Impact of NCAA Tournament Cancellation $375M Slashed from Schools Distribution
The NCAA Tournament cancellation is resulting in a reduction of payouts of $375M from member schools. That is a pretty large one year number - especially when you consider the post on severance dollars being paid in football and basketball.
Some potential in insurance dollars - but needless to say this is an immediate impact for many especially smaller schools.
Hmm... Seems like the only solution here is to abolish the NCAA, start over with a new organization, and get an injunction preventing Mark Emmert from having any role in it whatsoever.
I second this motion
My pee pee salutes that motion.
I'm utterly heartbroken for Gene Smith. . .perhaps he'll get some aid from the $2.2 T relief package. s/
Very , very little chance for any dollars from insurance. Communicable diseases are excluded from the vast majority of even the most robust policies. Since a virus would not equal a covered cause of loss, there won't be any Business Income or Extra Expense coverage afforded.
Some policies will include coverage for communicable diseases, but usually it's a small sub-limit of coverage.
The only way insurance is stepping in, for anyone, is if new legislation is signed. Can't know the ramifications of that yet, but it could destroy the insurance industry which isn't good for anyone.
Now football tickets will go up more then what they where already going to go up from.
But the ‘good’ news is you’ll have an extra year to save up before you have to buy them.
$375M is the total amount for all NCAA member schools. The impact per school is a more meaningful number. Using the Big 12 example from the article, the per Big 12 school impact is $1.4M.
The current operating expenses have to be supremely low for AD’s across the country. There are no expenses, everything is shut down until further notice.
Per a podcast I listened to recently, on a "percent of total athletics budget" basis, this hurts the smaller D-1 schools more than the big boys.
It sounds like the hit is anywhere from 1% (P5 school, e.g., U-M) to 3% (a G5 football school, e.g., CMU) to 5% (a lower-tier-conference that doesn't play D1 football, e.g., Oakland).
Michigan can easily survive that. But some schools can't.
For schools hanging on at the margins (For example: Louisiana-Monroe or San Jose State playing FBS football; Western Illinois or Northern Colorado at D-1 vs D-2), this may be the end of their existence at their current level.
Which is exactly why anyone who thinks this virus is still no big deal is nuts.
Does anyone think the NCAA, whose president is MARK EMMERT for fuck’s sake, would give up this kind of coin if they weren’t convinced beyond any doubt of the historical seriousness of it?
So I guess CBS didn't pay the NCAA since the NCAA didn't fulfill their side of the bargain. Seems odd that the NCAA would take the risk of loss here. I would have thought that they would have been smart enough to anticipate that one day they might have to cancel the tournament for one reason or another, and that they would be on the hook.
I'm certainly saying this with the benefit of hindsight, but TV money should be guaranteed in cases like this. Let the tournament organizers make the go or no go decision without having to weigh dollars against safety. Let CBS take the hit if they don't get to televise the games, though that risk would probably lower the NCAA's payout. They gambled on themselves that the show would go on, as it had for a long time, until they finally lost.