The NCAA rule is a joke. There are so many loopholes in it they should just repeal the damn thing.
Few people realize that the Big Ten is not even bound by the rule. The Big Ten rule is more restrictive than the NCAA rule, so they don't even abide by the rule.
In the Big Ten you can only sign three over the 85-limit. In other words, if Iowa has only 20 available scholarships they can sign 23 players. In addition, Iowa would have to document to the Big Ten office the measures taken to come under the 85-limit.
As an example, Illinois has thirty commitments for this year. This mean Illinois has only 58 players on scholarship (85 minus 27). If Iowa has a rash of commitments in the last few days of recruiting, they will exceed the 25 NCAA limit. However, Iowa will still be under the 85-limit.
There is growing momentum in the NCAA to adopt the Big Ten rule. The part of the Big Ten rule that coaches & admistrators hate, is the documentaion of how the school came under the 85-player limit.