As Name, Image and Likeness and recruiting restrictions continue to change amidst calls to properly compensate collegiate athletes, especially those in high-earning sports, a new law signed April 18 allows Virginia schools to compensate players for NIL rights. The University played a major role in drafting the bill, which takes effect July 1. House Bill 1505 is indeed groundbreaking and will largely shift the NIL landscape in Virginia, but Athletic Director Carla Williams should be cautious with this sudden and unprecedented change.
NIL has been debated for decades, but only gradually became legalized beginning in 2019. Student athletes have since been able to sign lucrative marketing deals with companies such as Nike or local businesses. With House Bill 1505, however, universities in Virginia can now get in on the action — the bill allows Virginia’s universities to establish NIL contracts with their own players. The bill empowers schools to pay athletes for marketing of any kind, essentially allowing the University to attract potential transfers and recruits with NIL deals of their own.
It is important to note that this law is the first of its kind. House Bill 1505 is the first to prevent the NCAA from punishing schools in any state for utilizing NIL directly, and it presents the University with a myriad of options. Virginia’s own NIL collective, Cav Futures, could now take on a new role as a University-incorporated organization rather than a third party. Williams has so far maintained an ambiguous stance, stating that the University “[hasn’t] made any final decisions” regarding whether or not athletes will be compensated for NIL.
Looking at recent recruiting, it is easy to assume that the University will jump at the opportunity to pursue NIL as a recruiting tactic. 247Sports currently ranks Virginia’s 2024 football recruiting class as No. 88 in the country — in the three years prior, Virginia ranked in at No. 64, No. 65 and No. 33. The best ranking came in 2021, the same year that the NCAA allowed students to profit off of their NIL, and a steady decline in recruiting for the Cavaliers followed.
Whether or not the University’s recruiting struggles can be correlated with poor performance on the field, limited NIL opportunities or both, Virginia has historically taken a cautious approach to NIL while other major programs commit entirely to the unknown in hopes of snagging top recruits and transfers. In an interview with The Athletic, Maddie Walsh, former director of marketing and athlete engagement for Cav Futures, explained that Virginia athletic programs, especially the basketball program, were inclined to set boundaries until the NIL landscape became more clear.
“They weren’t going to blow anything out of the water like some schools that have gone in with two feet,” Walsh said.
Now, it is fair to question whether or not Virginia will choose to maintain this stance in the wake of such a major change to NIL restrictions in the Commonwealth. With a struggling football program and a disappointing stretch for men’s basketball — the two most profitable and critical sports for any university’s athletic reputation — it would be difficult to justify staying clear of ostentatious in-house NIL deals. The pull to commit to NIL only becomes stronger as other in-state schools like Virginia Tech, James Madison and Liberty will undoubtedly take steps in that direction.
Despite the wealth of uncharted opportunities that may lay ahead, however, it is best for the University to carefully evaluate the implications of opening the NIL floodgates.
One thing to consider is that Virginia’s recruiting woes are often overblown or unrelated to NIL developments. For example, criticism of Virginia football’s inability to recruit partially ignores the strength of this year’s transfer class, which includes a pair of strong wide receivers from notable Power Five programs that were recruited thanks in part to efforts from current players. Freshman quarterback Anthony Colandrea, along with other young Cavaliers, played a major role in drawing transfers to the program seemingly without promises of major NIL deals, at least publicly.
Relatedly, though it's true the men’s basketball team has struggled in recent years, major transfers that left the team prior to the 2023-24 season appeared to do so for reasons mostly unrelated to NIL considerations. And despite a rough outing in the First Four of the NCAA Tournament, the transfer class that filled out last season’s roster was packed with valuable contributors, including graduate forwards Jordan Minor and Jake Groves.
The athletic department must recognize the successes of Coach Tony Bennett and Coach Tony Elliott — in part, by continuing to limit the excessive expansion of NIL — as long as Virginia’s transfer portal presence remains strong. Failing to do so risks alienating these coaches, especially Bennett who has taken a relatively measured approach to navigating the changing NIL landscape and whose importance to the University’s basketball program cannot be overstated.
Calls for NIL expansion often cite the revenue that athletes bring to their schools, claiming that they are not properly compensated considering the massive market surrounding major NCAA sports. However, while players certainly deserve a certain degree of compensation for their contributions, the compensation inherent in a scholarship that covers tuition, housing and nutrition — not to mention access to world-class training programs and facilities — should not be overlooked.
While strong clubhouse culture and abundant NIL opportunities are not necessarily in direct contrast, Virginia can and should emphasize accomplishments that few other programs can match — nationally-renowned academic and athletic opportunities at a public university. Virginia has the fourth-most Academic All-Americans in the ACC, and also boasts the second-most national championships in the conference. Virginia also ranks No. 4 and No. 7 in two different lists of best schools for student athletes, and Virginia's athletics programs already receive more money than any other ACC school.
Given the unique academic and athletic opportunities Virginia is able to offer its athletes — in addition to the abundance of resources available to the Virginia athletics program — it is not shocking that Virginia has been resistant to extravagant, NIL-induced changs. It is totally acceptable, and arguably beneficial, for Virginia’s coaches to wade carefully into the NIL waters while continuing to center its recruitment strategy around the institutional benefits that make Virginia an incredible home for student athletes.
Virginia cannot ignore the emergence of NIL, but it must remain realistic in its approach. Recruits and transfers, especially those who come from the Commonwealth or other states that inevitably follow Virginia’s lead and remove NIL restrictions, will undoubtedly seek out major NIL packages. After all, professional careers are never guaranteed. The University should take this opportunity to continue to expand the variety of NIL deals available to athletes while also emphasizing Virginia’s unique status as a well-rounded institution, both academically and athletically. Pairing the University’s current recruiting approach with strong NIL offerings is the best way to toe the line as the NIL landscape continues to rapidly expand and evolve.
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