This just in:
Announcement from Sports Car Racing Association of the Monterey Peninsula (SCRAMP): Monterey County advises end of agreement with SCRAMP after 62 years of operating legendary Laguna Seca Raceway
After 62 years of continuous management of the Laguna Seca Raceway, the Sports Car Racing Association of the Monterey Peninsula (SCRAMP) has been advised via email by County of Monterey Assistant County Administrative Officer (ACAO) Dewayne Woods that “…the County is now in negotiations with another proposer for management services at Laguna Seca Recreational Area.” According to the agenda for Tuesday, November 19 Board of Supervisor’s meeting, that proposal is centered on Monterey County’s direct management of the Raceway and Recreation Area.
“This news comes as a surprise to the SCRAMP organization,” said Tim McGrane, CEO of WeatherTech Raceway Laguna Seca and SCRAMP, who took over the position in June 2018. “We were starting to make real progress on getting the facility and the raceway operations turned around and poised for the future, but it appears at this time we may not have the opportunity to see these plans through,” continued McGrane.
“As the existing facility operator, we were stunned by the fact that we were not provided the opportunity to discuss our proposal with the ACAO. The entire process has been unconventional, ranging from the bypassing of the County’s usual Request For Proposal (RFP) process, the announcement in mid-October requesting proposals from any interested parties with only two weeks’ notice, and complaints that SCRAMP had not met deadlines to submit a proposal when in fact a submission date had been agreed upon in May, and subsequently met, has been challenging,” McGrane said.
This is not the first time that the County has sought an alternative to SCRAMP. “We have been in this position before with the County administration, but we, our fans, racing series and teams, do have to look at the possibility of the era of SCRAMP operating Laguna Seca Raceway coming to an end,” McGrane said.
In 2015, Monterey County began private talks with International Speedway Corporation (ISC) who, after a careful review of the operational parameters of the facility, determined not to submit a formal proposal for management of the track. In 2016, the Monterey County Administrators Office entered into negotiations with another group to replace SCRAMP for 2017 but were unable to agree to terms that were mutually acceptable. The County then reverted back to a three-year agreement with SCRAMP to continue running Laguna Seca.
In 2018, the SCRAMP-run Laguna Seca Raceway attracted 263,888 attendees and generated $84.4 million in direct spending generated by event attendees over 26 days of the seven major events. 2019 saw SCRAMP orchestrate the long-awaited and highly-successful return of IndyCars to Laguna Seca, with a larger than anticipated spectator count for the weekend.
“We’ve delivered an extensive, forward-looking proposal to the County for a new, long-term 20-year management and operating agreement that incorporates solid plans for revenue generation and expense reduction, expansion of the use of existing facilities, and development of Laguna Seca into a world-class destination,” said CEO McGrane. “We are building the right team, both paid staff and volunteers, with extensive motorsports experience, institutional knowledge, and the dedication to lead this important Monterey County asset into a successful future. We hope we still have the opportunity to present our plans directly to the County Board of Supervisors and we would be proud to continue SCRAMP’s 62-year stewardship of Laguna Seca on behalf of Monterey County.”
The Sports Car Racing Association of the Monterey Peninsula, a 501(c)4 not-for-profit, was formed in 1957 by local business owners and civic leaders. SCRAMP’s goal was to raise the funds needed to construct a permanent motor racing circuit to maintain the tradition of sports car racing on the Monterey Peninsula which had begun in 1950 in the Del Monte Forest at Pebble Beach. SCRAMP is comprised of a Board of Governors, Race and Events Committees, and hundreds of loyal volunteers who donate thousands of hours each year to ensure the successful operation of events here.
The SCRAMP organization acquired leased land from the US Army at Fort Ord on August 7, 1957, and the now-legendary track, built with funds raised by SCRAMP, held its first race, the 8th Annual Pebble Beach at Laguna Seca SCCA National Championship Sports Car Road Races, on November 9 & 10, 1957. In 1974 the site was transferred from the Army to Monterey County, who together with SCRAMP, have managed the facility through this year.
SCRAMP’s current three-year management and operating agreement with Monterey County ends on December 31, 2019. SCRAMP currently employs a full-time professional staff of just over 40 team members.