OU's varsity athletics department recognized for budget efficiencies

Aside from Ohio University’s notorious number 2 party school ranking released recently, the university claimed another, relatively unexpected distinction in July.With budget cuts looming for the 2011 upcoming year, one Ohio University department received national attention last month for its economic efficiency. That department: Intercollegiate Athletics (ICA).

At a time when some OU faculty members question the value of spending $15 million a year on NCAA sports, a study from Texas A&M University (PDF) ranked OU’s athletics department 12th nationally in terms of economic efficiency.

“We wanted to bring to the forefront colleges operating from an economically efficient standpoint,” said Jason Hudson, director of A&M’s Labaratory for the Study of Intercollegiate Athletics. “We looked at budgets, conferences, and we gave credit to schools winning conference and national championships.”

Two other Mid-American Conference schools finished ahead of OU, with Kent State ranking first nationally and Central Michigan ranking fourth.

“It is nice to be recognized by this Texas A&M research study for quality in economic efficiency,” said Jason Corriher, spokesperson for OU’s athletics department. “This study identified university athletic departments at the FBS level (formerly Division 1A) that were efficient in the ratio of budgetary investment and athletic performance. In short, departments that ranked high are getting a lot out of what they are putting in. It is also encouraging to see several Mid-American Conference (MAC) schools ranked high in the top 20.”

Schools such as Ohio State University that spend millions and millions more than smaller schools such as OU and Kent State did not fair as well with this formula. Unless those schools dominate in every major sport, it would be very difficult for them to find their way into the top 20, given the large sums they spend on athletics, Hudson said.

At a time when some faculty across the country are calling for universities to rein in their spending on athletics, this economic efficiency report bodes well for OU ICA.

Faculty at OU, though, say their issues with athletics spending go beyond whether or not the department is using its resources wisely.

“Although we have raised concerns about some of their questionable spending practices, such as hotel stays for football players before home games and “pay-to-play” postseason tournaments like the one the basketball team played in three years ago, ‘efficiency’ has never been our core issue,” said Joe McLaughlin, professor of English and chair of Faculty Senate.

“I’m glad that they are being efficient.”

Some faculty are concerned that the athletics department is overspending its resources, year in and year out. They’re also concerned, according to McLaughlin, that with the current budget crisis, too much money is being allocated to ICA.

“Given our budget difficulties and need to prioritize, is Intercollegiate Athletics a priority?” McLaughlin asked in an e-mail to The Athens NEWS. “In the past two budgets (FY10 and FY11), the university has allocated close to $2 million in new revenue to ICA, while spending less to increase faculty salaries. At the same time, it continues to insist that improving faculty compensation is a top priority, while failing to identify ICA as one. Their budgeting is not in line with their rhetoric.”

Corriher, however, pointed to the department’s $1.25 million cuts to its operating budget and its moving $600,000 from general-fund support to student-fee support as evidence of how the department has pared down expenses. He added that in the past the core budget issue has been that there have not been sufficient resources to allow OU athletics to conform to guidelines set out by the NCAA, the MAC and Title IX.

“It is important to note that ICA has managed expenditures within the annual authorized budget for the past two years,” Corriher said. “The athletic department is committed to long-term financial stability and expects to meet its annual budget projections, and will do so through being efficient with expenses while continuing the trend in revenue growth, which now approaches $4 million annually.”