MotorSport NZ in turmoil

MotorSport New Zealand is in disarray with the chief executive stating he has no confidence in the board’s president, while member clubs are angry and demanding answers about major changes at the organisation.

Chief executive Simon Baker and president Wayne Christie, pictured, both emailed members on May 12, which reveal the depth of the troubles.

It comes as MotorSport NZ’s incomes have taken a major hit after nearly two months without any events because of restrictions in force to help contain the spread of the coronavirus pandemic.

Baker spoke out after an email signed by 27 member clubs was sent to MotorSport NZ raising concerns about the recent sale of MotorSport House in Wellington and a proposed restructure of the organisation.

“The sale of MotorSport House has created significant concern among our motorsport community,” Baker states in his email. “I have acted as instructed by the board at all times and in the belief that all constitutional requirements were being met by the board as per my May 7 communication on this matter.

“Stories in the media have raised questions around the building sale, which I sought to and recommended we answer publicly. I was explicitly instructed by Wayne Christie not to respond for requests to comment on the matter despite the team’s and my view that the communication sent out by Christie and the board was confusing at best. I feel valid questions from our member clubs should be answered.

“The president has not spoken to me about this in some time now and, as recently as this morning, board members have been individually asking the team for information relating to the building sale, which I find highly unusual.

“Given my recent experiences, I now have no confidence in Christie as the president of MotorSport NZ and agree with the 27 member clubs that this matter needs urgent further investigation.”

The email from the clubs to MotorSport NZ, which has been published by Velocity News, states they are concerned about the sale of MotorSport House, in particular “the price the building was sold for and process undertaken to sell the building”.

MotorSport NZ is planning to move its operations to the Kapiti Coast after leasing offices in Paraparaumu. MotorSport House was reportedly sold for $1.3 million, which “exceeded the board’s expectations”, but the clubs claim its value is likely to be between $1.5m and $1.9m.

“Even at the sale price, this was a significant decision for the board to make,” the email says. “Members would like to understand why there was no consultation with member clubs. We are at a loss to understand the drivers for the decision to relocate MSNZ to the Kapiti Coast or how it is of benefit to MSNZ.

“Motorsport House was located in Wellington after lengthy discussions with the member clubs. The central location was a key factor and gave accessibility to member clubs to fly into Wellington and a reasonably cheap taxi fare from the airport to Motorsport House. By locating to the Kapiti Coast, that accessibility for clubs has disappeared.”

Restructure plans

The member clubs also highlight an increase in staff numbers with 12 employed by MotorSport NZ, “a considerable increase at a time when most businesses are struggling to hold onto staff and in some cases are laying staff off”.

They want answers about how the new positions will be funded and what the overall structure of the organisation will look like.

“We are disappointed at the lack of contact and information sent to member clubs on the future operation of Motorsport NZ and what is being seen as a deliberate attempt to lock member clubs out of having any say in the disposal of MotorSport House,” the clubs’ email adds. 

Members received an email from Christie hours after Baker’s correspondence. The president says staff were advised of a proposed restructure by the MotorSport NZ’ board on May 8.

Christie’s email adds the board has proposed the restructure due to the economic impact of Covid-19 and resulting government-imposed lockdown, which saw all motorsport events in this country cancelled. 

“This has caused a significant decrease in the organisation’s income stream,” the email states. “With the likelihood running most events will not be allowed to recommence until later this year, the organisation’s primary source of income will continue to be impacted.”

It adds details of the proposed restructure remain between the board and staff until any decisions are made.

“We find ourselves in the regrettable position of needing to consider how we can reduce costs and ensure we are operating in the most efficient manner possible to remain sustainable,” Christie says.

“We have invited staff to provide feedback on the proposed restructure by May 18.

“The board will consider the feedback received and, subject to the need for any further consultation, we hope to provide staff with a decision by May 22. This is a challenging time for all involved.”