ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, February 20, 1991                   TAG: 9102200106
SECTION: SPORTS                    PAGE: B4   EDITION: METRO 
SOURCE: Bill Brill
DATELINE: KANSAS CITY, MO.                                LENGTH: Medium


SCHULTZ: CUTS JUST FIRST STEP

Saying that more than 70 percent of Division I schools are losing money in athletics, NCAA executive director Dick Schultz said Tuesday that recent legislated cutbacks "are only the first step."

Schultz, speaking at the conclusion of the College Football Forum, said, "You can count on one hand, maybe one finger, the number of schools that aren't having financial problems."

Referring to cost-containment legislation, including reductions in scholarships and coaching staffs, Schultz said, "There had to be cutbacks for survival."

The economic problems aren't new, he said. It first started with the oil crisis in 1976-77. "I was the athletic director at Cornell then, and we had 44 sports, which was common in the Ivy League. Most of our travel was by bus. We could reserve the bus, but they wouldn't quote us a price until five days before [we wanted it] because of rising gas prices."

Schultz said the Gulf War has had an impact on college sports "because athletics is travel-related."

Schultz also noted that fund-raising in tough economic times will either level off or drop, and TV revenue likely has peaked. "I'm just glad we don't have to negotiate a TV contract for six years," he said, referring to the seven-year, $1 billion deal with CBS that began this season.

"TV has had a terrible impact on Division I-AA [football]," Schultz said. "They don't get any exposure, and there are so many games on television that it has hurt them at the gate." He said the same thing applies to Divisions II and III.

But the former Virginia athletic director was not making a gloomy forecast. Rather, he said, colleges need to become inventive in ways to save money.

"The '90s will be the decade of change," he said. "This is just the first step to change and improve college athletics. We need to eliminate some of the things that have been a problem for us."

Schultz would like to see the athletic program funded just like any other department, although he's aware that isn't legal everywhere (Virginia, for example). "I doubt if you can do that with national legislation," he said.

As for states like Virginia, which prohibit spending state funds on athletics, Schultz said, "That legislation may have to be changed," he said.

But he also pointed out that in 1982, when he was at UVa, he was the first to negotiate shoe and radio/TV contracts for the coaches. All of the money went to the school, and the coaches were paid accordingly. "I'm not talking about cutting their salary," he said. "[At UVa] they actually got more money because we were better negotiators, and we got more equipment for all sports than ever before."

Rather than have a coach paid $100,000 by the school and make another $400,000 on the side - raising the issue of where the coach's loyalty lies - Schultz would prefer having all the money handled by the university.

"If the coach is worth $500,000 [in the marketplace], let's have the courage to have the school pay him."

And if there were financial shortfalls, the school would make up the difference.

Cuts mandated at the 1991 convention will save only $500,000-600,000 for the biggest schools, Schultz said, adding, "We've only touched the surface."

But he remains convinced there will be no reduction in quality of play. "If I were a coach [he was for 25 years], I wouldn't like the cuts. But I think it will have no impact on the product at all."

Schultz said by trimming grants to 85 by 1995, "There's the potential for more parity without reducing the quality of football."

He warned the protesting coaches the '91 legislation would be fine-tuned, "but there will be no reversal. If we don't deal with the financial problem, we're in for hard times."



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