GAA unable to meet GPA’s Demands
blog No Comments »The GAA has said it is “not in a position” to hand over five per cent of its commercial revenue to the GPA.??The Association outlined its position on the matter this morning when it published an eight-point plan in response to the GPA’s demand for formal recognition.??
GAA president Christy Cooney and director-general Paraic Duffy said they wanted to continue talks with the players’ body with a view to granting them official recognition. However, they said the GAA cannot meet the GPA’s demands for five per cent of their commercial income.?
The GAA’s position on the matter is as follows:
1. The GAA’s serious engagement with the GPA on the issue of recognition, with the full support of GAA Central Council, demonstrates the Association’s good faith in seeking a resolution to the recognition issue. The GAA has long recognised both the validity of a players’ representative body and the potential value to players and Association alike of a partnership in such a context.
2. However, if the GAA is to provide significant funding to the GPA – regardless of the structure of such funding – it can only do so on the basis of the GPA’s existence as an integral part of the Association. The GAA nationally reinvests virtually all of its revenues directly to Counties and Clubs and is fully committed to the welfare, indeed the enhanced welfare, of all those who play its games. It is essential, both for the players and the Association, that any funds spent on the crucially important area of player welfare are accountable and provide value for money.
3. The GAA centrally is, as indicated, prepared to provide significant funding to the GPA as an officially recognised players’ body. However, as applies in the preparation of our own annual budgets, and also in respect of funding requests from all Club, County and Provincial units, from our sister organisations, and in relation to the many projects of a community nature that it undertakes, the clear GAA policy is to do so only in the context of a project based funding model. Under such a model, appropriate initiatives for inter county players would be approved and delivered based on an assessment in terms of value for money, affordability and their overall benefit to the playing body.
The GAA simply cannot provide funding for any unit or body based purely on a fixed percentage of annual income. The Association already has a substantial fixed annual overhead that must be met from revenue sources that are unfixed, unpredictable and subject to significant alteration due to factors outside the Association’s control. The GAA has to act responsibly in its financial management, and cannot place its financial welfare at risk by committing itself to a permanent arrangement of the kind sought.
4. It is also the view of the GAA that comparisons with other players’ bodies elsewhere and in other contexts are of limited relevance. On every important criterion, the situation in respect of the GAA is profoundly different:
(i) The GAA is an amateur association, while other bodies function in a purely professional context;
(ii) GAA players play our games as a recreation of choice, while others do so as a professional activity;
(iii) The GAA does not exist to make a profit. Indeed, professional sport is increasingly conducted according to the profitability models of business. Sporting entities “invest in” players as, in effect, assets and, very often, must respond to the demands of shareholders.
5. Apart from these fundamental and specific differences, there is a more general context that should be taken into account, and within which the issue of the recognition, status and funding of the GPA must be resolved. This concerns the very nature and ethos of the GAA. The GAA belongs to the tens of thousands of Irish people who participate in GAA activities in their respective local communities, ranging from the selfless volunteers who seek to improve the quality of life, sense of unity and belonging in their communities to those who are spectators of our games. In essence, the GAA exists because of the voluntary efforts of its members; the GAA, therefore, has a core duty of responsibility to all its members. This embraces all of our players, as well as the varying needs of the entire GAA community.
Part of that responsibility is manifested through the huge and growing GAA expenditure on facilities in clubs and communities throughout the country. Notwithstanding these enormous demands on GAA revenue, the Association allocates in excess of an audited 25 million annually in the preparation of inter-county teams and on the welfare of its players. The GAA is able to devote such a significant expenditure in these areas due to funding sources such as gate receipts, sponsorship and broadcast/media revenue.
6. On an annual basis, the GAA reinvests its income in the infrastructural, social and human development of the Association and its members, only ever retaining a tiny fraction of its resources as cash reserves. Even a cursory examination of the audited and publicly available accounts of our County boards, Provincial and Central Councils would confirm that the GAA does not have substantial cash reserves.
7. Notwithstanding all of this, the GAA recognises the hugely important role played by inter county players in the promotion and development of our games and in generating finance that helps the Association to operate successfully at many levels. Hence, in addition to financing projects of a welfare nature, the GAA reiterates its willingness, subject to a resolution of the recognition and funding issues, to: (i) provide administrative funding for the GPA; (ii) provide office accommodation for the GPA; (iii) ensure GPA representation on national committees; (iv) develop joint GAA/GPA sponsorships and opportunities for the benefit of our players and indeed the wider Association.