College Football Claiming Poverty

  • Fanatics -

    Thank you for your patience today and welcome to the newest version of Cyclone Fanatic!

    Most of the changes we have made are very simple, but will greatly improve your user experience while visiting the website.

    We have upgraded our forum software to speed things up. Our homepage is much cleaner and should be even more mobile friendly than before.

    We appreciate your loyalty and are committed to not only keeping Cyclone Fanatic in tip-top shape, but continuing to build this community for the next decade and beyond.

    We ask that if you are experiences any glitches to let us know in this thread . Will will be diligently working on the site all day.

    Thanks again.

    Chris Williams - Publisher

isucy86

Well-Known Member
Apr 13, 2006
2,554
1,074
113
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

Well-Known Member
Aug 22, 2011
8,428
6,579
113
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.
 
  • Agree
Reactions: SEIOWA CLONE

isucy86

Well-Known Member
Apr 13, 2006
2,554
1,074
113
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

Well-Known Member
Nov 19, 2008
16,275
11,410
113
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.
 

Clonefan32

Well-Known Member
Nov 19, 2008
16,275
11,410
113
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?
 

Gunnerclone

Well-Known Member
Jul 16, 2010
41,016
32,256
113
DSM
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

Well-Known Member
Sep 15, 2009
3,752
3,133
113
Minneapolis
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

Well-Known Member
SuperFanatic
Sep 4, 2011
30,167
22,194
113
North Iowa
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

Well-Known Member
SuperFanatic
SuperFanatic T2
Oct 9, 2008
2,419
1,337
113
Central Iowa

tolfbfan

Well-Known Member
Nov 29, 2015
2,158
2,884
113
55
Ohio
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.
 

DarkStar

Well-Known Member
Sep 15, 2009
3,752
3,133
113
Minneapolis
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?
 

jdcyclone19

Well-Known Member
SuperFanatic
SuperFanatic T2
Apr 14, 2017
2,905
4,139
113
Iowa
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

Active Member
Apr 18, 2018
612
129
43
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.
 

Help Support Us

Become a patron