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- Bret Harris
- From: The Australian
- November 30, 2009 9:04PM
THE new ownership model for the Melbourne Super 15 expansion franchise is expected to be finalised before Christmas, but the ARU and potential investors are still to resolve several key differences.
The ARU will meet investors again this week to continue to negotiate the terms of the licensing agreement for Australia's first privately owned Super rugby team. It is understood there are three main issues to be dealt with, including the level of ARU financial support for the new team.
The four existing state and territory-owned Australian teams - the Brumbies, NSW Waratahs, Queensland Reds and Western Force - received an annual grant of $4.3 million from the ARU.
It is understood the potential private owners have asked the ARU for a similar grant.
Ideally, a privately funded Melbourne team would not require this level of financial assistance because it would defeat the purpose of introducing the concept of private ownership. But it is believed the ARU has offered the private investors a $2m grant, which is still being negotiated.
The ARU would also provide the Melbourne team with financial funds drawn from broadcasting rights and sponsorship, which it distributes to all of the teams.
There has been speculation the ARU would have a seat on the Melbourne board, but it appears the national governing body will only act in an advisory capacity to the private owners.
The ARU and the private investors need to strike a deal soon so the Melbourne franchise can get on with the appointment of a chief executive and coach and start to recruit players for the 2011 Super 15 season.
The successful Australian coach of Irish province Leinster, Michael Cheika, has agreed to coach the Melbourne team if he returns to Australia. But there are fears Cheika could be snapped up by a European team if Melbourne does act soon.
Sources have told The Australian the private investors have asked the ARU to sign Cheika to a coaching contract while the parties negotiate an agreement.
But it is unlikely the ARU would enter into this kind of arrangement, which could be regarded as risky. There is also talk former Wallabies coaches Rod Macqueen and John Connolly are scouting foreign players for Melbourne.
England's 2003 World Cup hero Jonny Wilkinson has been mentioned as a potential recruitment target, but no players can be signed until the licensing agreement is finalised.
The ARU will give the Melbourne franchise a dispensation on the number of foreign players it can recruit. The existing Super 14 teams are allowed to recruit two foreign players - one marquee player who is not eligible to play for the Wallabies and a development players who will become eligible to play for Australia.
The Melbourne team will be permitted to recruit 10 foreign players and the ARU may lift the strict criteria on marquee and development players.
Two years after the ARU relaxed its rule on foreign players only five imports have been signed by the existing teams. If the criteria was lifted, it would help Melbourne fill its quota of 10 imports because many players such as South African lock Anton van Zyl, who was chased by the Waratahs, fall between the two categories
http://www.theaustralian.com.au/news...-1225805503096
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Originally Posted by jono
