Thanks to the generosity and hard work of Wildcat fans, donors, coaches and staff, K-State Athletics, Inc., produced a balanced budget in FY 2017 and achieved a surplus for the eighth consecutive year while also setting a new record through the Ahearn Fund annual giving program.
The department’s budget surplus reflects the commitment of the K-State Nation through ticket sales and annual giving in addition to support from the Big 12 Conference and K-State’s strong partnerships with sponsors. Though the annual audit is not yet com
plete, operating revenue is expected to exceed operating expense. This positive result, required by bond covenants, along with those of prior years, has helped the department aggressively invest back into all 450-plus Wildcat student-athletes in a fiscally responsible manner.
Overall cash gifts to the department in FY 2017 totaled $28.2 million, of which a record $18.4 million was designated for the Ahearn Fund annual giving program which surpassed its budgeted goal. K-State Athletics remains one of just a few dozen universities nationwide, and the only institution in Kansas, to operate without use of state tax or university tuition dollars. Direct and indirect university support of athletics was 6.1 percent of the KSA budget in FY10. In FY16 it became zero.
“In the short time I have been at K-State, it has become very clear that Wildcat Nation is one of the most dedicated and supportive fan bases in the country,” said Athletics Director Gene Taylor. “We are very appreciative of how K-Staters fill stadiums and arenas week in and week out in addition to continued record participation in the Ahearn Fund which is a reflection of not only our great fans but also the tremendous staff in place here at K-State. Providing our coaches and student-athletes with the necessary resources to compete for and win Big 12 Championships will remain a top priority for us as a department, and we look forward to an exciting 2017-18 season.”
In addition, Taylor also announced that the K-State Athletics, Inc., Board of Directors has approved the department’s FY18 budget of $73.4 million, a $700,000 increase over the previous year’s budget.
The department’s largest revenue sources will again be the combined ticket purchases and contributions from loyal fans and Ahearn Fund donors, targeted at $34 million, in addition to approximately $30 million in projected Big 12/NCAA revenue shares. While Big 12 revenues have nearly tripled since 2009, the grass-roots participation and dedication of Wildcat fans and donors remains the largest source of support for K-State student-athletes. And, direct and indirect university support of athletics was 6.1 percent of the department’s budget in FY10 and will be zero for the third straight year.
On the expense side, KSA will again increase its student-athlete support line (up $1.7 million from FY14), along with an increase of approximately $1.2 million in operating/recruiting costs and $100,000 in scholarship costs as the department enters into the third year of providing “full cost of attendance.”
K-State’s annual debt service payment will slightly decline this year both in dollar amount and percentage of budget, while the “Administration” line item for FY18 will be about $3.9 million. K-State Athletics’ annual institutional support fee, which KSA pays to the University to help provide administrative support, will increase to $584,480 in FY18.