UCF teams cut budgets by 10%
Athletic department seeks donors to offset COVID-19 losses.
UCF athletic teams are cutting their budgets by 10% to help offset anticipated economic shortfalls caused by the coronavirus pandemic.
The cost-cutting measures, which also included freezing salaries, spending and new hires, were put in place to help the Knights deal with revenue lost due to the cancellation of spring sports, testing required as athletes return to campus amid the pandemic and the potential delay or cancellation of football, the top revenue driver.
In response to budget cuts, the UCF athletics department launched a new one-year fundraising initiative called “Keep Charging On.” UCF athletics director Danny White, along with his wife Shawn, kicked off the fund drive by donating $100,000 and put out the call for donations in “an effort to provide unrestricted charitable support for UCF athletics.”
“We all have seen the tremendous progress we’ve made toward accomplishing the goals we set out in our strategic plan — and we couldn’t be any more committed to making them happen,” White said. “This is our way of sending that message to all of Knight Nation.”
UCF’s athletics budget has grown from $51 million in 2015-16 to an expected $74 million in 2020-21, but much of the expected revenue comes in the form of ticket sales for seven home football games, donations, sponsorships and the new American Athletic Conference television package, which could amount to nearly $7 million.
A large percentage of the athletics budget comes from student fees along with NCAA and conference distributions, donor contributions, ticket sales and sponsorship deals.
The AAC has pushed back the start of the fall for Olympic sports until Sept. 1 with a fall football season still uncertain. The league expects a decision as soon as next week as autonomous conferences such as the SEC, ACC and Big 12 decide whether to delay or change the upcoming season.
A delayed or shortened football season or a reduction in the number of spectators at home games would have a major impact on revenue for the 2020-21 fiscal year with the loss of ticket sales, away-game guarantees and conference distribution.
“We all have seen the tremendous progress we’ve made toward accomplishing the goals we set out in our strategic plan.” —UCF athletics director Danny White
“We aren’t alone — everybody in the country is making sacrifices,” White said. “My top priority is to protect our people — student-athletes, coaches and staff.
“We still can be in a position of strength and get right back to doing what we do a year from now. We’ve got a lot of good things going, and we want to keep them all going.”
UCF has been testing its athletes and staff for COVID-19 as they return to campus, with the cost coming out of the department’s budget. Testing will continue throughout the season as part of NCAA and conference guidelines, and schools are currently expected to pick up the tab.
To put the costs in perspective, the NBA’s tests in the Orlando area, for example, carry a fee of $140 per test.
During the past decade, UCF has seen a tremendous amount of growth athletically, including six conference championships and two New Year’s Six Access Bowl appearances in football, NCAA Tournament bids in men’s and women’s basketball as well as national recognition for Olympic sports.
The athletics department set a record-high in fundraising with $35.5 million in commitments and $17.4 million in cash gifts during 2020. Much of the money raised helps supply increased resources, including capital projects such as the Roth Athletic Center and the Kenneth G. Dixon Athletics Village.
“We’ll work through these challenges over the coming months and get to a point where we are rolling again,” White said. “In my mind, I’m looking at this as a pause to get through the uncertainty — and it’s based on how our programs have been built and are poised for success.
“This initiative is all about focusing on the positives as we continue to build our brand. So we are going to ‘keep charging on’ with our vision.”