A dozen thoughts on the Fresno State Athletic Corporation’s 2011-12 financial statement:
1.) Accrued compensated balances for Athletic Corp. employees totaled $256,888 for the fiscal year ending June 30, 2012 and $263,461 for FY 2011.
Accrued compensated balances for State employees working in Athletics totaled $546,997 in FY 2012 and $780,271 for FY 2011.
Many organizations, especially in the private sector, are trying to cut these accrued balances to the bone. I wonder if Fresno State Athletic Director Thomas Boeh is on the same mission.
2.) Under “accounts receivable” for FY 2012, the Athletic Corp. is owed $177,926 from “University support.”
Does that mean Fresno State won’t put a check in the mail to itself?
3.) Note 12 in the statement says:
“DEFERRED COMPENSATION PLAN — The Corporation entered into a deferred compensation agreement with an employee. The agreement provides for guaranteed payments for twenty (20) years, commencing upon the employee’s sixty-second (62) birthday. The obligation is calculated using an eight percent (8%) discount factor to arrive at present value. The present value of the liability as of June 30, 2012 and 2011 amounted to $852,157.
“DEFERRED ANNUITY PLAN — The Corporation entered into an agreement with one employee in which five annual cash payments beginning on January 1, 2002 were to be contributed into a deferred account (called) ‘the Plan.’ Earnings and losses on the plan assets after the date of contribution increase or decrease the future benefit to the employee. The employee vested in the plan on December 31, 2005. The liability as of June 30, 2012 and 2011 amounted to $262,204 and $302,347, respectively.
“DEFERRED ANNUITY PLAN — The Corporation entered into a five-year agreement with another employee in which cash payments of $100,000 are to be contributed into a deferred account annually beginning on June 30, 2006. The liability, including payroll burden, as of June 30, 2011 was $510,399. The plan assets were distributed to the employee on July 1, 2011.”
The report doesn’t identify this employee — or employees.
4.) The Athletic Corp. in FY 2012 got $4,063,999 from student fees, compared to $1,620,713 in FY 2011. Athletics’ portion of the Instructionally Related Activity Fee paid by each student went from $39 per semester in FY 2011 to $99 per semester in FY 2012.
It was only five years ago that none of the university’s Instructionally Related Activity Fee went automatically to athletics.
5.) Fresno State provided $5,763,584 in “university support” to the Athletic Corp. in FY 2012, compared to $4,154,670 in FY 2011.
6.) The Athletic Corp. in FY 2012 received a total of $9,827,583 of its $26,530,088 in operating revenue from student fees and university support. That’s 37%.
The Athletic Corp. in FY 2011 received a total of $5,775,383 of its $26,220,054 in operating revenue from student fees and university support. That’s 22%.
Simply amazing. The way Fresno State funds its intercollegiate athletic program has changed dramatically since Thomas Boeh came on board in mid-2005.
7.) Let’s look at that level of student fees-university support from a different angle.
The Athletic Corp. in FY 2012 saw a one-year 70.2% jump in the amount of money it got from student fees and university support.
Students fees and university support aren’t guaranteed sources of money. But, in the world of intercollegiate athletics, they’re the next-best thing.
8.) The Athletic Corporation’s operating revenue in FY 2012 was $26,530,088, an increase of 1.2% ($310,034) compared to FY 2011.
Operating expenditures in FY 2012 were $26,434,820, an increase of 2.2% ($572,393) compared to FY 2011.
The program was in the black.
9.) The Bulldog Foundation endowment had $8,580,483 in FY 2012, compared to $8,752,136 in FY 2011. It had nearly $10 million just a couple of years ago.
10.) The Bulldog Foundation’s annual fund drive — money raised for athletic scholarships — generated $2,897,297 in FY 2012, compared to $4,634,470 in FY 2011. The financial statement makes clear that the Athletic Corporation in FY 2012 assumed responsibility for collecting season ticket and parking revenues from customers. That chore used to be handled by the Bulldog Foundation. This explains the sharp drop in Bulldog Foundation contributions.
What’s interesting is this: The BDF in the old days funded all of the athletic scholarships through its annual fund. The bill for athletic aid in FY 2012 was $4,881,199. That means the BDF annual fund drive paid just 59.4% of the athletic aid tab.
11.) Football gate receipts in FY 2012 were $3,726,174, compared to $5,009,810 in FY 2011.
Total game (all sports) revenue in FY 2012 was $7,165,789, compared to $7,495,544 in FY 2011.
Football guarantees saved the day for total game revenue in FY 2012. Football guarantees that year generated $1.45 million, compared to $210,000 in FY 2011.
12.) Conference income in FY 2012 was $131,522, compared to $1,667,752 in FY 2011.
FY 2012 was Fresno State’s last year in the Western Athletic Conference. The split wasn’t pretty, hence the big drop in conference income.
Fresno State in FY 2013 is in the Mountain West Conference. The MWC is a stronger conference. The Athletic Corporation’s bottom line almost certainly is seeing a big bump in conference income this year.
That means there’s a decent chance that Fresno State’s athletic revenues of $26.5 million in FY 2012 will rise to the $27.5 million or $28 million range in FY 2013.
The cost of athletic aid from FY 2011 to FY 2012 was pretty much the same.
So, if Fresno State athletics is much more dependent on the steady (and growing) income of student fees and university support; and if the athletic program finds itself in a much better conference; and if the football program is now headed by a successful new coach named Tim DeRuyter; and if the BDF’s annual fund drive has stabilized and may actually be on the upswing; …. then how will all that extra money coming into the program this year (and in the future) be spent?
Perhaps on recruiting.
Total recruiting expenditures in FY 2012 was $333,703, compared to $286,374 in FY 2011.
But maybe all that extra money flowing into a Fresno State athletic program that appears to be headed for nothing but sunnier financial days will end up in the pockets of coaches and administrators.
After all the single biggest jump in Athletic Corp. expenditures in FY 2012 compared to FY 2011 was for salaries and benefits: $9.97 million in the former, $9.61 million in the latter.
Be careful, Bulldogs.