As
we head into show season, I am exhausted but excited after
spending the year as IALEI president working with Tracy Sarris
(IALEI executive director) in rebuilding the association.
It has been like starting a new company from scratch. However,
my mind is simultaneously preoccupied with the past 22 years
of national association work, as my final days on the AMOA
executive committee as senior past president are finally coming
to an end.
I first got involved in AMOA in 1984 while serving in the
fourth year as president of AMOA New Jersey. In planning our
annual state show, the AMOA national president was invited
to be the keynote speaker. We were fortunate that John Estridge.
Sr. was able to attend, and I was very impressed with his
speech and commitment to our industry. Later that evening
he asked me. ‘Why don’t you get involved in the
national association?” He told me what I needed to do
to apply to the board and was the first one to sign my application.
My second main sponsor was Vincent Storino, who represented
New Jersey on the AMOA board.
In those days, I was traveling around the country presenting
game repair and management seminars at trade shows and distributor
facilities, as well as a dozen
AMOA state shows. I found myself spending a lot of time with
AMOA president Dick Hawkins, who was also speaking at the
same AMOA state conventions. Dick filled me in on day-to-day
goings on at AMOAs and he became my AMOA mentor. We used to
joke about switching speeches because we heard each other
speak so often.
The first meeting a new AMOA director attends is the mid-year
board meeting. Quite honestly, I was bored just sitting around
at my first mid-year, as new directors then were only required
to attend two committee meetings in addition to the board
meeting. I decided to get more involved in association matters
and the creation of new programs that might be good for the
industry. After I met with the AMOA executive committee they
said. “Go ahead, but you will have to raise the money
on your own to drive these new programs as there is no budget
money.”
While attending the first AMOA Washington Conference, I was
invited to sit down for lunch at the Capital Building with
Russ Mawdsley (AMOA past president) and his wife, Gert. He
spent an hour explaining how AMOA worked and how to lobby
to get new ideas accepted. This was probably the most important
lesson, and it came from one of the most respected individuals
in the entire industry.
One of the wild ideas I came up with was the AMOA/AAMA Congressional
Tournaments on Capital Hill in Washington, D.C. Our Washington
lobbyist at the time said it wouldn’t work as congressman
and senators would never participate in a pinball tournament.
It is a good thing that I didn’t believe him because
this event turned out to be the main draw of our conference.
Its purpose was to attract senators, congressmen and their
legislative assistants to our lobbying event and show how
much family fun our industry provides. This event grew over
a four-year period into basketball, dart and other competitions
and eventually attracted some White House officials. AMOA
got to socialize with dozens of senators, over 60 house members
and hundreds of legislative assistants. Many told us that
it was the second best event for them and their families,
second only to the inaugural halls. AMOA operators purchased
the dozens of games (S60,000 in value) that were donated by
several manufacturers each year with the money being donated
to the favorite personal charities of winning senators, House
members and their immediate families. Over the years I developed
quite a list of home phone numbers of many congressmen and
their families and have spoken with several about their opinions
and positions on different issues.
There is one in particular that comes to mind. An hour before
the event was to begin, a senator from Indiana, Dan Quayle,
showed up along with his wife and two children. They all wanted
to enter the pinball tournament. I provided them with some
tips on how to play pinball, and they picked it up quickly
with a little practice. Senator Quayle was down to earth and
very low key. He won the Senator’s Division easily.
His wife placed, I think, second in the woman’s division,
and both children also placed in their division. It was only
a few months later that he got the nomination to run on the
ticket as vice president. It was amazing for us, especially
considering what a low profile our industry has normally had
in Washington.
Years later, jumping into the video content issue, I had
the opportunity to meet with Senator Joseph Lieberman and
escort his senior legislate assistant through the aisles of
an AMOA Expo. The conversations went smoothly because of all
of the lobbying experience we gained attending these Washington
Conferences. There was also a time when I had an opportunity
to meet soon-to-be-elected President Bill Clinton. He was
visiting New Jersey, and I went to hear him speak. As we shook
hands, I mentioned that I knew AMOA operator Earl Gibbs from
Hope, Ark. Mr. Clinton asked me to see him later since his
grandfather and Earl had been best friends. He and I spoke
for about 20 minutes, and I remember him asking me what issue
would most help our industry. I said replacing the 10% investment
tax credit and removing the dollar bill and replacing it with
a dollar coin. I think he laughed for a good 15 seconds before
saying. “Don’t think so.”
I also got my teeth into standardization for more than a
dozen years and chaired or co-chaired the AMOA/AAMA industry
standardization committee for almost 10 years. This group
was instrumental in helping achieve 50 or more standards.
I know some of those standards saved our company more than
$100,000 over the years, and I hope they did the same for
many other operators. At one time there were over 100 members
of this joint committee and manufacturers needed to show up
and provide their input, before the votes were taken or they
could be left out in the cold.
During my first three years on the board, I was also involved
in the AMOA educational roadshow program that included seminars
on game repair, jukebox operation and marketing. Former AMOA
presidents Randy Chilton, Jim Stansfield and others were also
involved as we traveled to four different cities in one year.
We had an opportunity to meet other operators from around
the country. Many became AMOA members and later came to AMOA
Expo.
The AMOA Notre Dame program is also dear to my heart. As
a member of Class III, we spent five three-day sessions over
a two-and-a-half-year period bonding with each other and being
instructed by some ofthe top industry educators anywhere.
I’ll never forget Jack Kennedy and his courses on strategic
planning. Jack has consulted for several U.S. presidents as
well as Fortune 100 companies. I still am in contact with
many ofthc members of Class III, several who have gone on
to be AMOA presidents.
At the end of my first term on the board, I didn’t
make the cut to VP so I stayed off the board for the next
four years. Part of this was due to politics, part because
of lack of communication between the leaders of AMOA and the
new directors and part due to pride. Some in leadership at
that time weren’t pleased that I was giving seminars
at the manufacturers spring ACME show and writing columns
in the trade magazines now that I was an AMOA director. Recall
at that time there was a huge separation between AMOA and
AAMA over the parallel board issue. I didn’t agree with
either of these emotional philosophies. I continued educating
operators at every opportunity because I truly believe that
this is one of the most important aspects of raising the bar
of professionalism for our industry. During this four-year
period from the sidelines. I continued to co-chair the industry
standardization committee and to run the Washington Conference
and Congressional tournament program.
Around 1991, then AMOA officers Tami Norberg Paulsen and
Randy Chihon flew into New York and asked me to get I involved
on the board again during their presidential terms. I agreed,
and ultimately re-joined as a director and was soon appointed
to a vacant slot for VP. Then an open slot came on the officer
slate, and I was appointed to the secretary position. Being
an officer wasn’t unfamiliar territory because dunng
my first three years on the board. I learned much about how
AMOA operated from the officers and past presidents.
As treasurer, I spent a lot of time learning how AMOA’s
former management group, Smith Bucklin out of Chicago, ran
our association. I took a tough position that I was never
going to sign a check without proper backup, and I held up
almost $500,000 in checks at one time. That caused lots ofcontroversy,
and I really stuck my neck out. When the backup was finally
provided, the information it contained was the final impetus
for AMOA to launch its own management in house.
During those formative years past presidents Don Hesch and
Jim Stansfield and I worked as a team and took some risks
to make the association better. Ohio’s Jim Hayes was
also there with us during those tough times. We learned that
we have to be very conservative in govemment relations and
other association expenditures. Fortunately, through the help
of people like Elliott Portnoy, we learned to be savvy about
the way we pursue those services for our members.
AMOA also received a lot of help from AAMA’s executive
director, first Bob Fay and later Mike Rudowicz. AAMA offered
AMOA space at their headquarters and greatly assisted us during
our search period for an executive director and for the first
months of setting up a new office and staff. AMOA’s
leadership will never forget this help from AAMA. For me,
coming from the world of standardization and distribution,
working with AAMA was all the easier. For many operators,
manufacturers were foreign strangers and I tried to bridge
the gap. Hesch and Stansfield, as large-scale operators, were
familiar in dealing with manufacturers and were pivotal in
launching the new AMOA office. It was a blessing that they
were in or close to Chicago. It should also be mentioned that
trade-show pro Brian Glasgow submitted the name of Jack Kelleher
to our search committee. Jack, as assistant director of the
Hardware Association, worked with Brian through their tradeshow.
One of my most rewarding experiences during those new AMOA
formation years was working with EVP Jack Kcllcher during
that first full year of his job. I have been doing the same
thing with Tracy at IALEI this year. In both cases it’s
been an honor. At the end of my president’s term, I
gave Jack a toolbox (with
plastic tools) and a ring of keys to cornmemorate him becoming
an “official operator,” at least in his thought
processes and complete understanding of what operators are
all about.
As I moved up the chairs. I got very heavily involved in
the tradeshow cftbrt. I go way back with the Glasgows, having
been involved in seminars and education at ACME and ASI shows.
This allowed me the opportunity to help the movement toward
Glasgow managing the AMOA Expo. My cross association board
positions also played a role in the cc>location between
AMOA Expo and Fun Expo. 13e- ing on the IALEI board and having
a close relationship with Reed Expositions, helped bring those
two shows together. I handled the negotiations for AMOA with
Jack Kelleher in close everyday contact with AAMA and Frank
Gumma Jr.
Harold Skripsky represented IALEI in the four month long
negotiations. The result was the three-association purchase
of the Fun Expo from Reed and the formation of the LETS board.
I am proud of that eftbrt and feel that it helped both the
AMOA Expo and the Fun Expo (and IALEI as well). AAMA also
came along for the ride on the side of industry unity. Having
the two shows together with no walls of separation brought
more people and a better face to the fall show. I really think
that the co-location accounts tor why the AMUA has continued
to hold successful shows during their fall slot.
All of these efforts fortunately came together during my
presidential year (1999-2000). It was a very busy time at
AMOA, but it was also the culmination of the efforts that
I had been involved in during my officer years.
Right after I became president, the JLO representing the
PROs (ASCAP, BMA, SESAC) formally terminated the jukebox licensing
agreement. Prior to this, I had been working individually
with the PROS on gathering information on how they felt about
the new download jukebox technology. Some at AMOA argued this
was the cause of the termination, but we later found out that
the PROs were planning to terminate the agreement anyway.
The termination triggered a renegotiation period. AMOA put
together a really top notch negotiating team that included
Chairman Doe Ringo. Dick Hawkins, Mike Leonard. Jim Pictrangelo,
Jim Hayes and myself. Both Doe Ringo and Dick Hawkins had
been involved in the initial agreement negotiations some ten
years prior and they brought all of that knowledge and experience
to the table.
My main function was to push really hard for a rebate for
AMOA members. I saw that a rebate would be a win-win for AMOA
and the PROS. The PROS took this concept off the table (as
they had done during the first negotiations) from the very
beginning. Throughout the negotiations I kept mentioning at
every opportunity (both at the table and in private conversations)
how AMOA members were the key to the compliance issues. What
was desperately needed was a way to prove to the PROS that
this was true.
From my dealings with some of the European trade organizations,
I also knew that one of the best negotiating tools is third
party studies conducted by reputable organizations. Jim Pietrangelo
suggested that the University of New Orleans perform a jukebox
survey, and the PROs agreed to split the cost of the study
with AMOA in an effort to move the negotiations forward. This
study was the critical factor in moving both sides to a common
middle position from their completely opposite original positions
(PROS wanting to triple the licensing rates and AMOA needing
to keep them as low as possible and keep our member compliance
rate high).
During the last round, our committee put the rebate formula
back into what AMOA needed. By that point, it was pretty logical
that AMOA members were the industry joiners and the law-abiding
citizens of the trade. We are the guys who pay our license
fees and maintain a higher level of professionalism than many
of the non-members. The PROs were able to track AMOA member
juke license fees vs. non-members and compare it with the
UNO survey results. The end result was a jukebox license agreement
that was good for both parties, and this resulted in an AMOA
membership increase of 50% (from 1,200 to 1800) as soon as
the rebate became available.
By the end of my presidency, AMOA was in a financial position
to put $100,000 into the reserve fund, and we did just that.
This became a goal of each succeeding president and this trend
has now continued over the past six years. AMOA’s recent
growth and stabilization has been due to four major factors:
1) bringing AMOA’s management in house and choosing
Jack Kelleher to be EVP 2) the three association purchase
of the Fun Expo and its continued co-location with AMOA Expo:
3) the JLO rebate for AMOA members; and 4) hiring WT Glasgow
to manage the AMOA Expo. Of course, there are other factors.
but I believe these are the top bar.
During my six years post presidency, I have tried to make
sure that high caliber individuals were elected to the board
and continued bolstering the board by sharing my experiences
with new directors and passing along the concept of carefully
managing AMOA’s funds. AMOA has one of the most efective
and hardest vorking boards that exist among the 45,000 existing
associations. Back in 1948, the founding fathers of AMOA created
by-laws and a committee structure that amazingly still stands
and functions well today. AMOA has a deep-rooted culture.
You see other dedicated people working, and you are motivated
to work too. That allows AMOA to accomplish a lot with a very
small stall AMOA is a group of independent entrepreneurs,
but it really works like a well oiled machine.
In the midst ofthe present chaotic business climate, AMOA
remains strong. Every business in the U.S. is having a tough
time, looking for dedicated people who are willing to work
hard. The amusement business is made up of happy and hard
working people, but many of the owners are now the same age
(baby boomers), and there aren’t necessarily members
of the next generation willing to come in and take over. Even
though future additional consolidation is inevitable. AMOA
will be there for us for many years to come.
I am always amazed at how much of a grass roots organization
AMOA is and how much reach a small industry like ours has,
even within highly placed political groups. Due to close relationships
between, for example, past president Craig Johnson and Senator
Oren Hatch of Utah, past president Fred Collins and Senator
Strom Thurmond, the Goudcau family and Senator John Breaux
of Louisiana and many others, AMOA has had the inside track
on the national and state scenes for most of its long history.
AMOA has helped me bond and have very close friends all over
the world. AMOA travel really broadened my outlook, especially
international trips and working with overseas trade groups
(EUROMAT and its 18 country associations, BACTA. Australia,
JAMMA). I still stay in touch with many of those people, and
it is one of the reasons why I haven’t run out of industry
material to write about each week
Whenever I travel around this country, there is always someone
to call and visit and see his or her operations. I don’t
think you’re going to find this kind of industry hospitality
in any other industry. I have discovered lots of wisdom in
the past presidents and in all those who have served on the
AMOA board (the “soldiers”), and I hope fix my
remaining years I can help play that same role for current
and future AMOA leaders. I am gladly looking forward to this
role. The I industry has been good to me and being a volunteer
for the past three decades is the happiest form of pay back
for all of the knowledge and help that one receives from their
industry peers. It’s been a great roller coaster ride
and it is now time to get off. Thank you all, for the opportunity.
And finally, thank you Rich Holley for looking down on mc
and keeping a watchful eye on AMOA. Your term as AMOA president
can never end.
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