In the last few years, TCU, Boise (twice), Utah and Hawaii have received BCS bowl berths. From their perspective, the money that is generated by the BCS bowls is "their" money since it is their popularity that drives the $$$.
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So if Barry gets his way, that clearly spells he end for the tax-exempt status of college sports. Look for Congress to tax athletic departments and conferences since they will have finally given up the pretense of being "for the student athletes"
As much as I'd love to see congress step in I doubt it would happen... Gotta remember that quite a few congress people have graduated from these universities and have a lot of voters in those areas that are fans...
Taxing athletic departments as unrelated business income is probably a good idea, but all it really is going to do is make everyone's needs greater and potentially increase the separation from the haves and have nots. The real issue would be if the BCS conferences leave that the DoJ could explore a anti-trust suit...but I doubt that goes anywhere either.