07-12-2020, 04:46 PM
Regarding the financial planning underlying the decision, this paragraph from the open letter from the President, Provost, and AD is relevant. Also, given the university is making structural cuts of 10%, the athetic department would be expected to make cuts of at least that size.
We have investigated a wide variety of alternatives – ticket sales, broadcast revenue, university funding, philanthropic support, operating budget reductions and many others – and found them insufficient to meet the magnitude of the financial challenge before us. While Stanford may be perceived to have limitless resources, the truth is that we do not. In general, Athletics has been a self-sustaining entity on our campus, and we are striving to preserve that model in a time when budgetary support for our academic mission is already under significant stress. Academic and administrative units across the university already have been planning budget cuts of up to 10% in response to the university’s constrained resources as a result of the COVID-19 pandemic. The vast majority of Stanford’s endowment is directed toward specific long-term uses, including need-based financial aid for students, and is not available to backfill an ongoing structural budget deficit in a specific department. In addition, while Stanford Athletics benefits from a robust community of generous supporters, their philanthropy simply could not cover the escalating costs of ensuring excellence across the board in our 36-sport model.
We have investigated a wide variety of alternatives – ticket sales, broadcast revenue, university funding, philanthropic support, operating budget reductions and many others – and found them insufficient to meet the magnitude of the financial challenge before us. While Stanford may be perceived to have limitless resources, the truth is that we do not. In general, Athletics has been a self-sustaining entity on our campus, and we are striving to preserve that model in a time when budgetary support for our academic mission is already under significant stress. Academic and administrative units across the university already have been planning budget cuts of up to 10% in response to the university’s constrained resources as a result of the COVID-19 pandemic. The vast majority of Stanford’s endowment is directed toward specific long-term uses, including need-based financial aid for students, and is not available to backfill an ongoing structural budget deficit in a specific department. In addition, while Stanford Athletics benefits from a robust community of generous supporters, their philanthropy simply could not cover the escalating costs of ensuring excellence across the board in our 36-sport model.