Arizona Considers Cutting Sports Teams

[maxxyz]

When Janet Yellen spoke to the Senate Banking Committee on 3/16/23, she said “I can assure you that our banking system is sound - Americans can feel confident that their deposits will be there when they need them.”

That means the banking system is now a branch of the US Treasury with the whole value of the US Treasuries behind the banking deposit — there’s no more “risk” essentially. It sounds at first glance like we nationalized banking - but really what happened was that the Treasury is now a subgroup of Wells Fargo, Chase Manhattan, and the large banks. The banking system has cannibalized the Treasury and mobilized the whole of Treasury for its banking. We have completely privatized the system.

So while a public university like Arizona effectively privatizing a portion of itself sounds weird - it probably makes perfect sense to elites running the university since they were brought up in a system - supported by both political parties since the end of WWII - with a goal of privatizing everything (arguably with the exception of education, as the state has great interest in making sure that you don’t get an education which allows you to easily understand anything which I just posted).

So privatization of athletic departments make sense based on our current governing philosophy, it wouldn’t shock me if it starts to happen - and I doubt it will be the only “weird” transition to private control of public assets that we see in the next decade.

If college sports are privatized, would they no longer be a non profit organization? Would donations end? How does this effect the non-revenue sports?

So many questions.

 

[atlanticuse]

When Janet Yellen spoke to the Senate Banking Committee on 3/16/23, she said “I can assure you that our banking system is sound - Americans can feel confident that their deposits will be there when they need them.”

That means the banking system is now a branch of the US Treasury with the whole value of the US Treasuries behind the banking deposit — there’s no more “risk” essentially. It sounds at first glance like we nationalized banking - but really what happened was that the Treasury is now a subgroup of Wells Fargo, Chase Manhattan, and the large banks. The banking system has cannibalized the Treasury and mobilized the whole of Treasury for its banking. We have completely privatized the system.

So while a public university like Arizona effectively privatizing a portion of itself sounds weird - it probably makes perfect sense to elites running the university since they were brought up in a system - supported by both political parties since the end of WWII - with a goal of privatizing everything (arguably with the exception of education, as the state has great interest in making sure that you don’t get an education which allows you to easily understand anything which I just posted).

So privatization of athletic departments make sense based on our current governing philosophy, it wouldn’t shock me if it starts to happen - and I doubt it will be the only “weird” transition to private control of public assets that we see in the next decade.

wow that's deep

 

[AlaskaSU]

Universities enjoy sports revenue. Being that they are non-profit they are inherently inefficient. Staff is top heavy and revenue is not maximized. For evidence, just look at the unjustified tuition increases. Perhaps some universities would be willing to lease out their teams and facilities if that provided more revenue and less NIL monitoring headaches?

As JB said, paying students makes no sense. They are not employees. The current system is unstable.

 

[Newhouser]

Once one school does it others will follow.

 

[AlaskaSU]

When Janet Yellen spoke to the Senate Banking Committee on 3/16/23, she said “I can assure you that our banking system is sound - Americans can feel confident that their deposits will be there when they need them.”

That means the banking system is now a branch of the US Treasury with the whole value of the US Treasuries behind the banking deposit — there’s no more “risk” essentially. It sounds at first glance like we nationalized banking - but really what happened was that the Treasury is now a subgroup of Wells Fargo, Chase Manhattan, and the large banks. The banking system has cannibalized the Treasury and mobilized the whole of Treasury for its banking. We have completely privatized the system.

So while a public university like Arizona effectively privatizing a portion of itself sounds weird - it probably makes perfect sense to elites running the university since they were brought up in a system - supported by both political parties since the end of WWII - with a goal of privatizing everything (arguably with the exception of education, as the state has great interest in making sure that you don’t get an education which allows you to easily understand anything which I just posted).

So privatization of athletic departments make sense based on our current governing philosophy, it wouldn’t shock me if it starts to happen - and I doubt it will be the only “weird” transition to private control of public assets that we see in the next decade.

Thanks for the secret info that the Fed Chair is a bank puppet and gvt. is efficient.

 

[TexanMark]

If college sports are privatized, would they no longer be a non profit organization? Would donations end? How does this effect the non-revenue sports?

So many questions.

My thought too

Hi Mr. Robbins I'm with the IRS and I have a few questions.

 

[althea]

Higher education is more important than college sports.

For STEM yes, humanities not so much - as the multiple Charlottesville’s happening on a daily basis clearly demonstrate.

 

[maxxyz]

For STEM yes, humanities not so much - as the multiple Charlottesville’s happening on a daily basis clearly demonstrate.

 

[STEVEHOLT]

They are far from the only school juggling debts and poor financials. Just the first huge name to really talk about separating from sports. WVU and UConn for example both have huge financial issues.

All due to some college kid being paid 5k to talk up how tasty Mr Sub is

 

[Capt. Tuttle]

Universities enjoy sports revenue. Being that they are non-profit they are inherently inefficient. Staff is top heavy and revenue is not maximized. For evidence, just look at the unjustified tuition increases. Perhaps some universities would be willing to lease out their teams and facilities if that provided more revenue and less NIL monitoring headaches?

As JB said, paying students makes no sense. They are not employees. The current system is unstable.

The monies generated by sports go to sports.

 

[AlaskaSU]

My thought too

Hi Mr. Robbins I'm with the IRS and I have a few questions.

If athletes are paid why not make them employees?

 

[AlaskaSU]

The monies generated by sports go to sports.

Lease payments could still go to athletic costs or whatever depending on legal issues.

 

[NYCCuse826]

Y'all enjoy the rest of the afternoon.

 

[Col. Bleep]

Some people have been saying for a while now that we're on a path where colleges will be affiliated with teams...rather than the old other way around.

State schools may have a little more trouble with this than private schools.
But seems no reason states can't contract with outside operators.
Outright sale of athletic department may be more difficult.

 

[althea]

Let me guess, you majored in sociology.

 

[maxxyz]

Let me guess, you majored in sociology.

Let me guess - you majored in dick-tology

 

[UpstateSM]

When I talk about how direct payment to players would destroy higher education as we know it, this is exactly the kind of thing I'm talking about.

Higher education is more important than college sports.

College sports as we know them are going to die if that is the case because I think this is trending towards football and MBB players having to be paid directly by the schools.

I need to do more research before I have a strong opinion about this but you make an interesting point. Without diving deeper I wonder if athletic departments will become separate, but affiliated, entities of the schools themselves at some point.

 

[General20]

College sports as we know them are going to die if that is the case because I think this is trending towards football and MBB players having to be paid directly by the schools.

I need to do more research before I have a strong opinion about this but you make an interesting point. Without diving deeper I wonder if athletic departments will become separate, but affiliated, entities of the schools themselves at some point.

I don't understand why paying players would kill college sports. Universities don't need to spend 10 mil a year on coaches and assistants, they don't need to have private helicopters. There are plenty of consessions you can make to come up with the money to pay players. The players are the stars of a TV show that generates billion dollar TV deals. They should be paid accordingly. There are, of course, a lot more of them than there is, say a cast of a billion dollar movie, so they will get paid less than movie/TV stars make. But they should get whatever the equivalent is when prorate across a whole conference of football and basketball players.

 

[Newhouser]

I don't understand why paying players would kill college sports. Universities don't need to spend 10 mil a year on coaches and assistants, they don't need to have private helicopters. There are plenty of consessions you can make to come up with the money to pay players. The players are the stars of a TV show that generates billion dollar TV deals. They should be paid accordingly. There are, of course, a lot more of them than there is, say a cast of a billion dollar movie, so they will get paid less than movie/TV stars make. But they should get whatever the equivalent is when prorate across a whole conference of football and basketball players.

The sport only faces death it seems if the players get paid. It's crazy.

 

[DoctorBombay]

The Tostada's Arizona Wildcats

The Poulin-Weedeater Syracuse Orange!

 

[OttoinGrotto]

College sports as we know them are going to die if that is the case because I think this is trending towards football and MBB players having to be paid directly by the schools.

I need to do more research before I have a strong opinion about this but you make an interesting point. Without diving deeper I wonder if athletic departments will become separate, but affiliated, entities of the schools themselves at some point.

I don't understand why paying players would kill college sports. Universities don't need to spend 10 mil a year on coaches and assistants, they don't need to have private helicopters. There are plenty of consessions you can make to come up with the money to pay players. The players are the stars of a TV show that generates billion dollar TV deals. They should be paid accordingly. There are, of course, a lot more of them than there is, say a cast of a billion dollar movie, so they will get paid less than movie/TV stars make. But they should get whatever the equivalent is when prorate across a whole conference of football and basketball players.

I'm not saying college sports die if schools pay players directly. I'm saying that action would damage higher education and kill higher ed as we know it, and for all the issues higher ed currently has, that would be very bad. I'm for players benefiting from their name and likeness. Due to how higher education is funded, and how completely unprepared current higher ed administrations are to handle something like player payment though, it throws a dynamic in to the goals of a higher education that are directly in opposition to their learning missions if the money goes direct from institution to player.

I know it feels crazy, but I think the way it's working now is actually the healthiest balance possible.

 

[AlaskaSU]

The Poulin-Weedeater Syracuse Orange!

If they are paid they are employees. That ends ncaa jurisdiction. Employees have rights distinct from students rights.
Back in the day I might have cheered for Abes Orangemen Donuts. On Erie for the old timers.

 

[FreakTalksAboutSU]

Here's my theory for how the Arizona thing may play out. llandz feel free to chime in. Note, this is a bit inside baseball for anyone who doesn't have a vested interest in this school, but I'm just gonna download as some of he mechanics may be relevant elsewhere.

I'm basing this on some research I've done and people I've spoken to as a parent with a kid halfway through his time there.

1- The University will scale back out of state aid significantly. Likely by something in the range of 40%. I believe they will also scale back in state aid but by a smaller amount, thinking more like 10-15%.

2- The university will raise tuition for incoming freshman next year, likely in the order of 5% and likely ~3% a year every year following (no more tuition guarantees beginning w the next class).

3- New hires will be frozen for all but critical functions and /or replacements. Replacement hires from this point on will likely be broight in at a lower grade than they currently are positioned at.

4- Departments will likely receive a budget cut in the 10-15% range moving forward. This is going be painful.

5- I do believe the program will cut ~4 sports. They carry 23 D-1 sports while most B-12 schools carry closer to 17. But echoing the comments above the big guns will be fine. Hoops, football, soccer, baseball. I dont see anything there. Golf is embedded in the school and the area around it. Think beach volleyball, triathlon, and possible some secondary sports that are lesser fits in the Big 12 than they were in the PAC.

6- I do believe that McKale and the Stadium will get naming rights. It's not impossible other buildings do as well albeit for a much smaller $.

7- They will likely lease unused land or property where possible. Not sure how much there is. I think it would likely be away from the primary campus space (they have property ALL over Tuscon and surrounding areas).

8- I believe there is hope that the Board of Regents may find a way to offer some measure of financial support, but likely we are talking about in the range of 10% of the total shortfall at most. I've heard varying theories about how the BOR will deal with this. Most say they will not support U of A with additional funding. Others say if U of A makes significant inroads they may find a way to reallocate some funds to assist.

Some of the above will be cripplingly painful, some will be merely annoyances.

This is all just my theory based on what Ive read and learned. Could be very wrong.

PS- The shame of this all is, if they had even a LITTLE more financial flexibility in the short term, the real play is to invest in and build ~4 more large dorms. U of A is NOT like Syracuse, which has plenty of dorms for people who want to live on campus (and are now going farther to ensure those who want to stay on NORTH campus can do so), and which allows them to mandate 2 years on campus and guaranteed revenues from that.Instead, U of A is BADLY under insofar as how many on campus rooms they have vs demand. I think I read they only have something like 10K beds on campus for nearly 45K, and even freshmen are not guaranteed housing, nevermind any mandates. But if they could get those beds from 10,000 to even 15K, and figure out a formula to fill them every year, that could be an extra $50 million a year based on the $10K we are paying per year for on campus housing.

It's an outlay up front, but if you have another few thousand beds to offer, you can mandate students live on campus for 1 or even 2 years and that is guaranteed revenue every single year.

 

[AlaskaSU]

I live about 1/2 hr. from campus but I have no insights. I guess that the Univ. will present options to the Regents.
Their football team has risen from the ashes, as have others. Why not us? And, their basketball team just beat Duke at Cameron. Maybe insolvency is not so bad?

 

[IthacaMatt]

When I talk about how direct payment to players would destroy higher education as we know it, this is exactly the kind of thing I'm talking about.

Higher education is more important than college sports.

Eh, says who? If you're not in STEM, college is a horrible waste of money these days.