Big 12 school halts new construction, raises ticket prices amid $147 million deficit

Iowa State is facing a massive deficit in the aftermath of the House settlement, and Cyclones' fans will be asked to take on more expenses in 2025.

The revenue-sharing model is here after the House settlement's approval, allowing schools to share up to $20.5 million directly to athletes this year with that number increasing annually over the next decade.

Budget constraints are beginning to mount for some schools like Iowa State, which revealed a deficit projection of $147 million through 2031, roughly $25 million over the next six years, according to a report from The Gazette.

In response, the Cyclones are indefinitely halting $25 million construction to Hilton Coliseum and $20 million construction of a new wrestling facility. More importantly to Cyclones' fans, sales tax on tickets will no longer be absorbed by the athletic department and annual required donations to the Cyclone Club will increase by 20%.

“In the past two years, there have been several transformational changes in college athletics that will result in $30 million in recurring annual financial repercussions to the athletics department beginning this year,” ISU athletics revealed via The Gazette.

Iowa State reportedly expects NCAA and Big 12 revenue to drop by $2.2 million this year in light of the House settlement and the conference's expansion to 16 schools.

Before this year, the school had not incurred an operating deficit since the COVID year of 2020. Addressing the concern for the 2026 budget, Iowa State needed one-time $26.7 million transfer from the ISU Foundation, according to the report.