Fence-mending was hopefully the order of the day when SA Rugby met with their affiliates on Thursday.
The meeting scheduled for Johannesburg was going to bring under one roof the local game's governing body and disaffected members among their 14 affiliate unions.
Unsurprisingly, much of the disagreement centres around money and how the pie is ultimately divvied up between the 14 entities.
Test matches last year earned £48m [R1.14bn] for the RFU [England], the Irish Rugby Union earned €43m [R1.02bn], Wales £48m [R1.14bn]. We are more than generous to assist our franchises
— Mark Alexander, SA Rugby president
The franchises which are based in the major metropolitan areas have expressed concern about having to cough up guarantees to host Test matches, while they seek greater clarity concerning the distribution of funds once SA Rugby earns full membership to the United Rugby Championship (URC) two years from now.
They will also want to know more about SA Rugby's much-mooted equity deal with US-based Ackerley Sports Group (ASG).
The potential tone of the meeting was perhaps predetermined by SA Rugby expressing its desire to pull their affiliates into line over the airing of dirty laundry in the media.
News emerged that the game's governing body wants R85m in guarantees to host Test matches this year:
- the Lions and Western Province will have to cough up R20m each for the right to have the Springboks and the All Black emerge from their tunnel at Ellis Park and Cape Town Stadium respectively;
- the Blue Bulls and the Sharks need to come up with R15m to host the Tests against Ireland at Loftus Versfeld and Kings Park respectively;
- the Pumas are expected to pay up R10m to host the Test against Argentina; and
- the Cheetahs need to produce R5m for the right to host the clash against Portugal.
SA Rugby will argue they strategically allocate Test matches to help franchises boost their coffers. “We don't need to do that,” SA Rugby president Mark Alexander told the media on Tuesday.
“Test matches last year earned £48m [R1.14bn] for the RFU [England], the Irish Rugby Union earned €43m [R1.02bn], Wales £48m [R1.14bn]. We are more than generous to assist our franchises,” Alexander said.
Significant costs are incurred to put on a Test but the money they are asking for is small compared to what can be generated for hosting a Test, he said. The point was made that hosting a Test at a 50,000-seater stadium can generate upwards of R45m to R50m, which leaves the hosting union R30m in profit.
The major franchises will argue they are doing the bulk of the heavy lifting to keep the domestic rugby economy afloat and there is certainly a recognition from SA Rugby that their metropolitan affiliates are their golden goose.
SA Rugby at the meeting also sought permission to move forward with their plans to sell a majority share in the yet-to-be-formed commercial division.
The franchises argue there was not enough transparency as SA Rugby firmed their relations with ASG. The franchises, as well as the other provincial unions, will want to be briefed about the way funds emanating from the deal will initially be dispersed.
The “what's in it for us?” theme will continue as the provinces seek greater detail about how they stand to benefit once SA Rugby starts sharing in the profits of the URC upon full membership.
They will also likely pose questions about how the so-called players of national interest (PONI) might be used to the greater good of the domestic game. That is a tug-of-war in which the Sharks in particular will want to dig their heels as their underachievement in the URC is often blamed on the non-availability of their marquee players.
The rugby world isn't always in union, but all the delegates at Thursday's gathering may well agree it is better to share their pain.
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