Although the NCAA Division I men’s basketball championship budget for the 2018-19 season was $ 28 million – almost twice as much as the women’s budget – information provided by the NCAA on Friday also shows that the men’s tournament brought a total net income of $ 864.6. millions that season. The women’s event lost $ 2.8 million – the largest loss in any NCAA championship.
Given the recent differences between the men’s and women’s tournaments that were made public this month, ESPN and The New York Times have called for NCAA tournament budgets for this season, but NCAA officials said the latest and most available data is from the latest completely complete set of championships, which is 2018-19 due to the pandemic. The 2020-21 budgets are expected to be similar to the data provided on Friday.
The NCAA announced Thursday that it has hired a law firm to conduct an independent gender equality review of its championships in all three divisions and for all sports. Kathleen McNeely, the NCAA’s chief financial officer, told ESPN on Friday that the external review will help determine if budgets are part of the problem, but that there are reasons for discrepancies.
“They have different budgets, but the difference between the budgets is due to the size of the two tournaments,” McNeely said, “… and the nuances in the delivery, which tend to be the committee’s decisions about how they’re going to go. there may be no minor issues, but in my opinion, there is a great deal of parity between men’s and women’s basketball tournaments as we look at them from an individual student-athlete experience, which tends to be our goal. “
According to the NCAA, its championship budgets are set and approved each year. The current tournament budgets were set in June last year, but have been completely changed due to the pandemic. The NCAA will not know the full account until it is over, as it is estimated to cost $ 14 million to create the “bubble” experience for men, including COVID-19 testing, and $ 16 million for the women’s balloon. McNeely said the NCAA pays about the same amount, about $ 2 million each, just in testing on tournament sites.
The NCAA Board of Governors has final approval on championship budgets, which are recommended by the board’s financial and audit committee.
The men’s tournament budget for the 2018-19 season was $ 28 million, while the women’s was $ 14.5 million, but the NCAA indicates “key differences in tournament structures” that led to lower costs for the championship. female. This year’s women’s tournament, which takes place in San Antonio, is unique because the first and second round women’s games are usually played on campus and are hosted by the high-ranking team. This format was agreed in 2014 to help increase the interest and presence of fans. In the men’s tournament, all 32 matches in the first and second rounds are played on neutral sites and lead to additional expenses. The men’s tournament has four more teams and an additional round (the first four).
The NCAA points to the savings made by the low spending for those games as the largest component that explains much of the budget gap, but in the information provided by ESPN, the organization specifically details a difference of only $ 7.1 million:
• $ 2.7 million in travel: only seven men’s teams led the games, while 16 women’s host teams did not travel for the first and second rounds and another 16 led.
• $ 1.7 million a day: The NCAA says per diem rates, even in high-cost cities, are the same for men and women. With 16 women’s teams hosting games in the first two rounds, the NCAA said savings have been made on food costs and hotel spending.
• $ 1.1 million for an additional round: the men’s tournament pays for the top four, which the women’s tournament does not include.
• $ 1.6 million for facilities: The Final Four for men includes additional seats (and storage costs) to turn a football stadium into a basketball arena. The costs of building women’s basketball are generally less than $ 20,000.
“For me, it’s important for fans to understand that the policies around men’s and women’s tournaments are the same policies,” McNeely said. “They have the same rules regarding day school reimbursement, they have exactly the same travel policy … everyone’s goal is that the student-athlete experience is a great experience, it’s a like experience and that we offer the same opportunities to student-athletes, regardless of the tournament in which he plays. “
The information provided by the NCAA also shows a strong contrast in total revenue. Men generated $ 917.8 million, including media and ticket revenue, while women generated $ 15.1 million, including media and ticket revenue. The total attendance is part of the difference, as the men’s basketball tournament had 690,000 fans, while the women’s tournament had 275,000 fans.
The women’s tournament is not the only sport that loses money. The NCAA hosts 90 championships in the three divisions and only five of them generate revenue. The money is simply lost because the expenses required for the championship exceed the income brought, including the TV money.
According to the NCAA, the men’s basketball tournament pays for almost all other NCAA championships in all but four divisions: baseball, men’s ice hockey, men’s lacrosse and men’s wrestling, all in Division I. These championships also generate more revenues rather than expenses and aid cover the costs of other championships. Because the NCAA is a private organization, it is not subject to the rules of Title IX or the requirements of the Freedom of Information Act. NCAA President Mark Emmert was not available for comment Friday, but is expected to address the media next week.