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NCAA Settlement Takes Effect, Authorizing Direct Athlete Payments

As universities prepare to distribute up to $20.5 million per program next academic year, the College Sports Commission will regulate third-party NIL deals under the settlement’s terms.

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Overview

  • The $2.8 billion settlement approved June 6 now permits Division I schools to begin direct payments to athletes on July 1, 2025.
  • Each participating institution can allocate up to $20.5 million in revenue-sharing payments for the 2025–26 academic year.
  • The College Sports Commission has been established with Bryan Seeley as CEO to oversee NIL reporting for deals of $600 or more and enforce compliance with the settlement.
  • Deloitte’s NIL Go platform and LBI Software will monitor compliance and help evaluate whether third-party NIL deals reflect fair market value.
  • Conference leaders have called on Congress to enact uniform federal NIL legislation and warned that smaller programs and Olympic sports could face Title IX challenges under the new revenue-sharing model.