A Healthy Sibling Rivalry

The NCAA and NBA are finally having it out. After years of “will they or won’t they” and “are they or aren’t they,” the two most important organizations in American basketball are gearing up for a sustained fight. It’s a fight which if not diffused quickly could lead to radical changes in how basketball operates in this country and how players are developed. These changes will make many people unhappy. This post is about why I hope this fight is not diffused quickly.

The fight started with President Mark Emmert’s comments about the NBA’s 19 year-old age limit that requires basketball players to spend a year doing something:

“I happen to dislike the one-and-done rule enormously and wish it didn’t exist. I think it forces young men to go to college that have little or no interest in going to college.”

NBA Commissioner David Stern had a rather pointed response:

“A college could always not have players who are one and done. They could do that. They could actually require the players to go to classes. Or they could get the players to agree that they stay in school, and ask for the scholarship money back if they didn’t fulfill their promise. There’s all kinds of things that, if a bunch of people got together and really wanted to do it, instead of talk about it.”

Let’s quickly get one thing out of the way: both men are correct. There are a group of athletes who, but for the age limit, would be in the NBA. They are in college because they decided that college basketball was the best alternative. And the NCAA, conferences, or schools could adopt any number of policies designed to fight the effects of the one-and-done rule. But neither really addresses the other. You still have athletes who would rather not be in college and it is still not the NBA’s problem.

This fight is unlikely to go away because conventional wisdom says each group needs the other. Operating a U23 developmental league on the scale of Division I would be impossible for the NBA on its own. And if the NBA removed the best players from college basketball, interest would drop some amount. Both of these facts are true, but both are also irrelevant.

The NBA does not need to operate a developmental league at the same level of the NCAA, with full rosters of NBA-age players, additional facilities, and another administrative staff. The NBA simply needs to operate cheaper youth teams (at least two, one for high school freshmen and sophomores and one for juniors and seniors) and expand rosters using development slots at below the current minimum salary to make teams large enough to support a reserve league. Youth and reserve teams would leverage existing infrastructure, drastically cutting development expenses. Broadcast partners and sponsors, especially shoe companies, might pay for the entire project.

There’s also not great evidence that college athletics needs a steady supply of would be pros to be popular. College baseball has reached record levels of revenue and popularity at the same time MLB clubs were throwing so much money at kids to not go to school that it became the central issue in the new collective bargaining agreement. The same goes for college soccer, which continues to grow despite MLS shifting money to its own developmental system.

If this were the end of it, the answer would be simple. One quick meeting between Emmert and Stern and aside from fending off the conspiracy theorists, the issue would be settled. The outcome would be a different type of early entry system, one that used all or parts of the MLB, NHL, and MLS systems. But this needs to be a knockdown, ugly drag out fight because of something the two men agree on. First President Emmert:

“If you want to become a professional athlete, there’s no better place to go generally than to come to one of our schools to develop your skills and abilities.”

And Commissioner Stern:

“For our business purposes, the longer we can get to look at young men playing against first-rate competition, that’s a good thing.”

Both make the assumption that college athletics is the best way to develop and evaluate future professional athletes. I can concede that it is the best system in existence in the United States at the moment. But the best possible? Far from it. At the risk of beating a dead horse, developing future pros is not a high priority of the NCAA. If you look at the NCAA’s rules, it’s much easier to conclude that the rules are designed to prevent athletes from becoming professional athletes rather than to help them. Some examples:

  • Athletes are limited to a maximum of 20 hours per week of training. But during the season, that 20 hours has to include games, each of which cuts into training by 3 hours.
  • During the offseason, athletes are limited to just eight hours of training. Skill instruction is further limited to just two hours of those eight. For long portions of the year, no training can be required at all.
  • Athletes are generally prohibited from even requesting additional skill instruction because of the way the NCAA has defined voluntary activities.
  • Athletes are required to pursue an academic career parallel to their athletic one, which takes away from the time and energy they can devote to improving.
  • Staffing and recruiting limits make evaluation and selection of athletes with the most potential to be pros more difficult.
  • The NCAA operates (or allows to operate) national championships that become the primary focus of a coach’s job, rather than developing future professional athletes.

All of which makes it curious that the NBA has chosen to outsource its development when an organization with completely different priorities is the best alternative. In fact, far from simply taking advantage of a free service, the NBA once looked to invest directly in the NCAA as a development system, according to Stern:

“Years ago I said to the NCAA, I’ve got a great idea. We’ll insure a select group of basketball players. And that will make them more likely to stay in school, because they won’t feel the loss of a big contract. We’ll designate a pool and those lucky enough to be drafted and make money will pay us back, and those that don’t, it’s our expense.”

That’s odd immediately preceding a quote where Stern says he is not concerned with the NCAA and that NBA rules are not “social programs.” But even stranger is that the NBA was willing to pour money, maybe millions of dollars depending on the size and success of the program, into something it has no direct control over. The NBA is either happy with the quality of player it receives (which it isn’t because it is looking for more time to evaluate) or it likes the exposure players get by playing college basketball (which is odd given the animosity of NBA fans to college basketball and the fact that the NBA is the world leader in marketing individual athletes).

Neither explanation makes sense, so something else might be at work. My gut is that the NBA has in the NCAA a convenient set of excuses for why some players never pan out and some teams never make good decisions. This role of whipping boy is one the NCAA is increasingly unwilling to play. That especially applies to accusations about policies it has no role in drafting (like the NBA age limit) or that it ignores its own rules to protect income it doesn’t receive (like in the regulation of FBS football).

Thus the coming showdown. The war of words over whose “fault” the one-and-done “crisis” (both terms used loosely) is has already started. Both organizations have their next move in the works. The NBA and the union are studying the age limit with a possible move to 20 years-old and two years out of high school. The NCAA is mulling reductions in the number of basketball games and has already passed new initial eligibility requirements that may sideline for a year many of the players the NBA was looking to get extra time to evaluate.

If the current trend continues, the NCAA will increasingly move toward not being an acceptable alternative for the NBA’s purposes. At some point, the NBA would have to move toward a more active role in identifying potential pros at a younger age and investing directly in their development through youth and/or reserve league teams. Not to mention a mechanism to sign homegrown players that both provides an incentive for teams to take youth development seriously but still provides a degree of competitive balance.

And much to the chagrin of partisans in this debate, both the NBA and the NCAA will be fine. College basketball was fine in the prep-to-pros era and will be fine even with more athletes heading to the NBA directly from or even during high school. And the NBA will find it is better able to develop and market elite talents on its own rather than assuming college basketball will do it for them. The tie that binds the two together, the NBA draft, will still exist but it’s impact will be defined by how many players slip through the cracks in the new NBA system. But it will be of secondary importance rather than the be all, end all for many young basketball players.

One might look at all this and say it’s a lot to extrapolate from two press appearances. It is. One might say I’m blowing this out of proportion. I am. In fact, I’m deliberately trying to pick this fight because it needs to happen. Because until it happens, the sport cannot move forward.

About John Infante

The opinions expressed on this blog are the author’s and the author’s alone, and are not endorsed by the NCAA or any NCAA member institution or conference. This blog is not a substitute for a compliance office. If you’re a coach, do not attempt to contact the author looking for a second opinion. If you’re a parent, don’t attempt to contact the author looking for a first opinion. Compliance professionals are by their nature helpful people generally dedicated to getting to the truth. Coaches should have a bit of faith in their own, and parents should talk to one directly.

Majoring in the Minors

One of the most common criticisms of the NCAA is that it is (or has been for a long time), the minor league for the NFL and the NBA. With no youth or developmental system at all in professional basketball and football, it is left to college athletics to develop players after they leave high school.

That raises intense, heated debate about the responsibility of the NCAA and its members, given that the major leagues have as little or maybe even less interest in providing a professional option for 18–23 year olds. But it also raises a different and more important question of what the NCAA’s responsibility is to those players for their development.

Because one of the best arguments against the idea that the NCAA is operating the NFL and NBA’s developmental leagues is that the NCAA seems wholly uninterested in developing professional athletes. Sure, plenty of professional athletes come out of college athletics, not just in sports with no other options. And sure, some programs have a huge pipeline to the pro ranks. But all of this is in spite of many of the NCAA’s rules rather than because of them.

Seasons are generally short, with some sports have far too few games and some sports having far too many against too inconsistent a level of competition. Practice time with coaches is tightly restricted, and often has to cede to games when the schedule gets congested. And in the offseason, there is little or no time to develop skills.

Instead, NCAA rules regarding playing and practice seasons are designed to provide as high a level of a competitive experience to student-athletes without an unacceptable level of disruption to the academic experience. Rather than professional athletes, the rules are focused on creating national champions and college graduates.

This does help some student-athletes become professional athletes due to the sheer volume of athletes who get an opportunity to compete at a high level. But the process is haphazard. Defenders of the NBA’s age limit (and to a lesser extent the NFL’s) point to failed pro careers that started to early. But how many potential pro careers are ruined by the athlete not getting the intensive training and maybe even competition at a consistently elite level?

You could run college athletics as a developmental league, with longer seasons, fewer games against higher levels of competition, and more incentives for producing pros than for winning games. And it would not be a revolutionary idea to provide an education and training in a discipline that the vast majority of students will never make a living from (see: many performing and arts majors).

But the best musicians are produced in conservatories and the best actors come from performing arts schools. A university can develop and produce talented entertainers, but it would be hard to argue that the specialized environment doesn’t have a number of advantages a university never will.

The fight over pay-for-play and academic standards is part of a larger discussion about what we do with athletes between the ages of about 12 and 22. To come up with an answer, we need an answer to this question: How important is going to high school and college with their peer group for professional athletes? Do they have to reach those milestones at the normal ages to get the benefits? Do they have to go to traditional educational institutions? Or is simply getting the education at some point the key?

If it is important, then the onus maybe on universities, as institutions that are part of the public trust, to provide this type of training and increase access to college for elite developing athletes. But if not, it might be time to seriously question why we insist on hammering a square peg into a round hole.

About John Infante

The opinions expressed on this blog are the author’s and the author’s alone, and are not endorsed by the NCAA or any NCAA member institution or conference. This blog is not a substitute for a compliance office. If you’re a coach, do not attempt to contact the author looking for a second opinion. If you’re a parent, don’t attempt to contact the author looking for a first opinion. Compliance professionals are by their nature helpful people generally dedicated to getting to the truth. Coaches should have a bit of faith in their own, and parents should talk to one directly.

MLB Agreement Big News For College Baseball

When the NCAA legislative process is wound into high gear, it’s natural for compliance offices to take notice. Obviously if something changes in the book we use everyday, we need to know that and be ready for it.

Major league collective bargaining negotiations would seem to have a lot less impact on college sports. But the changes made in them can have a big impact. Normally those changes are small in the grand scheme of things. A two-year age limit in the NBA is considered a footnote to a negotiation that centers on revenue splits and free agency mechanics, despite the impact is has on the NBA’s talent pipeline.

By contrast, Major League Baseball’s quick and quiet negotiations made spending on new players who are or might be in college a major issue. After recommended signing bonuses for players failed to curb spending on incoming talent, the union and the owners have agreed to significant penalties for teams who do not follow MLB’s slotting system.

A luxury tax threshold will be set based on a team’s recommended bonuses for the first 10 rounds of the draft. Exceeding the recommended bonuses by even 5% requires payment of a 75% tax. Penalties escalate quickly; teams exceeding the tax threshold by 15% pay a 100% fine and lose two first round draft picks.

In addition, the signing deadline was moved up a full month. Instead of being in mid-August, right before school started, it will be in mid-July, moving around based on the All Star Game.

All of this is a gigantic win for compliance professionals and the NCAA Eligibility Center. With less wiggle room allowed (and small commissions available), agents acting as advisors to players have less incentive to take a hands-on approach to negotiations, meaning fewer violations of Bylaws 12.3.2 and 12.3.2.1. The shorter negotiating window also means amateur status can be settled sooner, reducing the number of Eligibility Center investigations which stretch into the school year.

In the medium-to-long term, it should improve other aspects of the recruiting and initial eligibility process. Baseball should settle into a pattern, like the NBA did, where draft position largely dictates whether a prospect will attend college. This means prospects who are not projected high enough will need to take academics more seriously. A worldwide draft, rumored to be a possibility as soon as 2014 would push even more prospects toward college.

Whether it turns out to be a win for college baseball as a whole remains to be seen. Baseball has struggled to attract athletes, and now large amounts of money available early in an athlete’s career will no longer be available. How much? In 2011, just three teams (Pirates, Royals, and Nationals) spent more than $25 million over slot on draft picks covered by the new regulations. The top three picks received bonuses that were roughly double MLB’s recommendation. Those bonuses alone would have trigged the steepest penalties in the new draft luxury tax system.

The fear is that while more of the best baseball players will likely end up in college, fewer of the best athletes(subscription req’d) will still be playing baseball when it comes time to make the choice.

This is the part where MLB tells talented young amateur athletes – who, by the way, aren’t union members and had zero voice in these negotiations – that baseball is a lousy avenue for them to take, at least financially, and they should probably check out other sports.

Getting more of the best players does not help the game if the talent level of the entire player pool is significantly lower.

The uncertainty also comes from the NCAA’s side of the equation, since no sport is as greatly impacted by the Presidential Retreat reforms as much as baseball. The $2,000 miscellaneous expense allowance may change how coaches distribute their 11.7 scholarships. Length of scholarships will be a key concern, especially for parents of top pitchers. And the new academic requirements will have a noticeable effect in baseball, which has many junior college transfers and has struggled with below average APR scores.

College baseball is just starting to hit its stride as a potential revenue sport. As a spring sport with lots of games, it fills a huge programming need for conference or institutional TV networks. The Division I Baseball Tournament is reported to turn a profit for the NCAA. Attendance is up as well. Despite the struggles, most notably the geographic divide of Southern and Western haves vs. Northern have-nots, the sport is as healthy as any in college athletics. Whether these new changes, the second round to hit baseball in four years fuel more growth or hit the brakes remains to be seen.

The opinions expressed on this blog are the author’s and the author’s alone, and are not endorsed by the NCAA or any NCAA member institution or conference. This blog is not a substitute for a compliance office.

About John Infante

The opinions expressed on this blog are the author’s and the author’s alone, and are not endorsed by the NCAA or any NCAA member institution or conference. This blog is not a substitute for a compliance office. If you’re a coach, do not attempt to contact the author looking for a second opinion. If you’re a parent, don’t attempt to contact the author looking for a first opinion. Compliance professionals are by their nature helpful people generally dedicated to getting to the truth. Coaches should have a bit of faith in their own, and parents should talk to one directly.

The Deal

At its heart, the NCAA is a voluntary enterprise. Schools voluntary decide to join it and select their level of competition and regulation. Coaches and administrators choose to be employed by NCAA institutions, with all the restrictions and benefits that designation entails. Athletes choose to become student-athletes. When an athlete decides to become a student-athlete, they enter into a bargain.

That bargain provides athletes with assistance in paying for a college education, training and development in the sport of their choosing, and in some sports the exposure that can be vital in beginning a career as a professional athlete. In return, the student-athlete agrees to forego profiting off his or her athletic ability while they are a student-athlete and agrees to reach certain academic benchmarks. This is the deal offered to student-athletes.

There are plenty of potential criticisms of this bargain. You may not believe enough financial assistance is guaranteed. You may not believe the training and development is sufficient. And you may not feel like student-athletes have enough information to enter into this bargain or leave it at the proper time.

The fact is that for two sports, this bargain is only technically a bargain. College athletics is neither slavery nor indentured servitude. All student-athletes is free to walk away at any time if they feel exploited or are offered a better deal. But when an option is your only option, what is technically a voluntary bargain becomes one you are compelled to accept.

In some sports, baseball for instance, the bargain is a truly voluntary one. A prospective student-athlete is free under NCAA and MLB rules to be drafted and negotiate a contract (yes, we can argue about the agent/advisor distinction). At some point, the prospect has a final offer with a deadline from a professional team and a scholarship offer from an NCAA institution. He then can decide which one is in his best interest to accept. Similar scenarios play out in hockey and soccer every year.

But in football and basketball, those alternatives do not exist. A senior in high school has no clear alternative to agreeing to at least one or three years of NCAA amateurism. As a result, those years of restrictions on earnings and required coursework are essentially forced upon someone who would not have agreed to it if an alternative existed.

The onus then in put on the NCAA to improve the deal it offers to student-athletes. And not just at the margins in terms of multi-year scholarships or better training. Rather, the NCAA membership is pressured to change the fundamentals of the agreement by eliminating the restrictions on profiting from one’s athletic ability and/or reducing or eliminating the academic requirements.

But it was not the NCAA who made the current deal offered to student-athletes the only one available. It was the NFL and NBA who took advantage of the fact that the NCAA operates the only 18-23 year old developmental league at zero cost to the professional league it feeds athletes into in the world. If Division I athletics were not played at the level they are, it would be both unconscionable and unprofitable to both bar high schoolers from entering the professional ranks and refuse to operate a minor league focused on development.

When Brigham Young University suspended Brandon Davies for a violation of the university’s Honor Code, we were reassured that every student at BYU knows what they are signing up for. To the extent that we as NCAA members have failed to make it clear to prospective student-athletes what they are signing up for, then we can justly be criticized.

Because NCAA amateurism has an educational, if not a moral component. It preaches delayed gratification. It encourages student-athletes to use fleeting athletic talent to secure a college education, something with a much greater shelf life. And it exposes student-athletes to a range of experiences and opinions they are unlikely to encounter if they jump straight to the professional ranks.

But no one should be forced into those experiences. If a student-athlete does not want to be bound by the BYU Honor Code, there are 345 other Division I institutions that have different rules. Prospective student-athletes don’t need 345 different options when deciding how to continue their athletic career. They just need at least two. The NCAA is offering one. It’s time that the NFL and NBA offer a second.

The opinions expressed on this blog are the author’s and the author’s alone, and are not endorsed by the NCAA or any NCAA member institution or conference. This blog is not a substitute for a compliance office.

About John Infante

The opinions expressed on this blog are the author’s and the author’s alone, and are not endorsed by the NCAA or any NCAA member institution or conference. This blog is not a substitute for a compliance office. If you’re a coach, do not attempt to contact the author looking for a second opinion. If you’re a parent, don’t attempt to contact the author looking for a first opinion. Compliance professionals are by their nature helpful people generally dedicated to getting to the truth. Coaches should have a bit of faith in their own, and parents should talk to one directly.

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