Can Clemson, Florida State sell ACC on new proposal?
Multiple sources tell On3 that no timetable has been set for the ACC to agree on a proposal introduced by Clemson and Florida State that would disperse a larger revenue share to institutions based on brand valuation and TV ratings.
It’s also unclear if the rest of the league will sign off on the deal. Yahoo Sports first reported on the proposal Tuesday night. Speaking with sources in recent days, it was emphasized nothing is imminent and the proposal would allow all ACC institutions to earn more revenue.
If the proposal moves forward, the ACC’s Grant of Rights would be reduced. Sources have said the schools are eyeing 2030 – which is when the current Big Ten and Big 12 television deals expire.
There is no consensus if the proposal will be approved or not, a source said. ESPN will need to pick up its television contract option with the ACC by February 2025.
Proposal not new to ACC
Before Florida State and the ACC entered into their ongoing legal disputes in December 2023, a source told On3 the Seminoles tried to float a similar proposal in the previous spring. It was at those same meetings that news broke that seven ACC schools (Clemson, Florida State, Miami, North Carolina, NC State, Virginia Tech and Virginia) had been examining the Grant of Rights.
Those meetings in May 2023 ended with plans for increased payouts to institutions based on performances in revenue-generating postseason play. In an August 2023 board meeting, former Florida State quarterback and trustee Drew Weatherford alluded to the proposal that has resurfaced.
“Unless something drastic changes on the revenue side at the ACC, it’s not a matter of if we leave,” Weatherford said. “It’s a matter of how and when we leave.”
The ACC Board of Directors met for its annual meeting last week and held a previously scheduled call Tuesday, discussing the proposal and the House v. NCAA settlement, a source told On3. The conversations around the proposal initially picked back up during court-ordered mediation in August.
Can FSU, Clemson change term of GOR?
News of the proposal comes after Florida State filed a motion for partial summary judgment in its lawsuit against the ACC last week in Leon County Court. In the 574-page filing submitted to the court, the Seminoles’ attorneys challenge that the ACC has misinterpreted its 2016 amended Grant of Rights, the enforceability of the league’s liquidated damages and claims the ACC has breached its constitution.
Clemson joined Florida State’s legal fight in March, arguing that the ACC’s Grant of Rights “hinders Clemson’s ability to meaningfully explore its options regarding conference membership.” As part of the proposal put forward by the schools, they would drop their lawsuits against the ACC.
Until an agreement is reached, Clemson and Florida State will continue to move forward with the courtroom path which could take years for a resolution.
The television revenue gap for ACC schools compared to the SEC and Big Ten fueled Clemson and Florida State’s decision to file lawsuits to leave the league. The disparity could grow to more than $30 million in the years ahead, according to Yahoo.
Changing the term of the Grant of Rights is critical. For a conference to sign off on new members, adding schools while negotiating a new TV contract is ideal.
“Listen, it’s disappointing we’re in this place,” ACC commissioner Jim Phillips said before the start of the college football season. “It’s a harmful, kind of, situation. But we’re going to do just that. We’re going to fight. And that’s the way it should be. When you sign an agreement twice – willingly sign – and that you are part of a group that comes together and decides this is what you want to do for the next 20 years, you should be held accountable for that.”