SBD/2/Leagues Governing Bodies

LACK OF A LABOR DEAL CAUSING CONCERN NORTH-OF-THE-BORDER

     The lack of a CBA between the NBA and NBPA is keeping the
expansion Raptors and Grizzlies from making their franchise
payments and may put a hold on the expansion draft, NBA rookie
draft and even construction of the Raptors' new arena, according
to this morning's TORONTO SUN.  The expansion agreement with the
two teams is based on the existence of a collective bargaining
agreement.  NBA Deputy Commissioner Russ Granik:  "If it gets to
where we absolutely have to have an answer, we're going to have
some tough discussions all the way around."  The TORONTO SUN's
Craig Daniels notes there has little progress toward a CBA since
the All-Star Game, and "there are increasing rumblings that a
lockout looms next season."  Construction on the Raptors' Air
Canada Centre will not begin until "a business deal is in place
with the league."  If the lack of a CBA delays an expansion
agreement past October 1, the team will be required to pay a C$1M
penalty to the province according to the conditions of the
agreement reached between the league and Ontario over the Pro-
Line Lottery.  The team "would likely claim" that the NBA would
be responsible for the fine because it failed to get a new CBA.
Granik: "I don't want to get into that" (TORONTO SUN, 3/2).
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