Revenue growth slowing down for Texas athletic department

Posted January 31st, 2014


Texas athletic director Steve Patterson now has tangible proof his department has some work ahead.

The Longhorns’ athletic department generated $165.7 million in operating revenue during the 2012-13 school year and reported $146.8 million in expenses, according to a report compiled by the school for the NCAA.

While those numbers will most likely lead the nation for the fifth straight year, the Longhorns saw a minimal $2.4 million increase in revenue from the numbers reported in 2011-12, according to USA Today.


USA Today determined it’s the smallest year-over-year revenue increase Texas has reported over the last 10 years the newspaper has accumulated the national data from all Division I schools.

Patterson knew he was inheriting the nation’s richest athletic program when he took over for the retiring DeLoss Dodds last November. Patterson recently laid out an ambitious agenda to the American-Statesman. He wants to raise Texas’ annual revenue target to $200 million annually.

The school reported $60.9 million in ticket revenue and $33.4 million in royalty and licensing revenue in 2012-13, according to USA Today. The school reported ticket revenue of $59.2 million and royalty and licensing revenue of $28.7 million in 2011-12.

The school has already incurred a hefty line-item expense this year that could bump up next year’s outflow totals.

The school had to pay Louisville officials $4.375 million to buyout the remainder of new football coach Charlie Strong’s contract. To anyone’s knowledge, it was the first time in school history Texas was required to pay a buyout to land a head coach.

The UT System Board of Regents approved a five-year contract for Strong that pays him approximately $5 million annually.

Contracts for Strong’s new assistant coaches are expected to be finalized at next week’s UT regents meeting.

Two high-ranking university sources said initial talks indicated that offensive coordinator Joe Wickline would be the highest paid assistant with a two-year deal worth $750,000 annually. However, this was before January recruiting started in earnest when contract talks were still in their infancy stage.

Former head coach Mack Brown had a slightly larger overall compensation package than Strong. When Brown stepped down on Dec. 14, that move triggered a clause in Brown’s contract that he would be paid a “minimum” of $500,000 to become a special assistant to the president.

According to Texas officials, there have been no talks between Brown and UT President Bill Powers to determine whether the former coach would get a larger payout.

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