Arizona Wildcats Getting Closer to Sharing Revenue with Student Athletes
Earlier this year, Arizona Wildcats athletic director Desiree Reed-Francois said that the athletic department had every intention of sharing revenue with student-athletes, should the House v. NCAA settlement be approved.
The next step toward full approval took place on Monday, as Judge Claudia Wilken preliminarily approved the House v. NCAA settlement in the U.S. District Court for the Northern District of California.
With preliminary approval comes a timeline for full approval, so there are still significant steps for both the NCAA and the plaintiffs to go through. But it means that the chances are growing that schools like Arizona will be able to share revenue as soon as next athletic year.
To begin preparation, Reed-Francois announced the creation of Arizona Sports Enterprises, which is designed to elevate revenue streams, the university announced in a release.
“The enterprise of intercollegiate athletics will undergo a substantial transformation with the implementation of permissive revenue sharing with student-athletes in 2025 and the ability for schools to increase their scholarship offerings,” per the release.
The university hopes to generate additional revenue through philanthropy, multimedia and naming rights, fan experience, attendance growth, and an increase in ticket revenue, among other possibilities.
The House v. NCAA settlement will allow for $2.75 billion in damages will be paid to thousands of college athletes over 10 years. It will also bring revenue-sharing to college sports, as schools can opt into sharing $21-22 million in revenue starting in 2025-26, with that revenue increasing by 4% each season.
The settlement also caps scholarships and, in some cases, expands them for certain sports.
The roster limits will be 105 for football 15 for men’s and women’s basketball, 34 for baseball, 25 for softball and 18 for volleyball.
Judge Wilken did not provide an opinion with the approval. But it does provide a calendar of next steps for the ruling to be completely approved.
On Oct. 18 a “notice of campaign and claims period” will begin. Current and former student-athletes will receive the terms and claims procedures for back damages pay, which is expected to start on May 15, 2025. If approved, the average damages award for a football or men’s basketball player at a Power Five conference school will be approximately $135,000.
If things run smoothly, the allocation estimate and the motion for attorneys’ fees, reimbursement of litigation expenses and service awards would take place starting Dec. 17.
The exclusion and objection deadline for the ruling is Jan. 31, 2025, which is also when the claim period closes. Any motions for final approval and response to objections must be filed by March 3, 2025.
