Some new regulations for 2010

[Jen]

What do you all think of these little beauties?

http://www.fia.com/en-GB/mediacentre/pr ... 0409a.aspx

And who might fill these positions?

"A new Costs Commission is being set up to monitor and enforce these cost-cap financial regulations. The Costs Commission will consist of a Chairman and two other Commissioners, appointed by the WMSC for terms of three years.

One Commissioner should be a finance expert and the other should have high level experience in motor sport. The Chairman should have appropriate experience and standing in motor sport or sports governance. All members of the Costs Commission shall be independent of all teams"

 

[Brogan]

I posted in the other thread but a new thread is probably a good idea so I'll copy and paste it here.

The new rules for 2010 have been announced: 2010 FIA Formula One World Championship

In summary
26 car grid
No refuelling
No tyre warmers
£40m budget cap

Applications to compete in the 2010 FIA Formula One World Championship are to be submitted to the FIA during the period 22-29 May 2009. Teams must state in their application whether they wish to compete under cost-cap regulations.

The maximum number of cars permitted to enter the Championship has been increased to 26, two being entered by each competitor.

The FIA will publish the list of cars and drivers accepted on 12 June 2009, having first notified unsuccessful applicants.

Cost Cap Regulations
The cost cap for 2010 will be £40m per annum*. This figure will cover all team expenditure except:

• Marketing and hospitality;
• Remuneration for test or race drivers, including any young driver programmes;
• Fines or penalties imposed by the FIA;
• Engine costs (for 2010 only);
• Any expenditure which the team can demonstrate has no influence on its performance in the Championship;
• Dividends (including any tax thereon) paid from profits relating to participation in the Championship.

* For the purposes of these Regulations, the financial year is 1 January to 31 December.

In addition to the payments which it already makes to the top ten teams in the Championship, Formula One Management, the commercial rights holder, has agreed to offer participation fees and expenses to the new teams. This includes an annual payment of US$10 million to each team plus free transportation of two chassis and freight up to 10,000 kg in weight (not including the two chassis) as well as 20 air tickets (economy class) for each round trip for events held outside Europe.

To enable these cars to compete with those from teams which are not subject to cost constraints, the cost-capped cars will be allowed greater technical freedom.

The principal technical freedoms allowed are:

1. Movable wings, front and rear.
2. An engine which is not subject to a rev limit.

The teams will also be allowed unlimited out-of-season track testing with no restrictions on the scale and speed of wind tunnel testing.

Changes applicable to all teams
It was confirmed that from 2010, refuelling during a race will be forbidden in order to save the costs of transporting refuelling equipment and increase the incentive for engine builders to improve fuel economy (to save weight).

It was also confirmed that tyre blankets will be banned and that the ban on other tyre-heating devices will be maintained.

 

[teabagyokel]

The Costs Commission will consist of a Chairman and two other Commissioners, appointed by the WMSC for terms of three years.

My money is on the guys from the Apprentice...

 

[Jen]

Sorry Bro - only spotted it after I'd put this up!!

 

[Brogan]

No worries Jen, a new thread is probably a good idea anyway to discuss the implications.

Personally I can't see how the budget cap can be enforced.
There are all sorts of clever accounting techniques that can be used.

Let's just be grateful the medals idea has been quietly dropped, unless of course that will be announced later....

 

[Jen]

It does worry me who might oversee/be part of the Cost Commission - I just pray that it is not any of the old guard!

 

[cider_and_toast]

I also can't see how this can efectively be policed. It would seem that the cap is limited to the design, construction and testing of the car which still gives plenty of scope for the richest teams to attract the best drivers and design talent. Furthermore does it cost less to run your own wind tunnel or hire some one elses. Also would the construction of a wind tunnel at your factory constitute a cost towards the increase in car performance and therefore be taken out of your 40 million.

There seem to be so many exploitable grey areas that it would open up another can of worms and see many teams back in the dock of the WMSC. There will also be the usual round of inter team bickering (as lead so vocally this year by Flavio) about who may be cooking the books.

On the plus side a return to a 26 car grid for the first time since (correct me if I'm wrong becuase I'm not 100 percent but 1999) would be a real boost.

If it could be made to work then great but I have my doubts. It's a shame that events in recent years have left us all so cynical about the management of the sport.

I need to do is start a writing campaign to the board of Proton and we may see Lotus back on the grid. Now what did I do with Clive Chapmans phone number...........................

 

[teabagyokel]

I know what you mean, jenov, the budget might actually be £80m, with £10m for bribing the cost commission... Of course, if no-one wants to live in a £40m budget then Max is going to end up with egg to the face!

Anyway, I'm pro the 26 car grid, I wonder who the FIA has signed up! (Please Paul Stoddart, I could do with a laugh!)

Oh, and cat, I believe it was early 1995 when we last had a 26-car grid, this information has been nicked from http://www.statsf1.com, in case anyone attempts to libel me...

 

[Brogan]

Some questions and answers: Formula One Cost Cap Q&A

What is the penalty if a team exceeds the cost cap?
This depends on the case. The International Sporting Code covers transgressions in the same manner as for the technical or sporting regulations. There are no ‘fixed penalties’. The Cost Commission will judge the degree of misdemeanor and advise the FIA , who will determine any penalty.

What measures are there to prevent teams spending money this year on a car that will compete under cost cap in 2010?
The teams must demonstrate that they have adhered to the spirit of the regulations and spend no more than 50% of the value of the 2010 cap on the development of the 2010 car (in 2009). Furthermore, there are limits on the value of stock of car parts which can be carried into 2010.

How will you stop manufacturer backed teams from running hidden F1-related projects in their parent companies?
The question is actually asking ‘how will we stop manufacturer teams from cheating’. The principles of determining a fair market value for all activities which are undertaken for the benefit of a team (whether a manufacturer or not) are clearly set out in the Regulations.

No team would wish to be exposed as cheating, so we expect a healthy amount of self-policing. However, the rules are clear on this point, such activities must be declared and appropriately valued. Bear in mind the access that the costs commission and auditors have and their ability to compare reported costs across all cost capped teams.

There are so many huge holes in these new reg's you could drive an F1 driver's luxury motorhome through them.

 

[Jen]

A truly awful thought - MM is supposed to resign in November - he does resign and installs himself as Chairman of the Cost Commission

There he is for another three years!!

 

[cider_and_toast]

Thanks for the stat TBY. I was trying to do a count back in my head. I didn't realise it was as far back as 1995.

I just hope whoever comes in to the sport isn't as poor as the likes of Ram, Eurobrun, Force, Life, Forti or Mastercard Lola. Mind you I agree with you on Paul Stoddart as we could all do with a bit of a laugh.

I wonder if Prodrive (Dave Richards) will finally put up or shut up.

It would be good to see an old name return to the grid as well.

 

[teabagyokel]

A truly awful thought - MM is supposed to resign in November - he does resign and installs himself as Chairman of the Cost Commission

There he is for another three years!!

Why would I not be suprised if Max did that ? I wonder how 3 people will be able to keep a check on the creative accounting of these teams! I wouldn't want that job tbf!

Anyway, its good news for manufacturers who're apparently losing money eg. Renault, and its good news for privateers! Checking on Wikipedia, they suggest Lola (class of 1997), Dallara, USGP and Hyundai! With a Korean GP next year, Hyundai won't be too much of a long shot!

[glow=orange:27s2ztif]TBY's Post 400![/glow:27s2ztif]

 

[sobriety]

The teams must demonstrate that they have adhered to the spirit of the regulations

This is what i don't like. What exactly is 'the spirit' of the regulations, could someone clarify for me? Or is it something invented purely to created arguments between the teams?

 

[Brogan]

The teams must demonstrate that they have adhered to the spirit of the regulations

Or is it something invented purely to created arguments between the teams?

Nail. Head.

I fully expect in 2010 for there to be some kind of "accounting" investigation by the FIA/WMSC.

 

[Speshal]

A truly awful thought - MM is supposed to resign in November - he does resign and installs himself as Chairman of the Cost Commission

There he is for another three years!!

When I read your original post that is the exact thought that went through my head.

I'd put a tenner on it.

 

[teabagyokel]

I'm so sorry Speshal, you can't put £10 on it, we've instituted a Clip the Apex Online Betting Cap of £5 per week. The Costs Commission made up of Chairman Brogan and Commissioners Cider_and_Toast and Jenov2003 are going to investigate this mishap and make the punishment that they feel necessary. Unless of course you opt out and go to bet365 or something similar.



That's Clip the Apex law, I'm sorry!

 

[sobriety]

Can headgear be wagered, as long as it comes in under the budget cap?

 

[Muddytalker]

And 'tubby' Kubica gets his wish, with a 15kg weight increase for next season

http://www.autosport.com/news/report.php/id/74954

 

[Brogan]

Personally I think that's a sensible move.

Even without KERS, any driver over 1.5m tall was hindered somewhat with regards to ballast, etc.

 

[Muddytalker]

True, but I wonder how long before the complaints that Kubica only has 20kg to move around, whilst others have 40kg?

I also wonder what the likes of Alan Jones, Jody Scheckter and Derek Warwick might have made of it, they weren't exactly flyweights