The University of Hawaii Board of Regents is expected to ask the governor and Legislature for help in funding benefits for 30 athletic department employees as a way to help reduce the department’s deficit by $1.5 million in 2020 and 2021.
The regents’ Committee on Budget and Finance on Thursday gave unanimous approval to the proposal, which will go to the full board and, when approved, to the governor and Legislature for consideration as part of the university’s overall $27 million fiscal biennium operating budget request.
Three years ago athletic director David Matlin gave regents a plan to deliver a balanced budget by 2020.
When the audit for fiscal year 2018, which ended June 30, is concluded, it is projected to reflect a deficit of $2.1 million-$2.2 million, officials have said, marking the seventh consecutive deficit year. The current fiscal year is also expected to operate at a deficit.
Most Division I athletic programs historically run at deficits, according to studies compiled by the NCAA.
UH said the request is not for additional athletic department hires but would shift the estimated $1.5 million cost of paying existing employee benefits from the department to the state. They are administration, staff and some coaching positions, UH said.
In recent years the UH administration and regents have sought ways to help the department, which operates 21 teams, and receives less outside support than most of the schools it competes against in the Mountain West and Big West conferences.
The university has picked up a larger share of scholarship costs and the Legislature has appropriated $3 million — $2.7 million of which goes to Manoa and $300,000 to Hilo — for athletics.
But the $3 million, which had been built into the base budget for three years, will no longer be recurring after the current fiscal year unless the Legislature reinstates it.
BALANCING THE CHECKBOOK
UH athletic deptartment deficits
FISCAL YEAR AMOUNT
2018 $2.1 -$2.2M*
2017 $1.7M
2016 $3.2M
2015 $4.2M
2014 $1.9M
2013 $3.3M
2012 $2.2M
* — Projections pending audit.
Source: UH
