FWST: TCU stadium upgrade is another sign that colleges are going pro

[hindry]

i never got an answer. i can understand why u may want to be one of the original 15 who donate to rebuild AGS.
but what is the sales pitch to be a guy who subsidized executive suites?
i gather sales of suites and caviar won't cover the $100M spent. on that i could be mistaken.

sorry ... they are seeking donations for the $100M , not loans.
so someone is going to 'donate' to make life supercomfortable for the well-heeled?
i do not get it.

 

[Surfrog]

Actually, Mac got this wrong. TCU announced that the addition of the new luxury and premium seating on the East side will add somewhat over 2,500 seats, not "no more than 1,000," as Mac reported. It's still a small increase in overall seating capacity, but about 1.5 times larger than Mac allowed for.

Also, I don't agree with him that college football is going pro, or even semi-pro. College programs in general, even FBS programs, simply couldn't afford this. People who make this claim don't really understand the nature and scale of the huge economic differences between for-profit (NFL) and nonprofit (college).

Someone (or several) will undoubtedly try to correct me by pointing out that the NFL also enjoys the same nonprofit, tax-exempt status as college programs. If so, your information is partly outdated and completely wrong, for two reasons:

1. The NFL, a $10 billion-per-year enterprise, gave up it's nonprofit tax-exemption in 2015 because it had become so controversial it was (in the words of Roger Goodell) "a distraction."

2. Even when the NFL was still tax-exempt, the exemption applied only to the league's central office, not to the 32 local club franchises that are the NFL's primary money-makers. The local franchises have always paid full taxes on all income from ticket sales, television rights fees, merchandise sales, and sponsorships.​

Could nonprofit college football possibly afford to go the same route? Not a chance. Among the 460 or so football programs in Division III, Division II, and the Football Championship Subdivision (FCS) level of Division I, every single program operates at a loss and is heavily subsidized by the host institution. These programs don't make enough money to pay their own operating costs, much less enjoy a profit.

Among the 130 or so schools in the Football Bowl Subdivision (FBS, or top tier) of college football, only about 20-25 programs earn even enough money to pay their own operating costs, much less a profit that helps pay for all the non-revenue-earning sports programs the institution operates for both men and women. TCU is is among the fortunate few that can afford this, but only very recently (last 2-3 years). Once those other programs are paid for, very little net remains to be added to the university's coffers.

Collegiate football is simply not designed to be a money-making enterprise. Under its current economic model, it will never go pro. It would financially fail overnight. But it does go to show that comparing nonprofit operations like college football to for-profit enterprises like the NFL is a completely inapt mismatch. Like trying to bake an apple pie using oranges.

Deep, Deep, Deep. Where to start. Look at the big picture. 100 million spent on a renovation for 2500 seats. The average person will never see those seats, it's for the donor to have a tax break. Why do you think the donation is so large? . It's not the 20-25 programs that break even, way more than that do. Know your facts before spouting off like an ass. Here is the US Department of Education site, all NCAA schools are required to release a budget.

https://ope.ed.gov/athletics/#/institution/search if you want to do the work
http://sports.usatoday.com/ncaa/finances/ if you're lazy

CDC's budget has always been "balanced" for tax reasons.

Do some research and you'll see not everyone runs at a loss, not even close. Some small schools force athletes to pay to help cover cost instead of asking the school.

as for being TCU being a "non pro" model... Bullship. The team flies on a charter jet, stays in a 3-5 star hotel, fully catered meals on trips, practices MORE often than the NFL.

Do you want me to continue?

 

[Surfrog]

Here is some of TCU's Data from the .gov site. More breakdown available if anyone is interested.

 

[hindry]

surf..u have hit on something i can't understand. if it is simply taking advantage of tax deductions these donors could help any athletic or academic program.

i take it that is not how they are approached. they are approached strictly for Club Seat Expansion. Now who wants that on their corporate CV? 'We gave handsomely so elite fans can have 5 star catering". Its not alumni or fans or anyone with any interest in TCU, other than the brand, at all.

i believe it will put even more pressure on TCU football to generate more revenue, influencing all manner of decisions out of sync with collegiate amateur athletics.

 

[froginaustin]

Anyone that thinks football at TCU or even UTx/A$M is "pro" needs to compare college stadiums with the JerraShack or the new Mercedes Benz Stadium in Atlanta, or NFL training facilities against college facilities.

Alabama and several other SEC teams, and maybe Clemson, being the exceptions that test that rule.

 

[frog-hat]

as for being TCU being a "non pro" model... Bullship. The team flies on a charter jet, stays in a 3-5 star hotel, fully catered meals on trips, practices MORE often than the NFL.

Pays their coach like the NFL
Pays their players like the NFL ......oh wait

 

[Long Time Lurker]

tell me ur net income and i will tell u how the tax cuts screw u...

unless ur a hedge fund manager, run a real estate REIT, partner at a law firm or make over $250K. BTW i always laff at the many. many broke [ ricardo ] R's i have met waiting for trickle down to lift their boat...er...raft...er ....kayak

I make $27,000 a year, wife doesn’t work, 4 kids full time, 2 from differnet mothers with which I share custody, I live in government provided housing.

 

[Deep Purple]

Deep, Deep, Deep. Where to start. Look at the big picture. 100 million spent on a renovation for 2500 seats. The average person will never see those seats, it's for the donor to have a tax break. Why do you think the donation is so large? . It's not the 20-25 programs that break even, way more than that do. Know your facts before spouting off like an ass. Here is the US Department of Education site, all NCAA schools are required to release a budget.

https://ope.ed.gov/athletics/#/institution/search if you want to do the work
http://sports.usatoday.com/ncaa/finances/ if you're lazy

CDC's budget has always been "balanced" for tax reasons.

Do some research and you'll see not everyone runs at a loss, not even close. Some small schools force athletes to pay to help cover cost instead of asking the school.

as for being TCU being a "non pro" model... Bullship. The team flies on a charter jet, stays in a 3-5 star hotel, fully catered meals on trips, practices MORE often than the NFL.

Do you want me to continue?

Lots of false assumptions and bad conclusions in the above. But there's no point in arguing with someone who is self-convinced and doesn't really understand the numbers he's citing. No context for reference. You may as well be lecturing on quantum theory.

Let's just say that when it comes to "spouting off like an ass," you're not in a good position to point at others.

 

[ShadowFrog]

Do you want me to continue?

Where’s Drill Sergeant Zim?

http://2.bp.blogspot.com/-yMv3DQMonJU/T4zYyqdZfYI/AAAAAAAAMLM/VgH60s3z_Ug/s1600/screenshot18725.jpg

 

[hindry]

I make $27,000 a year, wife doesn’t work, 4 kids full time, 2 from differnet mothers with which I share custody, I live in government provided housing.

ur tax rate goes from 10% to 12% as passed in the House. i kid u not. that is 2% , increase

 

[geezer]

ur tax rate goes from 10% to 12% as passed in the House. i kid u not. that is 2% , increase

No, it's a 20 percent increase...or also correctly, a 2 percentage point increase.

 

[hindry]

No, it's a 20 percent increase...or also correctly, a 2 percentage point increase.

ur rite...now u kids get off the porch

nice pic..working towards 'old fart' myself on the way to 'geezer'

 

[Bob Sugar]

ur tax rate goes from 10% to 12% as passed in the House. i kid u not. that is 2% , increase

And yet with standard deductions and tax credits, his tax rate goes from 0% to 0%.

 

[YA]

And yet with standard deductions and tax credits, his tax rate goes from 0% to 0%.

Not most people

 

[Long Time Lurker]

Proposed bill makes the standard deduction for married couples filling jointly 24,000. So if i don’t have kids I will pay 0% on the first 24,000 of my 27,000 dollar annual income. I say we figure out what the flat tax rate should be and put the debate to bed for a generation or two.

 

[hindry]

And yet with standard deductions and tax credits, his tax rate goes from 0% to 0%.

i don't even need to dig into the details. they have raised the rate. if their intention is that no one below a threshold pays federal income tax why increase the rates and bring added scrutiny. so what is behind curtain #3? There is a trap door there somewhere.

 

[netty2424]

i don't even need to dig into the details. they have raised the rate. if their intention is that no one below a threshold pays federal income tax why increase the rates and bring added scrutiny. so what is behind curtain #3? There is a trap door there somewhere.