National Letter of Intent being evaluated, no timetable set

The National Letter of Intent (NLI) program started in 1964.

Now the binding agreement signed by recruits for generations is being reviewed and could be on its way out. Speaking with sources throughout the week, college administrators are evaluating the possibility of moving away from NLIs.

The Collegiate Commissioners Association (CCA) is expected to meet next month to discuss a possible proposal to eliminate the National Letter of Intent. Instead, financial aid agreements would serve as the binding documents between an institution and a school.

The CCA meets once a quarter. Ideally, the group could vote at its next meeting. The question remains how quickly the NCAA would adopt the new proposal to eliminate the National Letter of Intent. The NCAA Division I Council is slated to meet in October, however, sources said it remains unclear if this would need to be voted on at the NCAA Convention in January in Nashville.

When signing an NLI, an athlete agrees to attend an institution full-time for a year. The school also agrees to provide financial aid for a full year. Sources told On3 that the preexisting financial agreement could take the same role.

NLI penalties changed last year, no longer forcing athletes to sit a semester if they signed a request for release after a coaching change.

House settlement impact on National Letter of Intent

The much-anticipated long-form settlement in the House v. NCAA will be put in front of U.S. District Judge Claudia Wilken next week in the first steps of the approval process. If approved, the historic settlement would introduce athlete revenue sharing, new roster limits for every sport and arbitration to enforce disputes.

As part of the 10-year proposal, schools would be permitted to pay athletes more than $20 million annually. While the settlement still faces a months-long process to be approved, a new binding document between a school and athlete will need to be created with the introduction of revenue sharing. Whether that means new terminology in the financial aid agreement or a new binding document remains unknown.

In the fourth year, a recalculation of revenues will generate a new cap, according to the settlement agreement.

“Here’s the thing that people aren’t really talking about is that’s only the first year number,” Ohio State athletic director Ross Bjork told On3 of the $20-plus million figure at Big Ten media days. “The first year number is roughly $22 million. The second year, it grows to $24 million, and then it grows about a million a year. So I think it’s way too early to put a number on the first year. I think it’s way too early to put a number on the second year, we need clarity on Title IX.”