Executive Council Meeting 
August 14-15, 2010
Muncie IN

Official

Introductions
President's Report
Executive Vice President's Report

Chief Financial Officer's Report
Executive Director's Report
Committee Reports
Old Business
New Business

Note: Vice Presidents from Districts V, VII and XI as well as the NAA representative were not in attendance.

Nominating Committee meeting – 8:00-8:10 a.m.
Executive Session – 8:10-9:55 a.m.
The President called the regular meeting of the Executive Council to order at 10:00 a.m.

1. Opening Business

Introductions: 

President Dave Mathewson, Baldwinsville, NY; EVP Mark Smith, Hot Springs Village, 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; VI-Charlie Bauer, Norridge, IL; VIII-Jim Rice, Universal City, TX; IX-Jim Wallen, Arvada, CO; X-Michael Brown, Redding, CA and Executive Director, Jim Cherry.

Others in attendance were Bob Underwood, AVP District VI; William Payne, Audit/Investment Committee; Gordon Schimmel, Scholarship Committee; Travis McGinnis, Education Committee; Rich Hanson, AMA GRA; Jack Hogan, AVP District VIII; Jack Matlock, District VIII; Tony Stillman, Flying Site Assistance Coordinator; Bill Hamby, IMAA President and Felix Gora, AMA Legal Counsel.

HQ staff in attendance was Joyce Hager, Bill Pritchett, Greg Minch, Rob Kurek, Greg Hahn, Michael Smith, Chris Brooks, Shawn Grubbs, Craig Schroeder, Jeff Nance and April Hathaway.

Additions to the agenda: A portion of the ED report was moved to Executive Session; Nominating Committee report added to COMMITTEE REPORTS; OLD BUSINESS item a. was moved to the Safety Committee report; Strategic Task Force report added to OLD BUSINESS; IMAA item to be discussed Sunday morning.

Final Flight recognition: A moment of silence was observed for Bill Netzeband, Doug Spreng, George Joy, Howard Kuhn, Bill Kleinhans, Larry Paul Abraham, Robert Moulton, Bill Hammond, Joan Grigg, Anita Storey, and Gilbert Reed.

2. Consent Agenda: 

It was moved, seconded and approved by acclamation to approve the items in the Consent Agenda. (Consent Agenda: the Minutes of the April 24-25, 2010 Executive Council meeting; read into the Minutes the conference call of June 30, 2010.)

3. President’s Report 

a. EAA/AMA MOU (Appendix II)
An MOU was signed with EAA to work together on programs that not only further individual interests but increase awareness and interest of aviation in general. J. Nance and his staff, B. Pritchett and the Education Dept. as well as other HQ staff will be working closely with EAA over the next few months.

4. EVP Report

a. Audit/Investment Committee (Appendix III) 
During a meeting on Thursday, Merrill Lynch gave an update on the rebalancing process; AMA earned almost 8% over the last 12 months. The committee will review this on a quarterly basis.
The committee took comments from Brady Ware about the drafted EC expense report policy; some comments were incorporated and Council received a redrafted version. Council should expect to vote on this policy at the November EC meeting, with implementation of the policy January 1, 2011.

b. IAC Policy  
The President and EVP discussed the need for a policy for the International Aeromodeling Center (IAC). The membership could begin to look at a return on the investment and staff would have direction on how to allocate resources. A draft policy will be provided to Council in the next week; comments should be forwarded to M. Smith and/or committee members. Implementation would not be until 2012.

c. Legislative Front  

C. Brooks is the staff liaison with Mitch Rose; looking at June 2011 for a meeting in Washington, D.C. with key stakeholders surrounding the FAA issue and legislators.

d. AMA’s 75th Anniversary/2011 Joe Nall  
Consideration is being given to a 75th Anniversary celebration at the Nall commemorating the site as significant for model aviation; possibly invite key legislative stakeholders to attend. 

5. CFO Report

• The CFO is comfortable with Merrill Lynch at the present time
• C. Schroeder met with bank on renewal of bonds
• A procedure was developed to enhance the Nats accounting/reporting process; expected to be implemented in 2011

6. Executive Director’s Report

a. EMS Coverage for Events  
Following considerable investigation and assessment, EMS was not on site during the 2010 Nats.

b. Flying Site Assistance Coordinator report (Appendix IV)
 
Monthly reports in agenda; report to be given later in the meeting.

c. Flash/Staff reports (Appendix V)  
In agenda

NAA Report:

The President has appointed Mark Smith as AMA’s representative on the NAA Board. He attended their June meeting and will attend the Board meeting in November to discuss opportunities AMA sees at the NAA level for youth education.

7. Committee Reports

a. Nominating (Appendix VI) 
The minutes of the meeting were read and the following motions were made:

MOTION I: Moved by M. Smith (EVP) and seconded by C. Bauer (VI) to accept the report of the Nominating Committee. The names on the 2010 ballot will be:
President Dave Mathewson (incumbent)
District I Andy Argenio (incumbent)
District V Jose Soto (interim VP)
District IX Jim Wallen (incumbent)
District X Michael Brown (interim VP)
Larry Tougas
MOTION passed unanimously

MOTION II: Moved by M. Smith (EVP) and seconded by C. Bauer (VI) to count the 2012 election ballots (to be counted in the fall of 2011), either internally and/or through electronic means.
MOTION passed unanimously
It should be noted that this will save Headquarters approximately $15,000.

b. Publications (Appendix VII) 
Two weeks ago Council was sent a copy of the proposed policy for their review. The committee met Thursday to review the proposed policy revisions; the revised text is highlighted.

MOTION III: Moved by B. Brown (III) and seconded by B. Teague (IV) to accept the report of the Publications Committee submitted August 14, 2010 as policy.
MOTION passed: 8-Y; 1-N (X) 

c. Safety
Safety Code (Appendix VIII) 

As a result of work done by R. Hanson and the ARC, additions to the code were necessary. The chairman reviewed the changes and presented additional modifications.
There was concern that item B.10. would preclude cross country flight. The chairman stated item B.10. would not preclude cross country flying, explaining that the intended safe line area for those participating in cross country flight is along that intended route. It is the responsibility of the person conducting that cross country flight to clear themselves, the airspace, other clubs, etc. along the intended route.

Additionally, it was questioned whether this item (B.10. - RC aircraft must be designed, equipped, maintained and operated so that they remain within the intended safe flying area during all operations) was a round-about way of requiring failsafe. The President noted that at this time, there is no failsafe rule and Council is on record that they are not comfortable creating a generic one. It was agreed to delete item B.10. from the Safety Code. (Hanson will also delete this item from his Sunday presentation.)

MOTION IV: Moved by J. Rice (VIII) and seconded by M. Brown (X) to approve the Safety Code submitted August 14, 2010 as modified: item A.2. (e) – change ‘conformance’ to ‘compliance;’ change ‘AMA Experimental Aircraft program’ to ‘Large Model Aircraft program.’ Item A.2. (j) – change ‘conformance’ to ‘compliance;’ change ‘AMA Safety Regulations for turbine operation’ to ‘AMA Turbine Regulations.’ Item B.10. – delete this item.
MOTION passed unanimously

Effective date of the modified Safety Code is January 1, 2011.

In July of 2008, G. Fitch recommended changes to the Experimental Aircraft Program. Since the Safety Committee is reviewing this document in conjunction with the work group, the chairman started a process which paralleled Fitch’s. The document being presented to Council today incorporates the combined recommended changes. Discussion included:
• Change the name of the program to Large Model Aircraft Program Requirements……….
• Increase the weight allowance for large model aircraft to 125 lbs. (Technology has advanced; better servos, better batteries, better components for building, et al). Taking into consideration the reciprocal agreement between AMA and MAAC, and in an effort to make it easy for Canadians to define large model aircraft, possibly define two weight categories

MOTION V: Moved by G. Fitch (II) and seconded by J. Rice (VIII) to change the name of the Experimental Aircraft Program to Large Model Aircraft program. Additionally, pending approval of the regulations and insurance, increase Large Model Aircraft program (formerly Experimental Aircraft program) maximum weight from 55.1 lbs–100 lbs to 55.1 lbs–125 lbs for propeller driven aircraft and 55.1 lbs–100 lbs for turbine powered aircraft.
MOTION passed unanimously

Large Model Aircraft Program Requirements and Inspector Information (Appendix IX) 
Council received copy of the program with the recommended changes. These changes are clarifications to questions asked of the Safety Committee recently. Changes include:
• Designated pilot(s) must comply with the minimum pilot standards of the program
• A means of appealing the suspension of a Permit to Fly was added to the document; as was a revalidation process
• Inspector cannot be the builder, pilot, owner or buyer/seller of the aircraft being inspected
• Clarified signature requirement on the Permit to Fly

MOTION VI: Moved by J. Rice (VIII) and seconded by G. Fitch (II) to approve the recommended changes to the AMA Large Model Aircraft Program Requirements and Inspector Information as submitted August 14, 2010.
MOTION passed unanimously

Metal Blade Usage for Model Helicopters (Appendix X)

MOTION VII: Moved by J. Rice (VIII) and seconded by G. Fitch (II) to approve the PDF document addressing Metal Blade Usage for Model Helicopters.
MOTION passed unanimously

Safety Regulations for Model Aircraft Powered by Gas Turbines (Appendix XI) 
The chairman reported that an individual had a turbine waiver flying an electric ducted fan airplane. He stated that is not the intent of the regulations; the intent is for an individual to fly a turbine airplane to demonstrate he/she is capable of flying a turbine airplane. Changes in the Airframe Requirements and Pilot Qualifications were reviewed.

MOTION VIII: Moved by J. Rice (VIII) and seconded by M. Brown (X) to accept the Safety Committees recommendations to modify the Safety Regulations for Model Aircraft Powered by Gas Turbines.
MOTION passed unanimously

d. Marketing (Appendix XII) 
J. Nance reviewed the marketing accomplishments for the quarter:
• Finished the club research survey (included in a database)
• Currently working on AMA Expo guest speakers
• Attended Red Bull in NYC-did thousands of Make & Takes
• Launched the first NEFI-introduced Hoot Gibson as AMA Ambassador
• Attended Hobbytown USA franchise convention
• Attended EAA Airventure-Mathewson thanked staff for their efforts at this event and expects AMA will begin to see results due to the partnering between AMA/EAA
• Launched a brand advertising campaign
• Continue work on AMA web site design-target date October 29, 2010
• Created a new AMA booth
• Interview with Juan Pablo Montoya on AMA TV

Further discussion included: Nance has been working with Tom Atwood and FLY RC; AMA is growing in social media strategy which is very important (201,000 views to AMA YouTube site, an additional 700 Facebook fans since last quarter for a total of 2,875 fans, Twitter has 655 fans and Google Adsense garnered $877 in revenue); reviewed mock-ups of wire frames for the Wb site and how they lead into the landing page. A Council member felt it was imperative that the landing page for each department contain access to those documents relative to the department; AMA’s search engine needs to be refined (this is something G. Minch needs to do); Marketing staff person will develop relationships with hobby shop owners to ensure the AMA counter-top displays are being used; close to 300 people attended the reception at EAA for the Little Wings Big Dreams display, including members of the EAA Board of Directors; AMA was on EAA radio twice during the week; Nance commended the volunteers for donating their time and energy during the Airventure week; some 3rd quarter marketing initiatives are AMA/EAA student membership, co-marketing with manufacturers and the plan launch of Zeus Batteries.

Nance informed Council he will have an update on the tracking program and the number of new members brought in through the Air Show Team program at the next Council meeting.

e. Education (Appendix XIII) 
The committee had a conference call in July and a face-to-face meeting on Friday to exchange thoughts. They have established excellent working relationships with several departments in HQ, notably the Museum, Marketing, and the Public Relations departments. The committee is working with the Education Department in developing a budget for that department; in working toward the SLRP the committee encourages Council’s support as it relates to education.

AVP Training
Included in the committees work during the next quarter will be to standardize the orientation educational program for district AVP’s; some preliminary survey information has been gathered by C. Brooks. AMA can go further in actualizing the potential of AVP’s by providing more formal training, providing a more specific job description and developing a training program (perhaps computer-based training that could allow for uniformity of job activity). The committee will also try to articulate a brand at the local level; common operational and national concerns can be addressed by a more uniform approach to training the AVP leadership in their actions.

Collaborative efforts with national youth groups 
Good progress with 4-H; a curriculum is being edited. It will be submitted to their national headquarters and will have an update at the next Council meeting. A revision of the Boy Scout Aviation Merit Badge was submitted to their headquarters. Will be hosting two Girl Scout events this fall; outline of those programs were put together with the help of Ratasha Colbert. An MOU was submitted to the Civil Air Patrol to embrace the CAP cadets; it is currently in their legal department being reviewed. This opportunity came to the AMA as a result of a single TAG event. School aviation clubs take place across the nation in many forms; looking to find those clubs and offer assistance. The Education Department would like Council to consider allowing a youth club to be organized under the concept of having an adult advisor, but the youth would be the actual club officers. These youth clubs would be provided contact information on chartered clubs in their area. It was suggested that partnering with a school youth club should be incorporated as an option item in the Gold Leader Club criteria. Discussion revealed the need for an endorsed school program where the youth have the opportunity to run and manage their own business with a faculty advisor; the hope is that an AMA chartered club would partner with the school club. When a school youth club is ‘chartered’ a note will be sent to the respective district VP to announce the formation of said club; the VP could then provide information on members and/or regular chartered clubs in their area. The Education Department is working on providing incentive and encouragement to clubs to generate more involvement. Consideration must be given to any insurance implications relative to school youth clubs. Council agreed to give B. Pritchett the latitude to define and refine the school youth club program further; would like to have Council approval prior to the end of the year, for implementation in January 2011.

Computer –based training through Learning Management Systems (LMS) 
The Education Department has spent much time looking at computer-based training and providing LMS for the Academy. Providing this service to the membership would offer a number of opportunities benefiting the membership, potential membership and many departments within HQ in addition to education. This LMS could handle waivers, contest directors, information for club safety officers, avp guidelines, flight instructors, and various forms of certification on-line. Providing this delivery of information would allow AMA to verify the individual has covered the required materials and AMA’s certification is based upon the completion of this activity. This tool would provide validity to tracking and confirming that information has been adequately reviewed; this system would also allow the Academy to track and maintain member certification and endorsements. The cost would be approximately 60k to have the system built and implemented in the first year; there would also be the cost of an additional staff person in Education to maintain the system and information.

Discussion on whether this system could be revenue generating: could require user fee for access to material and the need for access would be based on the aspiration of the modeler. Concern was expressed that this system should be a service to the members and not a fund raiser. There is the potential however, that groups like NSRCA or IMAC would want to use our mechanism for their program and this could create revenue to help offset the cost.

Club Support System for 2011 
Pritchett agrees with C. Brooks’ approach on getting every resource available to clubs; TAG is a good opportunity but has been underfunded. He suggests that there be two separate categories in TAG program. First would be funding as it has been in the past. He would also like to see each district receive an additional $1,000 of TAG funding for any TAG event that is piggy-backed on the appearance of an Air Show Team.

Education Outreach Appreciation Award 
This award recognizes individuals and clubs doing things on behalf of the Academy. Each VP is notified when one is sent in his/her district.

Aviation Camp 
This concept is in the R&D stage; the concept is to have kids from all across the nation on site and bring in individuals like Andrew Jesky, Nick Maxwell and others to work with these kids. Under consideration are: housing them at BSU, obtaining free transportation provided by MITS busses, take them to WP Air Force Museum, providing food and obtaining funding from hobby shops, manufacturers, etc. B. Teague suggested Pritchett talk with the DCRC since they have been running camps for many years.

T. McGinnis reiterated that as budget time approaches, support will be needed to move forward with some of these ideas and the committee would appreciate Council’s support.

Executive Session

f. Museum Steering 
As a result of brainstorming at a recent meeting, the committee felt it was time to revisit and update the mission of the museum. Ideas expressed included: properly maintaining and advancing the collection of documents and artifacts and enhancing the museum visitor’s experience physically and virtually. Work continues on a master plan for the museum facility both current and potential. This is expected to take a few months and it may require funding for a consultant. (This idea will tie in with C. Brooks’ Capital Campaign presentation tomorrow.) Michael Smith explained J. Hunton’s plan for the Museum, which was drawn up when the new HQ building was being built. Brooks explained it would probably take 6 months to get a master plan done correctly. Following that, a feasibility study would need to be done to take the pulse of the stakeholders.

The President stated that on Sunday Council will hear more from C. Brooks about his plans for the future. This organization for a long time has had interest in some type of capital campaign to generate sources of non-dues revenue. The recently created position of PR and Development Director is specifically charged with doing this. The Council has given an indication of what they want to do; now we need to figure out how to get there. It will cost some money; this is outside the box of what this Council has ever thought of before. Will begin at the consultant level (funds to be put in the budget), and when the results come back will discuss the feasibility effort (in 2011). Council must put some confidence in C. Brooks, his ability to do the job and his guidance going forward.

The chairman would like to have the Museum added to the SLRP. By consensus Council agreed to add a Museum section to the SLRP. The committee will draft a section (comparable to the existing SLRP sections) for Council approval; a draft will be presented at the November EC meeting.

g. Education Program Development and Outreach Specialist Report (Appendix XIV) 
G. Schimmel introduced R. Crosslin who was on a panel for the Children’s Museum of Indianapolis (CMI); he has produced numerous television programs for WFYI in Indy and is their science educator consultant for the museum. The CMI was notified that the NASA grant has been confirmed at nearly $600,000 of which approximately 11% is earmarked for AMA consultant work.

The NASA RESTeP MOA has been signed; waiting for NASA’s press release so the information can be publicized to the AMA members. Schimmel explained how the Goddard program will work.

Schimmel has been in contact with G. Fitch and A. Argenio regarding Roundtables in their areas; he will be participating in one at the Udvar Hazy Museum in November.

At this point in the meeting Dave Milner, IRCHA President and CD of the Jamboree addressed Council. On behalf of IRCHA he expressed thanks for use of the facility; and felt that having IRCHA directly follow the helicopter Nats increased participation in the Nats. The IRCHA event is great exposure for the AMA and its national site. Milner added a special thank you to the HQ and Maintenance staff. As of this time IRCHA had 955 registered pilots.

h. Scholarship 
The chairman thanked D. Mathewson and Council for their advanced approval of the C.H. Grant Scholarship winners. Background information on all winners was sent to the respective VP’s. Schimmel has been working with C. Brooks on compiling full biographies of the winners; these will be sent to state and local press.

Schimmel, A. Hathaway and B. Underwood met with C. Schroeder to nail down the details on the AMA Scholarship Endowment Fund. Brooks and others will assist with additional advertising of the scholarship with the hope of increasing the applicant pool.

The chairman reported to the President that they are working on the discrepancies/confusion over the allocation of funds.

8. Old Business

a. 75th Anniversary 
Nance reviewed some of the planning steps; this project is integrated with all of the departments and functions. Twelve committee areas were established (membership, fundraising, SIG’s, government relations, history, education, exhibits, sponsorship, advertising, et al); staff members are the leaders of each committee and have been assigned various tasks. The kick-off for the anniversary will be during the 2011 AMA Expo.

Following consultation with the R. Morgan Nats General Manager, the anniversary celebration will be July 14-17, 2011 and will include fun flys, flying demos, entertainment, guest speakers, model history, aviation exhibits, etc. Burt Rutan is expected to be a guest speaker if his schedule permits; he is loaning AMA all of the Styrofoam models he built and used for testing, as well as an RC plane he used for testing the mock-ups of Spaceship 1.

Nance previewed the idea of ‘A Celebration in a Box’; consumable and non-consumable items (hats, banners, T-shirts, magazines, table covers, flags, etc.). The concept was that each district VP would receive one box (at no charge to the district) and could stage a district 75th anniversary celebration. It would also be made available (for a fee) to chartered clubs either as a whole or in part for the clubs personal use. Following discussion Nance suggested he could put together a package, a list of items and cost that would be available on-line and through the merchandise department. It would be promoted in Model Aviation and AMA Today. There was no consensus by Council on the concept as presented. Nance will determine what items contained in the box (consumable items, clothing, hats) could be offered for sale on an internet site; offer a promotional period when items could be purchased at a lesser cost.

Timeline – An announcement was made in AMA Today that next year is the 75thanniversary. Next opportunity to promote will be on the card carrier for 2011 membership cards. The big kick-off will be at the 2011 AMA Expo which will have a 75th anniversary theme. January issue of MA will start the announcements; monthly updates about the event will follow. All the pull-ups and banners used at the trade shows will be 75th anniversary oriented.

b. IMAA event 
Council received promotional material pertaining to an IMAA contest to help raise awareness of the organization; it was asked that District VPs place this information on their district Web sites and pass it to AVPs to help promote the SIG. IMAA President B. Hamby thanked Council in advance for their help.

AWARDS 

All awards were approved by acclamation

In an effort to save costs on paper, the ED recommended the agenda/supporting documentation be provided to all Council members via a flash drive prior to the Council meetings. Those wishing to continue to receive a hard copy should inform the ED.

Meeting adjourned at 5:00 p.m. and will reconvene Sunday 8:00 a.m.

Sunday’s meeting began with an Executive Session 8:05 – 8:20 a.m. 

9. New Business

c. Brand Audit & Development (Appendix XIX) 
J. Nance reported the branding exercise Council was about to participate in was to more clearly define who and what AMA is from Council’s perspective, as well as how Council thought the members view AMA. This same process was done with the staff; Nance sees some similarities and differences. Will review the results and decide whether to do member interviews. Council will see the results.

d. Capital Campaign 
C. Brooks reviewed his goals for the coming year. He is looking for ways to farm opportunities and has been attempting to create dialogue (as far as public relations go) with the membership through surveys, the web site, monitoring the forums, and creating an electronic newsletter.

Public Relations: leverage the 75th anniversary in all of the communication vehicles; enhance two way communications; communicate effectively the AMA value proposition; provide tools for districts and clubs in public relations (key messages, write press releases, provide templates and models).

Some Council members were concerned that information sent to clubs is not being disseminated. There was discussion on the fact that some members have checked the ‘do not want to receive email’ box on the application. Brooks stated that out of 142,000 members he only has email addresses for 80,000; he wants to get the membership to trust us and to value our communication. It was suggested that a page in the magazine advertise the type of electronic communication that is happening between AMA and the members; this type of communication is booming and we must convince members it is a great opportunity.

Development: identify and help refine programs that are fundable; what are we asking money for and why does it mean anything. Brooks stated people tend to want their name associated with donations (a building, an endowed charity, scholarships, outreach programs, etc.). Brooks needs Council to help define which are the most important to sell, most strategic to sell because one can lead to the other. He noted that people generally don’t donate to programs or intellectual propositions, they give on an emotional basis and who is doing the asking is very important.

Further discussion included: Brooks has been working closely with the museum and sees it as the perfect chance to begin the process of grants, fundraising, etc.; he has asked J. Wallen to chair a committee of people that will provide guidance and assistance in fundraising; and Brooks will more aggressively communicate estate planning opportunities. The President then requested a timeline and goals/objectives on when Council can expect to see some of these things happen. He also asked Brooks how the foundation philosophy, as far as our organizational structure, fits into all of this. Brooks noted it is a wise move to keep the foundation separate from the organization; this gives the donor further insurance that their philanthropic interest will be dealt with unsullied. The foundation is part of the mix, part of the whole strategic development plan that needs to be developed as part of the timeframe; we must define the purpose for raising the money. As we go through the consultant stage, the master plan stage and then the feasibility study stage relative to a capital campaign for the museum, it may be necessary to factor in some type of formation of a foundation. Brooks agreed with Mathewson that the foundation would have a separate board comprised of high profile people who would be in the position to make significant contributions to the purpose of the foundation, and because of their credibility could be a conduit to others who could contribute.

A timeline can’t be defined until Brooks knows what AMA is trying to fund, how soon the EC wants it funded and the resources to get there. The ED has seen Brooks’ budget for 2011 and over the last couple of days, believes he has come up with a way to fund it for the first couple of years. He asks that Council keep an open mind at budget time.

The President would like to move forward with the investigative process and research of creating a capital campaign for the museum. The first effort will be a revision of the mission statement, a master plan and a contract (funding) for a consultant. Cost for the consultant would be approximately 30-40k. (Michael Smith indicated the funding could come from the Museum Patron fund.) Between now and the November EC meeting, the Museum Steering Committee will present at least a bullet list of a master plan indicating what they are thinking of and then they can provide a timeline; it may be necessary for the committee to solicit the support of a consultant in the development of the master plan. The master plan will be approved by the EC. This is a project that is way outside the box of what this organization has ever done and everyone must be behind it before a lot of time, energy and money is invested. By consensus all of Council was behind the concept and understands the need to invest in the future.

MOTION X: Moved by M. Smith (EVP) and seconded by J. Wallen (IX) to allocate $10,000.00 initially to enable the Museum Steering Committee to begin the RFQ process and secure a consultant. Funding for the consultant will be from the Museum Patron Fund.
MOTION passed unanimously

e. Park Pilot Program 
The staff was charged with creating an exit strategy (if needed) from the program. Internal discussion with the staff proposed the program be retired and the exit strategy would be: for the 2011 year AMA would give the Park Pilot member, at dues of $29.95, four issue of Park Pilot and 12 issues of Model Aviation; they would receive the regular card and would be recognized as a Full Open member. In 2012, the PP member would be a regular member at $58/year if they chose to be and could subscribe to the PP magazine for $9.95/year. AMA is not retiring their definition of a Park Flyer aircraft (not exceed 2 lbs, not exceed 60 mph and may not be powered with an internal combustion engine).

The program shows good growth recently, but has not performed to the level it was hoped it would. The subscription rate to the magazine has increased; advertisers are anxious to unload the 2 lb/60 mph cap, so they can review more and larger airplanes. The cannibalization rate from Open to PP was 30% in the first year, the second year it was considerably less and the third year it was negligible.

Bills/ballots are getting ready to be sent and a letter will be included in each explaining what will be done. A follow up will be done in Model Aviation and AMA Today about the change.

The President, along with others, was of the opinion that the PPP was unsalvageable but he shared the following numbers with Council: the first year the program lost $164,682 (a lot of that was due to the start up costs and advertising); last year the loss on the program was $68,631; this past May it showed at $77 profit and at the end of July it showed a $5,678 profit. As of August 7, 2010 there are 2,275 park pilot members. Nance discovered during a meeting with Horizon and Hobby Lobby that they support the magazine but are allocating limited advertising dollars to it because it is a niche publication. The indication Nance got from them was they would allocate more dollars if the magazine was targeting a greater number of electric type models.

The President asked Council if they were ready to sunset a program that is in essence self-supporting. We can do better if the scope of the magazine was expanded; which would open the door to additional advertising dollars and additional subscription dollars. In the meantime the President thinks there is something in the whole PP package that is missing. Bauer says the PP membership and PP magazine are two separate things, just because we do away with the membership doesn’t mean we get rid of the magazine. Argenio was not sure that broadening the scope of the magazine would make a positive change. Mark Smith asked whether J. Nance and his staff could tweak the existing program to eliminate some of the barriers to entry we have now.

By consensus, Council agreed to do nothing and let the program go for another year (knowing it is being sustained by the magazine); Nance and the Marketing Committee were charged with trying to determine what is missing in the program. If the committee reports they can’t find/do anything, there will still be time for Council to decide what to do next year. The committee will report to Council at the November meeting.

f. FAA 
Council received a copy of the document Model Aircraft Flying Location, Flight Operations, and Airspace Utilization. The workgroup would like Councils’ concurrence on some additional content. Hanson noted item 7.5.3 was deleted. Council should review the document and be prepared to discuss it during a conference call in the near future.

Hanson referred to an article by a group (AUVSI) involved in the commercial public use side of unmanned aerial vehicles. This group had an audience with the VP of Aviation Safety (Peggy Gilligan) and Hanson is pressing for an equal audience.

TFR’s are becoming more prevalent; these are flight restricted areas during the President’s travel. Hanson says they have been working with NAA to get the sports organizations together to interact with the FAA about relief from these TFR’s. They are hoping to get an audience with Homeland Security, the FBI and others to explain the position of model aviation. Groups (such as AOPA and NBAA) have written to Janet Napolitano about not having a voice in the establishing of TRF’s; Hanson and D. Mathewson will draft a letter expressing the impact on the modeling community and not having a voice in the TFR process.

A major concern with the TFR’s is the real possibility of high profile events being cancelled at the last minute due to these TFR’s. Hanson would like to establish a list of these events/dates and when a TFR conflict is on the horizon, try to get a waiver process put in place. Council expressed their ideas on what events they felt would qualify as ‘high profile’. The list should take into consideration annual events, the draw of spectators, value to the public, economic impact, the prestige of an event, among other criteria. It was suggested to establish a criteria base for this type of event. (i.e. an event would have to meet ‘X’ number of criteria to be included on the list.) Council members should forward their ideas relative to event criteria to the working group.

Meeting adjourned at 12:00 p.m.
Next meeting: November 13-14, 2010