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I imagine that the revenue stream is complex so what I say is speculation and supposition. I believe that any income earned by any given sport at ND is placed in a general fund. Whether there is a separate "pot" dedicated to athletic income and expense I don't know.
Regardless. The revenue positive sports not only support themselves but subsidize the revenue negative sports. I doubt that Rugby or Lacrosse (sorry LAX) are self-supporting. There are costs involved with facilities for both the teams and the entire student body.
The football proponents must justify their budget requests to a "higher power." The rowing, golf and tennis teams benefit from the success of the football and basketball teams. The students involved in "minor" sports benefit from their participation, as does the university.
I've heard this before too dshans. I'm pretty sure that's spot on.