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Home » Commissioner's Corner: Tournament and Playoff Finance
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Commissioner's Corner: Tournament and Playoff Finance

adminBy adminJanuary 12, 2024No Comments4 Mins Read
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Written by Mike Krueger, CHSAA Commissioner

For many years, CHSAA member schools have asked the CHSAA Tournament and Playoffs Finance Committee (T & PF) to examine the processes, funding structures and procedures by which member schools host postseason events. This fall, under the leadership of Committee Chair Paul Cain (Mesa County Valley School District #51) and CHSAA Finance Director Sarah Vernon Brunner, the committee accepted this challenge and began working on it. The current structure of CHSAA's T & PF has remained unchanged for many years. Costs have increased over time, and it has become common for teams to travel further distances during the playoffs. The current financial structure is difficult for host schools, and host schools are continually running deficits, making this system onerous for our schools.

The T&PF Committee is comprised of eight highly talented individuals with diverse experience. Both small and large schools are represented on the committee. rural, suburban, and urban areas. Our members come from all over the state, and we have a good balance of school leaders from a variety of backgrounds. The committee met several times during the fall and reviewed a large amount of data and financial status for the school and her CHSAA organization. They painstakingly broke through existing protocols and had transparent and honest conversations about what members wanted and what was best for member schools on a broad scale. Feedback from members was consistently shared and provided perspective.

Through this comprehensive process, the T&PF Committee was able to identify critical challenges such as the current process, the cumbersome nature of forms, and the timeliness of reporting. But what stood out to the committee was the inequity that existed and the high costs that member schools were incurring when hosting postseason events. Data shows that host schools have experienced significant financial losses over the years, with many of those losses totaling thousands of dollars. That being said, there are concerns that schools don't want that.
I am in a position to volunteer and organize events. That shouldn't be the case. However, the current financial structure, plus increased costs such as security, facilities, game staff, and visiting team compensation, has made this a reality.

After months of consideration, the committee was able to decide on an innovative approach to simplify the process and address the identified inequalities. The committee determined that an annual fee-based approach provides simplicity and fairness and could also be based on classification (school size). This is an approach that focuses on membership while providing the organization with the necessary operating capital. This new proposal certainly involved thinking outside the box. We recommend that you consider the proposal in detail and discuss this matter with your representative.
Representatives of the school community on the Legislative Council. Further details can be found in the Legislative Council Committee report here (added link to T&PF Committee report only). It is expected to be submitted for member approval in January. Some of the main points decided are:

  • The new approach simplifies school processes and this is the main outcome
  • Eliminating the need to submit complex financial reports gives you more time to get back to school.
  • Budget savings – Host schools have a much lower risk of losing money on the events they host.
  • The host school has additional ownership rights to the event.
  • Improved budgeting: Prices are predictable and can be budgeted for each year.
  • There is still a good chance that the visiting team could earn money to help with travel expenses in a one-on-one match. Because if the host makes more than $1,000 of her profit from the match, the host will share his 25% of that profit. visiting team. No additional funds will be transferred to CHSAA under any circumstances.
  • While this is a broad approach, it is important to note that while CHSAA is a 367-member school organization, each school is affected differently by the postseason.

We encourage you to take a moment to read this proposal (especially the committee rationale) and contact your appropriate legislative representative to share your thoughts. As always, our focus remains on sharing information with you, the leaders of your school community. If you would like further clarification or insight, please feel free to contact me (mkrueger@chsaa.org) or the Finance Director (svernonbrunner@chsaa.org). thank you!

Sincerely,
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