Mike Smith's Home, Saratoga

¢ Call to Order -- Gordy

Attendees: Board of Directors
R J Gordy - Regional Executive
David Allen - Director
David Harriman - Director
Barbara McClellan - Secretary
Peter Nosler - Treasurer
Michael Smith - Director

¢ Visitors' Reports

¢ Oil Recycling Champions -- Vodden via Nosler

Nosler noted that we have become dependent upon this type of revenue and we need it in order to maintain the current fee schedule. This grant will go through mid-2005. Smith recommends that BoD become more aggressive in supporting this type of program. Suggests we ask Vodden what we as BoD members can do to better publicize. Article is being prepared for The Wheel highlighting the program emphasizing that this is the right thing to do environmentally and what it means to SFR financially. Will be asking for a volunteer to champion the program.

¢ Region Report -- Vodden
No report.

¢ Thunderhill Report -- Vodden via Smith
Beginning to work on runoff and drainage issues. Surprise visit from the State Water Department went well. Cascade Pump (supplier) says we don't need to soften the well water. Nosler stated that he would like to see more formalized Customer Service surveys in the future.

¢ Vintage Update -- Goronsky
No report.

¢ Solo II -- Nemy via e-mail
Ended Winter Series at the Oakland Coliseum Dec. 7 with 230 entrants.

¢ National BoD Update -- Pitts via phone
Request for Double National has been approved by National BoD.

¢ Rally Update -- Montgomery via Harriman
Working on a contract with TH. Harriman recommends that he, Smith, Montgomery, and Grantz work together on the 2004 contract prior to discussions with TH.

¢ Region Administrators Report -- Grantz
Has concentrated on the Auto Show. BoD commends all involved in the production of the special issue of The Wheel. Grantz recommends that SCCA not be included in the TH Yellow Page ad--BoD agrees. RDC has received a $5000 payment from Enduro entries. SM Challenge and Western State Championship checks have been sent out.

¢ Secretary's Report -- McClellan
Motion (Allen/Smith): To approve minutes from 11/22/03 BoD Meeting. Passed--Unanimous.

¢ Treasurer's Report -- Nosler
Profit and Loss Statement (Year to Date) through November 30, 2003:

1. Club Administration
Income (dues, etc.) $ 92,150
Expenses (payroll, overhead, etc.) (158,368)
( $66,218) ($66,218)

2. Road Racing
a. 19 Event Income - Net Drivers
School $ (4,713)
9 Race Events 184,557
7 Pro Events 138,433
Vintage 640
Western States Champ 13,895
$332,812
b. General Racing
Income (State of CA, etc.) $ 74,255
Expenses (159,731)
($ 85,476)
Road Racing Total $247,336

3. Solo II
Income $ 18,545 $ 18,545

4. Misc. Income and Expenses
Expenses The Wheel ($ 65,452)
Banquet (17,981)
Anniversary Party (21,674)
($105,107) ($105,107)

Total Yearly Profit through 11/30/03 $ 94,556

Motion (Harriman/Allen): To approve Treasurers Report as of November 30, 2003. Passed--Unanimous. It was noted that earnings are down by $30,000; there are significant changes in track rental fees and office expenses have increased significantly. Would be in the red without the Race to Recycle Oil grant. A decision on how much to fund the Frequent Racers Program will not be made until Feb. when a budget for 2004 will be in place.

¢ Old Business

¢ 2004 Schedule -- All
BoD reviewed final. Noted that NASCAR will only be 3 days and may not include an SCCA event. SFR still in contract negations with Infineon.

¢ 2004 Supps -- All
BoD reviewed each item in detail. Action: McClellan to provide Grantz and Archer BoD changes. Based on input from drivers, Nosler asks if we will consider combining CF and SF in 2005. This will be discussed further.

¢ NorPac Convention -- Gordy
Allen and Tatum will be unable to attend, but the rest of the BoD will be there. Smith and Harriman are presenting.

¢ Update on Legal Review -- Smith/Nosler
Memo of Dec. 11, 2003 from Peter Whitman distributed and discussed. Points out that there the overlap of SFR and Properties BoD members is of some concern and suggests reducing the total number. Action: Smith will distribute copies of this memo to Properties BoD for upcoming meeting. SFR BoD recognized the need for there to be more formality in our dealings. Action: Formal contracts will be signed between Road Racing and Rally with TH.

¢ Drivers School -- All
Michell Hemus and Kevin Rogers have agreed to co-coordinate and organize Drivers School. They will be meeting with Berry prior to her move. No changes will be made regarding Chief Driver Instructor and Group Leaders (Jon Becker and Ron Chuck/Scott Rubin, respectively). Gordy has discussed this with Berry; will meet with her on the 21st and obtain all files. Nosler is liaison.

¢ Long Term Goals -- All
BoD members to have firm plans on how to proceed for each goal by the March All Day meeting. Action: Smith/Nosler will review historical data and provide a draft budget no later than the Feb. meeting. This will provide something for BoD and Chiefs to react to and a better understanding of spending.

¢ New Business

¢ Infineon Negotiations -- Gordy
Gordy, Smith, and Nosler met with Infineon staff Dec. 8. Nosler presented our desire for a better business model in which SFR will pay track rental fees and Infineon will pay for race support. Infineon seemed very open to the plan. Market rate is to be established. Desire is a turnkey operation. Probably at least two more meetings will be scheduled. Action: Gordy to draft letter and matrix of Race Official needs.

¢ Laguna Seca Negotiations -- Gordy
Meeting scheduled for January; similar negotiations to occur.

¢ Auto Show Recap -- Harriman
Very successful; positive radio show; lots of space. The Coturri's and Grantz had very impressive, well organized show. About 17 new members signed up; we believe that pro events bring more new members. Allen pleased with volume of visitors to SFR display and felt it was very positive to have all SFR activities displayed together. Gordy thought SFR portion was done in classic style, very well done with all venues of SFR well presented. Diamond brothers have a 5 year contract and plan to make this amount of space available to SCCA. Harriman thinks the number of people visiting the exhibit did not justify the amount of space we had, but those there had high interest in motor sports. Lot of work and effort for the number of members signed up. Recommends two separate planning groups in the future--one to organize the auto show portion and a separate to organize membership recruitment. Smith recommends a conference call between himself and Harriman, Allen, the Coturri's, and Grantz after the holidays to discuss future shows. SFR will not be present at the Jan. 6-11 San Jose Auto Show.

¢ Russell Schools -- Gordy
SCCA and Russell now have a formal relationship. Russell events will be sanctioned by SCCA and may utilize SCCA Race Officials. One year complimentary SCCA membership will be given to graduates of 3 day Russell Schools.

¢ 2004 BoD Meeting Dates -- All
Third Monday of each month is a good date for everyone. Plan to
start at 1 PM at Mike's office and 9 AM at the All Day meetings at his home.
Following dates are scheduled:
Jan. 23 7 PM - Properties Meeting, San Ramon Marriott
Jan. 24 8 AM - 12 Noon, BoD Meeting, San Ramon Marriott
Jan. 24 Noon - 4 PM, Chiefs Meeting, San Ramon Marriott
Jan. 24 6 PM - Awards Banquet, San Ramon Marriott
Feb. 16 1 PM - Mike's Office, Saratoga
Mar. 27 9 AM - Mike's Home, Saratoga
Apr. 19 1 PM - Mike's Office, Saratoga
May 17 1 PM - Mike's Office, Saratoga
Jun. 19 9 AM - Mike's Home, Saratoga
July 19 1 PM - Mike's Office, Saratoga
Aug. 16 1 PM - Mike's Office, Saratoga
Sept. 28 1 PM - Mike's Office, Saratoga
Oct. 30 9 AM - Mike's Home, Saratoga
Nov. 20 8 AM - (Saturday) Radisson, Sunnyvale
Nov. 20 Noon - (Saturday) Radisson, Annual Membership, Sunnyvale
Dec. 18 9 AM - Mike's Home, Saratoga

¢ Annual Banquet
Award recipients were decided. Pat Kelly will be producing the programs. Noted that the program script will need to match the logistics and trophies need to be in sequence of presentation.

¢ Liaison Reports -- All

¢ T & S -- Smith
Working on identifying new Chief to replace Sheila Bass.

¢ Grid -- Tatum
Karen and Paul Lamm have agreed to be co-Chiefs.

BoD members will retain the same liaisons as 2003 with the following exceptions: Allen will take over Trophies and Tatum will liaison with the Sacramento and Fresno Chapters of Solo II.

¢ Executive Session (provided to BoD under separate cover)

¢ Correspondence

Infineon Letter: Regarding new noise monitoring policy by which all track rental clients staging events at Infineon Raceway are required to monitor vehicle noise levels. Any vehicle registering more than 103.0 db must not be allowed to participate in the event. They may be excluded for the day after a second hit. Action: This will be publicized in SFR 2004 Supps and Allen will meet with Infineon regarding how our Sound system works.

Club Racing Letter from Phil Clarke: Regarding if a region chooses to specify a tire for Spec Miata, they recommend this class be designated as SMT to aid in tracking of participation and that a SM class with the open tire rule be offered. BoD does not agree to this. SFR 2004 Supps will state that we accept the National SM rules with the exception of the Toyo tires (in order to receive regional points) and the need for sound level of 90 db at LS.

¢ Adjournment
Motion (McClellan/Harriman): To adjourn meeting at 4:45 PM.
Passed--Unanimous. Next meeting scheduled for Saturday, January 24 , 8 AM at Marriott,
San Ramon.