Executive Council Meeting
Muncie IN
April 9, 2011
Official

Introductions
President's Report
Executive Vice President's Report

Chief Financial Officer's Report
Executive Director's Report
NAA Report

Committee Reports

Old Business
 
New Business


Note: The NAA Rep. Jonathan Gaffney was not in attendance

The President called the meeting to order at 8:00 a.m. 

1. Opening Business

President Dave Mathewson, Baldwinsville, NY; EVP Mark Smith, Hot Springs, AR; CFO Doug Holland, Raleigh, NC; District Vice Presidents: I-Andy Argenio, Smithfield, RI; II-Gary Fitch, Franklinville, NY; III-Bob Brown, Bradford, PA; IV-Bliss Teague, Hickory, NC; V-Jose Soto, Apopka, FL; VI-Charlie Bauer, Norridge, IL; VII-Bill Oberdieck, Southgate, MI; VIII-Jim Rice, Universal City, TX; IX-Jim Wallen, Arvada, CO; X-Lawrence Tougas, Fairfield, CA; XI-Bruce Nelson, Spokane, WA; Interim Executive Director Joyce Hager and AMA Legal Counsel Felix Gora.

HQ Staff in attendance were Rob Kurek, Craig Schroeder, Michael Smith, Ilona Maine, Lisa Johnson, Shawn Grubbs, Jeff Nance and Bill Pritchett.

Other attendees were Bob Reynolds, Brady Ware; Gordon Schimmel, Education Comm. Chairman; Bob Underwood, AVP Dist. VI; Paul Bretsen, Harry A. Koch Co.; Rusty Kennedy, Leader Member Program Administrator; Frank Roales, AVP Dist. VI; Ed Kincer, AVP Dist. VII; Kent Woods, AVP Dist. VII; Lloyd Swanson, AVP Dist. VII; Michael E. Brown, Flying Site Committee Chairman; Luke Akemon, AVP Dist. VI; Randy Cameron, AVP Dist. VI; Travis McGinnis, Education Comm. Chairman; Rich Hanson, AMA GRA; Rae Underwood and Shirley Teague.

Additions to Agenda: report re Leader Member (Fitch), COMMITTEES; PADCOM report (B. Brown), COMMITTEES; Decals (Oberdieck), NEW BUSINESS.

2. Consent Agenda: 

It was moved, seconded and approved by acclamation to approve the Minutes of the January 9, 2011 Executive Council meeting.

It was moved, seconded and approved by acclamation to approve the CONSENT AGENDA. CONSENT AGENDA items:

Feb. 2, 2011 Distinguished Service Award-Michael Casey mail vote
Feb. 15, 2011 Conference Call Minutes
Feb. 22, 2011 Fundraising and Development mail vote
March 8, 2011 Conference Call Minutes
March 22, 2011 iPhone App Plan mail vote

The President deviated from the published agenda to accommodate the auditor and CFO Report at this time.

3. CFO Report

Bob Reynolds thanked Council for the opportunity to again work with the AMA. He presented a brief review of the balance sheet 2009 vs. 2010; overall investment growth was up; almost recovered from the downturn in the market; the Auditor spoke with the Investment/Audit Committee re FDIC insurance, noting the Pay Pal accounts are not subject to FDIC insurance; bank card contract has been extended for 3 years then the contract ends but it was reported that AMA still has unearned royalties on the books.

The Auditor reviewed some internal control deficiencies, however, they were not extreme cases; the bank will send paper and imaged checks to the Executive Director.

The Auditor reported that non-dues revenue is vital to support the costs of operating the Academy; the core operations (magazine, supply & service sales and membership) are not sufficient to carry the load. This has been true for a number of years and many member-based organizations are in the same situation

MOTION I: Moved by G. Fitch (II) and seconded by J. Soto (V) to accept the Audit Report as presented.
MOTION passed unanimously.

Final Flight Recognition: A moment of silence was observed for: Hollis Carr, Robert Bingaman, Roger Evans, Charles Kaman, Carl Grata, William Strojny, Carl Atkinson, John Floyd, Robert Brimm, William Johnson, Melvin Hall, Robert Jaques, Robert (Jay) Dunkin, Larry Riddell, Berry Clark, Lt. Col. Robert L. Kaminski, Lee Minin, Michael Geiser, Carmen Zaic, Donald Vassar, Jeff Hoover, Fred Mazur and John Keever.

4. President’s Report 

The President acknowledged and thanked the AMA staff members who were heavily involved in the FAA effort over the last couple of months; he appreciated the cooperative effort in helping with the project. The write-in campaign did have an impact on the direction AMA is going and R. Hanson will talk more on this later.

Nominating Committee Chairman 
Bliss Teague has been assigned to chair the Nominating Committee for 2011.

Relationships with Aviation Organizations 
Over the last couple of years AMA has been working to develop relationships with other aviation oriented organizations; we’ve had success with AOPA and EAA. EAA was very supportive of the write-in campaign; they posted our effort on their website and encouraged their members to support AMA.

The President reported that the next step in the coalition building effort is to reach out to the other air sport organizations; he believes there is a benefit in building relationships with all these organizations because it strengthens our position. He and Al Tyler (Chairman of the Soaring Society of America) will meet during Joe Nall to discuss education opportunity partnerships; P. Hartness will take part in the discussion as well. The President will report at the next meeting.

Additional MOUs
To be discussed during Committee Reports – Educational wing of the FAA and Wings over the Rockies; these are education outreach opportunities

Gray Market Receivers/Radios 
The Electronic Technology Committee (ETC) met in Toledo and is looking for guidance from the AMA relative to gray market receivers and radios; some are counterfeit and some are clones. Many are not FCC certified and there is a concern over the quality of the equipment being brought into the country. The Committee is interested in developing an educational piece addressing receivers that have been tested and meet certain standards and those that haven’t. Discussion included: for liability reasons, legal counsel recommended some other entity (other than the Academy) declaring the equipment is good/bad; possibly do a general knowledge article in the magazine addressing things an individual should be aware of when purchasing imported equipment, such as receiving a warranty card; and there opportunities and risks involved with how to address the issue and it should be given further consideration.

Council prefers not to be involved in any evaluation process of electronic equipment. A short-term solution would be to have C. Orr write an article in generic form (if he’s interested), and AMA would consider publishing it; however, the article must be reviewed in advance by F. Gora if it is to be published. Council was in agreement on handling the issue in this manner. The President appointed Mark Smith to chair an ad hoc committee to research how to address gray market equipment and the risks and opportunities involved. Smith will select the other committee members.

Award Presentation 
Distinguished Service to Andy Argenio for 6 years of service on Council
Meritorious Service to Mike Brown for his service on Council
Distinguished Service to Mark Smith for 6 years of service on Council
Exemplary Service to Gary Fitch for 3 years of service on Council
Fellow to Bliss Teague for 9 years of service on Council

5. EVP Report

Nothing to report at this time.

6. Executive Director’s Report

It has been a busy quarter with the FAA issue taking up much time; J. Hager thanked the staff for their efforts. She has received much positive feedback and thanks from members for what the Academy is doing on their behalf. Members are directed to the Government Relations website for up-to-date information. She was tasked with getting rid of the equipment associated with t-shirts and screen-printing and reported just a few items remain. 

7. NAA Report

No in attendance.

8. Committee Reports

Education (Appendix II)
Highlights reported by the Chairman included participation in an NSTA meeting this past month; G. Schimmel continues to do a great job getting the Roundtables out to the AMA membership; improvements made to the educational portion of the website (Council was invited to view the site and offer suggestions); Pritchett reports 100+ applicants to date for the School Model Aviation Club program; a subcommittee has been formed to draw the loose ends together for the development of leadership within the AMA (which include CDs, LMs and AVPs); R. Kennedy shared his thoughts relative to leadership development with the committee during their meeting; and T. McGinnis invited Council members to sit in on their next meeting scheduled for Oct. 28, 2011.

Wings over the Rockies 
Pritchett showed photographs of two hangars at an Air Force base in Denver which house an aviation museum. L. Knowlton introduced Pritchett to the opportunity to visit the Model Aviation Expo; T. McGinnis also attended. AMA had a presence there and Pritchett met with their staff and leadership. They have agreed in principle to have a year-round model aviation presence at their facility, with AMA branding. Last Tuesday, T. McGinnis attended their ribbon-cutting ceremony, and AMA is in the process of finalizing an MOU with them. Pritchett will vet with them what the AMA will do and how it will be done, and use this as a package that AMA can offer to other aviation museums nationally; he will have more to report on at the July EC meeting. Pritchett will develop a presentation for VPs to introduce to museums in their districts.

Granite Gap, New Mexico 
Pritchett reported on an astronomical, model rocketry, ornithological, and model aviation complex being developed by Mr. Gene Turner, which will be based around education. The complex is expected to include museums, educational and research facilities for all disciplines as well as dormitories for visiting students and student programming. Tony Stillman is in contact with the group and information will be forwarded to Council as available. 


J. Rice reported that Don Lowe has resigned from the committee; Ray Stacy and Rick Grim have been added to the committee.

Spectra/Dyneema line
Tom Hampshire attended the committee meeting and provided information regarding composite line; a pull-test was also conducted. Following discussion the committee agreed to allow these lines for general CL flying. Use of this line in competition will be at the discretion of the CL Contest Board.

CL Handles
The committee was asked to address an issue relative to CL handles; they determined it was not a safety issue and referred it to the Contest Board.

Spotlight Night Flying
Following discussion of a proposal the committee received, they are recommending a change to the language in the Safety Code, under B. RADIO CONTROL, item 8. Add the following: Hand-held illumination systems are inadequate.

Gas Turbines

The committee has received several requests for changes to the gas turbine regulations. The following changes were made:

Delete from paragraph 4, referencing rotary wing aircraft: In no case may the rotor head speed exceed 2000 RPM.

Paragraph 5 should now read: It is recommended that multiple engines equipped with propane start be segregated or partitioned to prevent cross-ignition of exhaust gases. Paragraph 7: add diesel as one of the fuels allowed.

Paragraph 20 should now read: No turbine powered fixed wing model will be flown after dark, or in poor visibility conditions. Rotary wing models require an onboard illumination system providing the pilot with a continuous and clearly illuminated view of the model’s attitude and orientation at all times.

AMA Rules for Design, Construction, and Operation of Non-Production Gas Turbine Engines for R/C and CL Models
This document was revamped to only address how to test the engines; turbine CD’s will be allowed to observe the engine testing. Reports will be sent to I. Maine and kept on file at HQ.

Outdoor Autonomous Flight Operations
The committee realized with the technological advances and increased member interest, they needed to find a way to embrace the new technology and make it happen in a safe manner. The name of the document was changed to include the word ‘Outdoor’ because among other requirements, flights are limited to a chartered club flying site and approved overfly area. (Note: paragraph 7 will be kept in the document at this time, but once reviewed for insurance implications, may be changed.)

Safety Code (effective January 1, 2012)
Proposed changes:
The second sentence immediately following the word GENERAL: insert the word education after the word recreation and preceding the words and/or.

To clarify the actual intent, GENERAL, item 2.(c) was rewritten to read: When within three (3) miles of an airport, notify the airport authority and air traffic control (ATC) where applicable, and will not fly higher than approximately 400 feet above ground level unless otherwise agreed upon by the airport authority and/or ATC (where applicable). RADIO CONTROL item 8., add the sentence: Hand-held illumination systems are inadequate.

MOTION II:
Moved by C. Bauer (VI) and seconded by B. Teague (IV) to accept the report of the Safety Committee.
MOTION passed unanimously.


Insurance
P. Bretson reported they had very good discussions with Westchester in January which resulted in a very successful renewal; Westchester remains committed and enthusiastic about relationship with the AMA. Bretson then reviewed some of the accomplishments over the last 3-5 years with Westchester’s cooperation, which included PPP revision to policy; added SIG’s and Chapters as named insured’s; added an ‘unintentional error/omission’ into policy; revised Affiliate membership; and vicarious liability for club officers.


Publications (Appendix IV)
The chairman reported staff changes in the publications department: Jay Smith has assumed the position vacated by Michael Ramsey; Jennifer Orbaugh is now the Assistant Editor; Sheila Ames Webb has left as Managing Editor and Liz Helms will be fulfilling that position; and Vicki Wilson is a new full time employee.

Model Aviation archives
The chairman briefed Council on where they are concerning the archive process; a quote ($25,200) has been received and the vendor was presented with a deadline of year-end.

Model Aviation redesign/relaunch

The magazine will undergo changes in an effort to make it more eye-appealing. These changes are a result of the InDesign package that Council approved HQ purchase. R. Kurek will take the lead on this with the help of J. Smith. Relaunch is expected January 1, 2012 (which will be the March 2012 cover issue).

Web-based advertising
The banner ads on the AMA website are not receiving the number of hits that were predicted; the web site is perceived as ‘informational’ at best. Mark Lanternman has developed a web based advertising program that has resulted in four new contracts in just the last week.

Model Aviation online
An electronic extension of the print publication will launch July 1, 2011 in the Members Only section of the web site; it is NOT an electronic version of the print magazine, but will be a supplement to it. It will be used to cross promote the AMA as well as generate revenue to become self-sustaining. It is also hoped to build traffic for the print magazine. Three different categories will be offered: abridged stories, supplemental features, and on-line exclusives.

MOTION III: Moved by J. Rice (VIII) and seconded by B. Teague (IV) to update and digitize the Model Aviation archives as proposed by the Publications Committee, with a completion date of May 1, 2012. The project will be funded from the Zaic Fund.
MOTION passed unanimously.


Leader Member Development (Appendix V)
Rusty Kennedy is the new chairman of the LM Development committee; he updated Council on the program presented by F. Geisler at the January EC meeting. The committee sees its’ functions as educating clubs/members on what AMA is and assisting in the reversal of AMA member decline. Current LM will remain leader members; new applicants will have certain expectations (not required of the current ones). The new program will have three LM classifications: Administrative, Educational and Flight; selection criteria and duties were reviewed. Current LM will have the option to opt-in to the new program.

Discussion included: surveys were sent to current LM for their input; there was concern about duplicating efforts of the associate vice presidents; the program roles and responsibilities may be customized based on input from the district vice president; LM should know who their district associate vice president is and communicate through him/her; this program was developed in part, to be another level of the informational conduit to members; these leader members will tell clubs what the AMA can do for them, what programs are available; and the committee should investigate if leader member classifications are defined in the bylaws as some action may be required. R. Kennedy would like to identify one district as a beta test for the developed concepts. Rusty will work with S. Grubbs to get the results of the survey, share those results with Council, refine the program and do some beta testing. Once this is complete a final draft of the program should be presented to Council for adoption.

It was moved, seconded and approved by acclamation to appoint Rusty Kennedy as AMA’s Leader Member Program Administrator.


Leader Member EC Meeting agenda participation (Appendix VI)
In 2010 Council passed an agenda item that provides all LM be sent the EC meeting agenda two weeks prior to each meeting. Some Council members have been approached by AVP’s and Leader Members asking for supporting information so they can provide input relative to agenda items. Fitch presented points for consideration and a recommended approach.

Discussion included: this would help the VP’s in doing their job; this would be a way to engage the leader members; posting items as DRAFTS on RC Groups or RC Universe could prompt discussion/input that leader members could provide to their district vice presidents; there is the possibility that the information HQ posts could be taken out of context and posted in a manner that was not intended; in an effort to save money, many committee’s hold their meeting just prior to the EC meeting and as such, their reports are not available to be posted weeks in advance; AVPs should have access to this information as well; disclaimer at the top of the page where this information is provided should state that this is the information we have at this time and does not necessarily constitute the agenda in its entirety; and delete the requirement that supporting documentation for agenda items be submitted to receive agenda status.

In summary, the supporting information for agenda items that is not sensitive/privileged will be posted in a leader member only section of the website; send push email to leader members with the agenda saying supporting information may be found in this section. At the discretion of the committee chairperson, committee meeting agendas may also be placed in this section. A disclaimer will be posted at the top of page noting this is the documentation we have at the time of posting.

MOTION IV: Moved by G. Fitch (II) and seconded by A. Argenio (I) that Agenda Items, supporting documentation and Committee Agendas as available will be posted in a Leader Member area of the “Member’s Only” portion of the website.
MOTION passed unanimously.


Museum Steering (Appendix VII)
The committee would like to recommend Informal Learning Experience as the master plan consultant; the fee is $45,100, of which $10,000 was previously allocated at the August 2010 EC meeting. It is possible they will make a presentation to Council at the July 2011 EC meeting.

MOTION V: Moved by B. Teague (IV) and seconded by C. Bauer (VI) to allocate funding of $35,100 to contract a consultant as recommended by the Museum Steering Committee, to continue the development of the Museum Master Plan. Funding will be from the Museum Patron Fund.
MOTION passed unanimously.

M. Smith reported that he and G. Schimmel will make a presentation of Aerolab as well as the work that has gone on between AMA, Udvar Hazy and Ken Hyde in developing and working with children; this will be done during a meeting of museums from all over the world in Dayton Ohio. Work continues with the Indianapolis Children’s Museum on finalizing their script for their planetarium show. They will be talking about modeling and how model aviation relates to full scale aviation; some filming will be done in the National Model Aviation Museum. 


Flying Site Grant Michael Brown was appointed the chair of this committee just as the applications were being received; he appreciated the assistance of E. Dobbs at HQ. He reported that the requested amount was slightly over what was budgeted and asked Council to approve an additional allocation to this fund for the 2011 grants.

MOTION VI: Moved by G. Fitch (II) and seconded by J. Rice (VIII) to allocate an additional $598.78 to the Flying Site Assistance Grant Fund.
MOTION passed unanimously.

MOTION VII: Moved by B. Teague (IV) and seconded by C. Bauer (VI) to accept the recommendation of the Flying Site Assistance Grant Committee to fund all of the grants that were submitted for 2011.
MOTION passed unanimously.


PADCOM
The chairman reported that during the March 8, 2011 teleconference Council approved an expenditure of up to $225,000 for paving and sealing on the Muncie site. M. Tschour, working in consult with the committee, will be acting as the construction manager to oversee the job. Contingent on weather, the expected completion date is the week prior to Memorial Day. He has also stated he is willing to assist AMA on any other construction projects. The ED will investigate ways to retain Mr. Tschours’ expertise for any future projects.

At the April 2010 EC meeting it was brought to Council’s attention by D. Crooks that some repair was needed at Stage Center. A contractor has been hired to facilitate this repair; funding has already been allocated.

JCrew will bring Site 4 up to the desired standard for the 75th anniversary celebration.


Executive Session 

9. Old Business

75th Anniversary Update (Appendix VIII) Pritchett reported on the special and ongoing events that will take place during the celebration. This information will be posted on the website in the coming week; it will also appear in the magazine. Reservations and payments for attending some of the events will be able to be made on-line. Courtesy transportation will be provided between the different venues.

It was suggested that a competition be held between clubs (on a district and national basis), on which club can produce the best newsletter that celebrates the 75th anniversary of the AMA. All newsletters would have to be sent electronically to the respective district vice president, who would select the top in their district. Additionally, copies should be electronically sent to HQ for the choosing of a national winner. D. Mathewson, J. Nance and B. Pritchett will further develop this idea.

FAA Update Hanson reported that the congressional awareness campaign went very well but more must be done to energize the membership prior to the next expected letter writing campaign when the NPRM comes out. The number of letters sent is not indicative of the AMA membership numbers. He then briefed Council on the status of the Senate bill which is expected to be considered by the House in early May. The next face-to-face meeting with the FAA will be on the Tue/Wed before the Joe Nall membership meeting.

Hanson continues to work on the airport compliance issue; met with the person in charge of the airport compliance program in Washington, D.C. He is dealing with issues in WV and central CA at this time.

The TFRs have been relatively quiet in recent time. Four were issued in the past week however two were cancelled due to budget issues in D.C. Hanson reiterated that AMA should develop a list of high profile events they want protected. Providing this list to those responsible for issuing TFR’s would be to AMA’s advantage.

10. New Business

AMA Chartered Club Field Locator App The President reported this was approved during the March 8, 2011 conference call. A mock-up for the app was displayed during the Toledo show; it is expected to be launched in the next 30 days.

Air Show Team Committee Report (Appendix IX)
Hanson reported the committee is focusing on developing the program for the more local teams that would perform at local community, modeling and district fly-in type events. A webinar/conference call was held with prospective teams represented; there are five new teams entering the program. The 2011 team schedules are being finalized and will be forwarded to the ED for distribution to the Executive Council. Continuing to refit the educational trailer into a model aviation experience trailer; a graphic wrap has been designed and is under development. Hanson also reported that the Team AMA website is under development and should be completed within the next two weeks.

Team AMA Consumer Lead Generation Plan (Appendix X)
J. Nance briefed Council on the objectives and strategies of the plan, and the expected goal for the year 2011. He would like to offer an introductory membership at air shows to interested consumers and is hoping to go fully electronic in the lead generation process (possibly via texting or a touch pad), but will have a paper system for those not wanting to go the electronic route. He would like to test this process at three good full scale air shows in three of the air show team markets. Nance reported his goal by year end (2011) is to sign up 500 three month trial memberships and convert 200 of those trial memberships, to open.

Discussion included: a key to making this plan work is having the right club to partner with potential members; at this time there is no way to track how many of the individuals that participate in club intro pilot program convert to open members, this is a concern in determining the success of this lead generation plan; and Nance has identified the past problems associated with generating leads and follow up, and is implementing the necessary infrastructure to track the leads and determine conversion rate. When asked if the software needed for the lead tracking plan was in-house and ready to implement, Nance reported it will all be outsourced to Exact Target. Council has expressed concern with the air show team program in the past however Nance assured Council that the program as outlined and presented today will be implemented.

MOTION VIII: Moved by A. Argenio (I) and seconded by G. Fitch (II) to re-activate the $10 Introductory Membership, adopted for the Air Show Team Program in 2008, to include the new package of benefits proposed by the Marketing Dept.
MOTION passed: 11-Y; 1-N (III)

As was mentioned during the conference call that provided funding for the air show team program for 2011, funding in the future is contingent upon the successful implementation of some lead tracking program.

Tougas is of the opinion that if we offer incentive pricing at air shows, similar incentive pricing should be offered at trade shows to make a compelling reason to make a purchasing decision at a trade show. He would also like HQ to install a mechanism to track members that convert from the introductory membership offer to open membership. The President assigned L. Tougas chair of an ad hoc committee tasked with investigating the idea of offering similar incentive pricing at trade shows; Tougas will select other committee members.

MultiView Concept
Nance and Mark Benson were contacted by MultiView, which is a publisher of online supplier directories for associations. Nance showed an example of the online directory that EAA has through MultiView.

MultiView sells and manages all the advertising and sets everything up; there would be no cost to the AMA. This would be a source of non-dues revenue. AMA would get positioned as an industry resource for RC information. It extends the electronic marketing reach; it is global and AMA would make money on it by receiving a percentage of all of the advertising sold. It was reported that the contract for three years is negotiable; if AMA is not doing business, making the minimum amount, we would be allowed to back out. MultiView takes the first $25,000 which is to cover their substantial costs.

Council would like Nance to do more research and talk to MultiView about how it will be implemented. It would take 4-6 weeks to start the initiation process (developing the categories, working with AMA staff on layout, etc.) Council agreed to have Nance continue to review the opportunity.

Decals
In an effort to save some money, it was proposed that AMA replace the decals sent with all membership cards with an AMA ID label. Discussion included: members like the decals and put them on their flight boxes or cars; during the Finance meeting last fall there was some discussion on seeking an alternative, lower cost option to the decal but nothing has come to fruition; and vinyl could be a less expensive alternative. This item was referred to HQ; S. Grubbs should investigate cost options, looking at the original decal, vinyl decals and the AMA ID labels. A report will be given at the July 2011 Council meeting.

Awards

All awards were approved by consensus.

The meeting was adjourned at 5:15 p.m. and will convene at 8:00 a.m. Sunday for a report from the FAI Executive Committee by D. Brown

Sunday’s meeting was called to order at 8:00 a.m.

FAI Executive Committee The FAI Executive Committee will consider a participation strategy in the FAI program.

Executive Session The following motion was presented as a result of Executive Session:

MOTION IX: Moved by C. Bauer (VI) and seconded by G. Fitch (II) to accept the recommendation of the Staff Liaison and Affairs Committee for selection of the new Executive Director; an announcement will be made after appropriate notifications.
MOTION passed unanimously.

NEXT MEETING July 16-17, 2011 Muncie, IN


Safety (Appendix III)