Tuesday, October 21.1997
The University Daily Kansan
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Section B · Page 3
Big 12 officials to scrutinize future NCAA expenditures
The Associated Press
KANSAS CITY, Mo. — Several Big 12 school leaders were surprised to learn about lucrative salaries and benefits for NCAA executives, and they want the athletic association's finance w
etic association's finances watched more closely.
"I'll probably be calling several presidents in the Big 12," said Jon Wefala, Kansas State University president. "We can't change what's happened, but more oversight and scrutiny are needed."
Wefald and other presidents were responding to recent stories in "The Kansas City Star" that examined the NCAA and its mission. Several Big 12 officials said they expected the presidents to take a closer look at the NCAA's expenditures.
"There were revelations about expenses that I'm sure will be matters of discussion when the NCAA presidents get together," said University of Kansas Chancellor Robert Hemenway. "The paradox that all university presidents face is that we work very hard to keep expenses down. Most presidents would expect the same of the NCAA."
Findings reported in "The Star" included:
NCAA executive director Cedric Dempsey's salary and benefits last year totaled $440,000, plus a $2,841 expense account.
The NCAA gave Dempsey a $450,000 mortgage at below-market interest rates for his Johnson County home.
- The NCAA purchased Dempsey's former Arizona home for $685,000 before selling it two years later at a loss of more than $120,000. A similar arrangement with former executive director Dick Schultz cost the NCAA $50,000.
"I was disappointed, really," Wefald said. "I've been a CEO of a system in two different universities. I've never had an opportunity to have a no-interest, or a low-interest, loan on a house.
"Whether it's Kansas State or the NCAA or even a
corporation, if you're making $300,000 or $400,000 a year, it seems to me you can afford to go out and buy your own home at the prevailing rate of interest," Wefald said.
James Halligan, president at Oklahoma State University, said he also was surprised to learn of some of the details. Halligan represents the Big 12 on the NCAA Division I Board of Directors, a governing body that formally took hold on Aug. 1.
"During my tenure on the board, I am going to make certain that we discharge our fiduciary responsibilities in a very responsible manner. I think it's important that the NCAA, which is the principal representative of intercollegiate sports in the United States, be carefully managed," Halligan said.
At least one Big 12 president thought the newspaper unfairly cast the NCAA in a bad light.
Pacheco said he was disappointed that the series highlighted extreme examples.
"I just didn't think ("The Star") gave adequate recognition to the progress that has been made in the NCAA," said Manuel Pacheco, University of Missouri president.
"It was painted too much in black and white when the truth is really sort of down the middle," he said. NCAA officials said NCAA administrative costs are only 12.5 percent of the total budget, or $32 million.
Although colleges have never asked the NCAA to publish salaries or details of contracts, spokesman Wally Renfro said the association would welcome heightened oversight. He also pointed out that the membership already receives much of that information through annual financial reports.
"There's also a more thorough discussion of all of that with the governing bodies of the association," Renfro said. "They're the ones who negotiated the contract with Ced (Dempsey) for employment, that included the purchase of the home for Ced if his house didn't sell after a certain period of time."
Cincinnati declares three players ineligible
The Associated Press
CINCINNATI — Starters Charles Williams and Ruben Patterson are among three Cincinnati basketball players declared ineligible yesterday by the university, which cited NCAA rules violations.
Cincinnati uncovered the violations during a 10month in-house probe.
The university sent its final report to the NCAA and asked that Williams, Patterson and reserve John Carson be cleared to play. The most serious violations involved Williams, a senior point guard.
Athletic director Robert Goin said he thought the some of the players should be restored before the season began.
of helping Williams improperly and kept assistant coach John Loyer on paid suspension while the NCAA looks into the violations.
The university also fired a basketball manager accused
Coach Bob Huggins was not implicated and was not disciplined by the university.
The university report said Williams received a ticket to a Cincinnati Bengals game, a meal at a restaurant and a round-trip ticket to visit relatives in Los Angeles, the report said.
Patterson was improperly allowed to use computer terminals and get tutoring the summer before he came to Cincinnati, the report said. Carson was allowed to stay rent-free in a dormitory for three nights and received an advance in salary for a summer job for which he did no work.
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