Florida A&M athletics department's finances are in the green.
At Thursday's Board of Trustees committee and board meeting, FAMU Acting Athletics Director Michael Smith reported that the department is projected to have a fund balance of $1,020 for the 2023-2024 operating budget period.
Smith added that FAMU has ended the fiscal year with a balanced budget for the sixth consecutive year.
"For the 23-24 operating budget, we're projected to have a fund balance of $1,020," Smith told FAMU's Board of Trustees.
"For six years, we've brought in a balanced budget. So, we're very excited about the opportunity to do that. There was a lot of coordination between multiple stakeholders within the enterprise. So, it was not something we did alone.
"We did it with all of you. And we appreciate the support."
Smith's announcement comes after former FAMU Vice President and Director of Athletics Tiffani-Dawn Sykes reported a $817,000 budgetary deficit in January . Sykes departed from FAMU on Aug. 13.
Smith, a Rattlers football alumnus and longtime FAMU athletic administrator, serves as the HBCU's interim athletic director for the third time.
Smith combined gate receipts, season tickets, NCAA revenue, and Investing in Champions packages for the 2023-2024 projection, landing at $5,335,125. For the 2024-2025 fiscal year, those entities are budgeted at $4,793,954.
Game guarantees are projected at $1,425,926 for the 2023-2024 fiscal year. For the 2024-2025 fiscal year, game guarantees are budgeted at $2,019,500.
"Those are the numbers that reflect where we currently are as the financial statements are closed out," Smith said.
FAMU is projected to operate on a $11.3 million athletics budget for the 2024-2025 fiscal year.
"I would be remiss for not saying that we know that that's a tough challenge ― 11.3," Smith said.
"We've been through this gymnastics for quite some time. I've been a part of it for a number of years. Right now, that's where we're at. As we transition to new leadership, we'll have to look for ways to improve in the fundraising aspect and generating revenue."
Smith said that a hurdle FAMU athletics expects to face in the 2024-2025 athletic year is its "pretty high" transportation cost, specifically during basketball season.
This season, the Southwestern Athletic Conference is doing away with doubleheaders for every in-conference basketball game. SWAC men's basketball games will be played on Mondays and Saturdays. Meanwhile, SWAC women's basketball games are scheduled for Thursdays and Saturdays.
"Now, we'll potentially have additional costs because we'll play separate games as opposed to having a doubleheader for both games here in the Lawson Center," Smith said.
FAMU Board of Trustees commend interim athletic director Michael Smith
"I just want to thank Mr. Smith for stepping in when we needed help and had some challenges. He's doing a fine job keeping things together for us," Kelvin Lawson said.
"Unfortunately, the university has given you quite a few opportunities to step in as interim. And you've made that transition, been able to pivot from your normal duties, step into this role of athletic director, and help the university out. I want to make sure that doesn't go unnoticed," Otis Cliatt II told Smith. "The university and the Board of Trustees appreciate everything you do for the university and the athletics department."
"I have thoroughly enjoyed working with Interim AD Smith. He has kept me informed about just about everything related to athletics. Very thorough. Very good job," Deveron Gibbons said. "And thank you so much, AD Smith, for working with me on the stuff we've been working on the last two or three weeks."
"Thank you again so much, Interim AD Smith, for pinch-hitting and your stalwart dedication to this university over several decades," Board of Trustees Chair Kristin Harper said.
Gerald Thomas, III covers Florida A&M University Athletics for the Tallahassee Democrat. Contact him via email at gdthomas@tallahassee.com or on the app formerly known as Twitter @3peatgee .
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This article originally appeared on Tallahassee Democrat: FAMU interim athletic director Michael Smith gives budget update
