It's definitely an issue.

it would seem that at schools with very selective admissions like ND that they need to have the freedom to take special cases, not exactly sure what you would define as a special talent but say there was a high schooler who was incredible with a musical instrument but not quite academically where they need to be to gain admission, I could see making a decision to admit. Sure it might bump someone who would have been admitted, but life isn't always fair and you can't make it fair with hard line admissions criteria.

At a place, like Texas State, where 70+% of the applicants are admitted their needs are much different than Notre Dame's or any other elite school private or public.