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FIA costs and what it really costs to race

To: land-speed@autox.team.net
Subject: FIA costs and what it really costs to race
From: Dave Dahlgren <ddahlgren@snet.net>
Date: Wed, 16 Apr 2003 06:20:47 -0400
Joe what I am trying to say is if we both agree that the FIA is a for
profit organization which I am pretty sure they are, then there is a
minimum amount of money they have to charge in order to be in
business. BNI has entry fees and dues in order to raise this money as
nothing is for free. If you do a little quick math it will all make
sense to you. First take the BNI dues. I don't personally race a car
but work on some out there and pay dues to BNI. Using that as an
example i suspect there are others that are a member of BNI that do
not enter a car as well. The entry fee is around 300 per car for
August last I knew.  If there are 400 cars and 1000 members of BNI at
the meet do the numbers..  1000 X 60 = 60,000.00 400 cars X 300 entry
fee = 120,000.00

I am not saying that this is too much or unfair as there are a lot of
expenses to cover. What I am suggesting is this fact gets lost as
well. As a matter of fact BNI has to make some sort of a profit in
order to keep running the races as well so that point can not be lost
either. If you take the position everyone has to do this for the love
of the sport, the sport will cease to exist. Most times sad to say
money is the universal lubricant that makes all things work,
dedication, perseverance, and love for something is good but generally
not enough on it's own.

I would suspect there is a good deal of the 120k left over from the
BNI entry fees to help out the lakes meets and maintain the equipment
but that is another subject. I would also suspect the BNI membership
fee is almost a break even if I look at what I get for it, poster
patches, pin, rule book and news letters. But back to what i am saying
here. Out of the entry fee i would suspect that 80k is needed to run
the August event. There has to be an entry fee in excess of what it
takes to run the event for another reason as well. You have to do an
entry fee with a worst case scenario as to how many cars might show
up. If you did the entry fee counting on 500 cars showing up and split
it up that way with the costs what do you do when 300 show up? your
only choice then is to pass the hat for more money or cancel the
meet. I don't think anyone would accept either situation personally. I
would not hold my breath waiting for spectator money to help with the
costs and in all honesty have no real need personally for any
spectators anyway. Some things are better left as not too
popular. Consider what it might be like if 50000 people came out to
watch the racing. There would be no place to stay room rates would be
astronomical, parking would be a nightmare and just getting from one
end of the pit area to another would be impossible. I am well aware of
all this as i live in a tourist town and know what happens when
something gets to be the popular event to attend.

Back to the FIA.. Their real costs to attend the meet as i might see
them are 500 per day per person, they would probably send 2 if they
are to be useful at all.  so that is 1000 X 15 days as they need to be
there as the course is set up as well even if we don't need to be
there as racers.  The per deim rate for that part of the country that
the IRS will compensate for is 125 per day X 15 days X 2 people and
IRS is not all that generous to be honest.  Delta will fly almost
anywhere in the USA for 425 per person round trip as an average X 2
people They have to have some equipment to do the job right and have
to ship it out somehow. I would suspect it would take 5000 in
equipment to do the job and we will have to help pay for some of the
costs related to it and the maintenance and calibration of it so lets
just assign 1000 as equipment costs for shipping calibration and
depreciation of it.  They will rent a car probably in Salt Lake City
at the airport. Last time I did that it was around 400 for speed week.

So here we go for a total for what it takes for a for profit group to come out
and oversee what we are up to.
Where does that get us
500 per person X 2 people X 15 days=15000
125 per diem room and board X 2 X 15 days= 3750
2 round trip tickets=850
car rental 2 weeks 800
equipment charges 1000
misc. charges, airport parking travel food etc. before they arrive 200
total=$21,600
21600/400 entries=$54 per entry if it was for every car to tell us what we know
already..

My real question to go along with his is: Is this about what they charge? If so
you have to appreciate they are in it for money even if everyone else is not.
Personally I play with a few cars out there just for the fun of it but that has
nothing to do with a for profit venture.
Dave Dahlgren

Joe Amo wrote:
> 
> that IS NOT about the minimum that it can be done for,
> it may be the minumum that you or the FIA would do it
> for :)

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