BMW MOA Board of Directors Meeting

Open Session

April 20, 2002

Best Western Westport, St. Louis, MO area

 

Present: President Don Hamblin; Vice president George Glascock; Treasurer Rob Lentini; Secretary Deb Lower; Directors Matt Parkhouse, Ted Verrill, Michael Friedle, Chuck Manley, Larry Hawthorne; Directors-Elect Karol Patzer and Greg Feeler; Executive Director Ray Zimmerman; Advertising Director Ted Moyer; Managing Editor Sandy Cohen; 2002 Rally Chair Don Faichney; Bookkeeper Nancy Sulfstede; Ambassador Liaison Sue Rihn-Manke; Recording Secretary Marilyn Roberts and Mae Glascock, association member.  Staff members Tammy Leuthauser, Becky Weber, Sandee Lumpkin and Beth Cooper were present for the opening remarks of the meeting.

 

President’s Opening Statement

In order to have more efficient meetings, Don Hamblin reminded Board members to communicate and do their homework between Board meetings.

 

Don wished to recognize the paid staff for work well done over the last month that is invisible to the 37,000 members of BMW MOA.  To that end he asked Ray Zimmerman to recognize the staff: Dori Chini, Beth Cooper, Tammy Leuthauser, Sandee Lumpkin, Marilyn Roberts and Becky Weber.  Ray wished the record to show that in his years of business he has never had a staff as good as this one.  Don asked the minutes to reflect his individual thanks to the staff for a seamless transition in the recent headquarters move, and reflect public thanks from the Board in the name of the membership.

 

Secretary’s Report

Deb Lower moved, seconded by Rob Lentini, approval of the minutes of the January 19, 2002 Board meeting.  Motion carried.

 

Deb provided an election update.  A small number of First Class magazines were mailed without ballots affixed; the office is providing ballots to those who did not receive them.

 

Treasurer’s Report

Reading from the balance sheet, Rob Lentini said that the organization is extremely strong.  With the dues structure change, there have been very few complaints. Referring to the combined budget, Rob indicated that the organization is ahead of budget on income, and he is impressed with Ray Zimmerman’s control of expenses.

 

Regarding investments, BMW MOA portfolio is outperforming some of the leading indexes.  Market recovery is slow, but predictable.  To further diversify, Rob will research an additional investment opportunity, focusing on small companies, which are less cyclical.  Funds placed in that investment will not exceed 10% of the total portfolio.

 

Our quarterly taxes have been paid.  Because we will receive a refund on our 2001 taxes, our quarterly estimated payments have been adjusted downward.

 

Rob presented for approval a corporate resolution form from Central Bank of Jefferson City.  The form is required for the acquisition of corporate credit cards for office staff business use.  Rob Lentini moved, seconded by Deb Lower, approval of the corporate authorization resolution for Central Bank.  Motion carried.

 

Executive Director’s Report

Ray Zimmerman presented financial graphs—actuals vs. budget—to close out 2001.  Income is above budget, cost of sales is slightly higher than budget, other expenses are right on target, and net income is about $150,000 above budget.  Ray stressed that control of expenses is a group effort and everyone has contributed to contain costs.

 

Items of note in the Contract Summary table are 1) that BMW MOA has canceled its flood insurance now that the office is located out of the flood plain, and 2) that BMW MOA is not paying the new landlord the full amount of rent until the old lease expires in October.

 

Deb Lower recently submitted input to the Strategic Plan in the areas of rally & events and Ambassadors.

 

Ray thanked the Board and other volunteer staff for visiting the new office prior to the Board meeting.  The move from old office to the new office was completed in a very timely manner with minimal disruption to association operations.  Members Dave Bissell and Dave Dow helped with some preliminary moving and Dave Dow returned on subsequent days.  Because expenses were held to below budget, Ray requested funds to purchase a new copy machine.  Rob Lentini moved, seconded by Chuck Manley, approval of funds not exceeding $7,000 for the purchase of a new copy machine.  Motion carried.

 

Regarding front yard signage for the new office, Ray is uncomfortable with a current bid of $500.  The purchase of an old BMW lollypop sign was discussed, as well as an offer of assistance from Karol Patzer and Sue Rihn-Manke in locating a sign.  Rob Lentini moved, seconded by George Glascock, authorization up to and not to exceed $600 for signage at the office.  Motion carried.

 

Ray presented an Advertising Collection Policy draft.  Ted Moyer suggested the addition of a 10 day window after 90 days and before the account is turned over to a collection agency.  Rob Lentini moved, seconded by Deb Lower, that Ray be given authorization to review and refine the advertising policy draft and enter into a subscription with Dunn & Bradstreet (collection services) for one year.  Motion carried.

 

Don Hamblin had communication with Phil Marx, Chairman of the International Council (IC).  Don reported: 1) The IC will present new club guidelines at its next meeting this fall in Greenville, SC, 2) There are no expectations of any additional logo or previous logo problems for BMW MOA, and 3) The umbrella club in the U.S. is the BMW Car Club of America, but the BMW MOA, RA and Canada Car Club have representation at IC meetings via a delegate and an observer.

 

Ray is still trying to work with the intellectual property lawyer.  Ted Verrill will assist Ray in this effort.

 

Brochures and decals

Membership brochures and one-inch BMW MOA decals were distributed to Board members and Sue Rihn-Manke.  The decals are to be given as recognition to members.

 

Managing Editor’s Report

Sandy Cohen reported the 3-month page count has risen to 104 from last year’s 93.3.  Changes have been made in response to the Reader Survey.  There are four new columns, including an Airhead tech column, and three columns have been removed.  Morr-Art redesigned the magazine beginning in the May issue.  The Anonymous book was mailed on March 5 and new bids will be evaluated for the printing of the 2003 Anonymous book.  Sandy, Ted Moyer and Michael Cohen attended the Dealer Expo in Indianapolis, and Sandy and Ted attended Daytona Bikeweek.  Sandy rode an F650CS test bike back to St. Louis.  Gary Sibley covered the press intros of the F650CS and the R1150GS Adventure, and Roger Wiles covered the Ocala GS Ride in Florida.

 

Advertising Director’s Report

Ad sales for the past two months have set records.  Ted Moyer reported 23 new contracts signed for the June issue, resulting in a net increase of dollars including the accounts that expire with the June issue. Administratively, online and comp advertisers are 100% accurate and he has made personal contact with 87% of the magazine’s advertisers.  A new computerized database of contracts and advertisers will allow for better projections, one source of information for all, and a breakout of gross ad dollars versus actual receipts.  Ted will contact major advertisers when they do their 3rd quarter planning, and he will soon travel to Canada to seek advertising for the Trenton rally program.  Ted is collecting media kits from various publications both inside and outside the motorcycle industry.

 

Board Reports

Finance & Operations

Rally Disaster Relief Fund – Larry Hawthorne reviewed changes in the proposed Rally Disaster Relief Fund.  Rob Lentini moved, seconded by George Glascock, approval of the Rally Disaster Relief Fund as amended.  The motion was amended to include that relief funds will be paid from the membership line item in the budget.  Amended motion carried.

 

Pre-paid legal insurance – Rob Lentini moved, seconded by Larry Hawthorne, not to entertain any association with pre-paid legal services.  Motion carried.  The vendor may contact individuals and advertise in BMW Owners News.  Pre-paid legal insurance will not be offered as a member benefit.

 

Nation Safe Drivers – Ray Z. did not receive the materials until the week of the board meeting so members of the committee have not seen them.  Nation Safe Drivers has offered two new plans to BMW MOA.  They include the Metro Plan for $19.95, from which the MOA earns $5 per subscription and the Touring Plan for $29.95, from which the MOA earns $7 per subscription.  Both plans offer more than the present tow package.  Don Hamblin reminded the Board that Ray has authorization to determine the member benefit option for touring services.  Don asked Ray to let the Board know his decision via a Board-wide email.

 

Rally & Events

George Glascock will step down as Rally Site Search Liaison when his term on the Board ends.  Chuck Manley will be appointed to the position at the July Board meeting.

 

Deb Lower reported on the Registration Automation workgroup effort.  After two conference calls and numerous emails, Gray Buckley’s committee summarized its thoughts: 1) Automation would not provide cost effective benefits for Registration or rally attendees, 2) Awards & Tally anticipates doing data entry from each registration form, and 3) Automated pre-registration up to an hour before the gates open and during the rally when registration is closed could increase pre-registration thereby reducing the time required for registration and reduce the effort required by Awards & Tally.  Automated registration will not be done at the 2003 rally but additional studies will be done.

 

Daytona Bikeweek coffee – BMW MOA offered to pay for the cost of coffee at Holiday Park in Daytona if coffee was provided for free, but the coffee was not free and MOA has not received a bill for the coffee.  To avoid miscommunication in the future, there should be written agreements.

 

Don Hamblin challenged the Rally & Events Committee to expand the strategic plan in regard to multiple events, i.e., do we want to expand support and at what rate.  Deb may bring in any help needed.

 

Land O’ Loon International Rally – Don Faichney reported that the rally has been mentioned in a Bay of Quinte publication.  Don asked for advice concerning Appreciation Party for volunteers.  It was suggested that gaining access to the rally grounds early, plus hats and bandannas are enough.  The Board offered backup to Don in dealing with a member who sells parts or other product without buying vendor space. The member must buy vendor space.  The Board was invited to serve beer on Friday evening in the beer garden.  However, each Board member, as well as anyone who serves beer or sells tickets, must pass the Smart Serve Program test and have a Smart Serve Program card.  In Canada, liability is on the server and ticket seller.  BMW Canada will give away a 7-day unstructured tour in which it will pick up all resort and dinner costs and provide a route.  BMW Motorcycles (the new name of the motorcycle division of BMW of North America) will have available the demo fleet, and BMW of Canada will show apparel and provide an F650CS for display.  BMW MOA will give away an F650CS and a restored 1972 R75/5.  In conjunction with BMW MOA members and BMW Motorcycles, BMW Mobile Tradition will provide a display of every significant bike model produced by BMW between 1923 and 2002; the display will be open to the public.  A heritage wall, containing the history of BMW, will be located as a backdrop to the bikes.  Mobile Tradition will also have available its store of parts, accessories, posters and memorabilia.  BMW Motorcycles will pay for a seminar and GS ride with Jimmy Lewis, and will also sponsor a track day at the Shannonville track.  BMW Motorcycles will not provide a giveaway bike because of legal issues associated with the giveaway in Canada.  Dennis Gage of “My Favorite Car” on cable TV Speed Channel will attend the rally and cover it on a segment of his show.  BMW MOA and BMW Motorcycles have organized a ride to the rally.  The self-guided, self-paced ride, paid for by BMW Motorcycles, will start Monday at a BMW dealership in New Jersey and arrive at the rally site by Wednesday afternoon.  Sign up will be at a dealer or online.

 

BMW MOA Foundation

Deb Lower reported that the website is ready to accept registration for Camp Trenton, Safety Award nominations should be sent to Rob Lentini, the Foundation is sponsoring the rally ERC courses, the Trustees meeting will be in Trenton on Wednesday, July 10 at 4:30 p.m., fifteen new Trustees are needed to serve 3-year terms, and new officers will be elected. 

 

The Foundation would like to videotape the Women Who Ride seminar and make it available through the Foundation as part of the Foundation’s support of women riders.  Policy leaves the decision to videotape or not to the rally chair, and the BMW MOA logo must be used in the video.  Don Hamblin requested knowledge of how the tape will be used, its cost, etc., before approving.

 

Michael Friedle reported that Camp Trenton is almost filled.  On behalf of Rob Nye, Michael requested that BMW MOA, as an incentive to get others into the MOA, donate money to the Foundation to cover the admission of non-MOA Camp Trenton attendees to the rally.  The Foundation would reimburse BMW MOA.  Ted Verrill moved, seconded by Deb Lower, to offer pre-registration advance rates to the attendees of Camp Trenton who have not already pre-registered.  Motion carried.  Don Hamblin suggested that Camp Trenton attendees receive a complimentary issue of the October BMW Owners News that will cover the rally activities including Camp Trenton. 

 

Liaison Reports

Ambassador Report

Sue Rihn-Manke will write a bi-monthly article for the BMW Owners News.  The article will direct readers to the Anonymous book for a complete listing of Ambassadors.

 

Consumer Liaison

Rob Lentini reported that complaints are slowing down.  He informed the Board that there is a throttle anomaly having to do with ignition timing in later models.

 

Website Report

Ted Verrill reported that an RFQ for protection of website is ready to be sent to design shops.  Once the site is secure we can expand and protect our offerings.  There have been 83,000 unique hits on the site in the past month.  There may be some overuse charges because of the large number of hits relating to the rally.  Site security has been held up because there is not a secure way of delivering to the office but now that we will use our own domain, security will be possible.

 

Results of the Executive Session

Deb Lower announced the following items from Executive Session.

 

Awards & Recognition Committee

The Distinguished Service Award and the Meritorious Service Award have been retired and will be replaced by the Exemplary Service Award.  These awards are being retired, not replaced; receipt of those awards was an honor and is the heritage of BMW MOA.  Members will nominate other members for this award and the Awards & Recognition Committee will make the decision.  The first recipients have been selected and will be announced at a later date.

 

The Helping Hand Award was created for those who offer assistance.  Non-BMW MOA members may get this award, which will be a pewter pin and a letter from the BMW MOA President.  A person can be nominated for this award through a letter to the BMW MOA headquarters.  A list of Helping Hand Award recipients will be published annually in the BMW Owners News.  This award takes effect today.

 

The High Mileage Award has been expanded to encompass mileages over one million.  Increments will be 250,000 miles.

 

Ambassador Nominations

Six new Ambassadors were appointed:  John and Andrea Borella, Roger and Norma Wiles, Helmut Bernshausen and Beatrix Buard.

 

Club Coordinator’s Report

In Greg Hutchinson’s absence, Ray presented Greg’s report to the Board.  There have been 150 chartered club renewals processed and another 30 will probably be coming through after the 3rd renewal notice.  Greg will be stepping down as Club Coordinator after several years of service to BMW MOA as chartered club coordinator.

 

New Business

 

Bylaws Changes

Deb Lower was tasked to take out language that deals with staggered terms of Board members, and to add language regarding elections.  Rob Lentini moved, seconded by Deb Lower, amendment of the Bylaws as suggested by Deb per the Bylaw procedure but not later than the October Board meeting.  Motion carried.

 

Dates of Next Board Meeting

Don Hamblin requested that Don Faichney schedule the rally Town Hall meeting prior to the Board meeting.  The primary purpose of the rally Board meeting is the seating of new Board members.  He requested that agenda items be of high priority because he would like the meeting to last only an hour.  Don Faichney requested that the Pioneers be present at the Board meeting; Don Hamblin indicated special seating in front plus recognition.  No date was set for the Town Hall meeting or the Board meeting.

 

The October 2002 Board meeting will be October 26.

 

George Glascock moved, seconded by Ted Verrill, to adjourn.  Motion carried.

 

Respectfully submitted,

Marilyn Roberts, Recording Secretary

 

Approved by Deb Lower, BMW MOA Secretary

May 6, 2002