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US07/08-15 Resolution concerning Revenue Sharing with the Athletic Department

Presented by Paul van Donkelaar, Department of Human Physiology (revised 29 January 2008)

Whereas, the Administration uses cross-subsidization as a mechanism to successfully manage the University budget,

And whereas, the 2004 Athletics Task Force Report endorsed by the University Senate recommended that the Athletic Department make “meaningful contributions” to the general fund to underscore the connection between athletics and academia,

And whereas, the Legacy Fund provides the opportunity for flexibility in the Athletic Department’s budget,

Be it moved that:

The Athletic Department, Administration, and Faculty work together to outline a mechanism that, under the appropriate fiscal conditions, would allow the Athletic Department to provide a meaningful proportion of their yearly revenues to the general fund to aid the academic mission of the university.

Passed at the 13 February 2008 meeting of the UO Senate.
Financial Impact: Unknown

From the minutes:

During a discussion period, questions focused on the reciprocity that might arise with this motion, that is, if academics expect to share in revenues from the athletics department when they are “in the black”, would athletics expect to receive help from academics if revenues fall short and the department is “in the red”? Senator Bertram Malle, psychology, while commending the athletics department for their financial self-sufficiency, asked if there ere sufficient safeguards in place to guard academics against filling the gaps if athletics should run a deficit at some point. The concern was whether the motion had funds going only one direction, that is, from athletics to academics, if there is a surplus. Senator Patrick Boye, ASUO-commented that the motion was somewhat different than the motion delayed from the previous meeting, to which Vice President van Donkelaar replied that indeed the motion had been revised and streamlined. President Sayre also noted that the concept of the motion was consistent with recommendations from the task force on athletics report of several years ago. The consensus that funds would go only one direction (from athletics to academics) was supported by President Frohnmayer. He asked senators to pay attention to the motion’s words of “working together” and “outline” and “appropriate fiscal conditions”. He noted, too, the cautions of the Senate Budget Committee sub committee with respect to the arena in which they suggested conservatism in expenditure patterns and in fiscal reserves. He remarked that there probably would not be enough substantial reserves to share with academics for at least a decade; these fiscal strictures are part of bond revenue funding for the arena project.

With the discussion winding down, the question was called. Motion US07/08-15 concerning revenue sharing with the athletics department was put to a voice vote and carried, with one dissenting voice.

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