### Historic Shift in College Sports Finances as Schools Prepare to Pay Athletes

In an unprecedented move for college sports, federal judge Claudia Wilken approved a transformative agreement that will allow schools to pay their athletes millions starting next month. This ruling marks a significant departure from the amateur model that has defined college athletics for over a century.

Arizona State swimmer Grant House initiated the lawsuit nearly five years ago, targeting the NCAA and its five largest conferences to lift barriers on revenue sharing. The approved settlement, dubbed the House settlement, allows each school to distribute up to $20.5 million to their athletes over the next year and allocates $2.7 billion over the next decade to thousands of former players previously excluded from this revenue.

Syracuse University has committed to maximizing the $20.5 million cap, although it remains unclear how the funds will be allocated among sports teams such as football and men’s and women’s basketball. In contrast, Le Moyne College, which has recently transitioned to Division I, has not disclosed its payment plans. All Division I schools have until June 15 to opt into the revenue-sharing model.

Steve Berman, one of the lead plaintiff attorneys, hailed the settlement as a "fantastic win for hundreds of thousands of college athletes." NCAA President Charlie Baker echoed this sentiment, indicating that the deal could help stabilize the landscape of college sports.

This monumental change coincides with a previously historical ruling from Judge Wilken. Eleven years ago, she ruled in favor of former UCLA basketball player Ed O'Bannon, permitting college athletes to profit from their name, image, and likeness (NIL). These recent developments extend beyond NIL, addressing long-standing inequalities in how revenue is shared among athletes.

As colleges hustle to adapt to these changes, they must also prepare for the oversight now largely transferred to the four biggest conferences: the ACC, Big Ten, Big 12, and SEC. These conferences play pivotal roles, especially in the financially significant College Football Playoff, which operates independently of the NCAA.

The finalization of this deal was delayed by concerns over new roster limits, which threatened opportunities for walk-on athletes. Wilken's decision to allow cut athletes to return to their schools or join other teams without affecting roster limits helped address these concerns.

Despite these adjustments, uncertainties remain. The settlement has broad implications, potentially benefiting star athletes in major revenue sports like football and basketball while creating challenges for walk-ons and athletes in Olympic sports, which are crucial for U.S. Olympic success.

While the legal battle may be nearing its end, further litigation looms due to varying state laws on NIL distribution. Baker continues to advocate for federal legislation to create a unified framework for college sports and safeguard the new model from future disruptions.