USA Today: Texas Athletics over $200M both in and out

Discussion in 'On The Field' started by Joe Fan, Jan 20, 2018.

  1. Joe Fan

    Joe Fan 10,000+ Posts

    "Always a college sports financial giant, the University of Texas athletics department has taken yet another leap. It had nearly $215 million in annual operating revenue and total operating expenses of $207 million during its 2017 fiscal year, according its new annual financial report to the NCAA.

    It is the first time a Division I public-school athletics program has had at least $200 million in both operating revenues and expenses in the same year.

    In addition to its operating expenses, the Texas athletics program reported making a separate $10.3 million transfer to the university. That type of transfer, beyond operating expenses, occurs annually at Texas. Over the past four years, the athletics department has sent a total of nearly $40 million to the university in this manner. So, arguably, from the athletics department’s perspective, the program operated at a deficit for 2017.

    Texas’ athletics department is among the few nationally that gets no revenue from student fees, or institutional or state sources.

    * * *

    The 2017 expense total is by far the largest single-year total during the 13 years for which USA TODAY Sports has compiled these data for all NCAA Division I public schools. Texas established the previous high of $173.2 million in 2015.

    Texas' new revenue total is the largest single-year amount for a Division I public school other than the $241 million (not adjusting for inflation) that Oklahoma State reported for 2006. Oklahoma State reported $211 million in donations for that year. About $165 million came from Boone Pickens, largely for facility upgrades.

    There have been three years in which schools have reported more than $190 million in annual operating revenue, but each of those amounts also involved anomalous donation totals connected to facility projects — at Oregon in 2014 (football training facility) and at Texas A&M in 2015 and 2016 (both years for a huge football stadium project).

    Texas reported just under $188 million in revenue in fiscal 2016.

    Among the areas of increase in 2017, according to the new report were:

    —Ticket revenue: Up by $11.6 million to $72.5 million. That's the largest single-year ticket revenue total for a public school, by more than $9 million. (Texas reported $63.3 million for fiscal 2015.)

    Of Texas' 2017 total, $42.4 million was attributed to football (up from $37.4 million in fiscal 2016). More than 160 Division I public schools reported less total operating revenue for their entire athletics programs in fiscal 2016 than Texas had in football ticket revenue in fiscal 2017.

    —Royalties and licensing: Up by $9.1 million to $45.9 million. This is likely the category in which Texas reports its take from the Longhorn Network, a dedicated cable channel for which it receives millions in guaranteed rights fees from ESPN. The parties' contract refers to these fees as royalties.

    —Media rights, primarily from the Big 12 Conference: Up by $2.7 million to $17.6 million.

    —Contributions: Up by $2.2 million to $42.6 million.

    On the expense side, the biggest increases were in:

    —Facilities debt service, leases and fees: Up $6.9 million to $27.2 million.

    Severance pay: Up $5.7 million to $9.2 million. Of this total amount, more than $7.1 million was attributed to football. Coach Charlie Strong was fired by the school in November 2016.

    —Salaries and benefits for administrative and support staff: Up $5.4 million to $39.8 million.

    —Game-day operations: Up $5.3 million to $29.5 million.

    https://www.usatoday.com/story/spor...operating-revenue-and-expenses-ov/1050205001/
     
  2. WorsterMan

    WorsterMan SEC here we come!!

    Interesting.

    Remarkable that UT is only one of, perhaps a few, programs that kicks $$$ back to the university.... and a sizeable amount at that. Imagine how much higher the programs revenue would be if the football program was winning more games....
     
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  3. ViperHorn

    ViperHorn 10,000+ Posts

    If this does not include the DKR capital improvements, what cost $5 million more than the prior year?
     
  4. Vol Horn 4 Life

    Vol Horn 4 Life Good Bye To All The Rest!

    I suggest the university kick some back to the fans and reduce ticket prices just a smidge. It's absolutely f'ing ridiculous that I can't take my family to a football game for less than $400 unless I take advantage of some schmuck on the interwebs just trying to dump his tickets and get something for them instead of nothing.

    I can say I've gotten some sweet club ticket deals and had a prime rib dinner plus a game for less than $100 a ticket. I can't be picky about which games I go to, but hey, they usually win when I get to go!
     
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  5. X Misn Tx

    X Misn Tx 2,500+ Posts

    beer COGS? lol
     
    • Like Like x 1
  6. Phil Elliott

    Phil Elliott 2,500+ Posts

    I'm just glad they don't charge what they could charge.
     
  7. Joe Fan

    Joe Fan 10,000+ Posts

    Imagine the size of the kickbacks once we start competing for championships again
     
    • Like Like x 1
  8. mchammer

    mchammer 10,000+ Posts

    Back in the day, I could sell my OU tickets and my Tech tickets (if at home) and break even on what I paid for season tickets AND Longhorn Foundation contribution. Basically, I saw 4 or 5 Home games for free for about 5 seasons.
     
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  9. SabreHorn

    SabreHorn 10,000+ Posts

    Hope for OU probation and TV ban. When that happened in the 70s, Okies would pay over $1,000 a seat on Parry. I never sold mine, but a couple that went with me, told me they would hang out on the fair grounds if I wanted to sell their two. I told them that wasn't nearly enough money to endure sitting with two dustbowlers for four hours.

    That $1,000 paid for 2-3 season tickets, much less $2,000 - 4,000.
     
  10. Seattle Husker

    Seattle Husker 10,000+ Posts

    I'm not sure how true that is. I know my alma mater, U of Washington and my childhood favorite Nebraska also give money back to the school. I'd imagine that it pretty typical for most of the athletic factories with "wealthy" athletic programs to give back. Not all D-1A programs do this as I know for a fact that Washington St. U is in the hole and it's students get charged ~$250/yr to help the athletic program.

    That's not to take anything away from UT which is generous in their $10M donation.
     

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