The ACC has announced an amended Revenue model that will reward high-achieving programs with additional monetary gains in an attempt to catch ballooning conference distributions in the Big Ten and SEC in coming years. Plans for the new model, which is set to start during the 2024-25 academic year, haven’t been finalized, but the “success incentives” are expected to reward schools with postseason success with a far larger piece of distribution.
“The ACC Board of Directors continues to be committed to exploring all potential opportunities that will result in additional revenues and resources for the conference,” said Duke president Vince Price, who also serves as chair of the Board of Directors. “Today’s decision provides a path to reward athletic success while also distributing additional revenue to the full membership.”
Under one proposed model by Florida State athletic director Michael Alford to 247Sports, high-achieving ACC schools could potentially receive more than $10 million in addition revenue, a hefty increase from the $39.4 million distributed by the league in 2021-22, according to records obtained by the Richmond Times-Dispatch.
For the 2022-23 season, a school earned $6 million for its conference with a College Football Playoff berth; a selection to a non-playoff New Year’s Six bowl pays out $4 million. In total, the CFP paid out up to a base amount of nearly $80 million per Power Five conference as long as member institutions reached academic expectations. Under a different model, more of this payout could go to top schools. Clemson, for example, would have been the top beneficiary of this change in 2022 after earning a trip to the Orange Bowl.
Base television revenue and other ACC distributions will remain unchanged. The ACC’s long-term television contract with ESPN, including distribution on the ACC Network, is expected to clear $30 million next season, setting a high floor for all 14 ACC schools. However, the record ACC payout ranked fourth in average conference distribution, according to USA Today, trailing the SEC, Big Ten and Big 12.
Florida State and Clemson have been especially vocal about needing additional resources to compete with the Big Ten’s new contract, which is expected to pay out an average of $75 million per season. Seven league institutions have publicly examined the Grant of Rights for feasibility of breaking away before 2036, but came away unlikely to pay what could be exorbitant buyouts to break the television contract nearly 15 years early.
“Today’s endorsement follows significant and meaningful conversations by the ACC Board of Directors,” ACC commissioner Jim Phillips said. “To be certain, I applaud their thoughtfulness and continued commitment to working collectively. As we’ve communicated consistently, we remain dedicated to exploring all options to enhance support for our member institutions and their student-athletes.”
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