Finances top priority for Penn State AD
STATE COLLEGE, Pa. — Six months into her tenure, Penn State athletic director Sandy Barbour is focused on keeping the school’s 31 sports financially healthy.
“You create resources either by spending what you have more smartly ... and also by raising more money,” Barbour said during a recent interview with the Associated Press.
Barbour, who replaced Dave Joyner in August 2014, said it’s about more than simply raising ticket prices.
“Let’s actually create new revenue streams,” she said. “What are those? We’re doing a disservice to the enterprise if we’re not also looking at the expenditure side of it.”
Barbour, 55, oversees an athletic budget of between $110 million and $120 million.
That budget has taken some hits in recent years because of a $60 million fine — $12 million a year for five years — levied by the NCAA after the Jerry Sandusky child abuse scandal, and lower net income from the football program.
Intercollegiate athletics borrowed $30 million from the university’s Board of Trustees in November 2013.
The athletic department showed a modest profit in the 2013-14 budget report of $150,351.
Penn State registered a net loss of nearly $6 million in 2012-13.
Officials already have announced an expected deficit in the 2014-15 budget, due in part to the NCAA’s new scholarship legislation that will add cost of attendance fees to scholarships.
That comes to about $1.75 million for Penn State.
“Let’s face it, funding appropriately a 31-sport, 850-student-athlete program is expensive,” Barbour said.
Barbour said the fees will be added to scholarships in all sports.
There are no plans to cut non-revenue and other Olympic sports, Barbour said. Barbour said it’s important to keep its current sports in place.
