Coffee with Crawford | Louisville grapples with $16.9M athletic deficit despite increased university support
The University of Louisville's athletic department has already heard the $20.5 million alarm clock.
Uof L's deficits ahead of settlement payments
- Thread starter REDFISTFURY3
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Yeah, I think zip wrote a good analysis of it on the premium board, maybe he will post it over here. He usually has pretty good analysisCoffee with Crawford | Louisville grapples with $16.9M athletic deficit despite increased university support
The University of Louisville's athletic department has already heard the $20.5 million alarm clock.www.wdrb.com
Rising costs is the biggest thing. I’ve said it over and over.
The money to pay players in NIL, it came from somewhere? Money that used to go towards the dept went to that and you can tell we’re paying players well.
Now the whole Clown Show era did deplete our reserves. That was true. But factor in COVID, the biggest hit.
In 2013, we paid Charlie Strong $3.8 million.
In 2014, we paid Bobby Petrino $3 million
In 2025, we pay Jeff Brohm close to $6 million
Let’s not forget that we had to spend more to get into the ACC to. We’ve spent more to keep up. We spend more on staff. We’ve added staff. We’ve added a recruiting team.
Not to mention Dan getting more and Coach Walz getting more for their programs.
We’re spending more to compete with the big boys and we’ve hit a ceiling. Even if the old Tom Jurich days and donors were here, we still would be struggling with this issue. We’ve always had around 50k-55k fans and we can get 60k for a big game.
And it’s not just $20 million. It will go up to $30 million in a decade.
Our friends down the road and other SEC schools will be getting $100 million in TV revenue. Their increases in TV money will pay for them. We have to keep up somehow or we’ll suffer.
Our program was an exception. Most every school had a football program that could subsidize every other program and basketball was the biggest other sport at most schools that barely break even. We not only break even usually, we make a ton of money. So we’ve been able to spread that wealth all over.
In this new world, there’s no money to find unless we get into a bigger conference. All our money has to go to football.
The money to pay players in NIL, it came from somewhere? Money that used to go towards the dept went to that and you can tell we’re paying players well.
Now the whole Clown Show era did deplete our reserves. That was true. But factor in COVID, the biggest hit.
In 2013, we paid Charlie Strong $3.8 million.
In 2014, we paid Bobby Petrino $3 million
In 2025, we pay Jeff Brohm close to $6 million
Let’s not forget that we had to spend more to get into the ACC to. We’ve spent more to keep up. We spend more on staff. We’ve added staff. We’ve added a recruiting team.
Not to mention Dan getting more and Coach Walz getting more for their programs.
We’re spending more to compete with the big boys and we’ve hit a ceiling. Even if the old Tom Jurich days and donors were here, we still would be struggling with this issue. We’ve always had around 50k-55k fans and we can get 60k for a big game.
And it’s not just $20 million. It will go up to $30 million in a decade.
Our friends down the road and other SEC schools will be getting $100 million in TV revenue. Their increases in TV money will pay for them. We have to keep up somehow or we’ll suffer.
Our program was an exception. Most every school had a football program that could subsidize every other program and basketball was the biggest other sport at most schools that barely break even. We not only break even usually, we make a ton of money. So we’ve been able to spread that wealth all over.
In this new world, there’s no money to find unless we get into a bigger conference. All our money has to go to football.
This is a tsunami. Not just for Louisville, but for every university not part of the SEC or Big Ten. Soldiering-on is the only option now. These are the essentials:
1. Win every possible MBB and FB game. Fill the Arena and Stadium. Keep on doing it.
2. Get even more financial support from UofL, the Commonwealth, Students, and Corporates.
Fight the good fight. As long as possible. This is a war for survival in and of major college athletics, especially for Louisville, even though college athletics has become a professional business. Hope and Pray to get into the SEC.
1. Win every possible MBB and FB game. Fill the Arena and Stadium. Keep on doing it.
2. Get even more financial support from UofL, the Commonwealth, Students, and Corporates.
Fight the good fight. As long as possible. This is a war for survival in and of major college athletics, especially for Louisville, even though college athletics has become a professional business. Hope and Pray to get into the SEC.
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Tons of programs in trouble. Overspending on their HCs instead of saving is part of it as mentioned above. No forward thinking.
tOSU and their friends in the Big10 and the SEC will play on, no worries for them. Players will still rake it in through those programs. So fans hating NIL will hate it more, it's possible the games play on without Louisville and the players that are cashing in will keep cashing in. It could end up looking a lot like the EPL for those familiar with soccer.
Yes, the games will continue no doubt.
I agree w/ Gman's direction, that is what UofL will probably try to do. Plow ahead. Cut costs. Raise tuition. Gov't is clamping down on federal spending so don't look for a bail out there. Harvard has the $, they can cope, but not so easy for everyone else. But like Kmart and Sears if those #'s EC is sharing are it then at some point doors close. Cross fingers there's some revenue somewhere. Good luck.
A lot of our fans have voiced their displeasure over NIL and all this $, seeking a more pure environment. Perhaps a drop down in level (s) and a shift to a more student/athlete model where we are in a league with EKU and WKU, or lower, will fit those fans needs. No more NBA/NFL level talents, those guys have no real value anyway, amirite. Let's see what Sigma NU level players look like. Oh wait those games won't be on Tee Vee, we'd have to leave the house. For that?
It's about the name on the front, not the back.
tOSU and their friends in the Big10 and the SEC will play on, no worries for them. Players will still rake it in through those programs. So fans hating NIL will hate it more, it's possible the games play on without Louisville and the players that are cashing in will keep cashing in. It could end up looking a lot like the EPL for those familiar with soccer.
Yes, the games will continue no doubt.
I agree w/ Gman's direction, that is what UofL will probably try to do. Plow ahead. Cut costs. Raise tuition. Gov't is clamping down on federal spending so don't look for a bail out there. Harvard has the $, they can cope, but not so easy for everyone else. But like Kmart and Sears if those #'s EC is sharing are it then at some point doors close. Cross fingers there's some revenue somewhere. Good luck.
A lot of our fans have voiced their displeasure over NIL and all this $, seeking a more pure environment. Perhaps a drop down in level (s) and a shift to a more student/athlete model where we are in a league with EKU and WKU, or lower, will fit those fans needs. No more NBA/NFL level talents, those guys have no real value anyway, amirite. Let's see what Sigma NU level players look like. Oh wait those games won't be on Tee Vee, we'd have to leave the house. For that?
It's about the name on the front, not the back.
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T
Thank you for the laughs in that last paragraph. Damned if you do, more damned if you don't, amirite?
It just doesn't sound like as much fun when you swap out high level talented players who according to some fans have little to no value and are replaceable and then exchange them for frat guys and your walk ons are now your stars, and you are playing games nobody is putting on TV against teams you used to play in exhibitions but are now conference foes.
"We just signed Joey from Collegiate! He was their 8th man and scored 6ppg and has been a Louisville fan his entire life. He's got a 4.0 GPA and can dribble with both hands. He aspires to be a Dentist when his career is over just like his dad, and he's going to take over the family business out in Oldham Co when his basketball career is over. And get this, he doesn't need NIL just like the rest of the players on our team, his pops is loaded! See you in the 4th row for the conference opener vs Transylvania! LFG!"
I suspect some lifelong fans might check out in that scenario. Yeah.
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In the long run, this just won’t work, even for the super two conferences. Either a revenue sharing model like the NFL has is adopted around TV money, and there are serious reforms around NIL , or this whole system will collapse.
Million to billion $ industry coming off strong viewership ain't gonna collapse. Some programs that can't afford it might exit the market, and the landscape changes. Good luck on your hopes for reforms to NIL, going to need some FED gov't intervention, or a complete reversal by SCOTUS. Maybe that happens. The courts are getting overflowed with cases.
Bill introduced in Michigan ain't about reform LOL! Women taking it to court too.
House v. NCAA settlement payments on hold amid legal challenge from female athletes on Title IX grounds
The case marks the first formal appeal filed since the historic settlement was finalized on Friday
www.cbssports.com
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Here is the timeline.
As of right now there are 16 SEC Teams and they're very happy with their deal. There are 18 Big Ten teams, Oregon and Washington are getting partial deals. The main teams remaining in terms of power programs to get into their tent would be Notre Dame, Florida State, and Clemson. Likely Miami would get in there too, they just are a draw no matter how you word it. These are the schools that draw major TV ratings.
As of today, because those 4 teams are out there, people still see that there's value in the other leagues. Indirectly it props up the Big 12 as well. But you take those 4 away and then the SEC/Big Ten will have all of the value. When all of the big brands are in one league, then they can do 2 separate conferences. The general public won't be that upset about leaving the other conferences out. Basically, it's going to be about how big do these leagues and conferences want to get?
Here is the timeline of when the TV deals are up.
1. ACC is through 2036 as we know. The buyout for FSU/Clemson drops to $75 Million in 2030
2. Big Ten currently runs through 2031
3. SEC currently runs through 2033
Because the deals do not run concurrently with one another, that will make it hard to form some new league or for the conferences to drop teams like Northwestern, Vandy, etc.
By 2031 and 2033, Amazon, Netflix, and Apple will be far more established players in streaming live sports and can throw large amounts of cash. They could be the ones to pay a large buyout fee as an investment, because destroying one league to create a higher value on their league would matter.
The money part matters. If you add those 4 teams, then it's 38 teams in those 2 leagues. Instead of 60+ power conference teams, they're now closer to having the number of most pro leagues. College football is the most valuable property that isn't the NFL, so having all the elite programs under one roof. But the difference is that they can go beyond a certain amount because there isn't expansion fees and all of these places have stadiums built.
So the future after that is the fact that they can now shut everyone out of the playoffs. So how big will they go?
It then becomes a p*ssing contest and they'll look at things beyond what we're thinking about now. We can say let's win games and such, but we're viewed the same as several other programs in the TV execs eyes.
Like Colorado might not have Coach Prime forever, but they'll talk about the potential and the Denver market. Stanford has been bad, but they've had some stronger seasons in the not too distant past and can talk about the SanFran market along with ND and USC rivalries. Arizona State can point to the Phoenix market and how they just made the playoff. North Carolina has some big market and they won't be left out. Virginia Tech's big fan base plus the state of Virginia and DC market. Then other programs that have had BCS/NY6 successes like Kansas State, Baylor TCU, Utah, etc. I mean the west coast teams could bring up how more western teams give them more timeslots to fill out that way.
We have to remember, they don't care one bit about other sports or our overall dept. anymore. It's all about football markets.
It really just depends on how big they go and what they're looking for. The more they think they'd need to add, the better for us.
