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South Carolina athletic department lost $58m due to COVID, $160m outstanding debt expected
Posted on 2/4/21 at 5:17 pm
Posted on 2/4/21 at 5:17 pm
quote:
The COVID-19 pandemic has wreaked havoc on athletic budgets across the country, and the South Carolina athletics department is no exception. The loss of revenue due to limited ticket sales, a conference-only schedule and the expensive coaching change for the football program left the Gamecocks relying heavily on television contracts and the Gamecock Club to ride out the pandemic.
USC's athletic department is projecting the expected outstanding debt to be more than $160 million on June 30, 2021.
At a Board of Trustees retreat on Jan. 15, Chief Financial Officer Ed Walton said that the “athletic revenue ... suffered mightily.” Though Walton expects a full recovery by 2026, he admitted it is going to be a "long road."
John Humphries, the athletics budget director for USC, said revenue from televised games is a "significant" portion of the budget and will be crucial for future financial success.
“Even if you had no fans, playing those games and getting the games on TV was very important to be able to operate this year,” Humphries said.
The Gamecocks will benefit from their SEC conference affiliation even more in 2024, when a conference-wide television contract with ESPN officially goes into effect.
On top of the pandemic-related financial issues, the budget took another major blow after the termination of head football coach Will Muschamp. Since he was under contract until 2024, his buyout cost the department roughly $15.5 million.
Unlike most typical coaching buyouts, Muschamp’s did not have a “duty to mitigate” clause. This means the university is responsible for the buyout even if Muschamp finds other employment.
The hiring of new head football coach Shane Beamer brings another expense: he is scheduled to make $2.75 million per season during his five-year contract.
Since Beamer is still constructing his coaching staff, the exact impact these new hires have on the budget is yet to be determined.
Humphries said he and his team are “hoping for the best, but planning for the worst.”
The Daily Gamecock
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Posted on 2/4/21 at 5:18 pm to paperwasp
Correction. They lost that much due to it being politicized.
Posted on 2/4/21 at 5:23 pm to paperwasp
I would imagine that many D-1 teams are facing the same thing, SC is just having their shortfall reported.
Posted on 2/4/21 at 5:26 pm to paperwasp
quote:
Unlike most typical coaching buyouts, Muschamp’s did not have a “duty to mitigate” clause. This means the university is responsible for the buyout even if Muschamp finds other employment.
Holy frick.
Posted on 2/4/21 at 5:27 pm to GoldenDawg
Yeah, yeah. We know. Ray Tanner is an idiot.
Posted on 2/4/21 at 5:29 pm to paperwasp
That is why we had a football season even after you knew there wasn't going to be an equal playing field for every team. Cash the check became the goal for most of the programs and not winning games. The fact that coaches were fired as a result showed the hypocrisy of college athletics. It is continuing into the BB season. Nothing will prevent the NCAAT from being played this year. The Bank accounts depend on it.
Posted on 2/4/21 at 5:38 pm to paperwasp
Damn USCe broke as frick
Posted on 2/4/21 at 6:05 pm to paperwasp
This explains Shane Beamer.
Posted on 2/4/21 at 6:15 pm to paperwasp
Being the reason your institution LOST an extra $20,000,000 because you are the guy that made the decision to fire the guy and then have the balls to say, “hoping for the best” is so impressive!
That’s like being a guy that openly commits adultery and then the next day tells the marriage counselor, yeah I’m hoping for the best. Dude, YOU are the problem and reaping what you sowed.
That’s like being a guy that openly commits adultery and then the next day tells the marriage counselor, yeah I’m hoping for the best. Dude, YOU are the problem and reaping what you sowed.
Posted on 2/4/21 at 6:44 pm to paperwasp
I'll donate $50 if they'll get rid of that damn rooster effect on the PA
Posted on 2/4/21 at 6:47 pm to paperwasp
"Lost revenue" is a dumb way to say that they made less revenue than was planned. They never had the revenue for it to be lost.
Posted on 2/4/21 at 6:48 pm to Lonnie Utah
quote:
I would imagine that many D-1 teams are facing the same thing, SC is just having their shortfall reported.
Yep I think FSU reported revenues at 26 million below annual expenses for 2020. They will steal it from the state of Florida though. Been broke forever and spend like they are rich.
Posted on 2/4/21 at 6:57 pm to Bamajedi
quote:...woooo boy are you in luck - we even got a car horn for ya
I'll donate $50 if they'll get rid of that damn rooster effect on the PA
https://www.youtube.com/watch?v=p2JD1KDFwqc
be honest - the damn Rooster crow is still waaaay better than heinous Rocky Top.
Posted on 2/4/21 at 7:04 pm to paperwasp
There’s no reason it should cost more than the SEC tv contract to run an athletics department.
Posted on 2/4/21 at 7:10 pm to TomRollTideRitter
quote:
There’s no reason it should cost more than the SEC tv contract to run an athletics department
Most of the debt is the new football operations building.
Posted on 2/4/21 at 7:41 pm to paperwasp
Agave MFing Beamer
Posted on 2/4/21 at 7:45 pm to Irons Puppet
Your side needs to do a better job at being equal....
Call Yella Fella
Call Yella Fella
Posted on 2/4/21 at 7:45 pm to paperwasp
quote:
Unlike most typical coaching buyouts, Muschamp’s did not have a “duty to mitigate” clause. This means the university is responsible for the buyout even if Muschamp finds other employment.
This, and just the astronomical salaries/benefits of athletics program themselves cause me to not feel sorry for any of them.
Posted on 2/4/21 at 8:25 pm to paperwasp
Jasmine was worth every penny they paid her though
Posted on 2/5/21 at 1:51 am to Irons Puppet
quote:God damn you are whiney
That is why we had a football season even after you knew there wasn't going to be an equal playing field for every team
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