The 2017 tournament is expected to generate the following payouts, which total $211 million:
*** Each conference will receive roughly $1.6 million, regardless of the number of participants or games played.
*** Each game played, which the NCAA defines as a unit, is worth $264,859 to the participating team’s conference. (There is no additional payment for winning the championship game.)
If UCLA were to reach the Elite Eight, for example, the Bruins would generate four units for the Pac-12 — or $1,059,436.
But that’s not a one-time windfall. The units earned for each conference are tallied up and distributed over a rolling, six-year basis.
So UCLA’s hypothetical $1.059 million earned this month would be sent to the Pac-12 every year for six years — along with the dollar-value of the units earned by all the conference’s other participants.
In other words, it pays to have a high number of teams in the tournament and to have a few of them make deep runs. -- jon wilner
SERIOUS CASE OF THE RUNS
(This post was last modified: 03-13-2017 01:26 PM by green.)
Each and every ACC team just got almost $1 million over the next 6 years just by virtue of getting 9 teams into the tournament. Should they proceed to win a combination of 18 more games or so, that would be an extra $3 million per team (about $500K per year). That's probably what the final number will look like. Of course, last year was very similar, so add them together for the next 5 years...
Essentially, the ACC can make up the difference between the Orange Bowl and Sugar Bowl payouts by continuing to win in basketball.
I'm trying to use past articles from Chris Smith at Forbes to come up with the recent payouts per unit. There seems to be contradictions in some of these articles, so I'm focusing mainly on where he lists the previous years payouts because that is probably more accurate than where he predicts the current and following year's payouts. However, in the most recent article, he doesn't mention last year's payout (2015-16), so I'm going with what he listed in the March 17, 2016 article. Also, I can't figure out 2014-15 payout based on these articles. I'm guessing it is in the $255,000 area, but the March 20, 2015 article seems to be off a little.
I haven't heard much talk about it, but with the recent $8.8 billion eight year extension to the NCAA tournament TV deal with CBS and Turner, the NCAA is making some revisions to its revenue distribution formula. It will be decreasing the emphasis on the Basketball Fund and adding a new academic distribution based upon meeting graduation rate and APR targets. http://www.ncaa.org/about/resources/medi...-academics
From the chart I calculate future per unit revenues from the Basketball Fund to be as follows:
Despite the reduction to the Basketball Fund, which the P5 conference earn the lion's share of, I am quite confident that the P5 conferences have done the math and believe that they will benefit under the new arrangement.
(03-17-2017 08:43 AM)Lenvillecards Wrote: 18 credits x $255,379 (5 year medium) would net each ACC team about $1.5 million per year over 5 years.
The NCAA is paying out around $35.5 million in credits this year using the higher number. How much are they making on the tv contract?
The current contract is $770 million/year. The Basketball Fund for this year is $210 million, but the NCAA distributes money on a number of other bases, including the Sports Sponsorship Fund and the Grant-in-Aid Fund. http://www.ncaa.org/about/resources/fina...tributions
They also pay for all travel expenses for teams participating in NCAA championship events.
(This post was last modified: 03-17-2017 01:01 PM by orangefan.)
(03-18-2017 02:23 PM)Hokie Mark Wrote: According to Matt Sarzniak's blog, here are the NCAA units so far by conference:
ACC 15 B1G 12
Big XII 11
Big East 10
Pac-12 9 SEC 9
Atlantic 10 4
WCC 4
American 3
Big West 2
C-USA 2
MVC 2
NEC 2
Matt's numbers are accurate. I will post a spreadsheet with the final numbers after next weekend, with a calculation of next year's payouts by conference from the Basketball Fund.
(03-18-2017 02:23 PM)Hokie Mark Wrote: According to Matt Sarzniak's blog, here are the NCAA units so far by conference:
ACC 15 B1G 12
Big XII 11
Big East 10
Pac-12 9 SEC 9
Atlantic 10 4
WCC 4
American 3
Big West 2
C-USA 2
MVC 2
NEC 2
Matt's numbers are accurate. I will post a spreadsheet with the final numbers after next weekend, with a calculation of next year's payouts by conference from the Basketball Fund.
Attached is my estimate of the conference payouts for 2018 from the NCAA Basketball Fund based upon the results of the last six NCAA tournaments. I've included an "adjusted" tab to reassign the units earned by the C7 and Notre Dame that they were able to take with them when they left the old Big East. I've also included a "pro forma" tab to show what the conference payouts would be based on current conference membership.