will actually be a great recruiting tool. As the world continues to polarize many will choose the light. I think there will be many recruits who find Mormonism weird but will find that BYU is a much better alternative than the constant partying and debauchery that goes on at other schools.
Plenty of other schools will also benefit from their positive reputations and solid moral compass (I'd include the Yewts in this category).
But again, my guess is that long term the HC will actually prove to be a helpful recruiting tool.