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Very interesting: NHLPA’s proposal included an ‘Industry Growth Fund’ that threw Bettman a bone

This is particularly interesting. According to the New York Times’ Jeff Z. Klein, part of the NHLPA’s CBA proposal, which hasn’t been revealed to the public (I think the PA’s actually doing itself a disservice by not sharing the details thereof), includes a specific fund dedicated to revenue-sharing which actually gives Gary Bettman a bit of a bone in terms of shaping the way the NHL’s teams would support each other:

[T]here is one counterintuitive thing about the union’s $240 million revenue-sharing proposal: $100 million of it would be controlled largely by Bettman.

That part of the union proposal, called the Industry Growth Fund, was revealed by Don Fehr, the players’ association executive director, in a conference call with reporters on Friday but has received little attention since. And while most believe that the extremely cool reception Bettman gave the union’s overall proposal last week signals a rejection of enhanced revenue-sharing, it may not necessarily.

The notion that the union’s revenue-sharing plan may yet find favor with owners was floated by an unnamed N.H.L. player to Aaron Portzline of The Columbus Dispatch in an article Sunday, although how this anonymous player got the inside scoop on which way the owners are leaning remains a mystery.

After a snippity snip…

The N.H.L.’s current revenue-sharing plan is by far the least generous among North America’s four major pro sports; some estimates of how much money is shared go as high as 12 percent of the owners’ revenues, but most put the figure at 4.5 percent to 6 percent. Struggling teams like the Blue Jackets, Islanders, Panthers and Stars get little relief from wealthy clubs like the Maple Leafs, Rangers, Flyers and Bruins.

The owners’ current revenue-sharing plan is estimated to have distributed about $150 million last season. Bettman said the plan has undergone minor adjustments in the owners’ proposal in these talks, putting the amount to be shared as high as $190 million.

Under the union’s $240 million revenue-sharing proposal, the players would get increases of 2 percent, 4 percent and 6 percent in the three years of a new agreement. Revenue-tied increases above those percentages that would go to the players under the current agreement would instead be set aside for revenue-sharing.

“Part of the enhanced revenue-sharing would be the creation of what we have called the Industry Growth Fund, which would put $100 million a year to go directly to the assistance of teams that need it,” Fehr said Friday.

“There would be some discretion as to which teams and what amounts and how they would be done,” Fehr continued. “A large part of that discretion, under our proposal, would be vested in the commissioner’s office.”

Continued, and it’s a good read.

Filed in: | KK Hockey | Permalink
 

Comments

Keyser S.'s avatar

Is it me or does this “industry growth fund” sound like they’re trying to get the owners divided? Rich teams vs poor teams.

Posted by Keyser S. on 08/21/12 at 02:38 PM ET

Keyser S.'s avatar

....and having bettman control the fund? ROFL!

rich vs poor vs bettman

Posted by Keyser S. on 08/21/12 at 03:15 PM ET

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Paul Kukla founded Kukla’s Korner in 2005 and the site has since become the must-read site on the ‘net for all the latest happenings around the NHL.

From breaking news to in-depth stories around the league, KK Hockey is updated with fresh stories all day long and will bring you the latest news as quickly as possible.

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