Sept. 8 (Bloomberg) -- The Louisiana State University athletics department has agreed to transfer $36 million to academic programs during the next five years and provide additional revenue-sharing funds to ease budget pressures.
The LSU Board of Supervisors yesterday approved the policy that calls for an initial annual transfer of $7.2 million to support academic, research, public service and other missions in order to share in the success of the athletics department, according to the Baton Rouge-based university’s website.
Under the revenue-sharing portion of the plan, the athletics department will put the first $3 million of a surplus in athletics reserve accounts. Three-fourths of any excess between $3 million and $5 million will go to athletics and the remainder to other parts of LSU. Any profit above $5 million will be split between athletics and the rest of the university.
In the past, the athletics department has transferred an additional $4 million to the campus and taken financial responsibility for the Academic Center for Student-Athletes at a cost of $1.5 million to help offset a shortage.
The policy doesn’t affect the equal split of revenue from LSU trademark licensing, nor does it affect tuition payments for student-athletes.
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