Extra Benefits
July 20, 2018 | Compliance
UofL coaches discuss extra benefits and the rules surrounding boosters and student-athletes.
The University Of Louisville Office Of Athletics Compliance provides rules education of NCAA, ACC and University regulations to promote a culture of compliance within both the Athletic Department and the University. The purpose of this video is to provide rules education for student-athletes, coaches, staff, and outside constituents.
Several coaches from the University of Louisville discuss extra benefits and the rules surrounding boosters and student-athletes. An extra benefit is anything a student-athlete receives that is not available to the general public or anything a student-athlete receives based on their status as a student-athlete at the University of Louisville. Accepting extra benefits jeopardizes a student-athlete's eligibility. Only coaches are allowed to recruit for the University. Boosters may not contact prospective student-athletes in any way. For more information on extra benefits, please see Bylaw 16.11 below.
Bylaw 16.11 Benefits, Gifts and Services. [A]
16.11.1 Permissible. [A]
16.11.1.1 General Rule. [A] Receipt of a benefit (including otherwise prohibited extra benefits per Bylaw
16.11.2) by student-athletes, their family members or friends is not a violation of NCAA rules if it is demonstrated that the same benefit is generally available to the institution's students and their family members or friends. (Revised: 1/19/13 effective 8/1/13, 8/7/14)
16.11.1.2 Deferred Pay-Back Loan. [A] A student-athlete may receive a loan on a deferred pay-back basis without jeopardizing his or her eligibility, provided: [R] (Adopted: 1/11/94, Revised: 8/7/14)
(a) The loan arrangements are not contrary to the extra-benefit rule; and
(b) The student-athlete's athletics reputation, skill or pay-back potential as a future professional athlete is not considered by the lending agency in its decision to provide the loan.
16.11.1.3 Loan From Established Family Friend. [A] A student-athlete may receive a loan from an established family friend without such arrangement constituting an extra benefit, provided: [R] (Adopted: 1/11/94, Revised: 8/7/14)
(a) The loan is not offered to the student-athlete based in any degree on his or her athletics ability or reputation;
(b) The individual providing the loan is not considered a representative of the institution's athletics interests; and
(c) The relationship between the individual providing the loan and the student-athlete existed prior to the initiation of the student-athlete's recruitment by the member institution.
16.11.1.4 Insurance Against Disabling-Injury or Illness, or Loss of Value. [A] A student-athlete may borrow against his or her future earnings potential from an established, accredited commercial lending institution, exclusively for the purpose of purchasing insurance (with no cash surrender value) against a disabling injury or illness that would prevent the individual from pursuing his or her chosen career or for the purpose of purchasing loss-of-value insurance, provided a third party (including a representative of an institution's athletics interests) is not involved in arrangements for securing the loan. However, an institution's president or chancellor (or his or her designated representative from outside the athletics department) may designate an institutional staff member (or staff members) (e.g., professional sports counseling panel) to assist a student-athlete with arrangements for securing the loan and insurance. The institution shall retain copies of all documents related to loan transactions and insurance policies, regardless of whether the institution is involved in the arrangements.[R] (Revised: 1/14/97 effective 8/1/97, 1/16/10, 8/7/14, 1/17/15)
16.11.1.5 Occasional Meals. [A] A student-athlete or the entire team in a sport may receive an occasiona lmeal in the locale of the institution on infrequent and special occasions from an institutional staff member. An institutional staff member may provide reasonable local transportation to student-athletes to attend such meals. A student-athlete or the entire team in a sport may receive an occasional meal from a representative of athletics interests on infrequent and special occasions under the following conditions: [R] (Revised: 1/10/92, 4/25/02 effective 8/1/02, 4/29/10, 8/7/14)
(a) The meal may only be provided in an individual's home, on campus or at a facility that is regularly used for home competition and may be catered; and
(b) A representative of the institution's athletics interests may provide reasonable local transportation to student-athletes to attend the meal function only if the meal function is at the home of that representative.
16.11.1.6 Research Studies Involving Only Student-Athletes. [A]
16.11.1.6.1 NCAA Research Studies. [A] A student-athlete may receive compensation from the Association for participating in specified NCAA research studies. Such compensation shall be consistent with the going rate for compensation offered in studies involving nonathlete populations. [R] (Adopted: 10/28/99 effective 8/1/00, Revised: 4/30/09, 8/7/14)
16.11.1.6.2 Institution-Based Research Studies. [A] A student-athlete may receive compensation from an institution for participating in a research study involving only student-athletes, provided: [R] (Adopted: 4/30/09, Revised: 8/7/14)
(a) The study is initiated and conducted by a faculty member at a member institution; and
(b) The study and compensation arrangements are approved by the institutional review board of the faculty member's institution consistent with policies applicable to other institution-based research studies.
16.11.1.7 Miscellaneous Benefits. [A] An institution may provide or arrange for the following benefits for a student-athlete: [R] (Adopted: 4/26/01, Revised: 4/24/03 effective 8/1/03, 4/13/09, 4/26/12, 1/19/13 effective 8/1/13, 8/7/14)>
(a) The use of a return ticket at any time after the conclusion of a foreign tour;
(b) Receipt of frequent flier points and/or miles earned while traveling to and from intercollegiate practice and/or competition;
(c) Participation in receptions and festivities associated with championships, conference tournaments or allstar events hosted by and conducted on the institution's campus;
(d) Occasional meals to team members provided by a student-athlete's family member at any location;
(e) Telephone calls in emergency situations as approved by the director of athletics (or his or her designee);
(f) Reasonable tokens of support and transportation, housing and meal expenses in the event of injury, illness, or death of a family member or another student-athlete;
(g) Fundraisers for student-athletes (or their family members) under the following extreme circumstances:
(1) Extreme circumstances should be extraordinary in the result of events beyond the student-athlete's control (e.g., life-threatening illness, natural disaster);
(2) The proceeds must be designated for a specific purpose (e.g., payment of medical bills, purchase of medical equipment, replacement of items lost in a fire, etc.)
(3) The proceeds may be given directly to the beneficiaries, with receipt kept on file by the institution, which must include the amount of expenses incurred and the total amount received; and
(4) The excess proceeds must be given to a not-for-profit organization with the receipt kept on file by the institution.
(h) The payment of admission costs or a meal for any student-athlete being honored at a non-athletics awards ceremony.
16.11.1.8 Student Assistance Fund. A student-athlete may receive money from the NCAA Student Assistance Fund. Member institutions and conferences shall not use money received from the fund to finance salaries and benefits; tuition and fees, room and board, and course-related books during a regular term (other than summer school) for student-athletes with remaining eligibility; capital improvements; stipends; competition-related travel expenses for student-athletes who are ineligible for competition (e.g., non-qualifier, transfer student-athlete); and outside athletics development opportunities (e.g., participation in a sports camp or clinic, private sports-related instruction, greens fees, batting cage rental, outside foreign tour expenses) for current student-athletes with remaining eligibility. [R] (Adopted: 4/24/03, Revised: 1/8/07, 2/24/12, 8/7/14, 1/17/15 effective 8/1/15, 10/5/16, 3/28/17)
16.11.1.9 Coaching and/or Athletics Administration Career Educational Programs. [A] An institution or conference may provide actual and necessary expenses to a student-athlete, who has completed his or her third year (sixth semester or ninth quarter) of collegiate enrollment to attend a coaching and/or athletics administration career educational program (e.g., Women's Basketball Coaches Association—So You Want To Be A Coach, Black Women in Sports Foundation—Next Step Program, U.S. Olympic Committee—Minority/ Women in Coaching Leadership). [R] (Adopted: 4/28/05 effective 8/1/05, Revised: 1/14/08 effective 8/1/08, 8/7/14)
16.11.1.10 Career Counseling and Internship/Job Placement Services. [A] A student-athlete may use career counseling and internship/job placement services available exclusively to student-athletes, provided the student-athlete is not placed in a position in which the student-athlete uses his or her athletics ability. (Adopted: 4/28/11)
16.11.2 Nonpermissible. [A]
16.11.2.1 General Rule. [A] The student-athlete shall not receive any extra benefit. The term "extra benefit" refers to any special arrangement by an institutional employee or representative of the institution's athletics interests to provide the student-athlete or his or her family members or friends with a benefit not expressly authorized by NCAA legislation. [R] (Revised: 1/19/13 effective 8/1/13)
16.11.2.2 Other Prohibited Benefits. [A] An institutional employee or representative of the institution's athletics interests may not provide a student-athlete with extra benefits or services, including, but not limited to: [R]
(a) A loan of money;>
(b) A guarantee of bond;
(c) An automobile or the use of an automobile;
(d) Transportation (e.g., a ride home with a coach), except as permitted in Bylaw 16.9.1, even if the student-athlete reimburses the institution or the staff member for the appropriate amount of the gas or expense; or
(e) Signing or co-signing a note with an outside agency to arrange a loan.
16.11.2.3 Camp Concession. [A] It is not permissible for a member institution or a member of its athletics department staff conducting a sports camp to permit a student-athlete (enrolled in the institution) to operate, at the student-athlete's own expense, a concession selling items related to or associated with the camp to campers or others in attendance (see also Bylaw 13.12.1.7.3.2). [R] (Revised: 8/7/14)
16.11.2.4 Items Received for Participation in Intercollegiate Athletics. [A] An item received for participation in intercollegiate athletics may not be sold or exchanged or assigned for another item of value. (Adopted: 4/15/14, Revised: 8/7/14)
