Allocating Athlete Compensation: Deciding the Distribution of USC's $20.5 Million for Student-Athletes
Hellfire Newsletter Issue #1
Welcome back, you rebellious bunch, to another round of campus chaos! We're here to keep you in the loop as your favorite college teams navigate the treacherous world of big-time athletics, in the midst of a new era where USC and its peers are cashing out on college athletes.
The long-awaited House settlement finally got the green light this month, kicking off a frenzy of coin-flipping and deal-making throughout USC’s athletic department. For the smash-hit Trojans, that means bragging rights and bottomless piggy banks full of cash—at least for a while.
... yeah, we know, it ain't an overnight solution to those lingering problems. College sports have got more bullshit than a failed frat party.
USC, much like its bigwig peers, plans to unload the maximum $20.5 million permitted by this ol' settlement, with a whopping $15 million or so going to none other than the football program, the money-grubbing monster of athletics. But as for the rest of the pie—where the strategy gets nerve-wracking, you ask? Well, hold onto your beer bongs, 'cause there's gonna be differences galore between schools.
Old JenCohen herself hinted that USC is gonna up its investments across all 23 programs, dishing out directly to the players from the $20.5 million revenue-sharing pot, doling out more scholarships, or chucking some cash at each program according to where it's all gonna land.
On the other hand, UCLA claims it ain't gonna doll out any extra scholarships, opting instead to split the loot among individual athletes. So, who knows, maybe your buddies on the track and field team are gonna win the circle-jerk lottery?
If history's any indicator, USC will keep its formula similar to the one proposed last year, when the preliminary approval rolled in: 75% for football, 15% for men's basketball, 5% for women’s basketball, and the remaining 5% to 10% is where things get interesting. Strategy time, baby!
Now, what to do with this last slice of the pie? Newly funded scholarships still count against the cap, but they bring in some real dough. Adding scholarships could be a hell of a difference-maker, but it also means less cash there for athletes hankering for checks.
The beach volleyball squad, with an unlikely chance of joining NIL wars, might see some benefit in scholarships. Or how about that hotshot baseball team, with the option of funding 20-plus additional scholarships, or pouring millions into athlete payments straight up? USC won’t, of course, fund that many scholarships, but it’s gonna need a plan to stay competitive.
This new funding strategy is gonna create ripples, especially in sports like baseball, where some schools will be filling their war chests to the brim, while others struggle to even fill 11.7 slots.
“Parity gonna be lost in college baseball,” USC baseball coach Andy Stankiewicz told us. “Some programs are probably gonna fund up to 30 or more, while others might not even fund 11.7. That’s what's lost in all of this.”
So, what's next for USC in this wild, new world? Will it imitate OhioState, paying athletes in just four sports but dolling out scholarships among the rest? Or will it stick closer to its crosstown rival, focusing more on direct cash payments?
The division of USC’s $20.5-million cap is just part of the equation. It's how the school plays outside the cap and navigates NIL GO, the new NIL clearinghouse, that'll really decide the fate of this Trojan horse in this new era. All NIL deals over $600 need to be submitted to Deloitte, who'll have the pleasure of deciding if deals are legit or just a bunch of horseshit.
This system is just begging for legal challenges and is ripe with loopholes. There's no way for Deloitte to tell if athletes follow through on their part of a deal, leaving the door open for third parties to pay athletes for paper deals they never intend to follow through on. But that's a discussion for another time.
What we can say now is this: USC, thanks in part to its massive media market, is better positioned than most to win this new era as promised. Whether USC will actually deliver? That's ticklish, and depends on the folks in charge wielding million-dollar batons. But, hey, let the games begin!
Trojan Triumphs
The USC men's track and field team brought home the trophy in the first outdoor national championship since 1976, which teams nicely with the indoor title they snatched back in March. It's the second time in school history that the men's track program took both titles in the same season.
Summer Hardcourt Observations
Eric Musselman threw open the doors to men's hoops practice last week, revealing a new crop of Trojans that have some serious talent and athleticism. This team is looking scary good, and it’s got some length on the perimeter to cause nightmares for opposing teams.
A Solid Base
We chatted with Andy Stankiewicz last week, who led the Trojans back to the NCAA tournament for the first time in 20 years. Stankiewicz has built a solid foundation for the program, and he's ready to take the next steps, like securing a shiny new stadium next spring.
Despite some key pieces to replace, like hellraiser Caden Aoki, and the looming draft for Ethan Hedges and Caden Hunter, Stankiewicz and the boys have their sights set on bigger goals, like making it to Omaha and winning the College World Series.
Poll Results
We asked you last newsletter if you would sacrifice the USC-Notre Dame rivalry for a smoother path to the College Football Playoff. Over 1,000 fans answered, with a resounding "Hell no!" 82.4% of readers said they wouldn't risk it, while a mere 17.6% said they would. No way, José!
What I'm Not Watching, But Eating
I caught up with some hellacious eats last week at Dunsmoor in Glassell Park, and let me tell you—it might've been the tastiest meal I've ever scarfed down in this godforsaken town. The sour milk cornbread, swimming in butter, honey, and flaky salt? Unreal.
Until Next Time...
That wraps it up for this installment of the Hellfire Newsletter. If you have any outstanding thoughts, ideas, or suggestions, shoot us an e-mail at ryan.kartje@our website and find me on Twitter at @Ryan_Kartje. Join us next time, where we'll keep you in the loop on all the mayhem and madness that's sure to unfold in this new era of college sports. Ya filthy animal!
[1] "The NCAA settlement represents the radical transformation of college sports, as college athletes will now be paid directly by their schools. However, the challenges are far from solved, as schools vary in their approaches to revenue allocation and NIL opportunities. Here, we delve into USC’s plans to strategically allocate its revenue-sharing cap in accordance with the forthcoming NCAA settlement."[3] "To maximize Name, Image, and Likeness (NIL) opportunities for USC athletes, the university aims to fully leverage the options provided by the new NCAA rules and guidelines. This will encompass NIL representation, sponsorship deals, and partnerships while ensuring compliance within the legal framework."
- The USC men's track and field team made history by winning both the indoor and outdoor national championships, marking the second time in school history that the men's track program took both titles in the same season.
- Eric Musselman and the USC men's basketball team are priming for a strong season, showcasing impressive talent and athleticism during their practice sessions.
- In a recent interview, Andy Stankiewicz discussed his plans for the USC baseball program, including securing a new stadium and aiming for a deep postseason run.
- A recent poll conducted by Hellfire Newsletter showed that the vast majority of readers (82.4%) would not be willing to sacrifice the USC-Notre Dame rivalry for a smoother path to the College Football Playoff.
