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Guarding the Gate

February 24, 2012

More slowly than I would like, because it’s not a field in which I’ve had formal training or extensive practical experience, I’ve been learning about the world of startup companies and venture capitalists that discovered the sports world in the 1990s and have proliferated during the past decade.

Usually with their founder making the contact, many of these young companies have reached out to the MHSAA, hoping we will embrace and endorse or utilize their new product or service. Almost all owe their existence to the World Wide Web and to the passion of their founder, either for sports or for a concept they think solves some need of athletes, coaches or fans . . . or advertisers and sponsors.

And almost every one of these startups is looking for an exit; looking for a bigger fish to swallow them whole. And paying them handsomely for consuming the young guppy. A lucky few make what the industry calls the “Big Exit,” like a major network buying the startup for many millions of dollars.

We hear from many of these startups that the advertisers are clamoring for this or that they are promoting, but we usually see one of two things happen. Either the advertisers show so little interest that the startup fails, or what support the advertisers do provide goes to the venture capitalists and not to those providing the content.

As we screen the plethora of proposals to capitalize on high school sporting events in Michigan, we look for two kinds of assurances. First, that the suitor doesn’t have an exit strategy; and second, that the initiative will have direct benefit in terms of both money and message to those providing the content:  i.e., schools.

Most of the initiatives we screen will assist schools with neither money nor message, and some of them would actually provide a message that is contrary to the mission of educational athletics.

So we’re guarding the gate, in both directions – controlling the entrance to the high school sports market in Michigan, as well as the escape of those who are in our market for a fast buck and quick exit, big or small.

Transfer Impasse

February 21, 2017

Transfers by students for athletic reasons is a chronic, nationwide, reputation-damaging nuisance for high school sports.

It’s not a new issue. The Michigan High School Athletic Association has been toughening transfer rules repeatedly for 35 years. Unfortunately, many schools do not use the tools that already exist to delay or deny athletic eligibility to students who transfer for athletic-motivated or related reasons.

It’s not unique to Michigan. Every state we contact – whether it has the same rules, tougher or weaker – cites transfer troubles. Unfortunately, some states which pushed their rules too far have lost them altogether because of pushback from lawyers and legislators and the growing school choice movement that advocates transfers any time to any place for any reason.

Statistically, total transfers are few, and student-athlete transfers are a very small percentage of those. But when the extremely few high-profile athletes in high-profile sports switch schools for sports, and those schools experience increased success, it grabs headlines, generates social media chatter and batters the brand of educational athletics, which is supposed to put school before sports and promote competitive equity between school teams.

Over the past decade, in response to concerns similar to ours, our counterpart organization in Ohio has seen its transfer rule come and go and return again. The current rule is tougher on those who have participated in school sports in 9th grade or beyond, as opposed to those students who have not; but the list of exceptions to the one year of ineligibility for past participants is now up to ten categories. The result is a rule in Ohio that differs little from our own in Michigan.

Our counterpart organization in Indiana averages about 4,200 students who transfer each year out of approximately 160,000 students who participate on interscholastic athletic teams each year. That’s just 2.6 percent. For the current school year, through Jan. 31, 2017 ...

  • 680 transfers never played school sports before and were eligible immediately;

  • 944 transfers made a bona fide change of residence and were eligible immediately;

  • 14 transfer students were ruled ineligible at any and all levels.

While the perception may be of an epidemic, the actual percentage of transferring student-athletes is a small fraction of a small fraction. Of course, that percentage may increase, and the perception get even worse, as the team-hopping, non-school sports mentality further infects school sports.

Still, reluctance remains among leadership here and in our counterpart organizations across the country toward adoption of tougher rules to govern such small percentages of students when there is at least as much clamor for more exceptions to existing rules, and significant reluctance to use the tools that current rules provide to clamp down on athletic-motivated and related transfers.