AHRMA BOARD OF TRUSTEES MINUTES

October 11, 2010

Barber Motorsports Park

Leeds, Alabama

NOTE: Unless indicated otherwise, all votes were unanimous. Items marked with an asterisk (*) are confidential and should not be discussed outside the board.

Trustees present: Dave Janiec, Beno Rodi, Mark Hatten, Matt Hilgenberg, Tom Bentley, Debbie Poole, Corky Root, Fred Mork, Craig Breckon, Fred Guidi, and Bob Goodpaster.  Trustee Kelly Shane was not present; his proxy was held by Bentley. Also present: Dave Lamberth (Executive Director), Cathy Lile and Tim Lile (Communication Directors).

Board Chairman Dave Janiec called the meeting to order at 8:05am in open session with four AHRMA members present.

Janiec asked for approval of the minutes from the July 26 AHRMA Board meeting held in Morgantown, WV. Hatten made the motion and Mork seconded. The vote was 12/0 with Bentley voting Shane’s proxy.

 

The Treasurer’s report was given by Hatten. AHRMA’s finances and budget are on track and the organization is financially sound in spite of the generally-slow National economic recovery. 

 

There was discussion on the future growth of AHRMA. The quality of events, both large and small, must remain a priority. Rather than simply adding many events to each schedule, emphasis should be placed on hosting profitable events which serve a larger number of members. AHRMA needs to reinvest in tools to do the job and should invest in the AHRMA brand. It is imperative to keep event costs down. In general, the consensus was that AHRMA’s finances are good and the opportunities are great.

 

Janiec asked for an update on the Royal Bank of Canada investments. Lamberth advised that the September statement had not arrived in time for this meeting, and that he would email it to the trustees upon returning to the office. Hatten stated that the current mix of stock and bond investments is acceptable, but we should not expect investment growth greater than low-single-digit rates in the near future. Janiec stated that the focus should be on the long term in investments of money, equipment and events.  Mork moved to approve the Treasurer’s report, Breckon seconded the motion.  The vote was 12/0 to approve the Treasurer’s report.

 

Janiec reminded the Board that each Trustee represents the entire membership and not just their region.

 

Lamberth gave a summary report for the weekend’s Barber Motorsports Park off-road events. With 40 entries, the trials event was larger than 2009. Vintage motocross (191 entries) and Cross Country (92) were comparable to the previous year.

 

 

In his Executive Director’s report, Lamberth stated that he expected AHRMA to have an excess of revenue vs. expenses of $25-30,000 at the end of the fiscal year. This figure does not include any bankruptcy buyout payments from the LSI organization.

 

Janiec recessed the meeting for a break at 9:45am, and reconvened at 10:00am.

 

The meeting was opened for member questions.

 

Member Ken Mertz asked about the need for an early-season Road Race event in 2011, following the announcement that AHRMA’s Daytona event is being moved to October. Janiec stated that he felt there is a need for a race in February or March, which allows members from the northern portion of the US to get an early break from Winter. The ED and Road Race Director will make a final decision on this event after reviewing the options.

 

David Wells asked about a 2011 Road Race rules proposal (10.6.4.b, Historic Production air intake). He felt that the proposed rule wording was too vague, and questioned how the aspect of “no performance increasing devices” would/could be policed. Gauze air filters are listed as acceptable, yet advertising for  K&N gauze air filters claims the filters provide a performance increase. He asked to strike the words “no performance devices be added,” and to be more specific as to what would be allowed. Hatten responded that rules are written to convey an intent, and it is not possible to include an item-by-item list of what is and is not acceptable within each and every rule in the AHRMA Handbook. Mork stated that the intent of the class is to provide a low-cost, entry-level arena for beginning road racers. Breckon opined that the number and type of machine modifications in the Historic Production class is beginning to get out-of-hand, and that AHRMA wants to be responsive to the needs of this class.

 

Wells proposed a “Rookie of the Year” award for AHRMA Road Racing, with the prize being a paid road race school entry or some other prize to be determined. The Board agreed, and Janiec asked the Awards Committee to work with Wells to determine the specific criteria and award that would go to the recipient.

 

Ginger Hilgenberg stated that direct-emailing could be a low-cost, effective tool in the promotion of AHRMA activities. While not all members use email daily, most do have some sort of email access.

 

Janiec asked for and received no other member comments at 11:00am. The meeting continued in open session.

 

Lamberth continued his Executive Director’s report with a review of the proposed 2011 Road Racing schedule. There was discussion regarding the financial viability of a new event near Dallas, Texas. Lamberth said he expected the event to break-even the first year, while building toward a more profitable future; there is potential for event sponsorship. When asked the number of road race members in the area, Tim Lile stated that there are 160 in Texas and 50 in Oklahoma.

 

A discussion of the off-road schedule ensued. Bentley asked why Vintage Motocross often runs on the Saturday of a race weekend, with Post Vintage Motocross racing on Sunday; he felt it would be preferable to have VMX on Sundays. Lamberth stated that in some cases the promoter has a preference, and that AHRMA does have input. At some tracks, the conditions deteriorate during the weekend, so VMX is better suited to racing on Saturday, while other tracks can be satisfactorily groomed overnight, which would allow VMX to run on Sunday. Off-Road Coordinator Guidi said he’ll help the individual promoters determine which day is best for each discipline.

 

Lamberth reviewed the tentative first draft of AHRMA’s 2011 Operating Budget. Lamberth discussed the relevant notes of explanation before moving on to the actual budget.  Lamberth stressed that, before the budget could be properly discussed, certain  assumptions regarding event attendance must be understood. Janiec noted that the 2011 event-entry estimates were deflated from the 2010 numbers, which had already been deflated from the 2009 actuals, resulting in a conservative budget. This budget draft shows break-even financial results for 2011 revenue vs. expenses. Hatten stated that he would prefer to see sponsorship income for each discipline reflected in that discipline’s budget line, rather than in general revenues as they are currently shown. Expenses related to the proposed alignment with the Series Tracker organization were factored into the budget report, as was the purchase of new radios for the off-road programs. A motion to approve the budget report was made by Hatten, and Mork seconded. The vote was 12/0 to approve the report.

 

Janiec recessed the meeting at 12:00pm, and reconvened at 12:15pm.

 

A discussion of the upcoming trustee election took place. In the past, trustee candidates have expressed the desire to direct-mail members in their region as a means of campaigning. AHRMA does not release its membership list, but does have a system in place which allows this direct-mailing. Details of this program were published in the November 2009 Vintage Views, and will be posted on AHRMA’s web site.

 

2011 Rules proposals were reviewed and votes taken; specifics are on a separate document.

 

Janiec recessed the meeting at 3:10pm, and reconvened at 3:15pm.

 

Janiec selected the 2011 Committees Chairmen; Guidi will become the PVMX rules Chairman; all others continue unchanged.

 

Cathy Lile presented a summary of the results from an online AHRMA member survey, along with a report on the AHRMA brand. The brand report included current thoughts and perceptions of AHRMA, along with ideas for future promotion. The Board agreed that an update to AHRMA’s web site is due, and that the regional websites should reflect a common “look and feel,” which directly relates to www.ahrma.org. The updated main site will have individual calendar and results pages for each discipline, with spaces for the series sponsor and class sponsors. These pages could also include an area for relevant important information, which is currently only shown on the “What’s New” page, and space for web ads.

 

Series Tracker software is scheduled to be installed during the 2011 season. AHRMA has renegotiated the Series Tracker fee from an 8% flat fee to a $1.70-per-transaction fee; the contract is currently being reviewed by AHRMA Counsel Ted Bendelow.

 

Discussion ensued on the post-entry rate for CC, PVMX and VMX.  Lamberth suggested that we move to a $50 post-entry fee and $40 pre-entry fee.  For those CC events that are ISDT type events which have a $50 pre-entry rate per day, the post entry rate will be $60 per day. While this lower post-entry fee is more member-friendly, Lamberth stressed that it is very important for our members to pre-enter events. The race order is based on the pre-entries received, as is the number of awards purchased. Pre-entry reminders will be published in Vintage Views. Guidi made the motion to accept the fee change, and Root seconded the motion. The vote was 12/0 to approve the motion.

 

The meeting moved into closed session.

 

Janiec requested at 4:25pm that the meeting involve only the trustees; during this time, compensation for Lamberth was discussed. At 4:45pm, Lamberth rejoined the meeting.

 

The meeting was adjourned at approximately 5:00pm.