(08-07-2014, 12:28 PM)CTcard link Wrote:[quote author=needle link=topic=10316.msg93829#msg93829 date=1407434568]
... why are schools like Old Dominion and Georgia State moving up to "Division 1"?
That's a very good question. There's about 10 such schools recently.
[Strictly speaking they are already division 1, they are trying to move up from FCS (former Div 1-AA) to FBS (former Div 1-A).]
Broadly speaking they are not moving up for financial reasons.* Take Ga State. They only began a football team in 2010. I think it is essentially impossible that football itself hasn't been, and won't, lose money. The USA Today chart on college athletics financing notes that Ga State subsidizes their AD at an 85% rate on a budget of $27 million. At Old Dominion it's only 73% subsidized on a budget of $36 million.
http://www.usatoday.com/sports/college/s.../finances/
Now it might be possible that going to FBS will increase revenues more than expenses, and they'll be ahead of where they were in FCS. Again by the USA Today chart, the atheltic departments with the biggest subsidies are mixed between FCS and FBS. Of the schools with the 20 biggest absolute subsidies (over $20 million), 12 are FBS and 8 FCS. Also, 6 are among the schools who have either recently moved to FBS, or are about to do so.
My guess as to why in most cases is ego and pressure.
Many administrators, alums, and locals view having a top-level football team as a certification of being a top level university - or at least as defining "Big Time" in some broad sense. Career administrators are looking to establish something they built to put on their resume for the next job - and a football team is high profile, alums want to cheer for their team on TV (look at us), and locals (and thus their elected politicians) often see more connection to a football team than anything else a university does.
* I can think of an exception to the "not for financial reasons" statement, but it didn't work out well in the end. UConn moved to FBS football in 2000 - 2002. In their case they had a guaranteed entry into a BCS conference (the now defunct Big East) and while there wasn't that much state interest in football, they felt they needed high level football to protect their basketball program. More recently, UConn has been perhaps the biggest loser in the conference reshuffling, as Louisville beat them out for ACC membership. Now UConn transitions from a major conference team to a minor conference team. Cincinnati and South Florida also find themselves with a drop in status, but they had only just moved into the Big East as replacements for those fleeing.
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Absolutely correct. I had one university President tell me that there were three reasons he could never eliminate a perennially money-losing Division I football program. 1) Prestige. Presidents themselves believe they and their universities have higher status if they have a well recognized program. Presidents from schools with large and successful athletics programs tend to associate together and not with presidents from "lesser" universities, 2) Intense pressure from alums. Alums who never give a dollar or attend a game will still get angry if they think their alma mater is being "downgraded" in some way. 3) Fundraising quotas. Boards evaluate Presidents on how much money they raise and they don't usually care what they raise it for. Having a money-losing football program nevertheless makes it possible to raise a lot of athletic contributions that otherwise would not come in. It may be a net loser for the University, but it is a big positive for the President as he struggles to make his quota. Call it a perverse incentive where the imperative to raise money actually costs money.Â