I have proposed lots of solutions. You just don't like them. If your house is on fire, you need to either extinguish the fire or get out of the house. Your choice is to do neither.
There is nothing warped about it. The UConn athletic department has a $25 million budget hole, in a large part from football. If we don't get into the Big 12, who is going to cover that hole?
The state of Connecticut has a $1 billion budget hole, and is reducing its subsidy to the state colleges. So now we have shrinking state funds against an athletic program that is losing money hand over fist. The only way to cover the athletic budget hole is to charge every graduate and undergraduate student about $800 a year to keep the football program alive. I have a sneaking suspicion that a lot of those students don't like football that much.
It will cost UConn $225 million to maintain the athletic program at this level until the end of the current P5 TV deals and GOR's, at which point who knows what the landscape will look like? Is it realistic for a school to invest $225 million into something that we hope will break our way in 9 years but might still suck even at that point?
If UConn wants to save its football program, it needs to figure out a way to generate more revenue. If the AAC is a dry well, then it needs to get out of the AAC. If, as I am sure I will see in succeeding posts, there is no alternative, then the answer is easy.
Is it possible that intramural and rec services are included in the athletic department budget at UConn because they utilize the athletic department facilities?Careful with your analysis. The latest financials have said football, and men's and women's basketball make money after you allocate the Nike and conference revenues to each sport. Not all of the analysis that I have seen does this. (Men's hockey may be close to break even now with the move to HE, but I don't know the #s.) Also, there are two budget line items that don't necessarily show up in other schools' budgets: the cost of scholarships and student intramural and recreation costs.
Let's first look at scholarship costs as it is included in some schools profit analysis and not in others. It is estimated that athletic scholarships cost UConn about $14 million per year. Of this, I estimate that $4 million+ of this expense is the difference between in-state and out-of state tuition costs (~$20k/year.) I view the $4 million additional out-of-state tuition cost as funny money that is an accounting matter, but others may want to include it.
The McKinsey report (2011) on potential cost savings and revenue enhancements at UConn estimated that the UConn athletics budget includes $9 million of student fees and costs associated with student recreational services and intramurals. In other words, $9 million (in 2011) of the "athletics subsidy" was actually student fees used for student activities, not to subsidize intercollegiate athletics. (It does allow UConn to show a bigger athletic budget, which seems to be a positive in conference realignment.)
And, it is estimated that the sports at UConn, outside of football, and men's and women's basketball lose $12 to $15 million per year. This is the problem at all schools, not just UConn. Title IX requires you to have equal men's and women's athletic scholarships which is an expense that generates little revenue. Non-revenue sports can be cut to reduce the subsidy.
One other point. UConn is "required" to play basketball games at the XL Center. This hurts UConn's athletics budget by decreasing revenues and increasing expenses in comparison to playing games at Gampel. It's pretty clear that UConn plays at the XL Center for political and not financial reasons, but should UConn be subsidizing the XL Center?
The above are the facts and show the UConn athletics finances are not as bad as Nelson says, but they still require a subsidy. The Big East money rolling off is another headwind, but that is why Benedict was hired as AD as he needs to figure out where to get more revenues.
Probably the sport with the biggest upside from today, is football. Going forward, the team looks improved and the home schedule is improving with schools like BC, Syracuse, Virginia, and Missouri in the next few years. I think football attendance and revenues are set to improve going forward. And having a competitive football team is the only way to a possible P5 invite and increased revenues.
Is it possible that intramural and rec services are included in the athletic department budget at UConn because they utilize the athletic department facilities?
I can see it being easier to manage them under the athletic department since they utilize so many of the ad's facilities.Maybe. It may be hard to separate/allocate the costs or it could be more efficient to manage them under the AD.
Again. And again and again and again. Sigh.Sweet merciful crap, these guys have gone off the rails.
Again. And again and again and again. Sigh.
Careful with your analysis. The latest financials have said football, and men's and women's basketball make money after you allocate the Nike and conference revenues to each sport. Not all of the analysis that I have seen does this. (Men's hockey may be close to break even now with the move to HE, but I don't know the #s.) Also, there are two budget line items that don't necessarily show up in other schools' budgets: the cost of scholarships and student intramural and recreation costs.
Let's first look at scholarship costs as it is included in some schools profit analysis and not in others. It is estimated that athletic scholarships cost UConn about $14 million per year. Of this, I estimate that $4 million+ of this expense is the difference between in-state and out-of state tuition costs (~$20k/year.) I view the $4 million additional out-of-state tuition cost as funny money that is an accounting matter, but others may want to include it.
The McKinsey report (2011) on potential cost savings and revenue enhancements at UConn estimated that the UConn athletics budget includes $9 million of student fees and costs associated with student recreational services and intramurals. In other words, $9 million (in 2011) of the "athletics subsidy" was actually student fees used for student activities, not to subsidize intercollegiate athletics. (It does allow UConn to show a bigger athletic budget, which seems to be a positive in conference realignment.)
And, it is estimated that the sports at UConn, outside of football, and men's and women's basketball lose $12 to $15 million per year. This is the problem at all schools, not just UConn. Title IX requires you to have equal men's and women's athletic scholarships which is an expense that generates little revenue. Non-revenue sports can be cut to reduce the subsidy.
One other point. UConn is "required" to play basketball games at the XL Center. This hurts UConn's athletics budget by decreasing revenues and increasing expenses in comparison to playing games at Gampel. It's pretty clear that UConn plays at the XL Center for political and not financial reasons, but should UConn be subsidizing the XL Center?
The above are the facts and show the UConn athletics finances are not as bad as Nelson says, but they still require a subsidy. The Big East money rolling off is another headwind, but that is why Benedict was hired as AD as he needs to figure out where to get more revenues.
Probably the sport with the biggest upside from today, is football. Going forward, the team looks improved and the home schedule is improving with schools like BC, Syracuse, Virginia, and Missouri in the next few years. I think football attendance and revenues are set to improve going forward. And having a competitive football team is the only way to a possible P5 invite and increased revenues.
http://ctmirror.org/2015/11/16/uconn-ranked-third-for-sports-subsidies/
$27.2 million subsidy.
Pretending that UConn athletics is not losing what it is losing is not a strategy.
That's because Christopher Lambert @theDudeofWV 4h4 hours agoIt makes me irrationally angry that this assclown believes he's righteous on the subject of realignment.
Ha, same here, and I blocked him a long long time ago. But then again, he does have at least 2 other Twitter accounts that he used to berate people with! So pathetic.The past few posts of the Dude's tweets make being banned by him=WINNING!!!
I am a football season ticket holder and like going to games, but i can acknowledge that spending $18mm (which is probably conservative) so 20k UConn fans can party on a runway 6 times a year is not a good use of university resources.
Can someone give us a recap of recent stupid stuff? I lost track.That's because Christopher Lambert @theDudeofWV 4h4 hours ago
@xBrainPaintx@JSi07 But my mistakes were honest mistakes. I was stupid & inexperienced.
Now he is stupid and and experienced. Experience is what was missing before.
Can someone give us a recap of recent stupid stuff? I lost track.
TheDude said:One more thing. I've really come to care for the fans of BYU, UCONN, Cincy & UCF.
Not what he said. Did you even read his post?http://ctmirror.org/2015/11/16/uconn-ranked-third-for-sports-subsidies/
$27.2 million subsidy.
Pretending that UConn athletics is not losing what it is losing is not a strategy.