CHAMPAIGN, Ill.– During his annual media roundtable on June 20, University of Illinois Director of Athletics Josh Whitman announced that the Division of Intercollegiate Athletics (DIA) intends to phase out its receipt of the Athletic Facilities Student Fee over the coming years, resulting in the fee's elimination from DIA's budget.
After originally being instituted several decades ago, DIA has continued to receive proceeds from the University's General Fee for expenses related to the improvement and upkeep of Memorial Stadium. The Athletic Facilities Fee, currently valued at $34.63 of the $313 General Fee assessed to students each semester, generates approximately $3.44 million in revenue for DIA each year. Although final FY24 figures are still being tabulated, revenues from this student fee are expected to represent less than 2% of DIA's total revenues, which will again be at record levels this year. With this change, all of DIA’s operating expenses will be paid from self-supporting revenue sources, including media distributions, gate receipts and premium seating, sponsorships and licensing, and philanthropic giving.
“Our staff has worked diligently to put the athletic program on strong financial footing, but change across our industry is accelerating," said Whitman. "As a result of the pending legal settlement that has been well publicized, we are preparing for the opportunity for DIA to invest meaningful resources directly into the pockets of our student-athletes. Although the use of the student fee is compartmentalized for facilities, we want to avoid any suggestion that our student body is underwriting more expansive economic benefits for their fellow students. With so much about our financial model being reimagined, now is the right time to make this change."
Over the coming months, DIA will work with University administration and the Student Fee Advisory Committee to finalize details related to the planned phase-out of these revenues for DIA and how the fee will be reallocated for other University priorities to support all students.
After originally being instituted several decades ago, DIA has continued to receive proceeds from the University's General Fee for expenses related to the improvement and upkeep of Memorial Stadium. The Athletic Facilities Fee, currently valued at $34.63 of the $313 General Fee assessed to students each semester, generates approximately $3.44 million in revenue for DIA each year. Although final FY24 figures are still being tabulated, revenues from this student fee are expected to represent less than 2% of DIA's total revenues, which will again be at record levels this year. With this change, all of DIA’s operating expenses will be paid from self-supporting revenue sources, including media distributions, gate receipts and premium seating, sponsorships and licensing, and philanthropic giving.
“Our staff has worked diligently to put the athletic program on strong financial footing, but change across our industry is accelerating," said Whitman. "As a result of the pending legal settlement that has been well publicized, we are preparing for the opportunity for DIA to invest meaningful resources directly into the pockets of our student-athletes. Although the use of the student fee is compartmentalized for facilities, we want to avoid any suggestion that our student body is underwriting more expansive economic benefits for their fellow students. With so much about our financial model being reimagined, now is the right time to make this change."
Over the coming months, DIA will work with University administration and the Student Fee Advisory Committee to finalize details related to the planned phase-out of these revenues for DIA and how the fee will be reallocated for other University priorities to support all students.
