Couple of thoughts. First, this does not surprise me. President Floyd, rest in peace, never let money get in the way of WSU's expansion. Need more money? Lower academic standards and let in more students (student data will validate this is you care to look at the numbers, and it will only get worse as recent class figures start hitting the graduation stats). Feds cutting back on spending? Build those new research facilities anyway. Who was going to say no to him? Will be interesting to see this unfold as more info comes to light at the end of this fiscal year.
Second, I'd like to see more detail on the Athletic numbers. How much of the deficit represents principal payments on the facility debt? Cash-based accounting may make these numbers look worse than they are. That said, the whole TV contract(s) had some significant "blue sky" in them, as I pointed out a couple years back. Clearly the revenue is nowhere near the rosy projections that sold our stadium projects. However, we kind of needed to do them, so what do you say? Not so good to see that donations are down. Sure could use a Paul Allen to name the stadium after.
Today's Pullman paper:
"An abundance of construction projects with uncertain funding in combination with multimillion dollar athletic department deficits has resulted in Washington State University operating in the red for the past two years, according to a Tuesday internal memo from incoming president Kirk Schulz.
Schulz, who will officially take his post as head of WSU on June 16, addressed the campus community this week by email with his budget concerns and outlined steps he will take immediately to get them under control.
"We have been spending more money annually over the last couple of years than has been brought in, which is simply not sustainable," Schulz wrote. "We are spending down central reserves at a significant rate."
WSU spokesman Rob Strenge said much of the university deficiency is due to the athletic department's deficit.
"That is a significant component of it," Strenge said.
The WSU athletics department ended the 2015 fiscal year with a deficit of $13.2 million, following a 2014 deficit of $13.7 million, according to its 2015 operating revenues and expenses report. Contributions to the department were also down $440,118.
The three-phase Martin Stadium renovation, which began in 2006, funded an update to the student section through student fees, but the following phases - costing $126 million - included a plan to repay the university from Pac-12 TV revenue until 2025. The source of $46 million in funding was unidentified."
Second, I'd like to see more detail on the Athletic numbers. How much of the deficit represents principal payments on the facility debt? Cash-based accounting may make these numbers look worse than they are. That said, the whole TV contract(s) had some significant "blue sky" in them, as I pointed out a couple years back. Clearly the revenue is nowhere near the rosy projections that sold our stadium projects. However, we kind of needed to do them, so what do you say? Not so good to see that donations are down. Sure could use a Paul Allen to name the stadium after.
Today's Pullman paper:
"An abundance of construction projects with uncertain funding in combination with multimillion dollar athletic department deficits has resulted in Washington State University operating in the red for the past two years, according to a Tuesday internal memo from incoming president Kirk Schulz.
Schulz, who will officially take his post as head of WSU on June 16, addressed the campus community this week by email with his budget concerns and outlined steps he will take immediately to get them under control.
"We have been spending more money annually over the last couple of years than has been brought in, which is simply not sustainable," Schulz wrote. "We are spending down central reserves at a significant rate."
WSU spokesman Rob Strenge said much of the university deficiency is due to the athletic department's deficit.
"That is a significant component of it," Strenge said.
The WSU athletics department ended the 2015 fiscal year with a deficit of $13.2 million, following a 2014 deficit of $13.7 million, according to its 2015 operating revenues and expenses report. Contributions to the department were also down $440,118.
The three-phase Martin Stadium renovation, which began in 2006, funded an update to the student section through student fees, but the following phases - costing $126 million - included a plan to repay the university from Pac-12 TV revenue until 2025. The source of $46 million in funding was unidentified."
