On Tuesday evening, NBA commissioner Adam Silver, who is widely considered to be a smarter man that what he said, did well by his constituency (30 NBA owners) to say some things that only oblivious fools would believe. “A significant amount of NBA teams” are losing money, he swears, and something needs to be done about it when the NBA Players Association opts out of the current collective bargaining agreement in December 2016.
NBPA chief Michele Roberts however, decided to say some very smart things in response on Thursday afternoon. Michele Roberts, the National Basketball Players Association executive director, said the union’s data indicate the NBA is in a healthy financial state but that the union would like a closer look at the league’s bookkeeping. Roberts stressed the union’s belief that calculations of basketball-related income, or BRI, which determines the parameters of the NBA’s salary cap, often omit proceeds generated from NBA facilities, therefore Adam Silver`s comments really make no sense.
From a statement:
“All of the data we have access to indicates that our business is thriving and will continue to do so in the near future. We agreed not to debate some of the finer points of negotiation in public, and aren’t going to change that approach now in response to some remarks from the Commissioner on Tuesday. We are, however, going to take him up on his offer to share the audited financials with the union. We also want to ensure that everyone understands the facts of this business:
“Under the CBA, we do not have a gross compensation system. The players’ 50% share is calculated net of a substantial amount of expenses and deductions.
“New and renovated arenas around the league have proven to be revenue drivers, profit centers, and franchise valuation boosters. That has been the case over the past few years in Orlando, Brooklyn, and New York, to name a few. In some instances, owners receive arena revenues that are not included in BRI. Many teams also receive generous arena subsidies, loans and other incentives from state and local governments as part of their arena deals.
“Virtually every business metric demonstrates that our business is healthy. Gate receipts, merchandise sales and TV ratings are all at an all-time high. Franchise values have risen exponentially in recent years, and the NBA has enjoyed high single digit revenue growth since 2010-11.”
Michele Roberts is truly out to make sure things are honest and transparent for fans and NBA players alike. Even if she works on behalf of multi-millionaires, her cause is definitely worth standing by.
