About Exit Fees in CUSA

[The Historian]

I think this deserves its own thread. I see all kinds of things posted on social media about exit fees and questions as to whether Tech, UTEP, and FIU will be able to collect them from departing members.

The truth is, CUSA's exit fees would be better described as "forfeited revenue".

The departing schools will be in the league through the 22-23 academic year ending on June 30, 2023.

They're not going to write checks to pay an exit fee. They're simply going to forfeit their total conference revenue - cash in the TV contract, CFP money, basketball credit distribution, etc.. - for this year (22) and next year (23).

It's not that they have to pay CUSA, CUSA simply won't pay them.

[faninmonroe]

Look at the big brain on the historian.

“Thanks right….you are a smart mother ******.”

[dawg80]

And so does the league keep it all, or the lion's share, or would the Three Amigos get a sizable payout?

[Champ967]

Cynical prediction time --

CUSA will end up paying out the regular distribution to all the departing members. Because the check is set to auto-draft and nobody will remember to turn it off. It won't be caught until after the fact. None of the exiting members will pay it back either. So they will neither pay nor forfeit anything. The Commish doesnt think it's a big deal, and doesnt mention it at the first meeting of the new presidents. Nor does anyone think to ask, bc the conference office is just supposed to take care of the "money stuff".

The full story of the snafu will only come out in 5-8 years, after CUSA is disbanded, as some young sportswriter is conducting his or her autoposy of the conference. Folks will speculate briefly whether keeping the money couldve staved off insolvency a little longer. And then they'll move on, and all memory of CUSA will be relegated to sports nostalgia webpages, at the bottom of the list after the Southwest Conference and the ABA.

[The Historian]

Look at the big brain on the historian.

“Thanks right….you are a smart mother ******.”

You are welcome.

[inudesu]

I think this deserves its own thread. I see all kinds of things posted on social media about exit fees and questions as to whether Tech, UTEP, and FIU will be able to collect them from departing members.

The truth is, CUSA's exit fees would be better described as "forfeited revenue".

The departing schools will be in the league through the 22-23 academic year ending on June 30, 2023.

They're not going to write checks to pay an exit fee. They're simply going to forfeit their total conference revenue - cash in the TV contract, CFP money, basketball credit distribution, etc.. - for this year (22) and next year (23).

It's not that they have to pay CUSA, CUSA simply won't pay them.

Do entry fees work the same way? You're a member for X number of years before you get a share?

Assuming we'd have the leverage to ask for such a thing.

[Dawgonit]

And so does the league keep it all, or the lion's share, or would the Three Amigos get a sizable payout?

Same question I have.

Also based on this, we would still want our conference foes to do well in the NCAA tournament for example in order to receive the money.

[DallasDog]

Do entry fees work the same way? You're a member for X number of years before you get a share?

Assuming we'd have the leverage to ask for such a thing.

Not sure that is a club we want to swing. Everyone knows without help CUSA is done. If CUSA says you owe us x million to join, why would they not call the conferences bluff. Literally every university in the country that cares 1% about football has a home and doesn't have to add or go anywhere. Except the three CUSA orphans.

[inudesu]

Not sure that is a club we want to swing. Everyone knows without help CUSA is done. If CUSA says you owe us x million to join, why would they not call the conferences bluff. Literally every university in the country that care 1% about football has a home and doesn't have to add or go anywhere. Except the three CUSA orphans.

Yeah, I agree there isn't much leverage there. Unless there really are 30 FCS schools who've reached out because of the rule about needing an FBS conference invite to come up.

[DallasDog]

Yeah, I agree there isn't much leverage there. Unless there really are 30 FCS schools who've reached out because of the rule about needing an FBS conference invite to come up.

That would be something if there really were 30 options... I actually would call up North Dakota, Sam Houston, and a couple of others that are consistently good FCS teams. If you look at the playoffs in the last few years its the same 4-6 schools. CUSA v45.6 is going to be spread out all over the place so take the best programs possible and F' the rest of the issues.

Now do I believe the 30 schools number..... No I think that is about as fact based as the article in Lake Charles about UTEP and Tech joining the WAC with McNeese and UIW.