Tag Archives: hbcu football

The 2019-2020 SWAC/MEAC Athletic Financial Review

In the fourth HBCU Money report on the SWAC/MEAC’s athletic finances, there has been one trend that is consistent – an acute amount of red on the balance sheet of each respective HBCU as it pertains to their athletic departments and it continues to grow redder and redder. Since HBCU Money first began reporting the SWAC/MEAC Athletic Financial Review, there have been losses of $128.6 million (2014-2015), $147.1 million (2016-2017), $150.7 million (2017-2018), and this year they continue their trend of the athletic black hole with losses over $161 million through athletics with no correction in sight. Not exactly the cash generating juggernauts that HBCU alumni have in mind when it comes to how deeply many believe that athletics can be the financial savior to HBCU financial prosperity. Instead, athletics seems to be potentially at the crux of many HBCU financial woes. Almost unfathomable is that many in the SWAC/MEAC have athletic budgets higher than their research budgets.

The harsh reality is that even with all the popularity buzz generated by Jackson State University’s head football coach, Deion Sanders, the factors working against HBCU athletics ever achieving real profitability remains a pipe dream at best. To land a major television contract, which is the only reason on mass that the SEC and Big 10 are the profitable athletic programs they are requires something that HBCU alumni bases severely lack. Large fan bases that have high incomes and an affluence. The harsh reality that HBCUs have small alumni bases, a reality that has been exacerbated post-desegregation where now HBCUs only get 9 percent of African Americans in college, combined with African America having both the lowest median income and wealth do not make for a recipe for advertisers to pay top dollar to television stations who would then healthily compensate HBCU institutions. HBCU athletics can be profitable, but it requires a completely different business model than our PWI counterparts. See, “The 5 Steps To HBCU Athletic Profitability”.

HBCU athletic revenues went down while expenses and subsidies went up in 2019-2020. That is usually a trend all would prefer be flipped. Students continue to bear the brunt of generating HBCU athletic revenues. This year’s review shows that approximately 73 percent of HBCU athletic revenues are generated through subsidies, up from 70 percent the year prior. Something to consider when 90 percent of HBCU students graduate with student loan debt.

REVENUES (in millions)

Total: $200.4 (down 1.2% from 2017-2018)

Median: $10.3 (down 4.6% from 2017-2018)

Average: $10.6  (up 5.0% from 2017-2018)

Highest revenue: Prairie View A&M University  $18.7 million

Lowest revenue: Coppin State University  $2.8 million

EXPENSES (in millions)

Total: $213.0 (up 0.5% from 2017-2018)

Median: $12.5 (up 15.7% from 2017-2018)

Average: $11.2 (up 5.7% from 2017-2018)

Highest expenses: Prairie View A&M University  $18.7 million

Lowest expenses: Mississippi Valley State University  $3.9 million

SUBSIDY

Total: $148.4 (up 4.9% from 2017-2018)

Median: $6.4 (down 18.4% from 2017-2018)

Average: $7.1 (unchanged from 2017-2018)

Highest subsidy: Prairie View A&M University $15.5 million

Lowest subsidy: Coppin State University $1.7 million

Highest % of revenues: Delaware State University: 92.0%

Lowest % of revenues: Florida A&M University: 37.0%

PROFIT/LOSS (W/ SUBSIDY)

Total: $-12.7 million (down 40.0% from 2017-2018)

Median: $0 (up 100.0% from 2017-2018)

Average: $-666,295 (down 46.3% from 2017-2018)

Highest profit/loss: North Carolina A&T State University  $615,094

Lowest profit/loss: North Carolina Central University  $-6,264,082

PROFIT/LOSS (W/O SUBSIDY)

Total: $-161.0 million (down 6.8% from 2017-2018)

Median: $-9.8 million (down 40.0% from 2017-2018)

Average: $-8.5 million (down 13.3% from 2017-2018)

Highest profit/loss: Mississippi Valley State University  $-2,177,123

Lowest profit/loss: Prairie View A&M University  $-15,417,471

CONCLUSION: At current, it would take an approximately $4.3 billion endowment dedicated to athletics to ween the SWAC/MEAC off of these subsidies onto a sustainable path. A sum greater than all HBCU endowments combined. Perhaps through merchandise sales, Jackson State could see its way to profitability without subsidies. Perhaps, but as former HBCU alumnus and NFL Hall of Famer Shannon Sharpe recently said, “There is only one Deion Sanders”. One thing is for certain, HBCUs have not done a proper cost-benefit analysis for the money they spend and subsidize to their athletic departments nor have they explored potential alternative models.

Editor’s Note: Howard and Bethune-Cookman are excluded in this report because they are private institutions and their athletic finances were not included in this report.

Source: USA Today

Jackson State University Alumnus & Former NFL Player Turns HBCUpreneur/Chefpreneur

“Cooking is not just about ingredients, recipes, and cooking. It’s about harnessing imagination, empowerment, and creativity.” – Guy Fieri

The road to success rarely takes the path we have drawn up for ourselves. Along the way as we are pursuing our success we start to learn more things about ourselves. We may realize what we thought was our passion really is not and something we have tinkered with actually is the thing that truly brings heat to our kitchen. Enter, Tobias Dorzon, a Jackson State University alumnus, who spent multiple years in both the NFL and CFL, but whose true calling had been more or less a mere hobby.

In a recent interview with CNBC, Tobias Dorzon reveals how he hung up the cleats, picked up the apron, and became a culinary superstar –  actually the latter following in the footsteps of his father. He tells CNBC, “Cooking was something I always loved. But it wasn’t until I ventured off and stopped playing (sports) that I realized I loved it more than football.”

Now, Dorzon is the owner of Victory Chefs, a catering company started in 2014, and Victory Truck, a food truck venture which launched January 2018 and tackles the streets and stomachs of Washington D.C. The food truck and catering company are a launching pad for Dorzon to one day open a full-service restaurant as word travels throughout the D.C./Maryland/Virginia area of he and his teams exquisite cuisine.

HBCU Money reached out to Mr. Dorzon and Victory Chefs, inquiring how his time at Jackson State helped prepare him, “Being the unofficial team chef while I played ball was my first segue into preparing meals for athletes. We were a family on and off the field, and me being able to feed my brothers the home cooking that they were used to from back home was a great feeling!”

This is a prime opportunity to connect the work that agricultural HBCUs also known as the 1890s do with African American farmers and farms and connect them with the end users like Chef Dorzon, all while creating research opportunities for the institutions themselves. It also bodes for an argument, that an HBCU culinary school should be formed to diversify, hone, and explore the interest of many African Americans who may want the HBCU experience, but have a non-academic interest. There is lot to bite off and chew in the possibilities of connecting our ecosystem, but with stories like Chef Dorzon’s, we expect it will be an amazing meal that we can all enjoy.

Visit The Victory Chef team at https://www.thevictorychefs.com/

You can also find them on Instagram: @kingcheftd & @thevictorytruck

 

HBCU Money™ Presents: 2013’s HBCU Alumni NFL Players’ & Salaries

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The top earning HBCU NFL player is Alabama A&M’s Robert Mathis (pictured above)

HBCU Money™ FACTS:

  • NFL teams spent $3.5 billion of 2013’s $4 billion available.
  • HBCU NFL players combine for $59.2 million in salaries or 1.7 percent of salaries spent. Estimated take home after taxes and agent/lawyer fees is $29. 6 million.
  • Hampton University leads the way with 4 NFL players.
  • 19 HBCUs are represented in the NFL.
  • SWAC/MEAC conferences both have 6 schools represented.
  • HBCU NFL players represent approximately 1.7 percent of roster positions available.
  • Average salary for HBCU NFL players is $2.1 million. In 2011, the average NFL salary was $1.9 million according to Bloomberg Businessweek.
  • Median salary for HBCU NFL players is $895 000. In 2011, the median NFL salary was $777 000 according to Bloomberg Businessweek.
  1. Robert Mathis – DE – Indianapolis Colts – $10 750 000
    (Alabama A&M)

  2. Kendall Langford – DE – St. Louis Rams – $6 000 000
    (Hampton)

  3. Antoine Bethea – S – Indianapolis Colts – $5 750 000
    (Howard)

  4. Jacoby Jones – WR – Baltimore Ravens – $4 900 000
    (Lane)

  5. Dimitri Patterson – CB – Miami Dolphins – $4 600 000
    (Tuskegee)

  6. Greg Toler – CB – Indianapolis Colts – $4 333 333
    (St. Paul’s)

  7. D. Rodgers-Cromartie – CB – Denver Broncos – $2 900 000
    (Tennessee State)

  8. Sammie Hill – DT – Tennessee Titans – $2 766 666
    (Stillman)

  9. Jason Hatcher – DT – Dallas Cowboys – $2 600 000
    (Grambling State)

  10. William Hayes – DE – St. Louis Rams – $2 050 000
    (Winston-Salem State)

  11. Junior Galette – OLB – New Orleans Saints – $1 700 000
    (Stillman)

  12. Eric Weems – WR – Chicago Bears – $1 415 000
    (Bethune-Cookman)

  13. Chris Baker – NT – Washington Redskins – $1 323 000
    (Hampton)

  14. Justin Durant – LB – Dallas Cowboys – $950 000
    (Hampton)

  15. Tavaris Jackson – QB – Seattle Seahawks – $840 000
    (Alabama State)

  16. Kenrick Ellis – DT – New York Jets – $707 500
    (Hampton)

  17. Don Carey – S – Detroit Lions – $680 000
    (Norfolk State)

  18. Phillip Adams – CB – Oakland Raiders – $630 000
    (South Carolina State)

  19. Terron Armstead – T – New Orleans Saints – $559 359
    (Arkansas Pine-Bluff)

  20. Rafael Bush – S – New Orleans Saints – $555 000
    (South Carolina State)

  21. Rashean Mathis – DB – Detroit Lions – $555 000
    (Bethune-Cookman)

  22. Joe Anderson – WR – Chicago Bears – $480 000
    (Texas Southern)

  23. Anthony Levine – S – Baltimore Ravens – $480 000
    (Tennessee State)

  24. Larry Donnell – TE – New York Giants – $405 000
    (Grambling State)

  25. Marquette King – P – Oakland Raiders – $405 000
    (Fort Valley State)

  26. Kevin Elliot – WR – Buffalo Bills – $303 000
    (Florida A&M)

  27. Adrian Hamilton – OLB – Baltimore Ravens – $303 000
    (Prairie View A&M)

  28. Saeed Lee – CB – Atlanta Falcons – $288 000
    (Alabama State)

Sources: NFL.com, The Guardian, Spotrac