Regardless of the wide variation of opinions here, from what has been reported it seems that Smith did indeed violate one NCAA by-law, and that was failing to get permission to go. We still don't know about his missing class. No matter what we think about the validity of NCAA rules, they are still the rules, whether we like it or not.
That being said, it appears that Smith didn't know he had to tell someone that he was going, and he probably thought that because he wasn't going to miss any classes (and hopefully his not missing any classes proves to be true). If his failing to notify proper officials of his intention to attend is the only violation, I don't see much happening. In fact, as pointed out earlier, had he not taken that booster payment, we may not even be hearing about this. The thing that will cause any penalty at all to be handed out for this is the fact that Smith is already on suspension.
As for us not having a chance against Texas without Smith, whoever thinks that can turn in your BP membership right now. Zwick impressed with his gutty performance in the Alamo Bowl and I can't wait to see what Boeckman has (some were saying he was the best QB in spring practice). We'll be fine with whomever is taking snaps for us on Sep 10th.