Acting University of Utah President Lorris Betz, left, and Pac-12 Commissioner Larry Scott hold up a Pac-12 Day jersey during Pac-12 Celebration Day at State Capitol in Salt Lake City, Friday, July 1, 2011. (Courtesy of Deseret News)
SALT LAKE CITY, Utah – The Pac-12 conference plans to use a “gigantic loan program” to “save cash-strapped sports departments” if the 2020 college football season is canceled, according to Jon Wilner of The news of Mercury.
On July 31, the conference announcement that his school would play a 10-game conference program just this fall.
If the season were to be canceled due to the coronavirus pandemic, Pac-12 schools would suffer significant financial losses without TV revenue and more.
Football programs generally represent the majority of revenue generated by sports departments.
If the season is canceled, the Pac-12 loan program would be “big enough to cover that loss for every school” within the conference.
Wilner’s report highlights that Utah’s football program has brought $ 66 million during fiscal year 2019. This amount was equivalent to two-thirds of all revenue generated by the Utes sports department.
According to The Mercury News, “the loan would provide a maximum of $ 83 million for each university at a rate of 3.75% over 10 years” and “if the 12 opted for the maximum amount, the total would be $ 996 million. “.
“The conference tries to be nimble and give schools options,” a source told Wilner. “All the loan capacity is used for things other than athletics. They try to get the basic (academic) programs through for the next three years without firing people. “
The first Pac-12 games are scheduled to begin on September 26. Part of the delayed schedule included postponing play for the Pac-12 title by two weeks from its originally scheduled date.
The University of Utah is scheduled to open its season in Washington state on September 26.