Teleconference No. 2

July 31, 2006

Nonathletics Educational Programs Conducted by a Foundation or a Nonprofit Organization

1. Prospects’ Participation in Nonathletics Educational Programs. The subcommittee confirmed that before initial collegiate enrollment, a prospective student-athlete is permitted to participate in a nonathletics educational program (even if the prospect is selected based on athletics ability or reputation) provided:

• The program is conducted by a foundation or a nonprofit organization and does not include any athletics activities;
• The focus of the program is nonathletics and educational (for example, tutoring, test preparation, financial aid advice, leadership or character development) in nature;
• The foundation or the organization conducting the program is limited to providing the prospects actual and necessary expenses;
• Any tangible items provided to the prospects are of nominal value and relate directly to the activities of the program;
• The foundation or organization conducting the program is not involved in marketing any individual’s athletics ability or reputation; and
• An institution, its staff members or any collegiate coaches association are not involved in providing funding for or selecting prospects to participate in the program.

Further, it is permissible for a collegiate coaches association or an institution’s coaching staff member to provide promotional assistance (for example, public service announcements) to publicize the existence of the program. [References: NCAA Bylaws 12.1.2.1.6 (preferential treatment, benefits or services), 13.2.1 (general regulation) and 13.15.1 (prohibited expenses).]

Summer Financial Aid

2. Providing Summer Financial Aid for 2-4 Transfer Student-Athletes Who Have Not Yet Met Transfer Eligibility Requirements. The subcommittee confirmed it is not permissible for an institution to provide athletically related summer financial aid to a 2-4 transfer student-athlete who has not already satisfied all aspects of the 2-4 transfer requirements without requiring that individual to serve an academic year in residence prior to competition at the certifying institution. [References: Bylaws 14.5.4.3.5 (transfer to four-year college before completion of requirements), 15.2.7 (summer financial aid) and 14.5.2 (conditions affecting transfer status).]