2016-11-15T12:19:58-06:00 2015-12-31 910189318 Moss Adams LLP 3121 W March Ln Ste 200 Stockton CA 952192367 990 2015-01-01 951686172 National Hot Rod Association NATI 6269144761 2035 Financial Way Glendora CA 917414602 Peter Clifford President 6269144761 2016-11-10 1 Tracy S Paglia P00366884 2099556100 2016-11-10 2015 2017-02-10 21:41:12Z Peter Clifford 2035 Financial Way Glendora CA 917414602 97732628 0 X www.nhra.org X 1951 CA Preserve and promote the sport of drag racing and improve safety in the sport. 5 2 1502 0 8969310 0 0 0 98806761 96675597 92416 121485 564581 822764 99463758 97619846 40730 2516033 0 0 17365480 18520908 0 0 0 82669053 82295389 100075263 103332330 -611505 -5712484 55648155 45624351 17790506 13443499 37857649 32180852 X To improve business conditions in the sport of drag racing and in the hot rod industry, and promote and advance the common business interests of those engaged in the sport of drag racing and the hot rod industry, to promote safety, sportsmanship and fellowship and exchange of knowledge and information among hot rod enthusiasts, and to carry on the activities within the purview of Section 501(c)(6) of the Internal Revenue Code of 1986, as amended, and California Revenue and Taxation Section 23701e. 0 0 The association expends substantial resources in support of improving, promoting, and advancing the common interest of those engaged in the sport of drag racing primarily through providing a governing structure, sanctioning certain races, and fostering the conduct of thousands of drag racing events annually on national as well as local levels. The association provides support to racer participants, to track operators conducting these events, and to manufacturers and distributors of vehicles, parts and products used in racing.Through these activities and events, the association promotes the sport and industry of drag racing by fostering the enthusiasm of the public and participants, and providing a proving ground and showcase for manufacturers and distributors. The association is actively engaged in enhancing the public image of drag racing with a view toward increasing participation and fostering the association's mission of preserving and protecting the sport of drag racing and improving safety in the sport by, among other things, fostering a network of racing venues and racing series. The association's greatest public relations tools are its annual series of national events that are telecast and showcase the best of the sport, including its diverse participants and complex technology, as well as its website and its publication, national dragster, which is published to provide full coverage during the racing season. Through these events and activities the association works to increase the size and involvement of the businesses which are part of the drag racing industry and which ultimately support the sport and its participants both on the racer and spectator level. The association also provides a full spectrum of racing opportunities beginning at the jr. Drag racing league level where girls and boys as young as eight may participate, to the grass roots "street legal" level, and progressing all the way to vehicles with speeds over 300 mph. The association promotes the career and educational opportunities available in the industry through its innovative youth and education services program which exposes several thousand high school students to career opportunities in the sport. The association also conducts a dedicated annual career opportunities fair. The association establishes rules that govern competition including rules and standards that are designed to enhance safety in the sport as well as promote fair competition. The association continually analyzes and learns from experience gained from over six decades of sanctioning the sport and information garnered from the thousands of events conducted each year. The association analyzes and tries to anticipate the need for changes in guidelines applicable to race track facilities, and standards for race vehicles, personal protective equipment and the conduct of events. The association analyzes incidents and shares its experience to improve safety and benefit the sport. The association works with the industry it represents in the development of parts and equipment for race vehicles and encourages manufacturers to continue to be innovative in the development of safety oriented equipment, with technology that can be used not only in race vehicles but for everyday passenger cars as well. As part of its mission to improve safety in the sport of drag racing, the association also works on facility issues and improvements throughout a broad network of affiliated tracks throughout North America. The association shares information with owners and operators of various racing facilities regarding improvements aimed to improve safety as well as improve the conduct of events, and thereby attract more participants and spectators. The association devotes substantial resources to improving racing facilities and helping track owners and operators promote programs which are likely to attract more sponsors, spectators and participants alike. The association owns and maintains a small number of racing facilities to preserve the right to race and provide racing venues in certain geographical areas as well as to use as a proving ground for programs and initiatives that improve its ability to perform its role as a sanctioning body. The association's weekly publication, national dragster, provides in-depth information to tens of thousands of members and to even more pass-along readers. Information is provided to thousands of nonmembers through the association's websites, nhra.com. And nhraracer.com. The publication showcases the latest in automotive technology, race coverage, interviews, news, statistics and advertising to spectators, competitors, sponsors, track operators, hobbyists, enthusiasts and others. The printed and online publication is distributed to provide full coverage during the racing season and has the largest readership of all drag racing publications and the internet website is also widely viewed. 0 0 0 0 0 0 0 0 0 1 0 0 0 1 1 0 1 0 1 1 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 1 1233 0 1 1502 1 1 1 0 0 0 0 0 0 0 X 5 2 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CA IN X Curtis Winiecki Controller 6269144761 2035 Financial Way Glendora CA 91741 Thomas Compton President 40.00 1.00 X X 1050415 0 23828 Peter Clifford President 40.00 1.00 X X 709543 0 35360 Graham Light Secretary 40.00 X X 420927 0 30135 Dallas Gardner Board Chairman 10.00 X X 100000 0 0 Michael Cohen Board Member 1.00 X 13500 0 0 Ken Clapp Board Member 1.00 X 13500 0 0 Gary Darcy Sr VP Sales & Marketing 40.00 X 414882 0 40464 John Siragusa Sr Dir Sales & Bus Dvpmt 40.00 X 262139 0 31941 Linda Louie VP & General Counsel 40.00 1.00 X 341372 0 44356 Glen Gray VP Technical Operations 40.00 X 254258 0 44670 Glen Cromwell VP National Event Marketing 40.00 1.00 X 257147 0 25360 Adriane Ridder VP Publications 40.00 X 191261 0 19165 4028944 0 295279 28 0 1 0 ESPN 13057 COLLECTIONS CENTER DRIVE Chicago IL 60693 Event ANNOUNCERS 537048 DESSER SPORTS MEDIA INC 715 15TH STREET SUITE 200 SANTA MONICA CA 90402 Consulting 431386 PROSKAUER ROSE LLP ELEVEN TIMES SQUARE NEW YORK NY 10036 Attorneys 306468 AMERICAN CORPORATE ONE WORLD TRADE CTR-8TH FLR LONG BEACH CA 90831 Security Services 220210 COMPULINK PO BOX 437 SILVERTHORNE CO 80498 Event Services 214705 6 Admission & Sponsorships 711210 76879998 67910688 8969310 Licenses & Fees 900099 11086746 11086746 Royalties & Concessions 900099 5172641 3183431 1989210 Membership Dues 900099 3209800 3209800 326412 326412 96675597 59100 59100 63000 615 62385 62385 62385 145545 112167 33378 33378 Other Revenue 900099 789386 789386 789386 97619846 85750455 8969310 2900081 2516033 2852554 12895758 435061 1154013 1183522 2993934 431729 201121 24309831 9839410 161994 1925856 3402059 33659 64911 2661944 2499472 Prize Money & Awards 23958462 Track Operators 7017357 Food/Drink Concessions 1219870 NAT'L EVENT HOSPITALITY 357761 1216019 103332330 12639160 6506975 1370 1370 2138013 1987731 817369 926555 73737962 39178730 35775316 34559232 1555338 1591025 2721589 51463 55648155 45624351 6035199 6087925 8063452 5674767 2494984 116802 1196871 1564005 17790506 13443499 X 37857649 32180852 37857649 32180852 55648155 45624351 X -5712484 35687 X 0 1 X 1 0 3676673 3676673 42479137 19856733 22622404 14530880 8609373 5921507 12354857 10712624 1642233 696415 696415 34559232 Intercompany Payables 1564005 1564005 X Part X, Line 2: The Association is exempt from Federal income and California franchise taxes under Section 501(c)(6) of the Internal Revenue Code and the corresponding California provisions. The Association is subject to income taxes for unrelated business income realized in connection with unrelated business activities. There was no income tax for unrelated business income realized in connection with unrelated business activities in 2015 and 2014. NORTH AMERICA - CANADA AND MEXICO, BUT BUT NOT THE UNITED STATES 1 0 Program Services Conducting Motorsport Events 62170 1 0 0 0 1 0 62170 0 62170 0 0 0 0 0 0 Part I, line 3: Accrual 1 NHRA MOTORSPORTS MUSEUM 2035 Financial Way Glendora CA 917414602 943021388 501(c)(3) 2500000 Book Cancellation of Debt To support the museum 1 0 Part I, Line 2: During the regular course of business the Association makes donations to various charitable organizations. Given the de minimus amounts donated the Association does not specify how these funds are to be used, nor monitor how these funds are used, by the receiving organization, however, the association understands that such funds are used in accordance with each organization's stated mission. X X 1 1 X X X X X 1 1 0 Thomas Compton President 358315 0 191100 0 501000 0 10600 0 13228 0 1074243 0 0 0 Peter Clifford President 472749 0 203500 0 33294 0 10600 0 24760 0 744903 0 0 0 Graham Light Secretary 304249 0 82750 0 33928 0 10600 0 19535 0 451062 0 0 0 Gary Darcy Sr VP Sales & Marketing 301093 0 82750 0 31039 0 10600 0 29864 0 455346 0 0 0 John Siragusa Sr Dir Sales & Bus Dvpmt 179349 0 70313 0 12477 0 10229 0 21712 0 294080 0 0 0 Linda Louie VP & General Counsel 265093 0 43725 0 32554 0 10600 0 33756 0 385728 0 0 0 Glen Gray VP Technical Operations 224929 0 15000 0 14329 0 9891 0 34779 0 298928 0 0 0 Glen Cromwell VP National Event Marketing 208791 0 35000 0 13356 0 9800 0 15560 0 282507 0 0 0 Adriane Ridder VP Publications 156608 0 15000 0 19653 0 6521 0 12644 0 210426 0 0 0 Part I, Line 1a Upgrade coupons may be purchased by vice-presidents and above. Part I, Lines 4a-b Tom Compton was paid in accordance with the terms of a confidential agreement which will be provided to the internal revenue service upon request. A 457(f) plan was established pursuant to approval from the Compensation Committee for Tom Compton, to which nothing was contributed during 2015. Vesting will occur on the earliest of the following dates or events, provided that Mr. Compton remains continuously employed by the Association through such time: January 2, 2016, or Mr. Compton's death, disability, or the date on which his employment is terminated without cause under his employment agreement. If Mr. Compton's employment otherwise is terminated prior to any of the dates or events set forth above the funds shall be forfeited. SCHEDULE J The compensation listed on Form 990 Part VII Section A for Dallas Gardner is paid to this board member in his capacity as an independent consultant, not for his service as a board member of the organization. "Bonus and Incentive Compensation" includes (a) bonuses and (b) as applicable, commissions based on sales, all of which, when combined with base and other compensation, create a reasonable total compensation package. Bonus amounts are determined by management and approved by the compensation committee and/or the Board of Directors. Commission amounts are determined by the sales plan for each applicable year. It is important for NHRA to be able to recruit and retain highly qualified employees whose experience and performance enable NHRA to provide the complex and varied services necessary to support the association's operations and meet the varying needs of the drag racing community. The operations of NHRA are extensive and involve many facets, such as complex rulemaking, logistics, and event management, including the coordination of multiple events in multiple locations, setting policies for thousands of racers, promoting the sport to millions of fans, overseeing essential safety standards, publications, social media, television and media relations, extensive travel, coordinating a large workforce, track and facility management, risk management, and related issues. Accordingly, the organization has recruited its leaders primarily from those with experience in major for-profit organizations such as Mars, Delphi, GM, Hewlett Packard, and Pace/ClearChannel. NHRA believes that experience, continuity, and industry relationships are critical in its organization, and thus NHRA structures executive compensation to encourage long-term commitments from and retention of executives. While NHRA does not expect to pay compensation that is fully competitive with for-profit organizations, the board has recognized that, to attract and retain the needed quality of leadership, its management compensation must be competitive with similarly complex nonprofit organizations. In setting compensation, NHRA has used an outside expert in analyzing compensation issues to help guide and validate the compensation process, as well as a committee of independent members of the Board of Directors. The compensation of NHRA's top executives is reviewed annually by the Board. The Chief Executive's compensation is determined by the compensation committee of the Board of Directors. For top executives including the CEO, cash compensation is comprised of base salary and a bonus component, the amount of which is based on complementing the base salary to create a competitive and appropriate annual compensation package. Compensation is analyzed in conjunction with many factors including comparable compensation in the job market, individual performance, and the organization's overall performance. Form 990, Part VI, Section B, line 11 The draft of the form 990 is prepared by an independent accounting firm and submitted to the organization for review and approval for submission. The organization reviews the draft Form 990 and distributes the draft to all members of the Board of Directors for their review and is approved by the Treasurer for submission. Form 990, Part VI, Section B, line 12c All employees are responsible for following the conflict of interest policy. Management is responsible for enforcing compliance with the policy. The company also has a procedure in place that allows employees to bring any matter they feel may be a problem to management's attention. Annually records and documentation are reviewed to identify any potential conflict of interest, and if a potential conflict of interest is identified, management reviews the potential conflict to ensure proper approvals have been obtained and if not take appropriate action as required. Board members complete and sign an annual conflict of interest disclosure form. Form 990, Part VI, Section B, line 15 Compensation is determined by analyzing salary surveys, other organizations' Form 990s, periodic compensation analysis by independent compensation analysts, and analysis by a committee of independent members of the Board of Directors. See Schedule J Part III supplemental information. Form 990, Part VI, Section C, line 19 Governing documents, conflict of interest policy and audited Financial Statements are considered confidential and not available to the public. Form 990, Part XI, line 9: RADCO Net Income 35,687. NHRA Motorsports Museum 1101 West McKinley Ave Bldg 3A Pomona CA 91768 943021388 Motorsports Museum CA 501(c)(3) 7 N/A 1 RADCO INC 2650 National Trail Road Hebron OH 43025 310684626 rentals OH N/A C 100000 1704034 1.00000 1 NHRA INC 2035 E Financial Way Glendora CA 91741 953913667 rentals CA N/A C 65 1.00000 1 0 1 0 1 1 0 0 0 1 0 1 1 0 1 1 0 1 0 0 NATIONAL HOT ROD ASSOCIATION MOTORSPORTS MUSEUM B 2500000 FMV NHRA INC D 51463 FMV NATIONAL HOT ROD ASSOCIATION MOTORSPORTS MUSEUM E 340043 FMV RADCO INC E 1223961 FMV National Hot Rod Association Motorsports Museum Q 550492 FMV RaDCO INC K 100000 FMV