Did athletic departments benefit from campus support last year, or was it a misallocation of resources?

The financial woes of athletic departments at the 10 public universities in the Pac-12 have been laid bare, with a staggering $81 million shortfall reported last year. Only five schools managed to operate with a surplus, painting a grim picture of the financial health of college sports programs across the conference.

When university support is removed from the budgets, the situation worsens significantly. Direct transfers from central campus to athletic departments and money from student fees allocated to athletics are crucial sources of revenue, but they also mask the true financial struggles faced by these programs.

The 2022-23 fiscal year saw the 10 public schools in the Pac-12 grappling with $1.3 billion in expenses against $1.22 billion in revenue. Washington led the pack with $151.6 million in reported revenue, closely followed by Oregon. However, when the $138.2 million in campus support is excluded, the budget shortfall balloons to a staggering $219.5 million.

The financial challenges extend beyond the public universities, with Stanford also facing a $33.3 million deficit without campus support. The total shortfall for 11 athletic departments climbs to a staggering $252.8 million, highlighting the precarious financial position of college sports programs.

As universities grapple with the role of sports on campus, questions arise about the sustainability of current funding models. With college athletics serving as a major ambassador for universities, the debate over the level of campus support and its impact on the bottom line is likely to intensify in the coming years.