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Interview - David Kahn - D-League Owner, and former GM Indiana Pacers PDF Print E-mail
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Written by Maury Brown   
Sunday, 19 August 2007 22:50

David KahnIn the future, if the NBA's Development League is as successful as planned, it may well be David Kahn, not David Stern, that will be remembered as the sports executive most responsible for making it happen. Kahn, the former General Manager of the Indiana Pacers, was lobbied by Stern to become involved in ownership of several D-League teams in the Southwest in 2005. Those markets included Albuquerque, N.M., Austin and Fort Worth, Texas, and Tulsa, Okla.

"[Stern] came at me a couple of times when I was visiting back in New York, and he was very persuasive in laying out the vision,” Kahn said in an interview with the Sports Business Journal. "With each passing conversation, I could see his determination and his deep motivation to see it succeed."

Looking at Kahn's background, one can understand why Stern sought Kahn out.

Kahn worked for nearly nine years in the front office of the Indiana Pacers. During that time he held the positions of General Manager for four seasons, Assistant to the President for one season and Vice President and Assistant General Manager for two years. From 1998-2002 he oversaw both the business and basketball sides of the organization; represented the Pacers on the NBA's Competition Committee; and managed a staff of over 120 when the team moved into Conseco Fieldhouse in 1999.

Kahn also served from 1991-95 as the basketball consultant for "NBA Showtime" at NBC Sports in New York, working closely with the show's producers and on-air talent, including Bob Costas and Basketball Hall of Famer Julius Erving.

But, Kahn's interest also has been outside of basketball. Upon moving back to his home city, he headed the effort to bring Major League Baseball to Portland in 2003-2004 when the Montreal Expos were up for relocation.

The following interview covers Kahn's rapid rise into the NBA as a sports executive; his time at NBA Showtime, his views on working within the salary cap; his involvement in the development of Canceco Fieldhouse, and how that effort differed from the work to get stadium funding in Portland for an MLB stadium; his thoughts on the sudden and tragic death of Dennis Johnson, who Kahn had hired to coach the Toros; the players he was the most proud of signing to the Pacers during his time as GM; the future of the NBDL, and much more. -- Maury Brown

(Select Read More to see the interview with David Kahn on The Biz of Basketball)

Maury Brown for The Biz of Basketball: When did you start considering sports business as a career?

David Kahn: I started thinking about it in the mid-1980s. I was a sportswriter and columnist coming out of UCLA in '83, and by my mid-20s thought it might be more rewarding -- both financially and emotionally -- to be in sports rather than on the periphery of sports.

Bizball: You came to the Pacers by way of the New York law firm Proskauer Rose, which is a primary outside counsel for a variety of sports industries, including the NBA. Did you actively approach them with the idea in mind of working in the NBA eventually?

Kahn quote on working for ProskauerKahn: Absolutely. Many of my classmates at NYU Law interviewed with literally dozens upon dozens of law firms. I interviewed with only one in New York, Proskauer. I figured it made sense to work at a firm that had an array of sports clients and had produced David Stern, Gary Bettman and many other members of the industry. I think being at Proskauer not only helped me maintain my career path, but also made me better at what I did for the Pacers and what I currently do.

Bizball: You also worked as a consultant for "NBA Showtime" at NBC Sports. What was that experience like?

Kahn: The people there made it a special time. My first year I came in as Pat Riley's right-hand man and also spent time writing the show. When Pat returned to coaching the next season, with the Knicks, I stayed on to help prepare the talent for each show and provide story ideas. Bob Costas remains one of my closest friends and the people there, both in front of, and behind, the camera, were first class. I also had the opportunity to sit courtside with Marv Albert, Mike Fratello and Marv's son, Kenny, at the 1992 Barcelona Olympics for every Dream Team game. Kenny was the statistician, I was the information guy. I'm still not sure what Marv and Mike did.

Bizball: Once you came on-board with the Pacers, you seemed to move up very rapidly first as Assistant to the President for one season and Vice President and Assistant General Manager for two years working on the team's salary cap, among other duties. When dealing with the cap, are you always mindful of contracts that may be coming off the books in order to give flexibility? What are the challenges of trying to aggressively compete for free agents and resigning players while keeping the cap in focus?

Kahn quote on capKahn: Unless you're working for one of the two or three teams in the NBA that historically have paid no mind to the cap, there is no way to think about trades without thinking about the financial implications. For starters, you first have to determine how to structure a deal so it works with your trading partner, or in some cases partners. Second, the luxury tax has created a whole new layer of financial analysis. A trade needs to not only work for the present payroll but also needs to maintain flexibility for future payrolls.

Bizball: You worked very closely with Donnie Walsh on getting Conseco Fieldhouse built. What was that process like?

Kahn: Overwhelming. Energizing. It was tantamount to having two full-time jobs at once -- and not just for me, but many. many others with the organization. We would spend eight hours running the franchise on a day-to-day basis and another eight hours dealing with the future home.

Bizball: You were deeply involved in the effort to bring Major League Baseball to your hometown of Portland. What was that process like compared to the effort to get Canceco Fieldhouse built?

Kahn: Quite different. In Indiana, we were able to demonstrate to the elected officials and public that a new building was mandatory to keeping something they already had, the Pacers. In Portland, we had the proverbial if-we-build-it-will-they-come dilemma -- it's very difficult persuading lawmakers to provide financing for something that is ethereal. In the end, however, I think we had some extraordinary accomplishments -- a $150 million financing bill passed by the Oregon Legislature (which doesn't sunset) and subsequent planning with then-Mayor Vera Katz on the local pieces that could have contributed to the plan. We did all this in the midst of several economic crises and in the Pacific Northwest, where, historically, as the Sonics are learning, it is nearly impossible to convince lawmakers and the business community to build a new arena or stadium with public financing.

Bizball: During your time as GM of the Pacers, who was the best player you felt you acquired, either through trades, or the draft?

Tinsley and FosterKahn: I was most proud of draft-night deals I engineered for Jeff Foster and Jamaal Tinsley, two players who remain with the team today, not because they were our best players but because of the pressure surrounding both deals.

Bizball: How did you become involved in the NBA's Development League, and what are the challenges of owning not one, but several teams?

Kahn: Well, we now have just three teams, following the sale of the Austin Toros to the San Antonio Spurs. And we'll have only two playing on the floor next season -- we couldn't figure out the Fort Worth market and will re-position it for the 2008-09 season in a different city.

I became involved in the D-League through the persistence and encouragement of David Stern, who on two separate occasions approached me about becoming involved. On the second occasion, I began to think this had potential upside, because of David's personal interest in it.

Bizball: You're a bit different as an owner in the sense that you also have an extensive background working on basketball operations. Do you assist the NBA teams that you are affiliated with in any capacity in terms of player development at the D-League level?

Kahn: Only in the hiring of the head coaches. I've hired Sam Vincent, Joey Meyer, Michael Cooper, Dennis Johnson, Sidney Moncrief and Jeff Ruland. I stay out of the player personnel decisions, but tell the coaches I'm happy to act as a sounding board.

Bizball: One of the teams that you own is the Austin Toros. We recently saw the untimely passing of Celtics great, Dennis Johnson, who was your head coach for the Toros who collapsed just after a coaching session. Can you describe what happen, and knowing Johnson, as you did, touch on him as a person and as coach?

Dennis JohnsonKahn: Dennis suffered cardiac arrest immediately after a routine practice. It still doesn't feel real -- he was 53, had lost weight this season, seemed to be healthy, and was coming into his own as a coach. The Toros had started 0-12 last season, and at the time of his death they were 15-17. That doesn't happen in basketball -- that's an amazing turnaround. Dennis was a wonderful person -- warm, gracious, always professional. I miss him.

Bizball: What kind of future do you see for the D-League?

Kahn: I think the future is bright. The league this season will have 14 teams. The Spurs' decision to buy our Austin team means that the two organizations that have won seven of the past nine championships are owners in our league. I believe that as more NBA teams come aboard as owners, the quicker we will be able to develop brand awareness for the entire league and experience a growth spurt in fan avidity.

Bizball: Last question… What interests David Kahn when it's not doing the business of sports?

Kahn: I'm doing a number of projects outside of sports, but nothing compares to spending time with my family and, in particular, my 5-year-old son. I especially love taking him on business trips with me.


Interview conducted by Maury Brown on Aug. 16, 2007

Maury Brown

Maury Brown is the founder and president of the Business of Sports Network, which includes The Biz of Basketball, The Biz of Baseball, and The Biz of Football (The Biz of Hockey will be launching shortly). He is also a contributor to Baseball Prospectus.

He looks forward to your comments via email and can be contacted here.

 

 
 

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