The ACT Brumbies' financial stability is set to play a key part in how Rugby Australia pursues its centralisation model after the governing body initiated plans to take control of all Super Rugby programs.
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It can be revealed Rugby Australia chief executive Phil Waugh met with the ACT and Southern NSW Rugby Union board earlier this month to discuss the proposal and the likely impact on the Canberra franchise.
Waugh's plan to reform Australian rugby was met with immediate resistance from directors, who feared what the long-term implications for Canberra and the Brumbies may be if they relinquished control.
The meeting was tense as both sides laid down their arguments, before agreeing to go away and assess a more detailed proposal from Rugby Australia in the coming months.
A Brumbies committee met again on Thursday to discuss the latest Rugby Australia announcement and investigate its financial position.
The Queensland Reds and Western Force - thanks to billionaire Andrew Forrest - are the only Australian teams considered on solid financial ground, and even then there are no guarantees for the future.
The NSW Waratahs and the Brumbies are facing significant financial pressure now, but Rugby Australia would assume responsibility for any debts if they agreed to a centralised model of operations.
That has been met with frustration from officials in Canberra, who feel as though the club has earned the right to be offered a loan before having to hand over its intellectual property and ownership.
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Rugby Australia has financially supported all Australian teams in the past - most notably the Waratahs and Melbourne Rebels - but the Brumbies are the only ones to have paid back every cent.
Waugh and Rugby Australia chairman Hamish McLennan have attempted to reassure board members of the upside to having all Super Rugby teams under one banner. They have a broadcast deal until the end of 2030 to have five Australian teams, and have declared they have no intention of moving the the Brumbies or tinkering with how they operate their rugby program.
But it's the unknown associated with handing over the keys that has spooked Brumbies backers given powerbrokers in NSW and Queensland have constantly floated the idea of relocation since 1996.
The new model has been backed by bigger states, but Canberra rugby supporters remain concerned about what it would mean for their team.
Brumbies and Wallabies great Joe Roff is straddling both sides of the argument given his allegiances to Canberra and his new role as Rugby Australia president.
As a Canberra junior and a former Brumby, Roff declared: "Whilst I'm walking on two legs, moving the Brumbies just doesn't make sense. The Brumbies are Canberra's brand.
![Rugby Australia is keen to bring all high-performance operations for Super Rugby clubs under one centralised model. Picture Getty Images Rugby Australia is keen to bring all high-performance operations for Super Rugby clubs under one centralised model. Picture Getty Images](/images/transform/v1/crop/frm/j2iwCiKfwhVWJky39Vsdpt/ed97e871-b73a-4323-af97-2d43fbd1270b.jpg/r0_370_5372_3402_w1200_h678_fmax.jpg)
"I've got no doubt the Brumbies will be playing here for the foreseeable future and for the years ahead. We've been built on a fortress mentality, a culture of good people who have the best interests of the game at heart. The Brumbies aren't going anywhere."
As a Rugby Australia president, Roff said: "We have to think about some things from a national sense, but act locally. We need to have some more unity across all Super Rugby clubs for a national approach.
"The time for united action is here. We can't afford to waste the opportunities to become world-leading again on a national basis for the Lions series and the men's and women's World Cups [in Australia]."
The Brumbies precarious financial position puts them in a difficult situation. They need financial support to help them through some looming tough periods, but it's unclear if Rugby Australia will offer that help now that centralisation is firmly on the table.
Rugby Australia cut its funding to the Brumbies and other teams by 30 per cent when the Western Force returned to Super Rugby and were given a slice of the broadcast revenue.
That has left a hole in the Brumbies' coffers, and while striking a private equity deal is the club's preference to ease the financial pressure, they are believed to have also been contemplating financial help from Rugby Australia.
The situations has created a sense of vulnerability, but Brumbies officials remain staunch in their belief the club can stand alone pending how Rugby Australia plans to move ahead with centralisation.
The lack of initial details has created an information vacuum, with Rugby Australia only saying the major restructure would lead to the organisation taking control of contracts, coaching details, high-performance programs.
It has divided the Canberra community. Most see the need for change after the Wallabies slipped to No.8 in the world and other franchises have struggled against New Zealand opponents.
Centralisation has worked in Ireland and New Zealand, but there are fears similar models would destroy tribalism in Australia.
Retaining the Brumbies ownership will be a key component of any agreement to maintain a connection with Canberra and avoid being subject to whatever decisions head office makes.
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