Wealthy donors are fueling a boom in gifts to major-college sports programs, with the biggest athletics departments reporting a total of more than $1-billion in donations last year, according to a survey released this week by the Council for Aid to Education. It’s the third time in the past four years that sports gifts have topped $1-billion.
Texas A&M University collected $93.6-million in 2014, nearly twice as much as any institution that responded to the survey. Much of that money will go toward a renovation of its football stadium, according to a university spokesman. The University of Michigan was next, with $54.6-million in athletics gifts.
The figures, which come from the council’s annual “Voluntary Support of Education” survey, count deferred gifts and contributions received during the academic fiscal year. Nearly 400 colleges provided information about their athletics donations. In recent years roughly the same number of institutions have reported those figures, which are an optional question on the survey.
During 2014 those colleges raised a collective $1.26-billion for sports, the largest one-year haul in the past 10 years of the survey. Texas A&M’s share was the second-biggest one-year total in the survey’s recent history. In 2013 the University of Oregon brought in nearly $133-million for sports.
The wealthiest programs accounted for the vast majority of contributions. Last year the top 20 athletics departments reported collective donations of more than $700-million—more than half of the $1.26-billion raised.
That money will help cover large capital expenditures and fast-rising coaching salaries, say athletic directors at several big colleges. In some programs the dollars will go toward endowments to offset increasing scholarship costs.
“A lot of the facilities we compete in were built with state dollars, and that will rarely happen anymore,” said Greg Byrne, vice president for athletics at the University of Arizona. “Many of us have had to look ourselves in the mirror as our infrastructure has needed replacing, and realize that philanthropic gifts are going to be the only way to solve that issue.”
Influence of Wealth
Over the past decade, athletics programs have seen a sharp increase in philanthropic support. Last year athletics departments brought in about twice as much as they did in 2004, according to figures the council provided to The Chronicle.
The share of big gifts continues to rise. In 2004, 19 colleges said they brought in $10-million or more for athletics. Last year 38 did.
During the past two years, donors at Texas A&M have contributed more than $230-million in cash and pledges toward the renovation of Kyle Field, said Skip Wagner, president of the university’s 12th Man Foundation. Donors have given $30-million more toward other athletics projects, he said.
The increases have come as colleges have experienced a record rise in giving over all. Athletics fund raisers say the wealthiest boosters have led the way, with many opening their wallets for luxury suites, practice facilities, and endowed chairs.
The average fan, whose wallet isn’t as fat, has also anted up. Many of the biggest athletics programs require fans to pay thousands of dollars a year in “seat-license fees” before they qualify to purchase tickets. As anyone who wants to get in the gate will tell you, the more you give, the better your seats.
The University of Texas at Austin, whose football stadium seats more than 100,000, has been among the biggest beneficiaries of the boom. From 2004 to 2014 it brought in more than $300-million in athletics donations, according to figures the university provided to the council.
Donors at the University of Virginia have helped it post some of the steadiest numbers. From 2004 to 2011 the university raised more than $20-million every year, topping $30-million on three occasions (the council’s records did not include figures for the university from the past three years).
In recent years Texas Christian University has made the biggest strides. In 2008 it brought in $7.2-million. Last year it collected $38.8-million.
Since 2012 Texas Christian has raised more than $120-million for sports, much of it directed toward the renovation of its football stadium. The university has also raised money to renovate its basketball arena, and has made facility improvements in baseball, soccer, and other sports.
Chris Del Conte, the university’s athletic director since 2009, said his goal is to exceed his fund-raising numbers every year, part of Texas Christian’s vision for establishing itself as an elite program.
“We want to win championships in all of our sports,” he said. “The leadership from our chancellor and board have been phenomenal, and our donors have really embraced what we’re doing.”
Mr. Del Conte, a former fund raiser himself, said that raising money is the first topic of conversation at many meetings he attends. He said he generally asks for a donation from prospective donors within a few visits of meeting them.
“I don’t waste a lot of time cultivating,” he said. “You can only be successful if you ask.”
Mr. Byrne, who got his start in fund raising, keeps a picture of himself with his father, a former Texas A&M athletic director, in his office at Arizona. In the photograph, taken in the mid-1970s, the two are participating in a walk-a-thon at the University of New Mexico, where his dad worked at the time.
Among other things, the photo is a reminder of the importance of raising money, particularly as the athletics business has evolved.
“When our basketball arena opened, in 1973, it was built with assistance from the state,” said Mr. Byrne, referring to the McKale Center, which recently underwent a $30-million renovation. “Now, if you want to build or renovate or make improvements, more of it has to be done through fund raising.”
Brad Wolverton is a senior writer who covers college sports. Follow him on Twitter @bradwolverton.
Sandhya Kambhampati is a database reporter who analyzes and writes about higher-education numbers. Want to talk about data? Tweet @sandhya__k, or write to her at Sandhya@chronicle.com.