Newcastle Knights CEO Steve Burraston says the agreement to form a Rugby League commission is good news, with the path cleared for an independent commission to run the game.
"Well all money now, all revenue in the game will flow back to the game so it will flow back to rugby league development, rugby league marketing and back to the 16 clubs which is a good thing," he told the ABC.
"So immediately there is the potential for hundreds of thousands of dollars to come back to each club."
The Australian Rugby League (ARL) and News Limited agreed on terms for a constitution for the new governing body at a meeting in Sydney on Tuesday.
It's the culmination of months of protracted negotiations between the game's two owners, with both parties hopeful the independent commission will be up and running by the start of the 2011 NRL season.
And it's seen as a major boost for the game which has long been hampered by the factional interests of various controlling bodies.
"Parties have agreed to the final terms of the constitution, which will now make it possible to finalise the additional documentation to complete the restructure," ARL chairman John Chalk said.
"The meeting today was productive, with all parties confident that they have overcome the fundamental impediments to the implementation and establishment on the new ARL commission.
"It will bring us into a new era of rugby league."
Central to the establishment of the commission will be the election of the inaugural eight commissioners, with a recruitment firm currently canvassing potential candidates.
No time frame was put on the selection of the commissioners.
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