1. UMKC ATHLETICS
Faculty Senate
3/21/2017

2. Discussion
Issue
The level of institutional support for athletics is higher than it should be and is not sustainable.
Task
Identify viable options to significantly reduce institutional support as quickly as possible.

3. Actions for AY2018 and Longer-Term Options
AY2018 Budget
Committed to reduce Institution Support by $1.1M
(Combination of expense reductions and increased generated revenues)
Longer-Term Options to be Evaluated
Discontinue Athletics
Drop to Division II
Optimize Division I cost and current strategy

4. Current Strategy – 2013
Budget challenge for AY Commissioned athletics benchmark study
Reduce institutional support by 50% in five years – Must win in MBB
Goals
Status
Hire new coach
Hired national championship assistant coach in 2013
Improve recruiting
Significantly improved – national and local
Upgrade venue
City invested $5 million in Municipal Auditorium
Win
Have not reached NCAA tournament
Increased student fees
Student fees still one fourth of average
Increase gifts
Contributions (incl. In-Kind) up 45% over 2012
Increase sponsorships
Royalties, licensing, advertisements and Sponsorships up 42%
Increase ticket sales
Ticket sales up 28%
Pursue Missouri Valley Conference
Visited in 2013 but not invited – moved to WAC and 2014

5. UMKC Athletics Institutional Support with Funding gap
WAC & Muni
New Coach
& Strategy
$12,000,000
$10,000,000
$8,000,000
$6,000,000
$4,000,000
$2,000,000 $-
NCAA & Title IX
Compliance Audit
DII
UCM $7.2M
UMSL $4.7M
MS&T $4.3M
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
$(2,000,000)
Source: NCAA Audit
Direct Institutional
Indirect Institutional
Funding Gap
Reduce by $1.1M in 2018 and $4.5M by 2022 – Cap at $6M – Reduce deficit

6. Institutional Support Reduction
AY2018 – Additional expense and revenue opportunities to achieve reduction of $1.1M
AY2019 – AY2022
Cap Scholarships at $3.5M
(Worth $0.5M – Progress towards goal in AY2018)
Cap Compensation at $3.5M
(Worth $0.6M – Progress towards goal in AY2018)
Increase generated revenue 10% - 20% per year
(Worth $1.3 to $2.6M – Has grown 60.7% over past 4 years)
Increase distributions from WAC and NCAA - $0.125 to $0.250
(High probability – may start in AY2017)
Student fee – Increases 2.1% in ‘18 to $4.95/CH (capped at 12 CH) - Cur. $1.2M
Explore redistribution with tot. gen. fees (10) = $500/Semester ($60 for Athletics)
Get approval for phased increase in athletics fee to a max of $15/CH by AY2022
(Combination worth $2 - $2.8M) Total fee $4M – DI average currently $5.8M
(Annual inflation plus enrollment growth can help)
Review results annually

7. Actions for AY2018 and Longer-Term Options
AY2018 Budget
Committed to reduce Institution Support by $1.1M
(Combination of expense reductions and increased revenues)
Longer-Term Options to be Evaluated
Discontinue Athletics
Drop to Division II
Optimize Division I cost and current strategy

8. NCAA Division I Exit History
Source: NCAA Division I list of former members
Division I
Current Enroll.
Current
Affiliation
Notes
Conference
University
Yrs
Pub/Pri
Yr Left
Past 20 Years
Summit – AAA
Centenary 8
private
2011
800
Division III
Big So– FCS
B ’ham Southern 7
Private
2007
1600
NE Illinois Univ. 4
public
1998
11,100
discontinued
NAIA – DII - DI
Earliest Records
Augusta Univ.
Public
1990
6900
Division II
Atlantic Sun – AAA
Hardin Simmons 12
2400
Armstrong state
1987
7500
MVC – AAA
West Texas state 13
1985
7800
Horizon – AAA
Okla. City Univ. 6
3700
NAIA
CAA – FCS
Univ. of Baltimore 2
1981
6500
Discontinued
Cath. U of Amer.
6700
Southland-FCS
Trinity University 9
1972
2500
MAC – FBS
Case Wes. Res.
1955
10,000
Wayne state 1
1947
31,000
Big 10 – FBS
Univ. of Chicago 50
1946
5000
Washburn
1942
7300
Wash U 35
14,000
SEC – FBS
Univ. of the South
1940
Grinnell College 21
1939
1700

9. Factors Impacting Evaluations
Expenses
Current
Option
Compensation
Level & Contracts
Average current sports
Scholarships
Level & Commitments
Travel
Level
Average
Facilities – Rental, Maintenance
Minus Municipal
Fundraising, marketing, promotions
Minimal
Uniforms & Supplies - Other
Fees (+ refund to donors)
Exit fees & Other
Entry fees
Revenues
Current
Option
Institutional Support
Level
Average
Student Fees
Gifts
NCAA
Guarantees
Ticket sales and sponsorships
Other

10. Questions?