SCRAMP, the non-profit organization which manages the Laguna Seca racing facility and organizes the annual Rolex Monterey Motorsports Reunion, has announced that the Monterey County Board of Supervisors intends to replace it with a new management organization.
While SCRAMP and the County Supervisors, who ultimately control the fate of the famed racing facility, have been at odds for a number of years over the management and profitability of the venue, this announcement would appear to indicate that the Supervisors are now making good on their long-held threat to remove the organization that has managed the track for over 62 years.
Of particular interest to the historic racing community will be the fate of the world famous Monterey Motorsports Reunion (formerly Monterey Historic Automobile Races), which SCRAMP has run and managed ever since it took over the event from founder Steve Earle in 2009.
Below is SCRAMP’s complete, recent statement:
After 62 years of continuous management of the Laguna Seca Raceway, the Sports Car Racing Association of the Monterey Peninsula (SCRAMP) has been advised via email by County of Monterey Assistant County Administrative Officer (ACAO) Dewayne Woods that “…the County is now in negotiations with another proposer for management services at Laguna Seca Recreational Area.”
According to the agenda for Tuesday, November 19 Board of Supervisor’s meeting, that proposal is centered on Monterey County’s direct management of the Raceway and Recreation Area.
“This news comes as a surprise to the SCRAMP organization,” said Tim McGrane, CEO of WeatherTech Raceway Laguna Seca and SCRAMP, who took over the position in June 2018. “We were starting to make real progress on getting the facility and the raceway operations turned around and poised for the future, but it appears at this time we may not have the opportunity to see these plans through,” continued McGrane.
“As the existing facility operator, we were stunned by the fact that we were not provided the opportunity to discuss our proposal with the ACAO. The entire process has been unconventional, ranging from the bypassing of the County’s usual Request For Proposal (RFP) process, the announcement in mid-October requesting proposals from any interested parties with only two weeks’ notice, and complaints that SCRAMP had not met deadlines to submit a proposal when in fact a submission date had been agreed upon in May, and subsequently met, has been challenging,” McGrane said.
This is not the first time that the County has sought an alternative to SCRAMP. “We have been in this position before with the County administration, but we, our fans, racing series and teams, do have to look at the possibility of the era of SCRAMP operating Laguna Seca Raceway coming to an end,” McGrane said.
In 2015, Monterey County began private talks with International Speedway Corporation (ISC) who, after a careful review of the operational parameters of the facility, determined not to submit a formal proposal for management of the track. In 2016, the Monterey County Administrators Office entered into negotiations with another group to replace SCRAMP for 2017 but were unable to agree to terms that were mutually acceptable. The County then reverted back to a three-year agreement with SCRAMP to continue running Laguna Seca.
In 2018, the SCRAMP-run Laguna Seca Raceway attracted 263,888 attendees and generated $84.4 million in direct spending generated by event attendees over 26 days of the seven major events. 2019 saw SCRAMP orchestrate the long-awaited and highly-successful return of IndyCars to Laguna Seca, with a larger than anticipated spectator count for the weekend.
“We’ve delivered an extensive, forward-looking proposal to the County for a new, long-term 20-year management and operating agreement that incorporates solid plans for revenue generation and expense reduction, expansion of the use of existing facilities, and development of Laguna Seca into a world-class destination,” said CEO McGrane. “We are building the right team, both paid staff and volunteers, with extensive motorsports experience, institutional knowledge, and the dedication to lead this important Monterey County asset into a successful future. We hope we still have the opportunity to present our plans directly to the County Board of Supervisors and we would be proud to continue SCRAMP’s 62-year stewardship of Laguna Seca on behalf of Monterey County.”
The Sports Car Racing Association of the Monterey Peninsula, a 501(c)4 not-for-profit, was formed in 1957 by local business owners and civic leaders. SCRAMP’s goal was to raise the funds needed to construct a permanent motor racing circuit to maintain the tradition of sports car racing on the Monterey Peninsula which had begun in 1950 in the Del Monte Forest at Pebble Beach. SCRAMP is comprised of a Board of Governors, Race and Events Committees, and hundreds of loyal volunteers who donate thousands of hours each year to ensure the successful operation of events here.
The SCRAMP organization acquired leased land from the US Army at Fort Ord on August 7, 1957, and the now-legendary track, built with funds raised by SCRAMP, held its first race, the 8th Annual Pebble Beach at Laguna Seca SCCA National Championship Sports Car Road Races, on November 9 & 10, 1957. In 1974 the site was transferred from the Army to Monterey County, who together with SCRAMP, have managed the facility through this year.
SCRAMP’s current three-year management and operating agreement with Monterey County ends on December 31, 2019. SCRAMP currently employs a full-time professional staff of just over 40 team members.We need your support!
Call to Action
Board of Supervisors Meeting 11/19 to Support SCRAMPWhat: After 62 years of continuous management of the Laguna Seca Raceway, the Sports Car Racing Association of the Monterey Peninsula (SCRAMP) has been advised via email by County of Monterey Assistant County Administrative Officer (ACAO) Dewayne Woods that “…the County is now in negotiations with another proposer for management services at Laguna Seca Recreational Area.”
According to the agenda for Tuesday, November 19 Board of Supervisor’s meeting, that proposal (click on below) is centered on Monterey County’s direct management of the Raceway and Recreation Area.
County of Monterey Team Presentation
Action: We are calling on all volunteers, staff and supporters of SCRAMP to come to the Board of Supervisors meeting to share opinions and support of SCRAMP’s continued operational management of Laguna Seca Raceway
When: Tuesday, November 19, 2019, 9:00 AM
Where: Monterey County Government Center, Board of Supervisors Chambers,
168 W Alisal St., 1st Floor, Salinas, CA 93901
The Rolex Monterey Motorsport Reunion IS NOT in jeopardy. Where’s the other side to this story? The County is making the change to help SAVE the event from SCRAMP’s continued mis-management of financials, staffing and facility. The current management team has chased out 24 top staff in the last 18 months, all of the primary players in the event, including founders Gill Campbell, Barry Toepke and Chief Participant Registrar Ardelle Lind all gone in the last six months.
The County has poured over $5.5M into the facility over the past two years to start a long-term revitalization plan that includes a $20M Paddock revitalization. In 2019 the County laid out $725K for the new Turn 3 Rolex Driver’s Club to help launch the upcoming improvements plan and welcome the best group of participants on the planet.
People need to understand that there are two sides to the SCRAMP organization – “SCRAMP the Business” and “SCRAMP the Volunteers”. In effort to help save and secure the long-term health of the vital volunteer base, the County began a direct contract with the SCRAMP Volunteer group to ensure that all earned time donations we met – where they normally haven’t been in the past under SCRAMP management. SCRAMP Volunteers are vital and extremely valued to the health and well-being to the long term success of Laguna Seca. The County has already taken steps to align with the group and guarantee their long-term survival. It’s the SCRAMP Business that is under fire.
SCRAMP was given a 3-year deal in 2017 with the directive to fix the business at hand and align with the County’s proper management codes. Little has been done to meet those expectations and there has been plenty of press about the financial misgivings in the local media. The County had made requests as early as August 2018 for a new long-term proposal from SCRAMP to ensure due diligence in negotiations, but SCRAMP’s negotiation tactic was instead to delay submission of a proposal until the absolute last minute in the hopes of not giving the County a chance to look elsewhere. After repeated requests for proposal the County had no other choice but to look for another management firm.
SCRAMP Management continues to put out misinformation about the negotiations when in fact that played their hand completely wrong, trying to strong-arm the County. SCRAMP was on the clock the day the current 3-year deal was signed and that should not have been a surprise to anyone.
The health and well-being of the Rolex Monterey Motorsports Reunion is a primary focus of the County and the new managements firm and is NOT in jeopardy.