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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 Rule Rationale

March 6, 2018

It is certain that the Michigan High School Athletic Association transfer rule is imperfect. However, whatever imperfections exist are effectively remedied through a process by which member school administrators may make application to the MHSAA Executive Committee to waive the rule if, in the committee’s opinion, the rule fails to serve any purpose for which it is intended or, in its sole discretion, the Executive Committee determines that application of the rule creates an undue hardship on the student. 

In a typical year, the Executive Committee will receive approximately 290 requests to waive the transfer regulation, approving approximately 60 percent of those requests.

The committee brings to its considerations the following rationale, most recently reviewed and reaffirmed on Aug. 2, 2017:

  1. The rule tends to insure equality of competition in that each school plays students who have been in that school and established their eligibility in that school.

  2. The rule tends to prevent students from "jumping" from one school to another.

  3. The rule prevents the "bumping" of students who have previously gained eligibility in a school system by persons coming from outside the school system.

  4. The rule tends to prevent interscholastic athletic recruiting.

  5. The rule tends to prevent or discourage dominance of one sport at one school with a successful program, i.e., the concentration of excellent baseball players at one school to the detriment of surrounding schools through transfers and to the detriment of the natural school population and ability mix.

  6. The rule tends to create and maintain stability in that age group, i.e., it promotes team stability and teamwork expectation fulfillment.

  7. The rule is designed to discourage parents from "school shopping" for athletic purposes.

  8. The rule is consistent with educational philosophy of going to school for academics first and athletics second.

  9. It eliminates family financial status from becoming a factor on eligibility, thus making a uniform rule for all students across the state of Michigan (i.e., tuition and millage considerations).

  10. It tends to encourage competition between nonpublic and public schools, rather than discourage that competition.

  11. It tends to reduce friction or threat of students changing schools because of problems they may have created or because of their misconduct, etc.