An Update From AD Jon Gilbert

Pirate Nation:

I want to take a moment to update you on significant developments shaping the collegiate athletics landscape and share how ECU Athletics is preparing to navigate this new era.

House vs. NCAA Settlement
In recent years, much of the conversation in collegiate athletics has centered around three class action lawsuits, the most notable being House vs. NCAA. The lawsuits were filed by former student-athletes who were not permitted to participate in Name, Image, and Likeness (NIL) activities during their time in college.

The House case reached a pivotal point on October 7, 2024, when preliminary approval of the House vs. NCAA settlement was granted. The settlement, if approved this week by Judge Wilken, is intended to take effect on July 1, 2025.

ECU Athletics is preparing for these changes, which include:

Financial payout for past damages
Shared institutional revenue in direct NIL payments to student-athletes
Mandated roster limits and scholarship changes for all sports
NIL reporting and enforcement changes

Beginning in the 2025-26 academic year, institutions that opt into the settlement (as we have) will also be permitted to compensate student-athletes directly through a licensing agreement. We are working closely with campus leadership and conference officials to determine a sustainable and competitive revenue sharing model. I want to acknowledge American Athletic Conference Commissioner Tim Pernetti for his leadership during these discussions – his efforts have been instrumental in helping us position ourselves strategically among our peers.

We are confident our revenue share number will be competitive with schools in our conference and schools we are actively recruiting against. From the beginning, our internal conversations about revenue sharing have centered around sustainability and what is best for our institution.

It's not a "one-size-fits-all" model.

We understand where we fit, what we can do with the continued support of campus, and how to build a plan that works for us. We're also collaborating with an external consultant with deep expertise in collegiate athletics to ensure our model is efficient and aligned with today's landscape.

Make no mistake - ECU will need to be aggressive in our approach.

Budget, Priorities, and Strategy
When you look at the realities of the House settlement, you are dealing with new, unbudgeted expenses. This means we must make thoughtful and sometimes difficult decisions. We must prioritize as we plan for a sustainable path forward.

Our goals remain unchanged – competitive success on and off the field.

As an athletic director, I fully understand the importance of talent acquisition. What kind of recruiting pool do we want to swim in? In order for us to remain competitive, we need to attract the talent that fits our culture and helps us be successful on and off the field. Retention is just as critical as recruitment in this new era. Our revenue share model will correlate to the talent on our respective rosters.

Football is going to be a central part of our revenue sharing strategy. We know how vital a strong football program is to the health of our department and this community. Football season tickets continue to be a major revenue bucket for our department that directly supports all our programs.

As part of the settlement, new roster caps will be instituted, while increasing scholarship limits across sports. We anticipate offering additional scholarships for select sports, and we'll share those details as plans are finalized.

How can you help?
Fundraising will continue to be the cornerstone to our success and an area we must continue to thrive in. That's why we launched the Purple & Gold Society earlier this month – a leadership giving initiative aimed at increasing philanthropic support and enhancing the experience of our 430 student-athletes.

Gifts to this fund are tax deductible and will be used for scholarships, student-athlete recruitment and retention, and other operations within ECU Athletics. The Pirate Club has created unique experiences and opportunities to reward donors of the Purple & Gold Society.

Alongside the Purple & Gold Society the Pirate Club has the Athletics Excellence Fund. This fund accepts gifts of any dollar amount to serve the same purpose as the Purple & Gold Society. Every donation will make a difference and is paramount to having the success we all want. We need every Pirate fan to be a Pirate Club member at whatever level they can afford and purchase season tickets for our ticketed sports.

NIL and Team Boneyard
We are grateful for the continued partnership with Team Boneyard, which has played a vital role in supporting our student-athletes. The individuals operating Team Boneyard have only one goal in mind, helping the Pirates compete at the highest level.

Beginning in July, it is expected new rules will be adopted for NIL as part of the settlement.

NIL deals over $600 with third-party entities (e.g., collectives) will undergo an independent fair market value assessment. NIL deals exceeding fair market value will not be permissible – another reason why structure, oversight and collaboration will be of utmost importance.
All donors, including institutional employees, can contribute to institutional NIL payments directly to student-athletes through the Purple & Gold Society.

Let's set sail together!
As we move forward, we must be creative, efficient, and disciplined in our approach. We will explore new revenue streams, make strategic reallocations, and most importantly, continue building programs that Pirate Nation can be proud of.

We all must adapt and evolve in this new era.

We are appreciative of the continued support of campus, our donors, our fans, and the community.

There is nothing like Pirate Nation and we need all of you on this journey.

Go Pirates!

Jon

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