UO raids Arena bond reserve fund to pay Duck coaches

Back in 2007 or so when the state agreed to let UO sell $235M in bonds for the Knight Arena – ultimately guaranteed by future UO tuition revenue and the full faith and credit of the university – they insisted the athletic department set aside $1 of every ticket over $8 for an emergency reserve fund in case ticket revenue and Uncle Phil’s Legacy Fund couldn’t cover the deficit. The prediction was that this would build to $7M by 2019, but ticket sales have been slow and it is actually only $5.8M.

Now President Schill has let our VPFA lend it all to Duck Athletics at 0% interest, so they can keep paying the coaches:

Full agreement here.

The money is of course fungible, and will allow the Ducks to keep paying the bloated salaries of their coaches, despite the language in their contracts making clear that UO does not have to raid the rest of the budget for them. E.g.:

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2 Responses to UO raids Arena bond reserve fund to pay Duck coaches

  1. OMA says:

    Does this scare anybody else? Or just me?

    I would say a “Holy Shit!” is in order… Or even a WTF?

  2. charlie says:

    What was the length to time prior to bond maturity? Twenty five years, thirty years? And the reserve fund is…gone? Asking for a friend….

  3. DuckFury says:

    Another example of Schill’s BS about a firewall between athletics and academics $$ – more like a piece of wax paper.

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