To retain talented administrators and coaches, Ohio University ' like other schools ' offers a benefit for employees who often find themselves on the road.
This year, OU will spend $60,000 on car allowances for six top administrators and $125,476 on 24 coaches, according to contracts and the 2009 budget.
Universities negotiate car allowances into contracts as part of a benefits package for administrators who travel so they can be reimbursed for the miles put on their car or can drive a car provided by the university, said Becky Watts, chief of staff for President Roderick McDavis.
Research shows it's a valuable piece of benefit when trying to attract top employees
Watts said.
The value of the allowance is determined on an individual basis depending on how much the employee will travel, Watts said. For example, Teri Geiger, director of Government Relations, travels at least 1,440 miles each month. The IRS reimbursement rate is $0.585 per mile, which is also the rate that the state uses for government employees, Watts said.
Using this rate for calculation, Geiger would be reimbursed $842.40 per month. Her car allowance from OU is $800 per month.
OU does not have a set mileage reimbursement rate, and administrators can negotiate whether they have an allowance or lease a car through the university.
You're limited by your resources. We're certainly not at the top or the bottom Watts said.
At Ohio State University, 10 administrators have university-owned cars and three employees receive car allowances for a total of $17,160 per year.
Miami University spends a total of $143,000 on car allowances: $33,000 per year on five executive administrators and $110,000 per year on athletic staff.
Bowling Green State University spends $86,713 on car allowances: $19,800 on the car allowances of five people and $66,913 total on car leases for 20 people in the athletics department.
It is a common practice Watts said. People are required to travel. Like a president
their job requires so much in the way of travel
and often it is negotiated in a benefits package.
Executive Vice President and Provost Kathy Krendl does not receive a car allowance in her contract; instead she drives a university-owned 1995 Lincoln for work-related travel.
The car was originally bought for former President Robert Glidden, but after the car was purchased he decided he preferred a different make and model, Watts said. The university decided that the most cost-efficient way to solve the problem would be to keep the car and have someone else use it. Alan Geiger, former assistant to the president, drove the car first, and now Krendl is behind the wheel.
Many college athletics departments, including OU's, have deals with local car dealerships that provide courtesy cars for coaches, said Jim Schaus, director of athletics. Schaus and three coaches ' including head football coach Frank Solich ' have courtesy cars. Each dealership handles complimentary car usage differently, and often dealers receive advertising space and game tickets in return, Schaus said.
Schaus also said that the Athletics Department tries to give car allowances to a fairly even number of male and female programs.
All universities provide car allowances to coaches to stay competitive, he said.
The marketplace dictates the car allowances
Schaus said.
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