Post by Bornthrilla on Apr 10, 2009 11:28:32 GMT -5
FAMU develops plan to tackle debt in athletics
By Angeline J. Taylor • DEMOCRAT STAFF WRITER • April 9, 2009
To get Florida A&M University's athletic department out of debt, three university administrators have joined forces to find ways to slowly whittle away at the $5.7 million deficit over the next five years.
FAMU's chief financial officer, university relations vice president and athletic director have vowed to work together to increase gate receipts and booster-sponsored events.
At the same time, the group will give $1.5 million to athletics over the next three years to begin reducing the debt. The $500,000 installments from the university's foundation will start in August 2009 and end by spring 2012, according to the report submitted to FAMU's board of trustees.
"Although we are very confident in our revenue projections, it is just that — a projection," FAMU CFO Teresa Hardee said during Wednesday's board of trustees committee meeting. "It (the projection) will be our road map — our bible."
The deficit has risen from $960,000 in the red in 2005 to more than $5.77 million at this school year's end.
"It's been an incredible sense of heartburn seeing that (deficit) grow," FAMU Trustee Laura Branker said.
Hardee, Athletic Director Bill Hayes and VP of University Relations Carla Willis aspire to move the university from a debt of $5.77 million to a surplus of $663,895 by fall 2014.
They have reorganized business aspects of the athletic office with Hardee at the top of an organizational chart that also includes a business manager, fiscal assistant, senior accountant, ticket manager, licensing coordinator, concessions manager and others.
"The team-work effect we have now is going to help," Hayes told trustees and administrators. "We don't want to cut any corners on recruiting. We just want to cut out waste."
To cut waste, weekly meetings will be held to keep an eye on expenses — and it's been expenses that have killed the athletic department. Expenditures for the 2008-2009 school year have come to nearly $8.4 million. Revenues for the same time period totaled $6.59 million.
The group has planned to boost the $6.59 million in revenues from this year to $8.013 million for the 2009-2010 school year.
"I do feel it's realistic," Hardee said.
Willis' part of the plan requires her department to have direct mail campaigns, e-mail solicitations and phone-a-thons to boost dollars and sustain interest in the athletic department.
"We can't do this by ourselves," Willis said.
www.tallahassee.com/art...90409/FAMU/904090328
By Angeline J. Taylor • DEMOCRAT STAFF WRITER • April 9, 2009
To get Florida A&M University's athletic department out of debt, three university administrators have joined forces to find ways to slowly whittle away at the $5.7 million deficit over the next five years.
FAMU's chief financial officer, university relations vice president and athletic director have vowed to work together to increase gate receipts and booster-sponsored events.
At the same time, the group will give $1.5 million to athletics over the next three years to begin reducing the debt. The $500,000 installments from the university's foundation will start in August 2009 and end by spring 2012, according to the report submitted to FAMU's board of trustees.
"Although we are very confident in our revenue projections, it is just that — a projection," FAMU CFO Teresa Hardee said during Wednesday's board of trustees committee meeting. "It (the projection) will be our road map — our bible."
The deficit has risen from $960,000 in the red in 2005 to more than $5.77 million at this school year's end.
"It's been an incredible sense of heartburn seeing that (deficit) grow," FAMU Trustee Laura Branker said.
Hardee, Athletic Director Bill Hayes and VP of University Relations Carla Willis aspire to move the university from a debt of $5.77 million to a surplus of $663,895 by fall 2014.
They have reorganized business aspects of the athletic office with Hardee at the top of an organizational chart that also includes a business manager, fiscal assistant, senior accountant, ticket manager, licensing coordinator, concessions manager and others.
"The team-work effect we have now is going to help," Hayes told trustees and administrators. "We don't want to cut any corners on recruiting. We just want to cut out waste."
To cut waste, weekly meetings will be held to keep an eye on expenses — and it's been expenses that have killed the athletic department. Expenditures for the 2008-2009 school year have come to nearly $8.4 million. Revenues for the same time period totaled $6.59 million.
The group has planned to boost the $6.59 million in revenues from this year to $8.013 million for the 2009-2010 school year.
"I do feel it's realistic," Hardee said.
Willis' part of the plan requires her department to have direct mail campaigns, e-mail solicitations and phone-a-thons to boost dollars and sustain interest in the athletic department.
"We can't do this by ourselves," Willis said.
www.tallahassee.com/art...90409/FAMU/904090328
