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January 11, 2008

 

Presidential commission recommends changes to strengthen athletics finances at Fresno State

The President’s Commission on Athletics Finances at California State University, Fresno recommends several changes to strengthen financial operations and fundraising in support of Bulldog intercollegiate athletic programs.

The commission issued its report Friday, Jan. 11.

“Implementing the recommendations will allow Athletics to enhance and streamline current financial and fundraising operations, ensure long-term viability and move toward the goal of being a model program within the NCAA’s Division I,” concludes the commission’s Executive Summary.

President John D. Welty said, “The commission has created a roadmap for financial stability in athletics, now and into the future.”

The commission proposes generating more revenue for Athletics through increases in ticket sales, endowment income and philanthropy; and student fees dedicated to all Athletics programs; and by streamlining operations.

The report also recommends that allocations from central, unrestricted funds be directed to Athletics programs, but in a manner that does not change the current general fund percentage allocated to instructional and academic affairs.

At the faculty and staff at the Spring Assembly on Thursday, Jan. 10, Welty pledged to approve that recommendation, adding, “This confirms my belief and commitment that our academic mission is our central mission and we will focus upon that commitment.”

The commission’s key recommendations include:

  1. While working toward expanding ticket revenue, Fresno State must increase its fundraising efforts, particularly philanthropic giving, and the annual payout ratio from the Bulldog Foundation Endowment.
     

  2. There must be a significant increase in student fees and it must be directed to the benefit of all sports programs.
     

  3. The availability of central, unrestricted funds that could be directed to Athletics should be considered. But allocations should not be at the expense of the other divisions on campus.
     

  4. One set of policies and procedures should govern Athletics Operations, and the California State University, Fresno Athletic Corporation should be dissolved.
     

  5. Athletics fundraising staff should be unified under one employer, focus on meeting needs of all teams and explore consolidated financial reporting and operations.
     

  6. High priority should be placed on transitioning to the University Development Office full responsibility for processing Athletics gifts and many benefit transactions.
     

  7. The University should consider the experiences of peer institutions in facing Athletics program financial challenges.
     

  8. The recently adopted procedures for matching gifts appear to be working.

Welty created the commission in February 2007 following his service on a 50-member NCAA task force, whose findings are reported in “The Second Century Imperatives: Presidential Leadership-Institutional Accountability.” That report emphasizes campus-based presidential leadership and institutional accountability in funding intercollegiate athletics and stresses the need for integration of athletics with the university’s educational mission.

“Under the leadership of Athletics Director Thomas Boeh and his staff, the university has made major strides in strengthening its compliance and student-athlete academic assistance programs,” Welty said. “These programs are more closely integrated with the university’s academic programs and mission. We are beginning to see success in these areas, and many of our coaches have led the way in improving the academic success of our student-athletes.

When the commission was appointed, Boeh said that implementation of the commission’s recommendations “will result in the development of significant internal efficiencies as well as a less-complex and fully transparent Athletics Department that is more easily understood and embraced by our community.“

Commission Chair Paul M. Oliaro, vice president of student affairs and chair of the Athletic Corporation, praised the body’s work.

“We had great, active representation from the major stakeholders and everyone work collaboratively on the changes necessary to ensure that Athletics finances will adequately support its mission,” Oliaro said.

“Our goal is to provide competitive programs at the conference and national levels, while offering our student-athletes the best educational experience possible,” Oliaro added.

View the report: Report on President's Commission on Athletics Finances (PDF)

Comments about this report and suggestions are welcome.
Please submit them to commission@csufresno.edu