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Story: Moos plans to keep building & spending despite ath. dept losses

Hi Scott,

Quick comments/recommended edits.

The phrase in your linked article states:

"Washington State lost approximately $13.274 million in Fiscal Year 2014-15, which ended June 30, Moos said in a letter deliver last week to Cougar Athletic Fund donors."

This is tangibly inaccurate because that $13MM includes non-cash expenses (financial reports were prepared according to GAAP). Actual cash losses are probably in the neighborhood of $5.1MM to $9.9MM. A $13MM deficit would scare a lot of people/donors, but an actual cash loss of $5MM (instead of $13MM) is much more manageable; this helps explain why Bill appears to be so bullish on spending more money on facilities/staff. The University DOES have capacity for this, but for clearly obvious reasons it is much better to operate with positive cash income than have to be partially subsidized by the rest of the University system.

Although I am a homer and love WSU please understand that this is textbook math/accounting/analysis.
 
Consider also that Moos is putting his agenda and plans out there ahead of the arrival of the new president - which could be announced in the very near future. Charting his course and making it public will put some degree of pressure on the new chief to support his approach, at least in the near term.
 
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I actually believe that since college athletics are effectively a monopoly enterprise (and society has decided that universities should have big athletics programs), then salaries and facilities spending should be regulated and constrained on a national level.

Could you elaborate on this? For pure curiosity sake.
 
Could you elaborate on this? For pure curiosity sake.
What I mean by this is that there are extremely high barriers to entry. No one can start a college football team to compete with existing ones like someone could start an ice cream shop to compete with Baskin-Robbins or Diary Queen, for example. Plus, the colleges are not private enterprise entities either.
 
What I mean by this is that there are extremely high barriers to entry. No one can start a college football team to compete with existing ones like someone could start an ice cream shop to compete with Baskin-Robbins or Diary Queen, for example. Plus, the colleges are not private enterprise entities either.

I think perhaps you may have your reasoning turned around. A barrier to entry (if we are using college football) would be like USC having either a law or legal contract in place barring ANY other University in the LA area from fielding a team. They would have a monopoly in the LA market and would literally be the only player in town.

In reality, although financially difficult, a College (if it so chooses) can fund/form a team, join a conference, and compete within a few years. That doesn't guarantee that they will instantly have a winning record but the fact that they CAN is what makes college football not a monopoly; in terms of poor wins/lose record for newly created teams - this is similar to how internet start-ups often lose money YOY for their first five years of operation.

It'd be like saying a large online retailer has a monopoly because they are so big and have so much money. Well, that didn't stop Zulily from forming, competing, and becoming fairly profitable...
 
I think perhaps you may have your reasoning turned around. A barrier to entry (if we are using college football) would be like USC having either a law or legal contract in place barring ANY other University in the LA area from fielding a team. They would have a monopoly in the LA market and would literally be the only player in town.

In reality, although financially difficult, a College (if it so chooses) can fund/form a team, join a conference, and compete within a few years. That doesn't guarantee that they will instantly have a winning record but the fact that they CAN is what makes college football not a monopoly; in terms of poor wins/lose record for newly created teams - this is similar to how internet start-ups often lose money YOY for their first five years of operation.

It'd be like saying a large online retailer has a monopoly because they are so big and have so much money. Well, that didn't stop Zulily from forming, competing, and becoming fairly profitable...

I don't think that there has to be a law or legal contract in place barring a competitor for it to be considered it a monopoly from a legal standpoint.

Practically speaking, it is not a viable option for someone to start a college/university and eventually join a P5 conference.
 
I think perhaps you may have your reasoning turned around. A barrier to entry (if we are using college football) would be like USC having either a law or legal contract in place barring ANY other University in the LA area from fielding a team. They would have a monopoly in the LA market and would literally be the only player in town.

In reality, although financially difficult, a College (if it so chooses) can fund/form a team, join a conference, and compete within a few years. That doesn't guarantee that they will instantly have a winning record but the fact that they CAN is what makes college football not a monopoly; in terms of poor wins/lose record for newly created teams - this is similar to how internet start-ups often lose money YOY for their first five years of operation.

It'd be like saying a large online retailer has a monopoly because they are so big and have so much money. Well, that didn't stop Zulily from forming, competing, and becoming fairly profitable...
The number of micro-breweries (and wineries, I suppose) that are rivaling Bud and Coors could be another prime example. An industry that was (and still is to a certain extent) almost as restrictive as any other industry in the nation, now has a horizon spectrum that is vastly wider than it was even 10 years ago, with mom and pop shops all across the nation.

But even the basic premise… How_Did… you do realize Gonzaga is a private entity. Stanford… Private… BYU… Private. Across the nation, there are so many. Someone had a dream, created a group and worked to make it happen. There is nothing near a "monopoly". Sorry man. Completely disagree with you. Every state in the union has, at least 1 or 2 private colleges. Many of them of incredible standing. They just have to grow enough, or care enough, to build an athletic program or a football program… if they don't have one already.
 
Maybe the phrase colluding oligopolies could be substituted for monopoly. But that wouldn't work either. Just ask Idaho Football.
 
Consider also that Moos is putting his agenda and plans out there ahead of the arrival of the new president - which could be announced in the very near future. Charting his course and making it public will put some degree of pressure on the new chief to support his approach, at least in the near term.
A good observation. One would hope that Moos is doing this with the approval and understanding of the BOR and the presidential search committee. Otherwise this could backfire. I know that I would be pissed if I took a job only to find that my intended plan had been preempted by a subordinate prior to my arrival. Moos's plan of expansion needs to be made clear to the next president prior to his or her acceptance of the position. This may be moot to an extent as I suspect that the search committee has the memory of ESF in the back of their minds and is looking for someone with a similar outlook for the school.
 
I don't think that there has to be a law or legal contract in place barring a competitor for it to be considered it a monopoly from a legal standpoint.

Practically speaking, it is not a viable option for someone to start a college/university and eventually join a P5 conference.

What I mean by this is that there are extremely high barriers to entry. No one can start a college football team to compete with existing ones like someone could start an ice cream shop to compete with Baskin-Robbins or Diary Queen, for example. Plus, the colleges are not private enterprise entities either.

Your examples don't illustrate your point. There's nothing barring someone from starting an ice cream shop and competing with Baskin-Robbins or Dairy Queen, and there are many small, local ice cream places that do. The odds of any of them growing and becoming a true corporate competitor are very low, but it's not impossible.

The same is true of college football. If a new university was to come into being, and decide to play football, they could. They could become an NCAA institution, and once they reached the appropriate size, research activity, etc., they could be considered for admission to the Pac-12 or any other conference. Again, the odds of it happening are low, but it's not impossible. 20 years ago, how many people would have predicted that Utah would be in the Pac-12, or that TCU would be in the Big 12? Or that Boise State would be relevant at all?
 
Your examples don't illustrate your point. There's nothing barring someone from starting an ice cream shop and competing with Baskin-Robbins or Dairy Queen, and there are many small, local ice cream places that do. The odds of any of them growing and becoming a true corporate competitor are very low, but it's not impossible.

The same is true of college football. If a new university was to come into being, and decide to play football, they could. They could become an NCAA institution, and once they reached the appropriate size, research activity, etc., they could be considered for admission to the Pac-12 or any other conference. Again, the odds of it happening are low, but it's not impossible. 20 years ago, how many people would have predicted that Utah would be in the Pac-12, or that TCU would be in the Big 12? Or that Boise State would be relevant at all?
The Stanford family started Stanford University after they lost their only son from Typhoid (I think) somewhere in the teenage years. They basically said they were adopting the CA children and wanted to make them better people. They cut against the grain and allowed women during a time when that was NOT normal. They also made it a non-denominational institution at a time when Catholic schools were VERY in vogue. The first year was a smashing hit. They almost tripled in size from the first to the second year. A man and woman took a risk to make their homestead a school, spent 5 or 6 years of research and spent their own money to make their dream come true. I'm a Coug, through and through. But the Stanford story is a great one. They risked so much because they believed in their dream. They succeeded. Completely private. The school was literally named after their lost son.
 
I happen to have a local perspective on this (and no.....it's not KSU :)).

Wichita State University dropped football in 1986 after years of fan apathy. The Shockers played in the Missouri Valley Conference until it dissolved in 1985 and competed as an independent in 1986. Being an independent (and a small conference before that) meant that it was difficult to get teams to play at Wichita State which, as we know, is a great way to have a lot of road losses. So, after the end of the 1986 season, they announced that football was going to be dropped as an intercollegiate sport and released all their players.

Five times since Wichita State dropped football, there have been initiatives to revive the program. Every one has failed. The current university president, recognizing the valuable role that football plays has started another review of the football program. They estimate that it will take $12 million to get the program started if they use their existing 30,000 seat stadium that was built in the 60's and hasn't had meaningful improvements since then. The cost balloons dramatically if they want a stadium that fans will enjoy using.

The annual cost would be around $4 million per year at the FCS level, $7 million per year as a low level FBS team and double that to compete at the BCS level. Georgia State and UNC Charlotte are two programs that relaunched football after a hiatus and are being used as the blueprint for the current planning for the return of Shocker football. Georgia State moved to FBS after 3 years in the FCS and had their first bowl appearance as a member of the Sun Belt conference in 2015. UNCC joined Conference USA after two years in the FBS last year. Both spend around $6 million per year at this time. Neither is a candidate to jump to a BCS conference any time soon.

One of the primary reasons that Wichita State has not started football back up is that there is a belief (understanding?) that local fans will not be prone to abandon their allegiance to KSU, KU, Nebraska, Oklahoma or Texas for an FCS program or even a non-BCS program, so it would be imperative for Wichita State to advance as quickly as possible in order to keep the financial side of the equation viable. When you factor in that most BCS conference universities are spending far more than $10 million per year on football, there is an economic hurdle that can not easily be crossed. On top of that, merely competing at a high level with energetic fans and a flush budget does nothing to guarantee your opportunity to compete in a BCS conference. We've seen threads on this board asking why Houston is not in the Big 12. Schools like BYU and Boise State would love to join BCS conferences but are not receiving invites. What I am getting at, in my prototypical long-winded fashion, is that there is, without a doubt, a monopoly type situation existing in college football where the have nots are very definitely deprived the opportunity to compete on a level playing field.
 
I happen to have a local perspective on this (and no.....it's not KSU :)).
One of the primary reasons that Wichita State has not started football back up is that there is a belief (understanding?) that local fans will not be prone to abandon their allegiance to KSU, KU, Nebraska, Oklahoma or Texas for an FCS program or even a non-BCS program, so it would be imperative for Wichita State to advance as quickly as possible in order to keep the financial side of the equation viable. When 1. you factor in that most BCS conference universities are spending far more than $10 million per year on football, there is an economic hurdle that can not easily be crossed. On top of that, merely 2. competing at a high level with energetic fans and a flush budget does nothing to guarantee your opportunity to 3. compete in a BCS conference. We've seen threads on this board asking why Houston is not in the Big 12. Schools like BYU and Boise State would love to join BCS conferences but are not receiving invites. What I am getting at, in my prototypical long-winded fashion, is 4. that there is, without a doubt, a monopoly type situation existing in college football where the have nots are very definitely deprived the opportunity to compete on a level playing field.

1. You can say the same thing about literally ANY industry that is capital intensive (any manufacturing industry that requires heavy expensive equipment, etc.., as another example).

2. In ANY industry, you must have an attractive product to "sell" to fans.

3. How do we define "competing", is it win/loss record? Does Oregon State compete at the BCS level?

4. Again I am not sure how you are getting to this. By the very definition of Monopoly nothing of what you said would prevent a determined and focused University from fielding a team if it truly desired to...

I am sorry, but there is no monopoly type situation....
 
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I happen to have a local perspective on this (and no.....it's not KSU :)).

Wichita State University dropped football in 1986 after years of fan apathy. The Shockers played in the Missouri Valley Conference until it dissolved in 1985 and competed as an independent in 1986. Being an independent (and a small conference before that) meant that it was difficult to get teams to play at Wichita State which, as we know, is a great way to have a lot of road losses. So, after the end of the 1986 season, they announced that football was going to be dropped as an intercollegiate sport and released all their players.

Five times since Wichita State dropped football, there have been initiatives to revive the program. Every one has failed. The current university president, recognizing the valuable role that football plays has started another review of the football program. They estimate that it will take $12 million to get the program started if they use their existing 30,000 seat stadium that was built in the 60's and hasn't had meaningful improvements since then. The cost balloons dramatically if they want a stadium that fans will enjoy using.

The annual cost would be around $4 million per year at the FCS level, $7 million per year as a low level FBS team and double that to compete at the BCS level. Georgia State and UNC Charlotte are two programs that relaunched football after a hiatus and are being used as the blueprint for the current planning for the return of Shocker football. Georgia State moved to FBS after 3 years in the FCS and had their first bowl appearance as a member of the Sun Belt conference in 2015. UNCC joined Conference USA after two years in the FBS last year. Both spend around $6 million per year at this time. Neither is a candidate to jump to a BCS conference any time soon.

One of the primary reasons that Wichita State has not started football back up is that there is a belief (understanding?) that local fans will not be prone to abandon their allegiance to KSU, KU, Nebraska, Oklahoma or Texas for an FCS program or even a non-BCS program, so it would be imperative for Wichita State to advance as quickly as possible in order to keep the financial side of the equation viable. When you factor in that most BCS conference universities are spending far more than $10 million per year on football, there is an economic hurdle that can not easily be crossed. On top of that, merely competing at a high level with energetic fans and a flush budget does nothing to guarantee your opportunity to compete in a BCS conference. We've seen threads on this board asking why Houston is not in the Big 12. Schools like BYU and Boise State would love to join BCS conferences but are not receiving invites. What I am getting at, in my prototypical long-winded fashion, is that there is, without a doubt, a monopoly type situation existing in college football where the have nots are very definitely deprived the opportunity to compete on a level playing field.
Ummm. You obviously haven't seen the new helmets they've unveiled over the past few weeks? You're whole point is officially moot.
http://www.sportingnews.com/ncaa-fo...ll-returning-helmet-photo-shockers-john-bardo

wichita-state-football-helmet_1wx9a5ubw3dvx1gig1sn4l9cj1.png
 
1. You can say the same thing about literally ANY industry that is capital intensive (any manufacturing industry that requires heavy expensive equipment, etc.., as another example).

2. In ANY industry, you must have an attractive product to "sell" to fans.

3. How do we define "competing", is it win/loss record? Does Oregon State compete at the BCS level?

4. Again I am not sure how you are getting to this. By the very definition of Monopoly nothing of what you said would prevent a determined and focused University from fielding a team if it truly desired to...

I am sorry, but there is no monopoly type situation....

Can Boise State and BYU become a "BCS" team? What about Houston? It doesn't matter how much money they have or their number of wins, they aren't getting invited to a BCS conference right now regardless. Those three teams have won 10+ games in the past 10 years at a rate far more frequent than the majority of FBS teams. Doesn't matter. Houston is in one of the biggest cities in the country. Doesn't matter. BYU has one of the biggest fan bases in the country. Doesn't matter. In time, they may get a chance, but in the meantime, they are completely at the mercy of the whims of the BCS conferences and their members. There is an artificial barrier to entry in place based on decades of insider deals. Political posturing and geographic positioning are the only things that can get you into the club.

As for the Wichita State helmet pictured above......Wichita State spent a few million dollars in the mid 90's splashing paint on their football stadium and putting a new turf field down, and still doesn't have a football team 20 years later. Unless Charles Koch decides to pony up millions of dollars, Shocker football is most likely going to remain a dead program. Everyone knows that a Shocker FCS team would play in front of a 2/3rds empty stadium on a Saturday afternoon if KSU, OU, Texas, or Nebraska is on TV. It would be kind of cool to have a local team to support, but I wouldn't go watch the Shockers if the real WSU was playing and that goes for too many people here. They would only support them if they were playing at a similar level to the other teams.

I will admit that there is more traction this year than in the past, but that football helmet picture was quickly explained away as a thoughtful concept to stir up conversation and nothing more at that point.
 
Can Boise State and BYU become a "BCS" team? What about Houston? It doesn't matter how much money they have or their number of wins, they aren't getting invited to a BCS conference right now regardless. Those three teams have won 10+ games in the past 10 years at a rate far more frequent than the majority of FBS teams. Doesn't matter. Houston is in one of the biggest cities in the country. Doesn't matter. BYU has one of the biggest fan bases in the country. Doesn't matter. In time, they may get a chance, but in the meantime, they are completely at the mercy of the whims of the BCS conferences and their members. There is an artificial barrier to entry in place based on decades of insider deals. Political posturing and geographic positioning are the only things that can get you into the club.

As for the Wichita State helmet pictured above......Wichita State spent a few million dollars in the mid 90's splashing paint on their football stadium and putting a new turf field down, and still doesn't have a football team 20 years later. Unless Charles Koch decides to pony up millions of dollars, Shocker football is most likely going to remain a dead program. Everyone knows that a Shocker FCS team would play in front of a 2/3rds empty stadium on a Saturday afternoon if KSU, OU, Texas, or Nebraska is on TV. It would be kind of cool to have a local team to support, but I wouldn't go watch the Shockers if the real WSU was playing and that goes for too many people here. They would only support them if they were playing at a similar level to the other teams.

I will admit that there is more traction this year than in the past, but that football helmet picture was quickly explained away as a thoughtful concept to stir up conversation and nothing more at that point.
That explains a lot. So it isn't that there is some sort of conspiracy among the NCAA members. It isn't a monopoly driven by any force that is holding Witchita State down. It sounds like there isn't a MARKET for it. Good point. Gotta have a market.
 
That explains a lot. So it isn't that there is some sort of conspiracy among the NCAA members. It isn't a monopoly driven by any force that is holding Witchita State down. It sounds like there isn't a MARKET for it. Good point. Gotta have a market.

That wasn't my point at all. My point was that because there is a very definite desire by the elite of college football to keep the small programs down, a school like Wichita State can't reasonably plan a path that ends with membership in a BCS conference. The Wichita market will not support an FCS team. They would support a good BCS conference team. I have no idea what kind of support there is for a low level FBS team. Like any fanbase, they support a winner and want to root for a team that is relevant nationally. It was amazingly easy to get tickets when the Shockers had an NIT level basketball team and really difficult to get tickets when they started winning 30 games per year and going deep into the NCAA tournament.
 
Can Boise State and BYU become a "BCS" team? What about Houston? It doesn't matter how much money they have or their number of wins, they aren't getting invited to a BCS conference right now regardless. Those three teams have won 10+ games in the past 10 years at a rate far more frequent than the majority of FBS teams. Doesn't matter. Houston is in one of the biggest cities in the country. Doesn't matter. BYU has one of the biggest fan bases in the country. Doesn't matter. In time, they may get a chance, but in the meantime, they are completely at the mercy of the whims of the BCS conferences and their members. There is an artificial barrier to entry in place based on decades of insider deals. Political posturing and geographic positioning are the only things that can get you into the club.

I'm confused as to what you are talking about now. The examples you are using now are colleges that ARE currently fielding teams, and arguably are making money....
 
I'm confused as to what you are talking about now. The examples you are using now are colleges that ARE currently fielding teams, and arguably are making money....

Maybe calling it a monopoly isn't the right descriptor. Maybe it's more of a caste system where a school is virtually destined to exist at a certain level with a ceiling over its head that prevents it from rising up. There are rare exceptions, but in general, the rich programs keep the poor programs from escaping "poverty". WSU is lucky to be one of the "rich" programs, although we are obviously at the bottom of our caste (or close).
 
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Hi Scott,

Quick comments/recommended edits.

The phrase in your linked article states:

"Washington State lost approximately $13.274 million in Fiscal Year 2014-15, which ended June 30, Moos said in a letter deliver last week to Cougar Athletic Fund donors."

This is tangibly inaccurate because that $13MM includes non-cash expenses (financial reports were prepared according to GAAP). Actual cash losses are probably in the neighborhood of $5.1MM to $9.9MM. A $13MM deficit would scare a lot of people/donors, but an actual cash loss of $5MM (instead of $13MM) is much more manageable; this helps explain why Bill appears to be so bullish on spending more money on facilities/staff. The University DOES have capacity for this, but for clearly obvious reasons it is much better to operate with positive cash income than have to be partially subsidized by the rest of the University system.

Although I am a homer and love WSU please understand that this is textbook math/accounting/analysis.

I don't believe that is entirely accurate with absolute certainty. WSU Athletics doesn't 'own' the facilities - the university does. Depreciation is taken as an expense on the university's financials. In turn, the university leases/rents the facilities to the athletic department. The rent is presumably at a rate sufficient to cover the cash flow required for facility maintenance and debt service. Perhaps they factor in some allocated overhead or depreciation, perhaps they don't. More certainly the university is at a minimum charging whatever cash is going out the door.

Without looking completely into the General Ledger, I would be very hesitant to discount that this deficit is just journal entries or internal accounting mumbo jumbo. Not saying you're entirely incorrect, simply pointing out that without more detail, it's not outside the realm of possibility that the $13 Million is really $13 Million - or some number relatively close to it (which then i suppose your $9.9 Million might be more in the neighborhood and what's $10 Million annual cash burn amongst friends?).
 
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I don't believe that is entirely accurate with absolute certainty. WSU Athletics doesn't 'own' the facilities - the university does. Depreciation is taken as an expense on the university's financials. In turn, the university leases/rents the facilities to the athletic department. The rent is presumably at a rate sufficient to cover the cash flow required for facility maintenance and debt service. Perhaps they factor in some allocated overhead or depreciation, perhaps they don't. More certainly the university is at a minimum charging whatever cash is going out the door.

Without looking completely into the General Ledger, I would be very hesitant to discount that this deficit is just journal entries or internal accounting mumbo jumbo. Not saying you're entirely incorrect, simply pointing out that without more detail, it's not outside the realm of possibility that the $13 Million is really $13 Million - or some number relatively close to it (which then i suppose your $9.9 Million might be more in the neighborhood and what's $10 Million annual cash burn amongst friends?).

Ha! This is how you disagree with someone while not being an insulting buffoon (if you've read this board this past year you'd see how low things can get).

I see where you are coming from. Is WSU Athletics a true subsidiary of the University? Does the University "charge" rent in the traditional sense to WSU Athletics? I'm not sure.

If you want to take a crack at it, you can find the FYE 6/30/15 audit here:

http://genacct.wsu.edu/finstat.html
 
Ha! This is how you disagree with someone while not being an insulting buffoon (if you've read this board this past year you'd see how low things can get).

I see where you are coming from. Is WSU Athletics a true subsidiary of the University? Does the University "charge" rent in the traditional sense to WSU Athletics? I'm not sure.

If you want to take a crack at it, you can find the FYE 6/30/15 audit here:

http://genacct.wsu.edu/finstat.html

Someday I'll circle back and dig into it. Right now, I'm a little tied up with, you know...real accounting/year-end audit/tax time. As I recall, there is a line item for 'rent/facility maintenance' or something like that (too lazy/busy to look it up) on the P&L Moos and the university released.

I do think there is a significant cash deficit but honestly haven't spent enough time on it to feel confident with a specific number. Your $9.9 Million burn-rate 'seems' about right. Taken cumulatively, that is ultimately going to get on somebody's radar. There's probably some acceptable level of deficit for 'PR/door to the university' but once you hit double-figures that gets a little harder to justify.
 
Maybe calling it a monopoly isn't the right descriptor. Maybe it's more of a caste system where a school is virtually destined to exist at a certain level with a ceiling over its head that prevents it from rising up. There are rare exceptions, but in general, the rich programs keep the poor programs from escaping "poverty". WSU is lucky to be one of the "rich" programs, although we are obviously at the bottom of our caste (or close).
I'm sorry. How many of you guys that are thinking this is a monopoly or caste system, own their own business? Because basically, that's what we are talking about. Starting a college or business.

I'm not trying to be aggressive and I'm a little concerned it sounds like I am. So if so, I'm sorry. But please give me any business where what you've outlined isn't applicable… I guess I really don't see your guys point. And maybe that's because I own my own business and see how all the things you guys are saying, are relevant to general business. Very much applicable to mine. I work with TV. I have MGM, I have the Weinstein Group, locally I have NxNW, all competitors that have grown and raised the bar so high, I have to get to that level. These are monster big boys that I have to compete against. And in my opinion, there isn't anything wrong with that. You've got to take risks, financial risks, you have to change the status quo, you have to go at with all your might, concentration and will in order to survive, let alone thrive.

I listen to a guy named Eric Thomas. He's kind of a motivational speaker but seems to focus of sports. CML's first year, he came to talk to the team. That's where I found him. One of my favorite quotes: "If it was easy, everyone would be doing it!" Just seems like people want things to be easy. Life isn't, nor should it… Maybe just me.



Wanna start a college? No one is stopping you. No one is stopping anyone from starting anything. Just make sure you want it like you want to breathe (Gotta watch the video to get it). Just like any other business.
 
I'm sorry. How many of you guys that are thinking this is a monopoly or caste system, own their own business? Because basically, that's what we are talking about. Starting a college or business.

I'm not trying to be aggressive and I'm a little concerned it sounds like I am. So if so, I'm sorry. But please give me any business where what you've outlined isn't applicable… I guess I really don't see your guys point. And maybe that's because I own my own business and see how all the things you guys are saying, are relevant to general business. Very much applicable to mine. I work with TV. I have MGM, I have the Weinstein Group, locally I have NxNW, all competitors that have grown and raised the bar so high, I have to get to that level. These are monster big boys that I have to compete against. And in my opinion, there isn't anything wrong with that. You've got to take risks, financial risks, you have to change the status quo, you have to go at with all your might, concentration and will in order to survive, let alone thrive.

I listen to a guy named Eric Thomas. He's kind of a motivational speaker but seems to focus of sports. CML's first year, he came to talk to the team. That's where I found him. One of my favorite quotes: "If it was easy, everyone would be doing it!" Just seems like people want things to be easy. Life isn't, nor should it… Maybe just me.



Wanna start a college? No one is stopping you. No one is stopping anyone from starting anything. Just make sure you want it like you want to breathe (Gotta watch the video to get it). Just like any other business.

When you start an Italian restaurant in a town, you normally don't need to get permission from all the other Italian restaurants in that town before you can sell Italian food.
 
When you start an Italian restaurant in a town, you normally don't need to get permission from all the other Italian restaurants in that town before you can sell Italian food.

And a University doesn't need permission from USC to field a football team... With regards to a monopoly, the debate isn't about W/L's or how much money a University can generate from their team... It's about whether they CAN field a team at all if they so choose to.... everything after that is competition (no pun intended).
 
And a University doesn't need permission from USC to field a football team... With regards to a monopoly, the debate isn't about W/L's or how much money a University can generate from their team... It's about whether they CAN field a team at all if they so choose to.... everything after that is competition (no pun intended).

Actually, universities do have to get permission to join the FBS. And they most definitely have to get permission to join a BCS conference.

The way that college football works is the equivalent of a guy trying to start a Chevrolet dealership but being told he can't because there is already a Ford dealership in town but they will allow him to sell used cars.....as long as he agrees to stay off the main roads, limit his inventory and not advertise on TV. In time, if he sells enough cars and bribes some local officials, they might let him open a new car dealership, but it's got to be a Kia or Subaru dealership first. And there is no way that the Porsche dealer is going to allow him on the same block as him.
 
Actually, universities do have to get permission to join the FBS. And they most definitely have to get permission to join a BCS conference.

The way that college football works is the equivalent of a guy trying to start a Chevrolet dealership but being told he can't because there is already a Ford dealership in town but they will allow him to sell used cars.....as long as he agrees to stay off the main roads, limit his inventory and not advertise on TV. In time, if he sells enough cars and bribes some local officials, they might let him open a new car dealership, but it's got to be a Kia or Subaru dealership first. And there is no way that the Porsche dealer is going to allow him on the same block as him.

Link? Actually curious to look up the process in detail and see how tedious it is. If it's literally them saying "Hi USC, Id like to field a football team, you don't care right?" Then I would agree with you. If it's far from that, then....
 
Link? Actually curious to look up the process in detail and see how tedious it is. If it's literally them saying "Hi USC, Id like to field a football team, you don't care right?" Then I would agree with you. If it's far from that, then....

NCAA Rules Link

From Wikipedia (so you know it's fact?):

In order to retain FBS membership, schools must meet several requirements. FBS schools must have an average home attendance of at least 15,000 (over a rolling two-year period). An FBS school must sponsor a minimum of sixteen varsity intercollegiate teams, with at least eight all-female teams. Across all sports, each FBS school must offer at least 200 athletic scholarships (or spend at least $4 million on athletic scholarships) per year, and FBS football teams must provide at least 90% of the maximum number of football scholarships (which is currently 85). In order to move up to the FBS, an FCS school must also have accepted an invitation to join an FBS conference.

The last sentence of the above paragraph from the Wikipedia page is not specifically stated in the link above, but it's implied by the fact that 60% of the games must be scheduled against FBS opponents is a pretty difficult standard for a team to achieve given that the SEC is the only conference that routinely schedules a late OOC game and most of them typically do it on the same weekend. You have to spend two years in the FCS to establish the attendance average. When you do that, you also have to factor adding the other scholarships for women that is required by Title IX. For what it's worth, the Wikipedia article uses James Madison's inability to convince the Sun Belt to allow them to join as evidence that conference membership is a requirement.

It's not impossible to do, but it isn't easy. 59 schools have decided to add football since 2008 according to the article in this link: Adding Football

Of them, only 5 are on track to make it to the FBS (Georgia State, UNCC, UTSA, Old Dominion, and South Alabama). UAB is going to rejoin FBS next year without the wait, but they were already FBS when they suspended their program, so I'm not sure that it counts. None of the five that made the move to FBS have a snowball's chance in hell of getting into a BCS conference anytime soon. At this point, you have a 10% chance of getting that new car dealership and zero percent chance of getting on the same block as the Porsche dealership.
 
Maybe calling it a monopoly isn't the right descriptor. Maybe it's more of a caste system where a school is virtually destined to exist at a certain level with a ceiling over its head that prevents it from rising up. There are rare exceptions, but in general, the rich programs keep the poor programs from escaping "poverty". WSU is lucky to be one of the "rich" programs, although we are obviously at the bottom of our caste (or close).
Now I'm with you. There's no doubt that there's a caste system. That's part of why teams like Alabama, Notre dame, Texas, and Michigan can play most of their games at home every year, rarely travel more than a time zone, schedule a pillow soft OOC, and still be ranked at 8-4 and get a bowl around New year's. But if WSU, Indiana, Duke, or Kansas does the same thing, we're unranked and playing at 11AM on Thursday before Christmas.

Those programs are "old money". They belong. Oregon, Boise State, and TCU are "New money". They get to come to the party because everyone likes money, but the traditionalist will still sneer down their noses - even when they lose - and make sure everyone knows that the new kids don't belong. BYU is sort of old money too, but they're the cousin that married a foreigner and embarrassed the family, so they're only talked about when necessary. The rest of us are just house servants who should know our place downstairs.

But it's not a monopoly. If Mark Zuckerberg decided to start FBU, he could eventually make (buy) his way into the NCAA and a conference. Or he could adopt San Jose state and see them promoted. They wouldn't have respect, but they'd be at the party.

If you want monopoly - look at the NCAA itself.
 
Now I'm with you. There's no doubt that there's a caste system. That's part of why teams like Alabama, Notre dame, Texas, and Michigan can play most of their games at home every year, rarely travel more than a time zone, schedule a pillow soft OOC, and still be ranked at 8-4 and get a bowl around New year's. But if WSU, Indiana, Duke, or Kansas does the same thing, we're unranked and playing at 11AM on Thursday before Christmas.

Those programs are "old money". They belong. Oregon, Boise State, and TCU are "New money". They get to come to the party because everyone likes money, but the traditionalist will still sneer down their noses - even when they lose - and make sure everyone knows that the new kids don't belong. BYU is sort of old money too, but they're the cousin that married a foreigner and embarrassed the family, so they're only talked about when necessary. The rest of us are just house servants who should know our place downstairs.

But it's not a monopoly. If Mark Zuckerberg decided to start FBU, he could eventually make (buy) his way into the NCAA and a conference. Or he could adopt San Jose state and see them promoted. They wouldn't have respect, but they'd be at the party.

If you want monopoly - look at the NCAA itself.
Agreed. Good links, flat. But I'll still go back to the whole process. Start a college, start a university. Stanford wasn't built in a day. BYU wasn't either. It took decades to achieve their current status. They made it to where the BCS, the conference, couldn't say "no". Cripes, Stanford was INVITED. I think the part most/all of us had was the "monopoly" part.

To respond to the restaurant part, to "open" a restaurant? Nope. To become the elite of elite Italian restaurants that is National? You may not need to have "permission" but you have more work involved that you or I will ever know. It's very much a caste system. To become a national powerhouse in any industry, it's a caste. To rival Walmart? To rival GE? That's my only point.
 
Agreed. Good links, flat. But I'll still go back to the whole process. Start a college, start a university. Stanford wasn't built in a day. BYU wasn't either. It took decades to achieve their current status. They made it to where the BCS, the conference, couldn't say "no". Cripes, Stanford was INVITED. I think the part most/all of us had was the "monopoly" part.

To respond to the restaurant part, to "open" a restaurant? Nope. To become the elite of elite Italian restaurants that is National? You may not need to have "permission" but you have more work involved that you or I will ever know. It's very much a caste system. To become a national powerhouse in any industry, it's a caste. To rival Walmart? To rival GE? That's my only point.

95's post about new money and old money is spot on and you are correct that given enough patience, money, effort and success, any university has the potential to get into the club (or change their caste). It's still an incredibly corrupt system that is very harmful to the lower level programs, but at the same time, they aren't obligated to be part of it. Yale, Harvard and the like are incredibly powerful universities today despite the fact that most people probably aren't aware that they still field football teams at all.

The good news for WSU is that at least we are in the right caste when it comes to football and our situation is the one that started this thread......we have to deficit spend right now with the hopes of improving our standing in the system to the point where we catch up and keep our heads above water.
 
NCAA Rules Link

From Wikipedia (so you know it's fact?):

In order to retain FBS membership, schools must meet several requirements. FBS schools must have an average home attendance of at least 15,000 (over a rolling two-year period). An FBS school must sponsor a minimum of sixteen varsity intercollegiate teams, with at least eight all-female teams. Across all sports, each FBS school must offer at least 200 athletic scholarships (or spend at least $4 million on athletic scholarships) per year, and FBS football teams must provide at least 90% of the maximum number of football scholarships (which is currently 85). In order to move up to the FBS, an FCS school must also have accepted an invitation to join an FBS conference.

The last sentence of the above paragraph from the Wikipedia page is not specifically stated in the link above, but it's implied by the fact that 60% of the games must be scheduled against FBS opponents is a pretty difficult standard for a team to achieve given that the SEC is the only conference that routinely schedules a late OOC game and most of them typically do it on the same weekend. You have to spend two years in the FCS to establish the attendance average. When you do that, you also have to factor adding the other scholarships for women that is required by Title IX. For what it's worth, the Wikipedia article uses James Madison's inability to convince the Sun Belt to allow them to join as evidence that conference membership is a requirement.

It's not impossible to do, but it isn't easy. 59 schools have decided to add football since 2008 according to the article in this link: Adding Football

Of them, only 5 are on track to make it to the FBS (Georgia State, UNCC, UTSA, Old Dominion, and South Alabama). UAB is going to rejoin FBS next year without the wait, but they were already FBS when they suspended their program, so I'm not sure that it counts. None of the five that made the move to FBS have a snowball's chance in hell of getting into a BCS conference anytime soon. At this point, you have a 10% chance of getting that new car dealership and zero percent chance of getting on the same block as the Porsche dealership.

Thanks for the wiki (sigh) info. So it's hard to field a college team. I think caste system is a much better describer, not monopoly...
 
That wasn't my point at all. My point was that because there is a very definite desire by the elite of college football to keep the small programs down, a school like Wichita State can't reasonably plan a path that ends with membership in a BCS conference. The Wichita market will not support an FCS team. They would support a good BCS conference team. I have no idea what kind of support there is for a low level FBS team. Like any fanbase, they support a winner and want to root for a team that is relevant nationally. It was amazingly easy to get tickets when the Shockers had an NIT level basketball team and really difficult to get tickets when they started winning 30 games per year and going deep into the NCAA tournament.

Once upon a time Europe had this problem with soccer. The result was the implementation of promotion and relegation.
 
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