GREENSBORO — On Thursday, the NCAA and the Power 5 conferences agreed to a settlement that will pay out $2.75 billion to former Division 1 athletes, while also paving the way for future revenue sharing with power conference schools and athletes.

NCAA president Charlie Baker released a statement on the matter.

“The five autonomy conferences and the NCAA agreeing to settlement terms is an important step in the continuing reform of college sports that will provide benefits to student-athletes and provide clarity in college athletics across all divisions for years to come,” said NCAA President Charlie Baker and the commissioners of the Power 5 conferences in a joint statement. “This settlement is also a road map for college sports leaders and Congress to ensure this uniquely American institution can continue to provide unmatched opportunity for millions of students.”

Payments with regard to revenue sharing could begin as soon as next year, with more than $20 million going to athletes from each power conference school on an annual basis.

Georgia athletic director Josh Brooks commented on how the settlement potentially impacts Georgia.

“I feel good about the future of where we’re headed. Don’t forget, that money in reserves, the draw off of that helps our operating budget,” Brooks said. “In some degrees, it’s always raining, but we’re ready for it. Ready, like I said yesterday, to focus on growing revenues and being more efficient in the way we operate.”

There is still much to be sorted out in terms of how the money trickles down. Both Brooks and Georgia president Jere Morehead expect the topic to “dominate” the discussion among SEC presidents and athletic directors at next week’s SEC meetings in Destin, Fla.

Among the ramifications from the lawsuit include the abolition of scholarship limits and potential roster caps moving forward. As Brooks points out though, all of that is still to be worked out moving forward.

“There’s going to be a lot of speculation. I’m sure you’ve seen a ton of speculation,” Brooks said on what he tells his coaches. “These things are all going to be worked out. So don’t get ahead of yourself, don’t worry, one way or another, there’s a lot of work to be done.”

The settlement has more steps to go through before being finalized and paid out. The settlement is expected to be submitted to Judge Claudia Wilken of the U.S. District Court for the Northern District of California for preliminary approval, within the next six weeks.

The House v. NCAA lawsuit, first filed in 2020, aims to provide backpayment to prior athletes dating back to 2016, while also opening up the possibility of revenue sharing moving forward.

Brooks’ comments came following the conclusion of the Georgia’s spring athletic board meeting on Friday morning. Georgia approved its annual budget for the 2025 fiscal calendar, with the budget being $192.7 million. That is an increase from the $175.2 million budget for the 2024 fiscal year.