Hokie ClubDuring a special, online meeting held today, the Virginia Tech Board of Visitors approved a budget plan that positions the university to compete with top athletic programs in the Atlantic Coast Conference.
The additional $229 million planned investment in athletics over four years, which includes both internal and external sources, provides bridge funding to reach a sustainable financial position by the 2029 fiscal year.
“Virginia Tech is at a historic juncture in the history of Hokie Athletics,” said Virginia Tech President Tim Sands during the meeting. “The tumblers at the institution, conference and national levels are all aligned. Today’s action unlocks the door to future success.”
The national debut of capped student-athlete revenue sharing and NIL regulation, and the ACC’s media revenue distribution tied directly to viewership and success for the first time, gives Virginia Tech an opportunity to reset the organization to align with the new realities at the national and ACC levels, according to Sands.
“It has never been clearer that the future of Hokie Athletics will depend on the institutional commitment to compete, in partnership with our alumni and supporters,” Sands said. “Today, we are stepping up to compete, and we ask our loyal fans and generous donors to step forward with us.”
In passing the resolution, the university and its board members acknowledged the many positive outcomes of a strong athletics program. Long term and sustainable success in Virginia Tech’s intercollegiate athletics program creates indelible shared experiences for students and alumni; it is essential to the regional economy, and enhances national brand recognition thereby increasing opportunities to recruit student, employee, and partner talent across the nation needed to enhance institutional impact in teaching, and learning, discovery, and engagement.
“We are fortunate to be in a position to make this investment in athletics without impacting the operational funding needed to maintain the strong momentum of our academic enterprise,” Sands said. “We also recognize that this strategic decision to invest discretionary resources in athletics now may limit our flexibility in the near future, and we will be closely monitoring this investment to ensure the funds are spent wisely.”
Sands will appoint an Athletics Investment Oversight Committee to advise him and board members throughout this process. Given the dynamic environment of intercollegiate athletics and potential shifts in future economic conditions, the board will reserve the ability to amend the supplementary budget for any fiscal year as necessary.
This investment plan approved by the board will allow the university to modernize its athletic operations to be competitive in a new, more professionalized environment. Specifically, the plan will support:
- A new “front office” for football to manage recruiting, talent development and operations.
- Resources to attract and retain talented coaches in a highly competitive market.
- Additional operating support for athletics teams.
- Investments in Olympic sports.
- Infrastructure improvements to several of facilities to improve the athlete and fan experience.
As part of the approved budget resolution, Virginia Tech will be seeking donor support for an incremental $30 million annually to fully realize the plan.
In addition, the budget adjustment calls for limited increases in student fees in future years, consistent with state limitations. Even with proposed increases, Virginia Tech would continue to be among the lowest in athletics fees in the Commonwealth. The university remains committed to protecting lower-income Virginia students, those eligible for Virginia Tech Advantage, and graduate students receiving university stipends from fee increases included in this plan.
“I want to thank J Pearson, Ryan McCarthy, our rector John Rocovich, and Athletics Director Whit Babcock for setting a clear goal to be at the top of the ACC public institutions in investing to win,” Sands said. “I’d especially like to thank Executive Vice President Amy Sebring and Chief Financial Officer Simon Allen and their team for finding every opportunity to support athletics, while preserving our ability to advance strategic priorities and maintain positive momentum.”