| Part 4 - Findings and recommendations | |
| 4.2 - Issue 9 - National Soccer League |
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Presently, the NSL sits within the structure of Soccer Australia. There are common employees of the NSL and Soccer Australia. Soccer Australia controls the operations of the national league, including influencing the league’s development, funding, sponsorship, broadcast/media contracts, player availability for national teams and player transfers.
The Committee received numerous submissions proposing that the NSL become a separate entity to Soccer Australia. The rationale for separation includes:
Soccer Australia is not endowed with the expertise to operate a financially viable and successful national soccer competition of the nature of the NSL.
Soccer Australia is responsible for the financing of the NSL, including operational shortfalls.
There are competing interests between Soccer Australia and the NSL with respect to broadcast media/agreements, national sponsorships and player availability.
The NSL has been reported to be floundering through lack of financial resources, collapse or financial difficulties of clubs, reducing spectator numbers, lack of television exposure and an exodus of many of Australia’s elite players to Europe and elsewhere to pursue their football careers. The NSL is understood to require considerable resources of Soccer Australia.
The Committee is aware of the significant work undertaken by the Australian Professional Footballers’ Association in developing a new business case for the NSL, and of the decision of the Soccer Australia Board to set up another committee to examine the structure of the League.
The Committee considered a number of options for the NSL. Again FIFA articles influenced and supported the Committee’s view. Article 7.4 states, ‘Leagues and other groups of clubs at association level shall only be permitted with the association’s express consent and shall be subordinate to it.’
The Committee believes the NSL has a better chance of success if it is allowed to operate as a stand-alone body with its own board and constitution, and able to set its own rules and regulations, with the NSL clubs as members. However, because Soccer Australia has responsibility for the wellbeing and development of the game at national and international levels, there is potential for overlap between the objectives of Soccer Australia and a stand-alone NSL.
These sorts of issues include ensuring Australian players are available when required for national representative duties. As Australia performs better in the international arena it will increase opportunities for national sponsorships and media. It is vital therefore for Soccer Australia and the NSL to work together and not against one another to maximise the value of these opportunities. Accordingly, in recommending that the NSL be reconstituted as a separate body, it is fundamental that the authority conduct its affairs subject to a licence from Soccer Australia.
The licence agreement would cover such areas as:
formalisation of the relationship between the parties
availability of players for national team duty
contractual arrangements, including competition clauses for sponsorship, marketing, broadcasting and television rights and intellectual property
protection of pre-existing intellectual property of the parties
game development responsibilities
funding, including assurances that the licensee is in a sound financial position and that the national body will not be called on to fund the competition
revenue and expenditure responsibilities and sharing arrangements
resource requirements, including administration and technology
reporting requirements, including financial and operational
strategic planning
communication protocols
conflict of interest management
dispute resolution
cross-representation on participants’ boards
other standard contractual terms such as insurance, indemnity, compliance with laws, etc.
structural and governance matters.
Under such a licence, Soccer Australia can retain a level of influence in the NSL in those areas it deems important. This could include:
availability of players for national teams
media/broadcast agreements
sponsorship and marketing
funding
game development.
This then enables Soccer Australia to focus on its core responsibilities of game development and national teams to the expectations of stakeholders.
Recommendations
That:
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Soccer Australia establish the NSL as a separate entity operating under a licence from Soccer Australia with a board comprised of independent directors elected by participating NSL clubs and with separate (to Soccer Australia) funding. |
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Soccer Australia assist the NSL through joint marketing, television rights agreements and sponsorships. |
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The Chief Executive Officer of Soccer Australia has observer status on the board of the NSL. |
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