The Wolverine: Covering University of Michigan Football and Sports
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E By John Borton ven a well-oiled machine requires someone to check the oil, fret over it, change it and keep it topped off. Otherwise, an unexpected stop along the highway looms. So don't advise U-M director of athletics David Brandon that he's on Easy Street these days. Sure, Michigan athletics hasn't seen any red ink since running a budget deficit in fiscal year 2001, at the end of a string of them. facility," Brandon cautioned. "People sometimes are wowed by numbers that feel big on the revenue side. I need people to be just as wowed by the cost associated with running an enterprise like this." Those costs have grown larger than an offensive lineman's eyes on pizza buffet night. Brandon insists he wants the Wolverines to compete for championships every year, in every sport. He wants to see the Wolverines bring home the Directors' Cup, em- Full Throttle Michigan Is Moving Ahead On Budget, Facilities And Plans Yes, the department's net assets stood at $386 million in June 2013, compared to $119 million in June 2002. And absolutely, Michigan athletics projects another healthy surplus — $8.9 million after $4.75 million is transferred to its deferred maintenance fund. The flip side is simple: Brandon sees significant outstanding debt, along with more than $325 million in hopedfor facilities projects in the pipeline. He also knows that in any given year, a budget surplus can be brushed away pretty quickly. "It's one thing to say that $9 million sounds like a large projected operating surplus, but it's also important to note that we're painting Michigan Stadium, and it costs $6 million to paint one blematic of dominance across a wide variety of athletic endeavors. He's looking to allow the Wolverines to compete in 31 varsity sports in venues that meet the Michigan standard he envisions. That costs money, and a lot of it. "I'll never stop worrying about the budget," Brandon assured. "To be a $146 million enterprise and to have a $9-million operating surplus projected, when $2.5 million of that comes from a hockey game that isn't going to get repeated [the NHL Winter Classic], in combination with an existing debt level of about $240 million, and capital projects that have been identified to the tune of about $325 million — resources will always be an issue." Here is a more detailed look at