Florida Board of Governors allows $22.5M in auxiliary funds for athletics to cover NCAA revenue sharing
The Florida Board of Governors approved an amendment Wednesday allowing state universities to allocate up to $22.5 million in auxiliary funds annually to athletics, helping to cover revenue-sharing obligations tied to the NCAA v. House settlement. The board approved the measure, which will remain in effect through 2028.
The change gives public institutions in Florida a temporary financial workaround as they prepare for a new era in college athletics, where direct compensation for athletes is now standard. Auxiliary funds -- typically generated from campus housing, parking, dining and bookstore fees -- were previously restricted from supporting athletics to ensure programs remained self-sufficient.
The issue was considered particularly unique to Florida, as universities in many other states have long relied on student fees and other institutional revenue streams to help fund athletic programs.
Now, public universities in Florida can tap into those sources for the next three years to offset the financial strain of the House settlement, which reshaped the NCAA's amateurism model by allowing schools to share up to $20.5 million annually with athletes beginning this upcoming academic year. The new revenue-sharing cap will increase by at least 4% each year during the 10-year agreement.
The Florida Board of Governors oversees 12 universities, with six of those schools -- Florida, Florida Atlantic, FIU, Florida State, South Florida and UCF -- fielding FBS teams.
The amendment could be especially significant for Florida State, which is also expected to receive an additional $15-20 million annually as part of its legal settlement with the ACC -- further boosting its financial flexibility during a pivotal shift in college athletics.
Florida is not the first state to adjust funding rules in an effort to support college athletics amid changing financial demands. Earlier this week, Louisiana moved to raise taxes on sports betting to channel more than $24 million into state public university athletic departments, pending approval from Governor Jeff Landry.
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