MIDYEAR BOARD OF DIRECTORS MEETING

October 23, 1999

The meeting was called to order by President Randy Eiland at 7:45 a.m. Also present were Jan Worthington, Frank Farmer, Courtney Hart, Louise Riedel, Barney Fleming, Dean Jackson, Earle Baxter, Vonita Bowers, Lem Beason, Barbara McCrary, Jim Baldwin, Dane Frazier, Steph Teeter, Mike Tomlinson, Susan Kasemeyer, Maggy Price, Becky Hart, Maryben Stover, Linda VanCeylon, Terry Woolley Howe, Dave Clinton, and Executive Director Doyle Patrick.

R. Eiland reported that the Arabian Horse World Magazine had requested the names of the top ten Arabian or Part Arabian endurance horses over the years. He refered this to the Hall of Fame committee. He introduced the members of the Finance Committee: Vicki Rutter, chairman, Jerry Fruth and Carlos Crespo.

NATIONAL OFFICE – D. Patrick presented a chart showing the distribution of employee hours spent on various tasks and costs laborwise.

Planning is underway for the annual convention to be held at the Silver Legacy in Reno on March 3, 4. Ninety-seven booths have already been sold. He proposed offering a separate admission to the trade show. M. Price moved to allow people to come into the trade show only, for a donation of $5.00, for which they will receive a receipt, this money to be given to the Trails Fund. T.W. Howe seconded. Motion carried unanimously.

D. Patrick presented a proposal for a Christmas bonus of approximately $300 for three full time employees and $100 for a part time employee. It was suggested that “performance bonus” would be a better description. Matter was tabled

As of October 15 there were 5,375 members, including 1,241 family and 2,688 single memberships. Membership blanks will be included in the forthcoming mailing to members, and will be included in the next two issues of Endurance News.

A discussion followed regarding the eligibility of members to receive credit for rides held between December 1 and February 1. (Dues are payable December 1, but not delinquent until February 1.) It was suggested that the $10 non-member fee not be collectable during this period for people who have belonged the previous year. There is a discrepancy between the By-laws (Article VII, Section 3) and Rule 8.2.1. Remanded to rules committee.

Twelve hundred ninety three membership surveys were returned to the office. They will be referred to the technical committee for interpretation.

It was moved from the National Office Committee that a 401k Savings Plan for National Office employees be investigated by the Finance Committee. Carried Unanimously.

FINANCE

Balance Sheet/Profit & Loss Statement.

Treasurer M. Tomlinson stated that the Chairman of the Finance Committee, Vicki Rutter, had been working extensively with the staff to update the accounting procedures. She reviewed the line by line Balance Sheet and the Profit and Loss Statement, which showed a net income of $75,994.79. She received a round of applause for her efforts.

Budget

Jerry Fruth presented the proposed 2000 budget item by item. M. Price questioned the inclusion of an expense item of $1500 entitled “ Contributing Author”. In her opinion we should not be paying for articles for EN. It was proposed that this item should be changed to read “Contributing Author Expenses”. It was suggested that any such expenditure should be brought to the attention of the Board or executive committee for approval. No action was taken.

Policies and Procedures

Carlos Crespo presented the following mission statement: to define a financial management system for the AERC that directs the efficient management of funds through internal controls and accountability. He described the flow of transactions through the office and presented an organizational chart delineating the chain of command.

For expenditures not covered in the budget he recommended the following procedure: The treasurer may approve items not to exceed $1000; expenditures above $1000 or denied by the treasurer but under $5000 may be approved by the executive committee; anything above that goes to the entire board for approval.

V. Rutter moved for committee to approve Policies and Procedures as presented, including spending limits as presented. M. Tomlison moved to amend the motion that, instead of requiring unanimous approval of the executive committee, a simple majority would be required. V Bowers seconded. Motion to amend carried. The original motion as amended carried unanimously.

There was a motion from committee to approve the budget. Carried unanimously.

RULES

The topic of changing the terminology of "non-member" to "day member" for riders who are not AERC members was discussed. A straw vote resulted in a consensus to make this change. It will be referred to the rules and legal committees, and returned to the Board for a mail vote.

In regard to the question remanded to the rules committee dealing with renewing members Vonita proposed that the following be established as POLICY: Current renewing members receive a grace period from

December I until Jan 31 in which non-member fees are not charged and points and miles may be recovered without a research fee.

Limited Distance

V. Bowers presented the set of rules covering Limited Distance rides, which had been remanded to committee at the last general meeting, and reviewed some changes that the committee had made. These LD rules will be printed in a separate section from the general Endurance rules. The rules that apply to both LD and endurance are repeated in both sections and numbers coincide, with Limited distance rules prefaced by an "L."

V. Bowers presented an addition to these Limited Distance rules, an Introductory Rides Proposal, as follows: AERC ride managers may elect to host rides sanctioned for less than 25 miles. These rides are designated as "Introductory Rides." These rides must be included on the sanction form and held in conjunction with an AERC endurance ride. Introductory rides are subject to Limited Distance Ride rules with the following exceptions:

1. No veterinary control point is required during rides sanctioned for 15 miles or less. This does not preclude the pre-ride or post-ride exam.

2. Riders may not elevate from an Introductory Ride.

3. No ride longer than 22.4 miles may be run as an introductory ride.

4. No points or miles are recorded for horse or owner, and no sanctioning or rider fees assessed.

5. Ride results for these distances should not be reported to AERC, and will not be published.

It was moved from committee to adopt the proposed limited distance rules. B. McCrary moved to amend to delete the first exception in the Introductory Rides Proposal (No veterinary control point is required during rides sanctioned for 15 miles or less) S. Kasemeyer seconded. S. Kasemeyer moved, L. Riedel seconded for a roll call vote. Carried. The motion to amend defeated. YES: Riedel, Worthington, Farmer, Baxter, Beason, McCrary, Tomlinson, Kasemeyer, Price, Van Ceylon; NO Eiland, Fleming, Jackson, Bowers, Frazier, Teeter, Hart, Stover, Howe, Clinton, ABSTAIN Baldwin.

T.W.Howe moved, V. Bowers seconded for a roll call vote on the motion to accept the LD Rules.. Carried. The motion to accept the LD rules carried. 15 - 4 with 1 abstention. YES: Riedel, Fleming, Jackson, Baxter, Bowers, Beason, Baldwin, Frazier, Teeter, Tomlinson, Hart, Stover, Van Ceylon, Howe, Clinton. NO -Worthington, Farmer, McCrary, Kasemeyer. ABSTAIN Price.

Refusal of entry

V. Bowers moved the following be added as the last "bullet" in rule 4. "Any equine determined to be unruly or dangerous may be denied entry." B. Fleming seconded. Motion carried unanimously. It was suggested that a statement be added to this rule to the effect that any denial of entry be referred to the Protest and Grievance committee. To be remanded to committee with any action to be presented to the Board for a mail vote.

V. Bowers moved for committee that the Rule Book and the Veterinary handbook be put on line. Motion carried unanimously

L. Riedel moved that rule 2.1.4. be amended to add the following wording "Vet checks are mandatory during the course of all endurance rides." T.W.Howe seconded. Carried unanimously.

COMPETITIONS

At present Rule 8.6 states "Members completing one-day rides of 100 or more sanctioned miles receive 1.5 times the number of points listed above." T.W.Howe moved for committee that rule 8.6 be eliminated. She moved, V. Bowers seconded for a roll call vote. Carried. The motion was defeated 14-6. YES - Riedel, Fleming, Jackson, Kasemeyer, Howe, Clinton. NO: Worthington, Farmer, Baxter, Bowers, Beason, McCrary, Baldwin, Frazier, Teeter, Tomlinson, Price, Hart, Stover, Van Ceylon

National Championship rides

T.W.Howe presented a format for the National Championship Rides.

Oualifying: horse-rider combination, top ten in each weight division at qualifying rides, first place winners of the previous year’s Championship rides.

Points and B.C.: to be awarded as with any other sanctioned AERC ride.

Winning criteria: No first place overall winner – each division to have a first place.

Other points describing the responsibilities of ride manager and AERC National Office were included in this report.

T. Howe moved to accept this format with the ride manager and the AERC splitting the profits and splitting the losses up to $1500 on AERC’s part. B. Flemming seconded. Motion carried unanimously.

LEGAL

R. Maxwell, chairman of the legal committee, moved for committee to have the president appoint a committee to re-write the By-laws. The purpose would be to limit the by-laws to matters concerning operation of the Corporation…. The other matters in the current by-laws would be transferred to the rules. The benefit is that a rule can be changed by the Board rather than requiring a vote by the members. V. Bowers moved, B. Flemming seconded. Carried. The motion carried unanimously

INTERNATIONAL – T. Benedetti has asked for an extension of the nomination deadline for the chairman of the International committee until Nov. 1. No action taken.

AHSA – AERC Joint Rules Committee. The American Horse Shows Association had requested that AERC submit our rules to the AHSA. Mike Foss sent a draft of these proposed rules. It was moved fot committee to accept the draft for forwarding to the AHSA for their consideration. Motion carried unanimously.

AHSA Board Member – F. Farmer moved, M. Tomlinson seconded the following; It is resolved that the AERC Board endorses the nomination of Dr. Jerry Gillespie to serve on the AHSA Board of Directors for the designated term. Motion carried unanimously.

TECHNICAL

S. Teeter stated that the committee feels Sherlock, our computer system, is usable with some documentation. She moved for committee that the Board give permission to the Office to release a copy of Sherlock and other data to the technical committee. Motion carried unanimously.

She raised the question of copyright and ownership of AERC records and data. May others use AERC data with out our permission, and if not what is our recourse? Should these data be purchased? This needs to be referred to the legal committee.

S. Teeter moved for committee that the technical committee proposes that AERC work within the approved budget ($10,000 for 1999 and $10,000 for 2000) to: improve the accuracy and quality of data, enhance and augment online database features such as ride results, point standings and ride calendar; improve communication and information services on the AERC website. All work and contracts will be approved by the AERC Office and the Technical Committee. Motion carried.

It was directed that Board members not on the internet will receive faxes from the BOD list.

EDUCATION

M. Price moved for committee that we adopt a POLICY of including the names of non-finishers (with the code to explain the reason) in the ride results listing in the Endurance News.; that the name of the head vet be listed, and that the horses pulled for rider option must be examined by the veterinarian and the code for the real reason for the pull be listed. T. Howe moved to amend by requiring the head veterinarian’s name to be published in the ride calendar. M. Tomlinson seconded. Carried. Motion as amended carried unanimously.

Bob Morris spoke of the necessity of cleaning up misinformation in the database. He asked the Board to encourage more research into horses failing to complete.

JUNIOR COMMITTEE

M. Stover moved for committee that Junior points be increased to top ten in each region and nationally if applicable for the year 2000. Motion carried.

A policy will be established to produce a brochure to be available to ride managers and prospective junior members.

RIDE MANAGERS

B. McCrary reported that plans are underway to produce a video demonstrating veterinary procedures.

B. McCrary moved to authorize the Veterinary Committee to develop a program for certification of endurance veterinarians. Veterinarians would progress through a series of introduction, education during actual events as apprentices to already experienced veterinarians, and ultimately certification as an experienced endurance vet. F. Farmer moved, E. Baxter seconded to remand to veterinary committee. Motion carried.

PROTEST AND GRIEVANCE COMMITTEE

The committee reported that four protests have been filed, one of which was declined.

ELECTION.

B. Hart reported having reviewed the ballots and envelopes and found them in order and will count them when the election is completed.

LIMITED DISTANCE

It was decided to research the status of the regional Limited Distance awards and report back to committee.

AWARDS

D. Jackson reported that the jackets have not been selected yet. Awards costs will come in under budget, thanks to the sponsorships.

SANCTIONING - No report

SPECIAL SANCTIONING - No report

TRAILS

J. Fruth spoke of the need to become proactive and to form a partnership with other trail groups. He asked for a board director committed to trails to head the committee and to appoint regional members.

A motion had been suggested that under Article VIII, section 9 of the AERC Bylaws, a new level of membership called "Trails advocate" be approved. Referred to legal committee.

A motion had been presented to accept WSTF's (Tevis) request that AERC purchase one mile of the Western states Trail through their "Adopt the Trail" campaign. Cost to AERC - $5,280. F. Farmer moved, B. Fleming seconded to table until the annual convention. Motion carried.

It was moved from the Office Committee to recognize the Eastern Montana Distance Riders Association as a competitive trail organization. Motion carried unanimously.

OLD BUSINESS - M. Tomlinson moved for committee that a performance bonus for the three permanent employees and one part time employee be given a modest performance bonus payable on December 15 ($300 and $100 respectively). Motion carried unanimously.

D. Clinton asked the Board to give B. Fleming a vote of confidence and support in his on site blood chemistry studies at endurance rides. A straw vote was favorable.

D. Clinton suggested that names of horses that finish all days of a multi-day ride be listed in Endurance News. A straw vote was affirmative.

L. Von Ceylon moved to adopt a resolution to endorse the concept of building an AERC or Endurance Riding Hall of Fame outlined in the attached proposal as acceptable to the AERC. This indorsement in no way creates a financial obligation to AERC. Endorsement will allow the project panel to obtain similar endorsements from WSTF, WSTF Run, Wendell Robie Foundation, Dru Barner foundation, Ride & Tie Association etc. and enable budget development to move forward. AERC's board of Directors will have an opportunity to approve the formal plan once it is finalized. Move for a roll call vote carried.. YES - Jackson, Baxter, Teeter, Hart, Stover, Van Ceylon, Howe, Clinton. NO- Riedel, Worthington, Bowers, Beason, McCrary, Baldwin, Frazier,Tomlinson, Kasemeyer, Price. ABSTAIN - Farmer, Fleming. Motion defeated 10 - 8 with two abstentions.

R. Eiland proposed to approve the policy that the midyear meeting be held in conjunction with the Arabian Nationals in Louisville and Albuqueurque in alternate years, and that AERC have a booth at the Nationals. No action taken.

T.W. Howe moved to jdjourn at 6:00 pm

Louise Riedel, Sec.