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Questions and Comments We've Received May 18, 2003 The discussion over intercollegiate athletics has touched a number of alumni and friends of Tulane. I appreciate Tulane allowing us to comment upon the issue. President Cowen's messages, the public meetings, and recent newspaper articles, all focus on the athletic department's deficit, the rising costs of intercollegiate athletics at the Division I level, and the commercialization of intercollegiate sports, as the Board's primary concerns. However, does that tact ignores the broader question of the University's overall fiscal health, rising costs in education and the commercialization of academics? The cost of running the athletic program, according to the University officials, as stated at a recent public briefing, is "about $20,000,000 with scholarship and the cost of the operation." In his public briefing, President Cowen stated that Tulane values the athletic scholarships at $7 million. If you deduct the value Tulane places on the scholarships, the athletic department's operating costs are about $13 million. The overall cost of the program, including the deficit, is about 2% of the University's budget. The assertion that costs of a Division I program are rising, sort of a China syndrome of costs, is true, but seems over emphasized. When Tulane increases its tuition well beyond the rate of inflation, the justification is that the University purchases a bundle of goods and services, which exceeds the rate of inflation. The rate of increase in tuition seems to far exceed the projected rate of increase in the costs for intercollegiate athletics. It seems the cost argument goes both ways depending on which side of the fence the University is on. If Tulane cannot afford to spend 2% of its budget on athletics, what is the financial position of the University? If the financial position of the University has been allowed to erode to the point where a 2% reduction in the budget will make or break Tulane, who should be accountable for the mismanagement? My sense is that it is unfair to single out the athletic department alone for financial mismanagement. Although, no one would argue that Tulane needs a sound financial footing. The rumor about the financial condition of the University is that Tulane has a chronic budget shortfall of $20 million because every school or college with the exception of the professional schools runs a deficit. With the demise of Division I athletics, the Board will, in essence, reward all of the schools and colleges that are running deficits. Assuming, the cost of running a Division III program is $3 million, the University can theoretically use the $10 million saved to subsidize the remaining $15 million deficit, but the University is still running a $15 million dollar deficit, subsidized or not, and Tulane is no closer to balancing its books. The notion that commercialization is a force that only affects intercollegiate athletics is not entirely complete. Universities, both public and private, have long since commercialized the academic side of universities. The constant drumbeat for more research dollars and other forms of financial support to boost faculty salaries, build state-of-the-art facilities, etc. is no different from what is occurring in intercollegiate athletics. For example, Tulane's commercial business strategy, which is not uncommon in higher education, seems to be to use its overall financial aid packages to "buy" SAT points. One can assume that the purpose of this strategy is to improve the University's average SAT scores, under the belief that an increase in the average SAT score will improve the rankings of the school, which in turn will translate into increased federal and private foundation research dollars and better students. However, given the rumored $15 million deficit that the academic units are running, is this strategy of tuition discounting working? Could attracting students become even more difficult with the elimination of Division I athletics? More importantly what impact would the elimination of Division I athletics have on the students who are paying at or near Tulane's full "sticker price?" Given the free market concept of choice, would these full tuition paying students opt go to another similar school with Division I athletic program charging the same tuition, e.g., Vanderbilt, SMU, etc., exacerbating Tulane financial problems? Would elimination of Division I athletics create a brand awareness problem with college bound students dooming the commercial strategy of "buying" SAT points? What impact would the elimination of Division I athletics have on fundraising? What impact will the elimination of athletics have on Tulane's public reputation and Tulane's rankings? Has Tulane become so concerned about money that Tulane is becoming more like the commercialized bottom line for-profit University of Phoenix? Does the University have an historic chance to do the "right thing," and to take a national leadership role in the debate over the right model for Division I schools? If Tulane eliminates Division I athletics, will Tulane have a "place at the table" to discuss intercollegiate athletics at a national level? By eliminating Division I athletics, does this signal an end to Tulane's quest to become a prominent university? Would the University be willing to share the answers to these questions with its stakeholders? Given the uncertain economy, Tulane's current financial position, and current business strategy, the question is not the shortsighted view of eliminating Division I athletics and failing to eliminate the University's historic and chronic budget shortfalls, but rather how to create a new long term business strategy that leverages Tulane's unique assets, including Division I athletics, to build a solid financial base to propel the University forward. Again, I appreciate being given the opportunity to comment. ***** The Board has to do the right thing. Keep Tulane moving ahead as a University. As much as I love Tulane athletics, no businessman in his right mind would continue to sustain such losses--both real losses and opportunity costs. Go DIII, don't compromise. Make Tulane a great educational institution. I'll give more money tothe annual fund if you do the right thing--DIII ***** I am shocked and dismayed by University misguidance in handling the issue of participation in intercollegiate athletics. Every ten or so years we revisit the issue of whether Tulane will continue its participation in athletics at the current level. Each time this occurs, we take gas in the press and in the recruiting arena. This issue has to be settled now, or the erosion of our support base and the quality of recruits will be fatal. We have at this time achieved an unprecedented standard in the quality of our student athletes, and across the board success of our athletic teams. We are the envy of the academic collegiate institutions in the USA. We have obtained donations to endow a large number of athletic scholarships over several years. The endowment fund from these scholarships should be significant. If not, the management of this endowment should be an issue involving the Administration, not the athletic program. The requirements for equal women scholarships have to be addressed at another level, the NCAA. At the same time the University should demand funding of these scholarships in the same manner that men's scholarships have been funded. And that should not be too difficult, since women live longer and control a greater amount of the wealth. The student-athlete brings diversity to the University at a time when affirmative action is under attack, and provides balance to academic focus within the student body. The tuition for these student athletes was previously not charged directly to the Athletic Department, and should not in the future. The national recognition and the free publicity of Tulane University athletic team achievements must not be overlooked. Our ability to recruit students and to raise contributions would be seriously impacted in the event these teams disappear from the national intercollegiate arena. I should like to close with a personal note. I have contributed to the University for a number of years. I have this year pledged to continue my current contribution for five years. I have maintained season tickets for all major sports, and currently have football season tickets and will add another baseball season ticket. Lest there be no misunderstanding, I want to state that I will terminate all financial support for the University in the future, if intercollegiate participation is changed or terminated. That includes legacies from my estate, which is dedicated to education. Tulane has to recognize and understand its identity as a private non-sectarian institution, and the importance of its relevant components. Tulane has to insure that its Board is clearly focused on its role. Tulane has to stand up to the voices of dissent from the Faculty, which contributes little or nothing to its financial requirements (heaven forbid, maybe its time that the issue of tenure be revisited). Tulane has to direct its Administration to manage finances efficiently (and employ endowed scholarship funds which are often left unused). Tulane has to obtain continuing financial support from all its Alumni (not just the Greenwave Club and the Associates). Hoping that leadership and common sense prevail, ***** Dr. Cowen, In your recent public briefings, second [it should have been first] on your list of the primary issues for all major universities was "...BCS alliance: division between haves and have-nots." This, in my opinion, is at the heart of the discussion on intercollegiate athletics at Tulane. With the recent vote to expand the already financially secure ACC, the landscape of Division IA is about to change drastically. Tulane must take a proactive position in the discussions and events that ensue. This may be our last best chance to become a part of a financially lucrative BCS alliance. For example, entrance into a revamped Big East with comparable academic institutions such as Notre Dame and Virginia Tech would suit our needs academically as well as alleviate many of our financial woes. And,this type of scenario is doable if our leaders think positively and solicit the support of our local as well as oft-maligned 'northeastern' alumni and parents. I have increased my TAF contribution significantly, committed to five years of increased giving and purchase season tickets in all major sports. I proudly fly a Tulane banner at my home and will do anything possible for the university that I love. It is time for us to proactively move forward with a positive plan. Division IA is the only alternative and we have the coaches, athletes and administrators to take us into a beneficial and financially secure BCS situation. Roll Wave!! ***** As a Tulane alum and member of the faculty, I believe that Tulane should maintain its Division I status and that it would be a mistake to change the current structure. Tulane is an example of how a university should blend academics and athletics ˆin short, we do it right. Tulane is an example to other schools of how to run an athletic program. Additionally, I believe that for undergraduate recruitment not having Division I football will make Tulane less attractive to many high school students. Further, from a public relations perspective, I think Tulane would be perceived as an institution that is in decline and suffering from extreme financial pressures, which in turn could affect our rankings, and then a decline in rankings really would translate into reduced funding. From a diversity perspective, athletes add a different dimension to Tulane, just as much as other factors, such as a student‚s home state, etc. The ability of the students and alumni to find a common place to interact with one another is often at athletic events. Tulane, which has a lower rate of alumni giving than its peers, may find itself with even a lower rate of alumni giving if Division I athletics is eliminated. I would hope the Board would consider a capital campaign for the athletic program to make it financially secure. ***** To generate more excitement at football or basketball games and other events, the Green Wave needs a marching band. It doesn't need to be like LSU's (thank goodness!) but something on the order of Rice's MOB or Stanford---a fun, raucous group. Pep things up! ***** Did any of you attend Thursday nights Baseball game vs. East Carolina? If you did, you saw the tremendous fan support the Tulane community gives to a very successful program. The fans , about 2500 for a week night Baseball game, was almost able to will the Green Wave to a victory on a night when the play was less than good. Does this say anything to you? A winning program in the right atmosphere will attract fans, very loyal fans. Remember Fogelman from 1990-91 thru 1996-97? The place was packed every time the Wave took the floor. Very loyal students and fans supporting a good but not even great program. It is a shame that just as it looks like the Football and the men's Basketball programs are starting to flourish to match the other successful sports ( women's Basketball, Baseball, men's and women's Tennis, Golf ) that have participated in NCAA playoff action, the university seems to want to pull the rug out from under them. Even if the Board decides to stay Division 1A the harm that has been done to recruiting will take time to overcome. Tulane U. can be successful in D1 sports. All the pieces are in place except for the financial piece. Given the time and a solid commitment from the University I am firmly convinced that Rick Dickson can make it work. The fan base certainly needs to grow but to do that the programs have to be successful and the University has to commit to the programs. To talk on a periodic basis of dropping down in class or eliminating sports all together sends a message to the community that the University does not really care so why should they. In closing let me say that I am not a Tulane alum. I saw my 1st Tulane football game at the age of 8 in 1958. Since then I have not missed more that a couple of dozen games and that was when I was away in school. I have been to all but about 10 home Basketball games since the program was reinstated in 1989-90. I pay full price for tickets at every home game. I am a Baseball season ticket holder. I will be a season ticket holder for Football and Basketball as soon as possible. I have always been and continue to be a very passionate fan, however if the school does not compete at the level they are now in ALL SPORTS, that is Division 1A, I will not spend a dime to see them play. I will spend my sports dollar at my school, Southeaster La University, who does play D1 sports and have made a commitment to be as good as possible in Football. KEEP THE GREEN WAVE DIVISION 1A AND ROLL WAVE. ***** Keep the current program to include Division I sports. ***** The person who wrote that Conference USA would become the next Big East has obviously not understood fully the issue of BCS Conferences etc. If Big East keeps at least six members, it will maintain BCS status no matter what. Also, Big East is probably not going to die, read the comments by the experts and rules of the BCS. Big East will likely take away Louisville, Cincinnati, and either Notre Dame or South Florida. If this happens, BIG EAST will not die, Conference USA will. All of the experts, analysts predict this to happen. Do you really think Louisville will stay in Conference USA hoping that they will be granted BCS status, when all they have to do is jump to the BIG EAST and have it guaranteed for them? Thus,this gives more reasons for Tulane to leave and jump ship either onto another conference or down to Division III with more comparable ACADEMIC schools like Emory. ACADEMICS, funny thing isn't it, isn't that what we all paid money to Tulane for. Well, some may argue that it's a combination of social and atmospheric amenities...but in principle, we all pay money to learn and to bid in the future for a better job. Don't forget that. Also, very few of our athletes, well, let's not even say our athletes, but CONFERENCE USA's athletes make it big and go onto the pros now. I was looking at the draft lists by conferences. And it amazed me how many more drafted athletes the big conferences (Big East, Big Ten, Big12, Pac10, SEC, ACC) had over Conference USA. Strange...I wonder why...? ***** My concern is that the Chairman of the Tulane Board has a conflict of interest in making this decision about Tulane Athletics. I refer to these two quotes from October 2002 and May 2003. John Koerner, October 2002, on Tulane needing an outdoor stadium: "We need a campus-like environment... The shade and greenery of City Park might fill that role... We have to see what kind of feedback we get from this game, and then we'd have to modernize Gormley. But I promise you, we could raise the money." John Koerner, May 2003, on Tulane's athletic deficit: "We're not going to eat that loss," said John Koerner, the chair of the board, about athletics' loss of money. "We've got to get that loss down. I don't care how we do it, whether it's sell more season tickets, whether it's eliminate the program, we are not going to project that loss. What happened between October 2002 and May 2003? In October 2002, Koerner is talking about raising money to redo Tad Gormley stadium and in May 2003, he's talking about ditching the whole program. Why? Tulane's financial situation did not change during that time. This change in perspective coincides with the Charlotte Hornets move to New Orleans. Of course, the big issue associated with that move was whether New Orleans could afford a pro team. John Koerner sure seemed to think New Orleans could. John Koerner served as Chairman of the New Orleans Business Council in 2002 and helped facilitate the Hornet's move to New Orleans. Obviously, Tulane now competes with the Charlotte Hornets for fans, tickets, TV time and press. Simply put, Tulane's home grown amateur basketball and football talent is taking a back-seat to multi-millionaire basketball players who could probably care less about New Orleans. Has Koerner tried to do same thing for Tulane Athletics, his alma mater? Did Mr. Koerner try to raise money for renovating Tad Gormley stadium, like he spoke of, or for the Tulane Athletics Fund? Has he tried to get the City of New Orleans to help market Tulane Athletics? To me, the Chairman of the Board, arguably the most powerful voice on the evaluation of Tulane Athletics, should not be someone who just helped bring a professional team into town; that is, a team this is eating up Tulane's fan base. In summary, there may be a conflict of interest here. In any event, Koerner's relationship with the New Orleans Hornets should be fully and completely disclosed to the Tulane community (the fans, alumni and students). If there is even the appearance of a conflict, he should recuse himself from voting on this issue. This is a common business ethics practice. ***** Interesting....I see that Miami's athletic department lost almost $1.5 million in 2002. I don't see them considering dropping to Div III. ***** Dr. Cowen, I for one am very concerned with the season ticket ultimatum the university has seen fit to issue to the people of New Orleans. Given our dismal attendance and fan base, it seems like selling 5,000 more season tickets is a virtual impossibility, a formality before packing our bags and heading for I-AA. It is obvious that Tulane athletics have reached a crossroads. Mediocrity seems to be the standard across the board for mens sports, and title 9 compliance has forced the university to do away with programs as fundamental to university athletics as mens track and field. This said, I do not see dropping to division I-AA as a reasonable solution. Lowering the level of comptetion will not increase attendance or ticket revenue, and it will certainly not make the New Orleans community renew its interest in Tulane athletics. I propose instead that we drop football altogether, and pour the money from this program into other sports, focusing our efforts and interest on basketball. CUSA is a competitive basketball conference and surely there are many people in New Orleans who would come to the New Orleans Arena to see a legitimate Tulane team take on national title contenders like Marquette and Louisville. I don't think this proposal is any less drastic than a move to I-AA. In fact, if the university did not send out an email, I think it would take the majority of the student body until at least Decemeber to notice the program was gone. ***** I wrote a while ago while still at school (I just finished my first year as a Newcomb student) about the future of Tulane sports, but given what has happened recently, feel the need to write again. What I feared by the inital, vague public letter you sent has been confirmed; that we could drop as far as DIII at the drop of a hat. I noticed my first letter was not included among the others on the website, which I feel is unfair, given that everyone's opinion should be accessible, but if you're not including all letters, I may as well feel uninhibited with this one as well. This is what I think should happen-Tulane sports, while in jeopardy, need a second chance. Buy us some time! This drastic change is being thrown at us too suddenly and unjustly. I feel the reasons that justify maintaining Div. 1A status outweigh those for dropping all the way down from highest to lowest division, however I can't ignore the reasons for wanting to drop. I just think a decision should wait. This threat to our sports is a good wake-up call to our lazy student fans to rally and support our teams more than we have been, and to take more pride in the teams, such as our tennis (m and w), basketball (m and w), baseball and football teams who have all earned it. If we can get past this late-May decision and remain D1, I feel we will be more motivated to improve and ultimately emerge victorious with more support and better teams (who are not bad as is.) Things look good for our baseball team, especially since the C-USA tournament is at home, where we have an outstanding record. But if we make it to Omaha again, you can bet morale will be down with the knowlege this is our last D1 season (which we'd know the answer to by then.) I agree with others that sports help bring diversity, which is an asset. Our school is insanely whitewashed as it is; why make it even worse in such a racially tense university and city? Most of all, I think such a sudden decision is COMPLETELY unfair to our athletes who are not graduating this year. If I were a freshman athlete in 2002-03, or even an upperclassmen, having accepted my recruit to Tulane, I'd be furious at this time. Our athletes are, generally speaking, strong students and hard workers in class and in their respective sports. Doing this to them is a harsh blow. They appreciate the opportunity to play D1 and get a great education at the same time, and this is the thanks you'll give them? With strong sports and athletes who make good students, we should be proud of the current state of our athletics, with the motivation to get even better, instead of ruin the momentum. Just as we are an up and coming school (everyone knows our reputation has improved drastically in little time), we are up and coming as a sports program. Let's continue working our way up, instead of plummeting downward to the pathetic state of DIII. If you ultimately decide to move down to a lower division, I think, at the very least, you should postpone its effect and allow our current athletes to graduate first. I also think its rediculous that you feel (or pretend to feel) the advisory board are the only ones fit to make the decision; what about the overwhelming public majority against the decision? This is a David and Goliath situation. If the decision goes through, I will be terribly dissappointed in you and the university. Too bad, unlike our athletes, my GPA is way too low to transfer, that would be next to the last straw to send me on the road to another school. Wise up and stop claiming you're keeping the "best interest of the university" in mind. The best interest is not of the university as a whole, but those, like you, with money to lose. You're only representing the "best interest" of a small group, not the average student or alumni such as myself. ***** As a native New Orleanian and the proud father of an incoming freshmen at TU I believe I can offer a unique perspective on the role of Division 1 athletics at Tulane. Unfortunately, much of New Orleans views Tulane as primarily outsiders who have little connection with the community, Division One athletics help bridge the disconnect between Tulane and the community. I am a prime example, I am a graduate of UNO yet I hold season tickets to Tulane baseball and four season tickets to Tulane football. My connection with Tulane has grown by following Green Wave sports through the years and has now flowered with my son enrolled for the 2003-2004 school year. Although he is not an athlete he was attracted to Tulane by its combination of academics and athletics. Imagine the publicity created by our appearance in the World Series, the Liberty Bowl and the Aloha bowl, millions of dollars worth of free advertising. I beg you to keep TU in Division 1 and strengthen the bond between the Universtiy and its host community. |