As the Univ. of California's Memorial Stadium finishes up $321M in renovations, a projected $270M from the sale of seats has "failed to materialize” after three years of fundraising, according to Rachel Bachman of the WALL STREET JOURNAL. At the end of December, the school had collected only $31M from long-term seat sales. University officials have acknowledged that “if revenue projections fall short and won't cover the bond payments, the shortfall ‘would have to come from campus.’” The stadium project "never raised many alarms" until now, even though the projected price tag “would make it one of the most expensive renovations in college sports history.” The university previously had pledged that the project “would be funded privately, largely through long-term seat sales and naming rights.” Cal Vice Chancellor for Admission & Finance John Wilton said the stadium project is "a fairly complex project and financing model that has many moving parts" that should be judged over the long term. Cal AD Sandy Barbour added, "We're not asleep at the wheel here.” Bachman noted the stadium situation “comes at a time of financial anxiety on campus” as the UC system has said that “annual tuition spikes could range from 8% to 16% over the next four years.” The renovated stadium is set to open in time for football on Sept. 1 and also includes $153M "for a new multisport training facility.” Cal officials have acknowledged that making debt payments “without help from outside the athletic department will likely require success on the field” (WALL STREET JOURNAL, 4/18).
