THE NCAA NEWS/October 29,Lsso Legislative Assistance Goal 1990 Column No
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Official Publication of the National Collegiate Athletic Association October 29,1990, Volume 27 Number 38 Center opens The NCAA visitors Center was opened to the public October27, andhundreds of residents from the Kansas City area toured the photo- graphic exhibits in the 12,000-square-foot center; which is located on the ground floor of the NCAA national office building in Overland Pa&, Kansas- Ttre center charges $2 for each adult and $1 for students for admission. Congress OKs graduation-rate disclosure legislation- Congress has approved compro- as the Student Right-to-Know current and four-year-average data, out of the institutions. considering possible changes m ex- mise legislation, negotiated earlier Act -wan the provision contained itemized by race and sex, for the The act provides that institutions isting NCAA legislation to ensure this month by a House-Senate con- in the original House bill requiring entire student body and for finan- that voluntarily disclose “substan- substantial comparability of NCAA fcrence committee, requiring annual institutions to report annually their cially aided student-athletes in foot- tially comparable” graduation-rate data to the Federal standards. public disclosure of student-body aggregate and per-sport revenues ball, basketball, haseball, track and data through an athletics conference The NCAA and various members and student-athlete graduation rates, and expenses for intercollegiate ath- cross country, and all other sports or association will not be required of the NCAA Council, Presidents effective July 1, 1992, with the first letics programs. combined. This data also must be to report under the act. Commission and staff have taken report due one year later. Instead, the act calls upon the given to prospective student-athletes Current NCAA reporting legisla- an active role over the past two The disclosure requirements, ap- secretary of education, in conjunc- being offered financial aid. tion varies slightly from the statutory years in helping to shape Federal plicable to all postsecondary insti- tion with institutions and collegiate Under the act, four-year institu- requirements in that it does not graduation-rate legislation. Execu- tutions awarding athletically related athletics associations, to report by tions will be required in 1993, for include separate reporting for base- tive Director Richard D. Schultz student aid, are based on graduation April 1, 1991, on the feasibility of example, to report in the various hall and track and cross country, testified before both Senate and or completion by a student within requiring production of such data. separate categories the number of does not require reporting of current House committees on the subject I50 percent of the time normally The Senate conferees were said to entering students who graduated rates in addition to four-year-aver- in 1990 and met with several required for a program of study. be dubious as to the desirability or from or completed their programs age rates, employs a five-year stan- members of Congress as terms of The bill, approved October 25, appropriateness of such a financial in six years, for the entering class of dard for defining graduation rate, the bill began to emerge. now goes to the White House, where reporting requirement. I986- as well as four-year data for and bears an effective date for Divi- Various Association representa- quick approval by President Bush is Graduation-rate data required to students entering in 1983 through sion I members of October 1, 1991, tives expressed strong opposition to expected. be reported to the secretary of edu- 1986. Institutions also may report, and for Division II members of the House proposal relating to re- Not included in the bill ~ known cation under the act include both if they wish, graduation rates ad- October 1, 1993. porting of revenues and expenses in justcd to reflect transfers into and An NCAA special committee is intercollegiate athletics programs. Expenses keep pace with Goal of revenue-distribution plan revenues-Raiborn report Revenues and expenses both analyzes programs in Divisions is to help both large, small schools increased on average by at least I-A, I-AA and I-AAA, as well as With $1 billion from-CBS for Regarding Distribution of Re- million following the 1990-91 season, eight percent in intercollegiate Division II programs with and seven years of rights to the Division venues, which received suggestions based on the success their league athletics programs at NCAA without football and Division I Men’s Basketball Championship, for revenue distribution from at teams had in the tournament over member institutions during a Ill programs with and without the NCAA announced a plan Octo- least 350 NCAA member institu the past six years. The conferences four-year period ending in fiscal football. Raiborn mailed a ques- ber 22 that would use the money to tions. at least initially will decide how to year 1989, according to the latest tionnaire to 803 NCAA member reward schools with broad-based “It’s probably as close as we’ll get distribute the money among their in a series of reports published institutions and received 454 re- sports programs offering athletics to playing (only) for the trophy, at members. by the Association. sponses (57 percent). grants to numerous student-athletes. least for the next several years,” Another $31.25 million will be In the period from 1984-85 to The 1990 edition of “Revenues Rather than receiving a large Schultz said in a press conference at paid directly to schools under a 1988-89, compounded annual and Expenses of Intercollegiate payoff for making it into the basket- the NCAA national office. formula that is weighted one-third revenue-growth rates ranged Athletics Programs,” which up- ball tournament, schools would get toward how many sports they spon- from eight percent for Division Schultz called the new formula dates financial trends that have more for sponsoring more than the sor and two-thirds toward how I-A institutions to 42 percent “equitable but not equal.” He said been reported by the Association 12 sports now required for member- many athletics grants-in-aid they among Division III institutions big schools will get the most money, every four years since 1978, ana- ship in Division I. award. without football programs. Dur- hut smaller schools will get a larger lyzes revenues and expenses of “The formula encourages a ing the same years, compounded percentage increase compared to In the third part, all schools will athletics programs in each of broad-based program,” NCAA Ex- annual growth rates for expenses past distributions, meaning that it receive a direct $25,000 payment to seven membership categories. ecutive Director Richard D. Schultz ranged from eight percent in would have a bigger impact on improve programs designed to help said in announcing a plan that was Prepared by Mitchell H. Rai- Division I-A to 13 percent for smaller schools’ athletics budgets. athletes academically. the result of nine months of work by born, a professor of accounting Divisions II and Ill institutions The plan is in three parts. the Special NCAA Advisory Com- Schultz offered three examples at Bradley University, the report See Expemes, page 2 mittee to Review Recommendations Conferences will share in $31.25 See Goal, page 2 2 THE NCAA NEWS/October 29,lSSO Legislative Assistance Goal 1990 Column No. 38 Continued from page 1 academic-enhancement payment in Big West, Metropolitan Collegiate Printed recruiting materials/game programs of payments to schools. June and the broad-based payment Athletic, Mid-American Athletic Division I member institutions should note that in accordance with A small program sponsoring 12 in August, Schultz said. and Western Athletic Conferences. NCAA Bylaw 13.4. I, it is not permissible to send game programs to sports and giving 27 grants-in-aid Each game in the basketball tour- Independents are expected to re- prospects and high school and two-year college coaches. During its would get $2,350 based on currently nament last year was worth $294,000 ceive about $2.3 million in total. available figures. An average-sized to each team, Schultz said. Each January 11, 1989, conference, the NCAA Interpretations Committee The structure of the contract with program sponsoring 20 sports and game of the tournament under the determined that it would be permissible for a Division I member institution CBS calls for different payment giving 66 grants would get $61,700. new formula will be worth only to distribute game programs (free of charge) to prospective student-athletes levels in each of the seven years, so A very large program sponsoring 29 only during their official and unofficial visits to the institution’s campus. It $40,000, he said. the revenue available to NCAA sports and giving 268 grants would It is estimated that in 1991, the should be noted that it is not permissible for game programs to include members would change each year, get $450,000. Big Ten Conference would receive items the member institution is prohibited from providing to a prospective Schultz said. student-athlete or a high school or two-year college coach under Bylaw Those figures are exclusive of the largest amount of money at $7.1 13.4. I. I (e.g., fold-out posters, detachable decals). any money schools would receive million. The Atlantic Coast Confer- Schultz said he believed the reve- Bylaw 13.4.lge) permits a Division II member institution to provide from the basketball tournament ence would get X6.33 million, the nue-distribution formula would re- game programs to prospective student-athletes or high school or two-year portion of the pool or the $25,000 Big East Conference $5.2 million move some of the pressure to win at college coaches, provided such programs do not include posters.