It's a new era of collegiate athletics, and the University of Kentucky is restructuring the athletics department to reflect the nationwide, ongoing changes.
Last Friday, U.S. District Judge Claudia Wilken approved the House Settlement. Under the terms of that settlement, college athletics programs will be able to share revenue of up to $20.5 million annually with student athletes beginning July 1, 2025.
Over the next year, the UK Athletics Department will be shifted to a holding company, Champions Blue, LLC.
Barnhart now presenting on Champions Blue and how UK "has to think differently" amongst "disruption" of college athletics.
— Maggie Davis (@MaggieDavisTV) June 12, 2025
Slide includes info on how “UK must evolve its business model to position and prepare itself to succeed, regardless of how this landscape unfolds..." pic.twitter.com/e7HTwB4noB
“These investments and the new operating model represented by Champions Blue underscore that we are embracing change and rising to the challenges posed by this dynamic landscape,” said UK Director of Athletics Mitch Barnhart.
The University of Kentucky's Board of Trustees met Thursday to approve the Champions Blue Board of Governors, review the propose fiscal year 2026 budget for UK Athletics (along with a 3.5-year financial plan for the department), and begin consideration of proposed investments of up to $110 million in UK Athletics facilities over the next few years.
BREAKING: UK Athletics requesting $110 million for projects including Kroger Field maintenance, suites, elevators, west end zone club space and WiFi + UK soccer and softball facilities
— Maggie Davis (@MaggieDavisTV) June 12, 2025
Also request for information for "fan zone" on campus (restaurants, hotels, entertainment). https://t.co/4Yi6yX7Yio pic.twitter.com/sW70V0Q4tj
The facility investments are part of an internal capital loan, which will be repaid with interest, from the university to UK Athletics. The initial investments include:
- $15 million for maintenance at Kroger Field Stadium.
- $13 million to renovate corner suites and elevators.
- $5 million to improve the soccer and softball facilities; UK Softball will host the SEC tournament in 2026.
- $8 million for initial design of a West End Zone Club space and Wi-fi improvements at Kroger Field.
- A Requestion For Information (RFI) to develop an Entertainment District on the UK campus, which could include concepts such as restaurants, hotels and other entertainment options.
- An additional $31 million operating loan, also to be repaid with interest, as UK Athletics moves into its new operating and governance model and incurs additional new expenses.
The proposed Board of Governors includes four voting members without formal term limits (UK President, currently Dr. Eli Capilouto; UK EVPFA, currently Dr. Eric Monday; UK VP/Chief Strategy and Growth Officer, currently Dr. Rob Edwards; Position of Senior Advisor to the President, currently Dr. George Wright), as well as three subject matter experts with staggered terms.
The three proposed subject matter experts were announced Thursday: President and CEO of Keeneland, Shannon Arvin, former Kentucky football player and current financial advisor, Jacob Tamme, and former Nike executive and Senior Vice President of Fanatics, Chris Prindiville.
The Director of Athletics is listed as Ex-Officio Member, currently Barnhart, and the third party media rights holder is listed as a special advisor, currently JMI Sports President Paul Archey. Both are listed as non-voting members.
“We are proposing a new strategic governance structure and operating model, unlike any in the country,” said UK President Eli Capilouto. “The goal is to incentive innovation. The idea is to remain a premier program by pushing us to examine creative ways to grow and generate the revenues necessary to support our success.”
“At a time when many are searching for answers, our administration has built on the strong partnership we have enjoyed for more than 20 years here on the UK campus," Barnhart said.
"We look forward to continuing that into the future. We will remain focused on education and competition, putting championship rings on fingers and diplomas in hands."
“We build — not for ourselves but for the future we hope, with partners, to create for the state, whose name adorns the front of every jersey for every athlete that competes for our university,” Capilouto said. “That’s what these investments represent — investments in our student athletes, our university, our state and the future we aspire to create and sustain for them all.”
For more, watch Barnhart's complete interview with LEX 18's Maggie Davis:
