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ARU fee structure change for 2015

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Strewthcobber

Simon Poidevin (60)
Just running some very quick numbers for the QRU as example (I believe school players aren't paying the fee?).
10,000 senior @ $65 = $650,000
16,000 juniors @ $40 = $640,000
Total raised = $1,300,000

Now the QRU employ 18 development officers - so $72k total each. If they use the fee to pay for the officers - it sounds fairly close to what they would cost the QRU.

ARU trouser another $780,000 on top of that
 

Brendan Hume

Charlie Fox (21)
Just running some very quick numbers for the QRU as example (I believe school players aren't paying the fee?).
10,000 senior @ $65 = $650,000
16,000 juniors @ $40 = $640,000
Total raised = $1,300,000

Now the QRU employ 18 development officers - so $72k total each. If they use the fee to pay for the officers - it sounds fairly close to what they would cost the QRU.

ARU trouser another $780,000 on top of that
You're right, school's do not pay the fee.

Yeah, it all sounds nice when it's laid out like that. My region (Townsville) already employs a Director of Rugby, a Development Coordinator, two Development Officers and an administration assistant.

The QRU also receive a significant amount of state funding to manage their Community Rugby program.

I hate to sound obstinate or argumentative, but unless people are actively involved in the administration of the game, it's probably hard to fully comprehend the wide ranging impact that these changes will have. I've put a number of years into the sport and I'm watching truly awful decisions be made without any consultation or discussion with the people that the changes will affect, and it's making me quite upset.
 

RugbyReg

Rocky Elsom (76)
Staff member
You're right, school's do not pay the fee.

Yeah, it all sounds nice when it's laid out like that. My region (Townsville) already employs a Director of Rugby, a Development Coordinator, two Development Officers and an administration assistant.

The QRU also receive a significant amount of state funding to manage their Community Rugby program.

I hate to sound obstinate or argumentative, but unless people are actively involved in the administration of the game, it's probably hard to fully comprehend the wide ranging impact that these changes will have. I've put a number of years into the sport and I'm watching truly awful decisions be made without any consultation or discussion with the people that the changes will affect, and it's making me quite upset.

I wouldn't call it significant by any means. Significant to a single community club, sure. But not significant to a state sporting organisation.
 

TSR

Andrew Slack (58)
...the much bigger issue, especially for those down the grassy end is that no-one can now play without paying the fee.

Exactly. Clubs need to be able to drag in a few extra guys from time to time without them having to pay full rego, up front, before they take the field.
 

Strewthcobber

Simon Poidevin (60)
And you'll note that as yet there has been no explanation as to how this money is to be spent, so one assumes that it will go into consolidated revenue.

A similar exercise for the ARU part
40,000 seniors @ $33 = $1,320,000
50,000 juniors @ $27.50 = $1,375,000
Total money raised = $2,695,000

In the 2012 annual report $5m was allocated to "community rugby" and an additional $5m was distributed to the member unions. A fair assumption is that the money will be used to ensure that this isn't cut too much when the razor gang gets stuck into all other expenses.

Just wanted to reinforce that I don't agree with what they are doing, especially the player registration part, but you can see the logic in what's going on.
 

Chris McCracken

Jim Clark (26)
I would interested in what others think of the upcoming fee change. I suspect as country clubs in particular start to hold their AGM's and begin their pre-seasons the real impact will be felt.


Be careful what you wish for. I've spent the last few days drafting a letter on this, so I have some points. Rant follows.....

Our club will be hit very hard by this - especially in light of our operational model. We are in a town of 10,000 with a heavy league dominance. Six or so years ago, both the junior and senior clubs were dead. Some hard work and a model to attract kids from poorer socio-economic groups and from summer sports has made inroads.

Our fees are incredibly low so that we can maintain our player base. We previously gathered sponsorship to help with that, but it has dried up. We had, prior to the NPF, decided to increase our fees gradually over three years.

But the $27.50 participation levy for juniors sees a 37% increase in fees by itself. Some players and parents will struggle to find the money up front. Previously, the club could offer to defer costs, but that option disappears now, too. This is probably a bigger issue for us than the fees themselves.

Add to that the fact that the average round trip for an away game is almost 300km, even for juniors, and you start to see the expense profile.

And you can forget about part-time and casual players in the senior club turning up with the requirement for up front individual fees.

We have developed a great staff - especially in the junior club and those people have all attended their ARU courses entirely at their own expense. Six years ago, we had less than 40 kids in the junior / Walla club and I was playing first grade (to show just how much they had to scrape the barrel) and getting flogged 50 nil.

Now, thanks to the hard work of a bunch of people, setting ourselves apart on both quality AND price, we've got 120 kids in the club, with 18 rep players last year and 8 kids in the JGC program. We've won a first grade premiership and come close a couple of times. We've just plain gotten better.

But the NPF means we need to re-evaluate the way we operate and several of our initiatives have to change. If we lose some of those athletes who can't (or won't) afford it, the change in competitiveness means we'll likely lose other quality players to league or they'll travel to other clubs. I really don't want to see us go backwards. I'm pretty sure our club, and ones like it, are an example of how clubs are supposed to work.

Another interesting thing is that each year, we gather sponsorship and fund raise to get the boys to a few Super Rugby games and the odd test match. It helps when most of them have never seen Rugby. Ironically, the ARU probably gets more out of the club that way than they will going forward with the NPF.
 

namtrak

Johnnie Wallace (23)
I think there is a definite case for country clubs to be allowed to stick with the old scheme and city/grade clubs? to move to the new scheme.

For country clubs if a player/club can't afford to pay the individual rego fee then options are for the player to change codes or stop playing all together - a travesty!!!!

For city clubs, players have the option to shop around for other clubs - which in itself will raise issues I imagine.

Maybe an alternative could also be 15 nominal players per club paying the new fee structure and then for each team listed after 1st grade to pay the $1800 flat rate.

We have a few clubs in the local competition who have just 1 team in 3rd grade. If these guys have say 25 registered players, their club registration is going to go from $1800 to $4250. This is going to be a big impost on these guys.
 

Brendan Hume

Charlie Fox (21)
A similar exercise for the ARU part
40,000 seniors @ $33 = $1,320,000
50,000 juniors @ $27.50 = $1,375,000
Total money raised = $2,695,000

In the 2012 annual report $5m was allocated to "community rugby" and an additional $5m was distributed to the member unions. A fair assumption is that the money will be used to ensure that this isn't cut too much when the razor gang gets stuck into all other expenses.

Just wanted to reinforce that I don't agree with what they are doing, especially the player registration part, but you can see the logic in what's going on.

Unfortunately, the people who make up "community rugby" haven't been consulted on to the plan. Take money from community rugby so it can be passed through the ARU and state bodies before being spent on community rugby? That doesn't sound like strong logic to me. It sounds like a bureaucratic nightmare that will soak up funds before it reaches the people that have paid the fee.

The ARU may be the governing body, but they aren't the government.

You also need to remember that this was all being provided previously at no cost. Now that may not have been the right thing to do - I accept that there are costs associated with things, but to reach a crisis point and try to implement such a drastic measure smacks of desperation and inadequacy.

The core business of the ARU should be implementing policy from the IRB, providing an administrative platform for the game and identifying appropriate insurance coverage for the community game, creating positive pathways to the elite level, and managing the commercial business of the professional game. That should not cost participants $11, $27.50 or $33.

As for the state imposed levy, which is $40 and $65 in Queensland - I have no idea what the state body does for that sort of money.
 

Quick Hands

David Wilson (68)
The core business of the ARU should be implementing policy from the IRB, providing an administrative platform for the game and identifying appropriate insurance coverage for the community game, creating positive pathways to the elite level, and managing the commercial business of the professional game. That should not cost participants $11, $27.50 or $33.

As for the state imposed levy, which is $40 and $65 in Queensland - I have no idea what the state body does for that sort of money.

So you guys get a double whack. For how long has the QRU imposed this levy? Do they provide any account as to where and when the money was spent?

Like many things in Australian rugby, there seems to be no overarching strategy or plan, just a patchwork of decisions, plans and programmes which in some cases work against each other.

In the absence of any explanation from the ARU, this levy should be seen for what it is; a blatant, nasty, sneaky cash grab from those parts of the game which can least afford it.
 

Brendan Hume

Charlie Fox (21)
So you guys get a double whack. For how long has the QRU imposed this levy? Do they provide any account as to where and when the money was spent?

Like many things in Australian rugby, there seems to be no overarching strategy or plan, just a patchwork of decisions, plans and programmes which in some cases work against each other.

In the absence of any explanation from the ARU, this levy should be seen for what it is; a blatant, nasty, sneaky cash grab from those parts of the game which can least afford it.

There is no time frame attached.

We received this communication in mid-November:

"While your club is busy planning for next year, there are some important changes that will happen nationally for the 2015 season.

Rugby is moving to a funding model where every player nationally will pay an individual insurance levy and registration fees.

It will be a simpler and fairer way to distribute costs across the game and ensure State and Territory Unions can continue to administer, service and develop Rugby at a local level."

The following outcomes are explained:
All money collected by the National Participation Registration Fee will go to the State and Territory Union to administer and service our game at a local level.

Every junior member becomes a Reds member, whether they like it or not... $5 goes to the club - although I think there is an asterisk on that figure.

There is some rebate proposed on the insurance levy as well, although this is also not explained.

Additional State based charges are as follows:

ACT and Southern NSW Rugby is charging an additional $33 for each U6-U7, $44 for each U8-U18, and $60.50 per senior player.

WA Rugby is charging an additional $22 per senior player.

SA Rugby is charging an additional $13 for each U6-U7, $44 for each U8-U18, and $53 per senior player.

Vic, NSW, NT, Tas have not announced an additional state based charge.

This should be something anyone involved in the game should be angry about.
 

Quick Hands

David Wilson (68)
There is no time frame attached.

We received this communication in mid-November:

"While your club is busy planning for next year, there are some important changes that will happen nationally for the 2015 season.

Rugby is moving to a funding model where every player nationally will pay an individual insurance levy and registration fees.

It will be a simpler and fairer way to distribute costs across the game and ensure State and Territory Unions can continue to administer, service and develop Rugby at a local level."

The following outcomes are explained:
All money collected by the National Participation Registration Fee will go to the State and Territory Union to administer and service our game at a local level.

Every junior member becomes a Reds member, whether they like it or not. $5 goes to the club - although I think there is an asterisk on that figure.

There is some rebate proposed on the insurance levy as well, although this is also not explained.

Additional State based charges are as follows:

ACT and Southern NSW Rugby is charging an additional $33 for each U6-U7, $44 for each U8-U18, and $60.50 per senior player.

WA Rugby is charging an additional $22 per senior player.

SA Rugby is charging an additional $13 for each U6-U7, $44 for each U8-U18, and $53 per senior player.

Vic, NSW, NT, Tas have not announced an additional state based charge.

This should be something anyone involved in the game should be angry about.

So the QRU takes $40 per junior, makes all juniors Reds members and gives you $5 back? What a shambles.

I'd like to see justification for; How is it fairer? Precisely what service and development will be provided?

I notice that they are distributing costs, not funds!:mad:

It will be a simpler and fairer way to distribute costs across the game and ensure State and Territory Unions can continue to administer, service and develop Rugby at a local level."
 

Brendan Hume

Charlie Fox (21)
So the QRU takes $40 per junior, makes all juniors Reds members and gives you $5 back? What a shambles.

I'd like to see justification for; How is it fairer? Precisely what service and development will be provided?

It will be a simpler and fairer way to distribute costs across the game and ensure State and Territory Unions can continue to administer, service and develop Rugby at a local level."

"Continue to administer, service and develop Rugby at a local level" says to me, business as usual. What had previously cost nothing, now costs between up to $100 a head, with no opportunity for the community game to manage those aspects for themselves.
 

RugbyReg

Rocky Elsom (76)
Staff member
Brendan, what are the other sports in your region charging their players do you know?
 

Brendan Hume

Charlie Fox (21)
Brendan, what are the other sports in your region charging their players do you know?

In junior sport, League is probably our biggest competition for players - costs are roughly the same to a little lower, depending on the club and the area. Our juniors paid $170 this year on a budget of around $175 in costs. These included insurance, sub-union costs, shorts and socks, jersey, equipment and facilities costs.

Soccer is probably more expensive, but most soccer kids are playing soccer because their mums don't want them playing contact sport.

We do family discounts and discretionary discounting for struggling families.

Senior fees were $280 on a $285 budget. I'm not sure of the cost of the other sports - I think we're in the range of the League cost, maybe a little lower, but many League players are paid.

On the whole, we're competitive with other sports and have deliberately charged our subs at roughly cost price to ensure people value what we are providing. I'm not a fan of discounting subs to get price conscious consumers unless there is some payback through volunteering.
 

TSR

Andrew Slack (58)
Brendan, what are the other sports in your region charging their players do you know?
Costs in Rockhampton for league are higher for juniors and lower for seniors. I am not sure on AFL. But both provide significantly more in terms of local development and support to the local comps. There is no comparison on that front.
 

Quick Hands

David Wilson (68)
Costs in Rockhampton for league are higher for juniors and lower for seniors. I am not sure on AFL. But both provide significantly more in terms of local development and support to the local comps. There is no comparison on that front.

It's exactly the same around here. Registration costs between league, union and aussie rules about the same - but the players receive more in terms of gear, but more importantly access to development and support.

As we've heard nothing from the ARU in this regard, we are to assume that we are to pay significantly more but are to receive the same service.
 
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