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Nonprofit Wins Bid To Start Negotiations For Operation Of Mazda Raceway Laguna Seca
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Friends of Laguna Seca has emerged from a competitive bid process with an opportunity to negotiate a new concession agreement for Monterey County (CA)-owned Laguna Seca, including the iconic Mazda Raceway, according to published reports.
In a statement issued Friday, the county announced the Board of Supervisors had directed staff to “negotiate initially” with the Friends of Laguna Seca for a new concession agreement for the county park off Monterey-Salinas Highway. If an agreement is reached, it would be considered by the board in a public meeting. At the same time, the statement also left the door open for the other bidding groups to be offered an opportunity to negotiate if talks with Friends of Laguna Seca fall through.
The statement also indicated the competitive process and all documents submitted by the groups would remain confidential until a final agreement is reached.
In addition to Friends of Laguna Seca—the lone nonprofit to vie for the Laguna Seca concession—two for-profit entities participated in the competitive bidding process, including Daytona, Florida-based International Speedway Corp. in partnership with longtime raceway operator the Sports Car Racing Association of the Monterey Peninsula, and the World Automotive Championship of California backed by Long Beach Grand Prix founder Chris Pook.
The months-long process included a request for expressions of interest, a request for qualifications, a request for service proposals, and several weeks of additional review, as well as plenty of public posturing by the bidder groups.
Friends board president Ross Merrill confirmed the group had been invited to submit more information about their management proposal as part of what he called the “early stages of negotiation” for a new agreement. Initial talks were to begin late last week, he said.
The organization’s Laguna Seca proposal, according to its website, friendsoflagunaseca.org, includes a “25-year commitment to rebuild the (Laguna Seca) complex and implement a new business model,” including undertaking a $50 million capital improvement fundraising campaign with $25 million invested in the first five years, establishing a “profitable mix” of events, “maximizing” sponsorship opportunities and racetrack rentals, upgrading the camping areas and rifle-pistol range, and bringing in new events and “premium programs” to increase the park’s usage within existing constraints.
An ISC representative declined comment but SCRAMP board president Michael Smith noted the concession agreement is “not a done deal,” and negotiations “can be a long process and there can be surprises along the way.”
In a statement, Smith noted county officials had “wisely instructed county staff to conduct further due diligence before making a final decision on which entity will be selected as the long-term concessionaire” for Laguna Seca. “SCRAMP, which built and has managed Mazda Raceway Laguna Seca since its inception in 1957, remains optimistic.”
WACC spokesman Kevin Dayton said the organization had been notified by the county that it was not chosen to negotiate for the Laguna Seca concession, but said Pook declined further comment.
According to its website, Friends of Laguna Seca is “committed to managing Laguna Seca with fiscal responsibility and for the benefit of the community,” and is motivated by a “desire to transform nearly six decades of renowned racing legacy into a new engine for our local economy,” and “restore the raceway’s former glory.”
The Friends of Laguna Seca group includes board members and longtime local auto racing enthusiasts Gordon McCall and Bruce Canepa, who previously served as a SCRAMP board member; auto racing industry veteran Lauri Eberhart as general manager; and fundraising backers such as Don Chapin, Bruce Taylor and Warren Wayland, along with several longtime raceway volunteers.
In a statement issued Friday, the county announced the Board of Supervisors had directed staff to “negotiate initially” with the Friends of Laguna Seca for a new concession agreement for the county park off Monterey-Salinas Highway. If an agreement is reached, it would be considered by the board in a public meeting. At the same time, the statement also left the door open for the other bidding groups to be offered an opportunity to negotiate if talks with Friends of Laguna Seca fall through.
The statement also indicated the competitive process and all documents submitted by the groups would remain confidential until a final agreement is reached.
In addition to Friends of Laguna Seca—the lone nonprofit to vie for the Laguna Seca concession—two for-profit entities participated in the competitive bidding process, including Daytona, Florida-based International Speedway Corp. in partnership with longtime raceway operator the Sports Car Racing Association of the Monterey Peninsula, and the World Automotive Championship of California backed by Long Beach Grand Prix founder Chris Pook.
The months-long process included a request for expressions of interest, a request for qualifications, a request for service proposals, and several weeks of additional review, as well as plenty of public posturing by the bidder groups.
Friends board president Ross Merrill confirmed the group had been invited to submit more information about their management proposal as part of what he called the “early stages of negotiation” for a new agreement. Initial talks were to begin late last week, he said.
The organization’s Laguna Seca proposal, according to its website, friendsoflagunaseca.org, includes a “25-year commitment to rebuild the (Laguna Seca) complex and implement a new business model,” including undertaking a $50 million capital improvement fundraising campaign with $25 million invested in the first five years, establishing a “profitable mix” of events, “maximizing” sponsorship opportunities and racetrack rentals, upgrading the camping areas and rifle-pistol range, and bringing in new events and “premium programs” to increase the park’s usage within existing constraints.
An ISC representative declined comment but SCRAMP board president Michael Smith noted the concession agreement is “not a done deal,” and negotiations “can be a long process and there can be surprises along the way.”
In a statement, Smith noted county officials had “wisely instructed county staff to conduct further due diligence before making a final decision on which entity will be selected as the long-term concessionaire” for Laguna Seca. “SCRAMP, which built and has managed Mazda Raceway Laguna Seca since its inception in 1957, remains optimistic.”
WACC spokesman Kevin Dayton said the organization had been notified by the county that it was not chosen to negotiate for the Laguna Seca concession, but said Pook declined further comment.
According to its website, Friends of Laguna Seca is “committed to managing Laguna Seca with fiscal responsibility and for the benefit of the community,” and is motivated by a “desire to transform nearly six decades of renowned racing legacy into a new engine for our local economy,” and “restore the raceway’s former glory.”
The Friends of Laguna Seca group includes board members and longtime local auto racing enthusiasts Gordon McCall and Bruce Canepa, who previously served as a SCRAMP board member; auto racing industry veteran Lauri Eberhart as general manager; and fundraising backers such as Don Chapin, Bruce Taylor and Warren Wayland, along with several longtime raceway volunteers.
