NCAA Reporting Changes Put New Focus on NIL and Third-Party Activity

The NCAA’s 2026 Agreed-Upon Procedures (AUP) introduce targeted but important updates to athletics financial reporting. While the overall process remains familiar, the changes increase expectations around institutional oversight, financial transparency and coordination among athletics, finance and compliance teams.

For colleges and universities, existing reporting requirements now demand more visibility into name, image and likeness (NIL), revenue sharing, affiliates, collectives and third-party activity. Higher education institutions that evaluate these areas early will be better positioned for a smoother 2026 reporting cycle.

Three Reporting Priorities to Watch

The 2026 AUP places particular emphasis on NIL and institutional revenue sharing, affiliated and outside organizations, and more clearly defined revenue classification and compensation reporting expectations. Together, these changes increase the importance of understanding where athletics-related financial activity occurs, how it is classified and who is involved in the underlying transactions.

NIL and revenue sharing take center stage

Category 44 has been updated to “Institutional Revenue Share,” broadening the focus beyond direct institutional payments and increasing expectations for evaluating payments and arrangements involving third parties and affiliated organizations. Institutions should also evaluate NIL collectives more closely when they may qualify as affiliated or outside organizations or when transactions occur between the institution and the collective.

NIL and revenue sharing arrangements have become a significant reporting and oversight focus. Institutions should understand:

• The full scope of NIL and revenue-sharing arrangements
• Relationships with collectives and other third-party entities
• How funds flow to and from student-athletes, including activity outside the general ledger

Affiliates and outside organizations face greater scrutiny

The 2026 AUP places more focus on affiliated and outside organizations, including collectives, booster groups, foundations and alumni organizations. Institutions should confirm that affiliate activity is identified, evaluated and reported consistently with NCAA expectations and consider the following questions:

• Are all relevant organizations, especially collectives, captured?
• How do they interact financially with athletics programs?
• Is applicable activity reflected consistently in NCAA reporting?

Revenue and compensation expectations are more defined

The NCAA also clarified revenue and expense categories to improve consistency and comparability across institutions.

Key clarifications include:

• More precise distinctions between NCAA and conference distributions
• Improved guidance on post-season football versus non-football revenues
• Explicit linkage to NCAA host settlement reports

These updates may require institutions to revisit how revenue is mapped from the general ledger, how post-season activity is classified and what documentation supports reported amounts.

What Institutions Should Do Now

The 2026 AUP does not overhaul the reporting process, but it does change where institutions should focus, especially where financial activity extends beyond traditional processes.

Institutions should evaluate whether existing governance and monitoring processes remain sufficient. As NIL arrangements and revenue-sharing activities become more decentralized, institutions may need stronger procedures for identifying activity occurring outside traditional accounting and athletics reporting channels.

Areas that will need more attention

These changes make several areas particularly important to address before the 2026 reporting cycle. Institutions should focus on how they identify, evaluate and document activities that may not flow through traditional athletics or accounting processes.

• NIL and revenue sharing: Be ready to explain how payments, including those handled by third parties, are identified and reported
• Affiliates and collectives: Confirm that relevant organizations have been identified and evaluated for reporting
• Third-party activity: Determine how activity outside the general ledger is captured, assessed and documented

What readiness looks like

Readiness often means clarifying roles, strengthening coordination across departments and addressing judgmental areas earlier in the reporting cycle. Institutions must:

• Document relationships and transactions clearly, especially where third parties are involved
• Align general ledger activity with NCAA reporting categories
• Identify complex or judgmental areas before year-end reporting and audit work begins

How Weaver Can Help

Weaver’s higher education team works with colleges and universities nationwide on NCAA reporting, athletics-related agreed-upon procedures, financial statement audits and compliance engagements. Our professionals work with institutions to evaluate NIL arrangements, assess affiliated organization activity, align accounting records with NCAA reporting requirements and prepare supporting documentation before reporting deadlines approach.

If you have questions about the 2026 NCAA reporting changes or would like assistance evaluating your institution’s readiness, contact us.

Authored by Bryant Sanchez and Dallas Dugger

©2026

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