RL independence day arrives - NRL Independent Commission announced for November 1

[Quidgybo]

I thought the relocation $8mil had been taken off the table as the NRL didn't have the money any longer to pay it? These were from a few years ago but I can;t find more recent quotes about the relocation grant?

Gallop was quoted very recently as saying there would be "incentives" offered to any team who went all in on relocation. I thought it was in the discussion about a team moving to Perth rather than the Reds being brought in.


Edit: Sep 1st 2011

http://www.foxsports.com.au/league/...avid-gallop-says/story-fn2mcuj6-1226127012225

"We would incentivise that as long as it was the right move."

That's at least a hint that there's something still available for a relocation.

Leigh.

 

[El Diablo]

http://www.theaustralian.com.au/new...nsure-commission/story-e6frg7mf-1226169116836

Clubs call on NRL to take on $8m debt to ensure commission

by: Stuart Honeysett
From: The Australian
October 18, 2011 12:00AM


THE game's clubs have come up with what appears to be a doomed proposal to get out of debt and ensure the independent commission still hits its target date of November 1 - asking the NRL to go into debt itself to the tune of $8 million.

Representatives from the 16 NRL clubs either met or joined a conference call at the NSWRL's Sydney headquarters yesterday to resolve an impasse that threatens the formation of the commission, the future of the competition and the bottom line of some battling clubs.

Having asked for a $2.15m sustainability grant for each club last week to top up their current annual NRL grant of $3.85m, the clubs yesterday released their blueprint for how the game could come up with the additional $34m to foot the bill.

This includes a $500,000 special purpose grant which would require the NRL to go $8m into debt in order to pay that amount to each of the 16 clubs and a $1.6m one-off media rights payment to be paid at the end of next year when the next broadcast arrangement is negotiated.

While the NRL is said to be $24m in the black - a figure the clubs became aware of at a recent presentation, which is believed to have triggered their grab for cash - this money is a working capital fund and not a cash reserve.

Clubs representative spokesman and Wests Tigers chairman David Trodden broached the issue with NRL chief executive David Gallop on Sunday during Darren Lockyer's farewell Test at Ausgrid Stadium in Newcastle.

Gallop will this week pass the clubs' demands to the NRL partnership committee - which controls the financial arm of the game and comprises representatives from the game's current owners the Australian Rugby League and News Limited (publisher of The Australian).

It is understood the partnership will not approve of any plan that puts the game $8m into debt but it could be prepared to negotiate a lower figure to appease the clubs. "Clearly the clubs have asked for a very significant increase in their funding for the 2012 season," Gallop said. "As that relates to the 2012 budget the appropriate governing body is the current News Limited-ARL partnership. We're hopeful the partnership will consider the matter during the next week.

"While the commission stands ready and willing to assume the reins, it has not been formalised as the governing body and therefore the 2012 budget is not a matter for them ... Taking out a loan facility for making an advance payment on the upcoming television deal are serious issues for the partnership to consider."

Complicating the matter is the fact the clubs are yet to sign agreements to play in the competition and guarantee their funding for the next six years - a decision that puts the commission on ice and threatens the financial security of several clubs.

But it is understood the NRL has no intention of cutting the clubs off at the knees and they will get the first instalment of their grants next month.

 

[El Diablo]

http://www.dailytelegraph.com.au/sp...e-game-into-debt/story-e6frexnr-1226169220465

News Limited rejects proposal from NRL clubs to plunge game into debt

Andrew Webster
The Daily Telegraph
October 18, 2011 12:00AM

NEWS Limited has already rejected an ambitious proposal from NRL clubs to plunge the game into debt to finance an increase in their funding.

Following another round of meetings and negotiations yesterday, it emerged the 16 clubs had raised the idea of the NRL taking out an $8 million bank loan to cover a "special purpose payment" of $500,000 to each club next season.

They also want a $1.6 million advance payment on the next television broadcast rights deal, which is yet to be struck.

While the increase in funding was only raised in discussions with News Limited representatives yesterday, some club chief executives and chairmen were convinced the deal had been effectively agreed to after they emerged from an earlier meeting at the NSW Leagues Club.

But a spokesman from News Limited - which owns half the game with the ARL - slammed the proposal last night, saying the media company would never hand the game over to a new independent commission hamstrung with debt.

"News has no interest in exiting the game and leaving it in debt or agreeing to an unsound financial position that would became the responsibility of the Independent Commission to resolve," News spokesman Greg Baxter said.

"Our aim is to leave rugby league in great shape, and we won't be putting it into debt at this late stage."

Consequently, the future of the game remains murky at best. The clubs last week threatened to not sign agreements to play next year if they do not receive a substantial increase in funding.

Some chief executives and chairmen were certain that News Limited and the ARL had "caved in" to the demands.

"Any CEO who is saying that today is putting a spin on things," Wests Tigers director Dave Trodden, who is the spokesman for the clubs, said last night.

"No agreements have been made and no offers have been made. It would be misrepresenting the thing to say anything has been agreed to."

Trodden met with News Limited chief operating officer Peter Macourt and lawyer Ian Philip after the clubs' meeting but would not be drawn on their discussions.

"I'm optimistic that some position will be reached, that will be satisfactory to everybody, within the next week," he said.

It is understood that News (publisher of The Daily Telegraph) and the ARL have softened their threat last week to cut funding to the 16 clubs if they did not sign agreements to play in the competition next year by November 1. Yet negotiations remain at a delicate stage.

"Taking out a bank loan and advancing money on the yet-to-be done TV deal are big issues to consider," NRL boss David Gallop said.

"The clubs have asked for a very significant increase in their grant/funding for next season to be arrived at by a couple of different mechanisms. It has been agreed that the News Limited and ARL partnership will consider it. We're hopeful that will happen in the next week. It's certainly premature to suggest that anything has been agreed."

 

[Hooch]

What are they playing at?

 

[ozjet1]

http://www.dailytelegraph.com.au/sp...e-game-into-debt/story-e6frexnr-1226169220465

1. thanks for posting the whole of these articles up so guys such as me who dont want to traffic News Ltd websites and not contribute to their revenue generation, dont have to.

2. those that do, keep bombarding them with adverse readers comments (which they dont post) so they they realise that we're fully aware they're responsible for the funding shortfall in the NRL and that they can stick their propaganda up their arse!

 

[adamkungl]

Regardless of the fact that the current state of the game's finances is entirely News Ltd leeches fault, it is still irresponsible of the clubs to demand the game be put into debt for such a massive increase. Their claims that clubs might not survive in the next year seem entirely ridiculous - surely they must have been budgeting to survive to the next TV deal, nothing has changed that would impact their survival in the next 12 months. Even Cronulla has come out and refuted this rubbish claim.

Hopefully they are just starting negotiations high and don't really intend to get such a large immediate increase in funding. Imo an extra $500k-$1mil should be more than sufficient to appease them for the next 12 months without putting the NRL into debt.

 

[Beowulf]

Regardless of the fact that the current state of the game's finances is entirely News Ltd leeches fault, it is still irresponsible of the clubs to demand the game be put into debt for such a massive increase. Their claims that clubs might not survive in the next year seem entirely ridiculous - surely they must have been budgeting to survive to the next TV deal, nothing has changed that would impact their survival in the next 12 months. Even Cronulla has come out and refuted this rubbish claim.

Hopefully they are just starting negotiations high and don't really intend to get such a large immediate increase in funding. Imo an extra $500k-$1mil should be more than sufficient to appease them for the next 12 months without putting the NRL into debt.

Exactly, its an ambit claim, but they are playing poker against one of the toughest and meanest bastard around. Agree the Clubs need an increase, and the gap erased between salary cap and grant - after that, they are their own cost centre, not a welfare recipient.

 

[Rockin Ronny]

QUOTE
But a spokesman from News Limited - which owns half the game with the ARL - slammed the proposal last night, saying the media company would never hand the game over to a new independent commission hamstrung with debt.

"News has no interest in exiting the game and leaving it in debt or agreeing to an unsound financial position that would became the responsibility of the Independent Commission to resolve," News spokesman Greg Baxter said.

"Our aim is to leave rugby league in great shape, and we won't be putting it into debt at this late stage."

Congrats, News - this wins the award for the greatest lie of all time. They really do think we're dumb.

 

[Perth Red]

Don't spend as much money if you haven't got it! Basic premise of good business.

2013 the clubs will get a windfall, they need to pull their heads in and bite the bit for one more year and let the IC get in and sort the games finances out properly with a long term strategy and plan.

 

[applesauce]

1. thanks for posting the whole of these articles up so guys such as me who dont want to traffic News Ltd websites and not contribute to their revenue generation, dont have to.

2. those that do, keep bombarding them with adverse readers comments (which they dont post) so they they realise that we're fully aware they're responsible for the funding shortfall in the NRL and that they can stick their propaganda up their arse!

Deserved a re-post

 

[IllawarraGiant]

what sort of strange game is being played here?

what is really going on? it just doesnt make sense to be using comments that invoke notions of not playing next year, or putting the IC in debt before ts even formed..and why do the clubs need this money right now? they may not be flush with money, but they are all at least solvent.

What do the television networks make of this? negotiatinga rights deal for product that the main stakeholders are (suposedly) so at odds that the product could fracture (again!)

can someone decode the bs and spell out what the real game is here?

 

[bobmar28]

what sort of strange game is being played here?

what is really going on? it just doesnt make sense to be using comments that invoke notions of not playing next year, or putting the IC in debt before ts even formed..and why do the clubs need this money right now? they may not be flush with money, but they are all at least solvent.

What do the television networks make of this? negotiatinga rights deal for product that the main stakeholders are (suposedly) so at odds that the product could fracture (again!)

can someone decode the bs and spell out what the real game is here?

I think it's an ambit claim and they want a small increase in the grant.

 

[POPEYE]

Could be the clubs want to show they won't be dictated to before the Commission gets up and running.

If one man has got away with grandstanding maybe they're worried a group might take it further.

Methinks their stand is just a warning to everyone and a reminder who supplies the entertainment.

 

[El Diablo]

http://www.theaustralian.com.au/new...deadline-at-risk/story-e6frg7mf-1226170102589

Grant admits independent commission deadline at risk

by: Stuart Honeysett
From: The Australian
October 19, 2011 12:00AM

THE incoming chairman of the independent commission, John Grant, has conceded it is unlikely the game's new governing body will be handed the keys to power by the target date of November 1.

The admission came as momentum built for the NRL's 16 club chairmen to form their own company to ensure they have a voice in the game that is just as powerful as the players' union.

Grant met six of the seven commissioners at NRL headquarters yesterday to discuss key issues _ including the next broadcast deal _ they will face when they take over the running of the game.

Plans for the November 1 takeover have been derailed following a belated push by the clubs to receive an additional $34thmillion in funding between them for next season.

The clubs are baulking at signing six-year agreements to play in the NRL competition until they receive an ironclad guarantee about their level of funding over the next deal.

Club representatives met on Monday to discuss ways for the NRL to foot the bill before coming up with a solution, which included each club receiving a $500,000 special-purpose grant and $1.6m media rights bonus.

The NRL partnership committee will meet today to discuss the clubs' proposals but it is understood they will not agree to anything that will plunge the game into debt.

Grant acknowledged there were several unresolved issues that were conspiring against the commission forming in time for Melbourne Cup day.

``I remain the eternal optimist but practically and pragmatically looking at things now I'd reluctantly have to say that date looks at risk,'' Grant said. ``It depends entirely on how quickly the outstanding commercial issues get resolved.
``But again, even those aside, the remaining agreements that just need to be finalised and put in place will need a very significant and concerted effort to make it work.''

It has been hinted that the chairmen could form their own group, particularly in the last week following the kerfuffle over club funding, which has threatened to derail the whole process.

The Australian was told yesterday that Canterbury chairman Ray Dib has been the driving force behind a proposal for the chairmen to form a company limited by guarantee to ensure the clubs still have a voice in the game.

The chairmen hope their company will become just as important as the Rugby League Players Association.

 

[CC_Roosters]

Dont know if anyone heard the incoming V8 Commision chairman on 2SM between 4 and 5 today. Great to hear a sports administrator talk about his own sport in positive terms, highlighting the ambitions plans and where the sport is headed commercailly. Why cant we get someone to talk like this without the usual cliches and spin due to the conflicts of interest.

Personnally this all looks like grandstanding to me before a lot of the blazer boys go out of the game, everybody is getting their opinion and needs, while News are putting the spin and sensationalism against it.

 

[siv]

Who owns 2012 TV rights ?

Has it been signed over the ARLC yet ?

 

[Brutus]

what sort of strange game is being played here?

The clubs are putting the heat on the NRL and News Limited to ensure we don't get stuffed around TV money-wise again.

The pressure is really on the whoever is in charge of our game to do the best deal possible.

No more underselling.

We have been f**ked around long enough by this conflict of interest.

News LTD still want to be paid out to recoup SL debts.

 

[Swamp]

Call me naive but surely the clubs wouldn't put the IC & TV rights in jeopardy by these games. Yes I agree the clubs could do with more funding but why cut off your nose to spite your face? We have all seen what SL did for AFL/Super 10. Do they want to give a huge boost for this new Western Sydney team? And why do I constantly have this overriding sense of anxiety about the greatgest game of all? Feck!

 

[IllawarraGiant]

Could be the clubs want to show they won't be dictated to before the Commission gets up and running.

If one man has got away with grandstanding maybe they're worried a group might take it further.

Methinks their stand is just a warning to everyone and a reminder who supplies the entertainment.

this makes even less sense: the whole point of an independent commission is that it takes power from the clubs (and other vested interests) and puts it in the hand of the commission that acts on their collective behalf. If the clubs cant cope with that idea and have to resort to public grandstanding to assert their interests what does that say about their faith in an IC to begin with????
Under an IC the clubs can no longer dictate terms any more than News, the ARL or anyone else.The IC has to have total authority otherwise it simply will not work.... yet now we hear the Chairmen of the clubs are setting up another body 'to represent the clubs' .. when thats exactly what the IC is meant to be for. Its utter madness! Confused? I sure am.

..

and why in gods name, do they do all this in public using the media as a megaphone? either there is more

 

[taipan]

Maybe the clubs are trying to get what they can before the I.C. is in place,knowing full well they won't be able to dictate terms,once it is in operation.
The club CEOs and chairmen must have rocks in their collective heads,if they think the NRL partnership will agree to establishing debt,prior to the i.C ,running the game.
The clubs have operated so far under tight condtions for years,another 12 months is not going to send them to the wall.
All they are succeeding in doing is delaying the i.C start up.They can all well and truly get knotted.