UTC Vice Chancellor for Athletics Mark Wharton said widespread changes in college athletics, including NIL payments to athletes and widespread use of the transfer portal, pose significant financial challenges.
“It’s certainly a brave new world,” Vice Chancellor Wharton said. “Between the current transfer and NIL environment to revenue sharing and roster limits, there’s a lot of change in how we go about business in 2025. One thing remains constant as we adapt to these transformative changes.
“The student-athlete experience is our priority.”
The most notable change mentioned by Vice Chancellor Wharton is with the proposed House v. NCAA settlement. The landmark decision addresses issues related to athlete compensation and rights. The proposed settlement, expected to be finalized in April 2025, underscores critical shifts in college sports governance and structure. He listed these implications for UTC:
- Revenue Sharing: This new model aims to provide a more equitable distribution of resources across all levels of college athletics. It allows for up to 22 percent of departmental revenue (excluding donations) to be allocated for sharing with student-athletes. This system addresses financial equity but requires strategic planning and additional resources to sustain the comprehensive success of the Mocs programs.
- Enhanced Athlete Rights: Student-athletes now have greater opportunities to profit from their Name, Image, and Likeness (NIL). The main message to Chattanooga student-athletes is empowering them to utilize their brand and reputation for the betterment of not only themselves, but also the community through service and engagement as well as business opportunities.
- Roster Limits: Under the new settlement, all rostered student-athletes are eligible for full scholarships, a departure from current NCAA policies. This offers tremendous benefits but also creates an unprecedented financial burden on the department. Opting into this model increases reliance on private support to maintain a competitive edge where the focus is even more dedicated to unrestricted funds and endowed support.
- Back Pay Damages: The settlement includes back pay for student-athletes who competed at a Division I institution from 2016-2024, funded by NCAA revenue withholding over the next decade valued at $2.8B. For UTC, this translates to a low to mid-six-figure annual financial impact starting in the fiscal year 2025.
“It certainly provides challenges for all of our sports,” Vice Chancellor Wharton added. “We look at it as an opportunity for our community to come together and find solutions to keep Chattanooga among the most enviable mid-major programs in the country.
“That comes from the generosity of our donor and alumni base. We also need to tap into what makes our city so special; that pride in the city and the overall family support it provides.”
Vice Chancellor Wharton then followed with three ways of development to keep pace with this new environment.
- Join or Increase Mocs Club Membership
The Mocs Club is the department’s lifeline, enabling unrestricted gifts that supports every program. It’s currently Year 2 of our Mocs Take Flight initiative and driving towards the finish line to reach $1.5M annually in unrestricted funds by 2027. The double-digit growth in unrestricted gifts over the past three years is a competitive advantage. By hitting the marks in Year 5 of this initiative, it puts the department at the top of its conference peers. With the end of the calendar year at hand, there is no better time to get a last-minute tax deduction while supporting these efforts.
- Support The Flock
NIL is a game-changer in collegiate athletics. Being a leader in the Southern Conference space is critical for the University as well as coaches and student-athletes. If every current UTC donor contributed an additional $100 to The Flock, it would generate more than $200,000+ for student-athletes and boost competitive positioning. Support in this area ensures student-athletes can seize NIL opportunities in a fair, ethical and impactful manner. Officials said The Flock was formed to create and develop NIL opportunities for all UTC student-athletes through marketing partnerships, appearances, events, and community service projects.
- Buy Season Tickets
Purchasing season tickets is a simple yet impactful way to support UTC Athletics. Not only does it provide sustained revenue, but it also enriches the game-day atmosphere, inspiring student-athlete performance and fostering community pride.
“We remain steadfast in our commitment to providing exceptional opportunities for our student-athletes, on and off the field,” Vice Chancellor Wharton concluded. “While the financial landscape is becoming more complex, we are dedicated to pursuing solutions that uphold our values without compromising the quality of our programs. This means embracing innovative approaches to financial planning rather than resorting to cuts that could be detrimental to our student-athletes, staff and fans.
“Our alumni, fans and donor involvement is crucial in navigating this brave new world. We believe that together, we can meet these changes as well as the ones to come and emerge stronger than ever before.”