Let’s Speculate! Potential Valparaiso head basketball coach candidates

[covufan]

What is buyout of assistants?  We really need a reboot of both offense and defense.

Maybe Bryce or Powell know of a young up and coming talented coach that needs an opportunity to lead a team's offense or defense


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[JD24]

Current lower level coaches I'd take a look at (with last 3 year records): Preston Spradlin 65-29 - Morehead State John Becker 55-21 - Vermont Rober Jones 60-23 - Norfolk State Steve Lutz 42-21 - A&M Corpus Christi Richie McKay 67-24 - Liberty Paul Mills 62-27 - Oral Roberts Eric Henderson 63-23- South Dakota St Have to wonder if any of these proven small major guys could be brought over

I can't speak to all of these, but for guys like Becker and McKay that have been at those jobs for a long time, why would they leave? $300-400K from Valpo isn't going to get any of those guys.

Making an argument that a move from Morehead St or Oral Roberts to Valpo would be a move up is a tough one to make as well. Of the listed maybe the Norfolk St and the A&MCC guys would make the most sense.

[JD24]

What is buyout of assistants?  We really need a reboot of both offense and defense. Maybe Bryce or Powell know of a young up and coming talented coach that needs an opportunity to lead a team's offense or defense Sent from my iPhone using Tapatalk

Assistants typically work year to year contracts so any buyout would be a complete surprise.

[mj]

My worry is that, unless we see a larger commitment to the program from the university, we're going to have similar results with a new coach.

Maybe we keep Lottich but replace the assistants? Something has to change.

[AlaskaCrusader19]

Current lower level coaches I'd take a look at (with last 3 year records): Preston Spradlin 65-29 - Morehead State John Becker 55-21 - Vermont Rober Jones 60-23 - Norfolk State Steve Lutz 42-21 - A&M Corpus Christi Richie McKay 67-24 - Liberty Paul Mills 62-27 - Oral Roberts Eric Henderson 63-23- South Dakota St Have to wonder if any of these proven small major guys could be brought over

I can't speak to all of these, but for guys like Becker and McKay that have been at those jobs for a long time, why would they leave? $300-400K from Valpo isn't going to get any of those guys.

Making an argument that a move from Morehead St or Oral Roberts to Valpo would be a move up is a tough one to make as well. Of the listed maybe the Norfolk St and the A&MCC guys would make the most sense.

I don't think Lutz will leave A&MCC. He's a Texas guy, though he did spend a number of years in West Lafayette under Matt Painter. He got A&MCC into the tournament in his first year last season and could do it again this year. Not crazy to think he could get a better job than Valpo.

[VUGrad1314]

Barry Hinson is a name that would be perfect to replace one of our assistant coaches, honestly. Maybe it isn't Lottich so much as Gore, Bowen or Holloway that are holding things back? Loyalty to assistant coaches can only go so far. Gore has been at Valpo since he was a GA back in 2002. Bowen is on his second go around at VU, and he wasn't a great D2 head coach at Bemidji St. I don't know enough about Holloway. In terms of these three, maybe it's time to cut one of them, and bring in a Barry Hinson-type who has coaching pedigree at the MVC/D-I level to be a stronger mentor to Lottich? Yes, I know...most of you want to cut Lottich because you don't like he's not a Drew, but some coaches realize their strengths are within, instead of access to longtime assistant coaches. I mean look at a lot of the Power 5s. Sure, some assistants stay around because they are good at a specific thing, like recruiting or coaching a specific part of the offense or defensive. At Valpo, I don't see that from our assistants. I just see three guys on the bench holding clipboards, or Bowen kicking back like he's the coaching guru that had 500 wins somewhere else, but doesn't show it in his demeanor.

Hinson would never come here to be an assistant and thanks but no thanks even as a head coach. He is the definition of a mediocre coach and schedules super soft in the non con which leaves his teams often woefully unprepared for conference play. I'd rather take a swing on a Tongael type and fail than hire Hinson. We know what we're getting there and it isn't good at least with a guy like Tonagel the potential exists for it to turn out amazing. Secondly those who want to move on from Lottich don't give a rip (and never did) that he's not a Drew. We care that he's not winning. Full stop. We care that he's had seven years now (six in the MVC) and is consistently garnering the same or worse results as he was when we first arrived in the MVC even with relative stability and continuity on the roster. We care that the program isn't near where it was before he took over and shows no signs of getting anywhere close to that level again. We care that nobody cares anymore and attendance is now about half what it was before. His last name has nothing to do with any of this. His coaching and the results (or lack thereof) that it delivers has everything to do with it.


That said your point is an interesting one that maybe it's an assistant holding him back but isn't it an indictment on Lottich if he can't recognize that and make the appropriate changes? Also after seven years that should have been figured out and dealt with so even if it is true Lottich bears responsibility for not fixing it at this point and there is no point in trying a refresh of the assistant coaching staff unless it comes as part of a new head coach bringing in his guys. Enough is enough and eventually someone has to answer for these results. Unfortunately--whether it's deserved or not--that often has to be the one in charge.

[usc4valpo]

David81 - I liked you hope that someone would provide a gift for a Lottich severance package. However, let's assume that happens - now there will be loud folks complaining that the money could be used to keep the art, hold on to a remote major, etc.

Second thought - if they keep Lottich, which I think will happen strictly based on a cash deficit, I want to see the Valpo spin doctors promote how this program is in the right direction. There will be comments where they will be buffing a turd.

[David81]

David81 - I liked you hope that someone would provide a gift for a Lottich severance package. However, let's assume that happens - now there will be loud folks complaining that the money could be used to keep the art, hold on to a remote major, etc.

Second thought - if they keep Lottich, which I think will happen strictly based on a cash deficit, I want to see the Valpo spin doctors promote how this program is in the right direction. There will be comments where they will be buffing a turd.

usc4valpo, that's why I said it has to be a donor-specified use. That way if someone has a problem that the donation is being used to buyout a coach, they can take it up with the donor. (And as you know, I'm among those who are not happy about the art sell off.)

Let's face it, unless VU starts raising money again (and I'd add, without selling off various appendages), everything will be seen as a zero-sum game. That's never a good morale builder in higher ed (or in many other institutions).

[justducky]

I want to see the Valpo spin doctors promote how this program is in the right direction. There will be comments where they will be buffing a turd.

I see a need for outside help. So----

WANTED

Experienced turd buffer. Must be able to keep a straight face while your nose is growing. Pay is dependent on the level of turd luster achieved and art sale proceeds.

[usc4valpo]

81 - selling the art is not a pleasant experience. However, are these desperate times?  I am simply lost and will never understand the financial situation. We have a $250m  endowment, why not tap into it?

[tiny707]

The spin for 2022/2023 season:
1.) We were very close in 5 or 6 games. If we would have won those...
2.) It is tough with transfers. Takes time for them to gel and learn D1 basketball.

[Pgmado]

The spin for 2022/2023 season:
1.) We were very close in 5 or 6 games. If we would have won those...
2.) It is tough with transfers. Takes time for them to gel and learn D1 basketball.

These things can be true and also frustrating/annoying to hear. The season would have a completely different feel had Valpo won those six games. Bryce Drew's career would have a completely different feel if his shot doesn't go in against Ole Miss, or Ryan Broekhoff's shot doesn't go in against Green Bay. Or Matthew Fisher-Davis doesn't foul Northwestern. We can spin these things until we're dizzy.

[tiny707]

Good teams win close games...

[AB]

Ryan B's shot. Yes! But the play before.....Bugs dribble drive and dish to Kenny in the corner to make it a one point game. It's the other plays we forget. Bottom line....our point guard play didn't seal the deal and make winning plays in the final two three minutes of each of those five six close losses. Edwards has done a lot of nice little things this year, but their is a reason he was at DII. Got had ample opportunity to close out games and didn't (set guys up, make a jumper, finish at the basket etc...). I realize its a team effort and other factors played a part in our losses. We can't close games this year, why we are at the bottom.

[FWalum]

81 - selling the art is not a pleasant experience. However, are these desperate times?  I am simply lost and will never understand the financial situation. We have a $250m  endowment, why not tap into it?

In MOST cases the principle dollars of an endowment can not be spent. Non-Profits are governed by the Uniform Prudent Management of Institutional Funds Act (UPMIFA). UPMIFA is a uniform state law that provides fundamental rules for the investment of funds held by charitable institutions and the expenditure of funds donated as "endowments." Most university endowments are made up of smaller endowed gifts that have restrictions as to how and for what they can be used. UPMIFA generally stipulates that the principle of an endowment can not be invaded and that only 4-5% of what would hopefully be 7-8% of income from investments can be distributed each year. In plain English, you can not just "tap" into an endowment. As you may have guessed, some individual endowments (that make up the larger general "endowment") actually went underwater this past year and therefore did not have a distribution.

[vuny98]

Financial situation will make it tough to move on, but there could be a creative solve in there.

Maybe give Tonagel the shot at head coach. Structure the deal so first year or two are low to not only account for the risk we are taking in an NAIA coach but also to offset the buyout for Lottich. Have an option to extend after year two at a set much higher amount should he perform well.

We take a risk on Tonagel, he takes a gamble on himself. I would be excited to see what he could do in D1 and he may be one of the only coaches we would consider that would be willing to take a gamble like that.

[AlaskaCrusader19]

The spin for 2022/2023 season:
1.) We were very close in 5 or 6 games. If we would have won those...
2.) It is tough with transfers. Takes time for them to gel and learn D1 basketball.

I think you're unintentionally pointing out a key problem here. When you're adding transfers, particularly ones with just one year of eligibility, why rely on ones who will need to adjust to Division-I basketball? There's a clear talent gap between Valpo and the better teams in the MVC.

[Valpo89]

buffing a turd.

This may be the single greatest phrase ever written on this board.

[DuneHwx]

If I were the new AD, I'd be scheduling program evaluations with the players of both programs the day after the season ends. That's the quickest way to find out whether keeping either staff for another year is at all tenable.

[David81]

81 - selling the art is not a pleasant experience. However, are these desperate times?  I am simply lost and will never understand the financial situation. We have a $250m  endowment, why not tap into it?

To pick up on usc4valpo's and FWWalum's comments, VU cannot use interest generated by restricted endowment gifts for other than the designated purposes (e.g., an endowed scholarship fund) or draw down the principal on restricted endowment gifts, period.

VU can use interest generated by unrestricted endowment funds as it wishes. And it can potentially draw down on unrestricted endowment principal because there are no limits on its use, but for fiduciary and practical reasons it should do so only with great care and caution. The practical reason is this: Endowment principal is intended to throw off interest in perpetuity. Raiding endowment principal is akin to raiding one's 401k before retiring, and like the latter, should only be done when extenuating circumstances require it, e.g., financial exigency.

Keep in mind that an endowment around $250m, while certainly reflecting considerable growth over the years and competitive with a good number of peer institutions, is going to provide approx. $10m in usable revenue based on a standard 4% yield. That's a modest amount, much of which is spoken through designated endowment gifts and ongoing budget needs. (Again, it's very similar to an average % draw on a 401k.)

So......it means among other things:

1. It may be possible, though likely unadvisable, to draw on unrestricted endowment principal to cover a buyout for a departing coach ($375k-$750k); and,

2. It may be slightly possible, though even more unadvisable, to draw down on unrestricted endowment principal to pay for residence hall fixes and enhancements.

[Valpo89]

If I were the new AD, I'd be scheduling program evaluations with the players of both programs the day after the season ends. That's the quickest way to find out whether keeping either staff for another year is at all tenable.

Question No. 1: Do you believe this program can consistently compete for an MVC championship under the current head coach and staff?

[DuneHwx]

What would it take to get you to stay?

[Dr. T]

I need help understanding: What's there to gain from talking with the players? Is there anything these players could say that would necessitate keeping ML around *IF* the AD were even considering moving away from him? I'm sure he's a nice guy and could be a "good" coach in general. But, at some point, this has to be a results-driven industry.

[Just Sayin]

81 - selling the art is not a pleasant experience. However, are these desperate times?  I am simply lost and will never understand the financial situation. We have a $250m  endowment, why not tap into it?

To pick up on usc4valpo's and FWWalum's comments, VU cannot use interest generated by restricted endowment gifts for other than the designated purposes (e.g., an endowed scholarship fund) or draw down the principal on restricted endowment gifts, period.

VU can use interest generated by unrestricted endowment funds as it wishes. And it can potentially draw down on unrestricted endowment principal because there are no limits on its use, but for fiduciary and practical reasons it should do so only with great care and caution. The practical reason is this: Endowment principal is intended to throw off interest in perpetuity. Raiding endowment principal is akin to raiding one's 401k before retiring, and like the latter, should only be done when extenuating circumstances require it, e.g., financial exigency.

Keep in mind that an endowment around $250m, while certainly reflecting considerable growth over the years and competitive with a good number of peer institutions, is going to provide approx. $10m in usable revenue based on a standard 4% yield. That's a modest amount, much of which is spoken through designated endowment gifts and ongoing budget needs. (Again, it's very similar to an average % draw on a 401k.)

So......it means among other things:

1. It may be possible, though likely unadvisable, to draw on unrestricted endowment principal to cover a buyout for a departing coach ($375k-$750k); and,

2. It may be slightly possible, though even more unadvisable, to draw down on unrestricted endowment principal to pay for residence hall fixes and enhancements.

In Valpo's latest tax return 990, from 7/1/2019 to 6/30/2020, Part X (Balance Sheet), line 27 and 28, it shows:

Net Assets Without Donor Restrictions: $54,847,567
Net Assets With Donor Restrictions: $368,516,850

"Net Assets" is generally referred to as assets minus liabilities, what would be available after all current debt is paid. You still have to look where the liquid net assets are and ignore the fixed net assets.
The cash is there if you look at where the cash is in this tax return.
Cash-non interest bearing $8,527
Savings and temporary cash investments $7,709,968
Investments, public traded securities $21,760,946
Investments, other securities $254,248,709
Total: Rounded roughly $292.2 million

Not all of these investments can or should be sold immediately. But these are the liquid and near liquid assets. There is no disclosure I can find (it might be there in the fine print) that breaks these numbers down between restricted and unrestricted but the overall unrestricted net asset figure shown above of $54.8 million is roughly what they could use for discretionary, unrestricted available cash and near cash funds. Every program and interested party is fighting for these funds I'm guessing. All depends on priorities. The wigs say they are serious about the men's basketball program. Will they put their money where their mouth is? Probably not.

Yes, this does not mean that these numbers reflect today's balance, which could be more or less than the balances when the tax return was prepared.

[DuneHwx]

If the majority of the team is committed to leaving unless the staff is fired then that is probably information the administration should take into consideration. Also, they might be able to give insight into why the current program is the way it is. If there are factors at play that won't be fixed with a change in regime then that is also information the admin should know.