Caddywumpus
4N631
racer.com/2019/11/14/scramp-to-be-replaced-as-manager-of-laguna-seca/
It's been a wild ride
It's been a wild ride
County ends 62 year old relationship with SCRAMP
- Thread starter Caddywumpus
- Start date
and from the county side of things
https://www.montereycountyweekly.co...iqZDnOmDLgoNqN0uB42n_B0iCMevlkii3GePFXND8GIEU
https://www.montereycountyweekly.co...iqZDnOmDLgoNqN0uB42n_B0iCMevlkii3GePFXND8GIEU
NorCalBusa
Member #294
Does that mean they want my gate keys back? They were lost on the boat, with my guns...
fraz
Well-known member
Sounds like they were managing money back to 1957 standards. Over $300k cash on hand and unsecured? How many jobs can you keep with accounting practices like that?
It also mentioned the ransomware attack and not paying the 12k ransom. They said they cleaned the boxes but didn't specify what they lost. You have to assume whatever got encrypted is toast.
afm199
Well-known member
Monterey County has bled that track and SCRAMP to death. The money has been accounted for. I have zero sympathy for Monterey County and they won't find a competent manager for the prices they have paid SCRAMP.
That's a forty year old story, and it's always been the same. Monterey takes MOST of the income from the track and parcels back a small amount to SCRAMP, which can't even keep the track maintained. For a brief period they put up some funding, but basically the track is supporting Monterey County public employees and pensions.
That's a forty year old story, and it's always been the same. Monterey takes MOST of the income from the track and parcels back a small amount to SCRAMP, which can't even keep the track maintained. For a brief period they put up some funding, but basically the track is supporting Monterey County public employees and pensions.
jd41
Well-known member
Our local newspaper reports that new management firm is A&D Narigi Consulting.
It was suicide for SCRAMP to run Motogp without making profit, unlike Jeffrey Epstein who didn't kill himself.
SCRAMP ousted as Laguna Seca managers
"The uneasy relationship between the county and SCRAMP dates back three years when the county acquired the business assets of SCRAMP after poor financial showings.
Woods said the county needed people who understand contracts, know how to manage cash flow, foster relationships and understand how to manage financing and personnel.
“We had to buy out the business interests of SCRAMP otherwise there would not have been any events,” he said. “We need an organization that understands core business operations.”
Woods went on to say he has read four different audits and reports, including a civil grand jury report, that elaborate on recurring problems with SCRAMP’s business practices.
One report from Harvey M. Rose Associates found “unorthodox financial practices” being conducted by SCRAMP. Another from Hayashi + Wayland in late 2018, hired by SCRAMP, found that “cash management was unstructured” but that “SCRAMP leadership acted swiftly and decisively to correct as many of the issues identified as possible.”
McGrane counters that SCRAMP suffered “a perfect storm” of events that included losing the MotoGP.
MotoGP is the premier motorcycle racing world championship — an 18-race series visiting 13 countries, four continents and with global television coverage. It matches the world’s most skilled riders with cutting-edge motorcycle technology fielded by Ducati, Yamaha, Honda and Suzuki.
More than 100,000 racing fans made the pilgrimage to Laguna Seca to watch the MotoGP. But then Dorna Sports, the commercial rights holder for MotoGP decided that if one race was good, then a second would be better and eventually a third, diluting the fan base available for Laguna Seca, McGrane said.
“It became a loss leader for us,” he said.
Finally in the 2014 season, Dorna Sports asked SCRAMP for an additional $800,000 for the next year’s event. Because the prior four years of the event had not been profitable, both parties agreed to not return to Laguna Seca.
The county and SCRAMP could not even agree when the new proposal should be submitted. The current contract is due to expire on Dec. 31. Woods said in October that not only had SCRAMP still not submitted a management proposal but he had not discussed the matter with SCRAMP officials. He said SCRAMP officials had previously promised a management proposal several months ago before more recently saying a proposal would be submitted after the end of the racing season.
“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,” McGrane said."
It was suicide for SCRAMP to run Motogp without making profit, unlike Jeffrey Epstein who didn't kill himself.
SCRAMP ousted as Laguna Seca managers
"The uneasy relationship between the county and SCRAMP dates back three years when the county acquired the business assets of SCRAMP after poor financial showings.
Woods said the county needed people who understand contracts, know how to manage cash flow, foster relationships and understand how to manage financing and personnel.
“We had to buy out the business interests of SCRAMP otherwise there would not have been any events,” he said. “We need an organization that understands core business operations.”
Woods went on to say he has read four different audits and reports, including a civil grand jury report, that elaborate on recurring problems with SCRAMP’s business practices.
One report from Harvey M. Rose Associates found “unorthodox financial practices” being conducted by SCRAMP. Another from Hayashi + Wayland in late 2018, hired by SCRAMP, found that “cash management was unstructured” but that “SCRAMP leadership acted swiftly and decisively to correct as many of the issues identified as possible.”
McGrane counters that SCRAMP suffered “a perfect storm” of events that included losing the MotoGP.
MotoGP is the premier motorcycle racing world championship — an 18-race series visiting 13 countries, four continents and with global television coverage. It matches the world’s most skilled riders with cutting-edge motorcycle technology fielded by Ducati, Yamaha, Honda and Suzuki.
More than 100,000 racing fans made the pilgrimage to Laguna Seca to watch the MotoGP. But then Dorna Sports, the commercial rights holder for MotoGP decided that if one race was good, then a second would be better and eventually a third, diluting the fan base available for Laguna Seca, McGrane said.
“It became a loss leader for us,” he said.
Finally in the 2014 season, Dorna Sports asked SCRAMP for an additional $800,000 for the next year’s event. Because the prior four years of the event had not been profitable, both parties agreed to not return to Laguna Seca.
The county and SCRAMP could not even agree when the new proposal should be submitted. The current contract is due to expire on Dec. 31. Woods said in October that not only had SCRAMP still not submitted a management proposal but he had not discussed the matter with SCRAMP officials. He said SCRAMP officials had previously promised a management proposal several months ago before more recently saying a proposal would be submitted after the end of the racing season.
“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,” McGrane said."
NorCal_SV650S
Well-known member
Well with 2020 WSBK cancelled at Laguna, will you even go there for something else?
OldMadBrit
Well-known member
IMHO, Laguna will close as a racing facility as the pressure from increasing numbers of local residents becomes irresistible. The script is as old as the Bible:
1) get cheap land because its impacted by a sports faciity/airport/factory
2) build some starter houses
3) wait for new residents to moan and bitch the impacting facility into extinction
4) build expensive houses and reap profit.
1) get cheap land because its impacted by a sports faciity/airport/factory
2) build some starter houses
3) wait for new residents to moan and bitch the impacting facility into extinction
4) build expensive houses and reap profit.
Kornholio
:wave
NIMBY
bgamebiker
Love to ride
Monterey County takes all the profit from Laguna Seca and invests literally nothing in return. Inevitably, the facility will close and the world will have lost an amazing track. Meanwhile, Monterey County will end up wondering where their golden egg-laying goose went... Hopefully some rich tech billionaire will swoop in and buy out the county to preserve this place forever.
motomania2007
TC/MSF/CMSP/ Instructor
IMO, the track will very likely be gone in a couple of years because the County can't manage it, has no experience in the "racing industry" and all the other parties (racing organizers) will not renew existing contracts because the relationship and the track are not good...
NorCalBusa
Member #294
County announced the "new management" is a guy who ran a hotel in Monterey...
firstbuell
GO! 04,16,23,31,64,69,95
I am NOT happy!
the situation sux, itz always sucked, now it’ll suck even more.....
rich people rule the world; Mty Cty is lame & greedy -
I’d say itz a hopeless situation
the situation sux, itz always sucked, now it’ll suck even more.....
rich people rule the world; Mty Cty is lame & greedy -
I’d say itz a hopeless situation
gixxerjeff
Dogs best friend
(enter Riverside flashback here_______)
firstbuell
GO! 04,16,23,31,64,69,95
(enter Cotati boardtrack, Bay Meadows, & Tanforan Park, among many NorCal others.....)
while doing my deep-dive Historian gig for Santa Rosa Mile, I discovered that changes in “land use” have undone most tracks
while doing my deep-dive Historian gig for Santa Rosa Mile, I discovered that changes in “land use” have undone most tracks
