As I understand it, contrary to common perception, it has nothing to do with the athletic or academic resources (budget) of the university. If that were the case we should be exempt and Troy not. Instead it relies on a formula to consider the economic background of the students by looking at a percentage of the student body receiving government aid (grants, tuition assistance, etc). There may be some other factors used in the formula but I believe government aid is the main criteria. So using UL as a baseline (and we are the 2nd lowest in D1A), in theory (and in practice) you have programs with larger athletic budgets (resources) who are exempt from the Academic Performance Requirements and their associated penalties for failure to meet the standards due to "Limited Resources" exemptions. IMO, that is a joke. The ability to support student athletes and ensure they meet academic standards is more a function of the resources of the institution to provide support than it is of the individual students or the student body as a whole. But then no one has ever accused the ncaa of having common sense.
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