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The buyout lies are disgusting

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You people who think the buyout doesn’t matter are living in a fantasy. If our worthless AD did not give him that extension in March, Richt would be in Georgia right now looking for a new house
 
CashMoneyCane said:
Ugh. Guys. Everything about this thread is wrong.

Please read my post on University Financing.

It is nowhere remotely as simple as "having the money," nor can you look at football revenues in isolation, due to Title IX.

It's not a lie, it's how things work.
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So you’re saying there are no reserves or unanticipated working capital needs mechanisms that could be used to fund a buyout?
 
dycane said:
So you’re saying there are no reserves or unanticipated working capital needs mechanisms that could be used to fund a buyout?
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No. I'm saying it's not as easy as grabbing ten million dollars and writing a check, and there are MANY other factors at play.

Unanticipated working capital needs are exactly that. You have working capital that you need to operate. You have unexpected expenses outside of that budget. What do you do? Where does that money come from? Do you just stop paying for something else?

Does it make sense to put millions of dollars into a cash account just in case you need a buyout, and you don't know when?
 
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CashMoneyCane said:
No. I'm saying it's not as easy as grabbing ten million dollars and writing a check, and there are MANY other factors at play.

Unanticipated working capital needs are exactly that. You have working capital that you need to operate. You have unexpected expenses outside of that budget. What do you do? Where does that money come from? Do you just stop paying for something else?

Does it make sense to put millions of dollars into a cash account just in case you need a buyout, and you don't know when?
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Maybe I’m looking at this wrong Cash, but I see this more about trying to save 1 years worth of the buyout. This team is on a devastating path next year. Anyone BoT. With 1 eye can see it. Hiring a Tee Martin or whoever OC is not going to fix this...certainly not in 1 year. 2019 is going to be as toxic as this team has ever seen. So with that, you are going to be looking at a buyout next year if Richt stays. So what the **** type of cliff is there from this years buyout # to next year? That’s not even factoring in the damage both financial and non from next years disaster
 
CashMoneyCane said:
No. I'm saying it's not as easy as grabbing ten million dollars and writing a check, and there are MANY other factors at play.

Unanticipated working capital needs are exactly that. You have working capital that you need to operate. You have unexpected expenses outside of that budget. What do you do? Where does that money come from? Do you just stop paying for something else?

Does it make sense to put millions of dollars into a cash account just in case you need a buyout, and you don't know when?
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So you don’t know the situation at Miami. Any one with half a brain understands it’s not fiscally responsible to start piling up severance obligations. But to presume Miami can’t afford to fire Richt and pay his severance is absurd. Plenty of categories to draw from, including student fees, corporate sponsorships, etc. And your Title IX observation is flatly wrong.

By the way, the BOT — even if it delegated contract oversight to the admin — would still be responsible to ensure that the school had the financial capacity to afford the severance. It would be a breach of fiduciary duty not to. These are the only types of things Miami’s BOT cares about — where is the money coming from to fund severance if we have to terminate this contract.
 
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WaterburyCane said:
Maybe I’m looking at this wrong Cash, but I see this more about trying to save 1 years worth of the buyout. This team is on a devastating path next year. Anyone BoT. With 1 eye can see it. Hiring a Tee Martin or whoever OC is not going to fix this...certainly not in 1 year. 2019 is going to be as toxic as this team has ever seen. So with that, you are going to be looking at a buyout next year if Richt stays. So what the **** type of cliff is there from this years buyout # to next year? That’s not even factoring in the damage both financial and non from next years disaster
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You could be right, and I think that's part of it. But to me the bigger issue is that you give an HC four years. Miami was a DISASTER when Richt got hired, and most people seem to already forget that. It's not like we were 11-1 and the HC bolted for the NFL and left a great recruiting class and a stacked roster. We're STILL not at 85 schollies. Richt isn't Al Golden who had two winning seasons at a nothing program with no competition. Dude may have $#!+ the bed often in big games, but he was steady at a big program. Gripe all you want about the offense but the D has been excellent. And we wouldn't have an IPF if not for him. I think that buys a little more patience.

I'm not saying I don't think Richt should be fired now, but I think those issues combine with the buyout issue. Despite the season being a disaster he's earned some goodwill.
 
dycane said:
So you don’t know the situation at Miami. Any one with half a brain understands it’s not fiscally responsible to start piling up severance obligations. But to presume Miami can’t afford to fire Richt and pay his severance is absurd. Plenty of categories to draw from, including student fees, corporate sponsorships, etc. And your Title IX observation is flatly wrong.

By the way, the BOT — even if it delegating contract oversight to the admin — would still be responsible to ensure that the school had the financial capacity to afford the severance. It would be a breach of fiduciary duty not to. These are the only types of things Miami’s BOT cares about — where is the money coming from to fund severance if we have to terminate this contract.
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Please elaborate as to how my Title IX observations are "flatly wrong" with supporting documentation.

Please show me where I said "Miami can't afford to fire Richt and pay his severance."

Please explain to me how I "don't know the situation at Miami."

I've had a ton of people, like you, tell me I'm wrong, without backing anything up in any way, shape or form. Conversely, I've had plenty of finance and tax types agree with everything I've said. As soon as you are able to support your argument, I'll listen. Until then, you're full of it as far as I'm concerned.
 
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Odin said:
So why was I watching Richt on the big TV screens during games this season begging fans to donate to the IPF if we have so much money?
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dycane said:
So you’re saying there are no reserves or unanticipated working capital needs mechanisms that could be used to fund a buyout?
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No, there isn’t. And, believe it or not, buying out the football coach is not part of the capital plan. Money is allocated. As a few have said, there might be money available, but that involves changing a lot of things that are already planned and earmarked. If the desire were high enough, then of course priorities can be re-set, but right now they are not.
 
CashMoneyCane said:
Dude, please. Schedules are developed that far in advance. An endowment with infinite life typically has a five and ten year plan, at least.

I'm kind of beside myself that you think Fortune 500 companies aren't developing operating budgets that far in advance. Anything associated with a capital expenditure is going to project discounted cash flows for YEARS. Endowment valuations are projected out 25-30 years. I've done the work.
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Lol yeah I’ve worked FP&A/Corp Dev at F500 firms and built AOPs but don’t understand how firms approach their budgeting.

You initially used the term capital budgeting to describe a company putting together their operating budget. To me that shows you have a low level grasp on terminology let alone standard operating procedures.
 
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Where there is a will, there is a way.

If the U cannot afford to actually make good on the buyout, then that is even more evidence of how irresponsible it was for it to enter into the contract in the first place.
 
BigCaneAl said:
No, there isn’t. And, believe it or not, buying out the football coach is not part of the capital plan. Money is allocated. As a few have said, there might be money available, but that involves changing a lot of things that are already planned and earmarked. If the desire were high enough, then of course priorities can be re-set, but right now they are not.
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Something that is not part of the “capital plan,” as you put it, is an unanticipated working capital need. But thank you for the new terminology, “changing a lot of things already planned and earmarked,” which is a phrase I’ve never come across despite being intimately involved in operating budgeting.
 
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canespimp433 said:
Lol yeah I’ve worked FP&A/Corp Dev at F500 firms and built AOPs but don’t understand how firms approach their budgeting.

You initially used the term capital budgeting to describe a company putting together their operating budget. To me that shows you have a low level grasp on terminology let alone standard operating procedures.
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I wouldn’t bring up your time at wordlcom again.
 
Go Canes!! said:
Any fool who thinks we “made” $27 million off football last year shouldn’t even be responded to.

His math is as logical as the dude who thinks the BOT will fire James and CMR if he doesn’t renew his season tickets.
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This.
 
dycane said:
Something that is not part of the “capital plan,” as you put it, is an unanticipated working capital need. But thank you for the new terminology, “changing a lot of things already planned and earmarked,” which is a phrase I’ve never come across despite being intimately involved in operating budgeting.
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The fact that we don’t budget for a buyout every 3-4 years shows how incompetent our middle management is.
 
dycane said:
Something that is not part of the “capital plan,” as you put it, is an unanticipated working capital need. But thank you for the new terminology, “changing a lot of things already planned and earmarked,” which is a phrase I’ve never come across despite being intimately involved in operating budgeting.
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Not sure what you mean? There is a working capital fund that is used as the “fungible” dollars that would be available for unexpected capital needs, but pulling $20M from that is very difficult. Not sure the issue with the term “changing a lot of things already planned and earmarked” is, but that’s simply stating the reality and not meant to be a finance term. Sorry for confusing you.
 
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