The UH Athletic Department's Deficit was cut be $1 million in FY2010

HSA Note: "An independent auditor's report listed a $1,612,417 deficit on spending of $29.6 million for fiscal year 2010, which closed June 30, down from $2,632,408 in 2009."


About projecting a deficit of about $800k in FY2011, JD added:
"We believe we can be in the black for (fiscal year 2012) short of any major shock and what happens with the conference situation." (HSA)


HSA Note: "The accumulated net deficit, built up over nine years, is $9,584,181, which Donovan pledged to begin paying down when the department gets in the black.  UH has operated at a deficit for eight of the past nine years through three athletic administrations. The lone year in the black, fiscal year 2008, was due to a $4.4 million Sugar Bowl payout and resulted in a $295,243 surplus."


About the reduced deficit, the audit report by Accuity LLP said:
"Management is making progress in the areas of cost containment and revenue enhancement in order to reduce the department's dependence on fiscal support from other university units.  However, as the goal of the department is to run a quality program in compliance with Title IX, cost containment will continue to be a challenge." (HSA)


JD said that the deficit was cut:
"without cutting services directly tied to our student-athletes such as trainers, academic counselors, coaches etc." (HSA)


JD said that the areas they cut were in:
"administration, sports information, ticket office and others, which will leave us in a much better competitive situation over the next five years than if we had cut (from) sports directly." (HSA)


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