1 00:00:00,400 --> 00:00:03,560 Speaker 1: Hello, I'm Evan Noby Williams and I'm Michael Vare Scott 2 00:00:03,640 --> 00:00:05,640 Speaker 1: as the Day Off and this is thee work Business 3 00:00:05,680 --> 00:00:08,200 Speaker 1: of Sports podcast where we explore the big money issues 4 00:00:08,240 --> 00:00:11,200 Speaker 1: in the world of sports. Today. We begin with word 5 00:00:11,240 --> 00:00:15,120 Speaker 1: that the NFL is considering expanding its regular season schedule 6 00:00:15,400 --> 00:00:20,360 Speaker 1: to seventeen games as part of the next collective bargaining agreement. Evan, 7 00:00:20,440 --> 00:00:23,920 Speaker 1: we got confirmation of this from Dallas Cowboys owner Jerry 8 00:00:23,960 --> 00:00:26,720 Speaker 1: Jones and remarks he made on one oh five point 9 00:00:26,800 --> 00:00:29,280 Speaker 1: three the Fan in Dallas, and no secret that the 10 00:00:29,400 --> 00:00:32,920 Speaker 1: NFL wants to expand the regular season at sixteen games 11 00:00:32,920 --> 00:00:35,720 Speaker 1: for every team right now they want more and no 12 00:00:35,840 --> 00:00:40,360 Speaker 1: secret why right that there is tremendous financial upside for 13 00:00:40,400 --> 00:00:44,519 Speaker 1: the NFL. You know, networks like Fox and CBS and 14 00:00:44,800 --> 00:00:47,520 Speaker 1: NBC and ESPN they paid billions of dollars a year, 15 00:00:47,560 --> 00:00:50,720 Speaker 1: billions with a bu to broadcast these games and adding 16 00:00:50,920 --> 00:00:54,360 Speaker 1: just one more or two more means that those packages 17 00:00:54,400 --> 00:00:57,120 Speaker 1: which are up in in two or three years are 18 00:00:57,200 --> 00:00:59,400 Speaker 1: that much more valuable. Well, are they going to shorten 19 00:00:59,480 --> 00:01:03,920 Speaker 1: the exhibition season? Because yeah, this is the big question. 20 00:01:03,960 --> 00:01:07,440 Speaker 1: And again just because the NFL owners want more games, 21 00:01:07,440 --> 00:01:09,240 Speaker 1: does not mean that we're going to get more games. 22 00:01:09,280 --> 00:01:11,520 Speaker 1: We had d Smith, who runs the players union, on 23 00:01:11,560 --> 00:01:13,960 Speaker 1: the podcast a couple of weeks ago, and he made 24 00:01:13,959 --> 00:01:16,880 Speaker 1: it very clear, Look, players, players don't want more games, right, 25 00:01:16,920 --> 00:01:19,320 Speaker 1: So so this is a negotiation. It's going to happen 26 00:01:19,319 --> 00:01:21,360 Speaker 1: over the next year or so that the two sides 27 00:01:21,360 --> 00:01:24,479 Speaker 1: of talking right now. The current agreement doesn't expire until 28 00:01:24,920 --> 00:01:27,679 Speaker 1: the end of the season, so there is still time. 29 00:01:28,440 --> 00:01:31,040 Speaker 1: But I think the big question is if the NFL 30 00:01:31,080 --> 00:01:33,200 Speaker 1: owners are pushing for what seems like one game now 31 00:01:33,200 --> 00:01:35,640 Speaker 1: instead of just two additional games, what do you give 32 00:01:35,680 --> 00:01:37,600 Speaker 1: up in return? And And it seemed pretty clear from 33 00:01:37,600 --> 00:01:40,920 Speaker 1: what he said and what he said elsewhere, just getting 34 00:01:41,000 --> 00:01:43,280 Speaker 1: rid of some preseason games is not enough, right. The 35 00:01:43,319 --> 00:01:47,880 Speaker 1: players want some kind of other and probably financial concession. 36 00:01:48,240 --> 00:01:50,160 Speaker 1: If they're going to agree to put their bodies on 37 00:01:50,160 --> 00:01:53,160 Speaker 1: the line for an additional regular season game, why don't 38 00:01:53,200 --> 00:01:56,840 Speaker 1: you put in then two buys? I think two buys 39 00:01:56,920 --> 00:01:59,680 Speaker 1: is certainly on the on the table. Uh eliminating preseason 40 00:01:59,720 --> 00:02:02,440 Speaker 1: games also certainly on the table. I wouldn't be shocked 41 00:02:02,480 --> 00:02:04,360 Speaker 1: if if there is ends up being an agreement that 42 00:02:04,400 --> 00:02:07,520 Speaker 1: gets rid of all four preseason games. In exchange for 43 00:02:07,600 --> 00:02:11,480 Speaker 1: just one regular season game. I think broadcasters would appreciate that. 44 00:02:11,520 --> 00:02:14,480 Speaker 1: You know, preseason games do pretty well, I mean surprisingly 45 00:02:14,480 --> 00:02:16,880 Speaker 1: well from a TV audience. At that point, people are 46 00:02:16,919 --> 00:02:19,679 Speaker 1: so starved for NFL games that they'll watch the third 47 00:02:19,720 --> 00:02:22,519 Speaker 1: strings duke it out. Um. But adding one more regular 48 00:02:22,560 --> 00:02:25,400 Speaker 1: season game, that concentration of eyeballs that you get on 49 00:02:25,440 --> 00:02:28,560 Speaker 1: a Sunday, I think that's tremendously valuable for leagues. I 50 00:02:28,600 --> 00:02:30,720 Speaker 1: was actually curious. I mean, one of the big arguments 51 00:02:30,760 --> 00:02:35,880 Speaker 1: against adding games is his injuries. Obviously, UM, I look 52 00:02:35,919 --> 00:02:39,360 Speaker 1: back at the NFL's the self reported NFL injury data, 53 00:02:39,840 --> 00:02:43,560 Speaker 1: preseason games are much more damaging two players bodies than 54 00:02:43,600 --> 00:02:45,680 Speaker 1: regular season games. It actually kind of shocked me. If 55 00:02:45,720 --> 00:02:48,760 Speaker 1: you look at torn a c l s for example, UM, 56 00:02:48,919 --> 00:02:50,720 Speaker 1: last year, there were twenty eight torn a c l 57 00:02:50,760 --> 00:02:53,040 Speaker 1: s in the preseason, and there were twenty nine torn 58 00:02:53,040 --> 00:02:55,239 Speaker 1: a cels in the regular season. And bear in mind 59 00:02:55,240 --> 00:02:58,120 Speaker 1: that the preseason there's four more, four times more games 60 00:02:58,120 --> 00:03:00,760 Speaker 1: in the regular season. In the preseasons, the same amount 61 00:03:00,840 --> 00:03:02,560 Speaker 1: essentially of of a c L is. If you look 62 00:03:02,560 --> 00:03:05,960 Speaker 1: at concussions preseason seventy nine concussions regular season, a hundred 63 00:03:05,960 --> 00:03:09,120 Speaker 1: and thirty five concussions, so not even double even though 64 00:03:09,160 --> 00:03:11,320 Speaker 1: there's four times as many games. So I think you 65 00:03:11,320 --> 00:03:13,320 Speaker 1: can maybe make an argument, and I imagine the NFL 66 00:03:13,320 --> 00:03:15,280 Speaker 1: will make an argument that if we get rid of 67 00:03:15,280 --> 00:03:17,720 Speaker 1: four preseason games and we had one regular season game, 68 00:03:17,919 --> 00:03:20,360 Speaker 1: that maybe this is even healthier for players at large. 69 00:03:20,520 --> 00:03:22,160 Speaker 1: I'd like to see that. But because you know me, 70 00:03:22,280 --> 00:03:24,560 Speaker 1: man with football, it's like, I stop it up like 71 00:03:24,639 --> 00:03:27,840 Speaker 1: gravy on this. But but I used to be one 72 00:03:27,880 --> 00:03:30,079 Speaker 1: of those people a long time ago where he's like, yeah, 73 00:03:30,240 --> 00:03:33,440 Speaker 1: go ahead, add some more games. But man, the punishment 74 00:03:33,600 --> 00:03:37,200 Speaker 1: on the players is just unreal. Absolutely yeah, And I 75 00:03:37,280 --> 00:03:39,160 Speaker 1: think that's one of that's that's the argument that the 76 00:03:39,160 --> 00:03:40,920 Speaker 1: the NFL p A is going to make. One other 77 00:03:40,960 --> 00:03:42,720 Speaker 1: thing that I've seen kind of bandited around the internet, 78 00:03:42,720 --> 00:03:44,800 Speaker 1: which I think is really interesting. If you add one 79 00:03:44,800 --> 00:03:47,960 Speaker 1: more game, you know, certainly if seventeen games, not everybody 80 00:03:48,000 --> 00:03:49,320 Speaker 1: has the same amount of home games, right, so you 81 00:03:49,360 --> 00:03:51,200 Speaker 1: have to find some way to balance that out. But 82 00:03:51,240 --> 00:03:54,000 Speaker 1: there's a possibility here of you know, let's say every 83 00:03:54,040 --> 00:03:57,600 Speaker 1: team gets plays one neutral site game a year, right, 84 00:03:58,000 --> 00:04:00,000 Speaker 1: and you can say, you know, let's say the Steve 85 00:04:00,040 --> 00:04:03,720 Speaker 1: Lads and the and the Eagles play in state college, right, 86 00:04:03,760 --> 00:04:05,560 Speaker 1: so they pick a venue between them. There are tons 87 00:04:05,600 --> 00:04:08,080 Speaker 1: of places that love the NFL that you know the 88 00:04:08,080 --> 00:04:10,320 Speaker 1: closest team is hundreds and hundreds of miles away. Think 89 00:04:10,320 --> 00:04:12,680 Speaker 1: about the if if the Lions played a game in 90 00:04:12,720 --> 00:04:16,120 Speaker 1: East Lansing, right, teams can can maybe add a neutral 91 00:04:16,160 --> 00:04:19,320 Speaker 1: side home game once every two years to a place 92 00:04:19,320 --> 00:04:20,880 Speaker 1: where they have a lot of fans that has an 93 00:04:21,000 --> 00:04:24,000 Speaker 1: NFL ready stadium that might not be able to see 94 00:04:24,040 --> 00:04:26,560 Speaker 1: games locally all that much, Right, the Seahawks in Portland. 95 00:04:26,680 --> 00:04:29,040 Speaker 1: I mean, there's so many possibilities for what that could 96 00:04:29,040 --> 00:04:30,600 Speaker 1: look like, and I think that might be actually very 97 00:04:30,600 --> 00:04:33,000 Speaker 1: intriguing for fans. Before we move on to the next topic, 98 00:04:33,000 --> 00:04:36,160 Speaker 1: that you see the Lions game, I actually was I 99 00:04:36,240 --> 00:04:37,680 Speaker 1: meant to ask you. I'm glad you brought it up. 100 00:04:37,720 --> 00:04:40,559 Speaker 1: What your mind state was like watching watching the Lions? 101 00:04:40,600 --> 00:04:42,760 Speaker 1: Did you notice that one eye is bigger than the 102 00:04:42,800 --> 00:04:45,600 Speaker 1: other eye because it just bugged out when I couldn't 103 00:04:45,839 --> 00:04:47,640 Speaker 1: they put the ball. If you don't know what we're 104 00:04:47,640 --> 00:04:50,960 Speaker 1: talking about, the Lions, I believe was carry on Johnson 105 00:04:51,040 --> 00:04:56,400 Speaker 1: and he fumbles at the goal line, and uh, Kansas 106 00:04:56,400 --> 00:04:59,039 Speaker 1: City where they were playing, picked it up and ran 107 00:04:59,080 --> 00:05:02,080 Speaker 1: it for one yards back the other way. Now, what 108 00:05:02,200 --> 00:05:05,240 Speaker 1: happened is that the Lions were standing around like what 109 00:05:05,720 --> 00:05:08,400 Speaker 1: But even some of the Kansas City players were like, 110 00:05:08,560 --> 00:05:10,679 Speaker 1: what is this? This is this is a live ball. 111 00:05:11,240 --> 00:05:15,240 Speaker 1: And that was the difference. Yes, I know that Patrick 112 00:05:15,279 --> 00:05:18,039 Speaker 1: Mahomes put the two minute drive and and and won 113 00:05:18,080 --> 00:05:20,279 Speaker 1: the game, but that was the difference in the score 114 00:05:20,400 --> 00:05:24,360 Speaker 1: right there. Yeah, and it's underscores. I think a larger 115 00:05:24,480 --> 00:05:26,160 Speaker 1: question that a lot of NFL fans seemed to be 116 00:05:26,240 --> 00:05:29,680 Speaker 1: having now about officiating and not understanding the rules and 117 00:05:29,720 --> 00:05:32,600 Speaker 1: how they're interpreted. And the NFL has added things that 118 00:05:32,680 --> 00:05:35,680 Speaker 1: coaches can use to try to challenge and there was 119 00:05:35,720 --> 00:05:38,080 Speaker 1: some question about the Hail Mary and the final play 120 00:05:38,160 --> 00:05:40,960 Speaker 1: of that game where you can challenge offensive past interference. Uh. 121 00:05:41,040 --> 00:05:43,080 Speaker 1: It does feel as though the rule book and the 122 00:05:43,080 --> 00:05:45,880 Speaker 1: way it's interpreted is getting more and more complicated as 123 00:05:45,920 --> 00:05:48,040 Speaker 1: the seasons go by in the NFL. And the irony 124 00:05:48,160 --> 00:05:51,479 Speaker 1: is that officiating crew who did not blow the whistle 125 00:05:52,440 --> 00:05:55,320 Speaker 1: was the same officiating crew who blew the whistle in 126 00:05:55,400 --> 00:05:59,120 Speaker 1: the Saints game a few previous weeks ago. And it 127 00:05:59,200 --> 00:06:01,760 Speaker 1: actually was a fumble, but they blew the whistle and 128 00:06:01,800 --> 00:06:03,480 Speaker 1: the play was dead. They shouldn't have blown the whistle. 129 00:06:03,800 --> 00:06:06,600 Speaker 1: I wish I wish they would have done it now. Uh. Anyway, 130 00:06:06,680 --> 00:06:09,520 Speaker 1: moving on to a Major League Baseball I feel better 131 00:06:09,560 --> 00:06:12,279 Speaker 1: now I've ent it. The league just wrapped up a 132 00:06:12,360 --> 00:06:15,800 Speaker 1: regular season that saw the lowest attendance in sixteen years. 133 00:06:15,839 --> 00:06:20,280 Speaker 1: Despite monster home run totals, attendance across MLBS more than 134 00:06:21,440 --> 00:06:25,680 Speaker 1: games slid by a cool million this year alone. That's 135 00:06:25,720 --> 00:06:28,760 Speaker 1: a lot as fourteen percent below the peak reached in 136 00:06:28,800 --> 00:06:31,880 Speaker 1: two thousand seven. Yeah, it's the It's the sixth decline 137 00:06:31,880 --> 00:06:35,360 Speaker 1: in seven seasons in terms of total MLB attendance. Uh. 138 00:06:35,400 --> 00:06:37,400 Speaker 1: We're now at the lowest, as you said, the lowest 139 00:06:37,440 --> 00:06:40,560 Speaker 1: total sixty eight point five million, the lowest total for 140 00:06:40,600 --> 00:06:43,240 Speaker 1: Major League Baseball since two thousand three. Uh, and it's 141 00:06:43,279 --> 00:06:45,480 Speaker 1: down fourteen percent since the high in two thousand seven 142 00:06:45,520 --> 00:06:48,960 Speaker 1: of of of over eighty million. Uh. So, on its face, 143 00:06:49,120 --> 00:06:53,080 Speaker 1: numbers that don't look particularly great for Major League Baseball 144 00:06:53,240 --> 00:06:55,080 Speaker 1: and a lot of themes that that we've discussed in 145 00:06:55,120 --> 00:06:59,520 Speaker 1: the past. What I don't understand still is why. I Mean, 146 00:07:00,120 --> 00:07:02,160 Speaker 1: I know some people say, well, baseball is becoming an 147 00:07:02,160 --> 00:07:05,560 Speaker 1: old man game. Uh, which I should be loving going 148 00:07:05,600 --> 00:07:08,000 Speaker 1: to the game to see it, but the problem is 149 00:07:08,560 --> 00:07:10,960 Speaker 1: I don't have the time anymore. Yeah, I think it's 150 00:07:11,000 --> 00:07:13,080 Speaker 1: I think part of it is fitting it into the schedule. 151 00:07:13,160 --> 00:07:16,240 Speaker 1: Another part is the pace of the game. Attention spans 152 00:07:16,240 --> 00:07:19,119 Speaker 1: are are much much shorter. Certainly, cost is an issue 153 00:07:19,160 --> 00:07:20,560 Speaker 1: in a lot of markets. You know it's not it's 154 00:07:20,560 --> 00:07:22,600 Speaker 1: still not cheap too, if you're driving to a game 155 00:07:22,640 --> 00:07:25,239 Speaker 1: and parking and taking a family and and and buying 156 00:07:25,240 --> 00:07:28,080 Speaker 1: concessions and all that. So there's certainly a cost prohibitive 157 00:07:28,080 --> 00:07:30,560 Speaker 1: thing here too. UM. In terms of what this means 158 00:07:30,560 --> 00:07:33,400 Speaker 1: for Major League Baseball, there's parts of this that worry 159 00:07:33,440 --> 00:07:35,240 Speaker 1: me in parts that don't. And the part that worries 160 00:07:35,280 --> 00:07:39,240 Speaker 1: me is that, UM, the competitive balance seems to be 161 00:07:39,440 --> 00:07:42,160 Speaker 1: essentially disintegrating right now in Major League Baseball. We had 162 00:07:42,200 --> 00:07:44,000 Speaker 1: four teams one a hundred games this year. I don't 163 00:07:44,040 --> 00:07:46,320 Speaker 1: think that's ever happened before. We had four teams lose 164 00:07:46,320 --> 00:07:48,760 Speaker 1: a hundred games this year as well, and that's I 165 00:07:48,760 --> 00:07:50,800 Speaker 1: don't think that's happened in the past fifteen years, if 166 00:07:50,800 --> 00:07:53,520 Speaker 1: not longer. UM. And what that means is is one 167 00:07:53,680 --> 00:07:56,800 Speaker 1: games are less important and less exciting, and to I 168 00:07:56,800 --> 00:07:59,160 Speaker 1: think there's kind of, you know, some frustration or maybe 169 00:07:59,160 --> 00:08:02,520 Speaker 1: distrust fans across the country in terms of is my 170 00:08:02,600 --> 00:08:05,200 Speaker 1: team trying to win? Is it worth going to games? 171 00:08:05,200 --> 00:08:07,440 Speaker 1: When my team is gonna lose a hundred games? All 172 00:08:07,520 --> 00:08:09,240 Speaker 1: that I think is bad for baseball. What's good for 173 00:08:09,280 --> 00:08:13,200 Speaker 1: baseball is that top line revenue is going up. Right 174 00:08:13,280 --> 00:08:15,679 Speaker 1: that it's ten billion dollar enterprise right now, that's bigger 175 00:08:15,680 --> 00:08:18,240 Speaker 1: than the NBA. For folks who are curious, Um, the 176 00:08:18,480 --> 00:08:20,800 Speaker 1: Kansas City Royals, one of the smallest and I would 177 00:08:20,800 --> 00:08:24,200 Speaker 1: imagine least valuable teams in baseball, just sold to John 178 00:08:24,200 --> 00:08:28,320 Speaker 1: Sherman for over a billion dollars. Right, So the big, 179 00:08:28,400 --> 00:08:31,160 Speaker 1: top level financials are are good for baseball right now 180 00:08:31,200 --> 00:08:34,120 Speaker 1: because of media rights. And this brings us back to 181 00:08:34,160 --> 00:08:36,640 Speaker 1: the other point, right the because media rights is so 182 00:08:36,720 --> 00:08:39,320 Speaker 1: important and a lot of media rites you get whether 183 00:08:39,360 --> 00:08:41,600 Speaker 1: your team is good or bad. Right, it doesn't fluctuate 184 00:08:41,640 --> 00:08:43,959 Speaker 1: in the way the ticket sales do teams have. You know, 185 00:08:44,000 --> 00:08:46,920 Speaker 1: the incentives are different now now. The incentive to win 186 00:08:47,840 --> 00:08:50,480 Speaker 1: back when you were super reliant on ticket sales was 187 00:08:50,600 --> 00:08:52,480 Speaker 1: very high. Right, we need ticket sales. We need to win. 188 00:08:52,520 --> 00:08:54,840 Speaker 1: We need to get buttson seats. Now, you know, if 189 00:08:54,840 --> 00:08:57,480 Speaker 1: most of our money comes from from media rights, maybe 190 00:08:57,480 --> 00:09:00,000 Speaker 1: there's less incentive to win, which means that competitive bound 191 00:09:00,280 --> 00:09:02,760 Speaker 1: is less of a concern, which leads to attendance to clients. Right, 192 00:09:02,800 --> 00:09:04,800 Speaker 1: So it's kind of a slippery slope. But I see 193 00:09:04,840 --> 00:09:07,440 Speaker 1: both sides of the argument. Do we need to make 194 00:09:07,440 --> 00:09:12,200 Speaker 1: an adjustment in the Major league season? Do it won't happen, 195 00:09:12,559 --> 00:09:15,200 Speaker 1: But do we need to cut back on regular season games? 196 00:09:15,200 --> 00:09:16,920 Speaker 1: I mean, it's an interesting question because you know, the 197 00:09:17,160 --> 00:09:19,400 Speaker 1: NBA plays eight two games, and I would not be 198 00:09:19,440 --> 00:09:21,720 Speaker 1: shocked at all if at some point in the next 199 00:09:21,760 --> 00:09:25,439 Speaker 1: ten years we see that schedule shorten. Right. The Major 200 00:09:25,520 --> 00:09:28,240 Speaker 1: League Baseball plays twice as many games. Right. And the 201 00:09:28,320 --> 00:09:31,760 Speaker 1: reason why you know, team Major League Baseball attendance is 202 00:09:31,800 --> 00:09:33,800 Speaker 1: such a big deal is because they sell so many 203 00:09:33,880 --> 00:09:36,280 Speaker 1: darn tickets because there's so many games. So is there 204 00:09:36,280 --> 00:09:39,120 Speaker 1: an argument, Yeah, they're very well, might be an argument 205 00:09:39,120 --> 00:09:41,680 Speaker 1: for maybe shrinking the season a little bit. Um it 206 00:09:41,679 --> 00:09:45,160 Speaker 1: would fill out larger parts of of the of the calendar. 207 00:09:45,200 --> 00:09:48,160 Speaker 1: And bear in mind baseball starts so early in the year, 208 00:09:48,240 --> 00:09:50,520 Speaker 1: oftentimes at the end of March or the beginning of April. 209 00:09:50,960 --> 00:09:52,920 Speaker 1: The weather in a lot of these markets is not great. 210 00:09:52,960 --> 00:09:55,439 Speaker 1: If you look at baseball attendance, the beginning of the 211 00:09:55,480 --> 00:09:58,720 Speaker 1: season is not good for baseball largely because of the weather. 212 00:09:58,760 --> 00:10:00,400 Speaker 1: So yeah, I think there's I think is maybe an 213 00:10:00,400 --> 00:10:03,440 Speaker 1: interesting argument to be made for for possibly shortening games 214 00:10:03,720 --> 00:10:06,360 Speaker 1: in Major League Baseball as well. And finally, let's stalk 215 00:10:06,400 --> 00:10:11,400 Speaker 1: college football in New Jersey where Rutgers fired coach Chris 216 00:10:11,440 --> 00:10:15,280 Speaker 1: Ash just four games into the season. That leaves Rutgers 217 00:10:15,280 --> 00:10:17,600 Speaker 1: on the hook for nearly eight and a half million 218 00:10:17,640 --> 00:10:20,520 Speaker 1: dollars to buy all this contract, and the move came 219 00:10:20,600 --> 00:10:24,160 Speaker 1: after one in three start and it did not help 220 00:10:24,760 --> 00:10:27,720 Speaker 1: coach Ash at all that they lost fifty two to 221 00:10:27,800 --> 00:10:31,520 Speaker 1: nothing to Michigan on Saturday. Yeah, a pretty tough loss there. 222 00:10:31,960 --> 00:10:34,959 Speaker 1: So Ashes the first I believe of of what is 223 00:10:34,960 --> 00:10:36,360 Speaker 1: going to be a lot of coaches that are that 224 00:10:36,400 --> 00:10:38,960 Speaker 1: are fired over the course of this football season. Also 225 00:10:39,040 --> 00:10:41,280 Speaker 1: kind of indicative of this new trend, especially in the 226 00:10:41,280 --> 00:10:44,600 Speaker 1: Power of Five Conferences, of coaches getting fired in schools 227 00:10:44,640 --> 00:10:47,160 Speaker 1: having to pay pretty hefty buyouts. Right, you mentioned eight 228 00:10:47,160 --> 00:10:50,480 Speaker 1: million dollars that Rutgers now owes to Chris ash that's 229 00:10:50,800 --> 00:10:54,440 Speaker 1: three years, maybe even more of the next coach is salary. Right, So, 230 00:10:54,440 --> 00:10:57,200 Speaker 1: so over the next three years, theoretically they're essentially paying 231 00:10:57,640 --> 00:11:00,280 Speaker 1: double what they should be paying for their football coach. 232 00:11:01,080 --> 00:11:04,240 Speaker 1: Just so much money being being washed around in athletics 233 00:11:04,320 --> 00:11:06,800 Speaker 1: right now. Well, welcome to the Big Ten, Rutgers, which 234 00:11:06,800 --> 00:11:09,400 Speaker 1: brings me to the next question. They wanted to come 235 00:11:09,440 --> 00:11:12,560 Speaker 1: to the Big Ten. So now is this part of 236 00:11:12,559 --> 00:11:14,960 Speaker 1: the program? Yeah? This, I mean they moved in two 237 00:11:14,960 --> 00:11:18,240 Speaker 1: thousand and fourteen. You know, there were promises of tremendous 238 00:11:18,240 --> 00:11:21,160 Speaker 1: success both on the field and off the field, everything 239 00:11:21,200 --> 00:11:23,440 Speaker 1: that comes along with being in the Big Ten, and 240 00:11:23,520 --> 00:11:27,880 Speaker 1: Rutgers remains one of, if not the heaviest subsidized programs 241 00:11:27,920 --> 00:11:30,719 Speaker 1: in Division one college football. Just to give you some 242 00:11:30,800 --> 00:11:33,800 Speaker 1: numbers right quick, every year, the students at Rutgers pay 243 00:11:33,800 --> 00:11:36,720 Speaker 1: almost twelve million dollars in student fees directly to the 244 00:11:36,720 --> 00:11:39,480 Speaker 1: athletic department. Right, So that's money that comes from your 245 00:11:39,480 --> 00:11:41,840 Speaker 1: tuition that goes directly to the athletic department, whether you 246 00:11:42,200 --> 00:11:44,320 Speaker 1: ever go to a game, whether you ever take part 247 00:11:44,360 --> 00:11:46,920 Speaker 1: in an athletic contest at all. Uh. And then on 248 00:11:47,000 --> 00:11:49,600 Speaker 1: top of that, another fifteen million that comes from directly 249 00:11:49,600 --> 00:11:52,240 Speaker 1: from the institution to athletics to help them balance their 250 00:11:52,240 --> 00:11:54,680 Speaker 1: budget the move to the Big Ten. In the past 251 00:11:54,760 --> 00:11:57,959 Speaker 1: five years, Rutgers athletic budget has grown almost thirty five 252 00:11:58,640 --> 00:12:01,760 Speaker 1: from million to over a hundred million. So they're spending 253 00:12:01,760 --> 00:12:03,800 Speaker 1: more obviously, because you have to keep pace if you're 254 00:12:03,840 --> 00:12:07,080 Speaker 1: spending at Big ten levels. I think the big question 255 00:12:07,160 --> 00:12:09,640 Speaker 1: for Rutgers is, you know, the football team is not 256 00:12:09,679 --> 00:12:12,240 Speaker 1: good and and in the near future won't be um 257 00:12:12,440 --> 00:12:14,720 Speaker 1: but the Big Ten gives a lot of money out 258 00:12:14,760 --> 00:12:16,640 Speaker 1: because of media rites. Again, they give a lot of 259 00:12:16,640 --> 00:12:19,560 Speaker 1: money out to all of its institutions, and Rutgers was 260 00:12:19,600 --> 00:12:22,920 Speaker 1: on a six year introductory period, right, So Rutgers is 261 00:12:22,920 --> 00:12:25,360 Speaker 1: not getting the same amount of money yet that Michigan 262 00:12:25,440 --> 00:12:27,240 Speaker 1: is getting. But in a couple of years, when they 263 00:12:27,280 --> 00:12:29,160 Speaker 1: get to that point where they're getting the same fifty 264 00:12:29,200 --> 00:12:31,880 Speaker 1: million dollar check every year that Michigan and Michigan State 265 00:12:31,920 --> 00:12:34,160 Speaker 1: and Ohio State get. At that point, can they wean 266 00:12:34,240 --> 00:12:37,360 Speaker 1: themselves off of the institution? Come on, Rutgers, come on, 267 00:12:37,400 --> 00:12:40,960 Speaker 1: get back in it. And while we're talking college football, 268 00:12:41,080 --> 00:12:44,560 Speaker 1: breaking news, our producer just walked in the studio and 269 00:12:44,679 --> 00:12:48,319 Speaker 1: handed this it's hot off the press. California will let 270 00:12:48,360 --> 00:12:52,000 Speaker 1: college athletes higher agents and make money from endorsements. To 271 00:12:52,040 --> 00:12:54,360 Speaker 1: find the n c double A and setting up a 272 00:12:54,520 --> 00:12:59,280 Speaker 1: likely legal challenge that could reshape US amateur sports. Yeah, 273 00:12:59,320 --> 00:13:01,400 Speaker 1: the So this is the bill, the California bill that 274 00:13:01,440 --> 00:13:03,360 Speaker 1: we talked about a few weeks ago. It sounds like 275 00:13:03,600 --> 00:13:06,680 Speaker 1: California Governor Gavin Newsom signed it as he was expected to. 276 00:13:06,800 --> 00:13:08,360 Speaker 1: So this is a bill that is now going to 277 00:13:08,400 --> 00:13:13,040 Speaker 1: become a law starting in January. And what it says, 278 00:13:13,080 --> 00:13:16,400 Speaker 1: just as a quick reminder, is that California schools are 279 00:13:16,440 --> 00:13:19,560 Speaker 1: not allowed to restrict players from making money off of 280 00:13:19,960 --> 00:13:22,520 Speaker 1: their name, image, and likeness. And in more layman's terms, 281 00:13:22,840 --> 00:13:25,280 Speaker 1: that means that if I'm the star quarterback at USC 282 00:13:25,920 --> 00:13:28,440 Speaker 1: and Nike wants to sign me, wants to use me 283 00:13:28,440 --> 00:13:31,839 Speaker 1: in advertising, or the local car dealership wants to use 284 00:13:31,840 --> 00:13:34,200 Speaker 1: me in an ad, or e A Sports wants to 285 00:13:34,200 --> 00:13:37,200 Speaker 1: make a college football video game and use my likeness, 286 00:13:37,800 --> 00:13:39,360 Speaker 1: I can now be paid for that right now. The 287 00:13:39,440 --> 00:13:41,559 Speaker 1: n c A does not let you keep your eligibility 288 00:13:41,800 --> 00:13:44,240 Speaker 1: if you're signing deals of that nature. Uh, and therefore 289 00:13:44,280 --> 00:13:47,000 Speaker 1: people don't sign deals of that nature. This California bill 290 00:13:47,080 --> 00:13:49,640 Speaker 1: is aimed at making sure that California schools are not 291 00:13:49,679 --> 00:13:53,360 Speaker 1: restricting them. And the law also banned schools from kicking 292 00:13:53,400 --> 00:13:56,360 Speaker 1: athletes off the team if they get paid. It prevents 293 00:13:56,360 --> 00:13:59,559 Speaker 1: that retribution. And as you said, Michael, this is gonna 294 00:13:59,559 --> 00:14:03,280 Speaker 1: set up a big battle between California and the n 295 00:14:03,320 --> 00:14:05,760 Speaker 1: c A. UM they wouldn't be shocked if this ends 296 00:14:05,800 --> 00:14:08,120 Speaker 1: up at the Supreme Court in some level. The n 297 00:14:08,160 --> 00:14:11,440 Speaker 1: c A has already said if California passes this law 298 00:14:11,480 --> 00:14:14,320 Speaker 1: and at schools abide by it, we may kick those 299 00:14:14,360 --> 00:14:16,600 Speaker 1: schools out of the n c A as a whole. 300 00:14:17,400 --> 00:14:20,440 Speaker 1: Jane Smith, the athletic director at Ohio State, recently, i 301 00:14:20,480 --> 00:14:24,160 Speaker 1: think last week, said that Ohio State might stop scheduling 302 00:14:24,440 --> 00:14:27,560 Speaker 1: competition against California schools. This is USC, this is u 303 00:14:27,600 --> 00:14:30,000 Speaker 1: c l A, this is cal Berkeley, this is Stanford. 304 00:14:30,240 --> 00:14:33,520 Speaker 1: Might stop uh scheduling games against them if they're no 305 00:14:33,600 --> 00:14:35,480 Speaker 1: longer in the in the n c a A. And 306 00:14:35,520 --> 00:14:38,040 Speaker 1: then you know, in the background of all this, other 307 00:14:38,120 --> 00:14:41,560 Speaker 1: states in New York being one of them, uh, South Carolina. 308 00:14:41,600 --> 00:14:44,760 Speaker 1: There's a few others I believe are considering legislation of 309 00:14:44,760 --> 00:14:47,600 Speaker 1: their own. So so you know, similar legislation. So we've 310 00:14:47,640 --> 00:14:49,280 Speaker 1: talked a bit about, you know, the n c A 311 00:14:49,320 --> 00:14:52,440 Speaker 1: model and where the cracks may eventually lead to huge fishers. 312 00:14:52,840 --> 00:14:56,680 Speaker 1: This actually seems to become battleground number one right now 313 00:14:56,720 --> 00:14:59,400 Speaker 1: in terms of athletes trying to get a bigger piece 314 00:14:59,520 --> 00:15:01,480 Speaker 1: of the bill bions of dollars that they generate. Now 315 00:15:01,600 --> 00:15:06,280 Speaker 1: law is supposed to take effect on January one. We'll 316 00:15:06,280 --> 00:15:09,200 Speaker 1: see lawyers will have have some say in that. I imagine. 317 00:15:10,160 --> 00:15:12,520 Speaker 1: This has been the Bloomberg Business of Sports podcast at 318 00:15:12,560 --> 00:15:16,240 Speaker 1: Michael Barr along with Evan Nobi, Williams Scott We miss you, 319 00:15:16,280 --> 00:15:19,040 Speaker 1: Happy Happy New Year, Scott. Where here each and every Monday, 320 00:15:19,120 --> 00:15:22,000 Speaker 1: Wednesday and Thursday exploring the world of money in sports, 321 00:15:22,000 --> 00:15:23,280 Speaker 1: and you can join us. At the end of the week, 322 00:15:23,400 --> 00:15:26,320 Speaker 1: we're speaking with John Levy, CEO of The Score, a 323 00:15:26,320 --> 00:15:29,320 Speaker 1: sports media site and also a sports betting site, So 324 00:15:29,320 --> 00:15:31,800 Speaker 1: we'll talk about kind of how those things inner work, uh, 325 00:15:32,000 --> 00:15:34,240 Speaker 1: and the launch of the Scores Betting. Oh, I've got 326 00:15:34,280 --> 00:15:36,960 Speaker 1: some questions. You're listening to Bloomberg Business of Sports on 327 00:15:36,960 --> 00:15:39,720 Speaker 1: Bloomberg Radio around the world and online wherever you get 328 00:15:39,800 --> 00:15:40,400 Speaker 1: your podcast.