gap between them and their wealthier counterparts.

Navigating the Future
Mizzou faces tough decisions ahead. Options include not maximizing revenue distribution caps, not increasing scholarships, cutting non-revenue sports, or reducing salaries. As Mizzou awaits further developments, it’s clear that adaptability will be crucial in navigating this evolving landscape of college athletics.