The paycheck protection program was designed to provide financial relief to small businesses and non-profit organizations across the country. But as we have seen, organizations that make a lot of money also receive funding. One of these organizations? State of Florida.
The United States Small Business Administration has released a database with 82,708 small businesses or non-profit organizations that have received at least $ 1 million in P3 funding. And Seminole Boosters, Inc., the Florida state booster club, was on this list. They are also not the only sports team to receive financial assistance. The Los Angeles Lakers got a loan of $ 4.6 million and their franchise is worth about $ 3.7 billion.
Seminole Boosters did receive $ 1,017,455, but after reviewing the terms of the loan, they returned $ 130,430, for a total of $ 887,725. The school said the loan, given in mid-April, would allow 54 people to keep their jobs until June 30.
However, the school recently announced he cut several positions in the sports department and Seminole Boosters. The move comes amid growing uncertainty that the 2020 college football season will start on time. College football is a big income at most universities, and the state of Florida is certainly no exception.
Adding to the complexity is the Florida state buyout agreement with Willie Taggart. The university sacked its former head coach in November 2019. Under Taggart, Florida state was 9-12 and missed a bowl game for the first time in 36 seasons.
The university paid Taggart $ 18 million to get rid of him. Add buyout packages for his assistants and the total is $ 22 million. This payment seemed bad at the time. It seems even worse now, the university laying off several people – even after receiving a large loan.
Hopefully schools can eventually rebound after their financial losses. Until then, it looks like upcoming lean periods.