Regarding alcohol: People at ISU tell me it would likely bring in less than a million after insurance, all that crap that's over my head. So feel free to form whatever opinion you have on that.
My take on the opt-outs, etc. It's a systematic thing. Not a specific critique of ISU. The leaders of college athletics are making this professional sports, not me. If they want to keep going this way, then have participation reports like the NFL does. Transparency is a good thing.. This will be mandatory across the board in the next two years. Gambling is a part of the equation, but not the entire thing. I think fans (who are paying the bill) deserve the right to know what's going on - especially once these guys are officially getting paid.
Full disclosure: I don't know how they are going to do it all with HIPPA laws and what not. Smarter people than me will figure it out.
With regard to HIPAA-
The privacy laws under HIPAA only apply to “covered entities” which include healthcare providers, health insurance providers, and those types of entities. The ISU AD is not a covered entity with regard to HIPAA.
As a public university, FERPA may also apply to keep private education records which may in some circumstances include medical records.
In either case, it would be reasonable for a waiver requirement for the athletes employed by the department. It’s honestly not that big of a deal from a law perspective.
It could get a little complicated if there is a collective bargaining agreement that comes out with some kind of players association, but that’s just contractural law and not really based on HIPAA or FERPA or any other federal privacy laws.