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Leagues and Governing Bodies

Garber Says Don't Read Too Much Into Consolidation Report

Despite reports that MLS is considering eliminating two franchises before the start of the '01 season, the Fusion "won't be yanked from South Florida" according to Hal Habib of the PALM BEACH POST. MLS Commissioner Don Garber said yesterday, "To comment would add credence to all these rumors, so I have nothing to say. For whatever reason, it seems people are spending too much time trying to create stories as opposed to reporting stories" (PALM BEACH POST, 1/3). Garber was responding to a report by ESPN.com's Jeff Bradley that the league's board "began to seriously discuss trimming the league" to ten teams for the '01 season. Bradley confirmed the story with "multiple MLS sources" and wrote that discussions are "ongoing." Sources mentioned the teams that could be disbanded include the Earthquakes, Fusion and Mutiny, with the Earthquakes and Fusion "taking the early lead as favorites to go." The Fusion are looking into a move to Winston-Salem, NC, in '02. Meanwhile, Bradley reported that the Hunt family is leading the reduction "movement" and is "supposedly trying to push for a 're-launch' of MLS in the coming year as a leaner and stronger league" (ESPN.com, 12/28). In DC, Steven Goff reported that MLS Operators/Investors Lamar Hunt and Robert Kraft want to "slow spending this coming season" (WASHINGTON POST, 12/30). In Dallas, Steve Davis notes that "contraction" is the "off-season buzzword around MLS." Burn GM Andy Swift said, "We wouldn't be the first league to move or fold teams" (DALLAS MORNING NEWS, 1/3). But despite talk of consolidation, the Fusion are "preparing for another season" in FL by "laying new carpeting and repainting the office." One Fusion exec said, "I'm not concerned for a nanosecond" (PALM BEACH POST, 12/30).

STRUCTURAL CHANGES: ESPN.com's Bradley also wrote that MLS is discussing "modifications" to the single-entity structure of MLS that would "allow for more team autonomy" for team operators, because "several potential big money investors (including AOL and Yahoo) have backed off from buying MLS clubs when they realized how limited their control would be" (ESPN.com, 12/28). One MLS investor said that any changes to the single-entity structure would "not do away with the system." Meanwhile, DC United's operating rights might be "taken over" by MLS Investor/Operator Philip Anschutz. MLS would "prefer to attract new investors to run United rather than hand over the club to an existing financier," but "isn't involved in any ongoing negotiations with other prospective buyers" (WASHINGTON POST, 12/30).

COMING UP ROSES: In L.A., Grahame Jones reported that the Galaxy will "continue to call the Rose Bowl home" for the next two MLS seasons, rather than potentially play some games at the L.A. Coliseum. Galaxy GM & VP/Business Operations Tim Luce said that a "tentative agreement had been reached in contract talks" between the team and stadium execs. After the '02 season, the Galaxy "expects" to move into a new stadium in Carson (L.A. TIMES, 12/28).

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