HarCal to end Turkey Day contract with Alabama State University
MONTGOMERY, AL (WSFA) - Greg Calhoun with HarCal confirms HarCal will end its contract with Alabama State University to promote the Turkey Day Classic.
The contract was scheduled to expire after the Turkey Day Classic in 2018.
Alabama State University interim President Dr. Leon Wilson stated during Friday's board of trustees meeting that HarCal had breached its contract with ASU and had not submitted revenue generation totals or proceeds from the game.
"We cannot make any determination on their part of the bargain until we receive that information - that percentage that is due us on their profits we are awaiting," Wilson stated. "I think this board needs to critically look at where we are and make a decision."
Calhoun stated the revenue amounts hadn't been submitted to their CPA for final validation, which must happen prior to any proceeds being released to ASU – explaining they are still waiting on entertainment amounts to come in. Calhoun also stated ASU hadn't submitted its revenue totals to meet their end of the deal.
"They haven't showed us anything," Calhoun stated.
ASU is guaranteed a base of $170,000 from ticket sales, and 60 percent of ticket sales after HarCal's operating expenses are extracted. ASU is also scheduled to receive 15 percent of ancillary revenue, including television revenue and sponsorships.
In fact, Calhoun stated he reached out to ASU's general counsel, Kenny Thomas, first on the matter but never received a response. When Thomas got back to him, he and Harvey were out of the country. HarCal's attorney reportedly responded to ASU's request for revenue numbers during Friday's board meeting, stating the CPA would receive that information next week.
Wilson stated the university had billed HarCal for around $67,000. Calhoun disputed that invoice, stating all parties agreed HarCal wouldn't pay for use of the facilities as it was bringing in all the entertainment. Calhoun said Thomas is "out of touch", explaining Thomas was in meetings with former President Gwendolyn Boyd and former BOT President Locey Baker when they agreed HarCal wouldn't pay to use the campus facilities for entertainment.
Calhoun called the statements during ASU's BOT meeting a "low blow" and said Steve Harvey would never return to ASU's campus because he was treated so poorly, something Harvey deeply regretted.
HarCal negotiated this contract with former ASU President Gwendolyn Boyd, who was put on administrative leave prior in November prior to the game. Harvey spoke out against the board's decision while on campus.
Calhoun told WSFA 12 News he and Steve Harvey invested in Alabama State University for all the right reasons: to help with enrollment and generate revenue.
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