Board of Directors Meeting
Present: Paul Glaves, President; Jim Shaw, Vice President; Deb Lower, Secretary; Rob Lentini, Treasurer; Directors Matt Parkhouse, Don Hamblin, Tom Harbrecht, Ted Verrill, and George Glascock; Ray Zimmerman, Executive Director; Sandy Cohen, Managing Editor; Ray Monroe, Advertising Manager; Nancy Sulfstede, Bookkeeper; Ed Youngblood, Consultant; Marilyn Roberts, Executive Assistant and Recording Secretary; Greg Hutchinson, Club Coordinator; Susanna Parkhouse, Rally Liaison; Sue Rihn-Manke, Ambassador Liaison and 2000 Rally Chair; Gray Buckley, 2001 Rally Chair; BMW MOA Foundation Executive Board members Clark Luster, Roger Wiles, Charles Peters and Gary Smith.
Paul Glaves called for approval of the agenda. The following additions to the agenda were made: Under New Business, add Nominating Committee and Travel Policy; under Board Committee Reports, add Check Signatories. Deb Lower made a motion, seconded by George Glascock to accept the revised agenda. Motion carried.
Rob Lentini made a motion, seconded by Deb Lower to approve the minutes of the July open session Board meeting and the July town hall meeting. Motion carried.
Executive Directors Report Ray Zimmerman has met with the headquarters office staff, Sandy Cohen and her staff, Ray Monroe and Nancy Sulfstede and is impressed with the quality of all of them. Ray expects to provide to the Board in the future financial data that is summarized, thus eliminating the Board having to sift through confusing financial data. In the coming year Ray plans to visit as many local clubs and their rallies as possible. A list of action items is being compiled; it currently stands at about 66 items. Ray will provide a letter to Sue Rihn-Manke to be included in the next Ambassador newsletter.
Volunteer Committee Reports
Club Coordinator, Greg Hutchinson, reported 181 chartered clubs in good standing. Year 2001 renewals have been mailed; a new question on the renewal form for 2001 asks if the club sponsors or contributes to a charity. Club histories are continuing in the BMW Owners News. Greg is working with the May Agency on an article about liability insurance for clubs. Greg proposed that BMW MOA sponsor a BMW MOA portal, which would enable hosting of all chartered club sites on one central server. Ted Verrill suggested producing a manual about how to write a website, resulting in a page on a free web server, such as Geocities (and there are others); this would be provided to clubs for their annual charter renewal fee. Paul deferred the project to Ted, Greg and Ray Z.
Ambassador Liaison, Sue Rihn-Manke, reported that, because of an oversight, the Ambassador listing has not been published in the BMW Owners News yet this year, and Sue will provide the listing to each Board member. Sue requested from the office staff the missing BMW MOA membership numbers on the listing. Sue asked that the Board address how to handle behavior on the part of an Ambassador that is embarrassing to the organization and the program. Paul indicated that it is addressed in his document, written a couple years ago, but he was not prepared to revisit at this time.
Webmaster, Ted Verrill, has requested bids from two professional firms to provide a secure site. Steve Huber has been added to the website staff to provide timely updates.
Consumer Liaison, Rob Lentini, reports a steady workload of customers. Current topics include K1200LT and R1100RS beta bike problems. The credit card available from BMW of North America carries a $100 fee but the points obtained by using the card apply to the purchase of a new BMW motorcycle, as well as a new BMW car. Paul instructed Ray Z. to investigate whether BMW MOA would be able to get one of these cards for corporate purchases.
2001 Rally Chair, Gray Buckley, presented an initial rally committee chair list. Gray plans to have the committee chairs list published in February and the rally budget constructed by January board meeting. He is looking into automation of the Awards & Tallies process. Tentatively, an Amtrak rally train will run from the D.C. area, stopping in Chicago, and continuing to Portland, OR. Cost will be at least $625 (2000 cost) round trip for rider and bike combined. The Deschutes County Fairgrounds Association no longer manages the fairgrounds. Its replacement has indicated a letter will be forthcoming assuring the county will honor its agreement with BMW MOA. Food vendors will not be limited to those provided on the fairgrounds. Ian Schmeissers title is Marketing Chair and he will be responsible for updates on the website and magazine articles. There have been informal offers from Moto Guzzi and Triumph to provide demo rides and giveaway bikes at the 2001 rally. Paul said that this is part of the larger topic of relations between BMW MOA and BMW of North America, which will be addressed by Ray Z. Paul appointed an ad hoc committee to prepare Ray Z. for BMW NA negotiations. The committee is composed of Jim Shaw, Deb Lower, Tom Harbrecht, Ray Z., and Ed Youngblood, with Gray Buckley serving as an ex officio member of the committee. Paul stressed his desire for the committee to proceed as quickly as possible and a dinner meeting of the committee was scheduled.
2000 Rally Chair, Sue Rihn-Manke, provided a wrap-up of the event. Rally profit was approximately $135,000. Sue thanked everyone who volunteered and she especially thanked the Board for working the beer garden on Friday night. There were over 3000 volunteers and the attendance was 6188. Volunteer Committee Chairs were rewarded with staff shirts, a dinner on Monday before the rally opened, drink tokens for committee volunteers, a handwritten letter of thanks, and a certificate signed by Paul Glaves, Brian Manke and Sue.
Rally Liaison, Susanna Parkhouse, presented new policy proposals to the board. Deb Lower made a motion, seconded by Rob Lentini that the following be adopted: Committee Chair positions should not be announced for the coming years national Rally before the current years rally has commenced. Selection of Committee Chairs is at the discretion of the Rally Chairperson(s), following the guidelines set forth in How to Select Committee Chairs in the Rally Manual. After discussion, the motion was withdrawn and Paul referred Susannas entire report to the Rally Committee for recommendations.
Mileage Contest Coordinator, Karol Patzer, reported on a planned survey to be included with the 2001 beginning mileage contest form. The participants responses could result in the contest being extended by months, or possibly even to an entire calendar year.
Consultants Report Ed Youngblood presented for Board approval two documents relating to the Ambassador Program: 1) More precise language on the nomination form, and 2) Revised language for the Anonymous book. Neither document presented any new information, but merely a clarification of existing information. Jim Shaw made a motion, seconded by Don Hamblin to adopt the language of the nomination form as presented. Discussion centered on item #6 in the first paragraph, which states contributed to BMW Owners News and other publications. Jim withdrew his motion and Don withdrew his second to the motion.
Rob Lentini made a motion, seconded by Deb Lower to adopt the revised document for the BMW Owners Anonymous as presented by Ed Youngblood and to approve the nomination form with the addition of the word may in the second line of the first paragraph between the words they and have. Strong discussion followed concerning the use of the word program in the documents, when the intent is really that an Ambassadorship is an award. Concern was that the Ambassador Program would become a territorial field rep program, such as AMAs, rather than a non-territorial award for service to BMW MOA. Jim Shaw called the question. Tom Harbrecht requested a roll call vote on the call of the question: Jim Shaw, yes; Ted Verrill, yes; Matt Parkhouse, yes; Deb Lower, yes; Rob Lentini, yes; Don Hamblin, yes; Tom Harbrecht, no; George Glascock, no. Call of the question passed and the question was called. Motion carried, 6 yes, 2 no. Tom requested a roll call vote on the main motion: Jim Shaw, yes; Ted Verrill, yes; Matt Parkhouse, yes; Deb Lower, yes; Rob Lentini, yes; Don Hamblin, yes; Tom Harbrecht, no; George Glascock, no. Motion passed.
Before reviewing the latest of his reports to the Board, Ed stated that there are no additional reports other than a final report in January. He will continue to work with Ray Z. as he concludes his consulting position with BMW MOA. The latest reports do not require any action be taken: Third Renewal Notice and Exit Survey Final Report; Tracking and Improving BMW MOA Membership Renewal Procedures; Methods of Improving Country Store Performance; Membership, Club, Foundation, and Magazine Research; BMW Dealer Outreach; and Incremental Cost of BMW MOA Membership.
The BMW MOA will hold a Strategic Planning session at Cedar Creek Conference Center near New Haven, MO on December 2-3, 2000. The session will establish a planning process that can be taught to new Board members and staff. Participants are the full Board of Directors, Sandy Cohen, Marilyn Roberts, Tammy Leuthauser, Ray Zimmerman, and Ed Youngblood as facilitator.
Reports of Board Committees
Finance Committee Rob Lentini reported a good financial condition for BMW MOA that could be due in part to increased membership, a good economy and an increase in motorcycle sales. Income for the year is $100,000 more than what was budgeted. Board expense is $10,000 over budget for the year in part due to need for additional meetings to complete executive director search and selection. Ed Youngblood pointed out that Board expense as a percentage of revenue or expense of retained earnings has actually gone down and that the Board has improved productivity against expenses. Regarding the investment program, Rob reported $125,000 in timely investments when the price was down. As cash permits, share purchases in appropriate funds are made during market dips. Currently, BMW MOA holds approximately $1.3 million in investments.
Operations Committee Revisiting an issue from July, Deb Lower gave a report on motorcycle insurance presented by Michael Mandell via www.bmwcycleinsurance.com. The committee recommended that BMW MOA not continue in discussions about this insurance. Ray Z. was asked to write a letter to Mr. Mandell and proceed with finding an insurance aggregator. The May Agency and Progressive Insurance appear to have faded into the background regarding the status of liability insurance for chartered club events and reduced rates for members bikes. Ray Z. will follow up. Within the month, Ray Z. and Ed will meet in person in Cleveland with representatives from Progressive.
Deb gave an overview of the rally manual service agreement and the status of the manual. Methods were discussed of updating the manual with new or changed information. The committee hopes that Ray Z. and Susanna Parkhouse will make recommendations from the standpoint of closure. Paul Glaves thanked Susanna for her hard work on the project.
A proposal was submitted from Ray Z. requesting that check signatories be the Executive Director, the Executive Assistant and the Office Manager. This will eliminate the expense and danger of the Associations checks being sent roundtrip from St. Louis to the treasurers residence. In order to do this, the three named persons must be made authorized agents of the BMW MOA Board of Directors. Don Hamblin made a motion, seconded by Tom Harbrecht, to designate the Executive Director, the Executive Assistant and the Office Manager as authorized agents of the BMW MOA Board of Directors. Motion carried.
George Glascock made a motion, seconded by Tom Harbrecht, to change the term Association Manager to Executive Director where required in the policies. Motion carried. If any of those changes cause a change in the meaning of the policy that will require action by the Board, staff should bring that to the Boards attention.
Publications Committee Don Hamblin made a motion, seconded by Rob Lentini to designate in the Managing Editors agreement that the Managing Editor and the Advertising Manager report to the Executive Director. Motion carried. Don thanked Tammy Leuthauser for adjusting the database so that Ambassadors receive their extra copies of the BMW Owners News via second-class mail instead of first class mail.
Sandy Cohen gave the Managing Editors report. All issues were mailed on time, by the end of September gross profit for Publications was more than the previous 12 months, the 2001 budget has been prepared, a reader survey is planned, Ed Youngblood and Ray Z. have visited the publication office, Vivid Image contracts have been terminated through the notification clauses, new editorial and production schedules are available, and Mileage Contest and Mileage Award forms in PDF form have been added to the website. The December issue will be completely CTP, which should shorten the printing lead-time but not the editorial or production lead-time. The printing contract with Color-Art expired in June and Color-Art has been working without a contract since that time. Sandy and Color-Art have been learning together about the CTP process and now that Sandy knows more about it, she can bid the process out within the next month. In order to keep the BMW MOA Foundation separate, Foundation news will be covered as news in the magazine, rather than as a monthly column.
Ray Monroe gave the Advertising report. January through October of 2000, Ray had a 14% increase in sales above the same time period in 1999, Anonymous book revenue in 2000 was $22,500, and the rally program lost $3200 from the lack of Moto Guzzi and Triumph ads. Sandy added that the BMW Owners News is about 45%-50% ads and that the page count goes up 3 or 4 times a year depending on advertising sales.
BMW MOA Foundation Jim Shaw reported some important dates and announcements. The Foundation was incorporated in May 2000 and it received IRS tax exemption in October 2000. Several sizable donations have allowed the treasury to be freestanding. The Foundation will focus on Projects and Programs and on Fund Raising. The Executive Committee will meet on November 12 for the Foundation committees to provide detailed reports.
Rally Committee The committee recommended acceptance of the National Rally Committee Chair Selection policy as presented by Susanna Parkhouse, the only change being to change the word filling to the word announced in the first sentence. Matt Parkhouse made a motion, seconded by George Glascock that the revised policy be accepted: Committee Chair positions should not be announced for the coming years National Rally before the current years rally has commenced. Selection of the Committee Chairs is at the discretion of the Rally Chairperson(s), following the guidelines set forth in How to Select Committee Chairs, in the Rally Manual. Motion carried.
In her report, Susanna Parkhouse suggested that a Mentoring Committee be appointed to design a Mentoring Program. Matt Parkhouse made a motion, seconded by Rob Lentini that the Rally Manual Committee be designated as the Mentoring Committee. Motion carried.
In her report, Susanna Parkhouse presented a job description for the Rally Advisor (Liaison). Revisions were suggested: change Advisor (Liaison) to Consultant and add Serves at the pleasure of the President under Duties. Tom Harbrecht made a motion, seconded by George Glascock, to accept the job description as revised. Motion carried.
In her report, Susanna Parkhouse presented a document titled Lines of Responsibility. Matt Parkhouse made a motion, seconded by Tom Harbrecht to accept the Lines of Responsibility document. Motion carried.
George Glascock made a motion, seconded by Deb Lower, to accept the Rally Chair job description. Motion carried.
The Rally Committee referred discussion of the Rally Treasurers job to the Operations Committee.
As a result of an effort begun by the whole Board to consolidate the BMW MOA bylaws, Don Hamblin presented the proposed bylaws changes. Other proposed amendments may be presented which did not have a consensus of the board. Don Hamblin made a motion, seconded by Rob Lentini, to accept the proposed amendments to the bylaws. Paul suggested that the amendments be published in January issue of BMW Owners News with grammatical corrections. The motion to amend the bylaws will be automatically tabled and will not be voted on until the April Board meeting. Tom Harbrecht made a motion, seconded by Jim Shaw to table the vote on the bylaws amendments until the April Board meeting. Motion carried.
Regarding the Travel Policy, Don Hamblin made a motion, seconded by Tom Harbrecht that the President approves travel by the Executive Director and the Board of Directors, and the Executive Director approves all other travel. Motion carried. Rob will research the government per diem rate for the St. Louis area for a possible increase of the per diem rate paid according to the travel policy.
Ray Z. reviewed the line item review of the 2001 budget. Utilities are expected to increase by 10% and that will be reflected in the proposed budget. In order to cut expenses and allow Board members more time at home with their families, Rob expressed the desire to conduct one-day Board meetings. It was suggested that the Board try it for one meeting, but in its change in role from management to strategic thinking, the Board may actually have more to do. Don Hamblin reviewed the publications budget. Rob Lentini made a motion, seconded by Don Hamblin, to adopt the operations and the publications budgets with the expected increase in utilities. Motion carried.
Tom Harbrecht made a motion, seconded by Rob Lentini, to recess the meeting. Motion carried.
The open session was resumed on November 12, 2000.
Deb Lower presented a revised election policy to be added to the BMW MOA General Policy. Deb Lower made a motion, seconded by Don Hamblin, to adopt the presented guidelines for election to the General Policy. Motion carried.
The open session meeting was recessed and reconvened in executive session. After the executive session, the open session reconvened.
Paul Glaves announced the following actions taken in closed session:
Further open session business was presented by Greg Hutchinson, who wished that the BMW Owners News be sent to international clubs. Paul referred the matter to the Publications Committee.
Jim Shaw made a motion, seconded by George Glascock, to adjourn the meeting. Motion carried.
Approved by Deb Lower, BMW MOA Secretary