While the University of Wisconsin Athletic Department continues to draw name recognition for its sports programs, a new study found the body is also a major economic engine in the state.
In an Athletic Board meeting held Friday, a study spanning more than a year found the department contributes nearly $970 million in total economic impact and created 8,853 Wisconsin jobs.
The study, conducted by NorthStar Economics, Inc., also cited the construction of two new athletic facilities as significant economic contributors to the state.
David Ward, Founder of NorthStar, cited the issue that the department is revenue-based but does not draw on state tax dollars as an area for possible consideration moving forward.
“The Athletic Department serves a public and private service and attracts outside money to Wisconsin economy in the form of events and major gifts,” he said. “It’s not hard to see the economic impact of UW-Madison.”
Adam Gamoran, a board member and sociology professor, said under the current model, Athletic Department funds are considered state funds and nearly $600,000 in funds were taken from the body and added to state revenue.
In an interview with The Badger Herald, Barry Alvarez, UW athletic director, said while he is unsure the study’s findings will influence debate concerning the New Badger Partnership, the report indicates that while athletics boosts the state economy and does not draw on state funds, they are still subject to having funds “swept” by the state.
He added the department would have the autonomy necessary to make good business decisions and allow the university to remain competitive for students on a national scale.
“We would not have to go through all the hurdles we have to go through now to get things done,” Alvarez said. “I’m not crazy about being swept… I’d like to have the money we’ve been able to make to run our program.”
Athletic Board representative Sheila McGuirk also presented on stricter NCAA academic eligibility standards, which Alvarez said could have a negative effect on student-athlete’s choices of coursework.
McGuirk said the changes will require football players who do not earn nine credits during the fall semester to lose eligibility for four games during the next season.
Alvarez said the Big Ten committee tried to appeal the new policy, and said it “doesn’t make sense” to separate football eligibility from other sports.
He added officials from the conference are concerned the measure would force a greater focus on maintaining eligibility than on pursuing challenging curriculum, particularly early in their college careers.
Alvarez also said after a “tremendous” response for the Nursing School as the beneficiary of the spring football game, the Athletic Department would continue to pursue changes to promoting the game.
While he said officials would ideally look to fill the stadium, he acknowledged the event is hardly the only show in town.
Proceeds from next year’s game will go to the School of Human Ecology, Alvarez said.
After convening in closed session on personnel matters, Alvarez also confirmed women’s hockey coach Mark Johnson will be the nation’s highest paid coach among his peers.
He said Johnson was offered a position at Penn State, but UW officials were willing to make adjustments based on his valuable contribution to the program.
