Title IX Scandals Cost Much More than Legal Fees

Madison, Wis.—April 4, 2008 — The cost of an athletics-related scandal goes far beyond legal fees, according to the presenters of the March 4 online seminar “Risk Management for College Athletics: Title IX's Other Side.”

“What we’re seeing is that scandal definitely has a significant cost,” said co-presenter Dr. Stephanie Hughes, founder of the higher education risk mitigation firm RiskAware. That cost, however, does not necessarily come in the form we’d expect, such as high legal fees and a drop in donations, she said. The cost also comes in the form of lowered enrollment revenue and cuts in state funding.

Hughes estimates that the University of Colorado scandal involving alleged rapes at a 2001 football recruiting party cost UC about $111 million--not taking into account state budget cuts that occurred after and may have been exacerbated by the scandal. Costs also included an estimated $45 million in lost out-of-state, new-student registration.

Also during the seminar, co-presenter Brett Sokolow, president of the National Center for Higher Education Risk Management (NCHERM), reviewed recent scandals and litigation, as well as the lessons that they can teach us about preventing or mitigating scandal on our own campuses.

He recommended that athletic departments
• develop policies on the type and character of coach, staff and student-athlete that the institution will recruit
• consider hiring a public relations specialist who is media-savvy and can build good working relationships with media before a scandal occurs
• avoid trying to cover up a scandal if it occurs

If you missed the live event, you can order the program in CD or transcript format, both of which include the presenters' handouts.

Magna Publications is a leading publisher of newsletters and other information products in the higher education segment. Magna also manages onsite and online conferences on topics of interest to higher education.

For more information please contact David Burns, Publisher, Magna Publications, Inc., at 608-227-8109, or dburns@magnapubs.com.