“Well, all the things that I believed in for all these years—50 years of coaching—no longer exist in college athletics.” That’s how Nick Saban perfectly summed up the NIL scenario. Today’s college sports require more than just a good coach and team to get top players. Schools must have excellent NIL opportunities, and surprisingly, that’s still not enough. The legal environment surrounding a program now heavily influences where players choose to go. Right now, the House vs. NCAA settlement is about to bring in a revenue-sharing system, but first, it’s celebration time for Steve Sarkisian’s Texas Longhorns and Joey McGuire’s Texas Tech Red Raiders.

The House vs. NCAA settlement is taking care of the NIL. For instance, it will pay billions in back payments to former college players who were unfairly prevented from earning off their NIL. All these processes will be supervised by Deloitte. The settlement will also usher in a revenue-sharing era in college athletics. That means schools will be able to directly pay athletes up to $20.5 million in 2025-26, the first school year of the 10-year agreement.

While the House vs. NCAA settlement is yet to hit the finish line, there came a Texas bill to amend the state’s NIL law, which passed the House and Senate. It then headed to Governor Greg Abbott’s desk, and he signed it on Thursday, June 5. This will end the NCAA’s decades-old prohibition on universities paying players directly.

Steve Sarkisian and Joey McGuire already see Texas high school coaches as key players because they control recruiting. This new bill, House Bill 126, now gives them even more hope for high school recruiting. Because it lets colleges directly offer NIL deals to athletes. Before, high school athletes had to wait until college to sign NIL deals. But with this bill, 17-year-old high school athletes can now sign NIL deals, bringing them into the college’s orbit much sooner.

Texas State Rep. Brandon Creighton sponsored the bill, filed March 10, and the state House and Senate both signed it June 1. It was only awaiting the Abbott’s signature, and the law took effect immediately after he signed. However, all eyes are on June 27, the deadline for the House vs. NCAA settlement.

When it comes to NIL, Sarkisian’s and McGuire’s programs already hold an advantage. Among the duo, Sarkisian is the luckier one. Going by On3’s list of NIL valuations, Longhorns quarterback Arch Manning holds the first position among college football players with a valuation of $6.5 million. Out of all the big factors, it is possible that taxation propelled him to stay committed to Sarkisian’s squad. Right now, not just the CEOs or salaried persons, but also student athletes fall under the tax system. However, the rate varies from state to state. And here’s where the real catch lies. In 2025, California had the highest state income tax rate (13.3%), per a Tax Foundation chart. And what about Sarkisian’s Texas? 

Nil. Yes, Texas is among the eight states that have no income tax. While the House vs. NCAA settlement awaits, Sarkisian fell prey to an “irresponsible reporting” incident, as far as the NIL is concerned. 

Steve Sarkisian’s sarcastic swipe at rumors

Sarkisian is a flashy recruiter. Well, no doubt in that. After all, the head coach uses Lamborghinis in Texas’s orange and white colors and even makes helicopter visits to attract new players. Earlier research revealed that in 2023, he spent a huge $280,000 on a recruiting trip just to bring five-star player Manning to Texas. So, people were under the belief that when it comes to raining riches, Sarkisian won’t hesitate. But recently things got out of hand. Even before he could find ways to keep his team’s 2025 confidential data a secret, a recent report from the Houston Chronicle’s Kirk Bohls went viral. 

It reported Sarkisian’s Longhorns plan to spend $35-40 million on their 2025 football roster. The head coach finally broke his silence, refuting the April report.

In an interview with College Sports on SiriusXM, he stated, “What’s frustrating on that was it was a little bit of irresponsible reporting.” Steve Sarkisian continued, “It was one anonymous source said that was what our roster was. I wish I had $40 million on our roster. We’d probably be a little better team than we are.” Does that mean that the head coach is not happy with what he has been blessed with? Not at all.

He soon clarified, “It is what it is. Hey, we’re fortunate, don’t get me wrong. We’ve got great support… I wish I had another $15 million or so. I might have a little better roster.” 

Now, that’s what has been the trend of Sarkisian’s squad. Last cycle, Texas pulled in the No. 1 recruiting class in the country. In this process, their average NIL valuation was higher than anyone else’s, too, sitting at $199,000. The 2025 roster is already a powerhouse, and with HB 126 clearing the runway, they’re just getting started.