Paul-Andre Walker, Staff Reporter
National technical director Bora Milutinovic (left) wit JFF treasurer Rudolph Speid shortly after his arrival i the island to take up his role with the national programme. Prudent financial management allowed for the hiring of the world-renowed football coach.
QUESTIONS HAVE arisen over how the Jamaica Football Federation (JFF) sorted out its finances after the institution made the claim it was out of the woods for the most part during a press conference to announce an Island Life sponsorship recently.
The announcement pointed to a reduction in debt to the point where the JFF could boast of making profit of more than $20 million (not yet audited) last year.
The questions have come about because - during the same period - the JFF also had one of its worst times on the football pitch in recent history.
The senior team, which is the flagship unit of the JFF, dropped out of World Cup qualification and was belted 5-0, 4-1 and 6-0 in friendlies by Australia, Ghana and England respectively and then went on to suffer the ignominy of being ousted from the first round of the Digicel Caribbean Cup.
Direct correlation
Funnily enough, according to JFF treasurer Rudolph Speid, these poor results have a direct correlation with the rebuilding of the organisation's financial platform.
"Because we had no money to work with, many of our programmes suffered from lack of preparation and that kind of thing, but we just never had the money to spend and so we made the tough decision to focus on making some money before we went about spending a lot of money on the football teams," said Speid.
That platform has seen a reduction in the JFF's working capital deficit of more than $43 million in 2004 down to one just under $3.7 million at the end of last year.
In an interview on Friday night with The Gleaner, Speid explained that his organisation had to tighten its belt and be prepared to be unpopular to turn around its financial fortunes.
"The administration's popularity definitely suffered because of some of the financial decisions we've had to make," said Speid.
As a result of those decisions, Speid indicates achievements like having two properties rather than one - or none, which could have been the case after the JFF had thought of selling its New Kingston offices to offset debts.
One of those decisions was to create tighter measures when the organisation hosts games at the National Stadium.
According to Speid, the organisation has cut down the waste from those games by reducing complementary tickets and staff at the games, which has meant it is now seeing more profits from local games.
Losing profits from local games is not a thing of the past however, as Speid has admitted to losing $16 million from playing the Digicel Cup, invitations to Canada and Peru along the Women's Under-20 World Cup qualifications in Jamaica.
staff, Benefits cut
The JFF decimated the technical staff in a sense after the World Cup and made a conscious effort not to play any matches in Jamaica and some benefits that directors and other dignitaries used to have were taken away.
"Travelling first class ended, we now travel economy and the number of people travelling has been reduced to create more efficiency and less expense," Speid explained. "We even went as far as taking out all the staff on one floor of the JFF to save on electricity and air-conditioning and that sort of thing, so we never left any stone unturned."
Another good decision came from hiring Jamaica's technical director, Velibor 'Bora' Milutinovic.
"When the year started we had a lot of plans and our goal was to make $26 million. Some of those plans didn't work out, but we hired a world-renowned technical director and support has followed," said Speid.
Another important aspect of the saving plan Speid and the JFF cooked up over the past two years was efficient spending on projects.
"We made sure that anybody who gets a cheque from the JFF has earned it. If we do not foresee value for our dollar, we don't involve ourselves in that transaction," Speid said.
Not a priority
However, there is still the matter of former president Captain Horace Burrell's $14 million bill, which is yet to be paid.
The JFF treasurer said, in effect, that the bill was not a priority when compared to those of other debtors.
"It is just prudent financial practices which have meant that the federation had to pay attention to those bills that could close us down. The captain's bill is interest-free and there is no set repayment schedule just yet. So, we chose to address this after we dealt with those that were more problematic," said Speid. "Having looked at how the JFF saved money, we can now look at how they earned some money."
Broadcast rights
The issue of sponsorship is always important to a football federation's profit-and-loss sheet and last year the sponsorship income totalled just more than $118 million in comparison to the past three years where, at its highest in 2004, it only managed $105.6 million.
Broadcast rights are also a big deal for the JFF today because it has found a way to earn more money from those.
The JFF earned just more than $18 million last year as opposed to $11 million and $13 million in the two years before and that figure is set to go up.
According to Speid, the JFF has organised broadcast rights with a company it is unwilling to name at this point. The deal, Speid said without giving any financial information, is a long-term one.
Those broadcast rights will be well used next year based on the JFF's projections as it will be increasing the amount of games played locally.
The JFF also registered profits from overseas assignments which came directly from its decision to avoid playing local games.
As for finding ways of sustaining wealth in the organisation, Speid says the plan is to buy into cash organisations like gas stations and fast-food franchises.
Send feedback to Paul-Andre.Walker@gleanerjm.com.
Rudolph Brown/Chief Photographer
National technical director Bora Milutinovic (left) with JFF treasurer Rudolph Speid shortly after his arrival in the island to take up his role with the national programme. Prudent financial management allowed for the hiring of the world-renowned football coach.
Gibson not anticipating fireworks at annual congress
Howard Walker
Staff Reporter
THE JAMAICA Football Federation (JFF) will pay out more than $200,000 to each of its parish associations at its Annual General Congress today at the Montego Bay Community College in St. James.
The congress, slated to start at 10:00 a.m., is not expected to have the fireworks of last year's when a no-confidence motion was raised against the Crenston Boxhill-led administration.
Under-fire Boxhill survived the vote as his detractors failed to get the two-thirds majority needed to oust him.
This year the JFF's general secretary, Burchell Gibson, said he was not sure what to expect when quizzed if he thought the congress would be less eventful.
"There's never a dull moment. I can say that. But we are not anticipating (fireworks)," said Gibson.
cheques for parish councils
However, the general secretary revealed the JFF would be handing over cheques to all parish councils as part of its promise.
"All the parish associations that we had promised some money will be paid at the congress. There will be $200,000 to each to assist with development," Gibson told The Sunday Gleaner.
The issue proposed at the last JFF executive meeting to have the voting congress fall in line with World Cup years might prove interesting.
The agenda is as follows
1. Call to order
2. Roll call
3. Prayer
4. Welcome and opening remarks
5. Apologies for absence and lateness
6. President's address
7. Appointment of five members to check the official minutes
8. Correction and formal approval of minutes of the preceding AGM.
9. Report covering the period since the last AGM.
General secretary's report.
Submission of balance sheets, receipts and expenditure accounts
Audited financials
10. Vote of approval of the accounts for 2005
11. Appointment of auditors (chartered accountants) to examine and certify the accounts of the JFF
12. Questions from the membership associations submitted in writing in accordance with the JFF by-laws 8(d)
13. Any other business
14. Parish hosting next AGM
15. Adjournment.
Send comments to howard.walker@gleanerjm.com
