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USA Today Sports Media Group
Sport
Cameron Jourdan

What you need to know from the Senate subcommittee hearing involving PGA Tour-PIF agreement

Tuesday is set to be another monumental day in the history of professional golf.

PGA Tour Chief Operating Officer Ron Price and board member Jimmy Dunne were sworn in at a Senate subcommittee hearing in Washington D.C. to discuss the proposed deal between the PGA Tour, DP World Tour and Saudi Arabia’s Public Investment Fund, which is the main financial backer of LIV Golf.

Sen. Richard Blumenthal, D-Conn., is the chairman of the committee and has been publicly critical of the deal, which will unite the two once-warring factions in golf under the same commercial umbrella.

In excerpts of his opening remarks that were released on the eve of the hearing, Blumenthal says this isn’t simply about golf, but rather “how a brutal, repressive regime can buy influence – indeed even take over – a cherished American institution simply to cleanse its public image.”

Here are some of the best nuggets we found out during the Senate subcommittee hearing.

New roles for Tiger, Rory

Documents released by a Senate subcommittee Tuesday contain new details about how the framework deal between the PGA Tour and Saudi-funded LIV Golf came together – as well as the roles that LIV hoped Rory McIlroy and Tiger Woods would fill under the new combined entity.

At a meeting in London on April 24, representatives for LIV Golf gave a presentation to PGA Tour board members Jimmy Dunne and Ed Herlihy titled “The Best of Both Worlds.” In the presentation, which was also later distributed via email, LIV listed several “proposals for consideration” – the first of which stated that Woods and McIlroy should own LIV teams and play “in at least … 10 LIV events.”

For more information, click here.

Other proposals

  • The creation of a “large-scale superstar LIV style team global event” with PGA, LIV and LPGA players to take place in Saudi Arabia and Dubai, with teams to be drafted live in a televised event.
  • Branding at least two of the PGA Tour’s “elevated events” under the flag of Saudi Arabia’s Public Investment Fund (PIF) and/or Aramco, its state-run oil company.
  • Membership for PIF governor Yasir Al-Rumayyan at two of the sport’s most prestigious institutions: Augusta National Golf Club and The Royal and Ancient Golf Club of St Andrews.

First contact

Dunne, a member of the PGA Tour’s policy board, told USA TODAY Sports last month that he first contacted Al-Rumayyan via WhatsApp in April to explore a possible truce between the golf entities.

But the documents released Tuesday indicate that Dunne was courted himself months earlier by an intermediary: British businessman Roger Devlin.

“I am writing to you in the strictest confidence,” Devlin wrote to Dunne on Dec. 8, before making his case.

Devlin, who is the chairman of British housebuilding company Persimmon plc, wrote that he had been invited by Al-Rumayyan and Amanda Staveley to “help find a solution” to the PGA-LIV conflict. Staveley, a British businesswoman, helped orchestrate PIF’s purchase of English soccer team Newcastle United and remains a director at the club.

Dunne wrote back a few days later that he would prefer to get to know Devlin over coffee before discussing anything specific or business-related. He suggested they try to meet in the new year.

When Devlin followed up on Jan. 3, he told Dunne the Saudis were increasingly confident they could outlast the PGA Tour due to their financial resources. Dunne replied that he didn’t want to meet with Devlin “at this time.” Devlin then circled back in mid-April.

“As a dealmaker you will appreciate timing is everything,” he told Dunne. “I believe we have a window of opportunity to unify the game over the next couple of months, otherwise I fear the Saudis will doubledown (sic) on their investment and golf will be split asunder in perpetuity.”

It appears from the documents that Dunne did not reply to Devlin’s email, though he messaged Al-Rumayyan directly on WhatsApp four days later.

What about Greg Norman?

LIV CEO Greg Norman during day one of LIV Golf – AndalucÌa at Real Club Valderrama on June 30, 2023 in Cadiz, Spain. (Photo by Octavio Passos/Getty Images)

LIV Golf chief executive officer Greg Norman was not involved in the formal rollout of the framework agreement with the PGA Tour and Europe-based DP Tour, and the Senate subcommittee’s documents help explain why.

The documents illustrate an attempt by PGA Tour officials to negotiate the ouster of Norman and Performance54, the consultancy group that has been heavily involved in LIV’s operations. They proposed a side agreement, outside the main deal, that would require Norman to be dismissed by a specific date.

“As of May 25, 2023, drafts of this side agreement were still being exchanged between the parties,” the subcommittee’s memo states. “But the Subcommittee’s inquiry has not yet revealed whether this side agreement was ever executed.”

Norman, the former Australian golfer and two-time major champion, has been the main public face of LIV Golf since its creation last year. The Senate memo also included the previously-known letter Norman sent to PGA Tour commissioner Jay Monahan in February 2022 under the subject line “You Can’t Ban Players From Playing Golf,” which hinted at the potential legal fight that would eventually follow.

Dunne, Herlihy eyeing LIV leadership

One of the other interesting finds in the Senate subcommittee memo is an email exchange between Dunne and Herlihy, the influential PGA Tour board members who helped put the deal together.

Herlihy told Dunne on May 15 that he had spoken with Monahan about the possibility of Dunne “overseeing LIV going forward” and “he really liked it.”

“You and me,” Dunne replied.

“Definitely,” Herlihy wrote. “Meant to say both of us.”

Dunne and Herlihy were the only two PGA Tour board members who were mentioned by name in the press release announcing the PGA-LIV deal. The release indicated that both would serve on the board of directors for the new entity that would encompass both golf tours.

“The Subcommitee’s inquiry has not yet revealed whether these PGA Tour officials pursued this idea any further or whether the parties reached any understanding about who may ‘oversee’ LIV Golf going forward,” the memo stated.

"North of $1 billion."

Price was asked about the expected financial contribution from the Public Investment Fund. While he didn’t give an exact number, the figure he did give was massive.

Documents released

There were 276 pages of documents released Tuesday morning related to the subcommittee hearing. You can look through those here.

Why was the announcement rushed?

Questioning the hearing

Sen. Rand Paul, R-Ken., said Congress has no business getting involved in PGA Tour-PIF deal: “I see a certain illegitimacy to the whole proceeding today.”

Gary Woodland and PGA Tour China?

Yes, Gary Woodland, the 2019 U.S. Open champion, was given a shoutout during the hearing.

Then Senator Josh Hawley started questioning Price and Dunn about PGA Tour China, which hasn’t been in existence since 2019. The questions lasted about 10 minutes. About an hour later in the hearing, Hawley again asked questions to Price about PGA Tour China.

Rory meeting with Yasir

Rory McIlroy took a meeting with Yasir Al-Rumayyan in November of 2022, according to the documents.

Must-call list

Here’s a look at the must-call list, who DP World Tour commissioner Keith Pelley and PGA Tour commissioner Jay Monahan were scheduled to call and discuss the agreement between the tours and PIF.

Speaking freely

(L-R) Chief Operating Officer of the PGA Tour Ron Price and PGA Tour Policy Board member Jimmy Dunne are sworn in during a Senate Homeland Security Subcommittee on Investigations hearing examining the business deal between the PGA Tour and the Public Investment Fund of Saudi Arabia’s LIV Golf on Capitol Hill July 11, 2023 in Washington, DC. (Photo by Drew Angerer/Getty Images)

Numerous senators questioned whether PGA Tour players would be able to speak freely on their thoughts about Saudi Arabia and the Public Investment Fund and not be punished for speaking their minds.

Every time, Price and Dunne said Tour players wouldn’t be restricted on what they could say.

Clarifying Greg Norman's position

Blumenthal asked Price, “Just to be clear, [Norman] is out of a job.”

Price: “If we reach a definitive agreement, we would not have a requirement for that type of position.”

Why the secrecy?

Blumenthal continued to press Dunne on why there was so much secrecy behind the announcement and why it was rushed. Dunne never gave a fully and concise answer.

Framework agreement

(L-R) Chief Operating Officer of the PGA Tour Ron Price and PGA Tour Policy Board member Jimmy Dunne testify during a Senate Homeland Security Subcommittee on Investigations hearing examining the business deal between the PGA Tour and the Public Investment Fund of Saudi Arabia’s LIV Golf on Capitol Hill July 11, 2023 in Washington, DC. (Photo by Drew Angerer/Getty Images)

Price and Dunne have used the term framework agreement numerous times throughout the hearing. Dunne has drilled the point down that there is no deal, yet. It’s only a framework agreement.

“There’s not much here, it’s really just a litigation settlement.

“We have an agreement to possibly get to an agreement. We’re really trying to figure out the right thing to do for our players and the global game of golf.

“I’m hopeful that we will.”

"Vulnerability of the PGA Tour"

Closing statements

Committee chairman Sen. Richard Blumenthal (D-CT) speaks during a Senate Homeland Security Subcommittee on Investigations hearing examining the business deal between the PGA Tour and the Public Investment Fund of Saudi Arabia’s LIV Golf on Capitol Hill July 11, 2023 in Washington, DC. In early June, the PGA Tour and LIV Golf announced plans for a framework agreement to create a new global golf entity, which will be heavily funded by Saudi Arabia’s Public Investment Fund. (Photo by Drew Angerer/Getty Images)

Blumenthal said he would like to talk with more folks on the PGA Tour side as well as Al-Rumayyan and others involved with the Public Investment Fund to discuss the framework agreement and what’s to come. The hearing lasted about 3 hours.

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