The ACC hasn’t gotten appreciably richer than any other conference lately. ACC membership is the best thing to happen to Virginia Tech since Frank Beamer. Boston College is another big winner. Miami will have to get used to smaller payoffs for success in return for revenue certainty.
Please note – the information contained in this chart is of ‘reported revenues’. No standard accounting rules exist to define what revenue each Athletics Department chooses to ‘report’, therefore the odds are very high that you are not comparing accurately consistent numbers across athletics departments.
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July 14th, 2008 at 11:42 am
We don’t have the time to fix the formatting issues on the revenue chart. Hopefully someone (va wolf) can get to it later today. Looks like VT is the big winner in all of expansion.
Another interesting question would be….”If the ACC would not have expanded, how would this chart been different?”
July 14th, 2008 at 12:11 pm
Yes, Virginia and Virgina Tech, there is a Santa Claus. Thanks for the post; is there a summary list of sources of revenue that added together equals total revenue?
July 14th, 2008 at 12:16 pm
IIRC, the Big Least lets the BCS team keep most of the BCS money. If UM’s 2003 Orange Bowl money is included in the 2003/2004 totals, then the delta columns are misleading. A line graph over time would be a more interesting (and accurate) way of presenting the data.
July 14th, 2008 at 12:23 pm
Most articles on college finances/revenue get their information from the govt website “Equity in Athletics”.
http://ope.ed.gov/athletics/search.asp
If you spend any time looking at this website, then it will become obvious that the “rules” for reporting revenue and expenses are not standardized. (For instance, UMD’s revenues always match expenses.) As with all things associated with the federal govt, take anything they say with a large grain of salt.
July 14th, 2008 at 12:24 pm
What is included in this revenue? If all ACC get the same payout, what additional revenue is included to create differences between schools.
SFN: Schools could choose to include the cost of scholarships (income from boosters and expenses to Universtiy) while others don’t. Schools could choose to report donations made to support capital needs (facilities) while other schools may choose not to. Some schools may have complicated ownership & leases of their facilities and choose to account for the flow of funds related to leases differently. There are a whole host of accounting decisions that could choose to significantly impact the financials.
July 14th, 2008 at 12:27 pm
The ACC splits TV money (FB and BB), bowl game revenue (after travel expenses for the participating schools), and NCAA tournament money equally between the schools.
Obviously, ticket sales and donations are not shared between the schools.
July 14th, 2008 at 12:40 pm
Thanks. I wasn’t sure if the equal distribution was based on anything else such as student population, etc.
July 14th, 2008 at 2:37 pm
All things being equal (level accounting), then it would appear that our beloved Wolfpack is third to last in revenue. Yet another feather in Lee’s cap of mediocrity.
July 14th, 2008 at 5:36 pm
I think it would be interesting to see how our bowl revenue + NCAA tourney revenue split 12 ways compares to our Bowl revenue and NCAA tourney revenue for just the old 9 teams split 9 ways. I also wonder if the increase in the newest TV contract was worth the addition of 3 teams to share the money with. Has expansion been really that much of a money maker?? I think original assumptions on expansion included an additional BCS bid which has not happened yet.
July 14th, 2008 at 6:45 pm
Hold on, guys. You can’t put up a chart like that an expect a Tarhole to understand it. “Delta”??? They think that’s the name of a fraternity!
July 14th, 2008 at 7:35 pm
Any chart like that is pretty worthless without a million footnotes on what each school is considering and not considering.
It is like a drive by look at a financial statement without digging into the details to find the real truth. As an engineer that has worked with accountants and financial statements for 25+ years, I have learned to appreciate the art and judgment that goes into financial type statements.
Add to that the fact that schools like UNC will make up their own rules to self promote their interest in any data that is going to go public.