On Monday, the University of California, Los Angeles (UCLA) made headlines by terminating Athletic Director Martin Jarmond, a decision that reflects the financial turmoil plaguing the school's athletic department. Reports indicate that UCLA's athletic program is facing a significant financial crisis, with a staggering deficit of $21.5 million in 2025 and an even more alarming $51.9 million in 2024. Over the past five years, the department has accumulated over $200 million in debt, raising concerns about the sustainability of its operations.
Declining ticket sales have been cited as a contributing factor to this financial disaster, with many West Coast fans showing little interest in matchups against teams from the Midwest, such as Wisconsin and Nebraska. Additionally, the lack of donor contributions has exacerbated the situation, and increasing travel expenses have further strained the budget.
UCLA is not alone in this predicament, as other schools within power conferences are also grappling with financial difficulties. For instance, the University of Maryland departed the Atlantic Coast Conference (ACC) due to similar financial challenges. Although Maryland has managed to reduce its debt, its athletic department continues to operate at a loss of approximately $4 million to $5 million annually.
Arizona, another member of the Pac-12, faced significant financial struggles but managed to achieve a modest surplus of $400,000 for the 2024-25 fiscal year, marking a small victory amid widespread challenges. In contrast, Ohio State University reported expenditures of $292.7 million against revenues of $254.9 million in 2024, highlighting the financial strain even among traditionally successful programs.
Rutgers University presents a particularly grim case, having lost a staggering $516 million since joining the Big Ten Conference. The university has struggled not only financially but also in terms of competitive performance, raising questions about the long-term viability of its athletic programs.
The ACC is not immune to these financial woes either. The University of North Carolina (UNC) reported a $15 million operating deficit in 2024-25, forcing the school to dip into its emergency reserve funds for relief. North Carolina State University (NC State) experienced a similar fate, with expenses totaling $144 million in 2025-26 against just $126 million in revenue.
While Duke University managed to turn a profit in 2024, the margin was razor-thin, with revenues of $181.6 million barely outpacing expenses of $180.6 million. This trend raises concerns about the overall financial health of athletic departments across the board.
The ongoing financial struggles of these power conference schools underscore the complexities of college athletics, particularly as they grapple with rising costs and declining revenues. The reluctance of conferences to allow professional athletes to return to college sports is partly driven by fears that such a move would further inflate costs and exacerbate existing financial issues.
As the situation continues to evolve, it is clear that the current trajectory is unsustainable. Without effective solutions, the financial crises facing these athletic departments may ultimately lead to more drastic measures in the future.
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