Meat,
All of the bowl money is actually split between the teams. The Conferrences recieve the $$ no the teams.
Spam
Here's the explanation from the Football Bowl Association:
Who makes money on the bowls?
Mainly the vast majority of the Division IA universities. Most of the bowls are non-profit 501(c) (3) organizations setup by the host communities to manage and promote the bowls, which of course benefit these communities through economic impact and exposure. However, financially the bowls are setup to primarily benefit the universities that participate in the game and their conference partners. Most conferences divide any revenues over typical expenses of attending the bowl with all the other schools in their respective conference. In this way even a program that goes winless can reap a share of the bowl revenue generated by that schools conference. In some conferences that can be millions for each school. Therefore, not only do the 64 teams playing in bowls receive money but so can dozens of other teams that do not even participate. In addition, the BCS provides millions of dollars each year to be divided by each of the Non-BCS conferences and additional funds to Division IAA members, something that was never done prior to the formation of the BCS.
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