1. Linda D. Robertson Associate Executive Director for Business August 10, 2015

2. FHSAA Financial Goal (adopted 2009) “Fund the organization with 100% ticket sales from State Finals, Sponsorships, Media contracts, and Royalties so there is No Financial Burden to our Schools”

3. 6 Yr Record $400,000 - Membership Dues Reduced to nominal $25 $168,000 – More being paid to Finals Teams $225,000 – Less in Fines $116,000 – Less in FB Classic Fees & elimination of Recognized Sport Participation fees $127,000 – Less in Tournament Sanction Fees $43,000 - FHSAA Share of State Series Reduced – now only collect 15% on 7 sports and 25% football 2015-16 - FHSAA will redirect $1,080,000 more PER YEAR to schools compared to 2009

4. 501c(3) Annual Resources Then and Now Florida High School Athletic Association State Series Events

6. The Business of FHSAA – Myths & Truth Myth # 1 FHSAA was created by Florida Law

7. The Business of FHSAA – Myths & Truth Truth 1920- Formed as a Private Corporation in Gainesville 1952 – Designated a Non-Profit Private Corporation Governed by its Public & Private School MEMBERS

8. The Business of FHSAA – Myths & Truth Truth Nothing in Florida Statues for first 76 years 1997 - Legislation in Florida Statutes Named the governing organization for HS athletics for PUBLIC schools (no option) 2004 – Legislative study recommended raising fines for eligibility violations 2012 – HB 1403 changed eligibility rules on transfers

9. The Business of FHSAA – Myths & Truth Myth # 2 Perceived as relying on Public Funds (taxes)

10. The Business of FHSAA – Myths & Truth Truth ZERO state funding or direct tax dollars $0

11. The Business of FHSAA – Myths & Truth Truth 4% INDIRECTLY from Public funds (Public Schools) $12,500 Dues; $88,000 Fines; $110,000 Fees (2015-16 FY)

12. The Business of FHSAA – Myths & Truth Truth Public Schools rely heavily on Activity Funds from ticket sales, fund raisers and donations to fund Athletics FHSAA Policy requires member schools only use non-public funds to pay dues, fees and fines Ticket sale income is not Public Funds

13. The Business of FHSAA – Myths & Truth Myth #3: Perceived as relying on Penalties/Fines for funding source = $

14. The Business of FHSAA – Myths & Truth Truth 2% of resources are Fines (2014-15 FY)

15. The Business of the FHSAA – Myths & Truth You can Define the Purpose of a Business by where it gets its money and how it spends its money

16. Where Money Comes From Florida High School Athletic Association State Series Events

17. Where Money Goes - $6,060,738 2015-16 FY

18. The Business of the FHSAA – Myths & Truth You can Define the Purpose of a Business by where it gets its money and how it spends its money Truth: 81% of funds come from Athletic Events & Corporate Partners FHSAA gets ZERO from the State 61% of expense is Event Management, Officials, Communications, Publications, Scholarships/Recognition 11% of expense is Compliance and Eligibility 28% is spent on insurance, legal, technology, utilities, lobbying and general administration

19. Review of FHSAA Member Dues, Fees, Gate Sharing and Fines Florida High School Athletic Association

20. Member Fees New Member FHSAA Fees are FREE – 1 st year Next Year - Fee has three parts: 1. Membership Fees – High Schools: $25 Middle Schools : $10 2. Legal Fees: $167 High School $ 25 Middle School 3. FIAAA membership = $25 collected by FHSAA Due by September 30 th Each Year

21. Ticket Prices FHSAA does NOT regulate prices for: Regular season games, Invitationals, Tournaments, Classics & Jamborees, or Bowl Games FHSAA regulates prices for: State Series Events Only

22. Payments to the FHSAA Event Fees (sanction fees, state series hosting) Membership Dues Fines & Fees (i.e. late fees) Must pay with Non-Public Money (use: internal activity funds, gate receipts, booster funds, sales proceeds from concessions, parking fees, private school tuition, student fees)

23. Event Fees Financial Report (sharing % of gate) OR Sanction Fee (flat fee – invoiced by FHSAA) --------------------------------------------------- Financial Report (paid After event): State Series Events (only in BA, BB, FB, SC, SB, GVB) Football Classics (or pay flat fee if less) Third Party Promoted Events (ESPN, etc) Sanction Fee (paid Before event): Tournaments, Invitationals, FB Jamboree, Classics

24. See Webpage for Event Sanction FAQ’s Go to “For Schools” at top menu bar (in black) Select “Sanctioned Events” Notice tabs in Green at top of page – select “FAQ”

25. Football Classics & Jamborees JAMBOREE - $150 Spring $450 Fall CLASSIC - 20% of the gross receipts OR a flat fee as listed below, WHICHEVER is LESS according to the following table: Classification Fall ClassicSpring Classic 5A,6A, 7A, 8A$ 1,150 $ 600 1A, 3A, 4A$ 750 $ 350 2A, Independent $ 450$ 200

26. Fees for Classics $100 (4 teams); +$50 per additional team – Baseball, Basketball, Soccer, Softball $75 (4 teams); +$50 per additional team - Girls VB, Wrestling $50 (4 teams); +$50 per additional team – Boys WL, Track & Field, Cross Country, Swimming & Diving NO FEE – Tennis, Golf, Bowling, Flag FB, Water Polo, Boys VB, Lacrosse, Girls WL

27. Fees for Tournaments Baseball, Basketball, Soccer, Softball $35 (4 teams); + more for additional teams Girls VB, Wrestling $35 (8 teams); + more for additional teams Boys WL, Track & Field, Cross Country, Swimming & Diving $0 (4 teams); $20 (up to 16 teams); + more for additional teams – Tennis, Golf, Bowling, Competitive Cheer, Flag FB, Water Polo, Boys VB, Lacrosse, Girls WL - NO FEES

28. Financial Forms Use for Events Requiring % of Gate to FHSAA On FHSAA Website, Not C2C Forms must be mailed, not submitted on C2C FB 3 – Football Bowl Game FB 4 – Football Classics FB 5 – Football State Series FN 2 – Sanctioned Sports State Series FN3P – Financial Report – 3 rd Party Promoted

29. Most Common Fines & Fees 1,272+ issued in 2014-15 = $116,000 # fines Cost Per Conduct Fines 299$100 + Late State Entry Lists 290$50 + Late Sanction & Financials 262 $50 + Late Score Reports 179 $50 - 100 Recruiting & By Laws 162$100+

30. Prevent Fines 60% of all fines are PROCEDURAL If make State Series – Submit athlete list on time 25% of all fines were for missing deadline Report Game Scores on Time, 15% of fines for not reporting scores on time Sanction Events on Time and pay event fees on time, 20% of fines for not following deadlines

31. History of Fines to Member Schools FY 2008 $521,475 FY 2009 $321,635 FY 2010 $339,919 FY 2011 $497,800 FY 2012 $332,135 FY 2013$172,250 FY 2014$150,229 FY 2015 $116,000

32. Financial Goals 1. Use Profit Sharing Model with Members – return or reduce fees when profits occur 2. Fund the Organization through: Corporate Sponsors State Series Events Merchandizing & Media Contracts Fees for Services (i.e. Officials Training) Minimal Membership Dues ($25+FIAAA+Legal)

33. Financial Goals 3. Decrease reliance on revenue sharing from school events during regular season 4. Issue fines for most serious violations of “fair and equitable play” and use fines to offset cost of enforcement 5. Use conduct fines for scholarships and recognition 6. Seek alternate methods of enforcement when fines do not result in compliance 7. Maintain a 1 year operating reserve for financial stability

34. Finance Department Contacts  Sheryl Watson – All billing and accounts  Ext 160  Janet Townsend – Financial reports  Ext 150  Doris Mahoney – Accounts Payable/Mail  Ext 130  Linda Robertson – Chief Financial Officer  Ext 140