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Rotohelp
November
15th
2001
Out of the Frying Pan
Rotohelp
A Credible Threat

by Jessica Polko

Welcome to the first posting of the Rotohelp News Column, Out of the Frying Pan. The purpose of this column will be to select from the day's baseball news a handful of the most relevant issues and items and to provide a (hopefully) spicy commentary to accompany them. I will make a special effort to try to highlight issues that might be of particular interest to the fantasy owner and baseball fan alike but which tend to miss the spotlight. Nevertheless, I am but a mortal columnist and as this is a daily article you will get to hear my opinions on major issues.

That said, let us proceed with today's unfortunate topic.

Contraction - the Buzzword of this Year's Hot Stove League

Before I begin I should lay out my stance on a few related issues.

First, the owners are making money. They just don't see it as financially beneficial to admit it. Among the sources that have led me to this conclusion is the report compiled by the Blue Ribbon Panel, which was appointed by the commissioner himself. The book Baseball and Billions also sheds light on some of the more interesting ways in which clubs can claim losses, despite what might appear to be rivers of cash flowing into their already brimming coffers. Given the subpoenas issued by the Florida Attorney General this past Tuesday, I don't think many people remain fooled by the creative bookkeeping practices of the owners.

Second, the player's union and the players themselves are not evil (although if President Bush lends his speechwriters to Selig we soon might start to hear them referred to as such). Yes, they make large sums of money to play a game. However, fans as a group spend enormous sums to munch on snacks in expensive stadium seats. Other fans watch the games broadcast on television or listen to the radio (or in Chicago, they watch their muted televisions while listening to the radio). Companies pay clubs for the right to bombard these viewers with invitations to consume their products and services. The clubs have instituted set lengths of time for breaks in the game so that even more advertisements can be sold. Fans also purchase mass quantities of merchandise that display team logos and player likenesses. It is a billion dollar industry. Give me one good reason a sizeable portion of the wealth they generate shouldn't go to those players. Perhaps more to the point, give me one good reason it should instead stay in the accounts of the club owners.

Most importantly, teams can win without a lot of money. Teams with a lot of money can't necessarily win. Intelligent management is the surest way to success.

Now that you know something about where I stand on the financial and labor situations of baseball, you should understand my position on contraction.

The Concept
It might pay on their tax returns, but long term it is not good for the game when owners continue to market the dire straights of baseball. If the public really starts to believe them, then what motivates them to continue to pour their energy and hard earned cash into their favorite team? After all, who wants to suffer the evidently inevitable heartache associated with the elimination of that team? The more skeptical fan population has to consider how long they can stomach listening to prosperous men whine about their profit margins, men that are lucky enough to possess their own baseball team in the first place. As for those who are not already fans of our national pastime, what could possibly persuade them to take up interest in a sport wrapped up in money squabbles during one of its most exciting times?

If two teams are actually contracted, how can the sport ever successfully expand again? The league might find itself pressed to find owners who believe they can convince a fan base that they will be around long enough to bother following them. At the very least, I think 20 to 30 years would pass before it would be viable.

The Problems with the Specifics
The most discussed version of contraction includes eliminating Minnesota and Montreal, Montreal owner Jeffery Loria buying Florida, and Florida owner John Henry buying Disney's Anahiem Angels. Baseball would pay the owners of the Twins and Expos $250 million dollars apiece to eliminate their teams. Disney and Minnesota owner Carl Pohlad would be able to leave a business they obviously hate and everyone would make money.

Several problems exist with this scenario. The number one problem is that Minnesota is an extremely viable market. Not only were they in the playoff hunt for a large portion of this season, but they also showed a profit. Attendance normally increases in the year following a successful season, and such a bump certainly has precedence in Minnesota, where the Twins were the first club to draw 3 million fans. The club has a rich and lengthy history, including 2 World Series, 3 pennants, and 3 beloved Hall of Famers in Harmon Killebrew, Rod Carew, and Kirby Puckett. Another thing to remember is that the Twins were the original Washington Senators, who also won a world championship with the great Walter Johnson. The primary reason that the Minnesota Twins are being considered for contraction is that they play in a lousy stadium and the state has not been inclined to build them a new one.

So why not take the money that would buy the two teams and provide the Twins with an interest free loan to build a new baseball-only stadium? If the San Francisco Giants can pay for their own stadium, why can't other clubs? The only team that is seriously suffering from anything other than poor management appears to be Montreal. However, there is no need to dispose of the club when there are several viable markets to which the team could be moved. The most feasible would probably be Northern Virginia and again the league could use some of that contraction money to compensate for the perceived infringement on the Baltimore Orioles territory.

The Reality
I've addressed several aspects of contraction here without even touching on the logistics of whether or not the owners ultimately will be able to finish what they've started. There are quite a few people who are going to try to stop them. The union is not going to lie down while 50 major league jobs are eliminated, and 300 minor leaguers won't be too happy either. Regions surrounding the contracted teams are going to fight this since they don't want to lose their franchise, the money it earns, or the hundreds of stadium jobs generated by a team's presence. This will be argued before state courts, federal courts, the United States Congress (which has already introduced legislation to limit baseball's anti-trust exemption), and the National Labor Relations Board.

Contraction doesn't make any sense for either the short term or long term health of the game, but it is at the very least a credible threat. The fact that it is currently being discussed will have major implications for teams making moves this off-season regardless of the outcome of discussions. With clubs unable to officially contact other team's free agents until November 20, the next few days will likely be a bit slow. However, I don't expect there to be many fast signings even after the chains are loosed. Everyone's thoughts are on contraction, and even those individuals who might want to continue business as usual will not be able to do so alone. Expect a slow off-season until this disgusting mess is resolved. Florida hasn't filled any of their management openings and isn't expected to any time soon while they wait to see if the club will have new ownership. The Twins no longer appear to be interviewing for a new manager. They're waiting. We're all waiting.

I can't please all the people all of the time, but I am more than willing to read the comments of the pleased, the irate, and everyone in between. You can send your opinions to jess@rotohelp.com.
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