College Football Claiming Poverty

[isucy86]

I disagree with the notion that college athletic departments could have had a plan in place for what we've seen this year. But, it's completely valid to examine and question athletic budgets and spending in the situation we find ourselves in. Athletic budgets are incredibly bloated. The arms race is the reason. These programs spend huge amounts of money keeping up with the Joneses. Massive coaching salaries, endless facility updates, huge recruiting budgets, etc. It all gets inflated because people are afraid that if their program didn't spend the cash, then the ones that do will get an advantage.

And that's not necessarily wrong. But it's worth acknowledging, and examining in a time like this, and consider making changes in priority. Significant change isn't likely to happen, but it's not wrong to consider it at a time like this.

I generally agree that college athletic departments should be putting money aside for a potential economic downturn, capital projects, etc. But then so should most Americans, how many people have 3-6 months of living expenses in savings? How many businesses have 3-6 months business expenses in reserve?

Part of the difficulty is the disparate revenue generated by D1 programs. On one end there is Ohio State, Texas, etc. and the other end there is Iowa State, Indiana and Oregon State. You have 55 schools trying to keep up with 10. Ideally, the NCAA would cap expenses by sport and require athletic departments to bank excess monies or give back to university general fund.

 

[NorthCyd]

Has anyone mentioned the Non-profit status athletics departments operate by to save millions in taxes? In order to keep that status they have to spend the money, they cannot squirrel it away for a rainy day.

Actually they can. It's more about the overall purpose of the organization that allows it non-profit status. Non-profits can carry over funds to cover future expenses.

 

[isucy86]

Anyone else sick of this? 8 months ago Pollard is up there touting the new mega-mall of ISU Football fandom to be built in the Hilton/JTS parking lots. Now he’s claiming poverty. I don’t care about endowments, revenue, or anything else. Was this not in the contingencies? Pandemics happen, they actually happen all of the time. I hope we have a season and we can make some money but CFB and ADs better take a good ******* look when we’re past this because it’s a horrible look.

You would probably be scrambling if over 40% of your salary disappeared!

The mega-mall JP proposed was an investment in ISU athletics future. He wouldn't have proposed the idea if he didn't foresee it as being a profitable venture for ISU athletics to provide more resources to compete with other Big 12 programs.

Pandemics happen but not on this scale in the US! When was the last time businesses were closed by the government? When was the last time K-12 schools were closed nationally? A company I used to work for had contingency plans, the the primary intent was if our primary facility was damaged by a tornado or a massive flood.

I remembers the SARs outbreak. It have zero effect on work protocols. The biggest impact was church- no holy water or shaking hands.

 

[Clonefan32]

Actually they can. It's more about the overall purpose of the organization that allows it non-profit status. Non-profits can carry over funds to cover future expenses.

I'd imagine they can't carry over the 62 million bucks they're projected to lose.

 

[Gunnerclone]

I'd imagine they can't carry over the 82 million bucks they're projected to lose.

How can they lose it if they don’t have it yet?

 

[Clonefan32]

The footbridge. The truck would have glanced off the overhead bridge structure and careened into the open parking lots and exploded their. Allowing us to get new pavement for the lots from the insurance carrier.

Why brings up another question--- why did JP not have us covered by loss-of-revenue-due-to-canceled-season-due-to-pandemic insurance?

 

[VeloClone]

How can they lose it if they don’t have it yet?

"We just lost the moon."

 

[isucy86]

What is shut down right now?

My two favorite coffee shops because outbreaks among owner/employees. Good think my 3rd favorite place is still open- good thing they are solely drive-through

 

[Gunnerclone]

My two favorite coffee shops because outbreaks among owner/employees. Good think my 3rd favorite place is still open- good thing they are solely drive-through

I go:

1) Dunkin
2) Starbucks
3) Caribou

All time favorite that I don’t have access to right now is Zanzibar’s in DSM.

 

[DarkStar]

Anyone know the interest rate ISU would pay if they just borrowed the $40 million?

I can't imagine the annual payment on a 30 year $40 million note would be more than $1.5 million per year or less than 2% of the annual budget.

How do farmers make up their shortage when they lose a crop?

 

[BCClone]

Anyone know the interest rate ISU would pay if they just borrowed the $40 million?

I can't imagine the annual payment on a 30 year $40 million note would be more than $1.5 million per year or less than 2% of the annual budget.

How do farmers make up their shortage when they lose a crop?

Insurance.

 

[Sparkplug]

Anyone know the interest rate ISU would pay if they just borrowed the $40 million?

I can't imagine the annual payment on a 30 year $40 million note would be more than $1.5 million per year or less than 2% of the annual budget.

How do farmers make up their shortage when they lose a crop?

Have some older Iowa State Athletic bonds paying 4.25

Wasn't able to get any of these https://www.google.com/amp/s/www.am...ajor-athletic-projects-at-isu?template=ampart

 

[tolfbfan]

Letś see. The Great Depression, WW 1, WW 2, and the end of the tv series ¨Mash¨ are things that have affected my family in the last 100 years similar to Covid. I do not think you can plan for any of them.

 

[simply1]

I'm not the guy that is constantly setting flames around here. It gets really old.

If only there were some way to ignore people so you don't see their threads, etc.

 

[DarkStar]

Insurance.

I hear federal crop insurance doesn't cover the whole loss. Barely covers the costs of some of the inputs. At least that was what it sounded like. They still have to go to the bank to make up the difference to put in next years crop.

Any farmers want to clarify?

 

[LancelotClone]

If only there were some way to ignore people so you don't see their threads, etc.

You still see the threads and the nearly universal mocking.

 

[simply1]

You still see the threads and the nearly universal mocking.

No you don't, you have to click to see ignored content.

 

[jdcyclone19]

I hear federal crop insurance doesn't cover the whole loss. Barely covers the costs of some of the inputs. At least that was what it sounded like. They still have to go to the bank to make up the difference to put in next years crop.

Any farmers want to clarify?

Depends on how big your operation is.

 

[LancelotClone]

No you don't, you have to click to see ignored content.

Interesting. I have seen some threads started by ignored users in the past, but just checked and most don't appear. Must have been a glitch on the ones I did see.

 

[Rogue52]

OP needed a Steve Prohm defensive timeout after posting this.