Propositions A and B

mmur-@teleport.com

2001-09-09

For those of you that retain a USAC membership I am forwarding an analysis

of the 2 main propositions on the current USAC ballot. If you, like me and

most Oregon bike racers, no longer have a USAC license then you may hit

delete right now.



Proposition A represents an effort to maintain what has been the status quo

for the past few years and to further strengthen the position of the Board

of Directors ad decrease the voice that the membership has in governance of

the organization. Proposition B represents the last ditch effort by those

who retain some hope that USAC can be turned around to become, once again, a

more membership responsive organization. Personally I have given up hope of

this and a mean spirited portion of me hopes that Proposition A prevails and

that this will hurry USAC down their current path of self destruction due to

decreasing membership, decreasing events, and decreasing control over the

sport of bicycle racing. Unfortunately, I am afraid, much baby will be

tossed out with the bath water if this is the course of events.



If you are a USAC member then it is important that you vote. It is also

important that you consider the proposals carefully. Do not be swayed by

propaganda or pronouncements from famous bike racers. Try to consider what

you want to see from a bicycle racing organization and why USAC is rapidly

losing market share in this sport.



I did not write the analysis below but I agree with virtually everything

stated in it. If you have any questions on the subject feel free to contact

me.



Mike Murray



Propositions A and B: USA Cycling at a crossroad



USA Cycling members have a choice between two contrasting and far-reaching

measures (Propositions A and B) this voting period, which runs through

September 15. The complete text of each of the five propositions (A-E) on

the ballot, along with "Staff Comments" about each, can be found at the USA

Cycling election page

(http://www.usacycling.org/?2001_election/2001_election.html), which also

contains a printable ballot.



BACKGROUND



Proposition B was originally titled the Democratic Reform Initiative before

USA Cycling removed that name and assigned the letter B to it. It was

authored by Les Earnest, a retired Stanford University computer scientist,

who served as a USCF Trustee from 1979-1999, with a two-year interruption in

1985-87. Earnest was a UCI National Commissaire who served as commissioner

of road events at the 1984 Olympic Games. He was responsible, along with

the late Arthur Greenburg, for the last (late 1970s) major revision of the

racing rulebook, which brought it more into line with international

standards and practices, and was also instrumental in the adoption of helmet

standards as well as regulations requiring their use -- a fight which

briefly cost him his trustee's seat. Earnest did write most of the present

USA Cycling Articles of Incorporation and Bylaws, but immediately repudiated

them when he discovered the Board of Directors had been changed behind his

back to the grossly undemocratic structure which it still retains (2/3 of

Board members represent less than 1% of all licensees.) His several

subsequent attempts to rectify this imbalance have been stymied by an unholy

alliance between the Board and the USA Cycling Staff. Most recently,

Earnest and several other members led a lengthy legal battle which restored

member voting rights, after they had been illegally taken away by the USA

Cycling Board during a secret meeting in February 1999. His victory on

appeal is what has allowed the present ballot to come before the membership

for a vote. In late 1998, Earnest began posting a series of articles which

presented 8 different 'Alternative Futures' for USA Cycling to various

internet lists and newsgroups. The final version of his reform proposal was

shaped by member response and comment to those articles over the following

two-and-a-half year period.



Earnest has set up an election web site, at

http://home.pacbell.net/learnest/, and posted a response

(http://velonews.com/news/fea/1396.0.html) to the VeloNews editorial which

appeared in their September 3 issue.



Proposition A, originally called the "Responsible Democratic Reform

Initiative," was authored by Mick Hellman, a founder and board member of the

USA Development Foundation (USACDF). Hellman is a financial analyst for

Hellman & Friedman, LLC (http://www.hf.com), a San Francisco-based private

equity investment firm. Hellman did not respond to questions about his

proposal which were submitted to him at in-@hf.com, however, a member of

the USA Cycling Board of Directors informs me that he began writing his

proposal after voting rights were restored by court order last March, and it

became inevitable that Earnest's reform proposal would appear on the ballot.



COMPARISON



There is much similar, even identical language ("legalese") in the two

proposals which is incidental to reincorporating USA Cycling. Here are

their salient features and differences:



1) "B" would decrease the size of the USA Cycling Board of Directors to 10

from the present 12, and restructures the Board so that 6 of 10 Directors

would be directly elected by the general membership, as opposed to the

present 4 of 12.



"A" would increase the number of Directors to 15, and retain the present

arrangement where Directors are elected from, and by, the various Trustee

Boards (USCF, NORBA, USPRO, and NBL). 11 of the 15 would represent

commercial interests and professional/elite athletes, who constitute less

than 1% of the membership.



Both afford the newly-formed USACDF proportionately equal representation on

the Board -- 3 of 15 seats for "A," 2 of 10 for "B."



The VeloNews editorial of September 3 states that the Board of Directors

would be "stronger" under "A," however, it would have the same powers under

each proposal, with one exception: under "B," the Articles of

Incorporation -- where member voting rights are enunciated -- could only be

changed by the House of Delegates, in which clubs and associations are

represented according to their size. The composition of the Board and how

it would be elected is what differs between the two.



"B" would call a spade a spade by changing the present Trustee Boards into

racing rules committees, which is how they have been functioning since USA

Cycling incorporated in 1995.



2) "A" requires legislation be proposed by 5% of USA Cycling members. USA

Cycling has erroneously claimed 90,000 members in the past by simply adding

up membership totals for each branch (NORBA, USCF, NBL, and USPRO), and not

subtracting out dual memberships. A more realistic figure is 60,000,

although a recent estimate put the number at 44,000. In any case, it is

clear that there could be confusion in determining the number required, and

even the lowest estimate would require 2,200 signatures, which would

constitute a barrier to member initiative in most regions (for instance, in

April 1999, there were 453 licensees in the Northeast Ohio/Western

Pennsylvania region, i.e., ZIP codes 150-166 and 439-449.)



"A" would let members to vote on proposals that the Board of Directors puts

forward, but allows the Board to disregard the results of any vote by the

membership.



Under "B," legislation would be proposed by a House of Delegates made up of

representatives chosen by each USA Cycling member association and club.

Each delegate would have a voting strength proportional to his or her club's

size. Hellman and the USA Cycling Staff claim delegates would be

"designated" and "unelected," however, it would be up to each club or

association to to choose their representative as they see fit, either by

election or appointment.



A PERSONAL COMMENT



Up to this point, I have tried to be factual and objective in my treatment

of the two proposals. A number of people have asked me to comment on them,

and my reply has usually been to recommend they read each proposal carefully

and do what they think best.



Now the time comes to say just what is on my mind: Proposition A is a

transparent, desperate, eleventh-hour attempt to co-opt the issue of reform.

It original title -- "Responsible Democratic Reform" -- was absurd. It

would have been better called "Reactionary," rather than "Responsible,"

since it was crafted by special interests immediately after the February

1999 takeover attempt was ruled illegal, and is clearly intended to preserve

their dominance of USA Cycling. It is not democratic, since it hamstrings

member access to the legislative process with a burdensome requirement that

Bylaw amendments be proposed by at least 5% of USA Cycling members; it

allows the Board to cancel member voting rights without member approval; and

it allows the Board of Directors to override member vote on the few issues

which the Board might deign to put before them. Finally, it reforms

nothing, since it perpetuates the death grip that the commercial,

professional, and elite sectors have on our sport. Thus, if you are happy

with the present posture and direction of USA Cycling, if you want more of

the same thing that the last few years have brought, then by all means, vote

for Proposition A.



For memory's sake, let's review some of the trends and developments of the

recent past:



Less local support for the membership with the termination of the District

Rep. system in late 1998.

Cancellation of voting rights in February 1999 (since ruled illegal).

Declines in membership (especially juniors), the club structure, and the

number of sanctioned events.

Declining sponsorship income.

"Roll-out" (often followed by cancellation) of one program and initiative

after another: Member Service Reps (MSRs) and the toll-free number; LAJORS

results and rankings; the Regional Coaches/Camps/Teams program; Project

Triad; the Publications Program; the Regional [Dis]Membership program.

A national ranking system that has been either invisible (except for USPRO

events) or else a farce, as is presently the case.

Elimination of the Resident Athlete Coach, Women's Road Coach, and the

Men's/Women's Endurance Track Coach, as well as the Membership Director and

Technical Director positions (note concerning the latter: there is presently

no one at USA Cycling to train/supervise officials, answer technical

questions, etc. There have been no officials' seminars since spring 2000).

At the same time these cutbacks were made, a new position was created: Chief

Marketing Officer.

Redesign of USA Cycling magazine so as to include more Pollyannish

propaganda and less useful material in fewer issues per year. The adoption

of a glossy format meant that lead time for race listings increased to the

point where they are useless for most race promoters.

Continued payment of grossly inflated salaries to USA Cycling executives

(Executive Director and CEO Lisa Voight, $155,000; Chief Operating Officer

Steve Johnson, $110,000. Cutbacks? Not for them!)

Low morale and high turnover among junior staff members.

A recent experience of mine illustrates so much that is wrong. I was asked

to be a staff member at a USA Cycling Development Camp in Whitewater,

Wisconsin this past June 18-22 (see

http://truesport.com/Bike/2001/f0039.htm). The cost of the camp was

announced as $525 for 4 days, then changed to $645 just as applications were

sent out. I told that there would be partial payment for mileage, but to

date, I have received nothing for it. Rather than a development camp, it

was much more of a testing camp, consisting primarily of three time trials

of varying length each morning, a group ride in the afternoon, and a lecture

in the evening. Of the 25 boys age 12-22 who attended, the rider with the

lowest combined time for the TTs, and one other rider, were selected to

attend the National Camp. Contrary to what is stated in the previously

referenced camp announcement, there was no evaluation (much less teaching)

of bike handling skills, nor were there any "physiology tests," nor were

such topics as "physiology of cycling, psychology of cycling, selecting and

working with a coach, . . . stretching and much more" covered. The camp

staff met the first day, and among the topics we agreed should be covered

were bike fit, stretching, etc., but none of these were discussed. It is

not pleasant to report any of this, since numerous good people put their

best efforts into the camp. My criticism is not of them, but rather, of the

plan and priorities of the camp, which are dictated by USAC.



Contrast this with a development camp recently held by the American Cycling

Association, a breakaway organization from USAC. It was held in New Mexico

in April, attracted 80 participants, and was (gasp!) free to ACA members. I

was not present at this camp and have only read about what was covered, but

I do know what USA Cycling is interested in, namely, identifying the next

Lance, since we need "heroes" in the media to grow our sport. (The USAC

camp, by the way, was "supported by the USACDF," according to their web

site. I wonder how it would have been different without their support?)



Regarding the USA Cycling Development Foundation, it is particularly sad to

see this important organization being politicized (see

http://usacdf.org/ad.html and http://usacdf.org/PropA_Q_A.html), as it

spends considerable sums of money on large advertisements in VeloNews and a

direct mailing to USA Cycling members from Lance Armstrong, both filled with

misinformation. It has also sent representatives to various large events

around the country who have duped riders (including children) into signing

proxy forms. Be not deceived: there is nothing in Prop. B which will "kill

the programs and fundraising efforts we [USACDF] spent years creating," as

Mick Hellman claims in the September 3 VeloNews. Rather, the Foundation's

primary benefactor, San Francisco investment banker Thomas Weisel (see

http://www.tweisel.com/), will likely withdraw his support from the

Foundation if Prop. A does not pass. This threat seems to have laid bare

Weisel's true motives -- he wants to call the shots at USA Cycling, and is

willing to use USACDF as his political action committee; that is the

"string" attached to his support of the Foundation. Hellman denies that

USACDF supporters "are a bunch of patsies" for USA Cycling; a much better

question would be "Is USA Cycling a patsy of the Foundation? It clearly is

at present, since the Executive Director of the Foundation, Steve Johnson,

is also the COO of USA Cycling.



In summary, the contrast between these two proposals could hardly be more

distinct: Prop. A seeks to govern from the top down, sandbags member

initiative with an onerous requirement of 2,000+ signatures for

member-proposed legislation, and does not allow any significant role for

associations, thereby guaranteeing continued fragmentation of our sport.

Prop. B, on the other hand, encourages member participation by restoring the

House of Delegates, allows members to directly elect USA Cycling Directors,

and provides that the composition of the Board of Directors more accurately

reflect the membership as a whole.



USA Cycling members have an opportunity to reverse the trend in which power

has become centralized and concentrated in the hands of those who are

indifferent to grass-roots cycling and broad-based development programs.

Again, are you happy with USA Cycling? Do you want to see it changed?

Would you like it to be more member-oriented?



I recommend you vote for Proposition B.



Thank you,



Charles Howe