NASCAR boss resigns after trial exposes inflammatory texts

The top executive is set to depart the organization at the end of the month

NASCAR Commissioner Steve Phelps has announced his resignation after more than two decades with the premier racing series in the United States, following a contentious federal trial that exposed inflammatory text messages he had sent.

Phelps is set to depart the organization at the end of the month, just ahead of the start of the new season. He was appointed NASCAR’s first commissioner last season, a role he took up after being courted for a similar position by the PGA golf tour. This interest from the PGA was revealed during December testimony in an antitrust trial brought against NASCAR by two race teams.

However, the top executive's standing was significantly damaged during the trial – and the discovery process preceding it – when private communications he exchanged with senior leadership were made public. In one particularly incendiary exchange, Phelps referred to Hall of Fame team owner Richard Childress as "a stupid redneck" who "needs to be taken out back and flogged."

This revelation prompted Bass Pro Shops founder Johnny Morris, a staunch supporter of both NASCAR and Richard Childress Racing, to pen a letter demanding Phelps' removal from his commissioner role.

Phelps led NASCAR as it became the first sport to return to competition during the COVID-19 shutdown. (Copyright 2024 The Associated Press. All rights reserved)

NASCAR settled the lawsuit with 23XI Racing, owned by Michael Jordan and Denny Hamlin, and Front Row Motorsports, owned by Bob Jenkins, the day after Morris’ letter.

“As a lifelong race fan, it gives me immense pride to have served as NASCAR’s first Commissioner and to lead our great sport through so many incredible challenges, opportunities and firsts over my 20 years,” Phelps said in a statement. “Our sport is built on the passion of our fans, the dedication of our teams and partners, and the commitment of our wonderful employees.

“It has been an honor to help synthesize the enthusiasm of long-standing NASCAR stakeholders with that of new entrants to our ecosystem, such as media partners, auto manufacturers, track operators, and incredible racing talent.”

He added he will seek “new pursuits in sports and other industries” and thanked colleagues, friends and fans that “played such an important and motivational role in my career.”

He also thanked the France family, the founders and owners of NASCAR, who hired him away from the NFL two decades ago and promoted him to a position that could have netted him $5 million annually with bonuses.

“Words cannot fully convey the deep appreciation I have for this life-changing experience, for the trust of the France family, and for having a place in NASCAR’s amazing history,” Phelps concluded.

NASCAR said that Phelps’ leadership transformed a stale schedule with new events, “bucket list fan experiences,” and reshaped its strategic vision. Phelps was also lauded for expanding NASCAR’s international footprint, securing long-term media rights and charter agreements, and building a leadership team that is focused on building the future of stock car racing with fan experience at its core.

“Steve will forever be remembered as one of NASCAR’s most impactful leaders,” said Jim France, the NASCAR Chairman and CEO. “For decades he has worked tirelessly to thrill fans, support teams and execute a vision for the sport that has treated us all to some of the greatest moments in our nearly 80-year history.”

Phelps also led NASCAR as it became the first sport to return to competition during the COVID-19 shutdown, as well as developed races inside the Los Angeles Memorial Coliseum and the downtown streets of Chicago.

“Steve leaves NASCAR with a transformative legacy of innovation and collaboration with an unrelenting growth mindset,” France added.

Lesa France Kennedy, the NASCAR executive vice chair, said “while his career may take him elsewhere, he’ll always have a place in our NASCAR family.”

NASCAR did not announce any additional leadership or personnel changes and said there are no immediate plans to replace him as commissioner or to seek outside leadership. His responsibilities will be delegated internally through NASCAR’s president — now Steve O’Donnell — and the executive leadership team.

O’Donnell moved into Phelps’ role as president upon Phelps’ promotion to commissioner. Although the two were mostly in favor of improving revenue-sharing for the teams in over two-plus years of communications, the discovery process showed their growing frustration with NASCAR’s board of directors over its refusal to make the charters permanent.

Phelps appeared to be an advocate for more concessions for the race teams, but as the process dragged on, he ultimately fell in line with the France family and that’s when his communications became more pointed. It was the attacks on Childress that drew the most attention and Phelps said in court last month he regretted his words, had apologized to Childress and explained he was venting out of frustration.

It wasn’t good enough for Morris, a longtime backer of Childress teams.

“We can’t help but wonder what would happen if Major League Baseball brought in a new commissioner and he or she trash-talked one of the true legends who built the game like Willie Mays, Hank Aaron, Ted Williams, Mickey Mantle or Babe Ruth?” Morris wrote. “Such blatant disrespect would probably not sit well with the fans — such a commissioner most likely wouldn’t, or shouldn’t, keep his or her job for very long!”