Troy Dannen addresses misconceptions about third-party NIL, role of donors

Troy Dannen: ‘We will be prepared for an uncapped world’

Ahead of the one-year anniversary of the rev-share era, the cap in place under the House settlement is coming under scrutiny. As Ross Dellenger previously noted for On3, schools are flying past the cap, and some in college athletics – including Miami AD Dan Radakovich – have called for it to be lifted entirely.

Troy Dannen said Nebraska has to be ready for whatever lies ahead in the player compensation era. That includes a potential world without a cap. It’s all part of the conversations taking place inside the facility.

“We’ve got to be prepared for whatever’s ahead,” Dannen said. “I will tell you we will be prepared for an uncapped world because if we’re prepared for an uncapped world, we’ll be prepared for anything in between. But that’s internal. The days of going to ask a donor to support NIL by writing a check are gone. It’s illegal.

“So part of it, there’s misnomers about what can happen. And I don’t blame anybody because the rules change by the day. That’s where we sit today. But we’re trying to prepare for whatever the inevitability of tomorrow is.”

Player compensation is ‘silver bullet’

Whether it be through revenue-sharing or third-party NIL deals, roster costs continue to rise across college sports. Football could see “multiple rosters of over $40 million,” as On3’s Pete Nakos previously reported.

To fund those rosters, Troy Dannen said Nebraska has to take a leading role in building brand partnerships. Since the cap is still in place, those agreements are crucial to maximizing the dollars.

“As the increased costs of college athletics continue, and I will tell you the No. 1 increase in costs is going to come from player compensation in whatever form it takes … is going to continue to grow,” Dannen said. “That’s how we fund player compensation moving forward. Matt Rhule has to have every bullet in his holster, and the ability to fund the player compensation piece, I would guess he would tell you is the silver bullet. It is the most important bullet in his holster.

“So the idea that we have to fund this through our department. We have to find partnerships with companies for our athletes to get above the cap.”