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Realignment talk not going away


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15 minutes ago, Hurtlocker said:

This is another one of the Pac's numerous failings.   In the 2010s, when Texas stayed in the first realignment, the "have nots" of the conference invested the media revenue wisely in sports infrastructure and in methods to increase fan engagement and revenue.    While they won't catch Texas, they transformed the conference.   Iowa State brought in around $45m back then, they've more than doubled that in a decade to $112m.   Kansas State doubled theirs in that time and most others jumped from the $60s into the $100ms.   Matter a fact, all of the Irate 8 have increased their AD budgets over $100m, which is sort of the line in the sand for the top 50 schools.   Granted, they all need to bump that up into the $150s in the next 5 years, but their books are healthy.

This is not the case with the Pac.   Their haves continued to have, but the have nots didn't keep up in the same fashion.  Most all of the schools use an unhealthy amount of school funds to subsidize the athletic departments and they've been the most financially weak of the P5 conferences for a while, but the OSU/WSU are special.

Oregon State and Iowa State, who had the smallest AD budget in the Big 12 a decade ago, were pretty similar in 2013, today Iowa State brings in $23m more per year.   And it does that without taking any school funds (outside charging the students ticket fees in tuition).   Oregon State got to its number with $8.5m in school funds, meaning the clones make $30+m more per year than the Beavers with a similar media deal.

Washington State is even worse and, to your point, they are the lowest revenue generator in the Power Five.  It takes $14m in school funds, meaning its true revenue is only $69m - and 65% of that is rights and licensing!   For comparison, Central Florida made $89m in that same year, but without a power five media deal.   

Oregon State and Washington State, regardless of history or success, just don't operate like a power five athletic department and are far closer to Air Force, SDSU, and UNLV.

 

Fucking this.

I hear debt/red numbers from Pac and I'm stunned. If Tech can operate with an 11m surplus, how can these self appointed geniuses so thoroughly fuck themselves? 

 Texas: don't have it, don't spend it.

West coast: don't have it, we deserve it.

*I love the west coast. Lived in Cali for almost 20 years. Doesn't mean the politics and education there aren't beyond dumb.

**don't neg me, RIMBO.  

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For [mention=1238]Al_4_ISU[/mention] and our Okie Lite posters. Memories of the way we were...
PS - Fuck Nebraska

The Big 8 is exactly what a college sports conference should be. Every school within a day’s drive of each other, regional commonality, scores of characters, round robin schedules.
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1 hour ago, statsman said:

No. SMU wants to go big on NIL. They don’t care if they lose money; they want to be big time again, they know how and it’s legal now. They need to be in a major conference and they will do anything to get there. Except try to appeal to the masses  

As has been said on this thread before, 'No conference wants to add a school that will buy the best talent and therefore beat you. But at the same time add Zero value. infact they'll just dilute the earings.'

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37 minutes ago, Welshy said:

Fucking this.

I hear debt/red numbers from Pac and I'm stunned. If Tech can operate with an 11m surplus, how can these self appointed geniuses so thoroughly fuck themselves? 

 Texas: don't have it, don't spend it

As has been discussed here, Cals stadium debt is $450,000,000. The debt is literally on a 100 year note. The last payment is due in 2112. So I was thinking they couldn't have possibly screwed this up any worse but they did. The stadium naming rights belong to none other than the crytocurrency scam known as FTX. So for several years now Cals been getting payed in FTX currency that is now worthless. LOL

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2 minutes ago, redswingline said:

The vast majority of athletic departments run in the red. Priorities are outta wack..

 

That's fair. ...and only works with a payoff (enrollment, attractiveness, etc.). Stanford and Cal don't need that any more than Harvard or MIT do. 100% ego driven, right up until it's not and you have to ask your regents for endowment money. 

I'm still befuddled at the arrogance and hubris in some of these school's perceptions of what their entitlement is v what they deserve. Stanford is pretty securely the best athletic program in the country. But that doesn't translate to media value. No one but chess players care if they are the best chess players in the country.

And that never occurs to them. They can't process it. SouthCarolina operating at a deficit knowing their football program is marketing for their SECSECSEC University is one thing. CAL in the red is not Cal's standard. ahem. 

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1 minute ago, CustersDoctor said:

As has been discussed here, Cals stadium debt is $450,000,000. The debt is literally on a 100 year note. The last payment is due in 2112. So I was thinking they couldn't have possibly screwed this up any worse but they did. The stadium naming rights belong to none other than the crytocurrency scam known as FTX. So for several years now Cals been getting payed in FTX currency that is now worthless. LOL

wow. 

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7 minutes ago, CustersDoctor said:

As has been discussed here, Cals stadium debt is $450,000,000. The debt is literally on a 100 year note. The last payment is due in 2112. So I was thinking they couldn't have possibly screwed this up any worse but they did. The stadium naming rights belong to none other than the crytocurrency scam known as FTX. So for several years now Cals been getting payed in FTX currency that is now worthless. LOL

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1 hour ago, mdmost said:

It's not happening, Cal, Stanford and SMU

 

"There’d always been long odds because there wasn’t ever a significant value add."

This is why I was laughing at the ACC idea all along.

Fuck Cal, fuck Stanford.

Also: BWAAHAHAHAHAHAHAHAHAHAHAHAHAHHAHAHAAA

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59 minutes ago, Welshy said:

Fucking this.

I hear debt/red numbers from Pac and I'm stunned. If Tech can operate with an 11m surplus, how can these self appointed geniuses so thoroughly fuck themselves? 

 Texas: don't have it, don't spend it.

West coast: don't have it, we deserve it.

*I love the west coast. Lived in Cali for almost 20 years. Doesn't mean the politics and education there aren't beyond dumb.

**don't neg me, RIMBO.  

I'm sorry, man, I wasn't gonna do it until you reminded me to. 🤣

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42 minutes ago, redswingline said:

The vast majority of athletic departments run in the red. Priorities are outta wack..

 

It's because it's the front porch for most school's marketing to the greater world.   It's worth losing money on sports if you gain it back in admissions, much like a marketing budget.

That being said, some are far worse than others.  In the Power Five, 77% of the schools operated in the black as of the 2021-22 fiscal.    Of those that didn't, half were in the Pac 12:

Arizona, Colorado, Tennessee, South Carolina, Arizona State, Oregon State, Washington, Viriginia Tech, Ole Miss, Maryland, UCLA and Rutgers.

 

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2 hours ago, camel at sea said:

I remember a couple years ago, there were rumors that TCU was getting a look from the Big Ten because ND allegedly wanted its home conference to have a presence in CA, TX, and FL.  This rumor seems like a rehash of that one.  The travel logistics of SMU, Cal, and Stanford in the ACC - even if it's just football only - are ridiculous.  I could be talked into the idea of Cal and Stanford getting a scheduling agreement for football with the ACC, maybe even with stipulations that they both get annual games with the Irish, but I can't see how full membership would be viable without adding more western schools, too, and I don't know which schools that could be or how they'd justify their invites financially.  Just for fun, though:

Northeast:  BC, Cuse, Pitt, L-Ville, ND
MidAtl:  UVA, VT, UNC, NC St, Duke
SE:  Wake, GT, Clemson, FSU, Miami
West:  Stanford, Cal, SMU, Rice, Tulane
      

You wouldn't actually have divisions (though you probably would have a geography-based scheduling model) but I grouped it this way to visualize it better.  The western additions are largely garbage so you'd have to get some kind of serious proof of commitment from Stanford and Cal, to actually try hard at football, before you brought them on.

 

At some point realignment jumps the shark.  I think we are here.

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1 hour ago, Al_4_ISU said:


The Big 8 is exactly what a college sports conference should be. Every school within a day’s drive of each other, regional commonality, scores of characters, round robin schedules.

ISU to Colorado was what 10 hours? Back when they took buses and not planes.

I get where you’re coming from (and the regionally is one of the reasons I’m glad Texas landed in the SEC while Texas is it’s own region we share some traits with the PAC/B8/SEC but nothing with the Big Ten) but when LA to NYC takes around 5 hours it’s a different landscape than when these regional conferences that primarily traveled by bud were formed.

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1 hour ago, Hurtlocker said:

This is another one of the Pac's numerous failings.   In the 2010s, when Texas stayed in the first realignment, the "have nots" of the conference invested the media revenue wisely in sports infrastructure and in methods to increase fan engagement and revenue.    While they won't catch Texas, they transformed the conference.   Iowa State brought in around $45m back then, they've more than doubled that in a decade to $112m.   Kansas State doubled theirs in that time and most others jumped from the $60s into the $100ms.   Matter a fact, all of the Irate 8 have increased their AD budgets over $100m, which is sort of the line in the sand for the top 50 schools.   Granted, they all need to bump that up into the $150s in the next 5 years, but their books are healthy.

This is not the case with the Pac.   Their haves continued to have, but the have nots didn't keep up in the same fashion.  Most all of the schools use an unhealthy amount of school funds to subsidize the athletic departments and they've been the most financially weak of the P5 conferences for a while, but the OSU/WSU are special.

Oregon State and Iowa State, who had the smallest AD budget in the Big 12 a decade ago, were pretty similar in 2013, today Iowa State brings in $23m more per year.   And it does that without taking any school funds (outside charging the students ticket fees in tuition).   Oregon State got to its number with $8.5m in school funds, meaning the clones make $30+m more per year than the Beavers with a similar media deal.

Washington State is even worse and, to your point, they are the lowest revenue generator in the Power Five.  It takes $14m in school funds, meaning its true revenue is only $69m - and 65% of that is rights and licensing!   For comparison, Central Florida made $89m in that same year, but without a power five media deal.   

Oregon State and Washington State, regardless of history or success, just don't operate like a power five athletic department and are far closer to Air Force, SDSU, and UNLV.

 

Another note about Iowa St.  They LEAD the nBig 12 in attendance over the last 4 years.  Over 58k.

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9 minutes ago, CustersDoctor said:

Here's the link to the sportico article about the crushing debt at Cal.

https://www.sportico.com/leagues/college-sports/2020/cal-bears-financial-troubles-1234609207/

 

UnderArmour was paying Cal 86 million? And backed out? UCLA for 280m for 15 years? and wanting out? Jesus. 

Shit's reconciling way more than was apparent, at least to me, but it makes sense. UA wants people to see their stuff. If no one watches, they aren't going to pay.

A lot like ESPN and FOX. 

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32 minutes ago, BurntOrange&White said:

Link for this?

Can the Cal Golden Bears Survive A Season Without Football?

“Perhaps the pandemic will finally give Berkeley a way to get out of having a football team,” said one member of the 2016 task force.

Quote

The financial situation for the Cal Golden Bears is about to go from bad to worse.

One of the country’s largest and most successful athletic programs, Cal is also remarkable in another way. No public school’s athletic department has more debt than the Bears, the result of what was once the most expensive capital project in NCAA history.

The program is struggling in the same ways many others are too. College football is hanging by a thread, which means ticket sales and possibly TV money will drop significantly. Cal’s also losing partners—Under Armour is trying to back out of its $86 million contract—and facing a new wave of athlete activism, born from football players on its own campus, with a long list of demands.

It’s a financial minefield. In the four years before COVID-19 disrupted college sports this spring, Cal’s athletic department ran a combined $75.8 million deficit. With tensions already high on campus about resources given to athletics, the Golden Bears may be the poster child for how the pandemic could change the financing of big-time college sports.

“The options they have are really limited,” said John Cummins, Cal’s former associate chancellor.  “Let’s just assume that the impact, even if they play football, is tens of millions of dollars. Then the question is, how much of that do they want to assume in debt, and how much of that will require cuts of some kind?”

Cal’s not alone, of course. This story will play out across the NCAA, as debt comes due, revenues dip, partners back out of deals and state funding dries up. Top-division athletic departments sold more than $1.1 billion in football tickets in 2018, and brought in more than $2.2 billion in media payments, mostly for football rights. NCAA payouts from the canceled March Madness tournament will drop by 63%, and the companies and people that college sports rely on are also struggling.

“We have no plan for a year without football,” one athletic director told Sportico.

“It would be Armageddon,” said another.

Those conversations happened before a group of more than 100 Pac-12 football players announced that they wouldn’t play this year until they were granted a series of new financial and medical benefits. The group was borne out of conversations between Golden Bears players, and their asks include a guarantee that no more sports would be eliminated on Pac-12 campuses, the right to market themselves, and most notably, 50% of conference revenue to be distributed to athletes.

“To ensure future generations of college athletes will be treated fairly, #WeAreUnited,” the group said in an open letter published on The Player’s Tribune.

“The problem is that athletics has never been able to pay back debt,” Cummins said.

A university known much more for its activism and academics, Cal–Berkeley’s athletic philosophy has historically focused on opportunities for students. The Bears offer 30 sports, one of the highest totals in the country, and they excel at many of them. As of last year, Cal had won 97 national team titles in 16 sports. The school has had a national champion, team or individual, in 46 straight years.

Offering that many sports is expensive, especially as the costs to maintain top-tier football and basketball teams skyrocket. Amid the financial problems of the past few decades, Cal’s athletic leaders have seemingly made decisions based on the belief that revenue will always grow in the future.

Many on campus no longer believe that’s true. Losing the $86 million Under Armour deal, one of the bigger apparel contracts in college sports, would affect revenue for years to come. The school’s $100 million commercial rights deal with Learfield IMG College, may also need renegotiating, though an athletic spokesman says it remains intact. Another big variable is the value of the Pac-12’s next round of TV deals, set to be negotiated over the next few years.

“There’s this optimism that lives in the world of college sports that you can just raise more money,” said Karen Weaver, a sports management professor at Drexel. “But COVID has exposed the problems with all of the money systems that they count on.”

Long before this metaphorical seismic shock, Cal had to deal with literal ones. Its football stadium was built atop a geological fault, and instead of building or playing elsewhere, leadership chose a pricey renovation that cost more than $200 million in retrofitting. By the time it was finished in 2012, construction costs (which included a high-performance center) had mushroomed to $474 million, an NCAA record for a capital project.

Of that cost, about $445 million was financed through borrowing. Debt-service payments, currently at $18 million, will eventually jump to $37 million in 2039. The payment schedule stretches into the next century.

Cal originally planned to pay off the debt with decades-long season ticket packages, but demand for those were weaker than expected. Just a few years after finishing the renovation, one of the largest athletic departments in the country realized it couldn’t pay its bills.

Facing an impasse, Cal formed a 14-person task force in 2016, then commissioned a review from an outside consulting firm. Millions were floated from the chancellor’s office to athletics. In late 2017 a potential long-term solution was reached—new chancellor Carol Christ agreed to have the school assume more than half of the stadium debt payments.

She and new athletic director Jim Knowlton then agreed to a six-year budget plan designed to reduce the department’s reliance on the school from $25 million in 2020 to around $13 million by 2025. A Bears spokesman said that despite the cancellation of spring sports, including the postseason basketball tournaments, Cal athletics met its budget target for 2020.

“We are considering a number of different measures, but at this point, we do not want to speculate and believe it is too early to fully understand the impact of the pandemic given the number of uncertainties,” he said.

That leaves a lot of questions for right now. Cal’s athletics budget is around $108 million, with $36 million of that attributed to football. Some revenue will be held, and the school will save some costs—it can cost $2 million to fly its football team to games—but a canceled football season would be catastrophic.

“Perhaps the pandemic will finally give Berkeley a way to get out of having a football team,” said one member of the 2016 task force.

What looms are a host of bad options, many of the same ones being debated by presidents, chancellors and athletic directors around the country. One option available to the Bears: borrowing more money. Cummins said athletics has the option to borrow money from the UC system president’s office in the form of a 2.5% interest loan that would feature five years of interest-only payment before the principal kicks in. (A spokeswoman for the UC President Janet Napolitano’s office did not respond to requests for comment.)

But the department, which is supposed to be self-sustaining, has struggled to pay back money in the past. Cal chancellors in 1999 and 2007 forgave a combined $49 million in athletics deficits that the school had covered. That was before Christ took on the around $200 million for the stadium project. “The problem is that athletics has never been able to pay back debt,” said Cummins, who wrote a 28-page research report on the saga back in 2017.

Then there’s cutting programs. Nearby Stanford University, a school that Cal considers a rival both athletically and academically, turned heads across the country when it dropped 11 varsity sports last month. Cal could drop the same number and still offer more than many FBS schools.

But Cal’s been there before as well. In 2010 the school tried to eliminate five sports, and all were reinstated following alumni uproar. Sports are near and dear to many donors’ hearts, and keeping donors happy is increasingly important as state money dries up. There are other options, like trimming operating expenses for sports or laying off staff, but those likely won’t save enough to cover losses.

The entire university, including athletics, has projected a $340 million budget gap due to COVID-19. The school has imposed a hiring and a salary freeze and last month laid out a mitigation plan—which includes short-term borrowing, more federal funding and personnel changes—that would reduce that gap to $65 million.

“Universities were struggling with resource allocation before this virus hit, and with remote learning and enrollment drops, resources will dwindle even more,” said Brad Bates, a former D-I athletic director who was part of the consulting group that did Cal’s 2017 review. “There’s going to be a more intensified fight for how those resources are prioritized and allocated across campus.”

The sports-specific decisions rest with leaders like Christ and Knowlton, who must correct the financial missteps of the people who held their jobs before them. Both were unavailable to comment for this story, though they’ve said in the past that cutting sports is a last resort.

No matter what happens, there’s likely to be a new round of opposition from faculty on campus. That last resort may soon become reality, but maybe not in the way that some would expect.

“Perhaps the pandemic will finally give Berkeley a way to get out of having a football team,” said one member of the 2016 task force. “We will see.”

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1 hour ago, Welshy said:

Fucking this.

I hear debt/red numbers from Pac and I'm stunned. If Tech can operate with an 11m surplus, how can these self appointed geniuses so thoroughly fuck themselves? 

 Texas: don't have it, don't spend it.

West coast: don't have it, we deserve it.

*I love the west coast. Lived in Cali for almost 20 years. Doesn't mean the politics and education there aren't beyond dumb.

**don't neg me, RIMBO.  

Shut the fuck up with politics or you'll be getting more than one neg you dipshit. Also, the State of California had $92B in budget surplus the last two fiscal years for an average of $46B per year. Texas is on track for a record $32B surplus (lower than California's average the last two years). If you're going to be a fuckhead and CR a football thread at least don't be an idiot about it.

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30 minutes ago, Hurtlocker said:

It's because it's the front porch for most school's marketing to the greater world.   It's worth losing money on sports if you gain it back in admissions, much like a marketing budget.

That being said, some are far worse than others.  In the Power Five, 77% of the schools operated in the black as of the 2021-22 fiscal.    Of those that didn't, half were in the Pac 12:

Arizona, Colorado, Tennessee, South Carolina, Arizona State, Oregon State, Washington, Viriginia Tech, Ole Miss, Maryland, UCLA and Rutgers.

 

Economics, how does it work?

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4 hours ago, Pasken said:

Maybe you're right but I just assume there would be enough enthusiasm since they've been so desperate for the big 12 for so long.

Never assume enthusiasm with cougar high.

They've never had any, even with good teams, and they never will. 

Yes, it's STILL a commuter school, with world-class-apathy to match.

I can't wait for cougar high's attendance fiction this year-- back to claiming 40,000 when the gate is 10,000.

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Quote

Notre Dame would highly consider joining ACC for football if Cal and Stanford join per source

I'll "highly consider" swimming in the shit in Slumdog Millionaire if you give me a million dollars.

Once you give me that money, I'll decide not to, but will thank you for the money and let you know I "highly considered" it.

 

Altough for a billion dollars, I actually would swim through that shit for a minute.

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43 minutes ago, Welshy said:

Every rush song straddles the fence between brilliance and obnoxiousness. The constant oscillation is exhausting. 

 

Also, no way Neal Pert = John Bonham

Come on, man.

You're not really saying that this guy: 

image.png.60840e1ea52279cfbb4c7e2d128e9d08.png

is better than THIS GUY:

image.png.258d4701cfa1b3e885f84c32d8de867e.png

 

That kit goes to 11.

 

OK, he may in fact be compensating for something.

 

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52 minutes ago, Welshy said:

Every rush song straddles the fence between brilliance and obnoxiousness. The constant oscillation is exhausting. 

 

Also, no way Neal Pert = John Bonham

Neil Peart (R.I.P) was twice the drummer, probably the greatest drummer of a generation.  He literally could have had the visual acuity of Stevie Wonder and would still be no less a drummer, I've never seen a drummer hit all of the drums in a set without looking or turning his head.  

Edited by FartingDreamer
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12 minutes ago, Huckleberry said:

Shut the fuck up with politics or you'll be getting more than one neg you dipshit. Also, the State of California had $92B in budget surplus the last two fiscal years for an average of $46B per year. Texas is on track for a record $32B surplus (lower than California's average the last two years). If you're going to be a fuckhead and CR a football thread at least don't be an idiot about it.

So...don't talk about overwhelming debt and hubris in the PAC 12 while discussing the implosion of the PAC 12 in the realignment thread.

Texas v. CA shit talking it not cloak room. Dude. Come on. 

 

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20 minutes ago, FartingDreamer said:

Neil Peart (R.I.P) was twice the drummer, probably the greatest drummer of a generation.  He literally could have had the visual acuity of Stevie Wonder and would still be no less a drummer, I've never seen a drummer hit all of the drums in a set without looking or turning his head.  

not to keep drummer talk from going away, but I'd agree.   He also wrote a bunch of their songs and used some complicated time sigs and transitions. 

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Look, I love Rush dearly, but the whole point of sharing 2112 was to spoof Cal's athletic program.

Extending it to the state of California's politics, Cal's education, or "hrrep deerr Bonham was better" dick-measuring is ...

 

... actually, yeah, a pretty good sign that realignment has in fact jumped the shark and we're done here.

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4 hours ago, royiv said:

I tried telling posters on here and in the Big XII leftovers thread how insufferable BYU fans are. This guy is the embodiment of the typical BYU fan that has an inflated sense of their place in the college sports landscape. Utah has spent the last two bowl seasons in Pasadena while BYU has had the opportunity to holiday in Shreveport and Albuquerque.

Nobody cares how much you hate BYU.

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4 hours ago, TKthunder2 said:

ISU to Colorado was what 10 hours? Back when they took buses and not planes.

I get where you’re coming from (and the regionally is one of the reasons I’m glad Texas landed in the SEC while Texas is it’s own region we share some traits with the PAC/B8/SEC but nothing with the Big Ten) but when LA to NYC takes around 5 hours it’s a different landscape than when these regional conferences that primarily traveled by bud were formed.

I’ve made Des Moines to Denver in 8 many times.  Ames to Boulder is less than 9 pretty easily.

I think Columbia to Boulder was the biggest haul.

Im also talking about the effect for fans too.  It’s a lot cheaper to hop in the car and spend 8-9 hours driving to Norman than it is flying to Tucson.

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7 hours ago, TKthunder2 said:

ISU to Colorado was what 10 hours? Back when they took buses and not planes.

I get where you’re coming from (and the regionally is one of the reasons I’m glad Texas landed in the SEC while Texas is it’s own region we share some traits with the PAC/B8/SEC but nothing with the Big Ten) but when LA to NYC takes around 5 hours it’s a different landscape than when these regional conferences that primarily traveled by bud were formed.

I thought travel by bud was part of the attraction of CU.

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4 hours ago, CustersDoctor said:

I can't stop laughing at the fact Cals football stadium has a final payment of $75,000,000 in the year 2112.

Of course by the year 2112 $75,000,000 is prolly what we'll be paying for a can of air.

We’ve taken care of everything
The words you hear, the songs you sing
The pictures that give pleasure to your eyes
It’s one for all and all for one
We work together, common sons
Never need to wonder how or why

Animated GIF

Edited by DFW Horn
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