As the University of Arizona looks to chip away at a $177 million institution-wide budget shortfall, officials will be forced to target one big-ticket area: athletics.
As reported by the Arizona Republic, interim chief financial officer John Arnold said athletics will need a complete overhaul to bring it into the "modern athletics market."
In fiscal year 2023, UA overspent its athletics budget by $32 million, the Republic reported. By comparison, the university overspent about $61 million on all of its academic units combined.
"We need to reset their budget and install hard budget caps," Arnold said.
The Arizona Board of Regents, the body overseeing the state’s public universities, will bring on an external firm to help restructure the department. The firm, which ABOR is in negotiations with but has yet to name, will aid in streamlining athletic administration "from the ground up."
So far, the university has announced football and basketball ticket price increases for the 2024-2025 season, and concessions price hikes may follow.
In recent faculty senate meetings, some professors have questioned whether the university should keep each of its 23 varsity sports teams. Former athletic director Dave Heeke assured last month there were no immediate plans to cut teams. Heeke left the program just over a week after updating the public on the state of athletics at UA.
According to Helen Rummel of the Republic, simple cuts could come from administrative streamlining in addition to caps on travel spending or professional development costs. The department has announced it will pause all major construction projects following the completion of building the William M. "Bill" Clements Golf Center.
Operating in the red is part of a larger trend in college athletics, according to University of Pennsylvania professor Karen Weaver, who studies the crossover between athletics and higher education. "The staffs have grown so large," Weaver told the Republic. "The salaries have grown so big."
Arnold said UA’s athletics revenue has remained largely stagnant for the last five to six years. Meanwhile, the school invested more in student-athletes amid changes to NCAA regulations. He said funding went toward things like additional merit-based scholarships, equipment and food.
"It's just unrealistic to think that athletics moving forward can be a stand-alone, self-funded unit," Arnold said. "In the modern athletics market, that's just not possible."
The transformation comes as the former Pac-12 school prepares to transition into the Big 12 Conference, which could add additional financial concerns. While the school is expected to make more through media rights, realignment could add more travel costs for Arizona's programs when competing against the University of Cincinnati, West Virginia University and other far-flung Big 12 members.
