The degree of financial difficulty experienced by intercollegiate athletic programs in western Canadian universities reached unprecidented proportions in the years between 1970 and 1981. The purpose of this study was to examine the causes of intercollegiate athletic financial difficulties and the methods employed to contend with them from 1970 and 1981 as perceived by athletic administrators in selected western Canadian universities. In an attempt to provide dimension to the study, organizational and financial histories of intercollegiate athletics were presented. Further specific detail was provided with respect to the financing of intercollegiate athletic programs in Canada and the United States during the 1960's and 1970's. A five part questionnaire was developed and directed to athletic administrators in selected universities in western Canada. The study requested that respondents rate the importance of various budget funding sources, budget pressures and the methods employed to contend with budget difficulties in their universities. The study period covered selected scholastic years between 1970 and 1981. Upon compilation of all questionnaire data related to the financing of intercollegiate athletic programs, the following significant information can be surmized: 1. The federal government, over the twelve year period, grew from an insignificant source of budget funds to become an important source of budgetary funds for the universities involved in the study. 2. Gradually over the decade, the responses of athletic administrators reflected an increased awareness of the importance of increasing self generated funds such as donations and sponsorships to offset the high costs of running their program. 3. Inflation was ranked by athletic administrators as the most significant pressure to affect their budgets during 1970-1981. 4. The most difficult academic year for western Canadian athletic administrators to accommodate program requests with available funds was 1976-77. 5. The decade saw the disappearance of the athletic department reserve fund which some universities had been able to accumulate over previous decades. 6. The universities, during this decade, grew more dependent on the university general funds to subsidize their intercollegiate athletic programs, rather than attempting to increase admission fees to events and/or increase student athletic fees. 7. The results of the study suggest that the most popular method of dealing with the deficit accrued by budget overrun was to draw from internal university sources such as the Dean's account, President's account or Board of Governor's account. This solution increased in frequency during the observed years of the decade.