[Farm93]

The ucb board comments were funny.  I was actually shocked that the OC position was not already supported by an endowment.  Huh?

In any event their board seemed to speculate that the gift was in the $2 million range.  It felt like an Austin Powers moment, as $2 million would seem insufficient.

My quick endowment math would imply that it would need to be much larger.  Let's say the OC in the new Pac-12 is expected to get at least $400,000 a year.  That would translate into a $10 million gift using classic 4% type numbers.

Then, it is clear that OC salaries are moving up at a rate far faster than inflation and USA incomes.  It seems probable that the gift would need to be able to support a $1 million OC by 2015 or so.  That would park the gift in the $20 million range.

FWIW - I love the difference in AD's and this gift seems to exemplify those fiscal differences. 

The UCB AD eagerly awaits the incremental TV revenue and projects that the TV revenue will...enable them to finally balance their annual budget, make stadium interest payments, pay athletic student center payments, pay assistant coaches more AND enable the department to move forward with future phases of the stadium renovation project.  Whew  ::)

Meanwhile the Stanford AD's position is that the incremental TV revenue money will be nice, but that the few million a year in incremental revenue will be overwhelmed by the escalation in the cost of running a successful AD in two to three years.

After reading articles recently about both ADs it is hard to believe that the two ADs are referencing the same TV contract.

[Farm93]

The ucb board comments were funny.  I was actually shocked that the OC position was not already supported by an endowment.  Huh?

In any event their board seemed to speculate that the gift was in the $2 million range.  It felt like an Austin Powers moment, as $2 million would seem insufficient.

My quick endowment math would imply that it would need to be much larger.  Let's say the OC in the new Pac-12 is expected to get at least $400,000 a year.  That would translate into a $10 million gift using classic 4% type numbers.

Then, it is clear that OC salaries are moving up at a rate far faster than inflation and USA incomes.  It seems probable that the gift would need to be able to support a $1 million OC by 2015 or so.  That would park the gift in the $20 million range.

FWIW - I love the difference in AD's and this gift seems to exemplify those fiscal differences. 

The UCB AD eagerly awaits the incremental TV revenue and projects that the TV revenue will...enable them to finally balance their annual budget, make stadium interest payments, pay athletic student center payments, pay assistant coaches more AND enable the department to move forward with future phases of the stadium renovation project.  Whew  ::)

Meanwhile the Stanford AD's position is that the incremental TV revenue money will be nice, but that the few million a year in incremental revenue will be overwhelmed by the escalation in the cost of running a successful AD in two to three years.

After reading articles recently about both ADs it is hard to believe that the two ADs are referencing the same TV contract.