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In the fall of 2020, athletic departments nationwide predicted the pandemic would throw their budgets into chaos.
The University of Michigan, with a budget routinely over $200 million, laid off 21 employees in anticipation of revenue shortfalls with little to no football season.
Almost two years later, however, it appears the school is bouncing back. On Thursday, athletic director Warde Manuel said there would be balanced budgets for the current year and the 2022-23 fiscal year.
This year, operating revenues and expenses, respectively, should total $197.6 million.
Ticket sales and conference distributions contributed to the increased revenues, according to the school.
For next year, the future is bright. Operating revenues should reach $210.9 million, while expenses will clock in at $201.9 million — leaving about $10 million to spare.
The school expects to spend $4.2 million more on financial aid because of both tuition increases and “education-related benefits” — presumably the cash awards schools can now give athletes as a result of the Alston case.
While expenses for game day and teams will go up by $3.7 million, ticket sales should increase by $6.5 million.
The school also expects an extra $9.7 million in conference distributions next year due to media rights revenues — a number that will likely only go up as the Big Ten re-negotiates its broadcast rights.
