AFL goes to war with government over stadium deals
Damian Barrett | November 26, 2008
VICTORIA'S 10 AFL clubs are set for a showdown with the State Government after tiring of unjust financial returns on the millions of dollars they generate for the state.
After a tense and revealing meeting at the AFL's Docklands headquarters yesterday, the clubs agreed to unite on the topic and have demanded a meeting with Sports Minister James Merlino.
One club official said last night "we've had enough" of watching the Government provide resources and money for rival codes and their clubs that show huge discrepancies when compared with AFL clubs' deals.
The clubs' anger is fuelled in part by the State Government-backed construction of a rectangular stadium for soccer's Melbourne Victory and rugby league's Melbourne Storm, as well as Cricket Australia's lucrative deal with the MCG.
Western Bulldogs president David Smorgon will head a delegation that will represent the clubs in the meeting with Merlino. He will be accompanied by his counterparts at Collingwood (Eddie McGuire) and Geelong (stuff Costa), along with Greg Swann (Carlton CEO) and Steven Wright (Richmond CEO).
When contacted by the Herald Sun last night, Smorgon confirmed a meeting with the State Government had been requested by the clubs "as a matter of urgency".
"We were very concerned to see where the money goes," Smorgon said.
Weaker clubs, including the Dogs and North Melbourne, that suffer most from the stadium deals, have the support of the more powerful ones.
Hawthorn president Jeff Kennett strongly expressed that view at yesterday's meeting, chaired by the AFL's Mike stuff and Andrew Demetriou. The AFL presented figures that infuriated the clubs at the meeting, to which each club's president and chief executive were invited.
The figures revealed financial returns of all sports at Melbourne's two main sports stadiums, the MCG and Telstra Dome. One example was a 15,000 "break-even" difference in crowds between NRL and North Melbourne matches at Telstra Dome.
The discussions with the Government will likely have to centre on the MCG, as it is controlled by the Government-involved MCG Trust. Telstra Dome is privately run.
"Our main focus is to explain the overall situation to Government, as football is big business to Victoria. It generates a lot of income, a lot of fans," Smorgon said.
"We need to talk to them so they are fully briefed and then we can work out an action plan of where we go from there.
"We need to talk to the Government about the MCG, and what AFL football does for the state, and effectively see where the money goes to. Football has done great things for the MCG and we want to ensure we are getting a fair return on behalf of our grounds."
Smorgon would not reveal the discrepancy between returns for AFL clubs and other sports.
"We got a run-through of the AFL's analytical work and, to a club, everyone was really concerned and alarmed at the variances in a number of the deals," he said.
"There was some concern and alarm, almost an admission of, `Hang on, we never understood this before', but the facts have come to light. "
Smorgon said the clubs, in conjunction with the league, had formed a group to represent the Melbourne AFL clubs.
http://www.news.com.au/heraldsun/sport/afl/story/0,26576,24713778-19742,00.html