Rutgers athletics hits record $78 million deficit. New AD says ‘It’s got to get better.’
The school spent a record $193 million on athletics even as its deficit grows
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Rutgers Athletics bleeding red ink
- Thread starter Catch1lion
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This is going ti become a very common trend unfortunately across the country for athletic departments
If they petitioned to leave the B1G, my guess is they could be successful.
Gotta spend money to lose money....there is zero reason to pay that much for coaches. Zero. You can find someone willing to take half or a quarter of what is being paid for each and every one of these people.
$46.1 million in coaching salaries, $31 million in support staff
$46.1 million in coaching salaries, $31 million in support staff
Rutgers athletics hits record $78 million deficit. New AD says ‘It’s got to get better.’
The school spent a record $193 million on athletics even as its deficit grows
This is what we’re up against.
What benefit for them would there be for them to leave the B1G?
Canary in the coal mine. This isn't good for anyone.
Doesnt seem like a good business model to me. But then neither is not releasing the team schedules until the next year. Neither one of those ideas is conducive to fan loyalty. And we're still waiting to evaluate the spending habits under Sandra and Patrick.
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Rutgers athletics hits record $78 million deficit. New AD says ‘It’s got to get better.’
The school spent a record $193 million on athletics even as its deficit grows
Rutgers is not the exception. College athletics is a financial dumpster fire and it's getting worse. The vast majority of b1g programs, and FBS programs in general, are running annual deficits and they're only getting worse.
'Still waiting"? LOL
As to the Bigger Picture:
Anyone interested, unless they have been living in a cave, knows these issues are already widespread - and getting worse at exponential rates. And it is NOT just the bottom feeders (like Rutgers). It already includes many of the "Blue Bloods".
Meanwhile, PSU is flush with cash money. 
Obviously, the solution is to pay athletes more……
TV revenue and bowl money sharing. Rutgres has a spending problem.
Bob and Jersey-ites, do you have different math in the Garden State ?
Much like government. Difference is that Rutgres can't print greenbacks.
This is a problem for PSU. Remember that delany brought rutgres into the b1g to make us feel more belonged. We were on an island without them.
I asked this elsewhere. How does a school justify this? Do they feel it’s essentially a marketing expense - that demand for attendance would drop precipitously without supporting teams at a certain level? I mean it’s ******* Rutgers (in this case) - who goes there hoping to see high-demand sports teams? Who goes there to rub elbows with their athletes?
They ALL have a spending problem.
Rutgres (too bad for them) has significant revenue issues (relative to peers in the Big Ten and SEC) which compounds things - and makes their spending problem even more impactful.
If one were to look purely at "insane spending problems":
Truthfully, there are many programs that have even worse "spending problems" than does Rutgres - PSU near the top of the list (but far from the only one).
The problems stem not from "economics", but rather from lack of responsible leadership.
I think it's FOMO. It's what keeps the gambler coming back to the table because he just knows his next play will hit the big one.
Thing that gets me is that school sports were originally not intended to be moneymakers for the schools or the athletes, but rather mens sana in corpore sano, or healthy mind in a healthy body. I understand why the Ivy League did what they did with their varsity sports.
I think it is just a matter of time (I suspect in the not too distant future, next Sunday A.D.) before a school effectively goes bankrupt because of this insanity. I wonder how the taxpayers will react?
You have to wonder if there is any real leadership left anywhere in our society.
It exists - just not at scale in enough places.
Rutgres is in a particularly difficult spot, IMO (and they are not the only one), given that they effectively damage the revenue of most other Big Ten programs.This is a problem for PSU. Remember that delany brought rutgres into the b1g to make us feel more belonged. We were on an island without them.
Without Rutgres in the Big Ten: PSU, OSU, UMich, etc would all be at least a few million $ better off. Despite the Big Ten's long-standing tradition of "equal revenue shares", the culture of current leadership - along with the fact that even the "big boys" are in over their fiscal heads - could very well lead to "unequal revenue share", reducing payouts to the have-nots. That has already moved well down the road in discussions, and I expect is more or less a fait accompli at this point (just a matter of when, how, and how much).
When that happens? All bets are off. (And, obviously, Rutgres is not the only have-not at risk)
They feared if they didn't bring in Rutgers, PSU would leave. So this means it is Penn State's fault Rutsgers is in debt.This is a problem for PSU. Remember that delany brought rutgres into the b1g to make us feel more belonged. We were on an island without them.
Well, there's only one thing left to do at Rutgers.
Spend more.
Spend more.
Clearly this sport needs to fracture into teams that are capable of competing...er, affording to compete and schools that just don't need the headache. Its a total drain on the state tax payers, the school, the academic mission to be losing this kind of revenue on teams that frankly aren't any good. Damned if you do and damned if you don't isn't a strategy. Schiano for instance, negotiated a HUGE buyout as part of coming back to the university to protect against....a new administration that might not "value" his 6 wins a year "enough." Schools like Rutgers are held over the barrel of a gun. "Oh you don't want the best possible coaches and players, then you won't be competitive....whats that going to do to your ledger?" They aren't competitive anyway.
IMO, definitely. At least as of now.
Certainly a "have" compared to the vast majority of other P4 programs.
What does Reuters do with all their B1G TV Money? Hookers and booze?
Rutgers was brought in to secure the East coast TV market. Same reason for expanding to the West coast. $$$
yes, but in the B1G? we are probably 5th- 6th at best right now
With Rutgers, there was something about the fee the BTN charges cable companies to carry. The get more money per subscriber if there is a Big Ten school in the state. I don't know if that is still the case given there are so may ways to get TV now.