Mardi Gras at Cajun Field

[LouisianaB]

Unless one thinks "work" rhymes with "liability" that is not my logic.

The university accepts the type of liability on topic every home football game.

My logic is quit out sourcing every single function that resembles work, especially when you are giving away money.

If the positive financials dictate, I have no problem with out sourcing or renting properties.

I am saying what the MGA is charging is fair market value. (that answered your question) what the university is charging the MGA is not fair market value.

Having said that, it is very hard to constrict an allowance, once given freely.

It’s not outsourcing if you never even sourced it in the first place.

You can’t tell me what the fair charges (which would be revenue, not profit), so you can’t tell me what FMV is. Understood. To simply say “what the fair charges” ignores all expenses.

For the longest time this board has complained about the MG association screwing the university. The original thought was UL was getting paid 10-15k, which is true but ignores the 5 percent. I get curious, get the contracts, and throw out legit numbers. And all I hear is “we are getting screwed” (paraphrasing, probably). Yet nobody can tell me what they think FMV is.

[ManAboutTown]

It’s not outsourcing if you never even sourced it in the first place.

You can’t tell me what the fair charges (which would be revenue, not profit), so you can’t tell me what FMV is. Understood. To simply say “what the fair charges” ignores all expenses.

For the longest time this board has complained about the MG association screwing the university. The original thought was UL was getting paid 10-15k, which is true but ignores the 5 percent. I get curious, get the contracts, and throw out legit numbers. And all I hear is “we are getting screwed” (paraphrasing, probably). Yet nobody can tell me what they think FMV is.

~$0.13 per sq ft rental is not FMV. That I can tell you. A heady negotiator can attach a rider that guarantees a fair payout, even in the event of substandard weather in MGs case, or royalty per vehicle in CS case. You're not including in your FMV assessment the mountain of free advertising in the most visible area in Lafayette, LA. I forget the number reported by the Cronkie study, but IIRC, 160k cars a day at the corner of Bertrand & Congress. You can't buy that kind of exposure for these dealers. You can't buy that kind of ease of access, including parking, RV/Camper space and visibility for the MG festivities. Specific to the car show, not only do they make an ass load on that event, they then turnaround and give lease cars to the coaches. More advertising. They then turnaround and sell those program vehicles to the public and have the selling tool of "Hey, Billy Napier drove this truck. Hud drove this truck." The revenue is layered in the case of the Car Show. Also have to consider depreciation of property when talking about MG events. Who is paying to fix the pot holes? Who is paying for the electricity? Who is paying for the wear and tear on facilities? It goes beyond FMV and numbers on a contract.

[LouisianaB]

~$0.13 per sq ft rental is not FMV. That I can tell you.

Again, what is the FMV?

Also, I do believe all electricity is the associations responsibility

[ManAboutTown]

Typically, comparison shopping would be the very first step in determining that. In this case, FMV is an ambiguous indicator. There is only one other comparable venue, and really, the similarities are few. Moncus Park has no parking - CF has ample parking. Moncus Park has no RV hookups (that I know of) - CF has plenty. Moncus Park has limited entertainment (music) capabilities - CF can accommodate anything. Moncus Park has limited entry/exit points - CF has many more.

There is no other venue like CF. Therefore, you have scarcity of product in your favor. You can literally set the price. The University has all the cards.

I still think it would be interesting to ask the event planners at Moncus Park what it would cost to rent out the property (same area discussed at CF) for the week. I can guarantee it would not be close to what CF is charging.

[fanof71]

Typically, comparison shopping would be the very first step in determining that. In this case, FMV is an ambiguous indicator. There is only one other comparable venue, and really, the similarities are few. Moncus Park has no parking - CF has ample parking. Moncus Park has no RV hookups (that I know of) - CF has plenty. Moncus Park has limited entertainment (music) capabilities - CF can accommodate anything. Moncus Park has limited entry/exit points - CF has many more.

There is no other venue like CF. Therefore, you have scarcity of product in your favor. You can literally set the price. The University has all the cards.

One game I used to play with broadcast rates was to call other stations, 5 markets larger and 5 markets small to get a grip on if what we were asking was in line...Same applies here, I think looking outside the market, to LC, BR, Beaumont, Miss Gulf Coast for similar events in similar settings. Maybe South Alabama...Maybe App State, see what they charge Luke Combs and Darious Rucker for the use of the Rock...got to get a handle on apples to apples...

[Turbine]

It’s not outsourcing if you never even sourced it in the first place.

You can’t tell me what the fair charges (which would be revenue, not profit), so you can’t tell me what FMV is. Understood. To simply say “what the fair charges” ignores all expenses.

For the longest time this board has complained about the MG association screwing the university. The original thought was UL was getting paid 10-15k, which is true but ignores the 5 percent. I get curious, get the contracts, and throw out legit numbers. And all I hear is “we are getting screwed” (paraphrasing, probably). Yet nobody can tell me what they think FMV is.

You threw out legit numbers, and I used them.

Not sure why you are now requesting an audit.

ps New companies with few employees outsource all the time. I just think UL is underutilizing it's workforce.

[LouisianaB]

Okay, so again, no actual number. $35k is too low for y’all but y’all can’t tell me what it should be.

[LouisianaB]

You threw out legit numbers, and I used them.

Not sure why you are now requesting an audit.

ps New companies with few employees outsource all the time. I just think UL is underutilizing it's workforce.

It’s a university with an athletic department. Am I missing a festival department?

[Turbine]

It’s a university with an athletic department. Am I missing a festival department?

I'm not so sure you need a festival department to accomplish this but, perhaps Hospitality management can benefit from acting like they are one during that portion of the curriculum.

However, besides the athletic department parking needing the year-round practice, I have a Q, is Athletics getting the money for peripheral rentals? (I've already forgoten)

[GeauxCajuns]

you showed revenues of the Mardi Gras Association, were there expenses listed as well? if UL is taking a percentage strictly off revenue (before expenses) then that 35,000 number may not look as bad as it does against a net number. (I may have just missed expenses and this post may not mean anything)