Dodson's Letter To Famu

[bluedog]

http://www.tallahassee.com/mld/tallahassee/sports/colleges/florida_am_university/7517797.htm


DODSON'S LETTER TO FAMU Here are excerpts from Urban Broadcasting Company...

DODSON'S LETTER TO FAMU
Here are excerpts from Urban Broadcasting Company President Peggy Dodson's letter to Florida A&M:

UBC CONCERNS MEMO
November 30, 2003
To: Dr. Gainous, President of FAMU
C/O: Love Collins, Head of Development
From: Peggy Dodson, President/CEO of UBC-TV
Dr. Gainous, Mr. Collins:

I am sending this memo over in addition to the MOU (Memorandum of Understanding) that has already been approved by Dr. (J.R.E.) Lee. Her are the additional concerns we have in reference to the overall deal.

1) The Board of Trustees has their opinions but do not have the background to add or change any of the components of the agreement. Certain things were put in for a reason and the framework of the agreement is industry standard.

2) In order for UBC to move forward with deals for stadium naming rights and other sponsorships, the 30-day clause has to be revamped. UBC will not invest any more money in creating potential long-terms deals with no security in place. If the 30-day clause is utilized, it will only send everyone to court. We will then have to sue FAMU for the full five-year value of the agreement and that would result in a multi-million dollar lawsuit.

3) ... We need to know what games are set for next year. In addition, we have to be able to negotiate our own rights, as you see what the results were in the Florida Classic with FAMU involved ... You have to understand that millions of people have been watching the games and now want more. I have major distributors like FOX, Comcast and others waiting on what to do next.

4) ... The revenue share deal means after the first year we calculate what we have made, and if it is below $3 million for the year, the guarantee will kick in. That will then be paid in quarterly installments or every three months ... The first quarter of 2004 will give us the opportunity to begin to assess losses and any profits of the past season ... The brand name has to be built and that takes a plan and money. UBC has spent money, so far around an estimated million dollars and UBC has lost a million dollars in profits due to the FAMU athletic department. We are still willing to invest more but not under the present circumstances. The items in the MOU must be carried out in order for us to move forward. They are just a restatement of what is already in the agreement but we felt we needed to move to another level of understanding with the athletic department, as they seem totally confused and unwilling to assist UBC in any efforts to make this deal work. I have never seen such lack of professionalism and lack of ethics as I have seen here in Florida A&M athletics.

5) The lack of a media campaign is a major blow to the Division IA move. The more information people receive on the move and the part UBC plays in it will help to gain support. UBC has had plans to assist FAMU but have not be able to put anything in place because of the turmoil that has existed with the athletic department and the problems it has caused UBC.

6) UBC has planned to utilize Patrick Lee to assist in its sports marketing division for FAMU. Patrick will be in Tallahassee and will be our point of contact for UBC sponsorship and media sales. The city of Tallahassee is behind UBC. They feel UBC is good for FAMU and the city of Tallahassee. Mayor (John) Marks has met with us and so has (sic) several other political and business leaders of the city. We hope we can move forward in the spirit of cooperation and make this deal a success. I feel it is a tremendous opportunity.

... There are certain things I will not concede, as it will endanger the whole deal and the future of UBC. I think the basic framework is in place; all we have to do is execute. I look forward to speaking with you as soon as possible.
Sincerely,
Peggy Dodson
President/CEO

 

[bluedog]

--------------------------------------------------------------------------------
http://www.tallahassee.com/mld/tallahassee/sports/colleges/florida_am_university/7517392.htm

FAMU revisits UBC deal
Counsel examining whether school met obligations to company
By Heath A. Smith
DEMOCRAT STAFF WRITER

Florida A&M University president Fred Gainous said Wednesday that university counsel was reviewing whether the school has contractually met its obligation to the Urban Broadcasting Company.

Gainous also confirmed the Mid-Eastern Athletic Conference has given FAMU a March15 deadline to return its football program to NCAA DivisionI-AA or its other athletic programs will be expelled from the conference by June30.

The review by university counsel is in response to UBC president Peggy Dodson's claim in a letter to Gainous dated Nov.30 that FAMU had breached the five-year broadcasting rights agreement with her company.

In the letter, Dodson stated she would not invest any more money to broadcast FAMU athletic events until changes are made to the contract and within the athletic department. Specifically, she has threatened to sue FAMU if it exercised an option to walk away from the contract with 30 days notification.

"On advice of legal counsel, I can't comment on those issues," Gainous said in a telephone interview with the Tallahassee Democrat. "We hope to have resolved those matters in the very near future."

Gainous said that, in addition to reviewing FAMU's obligation to the agreement, university counsel was reviewing whether UBC had properly executed the contract.

"I'm not aware of any," Gainous said when asked if he knew of any contractual obligation FAMU had failed to meet with UBC. "University counsel is looking on both sides of this issue very carefully."

At stake could be the minimum guarantee of $7.5million over five years FAMU is supposed to receive from the deal with UBC.

In a Memorandum of Understanding (MOA) that Dodson drafted, she also listed several "rights" she believes FAMU relinquished to the company. Among them:

? All sponsorship and media sales for FAMU athletics is owned by UBC and FAMU has transferred all of its responsibility/media rights to UBC for all "FAMU programs."

? All sponsorship agreements are to be approved by UBC.

? The FAMU athletics department must cease all sponsorship and media sales, and forward all sponsorship opportunities to UBC.

? UBC has the "First Right to Sell" option for stadium/arena/field/ and court-naming rights for all of FAMU athletic facilities.

? UBC can review all game contracts and assist with negotiations for sponsorship and multi-media rights prior to contract execution.

FAMU interim athletic director J.R.E. Lee never signed the MOA. Dodson also had not signed the copy she mailed to Gainous.

Gainous, in a Dec.10 written response, told Dodson he was surprised by the "threatening and inflammatory tone" of her letter. He told Dodson that she should disregard the MOA. He also said FAMU would not alter the 30-day walkout provision.

Gainous said Wednesday that he was concerned about UBC's financial stability after hearing reports that the Harlem, N.Y., company has outstanding debts to several contracted vendors.

Executives from Blacom, a production company based in Atlanta that produced the last four FAMU football games aired by UBC, told the Democrat that Dodson owes the company $185,000.

Charles Ward, who did the play-by-play for all six of the FAMU games, said Dodson also owes him $6,000 plus travel expenses.

"Yes, it is a concern," Gainous said. "My concern is that FAMU receive monetary compensation for the broadcast of these games."

While FAMU's future with UBC may be unclear, its' future with the MEAC has come into sharper focus. Lee, who was named interim athletic director in December 2002, said Wednesday that he informed the MEAC as early as July that the school was pulling out of the conference in all sports after the the 2003-04 season. Lee said he told coaches during a meeting Tuesday to be prepared to play as independents in the 2004-05 seasons.

"That's something we've been saying from the beginning once the NCAA approved our move to DivisionI-A," Lee said. "I told the coaches in the beginning to be prepared to play as independents for one year."

Lee said he is in the process of trying to find another conference for FAMU to join. Last week Lee met with officials from the Sun Belt Conference, although no formal application was made at that time.

Gainous said Wednesday afternoon that the decision to leave the MEAC was the athletic director's decision to make but that he was not aware a final decision had been made.

Gainous added that a search for a permanent athletic director would begin after the Christmas break, and that Lee would be considered for the position if he was interested.

 

[pbla]

Come on Black people in Florida! Get your act together!