American Endurance Ride Conference


held via telephone conference call

November 7, 2005


The meeting was called to order by President Stagg Newman at 6:00 p.m.  Also on the line for the call: Vice President Mike Maul, Secretary Jan Jeffers, Treasurer Patti Pizzo,  Vonita Bowers, Mike Jaffe, Roberta Harms, Connie Caudill, Jan Stevens, Howard Kent, Stan Eichelberger, Gail Williams, Bob Morris, Terry Woolley Howe, John Parke, Susan Kasemeyer, Duane Barnett, Randy Eiland, Roger Taylor,  Nick Warhol, Barney Fleming, Jerry Fruth, Laura Hayes, Robert Ribley, Dinah Rojek, Mike Tomlinson, and Executive Director Kathleen A. Henkel.  Newly elected directors on the call were:  Barry Waitte,  Joe Schoech,  Joyce Mocilan ,  Jeff Trinkle,  Tom Dean,  Jennifer Nice.




Approval of minutes from prior meetings. 

September 2005 Minutes - Motion by V. Bowers, seconded by T. Taylor to approve September 2005 BOD minutes with the change that Randy Eiland’s comments as requested  be entered in the minutes  verbatim from the tape of the minutes ("Stagg,  this is Randy, I'd like to say something and I want it on the record, in the minutes that I said this that this is not a very good way to do a budget and I, I just want that on record cause this is  too confusing, too many people talking.  This should have been done before midyear so we could have done a face to face budget.  We should have known what we were doing.  And I feel like we are doing everything after the fact and I'm very disappointed that we are working it this way. I want to make sure that is on the next minutes that we approve too."). Motion carries.

October 2005 Minutes  - Motion by M. Tomlinson, seconded by J. Fruth to approve October minutes. V. Bowers abstains – as Motion carries. 


Excusal of BoD members unable to attend.  V. Bowers was excused from the October meeting due to travel and no cell service.  Motion by R. Taylor and seconded by M. Maul.  Motion carries. 


Old Business


Motion by M. Jaffe to rescind $1 rider fee voted on and passed at the September BOD conference call meeting.  A vote for this motion would eliminate the increase. A vote against the motion would leave the increase in effect beginning the 2006 ride year.  After discussion a roll call vote was taken with the following results:  (Yes vote rescinds fee.  No vote retains fee.) M. Maul – no.  J. Jeffers – no.  P. Pizzo – no.  V. Bowers – yes. M. Jaffe – no.  R. Harms – no.  C. Caudill – yes. J. Stevens – no. H. Kent  - no.  S. Eichelberger – no. G. Williams – no.  B. Morris – no.  T. Woolley-Howe – no.  J. Parke – no.  S. Kasemeyer – no.  w. Barnett – no.  R. Eiland – no.  R. Taylor – no.  N. Warhol – no.  B. Fleming – no. J. Fruth – no. L. Hayes – no.  R. Ribley – no.  D. Rojek – no.  M. Tomlinson – yes. (3 yes – 21 no).  Motion is defeated – fee is retained.


Finance Committee – Patti Pizzo with Stagg Newman

J. Parke asked how the convention income number for the 2006 convention budget was derived.  K. Henkel and R. Ribley went through past (away from Reno) conventions to come up with the 2006 convention budget for San Antonio. The Convention Committee’s goal for the convention outside of Reno is one that is close to financial stability as Reno has been.  To stimulate attendance for the convention a lot of local advertising has been done to draw people to the convention, and we have a better line up of educational speakers than we have had in the past. 

P. Pizzo would like input from the BoD if they liked what was sent out and found it useful regarding the budget.  Would like to update the rolling history at end of this year and if BoD agrees have it sent out every quarter rather than every month. R. Taylor would rather have rolling history once a year. 

S. Taylor would like input on her report, AERC Monthly Profit and Loss Statement, and will update once a month.  

B. Morris commented he would like each member of the BoD should be a fiducial officer and take an interest in what the AERC finances are on a monthly basis.

After discussion P. Pizzo will send out quarterly the four year rolling averages for the BoD’s comparisons.  Monthly we will get S. Taylor’s statement which will allow us to compare projected versus actual and last year versus this year.  The reason for the discrepancy this time was S. Taylor was working off the 2004 numbers before Omar had finished the final processing of those for tax reporting purposes.  S. Taylor will be using the corrected numbers so in the future the office Quick Books numbers will be driving Sue’s numbers.

P. Pizzo asked what the policy is on sending out financial information to a member running for the board. This will be only for his personal use.  P. Pizzo will send him what was sent to the BoD in last mailing, will not include payroll information.  The Corporations Code has provisions that state what we have to give a member if requested and what we have to give a member of the BOD if requested. 

S. Newman asked the Finance Committee with the Vice President, M. Maul, come up with an agreed upon way to handle the non-operating section of our budget.  Present that to the board in a way that the board can understand the non-operating part of the budget.  This will be presented at the January conference call.  

At convention Sue Taylor will present a tutorial on Finance 101 for those interested.

The BoD needs to agree on a transparent and consistent methodology for handling the non-operating section of the budget, e.g. on the expense side of trails grants, research grants, new experimental education programs, strategic reserves, etc. We must also address how to handle sources of funds including interest income, dedicated sponsorship money, planned giving, and prior year profits.  It is recommended that the Vice President work with the Finance Committee to develop a set of recommendations on the methodology for the BoD for presentation around Jan. 1, 2006.

Items from J. Parke – March 2003 budget – want clarified.  We did not do that for the 2003 surplus.  We still have around half a million set side in this purpose.  He would like to make a motion regarding the reserves – to move forward on. Brought up at Midyear to set aside surplus. He believes $50,000 should be set aside for the surplus.

2003 motion made by J. Parke that the interest on the reserves be used for research, trails, education, etc.  Instead our interest is being placed in the general fund.  $11,000 budgeted for 2006 as interest income, and  an $8K mini profit from drug testing.  We are budgeted to take in $16,000 for drug testing fees. Interest income and income from Drug testing can be used to support research or trail in addition to if we have an operating surplus for the year.  We have funds that have been designated for those things. Trails and research can be as important as education, 3M as can any other committee, we should look at it in a different way.  If we don’t run operating surpluses and don’t do research grants, trails grants for a couple of years, we will lose skills and contacts in our system for doing it. It would be much harder to start up.  

Stagg – Finance committee working with the VP, go back and review all of the things we have intended to do, funding of reserves, handling of interest, other special sources of revenue.  Determine what are the sources of funding and synchronize the funding and rules associated with the sources.

J. Parke – we hire a California CPA – Omar Badella.  Has Omar commented on taking out the $30-40,000 income.  Next time I would like to know if Omar has looked at these things and are we following generally accepted accounting principles or not.  P. Pizzo – yes, we have bee discussing these things with Omar as we have been going along. 

Two motions submitted by B. Morris to the BoD (see below) were remanded to the Finance Committee for consideration.  Comments from the Finance Committee on the above motions were sent to the BOD for review.  The Finance Committee is asking for input from the BOD and recommendations.

Motion #1: Motion is made pertaining to the AERC Financial Reporting

Financial reporting to the AERC Board of Directors will be on a monthly basis no later than 10 working days after the monthly close of business. Such reporting will be transmitted electronically via a Microsoft Excel spread sheet. This export is a direct function of our software “QuickBooks”


The monthly report to the Directors is to contain the following:


1.   The current month comparison of the month budget and the month actual based on the AERC Code of

Accounts. All code items will be displayed.

2.    The year to date (YTD) comparison of the YTD budget and the YTD actual. All code items will be


3.    A comparison of the prior YTD actual and the current YTD actual. All code items will be displayed


Said reports will be made available, to the AERC membership, by posting on the AERC web page, no later than 30 calendar days post close of monthly business 


Motion #2: Motion is made pertaining to the AERC Budget Process


The budget process of the AERC is to be conducted in a manner that results in presentation of the projected year’s budget with a cumulative amount for each and every item in the AERC Code of Accounts. Such amounts will be spread monthly based on historical determination of a rolling three prior years actual. All code items will be displayed and where a prior history is not available, a best estimate will be employed.


The projected budget will be made available, electronically, to the AERC Board of Directors a minimum of thirty (30) days prior to the AERC Midyear Board of Directors Meeting.


Said projected budget, as revised by the AERC Board of Directors, will be made available to the membership of the AERC, by posting on the AERC web page, no later than  thirty days post midyear meeting.


These budgets shall be prepared within our QuickBooks system and presented electronically via a Microsoft Excel spread sheet.


New Business


Sanctioning Committee: V. Bowers - Special sanctioning approvals.

Endless Valley Ride - moving from 2-day to 3-day Pioneer, MW Region, old dates, July 1 and 2.  Proposed dated:  July 1, 55/25; July 2 50/25; July 3 50/25, Peggy Brush listed as ride manager.  R. Harms approved the ride.

Motion by V. Bowers to approve for 2006 – Motion carries. 


AERC International Committee – M. Tomlinson

M. Tomlinson reporting for Kathy Brunjes. This board put forward Nancy Elliott and Nancy declined to accept the nomination to the USEF Endurance Technical Committee. AERC International would like to recommend to the AERC board to put forward Heather Hoyns, DVM to replace N. Elliott to the USEF Endurance Technical Committee.  Motion carries.


Convention Committee – Robert Ribley

Impressive list of speakers for this convention and will be overlapping speakers this year with the NATRC group to give attendees a choice.  Committee chairs need to send in request for committee meeting time so they can be printed up. Trade show will be open during the general meeting.  Advertising has been placed in Texas Horse Talk and a couple of other local publications for a local draw.  Troy will put something on the website re convention.  Spread the word at rides about convention, newspapers in Texas.  Rodeo type posters will be put out in Texas, gas stations, tack stores and restaurants.  Also regional directors talk to your local clubs about vacationing and going to convention in San Antonio.  R. Ribley will contact local directors regarding promotion for San Antonio convention.  Hotel personnel will have a sheet on restaurants, entertainment in the outlying area.  There will be talks in the trade show area. 


Trail Advocacy Committee – Jerry Fruth

Forest Service is using categorical exclusions to do some timber removal, not necessarily timber for timber, but timber removal for fire prevention.  Earth Island Institute found that to be objectionable and filed suit which pretty much eliminated the categorical exclusion being used for anything and everything. Since then the judge has modified his ruling and has tried to narrow his ruling for temporary period of time.  Recreational things are no longer included in the lawsuit.  Ride in Florida was approved a week before the ride was to take place based on the judge’s ruling modification.  Does not look like this will affect us for this ride year.


Motion by B. Morris re Collection of Information re day members

This was a motion put in front of the BOD.  Action is being started on this matter. The collection of day members will be started on December 1, 2005.  B. Morris withdraws his motion.


M. Maul is working with B. Morris to track our action items.  They have gone through minutes and through the past convention looking for action items and things from K. Henkel and S. Newman.  Will be listed by categories. Let M. Maul know if you have any actions that need attention. 


S. Newman request from USEF for nominations for an award horse and rider combo for the year from USEF – remanded to Duane and Gail for a recommendation in the category of endurance.    S. Newman will fax to G. William. 


R. Taylor moved to adjourn the meting, seconded by J. Fruth.  Meeting adjourned at 7:23 p.m.


Respectfully Submitted,




Jan Jeffers, Secretary