America is infatuated
with sports at the college level, and the amount of revenue generated is
astounding. Where does this money go? Enormous athletic operating costs at each
level of NCAA competition are at the forefront of an institutions’ decision which
division to pursue. Robinson, Peterson, Tedrick, & Carpenter (1) record
“The average operating budget of a Division I-A athletic department is
$17,297,000…Division II athletic program with football is $1,635,000…Division
III institution with football is $772,000” (pg. 46-47). Some universities view
these numbers as a financial burden on the overall budget. Therefore they
decide to remain at the same division, or to seek a smaller division to focus
on academics.
Numerous universities view this phenomenon as an
opportunity. Sweitzer (2) notes on the University of South Florida’s move to
the Big East, “These are universities that will be solid university partners
over the next decades, and I believe our affiliation with them will advance our
brand as a national research university. Academically and athletically, it’s
strategic positioning.” (pg. 61). Ultimately, the glamour of big time
money-making universities through athletic programs will lure better athletes
and a higher number of students as well.
References
(1) Robinson, M.J., Peterson, M., Tedrick, T., &
Carpenter, J.R. (2003). Job satisfaction on NCAA Division III athletic
directors: Impact of job design and time on task. International Sports Journal,
7(2), 46-56.
(2) Sweitzer, K.V. (2009). Institutional ambitions
and athletic conference affiliation. New Directions for Higher Education, 148,
55-63. DOI: 10.1002/he.368
Those are some crazy numbers. It would be interest to see the budget for our athletic department (TSU). Are these numbers a nation average? If so it would be, once again, interesting to see the range between the high and low ends of college budges. Your original question pondered on 'where the money goes', where does are the money for ticket sales, food & beverages, merchandise, etc. go?
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