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Boise State could owe as much as $21 million if it decides to change conferences for next season, the Mountain West confirmed Thursday. The Albuquerque Journal first reported the exit fees.
Boise State could owe as much as $21 million if it decides to change conferences for next season, the Mountain West confirmed Thursday. The Albuquerque Journal first reported the exit fees.
Here's how it works (and all numbers are approximate):
— If Boise State reaches a BCS game this season, its year-end revenue distribution from the Mountain West would be roughly $7 million. According to the Mountain West's exit fee clause, the Broncos would forfeit that amount AND the greater of $5 million OR double the year-end distribution ($14 million).
That's how you get to $21 million.
— If Boise State did not make a BCS game this season, the Broncos would forfeit their year-end distribution (around $1.9 million) AND the greater of $5 million OR double the year-end distribution ($3.8 million).
In that case, it would be $1.9 million plus $5 million for a total of $6.9 million.
— If Boise State were to give a year's notice (and leave for 2013), the Broncos would only forfeit their year-end distribution from the 2012-13 academic calendar.
Here is the Mountain West bylaw regarding exit fees that was passed in June and voted on by Boise State. The Mountain West added the exit fee after Utah, BYU and TCU left without penalty.
"Effective June 6, 2011 and thereafter any notice of resignation given by any member shall be subject to the notice dates referenced in subparagraph (a) above and the following: (a) the resigning member shall forfeit its final year of revenue payable no later than the Effective Date; (b) if the resigning member gives notice after the established “Notice Date”, the resigning member shall forfeit its final year of revenue and shall pay to the Conference a sum of five million dollars ($5,000,000) OR double the amount of the final year’s revenue, whichever is greater. All monies shall be paid no later than the Notice Date. (Revised June 2011)
Read more: http://voices.idahostatesman.com/201...#ixzz1bNze62Ka
Here's how it works (and all numbers are approximate):
— If Boise State reaches a BCS game this season, its year-end revenue distribution from the Mountain West would be roughly $7 million. According to the Mountain West's exit fee clause, the Broncos would forfeit that amount AND the greater of $5 million OR double the year-end distribution ($14 million).
That's how you get to $21 million.
— If Boise State did not make a BCS game this season, the Broncos would forfeit their year-end distribution (around $1.9 million) AND the greater of $5 million OR double the year-end distribution ($3.8 million).
In that case, it would be $1.9 million plus $5 million for a total of $6.9 million.
— If Boise State were to give a year's notice (and leave for 2013), the Broncos would only forfeit their year-end distribution from the 2012-13 academic calendar.
Here is the Mountain West bylaw regarding exit fees that was passed in June and voted on by Boise State. The Mountain West added the exit fee after Utah, BYU and TCU left without penalty.
"Effective June 6, 2011 and thereafter any notice of resignation given by any member shall be subject to the notice dates referenced in subparagraph (a) above and the following: (a) the resigning member shall forfeit its final year of revenue payable no later than the Effective Date; (b) if the resigning member gives notice after the established “Notice Date”, the resigning member shall forfeit its final year of revenue and shall pay to the Conference a sum of five million dollars ($5,000,000) OR double the amount of the final year’s revenue, whichever is greater. All monies shall be paid no later than the Notice Date. (Revised June 2011)
Read more: http://voices.idahostatesman.com/201...#ixzz1bNze62Ka
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