(08-17-2015 04:20 PM)Stay Cool Wrote:  

(08-17-2015 03:32 PM)HuskieJohn Wrote:  

(08-17-2015 03:16 PM)Stay Cool Wrote:  This is what my friend had to say on the subject...

*WARNING U OF I FAN WORDS INCOMING*

"No exit fees don't work like that and are paid by the accepting conference anyway. It's probably because the Mac loses a **** ton of money every year"


Is he wrong?

No they are not. Temple paid their own exit fees from the MAC.

The Big East may have helped Temple but I highly doubt that the conference just gave the money to the Owl's. Maybe the BE gave them an advance on future income but that is it.


Now the B1G with Maryland's situation is a bit different because you are talking about HUGE TV contracts along with a HUGE exit fee and a HUGE department budgeting hole to begin with.

More from my friend theorizing...

" Still seems odd to me. If it's pre payment then Mac will have to "let them go for free" in a few years, which won't happen. Also, if Mac knows they're leaving to the point that they would agree to an exit fee then why not release it now and start marketing it like every other college does? "Moving to _______ in 2017", see Mizzou, Rutgers, Maryland, Louisville, etc, and if not then why pay extra money just in case? It would be a waste. Most likely its wrong info or that their bowls and perspective bowls are costing the Mac to the point that they agreed to a number for niu to help with the bill as niu tries to maintain success for an eventual move. The aac would want to market the aacs relevance to the Chicago market as much as niu would want to market the conference tier increase "

Thoughts?

Because NIU doesn't actually have an invite yet.

My guess is...NIU has an agreement with the AAC that NIU is the next up if/when the AAC gets raided.

This upfront money to the MAC is more for the sake of playing is safe because of our severe budget cuts. Its going to be MUCH easier to say that our exit fee will come out of a pool of money we already paid the MAC rather than having to come up with an additional $500k or whatever it is to exit the MAC on top of whatever the fee is to join the AAC.


Though the goofy thing to begin with is why the state approved the large payment to begin with.

(08-17-2015 04:46 PM)HuskieJohn Wrote:  

(08-17-2015 04:20 PM)Stay Cool Wrote:  

(08-17-2015 03:32 PM)HuskieJohn Wrote:  

(08-17-2015 03:16 PM)Stay Cool Wrote:  This is what my friend had to say on the subject...

*WARNING U OF I FAN WORDS INCOMING*

"No exit fees don't work like that and are paid by the accepting conference anyway. It's probably because the Mac loses a **** ton of money every year"


Is he wrong?

No they are not. Temple paid their own exit fees from the MAC.

The Big East may have helped Temple but I highly doubt that the conference just gave the money to the Owl's. Maybe the BE gave them an advance on future income but that is it.


Now the B1G with Maryland's situation is a bit different because you are talking about HUGE TV contracts along with a HUGE exit fee and a HUGE department budgeting hole to begin with.

More from my friend theorizing...

" Still seems odd to me. If it's pre payment then Mac will have to "let them go for free" in a few years, which won't happen. Also, if Mac knows they're leaving to the point that they would agree to an exit fee then why not release it now and start marketing it like every other college does? "Moving to _______ in 2017", see Mizzou, Rutgers, Maryland, Louisville, etc, and if not then why pay extra money just in case? It would be a waste. Most likely its wrong info or that their bowls and perspective bowls are costing the Mac to the point that they agreed to a number for niu to help with the bill as niu tries to maintain success for an eventual move. The aac would want to market the aacs relevance to the Chicago market as much as niu would want to market the conference tier increase "

Thoughts?

Because NIU doesn't actually have an invite yet.

My guess is...NIU has an agreement with the AAC that NIU is the next up if/when the AAC gets raided.

This upfront money to the MAC is more for the sake of playing is safe because of our severe budget cuts. Its going to be MUCH easier to say that our exit fee will come out of a pool of money we already paid the MAC rather than having to come up with an additional $500k or whatever it is to exit the MAC on top of whatever the fee is to join the AAC.


Though the goofy thing to begin with is why the state approved the large payment to begin with.

His counter points

" "It's going to be MUCH easier to say that our exit fee will come out of a pool of money we already paid the MAC rather than having to come up with an additional 500k " But it won't... That money is not earmarked for an niu exit fee. I promise you, It's just not. Maybe niu does have an agreement with the aac, but it has nothing to do with this extra fee. The state would approve it because they enjoy the niu success just as much, not to mention I'm not sure they had a choice."

(08-17-2015 04:46 PM)HuskieJohn Wrote:  

(08-17-2015 04:20 PM)Stay Cool Wrote:  

(08-17-2015 03:32 PM)HuskieJohn Wrote:  

(08-17-2015 03:16 PM)Stay Cool Wrote:  This is what my friend had to say on the subject...

*WARNING U OF I FAN WORDS INCOMING*

"No exit fees don't work like that and are paid by the accepting conference anyway. It's probably because the Mac loses a **** ton of money every year"


Is he wrong?

No they are not. Temple paid their own exit fees from the MAC.

The Big East may have helped Temple but I highly doubt that the conference just gave the money to the Owl's. Maybe the BE gave them an advance on future income but that is it.


Now the B1G with Maryland's situation is a bit different because you are talking about HUGE TV contracts along with a HUGE exit fee and a HUGE department budgeting hole to begin with.

More from my friend theorizing...

" Still seems odd to me. If it's pre payment then Mac will have to "let them go for free" in a few years, which won't happen. Also, if Mac knows they're leaving to the point that they would agree to an exit fee then why not release it now and start marketing it like every other college does? "Moving to _______ in 2017", see Mizzou, Rutgers, Maryland, Louisville, etc, and if not then why pay extra money just in case? It would be a waste. Most likely its wrong info or that their bowls and perspective bowls are costing the Mac to the point that they agreed to a number for niu to help with the bill as niu tries to maintain success for an eventual move. The aac would want to market the aacs relevance to the Chicago market as much as niu would want to market the conference tier increase "

Thoughts?

Because NIU doesn't actually have an invite yet.

My guess is...NIU has an agreement with the AAC that NIU is the next up if/when the AAC gets raided.

This upfront money to the MAC is more for the sake of playing is safe because of our severe budget cuts. Its going to be MUCH easier to say that our exit fee will come out of a pool of money we already paid the MAC rather than having to come up with an additional $500k or whatever it is to exit the MAC on top of whatever the fee is to join the AAC.


Though the goofy thing to begin with is why the state approved the large payment to begin with.

OR DONT ANSWER HUSKIEJERK

(08-17-2015 11:07 PM)Stay Cool Wrote:  

(08-17-2015 04:46 PM)HuskieJohn Wrote:  

(08-17-2015 04:20 PM)Stay Cool Wrote:  

(08-17-2015 03:32 PM)HuskieJohn Wrote:  

(08-17-2015 03:16 PM)Stay Cool Wrote:  This is what my friend had to say on the subject...

*WARNING U OF I FAN WORDS INCOMING*

"No exit fees don't work like that and are paid by the accepting conference anyway. It's probably because the Mac loses a **** ton of money every year"


Is he wrong?

No they are not. Temple paid their own exit fees from the MAC.

The Big East may have helped Temple but I highly doubt that the conference just gave the money to the Owl's. Maybe the BE gave them an advance on future income but that is it.


Now the B1G with Maryland's situation is a bit different because you are talking about HUGE TV contracts along with a HUGE exit fee and a HUGE department budgeting hole to begin with.

More from my friend theorizing...

" Still seems odd to me. If it's pre payment then Mac will have to "let them go for free" in a few years, which won't happen. Also, if Mac knows they're leaving to the point that they would agree to an exit fee then why not release it now and start marketing it like every other college does? "Moving to _______ in 2017", see Mizzou, Rutgers, Maryland, Louisville, etc, and if not then why pay extra money just in case? It would be a waste. Most likely its wrong info or that their bowls and perspective bowls are costing the Mac to the point that they agreed to a number for niu to help with the bill as niu tries to maintain success for an eventual move. The aac would want to market the aacs relevance to the Chicago market as much as niu would want to market the conference tier increase "

Thoughts?

Because NIU doesn't actually have an invite yet.

My guess is...NIU has an agreement with the AAC that NIU is the next up if/when the AAC gets raided.

This upfront money to the MAC is more for the sake of playing is safe because of our severe budget cuts. Its going to be MUCH easier to say that our exit fee will come out of a pool of money we already paid the MAC rather than having to come up with an additional $500k or whatever it is to exit the MAC on top of whatever the fee is to join the AAC.


Though the goofy thing to begin with is why the state approved the large payment to begin with.

OR DONT ANSWER HUSKIEJERK

What?

(08-18-2015 08:10 AM)HuskieJohn Wrote:  

(08-17-2015 11:07 PM)Stay Cool Wrote:  

(08-17-2015 04:46 PM)HuskieJohn Wrote:  

(08-17-2015 04:20 PM)Stay Cool Wrote:  

(08-17-2015 03:32 PM)HuskieJohn Wrote:  No they are not. Temple paid their own exit fees from the MAC.

The Big East may have helped Temple but I highly doubt that the conference just gave the money to the Owl's. Maybe the BE gave them an advance on future income but that is it.


Now the B1G with Maryland's situation is a bit different because you are talking about HUGE TV contracts along with a HUGE exit fee and a HUGE department budgeting hole to begin with.

More from my friend theorizing...

" Still seems odd to me. If it's pre payment then Mac will have to "let them go for free" in a few years, which won't happen. Also, if Mac knows they're leaving to the point that they would agree to an exit fee then why not release it now and start marketing it like every other college does? "Moving to _______ in 2017", see Mizzou, Rutgers, Maryland, Louisville, etc, and if not then why pay extra money just in case? It would be a waste. Most likely its wrong info or that their bowls and perspective bowls are costing the Mac to the point that they agreed to a number for niu to help with the bill as niu tries to maintain success for an eventual move. The aac would want to market the aacs relevance to the Chicago market as much as niu would want to market the conference tier increase "

Thoughts?

Because NIU doesn't actually have an invite yet.

My guess is...NIU has an agreement with the AAC that NIU is the next up if/when the AAC gets raided.

This upfront money to the MAC is more for the sake of playing is safe because of our severe budget cuts. Its going to be MUCH easier to say that our exit fee will come out of a pool of money we already paid the MAC rather than having to come up with an additional $500k or whatever it is to exit the MAC on top of whatever the fee is to join the AAC.


Though the goofy thing to begin with is why the state approved the large payment to begin with.

OR DONT ANSWER HUSKIEJERK

What?

lol i thought we were having a conversation and so did my friend with you and we eagerly awaited your response. And it never came... =*(


Just like the girls never came...

Quote:My guess is...NIU has an agreement with the AAC that NIU is the next up if/when the AAC gets raided.

C'mon... You really think the AAC is about to enter a wink-wink agreement with anyone? Seriously they hold all the cards. They can invite whatever MAC or Belt team they want with 0 notice and they will probably get them.

I know you're in the "if NIU joined the AAC camp we would sell 30K per game camp but nobody in the AAC is going to see it that way. They will see 18K for a fall weekend game against a B12 team. They will see terrible basketball. They will see a chicago market owned by Notre Dame and Illinois, not NIU.

Now NIU could still be their choice if they choose to expand. You certainly offer as much as any other MAC school but you do not offer substantially more than most MAC schools.

(08-18-2015 10:05 AM)Bull_In_Exile Wrote:  

Quote:My guess is...NIU has an agreement with the AAC that NIU is the next up if/when the AAC gets raided.

C'mon... You really think the AAC is about to enter a wink-wink agreement with anyone? Seriously they hold all the cards. They can invite whatever MAC or Belt team they want with 0 notice and they will probably get them.

I know you're in the "if NIU joined the AAC camp we would sell 30K per game camp but nobody in the AAC is going to see it that way. They will see 18K for a fall weekend game against a B12 team. They will see terrible basketball. They will see a chicago market owned by Notre Dame and Illinois, not NIU.

Now NIU could still be their choice if they choose to expand. You certainly offer as much as any other MAC school but you do not offer substantially more than most MAC schools.

There is no agreement needed to be made. NIU is high and on the short list of the AAC's backfill options (I would expect Toledo and Buffalo are too). Our AD knows that from conversations he has had with the AAC. So he is playing it safe by putting some extra money in ahead of time so that when the call comes he doesn't have to fumble for a $500k exit fee and possibly have NIU miss the opportunity while the AAC moves on. If it doesn't happen then NIU's dues are paid up for 5 years so there is no harm.

(08-18-2015 10:25 AM)HuskieJohn Wrote:  

(08-18-2015 10:05 AM)Bull_In_Exile Wrote:  

Quote:My guess is...NIU has an agreement with the AAC that NIU is the next up if/when the AAC gets raided.

C'mon... You really think the AAC is about to enter a wink-wink agreement with anyone? Seriously they hold all the cards. They can invite whatever MAC or Belt team they want with 0 notice and they will probably get them.

I know you're in the "if NIU joined the AAC camp we would sell 30K per game camp but nobody in the AAC is going to see it that way. They will see 18K for a fall weekend game against a B12 team. They will see terrible basketball. They will see a chicago market owned by Notre Dame and Illinois, not NIU.

Now NIU could still be their choice if they choose to expand. You certainly offer as much as any other MAC school but you do not offer substantially more than most MAC schools.

There is no agreement needed to be made.

That's what I said..

Quote:Our AD knows that from conversations he has had with the AAC. So he is playing it safe by putting some extra money in ahead of time so that when the call comes he doesn't have to fumble for a $500k exit fee and possibly have NIU miss the opportunity while the AAC moves on. If it doesn't happen then NIU's dues are paid up for 5 years so there is no harm.

I think it's *FAR* more likely this is an AD hedging against future budget cuts. Smart move with the Illinois Budget being where it is... The state has a Illinois faces $9 billion annual deficit and $159 billion in IOUs.

The bottom line is there are few if any downsides to paying in advance and some potential benefits so why not.

(08-18-2015 11:17 AM)ECBrad Wrote:  The bottom line is there are few if any downsides to paying in advance and some potential benefits so why not.

if the fee stays the same for the next five years then you are throwing away expensive money now for cheap money in the future.

Everybody is making way to much about this.... NIU never actually pays the MAC anything, this is a fictitious accounting entry. No check ever goes from NIU to the MAC and thus they never pre-paid anything. The MAC collects revenues for the institutions and then withholds membership dues. We don't even know if the other MAC schools have done the same, or I dunno, maybe since NIU went first with ESPN3 productions this was part of the arrangement where the MAC spotted NIU some funds for start-up and now is withholding 5 years worth of membership deductions from end of year revenue distributions?

.

(08-18-2015 02:38 PM)Miami (Oh) Yeah ! Wrote:  Everybody is making way to much about this.... NIU never actually pays the MAC anything, this is a fictitious accounting entry. No check ever goes from NIU to the MAC and thus they never pre-paid anything. The MAC collects revenues for the institutions and then withholds membership dues. We don't even know if the other MAC schools have done the same, or I dunno, maybe since NIU went first with ESPN3 productions this was part of the arrangement where the MAC spotted NIU some funds for start-up and now is withholding 5 years worth of membership deductions from end of year revenue distributions?

.

I agree with what you are saying.

The schools apparently owe dues and monies to support bowl games.

The conference collects monies from the college football playoff, ESPN, etc.

After the conference determines their level of funding necessary to carry out the mission of the conference then they can distribute the residentials to member institutions.

I wonder if NIU has had some unusual revenue/expenditure issues related to bowl games, e.g., the Orange Bowl game a few years ago.

(08-18-2015 02:38 PM)Miami (Oh) Yeah ! Wrote:  Everybody is making way to much about this.... NIU never actually pays the MAC anything, this is a fictitious accounting entry. No check ever goes from NIU to the MAC and thus they never pre-paid anything. The MAC collects revenues for the institutions and then withholds membership dues. We don't even know if the other MAC schools have done the same, or I dunno, maybe since NIU went first with ESPN3 productions this was part of the arrangement where the MAC spotted NIU some funds for start-up and now is withholding 5 years worth of membership deductions from end of year revenue distributions?

.

With how bureaucratic the state of Illinois is I highly doubt that there is no actual payment.

This info was taken directly off of the Illinois Procurement Bulletin. This document that I found has to be signed by someone from NIU, someone from the State Agency Bureau Division Head and the Deputy CPO / State Purchasing Officer.


I too suggested about the ESPN3.com production possibility at to the reason for this upfront money but none of the other schools who started up ESPN3.com production capabilities this past year have also paid 5 years worth of dues to have that reason seem logical.