US Olympic Committee cuts staff to increase athletes funding

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http://www.insidethegames.com/show-news.php?id=4330

US Olympic Committee cuts staff to increase athletes funding

Date: 06/12/2008
DECEMBER 6 - THE economic crisis has forced the United States Olympic Committee (USOC) to cut its administrative costs by 10 perc ent in 2009, although athletes will see their funding increased by the same amount a year ahead of the 2010 Winter Games.

The proposed 2009 budget will be presented to the USOC Board later today, when new chairman Larry Probst runs his first meeting since succeeding Peter Ueberroth in October.

The USOC hopes to reduce its 450-member staff through natural wastage and by not filling open positions, chief executive Jim Scherr said.

Staff travel, meetings and professional training also will be curtailed to achieve the necessary cost reduction.

Scherr said: "We're also looking at a reorganisation throughout the US Olympic Committee to make us more effective and that reorganisation will result in a few less people."

At the same time, some national governing bodies (NGB) and athletes competing in winter and summer sports will see their funding increased next year.

Scherr said some NGBs will have their funding cut, although he refused to say which ones.

Probst said: "This is a global economic crisis and I think it's going to impact every company and every individual on this planet.

"Most companies are taking a look at their entire organisation.

"One of the things that I'm sure will be looked at are sponsorships.

"That's a discretionary expense.

"We're in pretty good shape.

"We're going to have to work harder.

"We're going to have to make sure that we're nurturing the existing relationships and we're going to have to double-down to find some new relationships and hopefully be first in line when the economy turns in a positive direction."

Scherr said the credit crunch affecting sponsorship renewals and the ability to attract new sponsors, private donor fundraising, direct mail and major gifts, and contributions from private individuals.

Scherr said a long-planned Olympic television network would be launched next year, although no signed deal is yet in place.

The USOC has signed deals with 35 NGBs to include their content on the network, but that does not include swimming, track and field, gymnastics or figure skating, which have their own television deals.