If you are into financial details in Big Ten payouts, here's some info as it relates to Rutgers
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Rutgers Report: Here's How Much We'll Receive from Big Ten (You Won't Believe the Numbers)
by Keith Sargeant, NJ.com
Rutgers University on Thursday released a report that officials called a "comprehensive plan" for the Scarlet Knights "to reach competitiveness in a fiscally responsible manner."
The 58-page report is the result of a study conducted by College Sports Solutions, which signed a deal with Rutgers in April 2018. According to a service agreement obtained by NJ Advance Media, the university was expected to pay the Atlanta-based company $95,000 plus up to $10,000 in travel-related expenses.
"The CSS report provides independent confirmation of the challenges and opportunities before us as we continue the work of transforming Rutgers Athletics into a competitive program," Rutgers AD Pat Hobbs said in a statement. "(CSS) recognize our unique position as a member of the Big Ten and the only Power 5 program in the nation's largest media market. We will digest their findings, and develop and execute an action plan to exploit every identified opportunity."
Greg Brown, a member of the university's Board of Governors, said the report illustrates the "assets" it has "in order to sustain growth."
"The key to achieving these initiatives is clarity of mission and an engaged leadership that welcomes ideas and pursues feedback," Brown said. "With the student-athlete experience as a primary focus, tremendous progress has already been made under Pat Hobbs. Consulting with industry leaders, such as CSS, in a transparent manner to quantify opportunity furthers this progress."
The strategic report shines a light on a lot of the issues facing Rutgers, one of the nation's most heavily subsidized athletics programs, as it competes in its fifth year in the Big Ten.
According to Rutgers' most recent Fiscal Year report filed to the NCAA, the athletics program had a $47.4 million shortfall in a $99.2 million budget that was made up by $21.3 million in support from the university's operating budget, $11.8 million in student fees and a $14.3 million internal loan. The majority of Rutgers' teams, including its marquee programs in football and men's basketball, have finished at or near the bottom of the conference standings in each of the last four seasons.
Overall, the combined winning percentage of all Rutgers teams in Big Ten since 2014-15 is .260 (177-514-13 record).
"No one is satisfied with the current winning percentages, but ti's not a short-term fix," Hobbs told NJ Advance Media last spring for a detailed report on what the Big Ten meant to Rutgers athletically, academically and financially.
"The report does not shy away from Rutgers' Big Ten on-field or financial struggles, with CSS reporting: "Rutgers' first four years in the Conference have demonstrated a strong correlation between the university's budget and facility deficit and its lack of competitive success. Its 4-year winning percentage in all sports is 26 percent, last in the Conference."
NJ Advance Media previously reported that Rutgers Athletics took out a loan from the university's internal bank for $18.4 million, and it was to be paid in a series of installments between 2016 and 2021. Rutgers Athletics is required to pay 5.75 percent interest on that loan, which means the program is expected to payback a total of $23.7 million in loan and interest fees to the university once it receives its full-share Big Ten distribution in 2021.
The CSS reports recommends that Rutgers athletics "seek forgiveness or reduction of the principal and/or interest of current university loans."
The report also gives details of its Big Ten loan structure and how much the athletics program will receive from the conference.
Initially, former Rutgers AD Tim Pernetti signed off on a plan -- the same deal made by fellow Big Ten newcomers Nebraska and Maryland -- in which the Big Ten would pay Rutgers an amount equal to its projected distributions from the Big East/American Athletic Conference for its first six years in the Big Ten.
After those initial six years, Rutgers would receive a full distribution -- the same as all other Big Ten schools.
According to the report, Rutgers and the Big Ten agreed on a plan for Rutgers to be paid in the following annual payments:
The Big Ten agreed to advance Rutgers on its future distributions. The Big Ten loan amounts, according to the CSS report, are apparently interest-free and will see Rutgers receiving $3 million in 2019 and $7 million in 2020.
Rutgers will have to pay back the Big Ten a check for $6 million in 2021 and $4 million in 2022.
The CSS report also details an additional loan executed between Rutgers and the Big Ten that will further diminish the athletic department's future full-share distributions.
NJ Advance Media previously reported news on Rutgers' loan, but the CSS report breaks down the payout and payoff amounts in detail:
The Big Ten agreed to advance an additional $38 million, which will be given to Rutgers in the following installments:
As a result of the loans, Rutgers' payouts from the Big Ten will be as follows:
For years, Rutgers fans have pointed to 2021 as the year that the Scarlet Knights will be on a level playing field with their Big Ten brethren financially.
That won't be the case.
Essentially, Rutgers won't receive the same money as its Big Ten peers until 2027.
Still, the $43.7 million distribution from the Big Ten in 2021 should go a long way toward diminishing its annual university subsidy.
Rutgers' annual fiscal-year documents obtained by NJ Advance Media show the athletics department's deficit to be $399.3 million since 2003-04 and $193.2 million since university President Robert Barchi took office in 2012.
Here is how CSS estimates Rutgers' future payments from the Big Ten to go:
Rutgers report: Here's how much we'll receive from Big Ten (You won't believe the numbers)
A Rutgers University independent report details how much money it will receive from the Big Ten.
Rutgers Report: Here's How Much We'll Receive from Big Ten (You Won't Believe the Numbers)
by Keith Sargeant, NJ.com
Rutgers University on Thursday released a report that officials called a "comprehensive plan" for the Scarlet Knights "to reach competitiveness in a fiscally responsible manner."
The 58-page report is the result of a study conducted by College Sports Solutions, which signed a deal with Rutgers in April 2018. According to a service agreement obtained by NJ Advance Media, the university was expected to pay the Atlanta-based company $95,000 plus up to $10,000 in travel-related expenses.
"The CSS report provides independent confirmation of the challenges and opportunities before us as we continue the work of transforming Rutgers Athletics into a competitive program," Rutgers AD Pat Hobbs said in a statement. "(CSS) recognize our unique position as a member of the Big Ten and the only Power 5 program in the nation's largest media market. We will digest their findings, and develop and execute an action plan to exploit every identified opportunity."
Greg Brown, a member of the university's Board of Governors, said the report illustrates the "assets" it has "in order to sustain growth."
"The key to achieving these initiatives is clarity of mission and an engaged leadership that welcomes ideas and pursues feedback," Brown said. "With the student-athlete experience as a primary focus, tremendous progress has already been made under Pat Hobbs. Consulting with industry leaders, such as CSS, in a transparent manner to quantify opportunity furthers this progress."
The strategic report shines a light on a lot of the issues facing Rutgers, one of the nation's most heavily subsidized athletics programs, as it competes in its fifth year in the Big Ten.
According to Rutgers' most recent Fiscal Year report filed to the NCAA, the athletics program had a $47.4 million shortfall in a $99.2 million budget that was made up by $21.3 million in support from the university's operating budget, $11.8 million in student fees and a $14.3 million internal loan. The majority of Rutgers' teams, including its marquee programs in football and men's basketball, have finished at or near the bottom of the conference standings in each of the last four seasons.
Overall, the combined winning percentage of all Rutgers teams in Big Ten since 2014-15 is .260 (177-514-13 record).
"No one is satisfied with the current winning percentages, but ti's not a short-term fix," Hobbs told NJ Advance Media last spring for a detailed report on what the Big Ten meant to Rutgers athletically, academically and financially.
"The report does not shy away from Rutgers' Big Ten on-field or financial struggles, with CSS reporting: "Rutgers' first four years in the Conference have demonstrated a strong correlation between the university's budget and facility deficit and its lack of competitive success. Its 4-year winning percentage in all sports is 26 percent, last in the Conference."
NJ Advance Media previously reported that Rutgers Athletics took out a loan from the university's internal bank for $18.4 million, and it was to be paid in a series of installments between 2016 and 2021. Rutgers Athletics is required to pay 5.75 percent interest on that loan, which means the program is expected to payback a total of $23.7 million in loan and interest fees to the university once it receives its full-share Big Ten distribution in 2021.
The CSS reports recommends that Rutgers athletics "seek forgiveness or reduction of the principal and/or interest of current university loans."
The report also gives details of its Big Ten loan structure and how much the athletics program will receive from the conference.
Initially, former Rutgers AD Tim Pernetti signed off on a plan -- the same deal made by fellow Big Ten newcomers Nebraska and Maryland -- in which the Big Ten would pay Rutgers an amount equal to its projected distributions from the Big East/American Athletic Conference for its first six years in the Big Ten.
After those initial six years, Rutgers would receive a full distribution -- the same as all other Big Ten schools.
According to the report, Rutgers and the Big Ten agreed on a plan for Rutgers to be paid in the following annual payments:
- 2015: $8,645,986
- 2016: $9,043,606
- 2017: $9,442,178
- 2018: $9,841,721
- 2019: $10,242,246
- 2020: $10,643,801
Rutgers will have to pay back the Big Ten a check for $6 million in 2021 and $4 million in 2022.
The CSS report also details an additional loan executed between Rutgers and the Big Ten that will further diminish the athletic department's future full-share distributions.
NJ Advance Media previously reported news on Rutgers' loan, but the CSS report breaks down the payout and payoff amounts in detail:
The Big Ten agreed to advance an additional $38 million, which will be given to Rutgers in the following installments:
- 2018: $14 million
- 2019: $13 million
- 2020: $11 million
- 2018: $23,841,721 (previous amount: $9,841,721)
- 2019: $26,242,246 (previous amount: $10,242,246)
- 2020: $28,643,810 (previous amount: $10,643,801)
That won't be the case.
Essentially, Rutgers won't receive the same money as its Big Ten peers until 2027.
Still, the $43.7 million distribution from the Big Ten in 2021 should go a long way toward diminishing its annual university subsidy.
Rutgers' annual fiscal-year documents obtained by NJ Advance Media show the athletics department's deficit to be $399.3 million since 2003-04 and $193.2 million since university President Robert Barchi took office in 2012.
Here is how CSS estimates Rutgers' future payments from the Big Ten to go:
| B1G Full-Distribution Estimate | Rutgers Estimated B1G Distribution | |
| 2018 | $50,000,000 | $23,841,721 |
| 2019 | $51,500,000 | $26,242,246 |
| 2020 | $53,045,000 | $28,643,801 |
| 2021 | $54,636,350 | $43,705,600 |
| 2022 | $56,275,441 | $46,029,566 |
| 2023 | $57,963,704 | $48,941,204 |
| 2024 | $59,702,615 | $50,970,215 |
| 2025 | $61,493,693 | $53,055,193 |
| 2026 | $63,338,504 | $56,178,379 |
| 2027 | $65,238,659 | $65,238,659 |
| 2028 | $67,195,819 | $67,195,819 |
| 2029 | $69,211,694 | $69,211,694 |
