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                       INTERCOLLEGIATE ATHLETICS

                              Multi-Year Athletics Scholarships


At its June 2005 meeting, the NCAA Presidential Task Force on the Future of Division I
Intercollegiate Athletics Student-Athlete Well-Being Subcommittee identified the issue of multi
year athletics scholarships as an issue warranting further discussion. Current NCAA rules limit
an institution to award athletically related financial aid to a student-athlete to not exceed one
academic year.


1900 Official athletics grants-in-aid existed, though they were sparse and generally condemned
     by conferences and institutions. Penn State College offered athletics grants-in-aid by
     action of the Board of Trustees.

1922 The NCAA unanimously adopted a 10-point resolution addressing eligibility concerns
     among member institutions, which included no payment to students for athletics

1934 The NCAA adopted a code of “fair practices” regarding recruiting and subsidizing
     athletes, which included opposition to offering athletics grants-in-aid.

1935 The Southeastern Conference became the first major conference to make legal the
     granting of athletics scholarships.

1948 The NCAA passed the “Sanity Code” to eliminate athletics scholarships. Institutional aid
     to athletes based on athletics ability to any student could not exceed tuition and fees.

1951 The NCAA dropped the financial aid provision of the “Sanity Code.”                 Athletics
     scholarships were now permissible and were awarded over a period of years.

1952 The Ivy League voted to disallow athletics scholarships.

1961 The Big Ten Conference agreed to full athletics scholarships.

1973 The NCAA voted for a one-year limit to financial aid awards, which would be renewable
     though scholarship committees. Previously, scholarships were awarded for a four-year
     period and could not be revoked once awarded.
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Page No. 2

Coalition on Intercollegiate Athletics (COIA).

   The Coalition on Intercollegiate Athletics (COIA) was formed in 2002 and is an alliance of
    faculty senates at NCAA Division I-A institutions. It seeks to become a faculty voice in the
    national debate over the future of college sports.

   The group developed a white-paper document containing dozens of best practices on faculty
    governance and oversight of athletics plus several legislative proposals geared toward
    academic reform.

   Recommends the following policy to be implemented through NCAA bylaws: Athletics
    scholarships shall be awarded on a year-by-year basis with the presumption that they will be
    renewed up to four times for a total award of five years, or until graduation, whichever comes
    first, for students who are in good academic standing, conform to campus codes for student
    behavior, conform to the athletics department’s standards of conduct, and adhere to team
    rules. If a student graduates in fewer than five years, an institution may renew the
    scholarship if the student has athletics eligibility remaining. Institutions shall establish
    criteria and a mechanism for revoking a scholarship. The final authority for revoking a
    scholarship shall rest with the institution’s chancellor or president. A student awarded an
    athletics scholarship who is no longer participating in athletics will be counted against the
    NCAA maximum number of awards for that sport, unless the scholarship is revoked.

California Senate Bill 193.

   The bill, introduced by Senator Kevin Murray, sought to prohibit California universities and
    colleges from membership in any organization, including the NCAA, whose rules restrict
    student-athlete grants-in-aid, health insurance coverage, agent relationships and transfers to
    other institutions.

The Drake Group (TDG).

   The Drake Group is a national organization of collegiate faculty and others who are
    committed to academic integrity in collegiate athletics.

   Developed seven proposals to address current issues in intercollegiate athletics.

   Proposed to replace one-year renewable scholarships with need-based financial aid or with
    multi year athletics scholarships that extend to graduation (five-year maximum).

The Knight Commission.

   The Knight Foundation Commission on Intercollegiate Athletics was formed in October
    1989 in response to more than a decade of highly visible scandals in college sports. The goal
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    of the commission was to recommend a reformed agenda that emphasized academic values in
    an arena where commercialization of college sports often overshadowed the underlying goals
    of higher education.

   The commission presented a series of recommendations in a 1991 report, and A Call to
    Action in 2001 and will continue to monitor and report on progress in increasing presidential
    control and academic and financial integrity of athletics programs.

   In its 1991 report, the commission listed the creation of multi year scholarships offered for a
    five-year period as a reform measure it strongly supports.

NCAA Division I Student-Athlete Advisory Committee (SAAC).

   At its July 2003 meeting, the NCAA Division I Student-Athlete Advisory Committee
    (SAAC) discussed a referral from the NCAA Division I Academics/Eligibility/Compliance
    Cabinet’s financial aid subcommittee regarding multi year athletics scholarships. The SAAC
    agreed that the current legislation specifying that an institution may not award athletically
    related aid in excess of one academic year was appropriate and should be maintained.


There currently are no NCAA proposals to revise legislation permitting annually renewed grants-
in-aid. The idea put forth by COIA would change NCAA bylaws and permit multi year
scholarships renewable on a year-to-year basis. The student-athlete would expect the scholarship
to continue each year and would only lose it after a decision by the institution’s top academic
officer instead of an athletics department official. Proponents of extending the term of athletics
scholarships beyond one year assert that the current one year grants-in-aid are designed to ensure
the viability of athletics programs by giving coaches leeway to shift scholarship support away
from under performing or under committed athletes. Institutions are not required to notify
students of their continuing status until July 1; some students do lose their financial support. To
ensure that education remains the priority, renewal of athletics scholarships should be unrelated
to athletics performance or athletics scholarships to be replaced with educational grants awarded
on the basis of financial need. The dependence of continued financial academics support on the
decisions of athletics department diminishes the incentive for athletes to place academics first
and heightens the perception that scholarships are simply “pay for play.” The idea proposed that
scholarships be awarded for five years, the time athletes normally require for graduation,
presumably to underscore that scholarships are given to students, rather than athletes. The idea
of a five-year scholarship reflects the fact that college scholarships are fundamentally academic,
even if the merit basis is sports skill. Under the current structure of athletics scholarships,
athletes may be legitimately concerned that their continued access to education depends on
sports success. This can create a conflict of incentives that may lead to an emphasis on athletics
at the cost of academics. This would send a clear message that universities are committed to
athletes to the point of graduation.
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Associated Legislative Proposals Currently Under Consideration.

   Proposal No. 2003-24 Financial Aid – Terms and Conditions – Period of Award and
    Proposal No. 2003-24-1 Period of Award – Exception (require an institution to award
    athletics scholarships for one full academic year, rather than on a term-by-term basis).

Possible Options.

   Award athletics scholarships on a year by year basis and that the award will be renewed up to
    four times for a total of five years, or until undergraduate graduation, whichever is earlier.
    Further, to specify that the renewal shall also apply to a student-athlete who graduates in
    fewer than five years provided the student-athlete has eligibility remaining.

Current Data/Information Available via the NCAA Research Staff.

   Graduation rates of student-athletes compared to that of the general student-body.

   Research the number of athletics scholarships that are not renewed each term.

Data/Information that could be Requested from the NCAA Research Staff.

   What is the impact on the total population of student-athletes?

   What is the financial cost to institutions to award multi year scholarships to student-athletes?

   What is the scholarship structure for the general student body?

   What effects will multi year scholarships have with the idea of five years of eligibility?

The National Collegiate Athletic Association
January 18, 2006           LMH/BN:ld/jcw

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