The Univ. of California system is recommending that the UCLA pays sister school California $10M a year through 2029-30 "for leaving the Golden Bears to scramble for a new home" after UCLA's move to the Big Ten alongside USC "contributed to the dismantling of the Pac-12." The proposed subsidy, based on a projected $50M difference per year in revenue between the schools' athletic departments, is "at the high end" of the $2-10M annual payment that was discussed in December 2022. The recommendation is "expected to be discussed" at the BOR meeting May 14-16. A $10M annual payment on top of the amount UCLA has committed to spending to support its athletes -- as much as $10.32M a year -- could put UCLA "at a competitive disadvantage" against other Big Ten schools. UCLA has run up $167.7M in debt since the 2019 fiscal year, "one of the reasons the school sought an infusion of cash as part of its move to the Big Ten." Cal's athletic department is "facing dire financial challenges of its own," requiring a reported $30M in subsidies from the campus during the 2023 fiscal year to balance its budget (L.A. TIMES, 5/9).
