NCAA, power conferences' agreement to pay players leaves UNT AD 'frustrated'
DENTON, Texas - The NCAA and power conferences have agreed to pay nearly $2.8 billion to former and current college athletes.
The proposed settlement stems from a lawsuit against the NCAA where players claim rules prevented them from earning money through endorsements and sponsorship dating back to 2016.
"I believe the implications are large because they are going to affect not only the athletes, but I think it will create more disparity of talent between the smaller schools and the power conferences," said Walter Musgrove, an NFL agent and lawyer.
Schools like Texas and OU in the SEC could be on the hook for $300 million to be paid in the span of 10 years, but smaller conference schools are also included.
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"Essentially, over a 10-year period, we're going to probably be on the hook for, in this settlement, going back to previous student athletes who participated it's going to hit us probably in the neighborhood of $600,000 to $700,000 per year," said Jared Mosley, the Director of Athletics at UNT.
He is frustrated because he said the smaller conferences weren't included in the negotiated settlement.
The thought is, large schools can bare the brunt of the deal because they have deeper pockets and larger TV contracts.
"You are going to see more disparity in a specific conference. Take the SEC for instance, what Alabama will be able to do is different than what Mississippi State would be able to do," Musgrave explained.
All the details of the agreement have not been made public, and it requires approval from the court.
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Musgrove says complying with the civil rights requirements of Title IX will also be a key consideration.
There is another part of this agreement that could have even bigger implications. The deal allows colleges to set aside $20 million to pay players from university funds.
Mosley says he agrees the student athletes should get a piece of the pie; his main concern is with the possible $20 million price tag, which is not mandatory, but how can schools opt out without major consequences?
"I've talked to even some of my peers and in, my colleagues in the Power Four structure who aren't at the top of that Power Four structure like they're facing, is equally a daunting path forward when they're trying to meet the $20 million," said Mosley.
Mosley tells FOX 4 it has multiple plans in place depending on the outcome of the settlement.