(10-12-2021 02:42 PM)b0ndsj0ns Wrote:  

(10-12-2021 02:20 PM)pilot172000 Wrote:  

(10-07-2021 07:05 PM)HogDawg Wrote:  

(10-06-2021 08:20 AM)b2b Wrote:  Is it possible that some of the SBC and CUSA schools simply can't afford to pay the fees to move? Seems like LA Tech could be one since they've got one of the smallest budgets in FBS.

Good, and fair question. I do know that because LA Tech has essentially no debt on it's balance sheet, and already owns its' new and updated athletic facilities free and clear (assets) of debt, that makes LA Tech is one of very few CUSA schools who actually REALLY CAN AFFORD TO DO THIS.

In LA Tech's case, the increase in conference monies that would come from the AAC (probably a net increase of between $3M and $4 million minimum per year) essentially goes straight to LA Tech's bottom line, since there's no associated debt that needs to be retired. With an increase in conference revenue of $4 million per year, Tech can borrow money from it's foundation for CUSA exit fees ($5M) and the AAC's Entrance Fees ($7M to $10M) and even in the worst case scenario, still have an ROI payback period of LESS THAN 5 YEARS!! So, YES, LA Tech CAN DO THIS.

It's amazing what you can do when you have no debt. Furthermore, LA Tech is consistently one of the top 3 CUSA schools with the largest "donation" pool.

I have no idea what the AAC will do. For all I know, the AAC may just hate Tech or love 'em. But, the fact is, LA Tech's great Financial position and Balance Sheet, combined with its' consistently winning football, mens basketball and baseball programs, has to make LA Tech a leading candidate for one of the open spots if the AAC decides to add 4 schools or more.

AAC entrance fee is only 2.5 million.

And if they actually were somehow desperate enough they could just waive it.

The AAC has no reason to be desperate. I think that they are diligent and don't want to add schools that are willing to put in the crazy amount of work to get up to AAC standards. Many of the names being thrown around don't have the facilities to compete at AAC standards or a game plan to get their budgets up to competitive levels. I don't blame the AAC one bit for this. They are going to have a solid tv contract with ESPN and want the quality to be there in the future. Also many have maxed out their student fees and pushed their alumni to the brink to just get themselves to this point. The debt payments alone are going to eliminate many. The AAC has a proud brand and wants to take the blow of losing three bell cow members in stride. If that means only two to three get invited now so be it. Just don't lessen standards because you need an even number.