|
|
Post by beavershoopsfan on Apr 22, 2020 10:21:38 GMT -8
Colleges across America are taking steps to reduce projected financial losses due to the impacts of COVID-19. We have seen reports of certain OSU coaches and administrators publicly announce that they are donating a portion of their salary back to OSU. Other schools have announced that certain sports will be dropped and/or that coaches are taking mandatory "furloughs" that will reduce their salaries by one to two weeks of pay. These measures are just the beginning as university leaders are facing critical decisions during the next six months.
It will be interesting to see how long athletic scholarships and coaching contracts can continue to be honored if sports can't be played in our country. College is a business. Sports typically lose money in this country. Colleges will be faced with making some unpopular, yet understandable, choices that will significantly impact people and their futures.
With every month that passes without sports being played, we will be hearing more and more about cuts and layoffs that will need to be made to slow the financial losses.
How long can OSU go without being forced to make more significant changes? What might you recommend to help stop the financial bleeding if sports can't resume until an effective vaccine is widely implemented?
|
|
|
|
Post by green85 on Apr 22, 2020 11:05:06 GMT -8
Colleges across America are taking steps to reduce projected financial losses due to the impacts of COVID-19. We have seen reports of certain OSU coaches and administrators publicly announce that they are donating a portion of their salary back to OSU. Other schools have announced that certain sports will be dropped and/or that coaches are taking mandatory "furloughs" that will reduce their salaries by one to two weeks of pay. These measures are just the beginning as university leaders are facing critical decisions during the next six months. It will be interesting to see how long athletic scholarships and coaching contracts can continue to be honored if sports can't be played in our country. College is a business. Sports typically lose money in this country. Colleges will be faced with making some unpopular, yet understandable, choices that will significantly impact people and their futures. With every month that passes without sports being played, we will be hearing more and more about cuts and layoffs that will need to be made to slow the financial losses. How long can OSU go without being forced to make more significant changes? What might you recommend to help stop the financial bleeding if sports can't resume until an effective vaccine is widely implemented? Full ride athletic scholarships cover a wide variety of attendance expenses. Assuming that student-athletes are currently pursuing degrees via online education, at least some portion of the expenses no longer need to be covered (housing, food, stipends, transportation, etc.). And while an actual scholarship has a monetary value as revenue to the college, it is a transfer of payment from Athletic Funds to the University for that scholarship value. In the current circumstance, the college could simply forgo the transfer from the athletic fund as the actual cost per student-athlete to receive an education is a minute portion of the total revenue stream to the academic budget for the school. That leaves the cost of books, lab fees, and other fees as revenue lost from student-athletes to the school or book store. Again, as a percentage of that revenue stream from all students, these are a minuscule percentage. Jump to the salary of coaches as a cost for the AD budget. Fact is the AD should have at least some freedom to reduce compensation given that many functions of a coach simply cannot be performed at this time (recruiting, coaching, coaching clinics, etc.). The business where I work is already planning for a reduction in revenue based upon how our customers have had to adjust to their own loss of business and predicated time lag for recovery (because of existing inventory they do not have to replace along with potential slow demand for certain types of products given the need for families to use their revenue for other items). That pre-planning includes options used in 2009 and 2015 to reduce compensation and work hours, but keeping as many people employed as possible. How much marketing does an AD need to do today to sell tickets ... not much until they know they have a season to play. How many hours do facilities have to be open (offices, courts, fields, etc.) and maintained in this "off time". An AD can find many ways to cut expenses for several months to minimize the actual cash outlay until things settle down. And none of these actions would prevent fall camp in August and football in September if the conditions are deemed safe for participation. BTW, the NCAA should immediately remove the restriction of a student-athlete to earn income from another source until their season is announced to be open (and full scholarship benefits are reinstated). Right now student-athletes are limited in finding a source of income by NCAA rule. |
|
|
|
Post by beavershoopsfan on Apr 22, 2020 13:04:01 GMT -8
Solid points and background provided above by green85. Thanks.
OSU student-athletes continue to receive their monthly stipend checks to take care of food and housing expenses despite the fact that numerous OSU athletes are living out of the area with family or friends. I know that a lot of rental housing leases in Corvallis expire at the end of June, forcing students to guess as to whether they need to return to Corvallis in September to attend school or whether they will be participating in on-line classes for another term. So much uncertainty for all students as to what college will be like in September.
I can foresee scholarship athletes having their financial assistance reduced in light of the dire budgetary projections for '20-'21 and beyond. And, all coaches and sports administrative personnel will be asked to do more with respect to salary reductions in the coming months. There will be increased pressure by administrators to save dollars currently allocated for sports budgets. It is inevitable, assuming that sports aren't able to be contested. Some sports will be dropped before others. Expenses related to sports will likely be primary targets for some of the earliest budget pruning at universities across the country. And unfortunately, that will be rightfully so....
|
|
|
|
Post by mbabeav on Apr 23, 2020 9:57:04 GMT -8
I'd jack up $50-60 a month to watch sports, as long as I have my job - could this save the Pac-12 network?
|
|
|
|
Post by beavershoopsfan on Apr 23, 2020 10:41:32 GMT -8
I'd jack up $50-60 a month to watch sports, as long as I have my job - could this save the Pac-12 network? What sports would you be able to watch on the PAC-12 Network? Continued replays of basketball, football, and baseball games? Fall sports appear to be in jeopardy without an effective vaccine being in place. Just trying to imagine football beginning in August and players who contract COVID-19 for the first time sitting out two weeks with the illness and then going back to play. I just don't see that happening. Too many unknowns remain to be discovered about the virus that doctors are discovering each week, such as blood clotting issues that are baffling treating physicians. The logistics of testing comprehensively and then re-testing athletes periodically for the virus and/or antibodies will be a huge obstacle to address. Sports will likely be taking a backseat to more important concerns in our world for far longer than most of us are willing to concede. I am beginning to believe that college athletics may not return until 2021 or beyond, assuming an effective vaccine and/or widespread testing and re-testing protocols can be implemented. |
|
|
|
Post by TheGlove on Apr 23, 2020 11:36:45 GMT -8
I'd jack up $50-60 a month to watch sports, as long as I have my job - could this save the Pac-12 network? Looks like you hate money. Whatever I pay to Comcrap for the P12 Network is too much. Worst value ever. And you want to pay more? |
|
|
|
Post by shelby on Apr 23, 2020 11:43:14 GMT -8
I think we will be reduced to a D2 Cornhole league.
|
|
|
|
Post by sparty on Apr 23, 2020 11:45:01 GMT -8
Two things.
Find a rich Uncle to subsidize it.
Second, A vaccine likely not possible due to mutations. So possibly the end of sports altogether for 5 to 7 years at the high school and University levels. Coaches would have to be let go. Stadiums and arenas moth balled.
|
|
|
|
Post by newduke2 on Apr 23, 2020 11:57:44 GMT -8
Two things. Find a rich Uncle to subsidize it. Second, A vaccine likely not possible due to mutations. So possibly the end of sports altogether for 5 to 7 years at the high school and University levels. Coaches would have to be let go. Stadiums and arenas moth balled. I like your way of thinking. I would just add, the economy will entirely collapse for years to come. In response, the government will print trillions of dollars of new bills to "fund" all its new plans to help individuals, businesses, city governments, state governments, hospitals, etc. But, since in reality, money DOES NOT grow on trees, hyperinflation will devastate society even more, resulting in a shortage of wheel barrows used to haul all the money it will require to buy a loaf of bread. |
|
|
|
Post by beavershoopsfan on Apr 23, 2020 12:11:17 GMT -8
I think we will be reduced to a D2 Cornhole league. Make that replays of the ACL Cornhole championships. Can't allow the participants to get that close to each other. |
|
|
|
Post by mbabeav on Apr 23, 2020 12:19:44 GMT -8
Two things. Find a rich Uncle to subsidize it. Second, A vaccine likely not possible due to mutations. So possibly the end of sports altogether for 5 to 7 years at the high school and University levels. Coaches would have to be let go. Stadiums and arenas moth balled. I like your way of thinking. I would just add, the economy will entirely collapse for years to come. In response, the government will print trillions of dollars of new bills to "fund" all its new plans to help individuals, businesses, city governments, state governments, hospitals, etc. But, since in reality, money DOES NOT grow on trees, hyperinflation will devastate society even more, resulting in a shortage of wheel barrows used to haul all the money it will require to buy a loaf of bread. I am concerned about a big spike in inflation once this episode ends and the new normal returns. I'm still working, and most of us who are can't spend our money at the same rate we used to. Meanwhile there are many raw materials producers who are dumping stuff or stopping production - and service businesses are closing - many won't reopen, or will open on less staff and hours. We'll see what happens when all that built up cash and pent up demand starts chasing less options. I can get a great hotel rate right now - 6 months from now, that same room may be a lot more expensive. |
|
|
|
Post by mbabeav on Apr 23, 2020 12:29:53 GMT -8
I'd jack up $50-60 a month to watch sports, as long as I have my job - could this save the Pac-12 network? What sports would you be able to watch on the PAC-12 Network? Continued replays of basketball, football, and baseball games? Fall sports appear to be in jeopardy without an effective vaccine being in place. Just trying to imagine football beginning in August and players who contract COVID-19 for the first time sitting out two weeks with the illness and then going back to play. I just don't see that happening. Too many unknowns remain to be discovered about the virus that doctors are discovering each week, such as blood clotting issues that are baffling treating physicians. The logistics of testing comprehensively and then re-testing athletes periodically for the virus and/or antibodies will be a huge obstacle to address. Sports will likely be taking a backseat to more important concerns in our world for far longer than most of us are willing to concede. I am beginning to believe that college athletics may not return until 2021 or beyond, assuming an effective vaccine and/or widespread testing and re-testing protocols can be implemented. Face it, Pac-12 network has schools locked down - if anyone is going to televise OSU sports in a time where we are not going to be able attend games, they are most likely to be it. This isn't a vote of confidence or fan appreciation, it is resignation. The SEC will have everyone else trying to poach games from ESPN - no one will be looking at schools out here but us. |
|
|
|
Post by newduke2 on Apr 23, 2020 12:43:50 GMT -8
I like your way of thinking. I would just add, the economy will entirely collapse for years to come. In response, the government will print trillions of dollars of new bills to "fund" all its new plans to help individuals, businesses, city governments, state governments, hospitals, etc. But, since in reality, money DOES NOT grow on trees, hyperinflation will devastate society even more, resulting in a shortage of wheel barrows used to haul all the money it will require to buy a loaf of bread. I am concerned about a big spike in inflation once this episode ends and the new normal returns. I'm still working, and most of us who are can't spend our money at the same rate we used to. Meanwhile there are many raw materials producers who are dumping stuff or stopping production - and service businesses are closing - many won't reopen, or will open on less staff and hours. We'll see what happens when all that built up cash and pent up demand starts chasing less options. I can get a great hotel rate right now - 6 months from now, that same room may be a lot more expensive. yeah, the scary thing is, I was only half kidding. |
|
|
|
Post by mbabeav on Apr 23, 2020 14:37:30 GMT -8
I am concerned about a big spike in inflation once this episode ends and the new normal returns. I'm still working, and most of us who are can't spend our money at the same rate we used to. Meanwhile there are many raw materials producers who are dumping stuff or stopping production - and service businesses are closing - many won't reopen, or will open on less staff and hours. We'll see what happens when all that built up cash and pent up demand starts chasing less options. I can get a great hotel rate right now - 6 months from now, that same room may be a lot more expensive. yeah, the scary thing is, I was only half kidding. More scary is that I'm not  |
|
