Tag Archives: NIL

For Paying College Athletes? Yes, Then Cut The High School Athletes A Check Too

By William A. Foster, IV

“When hypocrisy is a character trait, it also affects one’s thinking, because it consists in the negation of all the aspects of reality that one finds disagreeable, irrational or repugnant.” – Octavio Paz

My freshman year of high school was nerve wracking and exciting. As far as academics were concerned I did fairly well that first year, but the football field was where I was most excited. I had a good year and heard rumblings that the varsity head coach had me in consideration for varsity my coming sophomore year. I fit his system of defense. I was small, but I had good football IQ and did not mind taking or giving a hit. All of that changed though when he got fired at the end of my freshman year for using an ineligible player during the year and having to forfeit almost all of the school’s games. In his place came a coach I was familiar with because the year before me and father went to see Jack Yates High School, the high school I grew up watching my father coach play in the state playoffs take on Temple High School and the offensive coordinator would then become our school’s head coach. I was excited, but nervous. They ran a different brand of football. We had been a predominantly running team and our talent fit that style. Instead, he ran an early version of the spread that was not very popular throughout. We were built for ground and pound and he wanted an air attack. I was switched positions from defense to offense and scored the first touchdown of the new regime, and from there it was all down hill.

By my junior year, I was deep into my academics and this was becoming a problem unbeknownst to me for my coaches. It would come to a head when I asked for more time before practice to get tutoring and one of my coaches said to me, “Son, you need to choose between them books and this team.” I would never forget that moment. I was shocked. I had parents who were college professors. Choose? Is he serious? Not only was he, but it would escalate. After our game that week, which I did not have a particularly good one and little did I know it was really the end of my football career. As we sat and watched game film the next week a play that I missed came up. The coach stopped the film, flipped on the lights, and looked dead at me and said to the team, “We have some players who are not committed to this team.” Being the hot tempered teenager I was at the time, I calmly put my head down as if I was rubbing it with one finger. I will let you guess which one. From that point on, I was in the dog house and at the end of the season was told to turn my equipment in. My father would talk me back onto the team for my senior year, but quite honestly it was hell and part of me wish I had never gone through it. I loved football growing up, playing in the street, watching my father coach, going to the state championship, and thought one day that would be me. Little did I understand, the “business” I was walking into.

Texas high school football is different. There is no doubt about that and Friday NIght Lights probably left more than a few things out that would traumatize people. I for one recall getting pulled over one night after drinking and in no condition to be behind a wheel, but once the police found out I played for the local high school team they were more interested in telling me about them playing for the police football team. Ultimately, they let me go with a minor in possession and let me drive myself home. On my high school football team we had some of everything going on from the drug dealers, drug users, massive illiteracy, and more than a few things I have blocked from my memory for good reason.

You see most of them were not just playing football for the love of the game. They were playing because they saw it as their only way out. Many of my teammates came from impoverished backgrounds, with few educational opportunities and even fewer economic ones. For them, football was not just a pastime it was a potential career. And yet, despite the immense pressure placed on high school athletes to perform, there is virtually no financial compensation for their efforts. If we are going to argue that college athletes deserve to be paid for their labor, then high school athletes who also generate millions of dollars in revenue deserve the same consideration.

The financial power of high school football, especially in states like Texas, is undeniable. According to a 2019 report by the Texas Education Agency, the state spent over $500 million on high school football stadiums between 2008 and 2018. Some stadiums rival those of small colleges in both size and amenities, with the most expensive high school stadium in the country, Legacy Stadium in Katy, Texas costing $72 million to build. These stadiums are packed on Friday nights, bringing in millions of dollars in ticket sales, sponsorships, and media rights.

Despite this, the players on the field, the ones drawing the crowds see none of this revenue. While their coaches earn six-figure salaries (the highest-paid high school coach in Texas makes $158,000 per year), the athletes themselves play for free, risking injury and sacrificing their time and education in the hopes of making it to the next level.

The physical toll on high school athletes is just as severe as it is for college players. According to a study by the National Federation of State High School Associations (NFHS), there are approximately 1.1 million high school football players in the U.S., and every year, an estimated 300,000 sports-related concussions occur among high school athletes. The risk of serious, long-term injury is real, yet these players receive no compensation for putting their bodies on the line.

Consider this: the National Collegiate Athletic Association (NCAA) has been pressured to provide financial assistance for athletes suffering from chronic traumatic encephalopathy (CTE), a brain disease caused by repeated head trauma. If college athletes deserve compensation for these risks, shouldn’t high school athletes who are just as vulnerable also receive financial protection?

Some may argue that high school sports do not generate as much money as college athletics. While it is true that high schools do not have billion-dollar TV contracts like the NCAA, local revenue generation is still significant. The Texas University Interscholastic League (UIL) collects millions of dollars in revenue from the state football championships, including ticket sales, sponsorships, and broadcasting rights. ESPN, Fox Sports, and other major networks regularly feature high school games, and Nike and Adidas have begun sponsoring elite high school programs.

In 2021, Alabama’s Hoover High School reported earning over $2 million annually from its football program. Southlake Carroll High School in Texas made nearly $1.5 million in a single season from ticket sales, donations, and sponsorships. The bottom line? High school football is not just a game it is a business. And in any other business, the labor force gets paid.

The NCAA’s decision to allow Name, Image, and Likeness (NIL) deals for college athletes has already set a precedent. High school athletes in several states including Texas, California, and Florida are now allowed to profit from their NIL rights. Players like Jaden Rashada, a high school quarterback in California, reportedly signed a $9.5 million NIL deal before ever playing a college snap. This demonstrates that high school athletes do, in fact, have market value.

But what about the majority of players who will never receive NIL deals? They are still sacrificing their time, bodies, and educational opportunities for the sport. If coaches, administrators, and organizations profit from their efforts, then why should the athletes themselves be excluded? A stipend, medical coverage, or even a trust fund for players who complete their high school careers would be a step in the right direction.

Critics argue that paying high school athletes could open the door to corruption, recruiting scandals, and financial mismanagement. However, these problems already exist in amateur sports. Boosters have been caught illegally paying recruits for decades, and schools have been sanctioned for bending the rules to secure top talent. If anything, formalizing a compensation structure would bring transparency to a system that already operates in the shadows.

Others worry about the financial burden on school districts. However, if schools can afford multi-million-dollar stadiums and six-figure coaching salaries, then they can find ways to fairly compensate athletes. The money is already there but the question is who gets to benefit from it.

The reality is that high school football is more than just a game. It is an industry, one that generates millions of dollars while placing tremendous physical and mental demands on young athletes. If we accept the argument that college athletes should be paid because of the revenue they generate, then we must apply that same logic to high school athletes.

High school athletes do more than just entertain. They fill stadiums, drive merchandise sales, and fuel an economy that benefits everyone except them. It is time to acknowledge their worth and compensate them accordingly. Whether through stipends, medical coverage, or NIL opportunities, high school athletes deserve to see a share of the wealth they help create. Otherwise, we continue to exploit their labor under the guise of “amateurism.” The system is broken, and until high school athletes get a piece of the pie, it will remain unfairly rigged against them.

 Disclaimer: This article was assisted by ChatGPT.

Would The Ivy League Athletic Model Work For HBCUs?

“Challenges make you discover things about yourself that you never really knew.” — Cicely Tyson

When you encounter most HBCU alumni regarding their athletic programs they all desire to be a football powerhouse. They believe that this will lead to a land of riches and honey. At the core of this delusion though is that the wealth gap between P5 athletics boosters and HBCU boosters larger than the wealth gap between is greater than the southern most tip of Florida to upstate New York. Phil Knight, University of Oregon booster and Nike owner, has a net worth of $35 billion. Oprah Winfrey is the wealthiest African American HBCU alumni with a net worth of $3 billion and the last we checked does not act as a booster to her alma mater. Meanwhile, Phil Knight in 2012 alone built the University of Oregon football team a facility to the tune of almost $70 million – and got the state legislature to amend a law to make the building legal since it ran afoul of code. But many HBCU alumni believe that if we get the “talent” to come “home” it will level the playing field. It will not. It is exhausting even explaining that the wealthy of many major athletic programs has more to do with the PWI developing and graduating entrepreneurs like Phil Knight who go on to create multibillion firms and therefore have millions to give back than whatever latest 18 year old recruit they have snagged. For greater context, Phil Knight’s building donation is almost 4X Prairie View A&M University’s athletic budget, the highest among all HBCUs.

In our last SWAC/MEAC Financial Review, the two conferences combined for a loss of over $160 million in 2019-2020 if you took away their subsidies (and even with subsidies the two conferences were in the red). These $150 million in subsidies largely coming in the form of student loan fees which for most HBCUs means students packing on student loans for the sake of athletics. Something infuriating when you consider over 90 percent of HBCU students finish with student loan debt versus less than half that amount at Top 50 endowed schools, many who play DIII football or have no football program at all. That is $150 million in subsidies that could be going to scholarships, research, investments, and so many more things that produce an actual return on investment is an understatement. The idea though that HBCUs could try an athletic model that does not aspire to be P5 (no major television contracts are coming either) seems to be lost on all HBCU athletic leadership and alumni. But what if instead of focusing on the P5 schools, we instead focused on the Ivy League’s athletic model.

The Ivy League athletic model is characterized by its emphasis on academic excellence, limited athletic scholarships, and a focus on holistic student development. As historically Black colleges and universities (HBCUs) contemplate their athletic strategies, the potential adaptation of the Ivy League model raises important questions, especially concerning financial resources, alumni support, and institutional missions. Here’s a closer look at several key factors:

Financial Context: Endowments and Alumni Giving

HBCU Endowments: HBCUs generally have lower endowments compared to their Ivy League counterparts. For example, the average endowment for an HBCU is around $100 million, while top Ivy League schools like Harvard have endowments exceeding $50 billion. This significant disparity in financial resources impacts the ability of HBCUs to fund athletic programs and support student-athlete scholarships.

Ivy League Endowments: The Ivy League’s strong financial standing allows for extensive investments in athletics, facilities, and academic resources. Schools like Yale and Princeton have endowments of over $25 billion, which provide them with a substantial financial cushion to support a holistic student-athlete experience.

Alumni Giving Rates: HBCUs face challenges with alumni giving. For instance, HBCUs have an average alumni giving rate of about 15-20%, whereas Ivy League schools boast rates often exceeding 50%. This higher giving rate in the Ivy League reflects a stronger tradition of alumni engagement and philanthropic support, which is critical for sustaining athletic and academic programs.

Research Budgets and Institutional Support

HBCU Research Budgets: Research funding at HBCUs is generally lower than that of Ivy League institutions. While some HBCUs, like Howard University, receive substantial federal research grants, many others struggle to secure consistent funding. For instance, HBCUs collectively received approximately $1.5 billion in research funding in 2019, a fraction of what Ivy League schools secure annually.

Ivy League Research Funding: In contrast, Ivy League institutions benefit from robust research budgets, with individual schools like Johns Hopkins receiving over $2 billion in annual research funding. This financial backing enhances their ability to integrate athletics with academic resources, providing student-athletes with more comprehensive support.

Holistic Development and Community Engagement

The Ivy League model emphasizes the development of well-rounded individuals. HBCUs share a similar mission of producing leaders who are socially conscious and community-oriented. Adopting the Ivy model’s focus on holistic development could resonate well with HBCUs’ core values. This approach can enhance student engagement and create a strong support system for athletes.

Influence of Ivy League Billionaires

The presence of wealthy alumni, often referred to as “Ivy League billionaires,” contributes significantly to the financial health of Ivy institutions. Notable alumni from Ivy League schools frequently engage in philanthropy, enhancing the schools’ resources for academics and athletics. HBCUs lack a comparable number of affluent alumni, which affects their fundraising potential and overall financial sustainability.

Potential Challenges and Considerations

Implementing the Ivy League model in HBCUs presents both opportunities and challenges:

  • Funding Limitations: The financial constraints of HBCUs compared to Ivy League schools necessitate a tailored approach. Without significant endowment and alumni support, fully adopting a no-athletic-scholarship model could limit HBCUs’ competitiveness in attracting top athletic talent.
  • Cultural Fit: The cultural and historical contexts of HBCUs differ significantly from those of Ivy League schools. Any model adopted must align with the unique missions and student populations of HBCUs.

While the Ivy League athletic model offers valuable insights into promoting academic achievement and holistic development, its application in HBCUs would require careful adaptation. Financial disparities in endowments, alumni giving, and research funding pose significant challenges. However, by focusing on the integration of academic and athletic excellence while fostering community engagement and support, HBCUs can create a unique model that reflects their values and enhances student success both on and off the field.

In the end, HBCUs have to accept the realities on the ground. We have tried chasing the golden ticket of athletics only to find out time and time again it is fool’s gold. It is not the thing that will alter the financial realities of our institutions. If anything it may be the thing that causes their failure as a looming admissions’ crisis is looming across all of American higher education and without a lot of dry powder on hand many institutions will easily go the way of the Dodo bird. It is time to think differently, think acutely, and chart a path that maybe uncomfortable or not what we originally imagined but will ensure the existence, sustainability, and success for future HBCU generations.

Disclosure: This was written with the assistance of ChatGPT.