Report: Power conferences set initial revenue-sharing cap for 2025-26 sports year

After the House v. NCAA settlement received preliminary approval last month, schools across the country are bracing for the revenue-sharing era in time for the 2025-26 sports year. The power conferences are also preparing their members by informing them of the projected cap, Yahoo Sports’ Ross Dellenger reported.

Schools were informed of the projected $20.5 million cap this week, Dellenger said. That figure is 22% of the average Power Conference school revenue in the previous year, and the cap will rise 4% each year as part of the settlement agreement.

The $20.5 million is lower than the previous estimates of $21-22 million. Regardless, that sum is for schools to use at their own discretion and share with athletes.

Revenue-sharing is just one part of the House v. NCAA settlement, though. Scholarship increases are coming across sports, as are new roster limits, if the agreement is certified. The proposed rosters include football (105), men’s and women’s basketball (15), baseball (34), men’s and women’s soccer (28) softball (25) and volleyball (18).

Judge Claudia Wilken preliminarily approved the House v. NCAA settlement after previously telling attorneys to “go back to the drawing board” during the first hearing. NCAA president Charlie Baker released a statement praising the decision and what it means for the future of college sports.

“We are thrilled by Judge Wilken’s decision to give preliminary approval to the landmark settlement that will help bring stability and sustainability to college athletics while delivering increased benefits to student-athletes for years to come,” Baker said. “Today’s progress is a significant step in writing the next chapter for the future of college sports. We look forward to working with all of Division I, and especially student-athlete leadership groups to chart the path forward and drive historic change.”

What’s next after preliminary approval of House v. NCAA settlement?

Preliminary approval was just the first step toward final approval of the House settlement, though. It’s still a long way to the finish line to usher in the revenue-sharing era.

Notice campaign and claim periods began last month as athletes received the terms and claims procedures. The first back-damage payment is due May 15, 2025, or within 45 days of the settlement’s finalization. According to the long-form settlement agreement, the average damages award for a football or men’s basketball player at a Power Five conference school will be approximately $135,000.

The settlement also allows for objectors. Some have already come forward, including former and current rowers at Yale, Oregon State, George Washington and Texas. The deadline for objections is scheduled for Jan. 31, 2025, which is the same day the claim period will close.

The motion for final approval of the House v. NCAA settlement is on March 3, 2025. The final approval hearing is then scheduled for April 7, 2025, and will be held remotely and in person.

Pete Nakos contributed to this report.