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Simms chose to attend Morehead State University in nearby Morehead, Kentucky, and joined Tau Kappa Epsilon there. The team featured a ball control offense, and Simms' numbers at Morehead State were unspectacular—in his senior season he completed 92 of 173 passes for a 53.2% completion percentage and had six touchdown passes, 11 interceptions, and 1,229 yards. The team also finished with a 2–6–1 record in his senior season and failed to make a bowl game during Simms' four years. Simms finished his career at Morehead State with 409 completions in 835 attempts for a 48.9% completion percentage. He also totalled 32 touchdowns, 45 interceptions, and a school-record 5,545 yards.
Before the 1979 NFL Draft, Bill Walsh, who was the new coach of the San Francisco 49ers, flew to Morehead State with assistant coach Sam Wyche to work out Simms.[3] Walsh was so impressed with Simms that he planned to draft him in the third round, preferring him over another young quarterback they scouted and ultimately drafted, Joe Montana.[4] But the New York Giants decided to make Simms their first round pick to the surprise of many.