As the World of Baseball Turns

Today provided a really interesting case study in how poorly the economics of professional sports, baseball in particular, have been handled. As someone who spent nearly a year of his life involved in the effort to get a basketball arena built in Houston, I've paid close attention to many of the stadium and business issues in professional sports.

Baseball is in a particularly precarious position because of the strike a few years back, the lack of salary control, the lack of spending control by big market teams, lackluster interest from fans and struggling small market teams.

While I'll admit that the rapid "need" for new facilities presents a particular problem in all sports and certainly for communities willing or unwilling to foot the bill, I want to focus my attention on baseball's issues because of what happened today in Minnesota...

From the Associated Press...

<b>MINNEAPOLIS -- Baseball was barred from eliminating the Minnesota Twins next season when a judge on Friday ordered the team to play its 2002 home schedule in the Metrodome.

Twins owner Carl Pohlad also was ordered not to sell the team unless the new owner agrees to have the team play its 2002 home schedule in the ballpark.

The order by Hennepin County District Judge Harry Seymour Crump threw into question last week's vote by baseball owners to eliminate two major league teams next season.

While baseball owners didn't formally pick the teams when they met Nov. 6, they made clear the Montreal Expos and the Twins were the likely candidates. ...

Baseball and the Twins will try to overturn the order before a three-judge panel of the Minnesota Court of Appeals, but temporary injunctions usually are difficult to remove before a trial.</b>

Contraction, IMO, is a necessary result of a league that simply expanded too quickly. With no revenue sharing and no salary cap, payrolls for major league ball clubs ranged from around $12 million to over $120 million. That kind of disparity cannot survive the test of time. Nevermind the dillution of talent that is fairly obvious to anyone with even a passing interest in baseball.

But, what struck me most about the article however, were the comments from the Judge who issued the temporary injunction.

<b>"The welfare, recreation, prestige, prosperity, trade and commerce of the people of the community are at stake," Crump wrote in his four-page order. "The Twins brought the community together with Homer Hankies and Bobblehead dolls.</b>

What!!!??? If your community requires "Homer Hankies" and "Bobblehead dolls" to be brought together, you are in deep DOO DOO!

What's at stake: Welfare? Probably not. Recreation? To some degree. Prestige? I get that. Prosperity, trade and commerce? Puh-leeze! I'm sure there are plenty of other businesses in Minneapolis/St. Paul that will provide more than enough prosperity, trade and commerce for the city. This is one of the most ridiculous things I've ever read.

But, he continued...

<b>"The Twins are one of the few professional sports teams in town where a family can afford to take their children to enjoy a hot dog and peanuts and a stadium. The vital public interest, or trust, of the Twins substantially outweighs any private interest."</b>

What bothers me most about the statement that this is of "vital public interest" that "outweighs any private interest" is the fact that the community has rejected the notion of a new stadium paid for with tax dollars meant to help the Twins compete with larger market clubs, but, now, when they are about to fold, this guy decides they are of a vital public interest.

I have absolutely NO problem with people rejecting teams and stadiums. Let me just say that. I pushed for one in Houston because I felt like it was a good thing for the city. I still do. However, it wasn't just up to me. It was up to a city and county that had to vote TWICE just to make it happen. Minneapolis has the same issue and they are free to make any decision they like and I respect them for that.

However, to prevent, essentially, the failure of a small business because of public interest and, yet, not be willing to support that business is crazy. The airlines took a pretty big hit after September 11 and the governement gave them a ton of $$$ to keep them running because they served a vital public interest. No argument. However, they recognized that they couldn't just say, "You have to stay open" and not back it up with any help.

Ah, but there's more...now batting leadoff, the dumbass, Bud Selig:

From ESPN:

<b>Commissioner Bud Selig said Minnesotans critical of baseball's plan to eliminate two teams -- possibly the Twins -- should "look themselves in the mirror."

Selig told the Star Tribune of Minneapolis that the Twins have made no progress toward building a revenue-producing stadium, and defended team owner Carl Pohlad, who has offered to fold the team in the contraction plan.

"I've always said that the road of responsibility runs two ways," Selig said. "I know there are people in the Twin Cities who want to blame Carl Pohlad, baseball, me, the owners or all of the above.

"But at some point in the past decade, despite 26 or so stadium proposals, there were chances to do something, and nothing got done. So there are a lot of people up there who have to look themselves in the mirror."

In defending Pohlad, Selig intimated that no other ownership group would solve the problems facing the Twins.

"To survive in this environment, even if you change other things, you still need a new stadium," he said.

Pohlad most recently offered to put $100 million toward a stadium. The other main components of that plan were $50 million from Twin Cities investors and a $100 million loan from the state to the team.

That plan reached the Senate floor during the last session and could be revived when the Legislature convenes in January.

"Now, the thing I don't understand is that in the last one, Carl had a proposal that would pay for more than 80 percent of the stadium," Selig said. "Well, gosh, nobody's ever done that before. That's remarkable." </b>

Ok, wait, lemme get this straight. Baseball has no salary controls in place. There are nuttly owners like George Steinbrenner who will spend $120 million on payroll (forget about the untold millions he spends on coaches, staff, the minors, etc) simply because he has a radio/tv deal that would make Bill Gates jealous. Other owners can't even afford to spend more than $12 million on payroll...cough, cough...Montreal. And, despite clubs like the Chicago Cubs, Atlanta and NYC raking in the cash with lucrative TV deals, no one is willing to share the pie.

Ok, fine. But what Selig is saying is, "It isn't our fault Minneapolis fans are so sucky that they can't build us a stadium so we can make enough money to stay in business."

I recognize that contraction is probably a viable and legitimate option considering the problems in those areas, however, to blame it on the people of Minnesota and not MLB's own ridiculous policies should earn him a special spot in the third ring of hell right next to our next batter...

Now batting clean-up, the fat ass dufus, Donald Fehr.

From AP:

<b>Players' association head Donald Fehr was pleased.

"This decision should provide the sides an opportunity to stop, reflect and consider," he said. "Given the nature of the lease provision, I don't find it a very surprising decision. We'll have to see what major league baseball chooses to do in response to the court order."

Baseball players have filed a grievance to block the teams from folding, claiming contraction violates their labor contract, which expired last week. Arbitrator Shyam Das is to hear that case next month.

"Obviously if the order holds and there is no contraction, then it would moot the case," Fehr said. </b>

What a freaking genius! This guy has NO labor contract in place yet he sues the company that pays him and the players for violating a contract that doesn't exist any longer. That is some move their hot shot.

This is typical crap from the head inmate running the asylum. Like the pre-strike rhetoric of a few years back, Fehr is trying to push MLB into accepting some watered down proposal that will just land the players and owners right back where they are today.

They should have learned that, despite their desire to get back to playing, ignoring the real problems in baseball will simply lead to more serious problems. It's like a cut on your arm. You might be ok, but, if it is deep enough (and MLB's problems run extremely deep), you'll probably bleed to death without medical attention. To ignore the problem is not just stupid but inviting a dangerous situation over for tea.

Until the players realize once and for all that they may not have a league to play in and they certainly won't get the kind of money they are raking in now if they decide to strike again, then they are just plain stupid and they deserve to flip burgers and sell used cars for a living.

While the NBA and NFL may be far from perfect, at least they have managed to have a degree of sense when handling labor issues recognizing that they have to cooperate or they won't survive.

Fehr and Selig, on the other hand, seem content to blame someone else for problems they themselves created.

But they aren't the only one's to be heard in this latest saga...

Now up, looking all pissed off and ready for a smackdown, Gov. Jesse Ventura...

From the AP:

<b>Earlier in the day, Minnesota Gov. Jesse Ventura met in St. Paul with top lawmakers and business leaders and said he will take a more active role in the fight to save the team, 25th in attendance among the 30 teams last season. Pohlad, who has been repeatedly stymied by the government in attempts to obtain funding for a new ballpark, met later Friday with Ventura and said he would call Selig to find out if baseball would delay contraction.

"What I'm going to bring to the forefront is that baseball, before they make rash decisions to eliminate teams, should step back, take a deep breath and take a year and really think about the decisions that they're making and what the repercussions would be," Ventura said.

He said baseball's other small-market teams should beware of contraction plans.

"My message would be that if it could happen to the Minnesota Twins, it could happen to you," he said. "You could be next."...

Ventura has long said he doesn't want to put state tax dollars into a sports stadium. And he reiterated that baseball won't right itself in Minnesota with just a new ballpark.

"Baseball has to fix itself," he said, referring to calls for a salary cap and increased revenue sharing. </b>

So, what's the solution? You won't fund a stadium and attendance is at the bottom of the barrell. The team is bleeding money like Stone Cold Steve Austin after a crack to the head with a metal folding chair and your suggestion is "baseball, heal thyself?"

Let's assume for the moment that they can't or won't fix their problems. Then what? Do you require that ALL businesses in Minnesota stay open despite the fact that they are losing money? If no one shows up to games, should they just keep playing and pretend that it's a packed house?

Time for a reality check, Governor. The Twins are going bankrupt. The fans have abandonded them at the ticket windows. The taxpayers have no interest in paying for a stadium. That spells disaster. Period.

But, of course, other politicians have to get involved. It wouldn't be a story without someone from Washington butting in.

Now batting, guys who should be focusing on terrorism and the economy but would rather shove their noses in the middle of a GAME, these idiots from our federal government...

From the AP:

<b>In Washington, House Judiciary Committee chairman James Sensenbrenner Jr., a Wisconsin Republican, said he intends to hold a hearing on baseball's antitrust exemption. Legislation introduced earlier in the week by Senator Paul Wellstone, a Minnesota Democrat, and Rep. John Conyers Jr., a Michigan Democrat, would apply antitrust laws to franchise elimination and relocation.</b>

Once again, the federal braintrust focuses its attention on baseball. When baseball can't play nice, somehow it becomes important to our federal governement despite other more pressing concerns in our world. Nice job.

The bottom line is that baseball is screwed up and until they choose to create a revenue structure that shares the wealth and a salary control that holds down growth, they will continue to fall flat on their faces. The kings of baseball have feasted at the table of wealth while the peasants have struggled for crumbs long enough. It is time for some financial equity or it's time to hang up the cleats.

I feel bad for the fans in Minnesota. They are the one's caught in the middle of silly whining and petty bickering. I guess there's always the Mall of the Americas to amuse them.

 

They aren't going to find anyone willing to buy the team without a stadium. That's the problem.

I agree that contraction WITHOUT revenue sharing solves nothing, but owners are said to be more willing to consider revenue sharing with fewer teams involved.

I just found the whole exchange so incredibly bizarre. No one discussing the issue from the league owners to the players to the politicians has a clue as to the fact that the problems facing baseball are problems they ALL have to address. It isn't just one issue or another. It is a combination of them.

It is as if they all operate in some vacuum independant of one another.