Senator Chambers later noted in his speech, many collegiate athletes come from low income backgrounds and athletics is their way out. One of the biggest reasons student athletes leave for the NBA or NFL before their eligibility expires is because they will be paid. By providing them with financial assistance, even if it is set aside in a trust fund, it may make a difference for student athletes who are on the fence about ending their education early.
Issues with the NCAA also arise when considering that in 2013, the NCAA’s management and general spending grew by 9% while the distribution to Division 1 members
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NCAA case.
When Judge Wilken decided in favor of the plaintiffs in the O’Bannon v. NCAA case, she decided that it is permissible for FBS football or Division I basketball players to be compensated while in school. Although she decided that the NCAA can cap the amount of money that student athletes receive, the cap cannot be lower the cost of attending school which includes not only tuition, room, board, books, and mandatory fees, but also transportation and other various expenses. She noted that schools are not required to, but they may place money in a trust fund for student athletes to receive after they graduate, with the NCAA’s cap on trust funds being no lower than $5,000 per year as long as student athletes remain academically eligible (Judge releases ruling on O 'Bannon case: NCAA loses). She decided that the NCAA will be able to make rules that prohibit schools from offering different amounts of money to student athletes on the same team. Also, schools will be able to change the amount of money they place in trust funds annually if they wish to do so. Although this decision is being appealed, the NCAA has