PUBLISHED BY LCoordinators: AW W ISEAPRIL 2019 • ISSUE 5 Honorable Bethany J. Roberts, Chair, LRE Committee; Anne Woods, Public Services Director; Nicolas Shump, Law Wise Editor; & Patti Van Slyke, Journal Editor

Greetings from the Kansas Bar Association (KBA). Welcome to this fifth edition of Law Wise for the 2018-2019 school year.

IN THIS ISSUE Intro to the Professionalization of Sports.....1 Show Me the Money: The Big Business of College Athletics...... 2 The One and Done Rule Reconsidered..... 3

College Eligibility & Professional Sports.... 3

Sports and the Law...... 4 Player Freedom & Professional Sports...... 6 Lesson Plan 1: Anti-Trust Labor Law and Introduction to the Sports...... 7 Lesson Plan 2: Paying College Athletes...... 8 Professionalization of Sports Terrific Technology for Teachers...... 10 For men and women of my generation, our earliest memories of sports did not involve uniforms, treats or participation trophies. Instead, many Financial Literacy: How to Adult...... 11 of us found our way to courts, playgrounds, or fields in our neighbor- hoods and local schools. Our game resembled the leagues in which we Law Day Reminder...... 15 competed in middle and high schools, but there were no officials or leagues. We often had to modify our rules to accommodate the field of play or number of participants. Some of us likely dreamed of playing professionally, but we played any and all sports available—even those of our own creation. As a youth coach and official, I can attest to the changes that have oc- curred in the dynamics of youth sports among the current generation of athletes. According to the Sports and Fitness Industry Association (SFIA) 21.5 million children between the ages of 6 to 17 compete in organized Calendar of Events sports teams. This data includes 1.5 million children age 6 or younger. In fact, nearly 8 million children under the age of 10 compete on these teams. In terms of gender, 60 percent of boys and 47 percent of girls have joined sports teams by the age of 6. May 1...... ABA Law Day Youth sports, and sports in general, are important sites of socializa- May 17...... 65th Anniversary tion for large percentages of American youth. SFIA polls show that 34 of Brown v. Board of Education percent of girls and 61 percent of boys claim “sports are a big part of who they are.” While many students continue to play sports through high

www.ksbar.org/lawwise 2 LAW WISE | APRIL 2019

school, the likelihood of those athletes having the opportunity tional expenses and opportunities might provide them a com- to compete at the collegiate or professional level drops off con- petitive advantage; however, research shows only two percent siderably. of athletes earn a Division I or Division II athletic scholarship. This has not, however, prevented families from supporting This issue will explore the contested terrain of sports and their children’s athletic dreams. According to a 2018 Chicago professionalism, paying particular attention to various models Tribune article, $15 billion has been spent on leagues, travel with regard to athletes having the opportunity to turn profes- teams, private coaches and other expenses. Sixty percent of sional after completing high school and college. Consideration families spend between $1,200 to $6,000 a year, and 20 per- will be given to relevant legal challenges and landmark court cent spend $12,000 annually. At the same time, 40 percent of cases involving professional sports. Additionally, the question of emergency room visits for children ages 5 to 14 are for sports- whether college players termed “student athletes” should receive related injuries. Parents and children believe that these addi- payment for their efforts will be addressed.

Show Me the Money: The Big Business of College Athletics

According to data compiled by U.S.A Today, , receive $2.25 million for travel expenses for the final. Teams head coach at the University of Kentucky, is the participating in the Cotton, Fiesta, and Peach Bowls receive a highest paid coach in with an annual sal- payday of $4 million. ary of nearly $9.3 million. Legendary Duke basketball coach The various sports conferences receive handsome payments is next with a $7 million salary. University too. Forbes Magazine noted the Atlantic Coast Conference of Kansas coach is fifth on the list with a total com- (ACC) received $87.5 million. The Big 12 earned $60 mil- pensation package of just over $4 million. The top 69 coaches lion. The Big 10 garnered $89.5 million in revenue. The -Pa on the list made salaries that exceeded $1 million. Twelve of cific Athletic Conference (PAC-12) received $62 million and the coaches had benefits exceeding $1 million with Florida the Southeastern Conference (SEC) made $70 million. Other State coach Leonard Hamilton having a maximum bonus of smaller conferences and independents earned approximately $2.675 million. $89 million collectively. The amounts are similar for college football coaches with There are other sources of revenue generated through events Nick Saban, Alabama coach, making $8.3 million with a po- such as the NCAA Basketball Tournament and the college tential $1.1 million in bonuses. The fifth ranked football coach football playoffs. Over $10 billion in bets are placed on the on this list earns $6.7 million annually. A 2018 Business In- NCAA Tournament. One source puts the amount in lost pro- sider article points out that 39 of the 50 highest paid state ductivity because of “March Madness” at $2.3 billion. Other employees in 2017 were either college basketball (8) or college than their athletic scholarships, the student athletes competing football coaches. Because he is employed by a private univer- in these contests receive no additional compensation. sity, Coach K at Duke is not on the list. In 2017, the NCAA gen- erated over $1 billion in Item/Event Dollars revenue with over $800 Sports betting on March Madness $10 billion/year million in television rev- enue alone. In 2010, net- Lost productivity due to March Madness $2.3 billion/year works paid $10.8 billion NCAA Basketball Tournament/March Madness Contract $1.1 billion/year for 14 years of tournament broadcast rights. In 2016, Total amount paid to NCAA football teams for postseason $458 million this contract was renegoti- bowl games ated for eight years at $8.8 billion. Highest salary for NCAA basketball coach $9.3 million/year The college football play- Highest salary for NCAA football coach $8.3 million/year offs will pay out $6 million to each of the four partici- Payment per team for College Football Championship $6 million/year pants. All teams participat- Travel expenses per game for teams in the College Football $2.24 million/game ing in the semi-final games Championship receive $2.25 million for travel and the national Additional Revenue paid to players in NCAA Tournament or $0.00 championship teams will College Football Championship

www.ksbar.org/lawwise APRIL 2019 | LAW WISE 3

The One and Done Rule Reconsidered College Eligibility and Professional Sports Across the Board When one hears about the “one and done” rule, most think of college basketball players. This is because in 2005, the NBA Top high school hockey players are allowed to enter the and the National Basketball Players Association agreed to NHL draft and still return to school. They can even sign with prohibit high school basketball players from directly entering agents and retain their amateur status. If they enroll in college, the NBA draft after graduation. This ruling left college as the they cannot retain their agent. If the high school player enters main destination for elite teenage basketball players, though a college, the team that drafted the player retains its professional few players chose to pur- rights for four years. Eli- sue professional basket- gible college junior play- ball overseas until they ers may even re-enter were eligible for the NBA the draft if they have draft. However, most not signed professionally players enrolled in college after two years. A simi- for one year and then en- lar rule exists in Major tered the NBA draft. League for col- lege baseball players. Closely tied to this rule is a documentary made by The situation is consid- Josh Swade in 2016, fo- erably different for aspir- cusing on . ing baseball players in Simmons, originally from the Dominican Republic, Australia, moved to the which has produced sev- U.S. to play high school eral Hall-of-Fame, league basketball before enroll- All-Stars, and top pros- ing at LSU for his obliga- pects including Pedro tory one year in college. Martinez, Alex Rodri- Simmons ultimately was guez, Manny Ramirez, the first player selected Yordano Ventura, John- in the draft, and the film ny Cueto, and numerous showed the challenges others. At sixteen years and hypocrisy of this rule, of age, eligible prospects as Simmons spent the ma- can sign with academies jority of his time focusing on basketball. Simmons noted there affiliated with every MLB club, including the Kansas City was not a possibility of graduating in one year, and he dropped Royals. In this environment, a sixteen-year old unsigned pros- out of LSU at the conclusion of the basketball season. pect could be considered a has-been. The resistance against these types of arrangements with the With the controversy and convictions regarding payment NBA may have to do with the ability to scout the available to players and their families through intermediaries of Adidas talent prior to using a draft pick on a young player coming employees, there is renewed interest in reviewing this decision. right out of high school. Critics of the rule out that NBA USA Today reported in February of 2019 that the NBA sent a teams typically draft European players who are allowed to formal proposal to the player’s union to eliminate the require- continue playing in their home countries for a few years be- ment that players be 19 years old to enter the draft. fore they are required to join an NBA franchise. However, the same flexibility does not currently exist for elite high school basketball players. With the formal request of the NBA to lower the age back to 18 for draft-eligible players, there is not likely to be any type of legal challenge to the current rules. What remains to be seen is how the college game will respond to the potential loss of elite players like Zion Williamson who would almost certainly bypass college for the NBA.

www.ksbar.org/lawwise 4 LAW WISE | APRIL 2019

Sports and the Law

There have been a few landmark court cases, arbitration pro- agency as we know it did not exist. The next year the Bears ceedings, and legislation regarding collegiate and professional folded and the Yankees assigned Toolson to their Class A af- athletes and their desire to have more freedom in pursuit of filiate the Binghamton Triplets. Toolson refused to report and their professional goals. Following is a list of the most notable: sued, challenging the . Federal Baseball Club v. (1922) – In State Compensation Insurance Fund v. Industrial Com- 1915, the Federal League had folded, but not all teams were mission of Colorado (1957) – Ray Dennison, a football player bought out by owners of Major League clubs. Several of these for the Fort Lewis A&M Aggies died of a head injury while clubs sued MLB under the 1914 Clayton Antitrust Act. The playing football. His widow filed for workmen’s compensation initial trial found in favor of the plaintiff. This ruling was over- and death benefits. The Industrial Commission of Colorado turned by the court of appeals. In a unanimous ruling, the Su- granted him these benefits, but the State Compensation Insur- preme Court found that baseball was not defined as “interstate ance Fund sued to dispute this decision. However, the NCAA commerce” and was exempt from the Sherman Antitrust Act. argued that Dennison was not an employee and therefore not Toolson v. New York Yankees, Inc (1953) – In 1949, eligible for these benefits. To respond to this case, the NCAA George Toolson pitched for the Newark Bears, a A farm executive director, Walter Byers crafted the concept of “student team for the New York Yankees. Toolson felt he deserved a athlete.” As a student, Dennison was not eligible for workmen’s shot to play in the major leagues with the Yankees or another compensation, and his widow could not claim death benefits. team. However, the Reserve Clause greatly restricted the free- Flood v. Kuhn (1972) – was a player for the dom and options of professional baseball players because they St. Louis Cardinals who had become one of the top defen- could only seek a release or trade from their current team. Free sive players in baseball. When the Cardinals wanted to trade

www.ksbar.org/lawwise APRIL 2019 | LAW WISE 5

Flood to the Philadelphia Phillies, Flood sued ultimately the NCAA and TCU prevailed by using argument and to challenge the Reserve Clause that Waldrep, like Ray Dennison before him, was a student- as George Toolson had done nearly twenty years earlier. In athlete and not an employee. the earlier Federal Baseball Club ruling, the Justices ruled that However, the legendary Alabama coach, Paul William baseball was engaged in interstate commerce. In a 5-3 deci- “Bear” Bryant remained in contact with Waldrep and allowed sion, the court upheld MLB’s antitrust exemption and voted Waldrep’s sons to attend Alabama on the Bear Bryant Scholar- against Curt Flood. ship. Furthermore, Waldrep’s advocacy for the disabled led to The (1975)– This is the name given to the the drafting and passage of the Americans with Disability Act 1975 ruling by arbitrator Peter Seitz regarding the contracts of in 1990. major league pitchers and Dave McNally. Maurice Clarett v. National Football League (2004) – Neither players’ contract was renewed by their clubs for the Clarett had previously been a member of the Ohio State Buck- next year. Because of this lag in contract, Seitz ruled “There is eye football team. He and Mike Williams, a wide receiver for no contractual bond between these players and the the University of Southern California (USC) were challeng- and the Montreal clubs, respectively. Absent such a contract, ing the NFL’s requirement that players must wait three years their clubs had no right or power, under the Basic Agreement, from their high school graduation before entering the NFL the Uniform Player Contract or the Major League Rules, to draft. Judge Shira A. Scheindlin agreed this policy violated reserve their services for their exclusive use for any period be- antitrust law. A three-judge panel of the U.S. Court of Appeals yond the renewal year in the contracts which these players had for the Second Circuit ruled against Clarett and decided the heretofore signed with their clubs.” There were legal challeng- NFL would likely win its case. Two emergency appeals to the es initiated by Major League Baseball, but all failed, and in Supreme Court were denied. As both players hired agents, the 1976, MLB and the Major League Baseball Players Associa- NCAA ruled they were not eligible to return to college. tion signed a new collective bargaining agreement that allowed players with six years of experience to be free agents. O’Bannon v. NCAA (2014) – Ed Bannon was the lead plaintiff in a case brought by him and thousands of other bas- Curt Flood Act of 1998 – In 1998, Congress passed and ketball and football players regarding the use of their names, President Bill Clinton signed into law the Curt Flood Act. images, and likenesses in broadcasts and video games. This act amended the Clayton Antitrust Act to make Major League Baseball subject to antitrust policy regarding players In September of 2013, Electronic Arts reached a $40 mil- and employment practices. lion settlement with O’Bannon and the other defendants. In June 2014, after a bench trial, the judge ruled that the NCAA Waldrep v. Employer’s Insurance Association had violated antitrust law and issued a permanent injunction (2000) – Kent Waldrep suffered a catastrophic injury in 1974 against the NCAA. In 2015, the U.S. Court of Appeals for the during a game against Alabama; he broke his fifth cervical Ninth Circuit affirmed the original ruling. In addition, the vertebrae and was paralyzed from the neck down. Though Court ruled the NCAA to provide the “cost of attendance” as TCU paid for some of his medical bills, they eventually re- opposed to the former “grant in aid.” This resulted in the pos- fused to pay further. In 1997, Waldrep sued, asking for work- sibility of college athletes receiving up to $5,000 more per year men’s compensation benefits, but after years of legal battles, as part of their scholarship package.

www.ksbar.org/lawwise 6 LAW WISE | APRIL 2019

Player Freedom and Professional Sports

Spencer Haywood Andy Messersmith Curt Flood Dave McNally

In the late 1960s, a vastly different landscape existed for high Brown became the first high school player to be the first overall school and collegiate players with professional aspirations. pick in the NBA draft. When Brown’s career did not lead to College freshmen had no possibility of playing in the NBA. In the superstardom of others, the league began to reassess this fact, college freshmen like Lew Alcindor—better known to- policy with Gerald Green being the last player to go directly to day as Kareem Abdul-Jabbar—could not even play collegiately the NBA from high school in 2005. their first year. For the NBA, there was no one-and-done rule; Since 2013, NBA teams have selected at least 13 “one-and- it was a four-and-done rule. College players had to be four done players” in the annual draft. Ironically, Spencer Hay- years removed from their high school graduation before enter- wood believes the time he spent in junior college and the Uni- ing the NBA draft. This all changed with the case of a high versity of prepared him for the NBA. He wrote a 2014 school phenomenon named Spencer Haywood, from Silver op-ed for the New York Daily News with the title ““NCAA City, Mississippi. players are not ready for NBA after just one season.” Despite In 1968, at the age of nineteen, Haywood became the his misgivings, it seems as though the NBA will return to the youngest player to make a U.S. Olympic basketball team as policy which Haywood ushered in over 50 years ago. he led the Americans to a gold medal in the 1968 Mexico City Haywood’s challenge is also notable because of the fact that Olympics. He led the NCAA in rebounding while scoring 32 it led to free agency in the NBA. Haywood empowered players points a game for the University of Detroit. He then signed a to challenge league policies. As a result of his efforts, Haywood contract with the Denver Rockets, of the American Basketball signed a six-year contract for $1.5 million. For 2018-2019, LeB- Association (ABA), which did not have the same rule regard- ron James’s annual salary was over $35 million. Unfortunately, ing draft eligibility as the NBA. After a brief stint with the while LeBron James is a household name, the legacy and im- Rockets, however, Haywood signed a contract with the Seattle pact of Spencer Haywood is largely forgotten. Supersonics of the NBA. Eventually, despite a legal fight reach- A similar fate exists for the man who changed major league ing to the Supreme Court, Haywood prevailed and entered the baseball, Curt Flood. As did many baseball players of his era, NBA despite being underaged. Flood signed a major league contract in 1956 at the age of 18 In response to the legal decision, the NBA created a “hard- with the . At that time, there was no baseball ship rule”, which required a prospect to demonstrate hardship draft, so every player essentially functioned as a . to be eligible for the draft. This rule was abandoned in 1976, A few years into his contract, the Reds traded Flood to the which ostensibly allowed any high school player to attempt St. Louis Cardinals. Flood became a top defensive player who to enter the NBA draft directly. However, for nearly twenty earned seven straight Gold Gloves. In the winter of 1969, the years, no player attempted this move until in Cardinals arranged to trade Flood to the Philadelphia Phillies. 1995. Other players, including , Tracy McGrady However, Flood had no desire to play for the Phillies and and others, followed in the next few years. In 2001, Kwame tried to determine his options. In 1969, the Reserve Clause

www.ksbar.org/lawwise APRIL 2019 | LAW WISE 7 dictated the fate of not only baseball players, but of most pro- Commissioner Kuhn denied Flood’s fessional athletes. Briefly, the Reserve Clause provided two op- request. In response, Flood sued Kuhn. tions for players: 1) the player could negotiate a new contract During the 1970 season, Flood did not with his existing team or 2) the player could ask for release or play at all. The following year, Flood a trade. The Phillies did not want to release or trade Flood. played for the Washington Senators in his Running out of options, final season of play. In 1972, Flood’s case Flood wrote a letter to Bowie Kuhn, the Commissioner of reached the Supreme Court which ruled Baseball: in favor of Major League Baseball. How- After twelve years in the major leagues, I do not feel ever, in 1975, two other players, Andy I am a piece of property to be bought and sold ir- Messersmith and Dave McNally, were declared free agents by respective of my wishes. I believe that any system a federal judge whose ruling opened the way for modern day which produces that result violates my basic rights free agency in baseball. Nearly thirty years after his pioneer- as a citizen and is inconsistent with the laws of the ing effort, President Bill Clinton signed the Curt Flood Act in United States and of the several States. 1998 which codified the free agency Flood had desired. In the spring of 2019, Bryce Harper and Mike Trout signed It is my desire to play baseball in 1970, and I am record-breaking contracts for their respective teams. Harper’s capable of playing. I have received a contract offer deal with the Philadelphia Phillies—the same team for which from the Philadelphia club, but I believe I have the Flood refused to play—was for $330 million over thirteen right to consider offers from other clubs before mak- years. Trout’s recent contract extension with the Anaheim An- ing any decision. I, therefore, request that you make gels brings his overall contract to $427 million over the next known to all Major League clubs my feelings in this twelve years. Professional athletes have earned a tremendous matter, and advise them of my availability for the amount of financial and individual freedom in the last fifty 1970 season. years as a result of the pioneering efforts of men like Spencer Haywood and Curt Flood.

Lesson Plan 1: Antitrust Labor Law and Sports Lesson Plan Grades 9-12 Introduction: Throughout the history of American professional sports, there have been numerous chal- lenges to the labor and employment practices of major league sports, owners, and teams regarding free agency and player contracts. Overview: In this activity, students will review the major legislation, rulings, and court challenges. Hav- ing completed this review, students will present their findings. The final step of the process will be for the class to determine if major professional sports leagues should retain their antitrust exemptions. Students will spend one class session reviewing one of the main documents. A second session will consider whether or not professional sports should retain their Antitrust exemptions. The final part of the assignment will be for students to compose a short (1-2) page reflection on the main topic.

• Sherman Antitrust Act http://www.linfo.org/sherman_txt.html • Clayton Antitrust Act http://teachingamericanhistory.org/library/document/clayton-antitrust-act/ • National Labor Relations Act https://www.nlrb.gov/how-we-work/national-labor-relations-act • National Labor Relations Board https://www.nlrb.gov/ • Baseball Club of Baltimore, Inc. v. National League of Professional Baseball Clubs (1922) https://www.oyez.org/cases/1900-1940/259us200 • Toolson v. New York Yankees, Inc (1953) https://supreme.justia.com/cases/federal/us/346/356/ • Flood v. Kuhn (1972) https://www.oyez.org/cases/1971/71-32 • The Seitz Decision (1975) https://sabr.org/research/arbitrator-seitz-sets-players-free • Mackey v. NFL (1976) http://www.lawschoolcasebriefs.net/2013/11/mackey-v-national-football-league-part.html • Wood v. National Basketball Association (1987) https://law.justia.com/cases/federal/district-courts/FSupp/602/525/1633990/ • Curt Flood Act of 1998 https://www.congress.gov/105/plaws/publ297/PLAW-105publ297.pdf • Maurice Clarett v. National Football League (2004) http://www.lawschoolcasebriefs.net/2013/11/clarett-v-national-football-league-case.html

www.ksbar.org/lawwise 8 LAW WISE | APRIL 2019

Lesson Plan 2: Paying College Athletes KQED Education Recommended for Grades 6-12

Should college athletes get paid or be allowed to receive sponsorship money?

Introduction: College and basketball programs rake in billions of dollars each year through market- ing, broadcast contracts, ticket sales and merchandising. The March Madness basketball tournament alone generates more than $1 billion each year in ad revenues, far more than the Super Bowl. Schools and the National Collegiate Athletic Association both benefit tremendously from the windfall, as do coaches, many of whom are paid more than a million dollars each year. But the athletes themselves? They don’t get a penny. Officially considered “amateurs” by the NCAA, college athletes are contractually forbidden from re- ceiving any kind of monetary compensation. That means they can not only receive wages, but are also prohibited from accepting sponsorship deals or any other kind of publicity-related payouts. In fact, there have been multiple high-profile instances of well-known players punished for minor infractions of these rules, as in the case of the University of Georgia’s star running back Todd Gurley, who was suspended from play after accepting cash for autographed memorabilia. The NCAA remains adamant that student athletes not receive any direct financial compensation for their participation. The group insists that the generous scholarships most top student athletes receive, covering their tuition and most living expenses at some of the best schools in the nation, is ample reward, as is the invaluable media exposure. Furthermore, the NCAA argues, the profits from football and bas- ketball are used to fund less lucrative sports like volleyball or golf. But as profits from college sports continue to surge each year, diminishing the gap between elite college athletics and the pros, a growing number of student advocates argue that college athletes, many of whom practice upwards of 60 hours a week and often accumulate debt even with their scholarships, deserve a share of the profits. It’s their talent, after all, that brings in the billions. Advocates argue that the NCAA is exploiting college athletes by profiting from their skill and celebrity status and not giving them even a small slice of the pie. And, they argue, there is little protection for college athletes who get injured “on the job” and risk losing their scholarships, which are mostly allotted only on a yearly basis. A recent court decision, though, may shake things up. Last August, a federal judge ruled that the NCAA’s s policy of barring payments to college athletes violated antitrust laws. Former UCLA basket- ball star Ed O’Bannon is the lead plaintiff in the class action suit. Now a car salesman in Las Vegas, O’Bannon discovered years after graduation that his avatar had been included in a video game without his consent, and he was receiving no royalties at all from the profit the game generated. The judge ruled that athletes in top men’s football and basketball programs can receive a small share of licensing revenues, which they can collect at the end of their college sports careers. The decision, though, is currently being appealed by the NCAA.

www.ksbar.org/lawwise APRIL 2019 | LAW WISE 9

Lesson Plan 2 continued

Overview: The classroom time will take approximately two or three class sessions.

Resources:

Students will watch and read the following resources prior to the main part of the lesson.

Money and March Madness Frontline (Season 29/Episode 10) https://www.pbs.org/video/frontline-money-and-march-madness-1/

Students will watch this twenty-minute episode on the lucrative nature of the NCAA Men’s Basket- ball Tournament known as March Madness.

“N.C.A.A. Must Allow Colleges to Pay Athletes, Judge Rules” https://www.nytimes.com/2014/08/09/sports/federal-judge-rules-against-ncaa-in-obannon-case. html

Students will read this New York Times article on the court case brought by former UCLA basketball player Ed O’Bannon and other former student-athletes.

“12 Primary Pros and Cons of Paying College Athletes” https://greengarageblog.org/12-primary-pros-and-cons-of-paying-college-athletes

A brief overview of reasons for and against the paying of college athletes.

Class Debate Activity: After the students have watched the short video and read the two articles, you will divide the class into three groups. Group 1 will serve as the judges of the debate. Group 2 will argue for the payment of college athletes. Group 3 will argue against the payment of college athletes. This debate should take one class period. After both sides have presented their case, the judges will deliberate, but they will not announce their decision until the next class session. After the judges announce their decision, the rest of the class period should be devoted to a class discussion of the decision and the larger issue of payment of college athletes.

www.ksbar.org/lawwise 10 LAW WISE | APRIL 2019

TERRIFIC TECHNOLOGY FOR TEACHERS

Student-Athletes www.ncaa.org/student-athletes The official website of the NCAA contains a wealth of information regarding student athletes as well as information on future, current, and former student-athletes.

What It Means To Be A Student Athlete www.theodysseyonline.com/means-collegiate-athlete A personal account of being a student athlete by a female athlete at the University of Miami.

The Shame of College Sports https://www.theatlantic.com/magazine/archive/2011/10/the-shame-of-college-sports/308643/ A link to a long article about the NCAA and college sports by award-winning journalist Taylor Branch.

12 Primary Pros and Cons of Paying College Athletes https://greengarageblog.org/12-primary-pros-and-cons-of-paying-college-athletes A brief overview of reasons for and against the paying of college athletes.

Early Entry? One and Done? Thank Spencer Haywood for the Privilege https://www.nytimes.com/2016/06/30/sports/basketball/spencer-haywood-rule-nba-draft-under- classmen.html An article by New York Times sportswriter William C. Rhoden recounting Haywood’s story and his struggle against the NBA that resulted in the Supreme Court allowing Haywood’s early entry into the NBA draft.

Curt Flood https://sabr.org/bioproj/person/23a120cb The Society for American Baseball Research (SABR) profile of Curt Flood whose struggle opened the way for free agency in Major League Baseball.

Student Athlete www.hbo.com/documentaries/student-athlete The official site of the HBO documentary from executive producer LeBron James chronicles -for mer players, a coach, and a former shoe company executive on the state of the NCAA and college sports.

Schooled: The Price of College Sports https://press.epix.com/programs/schooled-the-price-of-college-sports/ Press site for the 2013 EPIX documentary on collegiate sports based on Taylor Branch’s Atlantic article and his book The Cartel.

One & Done/Ben Simmons https://www.sho.com/titles/3437256/one-and-done-ben-simmons A link to the 2016 Showtime documentary chronicling the year Ben Simmons, the top high school basketball player, spent at LSU before becoming the number one pick in the NBA Draft.

Student Athlete www.hbo.com/documentaries/student-athlete The official site of the HBO documentary from executive producer LeBron James chronicles -for mer players, a coach, and a former shoe company executive on the state of the NCAA and college sports. The documentary will debut in April 2019.

www.ksbar.org/lawwise APRIL 2019 | LAW WISE 11

April is Financial Literacy Month Law Wise is Pleased to Provide this Excellent Resource for Students and Teachers to Promote Responsible Financial Resource Management — Today and Always

Check out www.caremokan.com for more about Credit Abuse Resistance Education!

How to Adult: A Financial Checklist The Financial Checklist Pull your Credit Score and Reports. Establishing a strong credit score is among your highest financial priorities as a “I need help,” I thought to myself as I stared blankly at my young adult. A higher credit score will make it simpler to be computer screen the week after my college graduation. I didn’t approved for major purchases and help you secure a lower in- have a job, a permanent place to live, or any idea on how to terest rate on loans. conduct myself outside of the safe university bubble. I was crushed under the weight of a task list I couldn’t see and grow- Credit reports from the three major agencies, Experian, ing more anxious by the hour. “If only there were a syllabus for TransUnion, and Equifax, reveal the data used to develop your my life,” I sighed, instinctively reopening my Facebook and credit score. They show how long you have been establishing Netflix tabs. credit and whether your payments have been on time, among other things. You are entitled to one free credit report per year As a recent graduate, it can be overwhelming to look true from each agency. To pull your credit report, visit www.annu- adulthood in the face. You may feel the distinct impression alcreditreport.com and follow the instructions. They will ask that you should be acting to establish your financial footing, for your social security number and use a series of financial but have no idea how to start that process. This “How to Adult” questions to verify your identity. Make sure to visit only this article will provide a basic checklist to you in developing website, and do it from a secure, personal internet connection. a stable foundation for your financial future. This checklist is Your credit score is not found on your credit report. not exhaustive but is meant to provide a jumping off point for young adults and recent college graduates. Your credit score is a specific number, generally between 300 and 850, that indicates your riskiness as a potential bor-

www.ksbar.org/lawwise 12 LAW WISE | APRIL 2019

rower. This score is available on certain credit card statements or through many external websites. Discover is currently pro- viding credit scorecards free to customers and non-customers alike through their website (https://www.discover.com/free- credit-score/ ). They use Experian’s data, and so credit scores from the other agencies may vary slightly. Save each of your credit reports and scores to consult throughout the year. Lenders and potential landlords can pull your credit score, and it is always good to know what they might find. Set a Budget. “Budget” is a word we hear often while grow- ing up, but very few people actually have one. I’ll be the first to admit- it’s slightly harder than it sounds. In college, I never spent my whole paychecks, and so I didn’t worry about bud- geting. That was wrong. Budgeting is not about restricting how you spend money, it’s about understanding where your money goes. If you sit down to make a budget today, never having had one before, you may feel lost. How am I supposed to guess what I will spend on food? Every month is different! The first step is to track your spending habits. There are great apps and websites that allow you to track your transactions. I personally The rule is a great place to start, or a fantastic goal to move use the free “Spending Tracker” app for iPhone. You enter the towards. No matter how your budget manifests, make sure money spent, pick a category, write any notes you want about you have a plan for saving money and paying off debt. the purchase, and then the app creates a bar or pie chart. It also keeps a running tally of whether you are in the red or green (do Open a Credit Card. you spend more or less than you’re bringing in) and separates purchases into categories. There are a million different credit cards on the market to- day, and it can be hard to know which option is best for you. After a month (or two) of tracking your expenses, it’s time to The only wrong choice, is no choice. In today’s financial mar- sit down to budget. Websites like everydollar.com allow you to ket, it is a near imperative to have a credit card. It’s the simplest create a budget using categories you name yourself. Remem- way to develop a healthy credit score, and it allows you flex- ber to be honest. In the beginning, it’s easy to be too ambi- ibility while making purchases. So where to start? tious- I’ll save half my income, only spend $10 a week on food, never buy clothes. Underestimating categories will leave you If you have a healthy relationship with your bank, that’s a feeling limited and disappointed at the end of each month. great place to begin. Many banks (even local ones) offer credit If you have categories that you irregularly spend on (birthday cards and may be more lenient with certain requirements for presents, movie tickets, travel), feel free to lump these into a an established client. Beyond this, there are three major factors larger “Miscellaneous” category. for young adults to consider when picking a first credit card. Of course, your budget may reveal things you do need to • APR. This indicates the interest you’ll have to pay if any change- that’s okay! At the end of each month, you should sit of your balance carries over into the next payment cycle. The down to see what you overestimated and what you underesti- higher the interest rate, the more you must pay. APRs for first mated. Feel free to change amounts, or even category names, time cardholders generally range from 13% to 24%. However, to develop a better fit. Many experts use the 50/30/20 rule as a if you pay off your entire balance each month (as you should!) starting point for new budgeters. you do not pay any interest to use your card. • 50% Fixed Costs- Rent, Cell Phone, Utilities, Car, Gro- • Annual Fee. Many cards with great rewards (airlines, ceries, Minimum Debt Payments hotels, retailers) have an annual fee for use. You should only select one of these cards if you know that the rewards you will • 30% Discretionary- Clothing, Donations, Restaurants, collect will exceed that fee. If not, there are plenty of reason- Travel able cards that have no annual fee. Note: Very few landlords • 20% Savings- Emergency Fund, Extra Debt Payments, accept housing payments from credit cards, so make sure to Retirement exclude your housing expenses when estimating how much money you’ll put on your new card.

www.ksbar.org/lawwise APRIL 2019 | LAW WISE 13

• Rewards. Rewards are what really set each card apart. o Exclusive Provider Organization (EPO). You must When researching cards, try using keywords to find the cards stay in-network unless it is an emergency, but you can with the best deals for the things you enjoy most. Common see a specialist without a referral. reward focuses include travel, cashback, hotels, and card credit o Point of Service (POS). You’ll need a referral to go out (they’ll knock money off your bill). of network, but it is an option. You’ll also need a refer- There are, of course, other things to consider. Some cards al- ral to visit a specialist. low you one or two late payments before bumping your APR up, • Health Savings Accounts (HSAs). Many healthcare others let you set your payment due date, and still others allow plans come with the option to open an HSA account. These you to appeal for a credit limit increase after a set period of con- accounts allow you to set aside pretax dollars to be used on sistent payments. The takeaway here is to research thoroughly. medical, dental, and vision expenses. In effect, this is a dis- count on your taxes at the end of the year. These dollars are de- Sign Up for a Healthcare and Dental Plan. ducted from your overall gross income which then lowers your Now we’re getting into the real adult problems. Healthcare tax burden (similar to a 401K). If you’re especially lucky- your and dental plans are often provided through an employer. If employer might even contribute some money to this account that is the case for you, your employer will take money from on your behalf. To use your HSA dollars, you may be given a each paycheck to fund these plans. You may be asked to choose debit card or asked to submit receipts for reimbursement. The between a few options at your date of hire, so what should you best part of an HSA account is that the funds rollover year to look for? year and you can take them with you when you leave a job. So why wouldn’t you pick a healthcare plan with an HSA? These • Monthly Pre- accounts are generally only available with a high deductible mium. This is how much plan. Those plans generally have lower premiums but push a you pay for your health- higher cost onto you as the consumer. If you are young and care plan, whether you healthy- you might not be planning to have much interaction use it or not. A higher with medical professionals beyond check-ups. In that case, an premium tends to indicate HSA that lowers your monthly costs and helps you save for more coverage and lower the occasional copay or prescription likely makes sense. If you deductibles and copays, have a recurring medical concern- you may elect for higher while a lower premium monthly costs but lower costs per visit and greater coverage. may indicate less coverage. • Flexible Spending Account (FSAs). Like HSAs, Flex- • Deductibles and ible Spending accounts take pretax contributions and allow Copays. This is what you you to spend on medical expenses. These are generally an op- will pay when you use your healthcare plan. The deductible tion on all plans. The largest difference is that these funds do is the amount you must pay out of pocket before insurance not rollover year to year and you cannot take them with you. kicks in to assist with the costs. Many plans do help cover pre- Any remaining money in these accounts goes back to your em- ventative care or doctor visits before you reach the deductible, ployer. This account generally only makes sense if you have though you may still have a copay. A copay is a fixed amount predictable, recurring medical expenses and contribute only you pay for certain services, for example, you might pay $30 at that amount into the account. every doctor’s appointment. There are also other fees you may need to pay, like coinsurance (you cover a percent of your medi- • Other. If you have specific health conditions, require cal costs). regular prescriptions, or travel often you may want to evaluate if the plan will cover your care. The best way to find out is to • In Network/Out of Network Coverage (HMO, PPO, call the provider. EPO, POS). Most healthcare plans prefer you use a limited number of doctors in their “network.” If you go to a doctor or What if you don’t have a job that offers health care and den- specialist outside of that network, you may need a referral and tal? First, if your parents have insurance, you may discuss stay- it will likely cost more. These plans are often separated using a ing on their plan until you are 26. However, this isn’t a fit or series of acronyms. option for everyone. Your next best option is to visit health- care.gov to view plans and see if you can enroll. There may be o Health Maintenance Organization (HMO). You must limited enrollment periods or other restrictions, but it’s a great stay in network unless it is an emergency, and you will place to start. Follow the instructions to select your state and require a referral to meet with a specialist. compare plans from the site. A word to the wise, this website is o Preferred Provider Organization (PPO). In-Network a bit unwieldy and frustrating for a first-time applicant. Make care will be cheaper, but you are free to visit providers sure you sit down with a lot of patience and access to google. out of your network without a referral.

www.ksbar.org/lawwise 14 LAW WISE | APRIL 2019

There are several private dental plans available through com- Bonus Items: panies like Delta Dental Insurance, Humana, and Ehealth- again, your best option is to research, ask questions, and com- • Open a Checking and Savings Account. Everyone pare. should have a bank account. Pick a bank you trust, be wary of fees, have round the clock access with apps and web portals, Contribute to Retirement. and shoot for the highest return possible. Start Saving for a Down Payment on a House. Another scary adult financial decision- retirement. As with • This health and dental insurance, your retirement plan is often set may not be relevant in every city, but eventual home owner- up by your employer. They contribute, you contribute, and ev- ship is a goal for many people. Look at the average price of eryone is happy. The only decision you generally have in this first-time homes in your area and try to save 10-20% of that one, is how much to put in. price. It’s best to select the maxi- • Donate 10%. It sounds counter intuitive, but many mum matched contribution, studies indicate that individuals that donate ten percent of which generally ranges from their income are happier than if they were to make more mon- 3-6% of your paycheck. As ey. Whether that’s true for you personally or not, donating is a young adult, you may want an important part of giving back to your community. to contribute even more while • Create your My Social Security Account. you have fewer expenses While you (You’ll thank yourself later, may not need social security for quite a while, it’s good to sign and besides, you’re still mak- up and claim your social security number. You can do this by ing more money than in col- visiting ssa.gov/myaccount. Remember, it’s extremely impor- lege!). You will have the op- tant to visit the correct website, and only on a server you trust. tion to raise or lower your contribution each calendar year. • Know your Student Loan Debt. If you have student Your contributions are deposited into a 401K that will send loan debt, you probably participated in an exit interview prior you regular reports to let you know how your invested mon- to graduation. You should know when you are expected to ey is doing. As a young participant, your funds will likely be start paying them back, how much you’ll be expected to pay placed in high risk-high reward options. You should also have each month, the interest rate, and what your total balance is. access to a company website that allows you to monitor your To find this information, visit nslds.ed.gov. account and make changes to investments. If you don’t have a plan through an employer, but still want Further Resources to save for retirement, you have a few options. You can open Nerdwallet.com– Offers great comparisons on credit cards an Individual Retirement Arrangement (IRA) with your bank and bank accounts, as well as providing various articles related or other financial institution. The money you put into this -ac to the financial market. count is tax deductible if you (or a spouse) are not covered by a traditional employer plan. There are also Roth IRAs. You don’t MoneyUnder30.com– A finance website geared towards get the tax deductions, but you won’t have to pay taxes on the young adults. It features articles answering general questions money when you take it out at retirement (unlike traditional as well as providing in-depth analysis of various credit cards IRAs). These accounts are not meant to be your only means and accounts. of savings, and eventually joining an employee 401k is still the ideal in most cases. That being said, these are great places to start. If those seem like too large of a commitment, you may choose to start small. Purchase a few CDs (certificates of deposits) or try a micro investing app like Acorns or Stash to get comfortable with setting money aside. As with any major financial decision, it’s best to consult multiple sources and pro- About the Author fessionals to make the best decision for yourself. Anna Zimmerman is an Executive Assistant at Gramercy Proper- It’s easy to feel alone when making these financial decisions. ty Trust in New York City. While growing up and attending college I felt like any wrong move, and I’d be destroying my chances in Kansas, she developed a passion for financial literacy within the at financial prosperity for life. It wasn’t, and isn’t, true. There young adult and female populations. Anna has served as a board are people along the way willing to help when you reach out. member, writer and guest speaker for a number of nonprofit and pro- fessional organizations around the country. This Fall, she will begin If you do make a mistake, you can nearly always fix it at the a Social Impact MBA program at Brandeis University with hopes of next calendar year or by contacting your employer or provider. working in the nonprofit sector. The right step, is forward.

www.ksbar.org/lawwise APRIL 2019 | LAW WISE 15

About the Law Wise Editor:

Nicolas Shump teaches courses in Creative Writing, Film, and Advanced Placement (AP) courses in Comparative Government and Politics, European History, Psychology, and U.S. Government and Politics for the Hybrid Learning Consortium (HLC) at The Barstow School in Kansas City, MO. He also teaches Discourse 100 at the University of Missouri- Kansas City (UMKC) where he is an MFA Student in the Creative Nonfiction Program. He is a columnist for the Topeka Capital-Journal and a Talk About Literature in Kansas (TALK) discussion leader for Humanities Kansas.

He can be reached at [email protected]

Is Law Wise Helpful to You? Law Day is May 1 We are always open to receiving Free Speech, Free Press, Free Society comments, ideas and suggestions. In the United States and around the world, freedom of Please reply to [email protected] . speech and the press are among the most important founda- tions for a free society. Free speech and free press are promi- Please let us know: nent topics in public discourse and litigation. It is impossible • Topics you would like to explore; to imagine a free society without these individual liberties, yet • Projects and lessons you have developed that you would historical and current debates surrounding them continually like us to feature; challenge us to consider their boundaries and resilience. Visit • Questions you would like to ask an attorney or judge. www.ksbar.org/law_day to download a free Law Day plan- ning guide and to revisit the Nov/Dec 2018 Law Wise issue about free speech. We look forward to hearing from you.

Visit www.ksbar.org/lawwise to see archived issues, Law Wise frequently asked questions, and to sign-up to re- FAQs We have a list of FAQs available ceive six issues a year via email. at http://www.ksbar.org/LWFAQ.

The Kansas Bar Foundation, with Interest on Lawyers’ Trust Accounts (IOLTA) funding, provides support for this publication. Law Wise provides general information about law-related matters of interest to teachers, students, and the public in Kansas, but does not provide any legal advice, so readers should consult their own lawyers for legal advice. For further information about any projects or articles, contact Anne Woods, public services director, (785) 234-5696. Law Wise is published by the Kansas Bar Association, 1200 SW Harrison St., Topeka, KS 66612-1806, during the school year.

www.ksbar.org/lawwise