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Around SBN: The Most Dangerous Division in Sports

Boston College's Athletics Relies Heavily on Student Activity Fees

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Brian: Backing The Pack recently took a look at the ACC's athletic department financial situations, as AD Debbie Yow is bemoaning the fact that N.C. State doesn't have the funding to achieve a top-25 athletics program. I found it interesting to hear that within the ACC, Boston College charges the most in student fees to support the athletics department. In fact, BC collects more than $9 million more in student fees each year than N.C. State.

Based on figures from the Equity in Athletics data site, we can find out that BC hauled in $14,107,165 in student fees. That figure is nearly 22 percent of the athletic department's total revenues. Here is the percentage of revenue that student fees makes up in the ACC:

ProgramStudent FeesRevenue% of Total Revenue
Wake Forest $10,828,671 $42,253,156 25.6%
Boston College $14,107,165 $64,502,395 21.9%
Miami $12,253,520 $56,084,064 21.8%
Duke $13,993,369 $68,536,289 20.4%
Maryland $9,185,766 $51,641,771 17.8%
Georgia Tech $7,447,346 $46,983,216 15.9%
Clemson $9,045,630 $57,562,999 15.7%
Virginia $11,231,866 $81,841,632 13.7%
Virginia Tech $7,690,542 $58,115,929 13.2%
N.C. State $5,084,724 $50,335,991 10.1%
North Carolina $6,666,305 $67,613,805 9.9%
Florida State $6,960,132 $75,209,179 9.3%

It probably shouldn't come as a surprise that the four private schools in the conference -- Boston College, Wake Forest, Duke and Miami -- all top this list in the ACC. As a conference, the ACC along with the Big East top the list for programs that rely most on student activity fees. These two conferences also bring in the least amount of football revenue among BCS auto-qualifying conferences. Coincidence? Probably not.

Are you comfortable with over 1/5 of the athletic department's budget coming from student activity fees? Any ideas on how to increase revenues, thereby decreasing the reliance on student activity fees?

Jeff: Absolutely. I am comfortable with student fees being such a high percentage of revenue because we are a private school and the other private schools in the conference are relying on similar percentages. Also, the ACC and BC did not have a great year for generating revenue. That makes the fixed revenue of student fees a higher percentage than it might be in a future year where BC's ticket sales are better or where the ACC gets two teams in BCS bowls or more teams into the NCAA Tournament.

Star-divide

Some people are against students subsidizing athletics but I certainly am not. I believe it is easily justifiable because of all the exposure the university gets through big time athletics. BC gets to show an academics commercial for every nationally televised sporting event. The more games that get on ESPN and ABC for both football and basketball -- rather than ESPN3.com or any form of TV -- the better off BC is as a whole. The university gets exposure it could not otherwise afford and this helps admissions in the future. More quality students applying to and attending BC helps our academic rankings in the future.

Higher ticket sales and cost controls which are within the control of the BC Athletics Department will help to reduce student fees in the future, but the big thing that will help BC reduce fees with be the success of the ACC. Things like a second team making a BCS bowl or the league being able to negotiate better bowl tie-ins with bigger payouts. It is no surprise that the teams charging the highest student fees are those from the two AQ conferences that haven't been able to get an at-large team into the BCS.

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Do these fees include the ticket prices?

Or are they additional fees on top of students paying for tickets?

I seem to remember a recent interview with GDF where he got asked about making student tickets free and he said they don’t do that because other schools factor athletics tickets into each student’s fee while he prefers to charge only those who want to go.

by JMSF#1 on Apr 28, 2011 11:18 AM EDT reply actions  

Don't think so

These are fees embedded into tuition. Every student helps subsidize athletics, regardless of whether they buy student tickets.

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by Brian Favat on Apr 28, 2011 12:00 PM EDT up reply actions  

They don't

Which makes that comment by GDF a little off…

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by hoyaeagle on Apr 28, 2011 1:04 PM EDT up reply actions  

I call b.s. on that figure

8500 undergrads. Let see… carry the one… factor the polynomial…

$1660 per student per year? Really?

Um, no, not really: http://www.bc.edu/offices/stserv/financial/finaid/undergrad/costs.html

by CSOM_97 on Apr 28, 2011 2:12 PM EDT reply actions  

Looking into this

Forbes reported that Virginia collected over $12 million in student activity fees, but they claim that they charge students only $8 to $85, depending on the school of enrollment.

Even with over 13k undergrads, that certainly doesn’t add up to $12 million.

http://www.virginia.edu/undergradadmission/tuition.html

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by Brian Favat on Apr 28, 2011 2:39 PM EDT up reply actions  

What I'm learning

Student activity fees are just a portion of the percentage of tuition that goes to athletics. Here’s the chart of what percentage of tuition goes to athletics for public schools.

http://www.usatoday.com/sports/college/2010-09-21-athletic-fees-chart_N.htm

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by Brian Favat on Apr 28, 2011 2:55 PM EDT up reply actions  

Also

The above numbers are not student fee totals, rather the athletically-related student aid (all the money the Athletics Department gets to cover scholarships). Apologies for the mix up.

Though while the two figures are different, they aren’t that far off for the public institutions that reported the percentage of tuition that goes to athletics. My guess is that the school gives the AD the money for scholarships (counted as revenue on the AD’s balance sheet), and a vast majority of that money comes from tuition payments, i.e. students.

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by Brian Favat on Apr 28, 2011 3:01 PM EDT up reply actions  

That makes much more sense.

BC is one of the most expensive schools in the ACC, and it has the most varsity athletic programs. If the number includes scholarship dollars, I absolutely expect to see BC at the top of the expense column. That has nothing to do with Student Activity Fees though. USA Today’s methodology, which you so helpfully tracked down (thanks) is, to use my best Ben Affleck: suspect.

by CSOM_97 on Apr 29, 2011 11:06 AM EDT up reply actions  

How athletic fees are calculated

via USA Today

“Colleges that use student fees to help finance their athletics departments use a variety of methods to determine how much of each student’s fees will go toward covering expenses. Because many schools do not disclose these per-student amounts, USA TODAY used two sources of data to create an estimate for public schools in the NCAA’s Division I:

The most recent revenue-and-expense report that each school’s athletics department files annually with the NCAA. This document includes the amount of money the department receives from student fees “assessed and restricted for support of intercollegiate athletics.” In nearly all cases, the report schools filed in January 2010 covers the 2008-2009 school year.

Enrollment data for 2008-09 from the U.S. Department of Education’s Integrated Postsecondary Education Data System, which makes available annual figures schools have reported to the government. To arrive at its estimates, USA TODAY divided each school’s athletics fee revenue by its greatest available enrollment figure, an unduplicated count of every enrolled full-time and part-time undergraduate, graduate and professional student. The result is not necessarily the exact per-student athletics fee that was charged. In many cases in which USA TODAY could determine the actual per-student fee, that figure was higher than the estimate."

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by Brian Favat on Apr 28, 2011 2:42 PM EDT up reply actions  

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