It's a sign of these highly competitive times when the new basketball coach's salary of $925,000 per year is considered conservative, compared to the $3 million that the University was reportedly considering paying another candidate. In its effort to keep up with other schools, the University unwisely solicits millions of dollars in private donations for athletics, even while academics remain underfunded.
Athletic Director Craig Littlepage acknowledged that coaches' high salaries are a result of competition. "In order to have a top performing program, a sports program needs talented leaders," he said in an e-mail. "If we are to compete on a national level, we have to be willing to invest in people. . . that can make a difference." Salaries are just a fraction of the larger athletics budget, which amounts to over $40 million in expenses.
A common myth is that the athletics program generates enough money through football and basketball profits to cover expenses, but University sports are dependent on private contributions and our own tuition money. According to the University's 2003-2004 Equity in Athletics Disclosure Act report, athletics revenues exceeded expenses by $674,542, but these reported revenues include $10.9 million in private contributions and $5.7 million in student activity fees. Without these sources, the program would be $15.9 million in debt for that year.
In the same year, the men's basketball program reported a surplus of $3.9 million, but this figure does not account for the cost of maintaining facilities, a cost that recently soared as construction began on the new $130 John Paul Jones million arena.
Throughout our recent budget crises, the University has continued to aggressively solicit funds for the new arena, even while faculty salaries were frozen and academic departments struggled to function with inadequate resources. Professors have been forced to work and hold class in decrepit buildings with broken chairs and lousy ventilation, yet construction on the arena began before many of these academic facilities were repaired.
Defenders of the arena have repeatedly asserted that the project does not divert funds from academics and other areas of the University because the money comes from athletics revenues and private donations. However, in a finite pool of wealthy and generous alumni, soliciting donations for athletics surely deflects funds that might otherwise go to the larger University. In the Office of Development's appeals to potential donors, they can choose whether to emphasize athletics facilities or the sad state of New Cabell Hall.
Another consequence of the professionalization of college athletics is that a lackluster season is considered not just an embarrassment, but a disaster. When the men's basketball team failed to meet expectations, fans furiously called for former coach Pete Gillen's head, and many worried that the losses would reduce support for the arena project or even affect contributions to the larger University.
Conventional wisdom holds that fielding competitive sports teams in lavish facilities will draw alumni back to the University for games and inspire donations, both to the athletics and to the University at large. We imagine that in the thrill of victory, wealthy sports fans will open their checkbooks, while a bad season will reduce enthusiasm and result in fewer donations.
In reality, empirical data suggest that there is no significant relationship between the success of sports teams and the generosity of alumni. In a recent study, financial analyst James L. Shulman and former Princeton University president William G. Bowen found that even when college football teams improve their performance, their success is not accompanied by an increase in donations to the schools, or even to the athletics programs. In fact, an analysis of Division IA football programs revealed an average decrease of $135 per donator when teams dramatically improved.
Of course, the financial equation leaves out a number of important benefits that athletics provide to the University. Televised games bring recognition to the University, while on-Grounds athletic events provide opportunities for students, faculty, staff, and alumni to come together in celebration, or in mourning after a loss. Many students will remember sports events as defining moments of their college experience and future games will give us a chance to relive these moments after graduation.
Littlepage emphasized that athletics also benefit the larger community. "Talk to local merchants about the value of a football weekend to their bottom line," he said. "Families with young children take advantage of the University's sports teams by attending games, having their children attend camp programs, and other promotional activities."
Indeed, the rewards of the athletics program justify many of its expenses, but the University should make academics a priority when it solicits funds for major projects. Arenas are nice, but the larger mission of the University is education, and these needs should come before athletic facilities.
Cari Lynn Hennessy's column usually appears Fridays in The Cavalier Daily. She can be reached at chennessy@cavalierdaily.com.
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