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The American Grand Prize was one of the first major auto racing events held in the United States of America. Along with the Vanderbilt Cup and the Indianapolis 500, the Grand Prize helped spur the development of American auto racing by providing an arena for American manufacturers and drivers to test their mettle against those of Europe. Formed in the aftermath of a sanctioning war between the AAA and the ACA, the Grand Prize soon superseded the Vanderbilt Cup as America's international race of prestige. It held this title until 1913, when international attention shifted to the Indianapolis 500, which offered much greater financial reward and was held in a consistent location.

Beginnings and the Vanderbilt Cup
Inspired by the Gordon Bennett Cup and Circuit des Ardennes races he had competed in, William Kissam Vanderbilt II founded a series of road races in the United States to showcase American racing to the world, and expose American manufacturers to the technological advances being made by their counterparts in Europe. Vanderbilt worked with the recently formed American Automobile Association to develop the new course and event. Vanderbilt's choice to have his event sanctioned by the AAA Racing Board caused dissent between him and the Automobile Club of America. The Vanderbilt Cup soon became an institution on New York's Long Island, attracting American and European competitors alike, running from 1904-1906. However, the race was plagued by crowd control problems, which led to spectator deaths and injuries, and the cancellation of the 1907 event. The AAA embarked upon an improvement of the course which took much longer than anticipated, this was believed to be completely self contained portions of the new Long Island Motor parkway

During the initial runnings of the event, the ACA frustrated by Vanderbilt's slight, and "jealous" of the Cup's success, had been searching for an opportunity to launch a competing event. When the Savannah Automobile Club of Georgia offered both the AAA and the ACA use of newly completed course, the latter quickly accepted. And made plans to host according to latest European regulations. The AAA, confident upon the completion of their new course, declined. And upon the return of the cup in 1908, the American Automobile Association did not adopt the new Grand Prix regulations agreed upon by the Association Internationale des Automobiles Clubs Reconnus (AIACR). This led the rival Automobile Club of America, an enthusiasts group with strong ties to Europe, to sponsor the American Grand Prize, using the Grand Prix rules. The Savannah Automobile Club of Savannah, Georgia, which had staged two days of successful stock car races on March 18 and 19, 1908, won the rights to stage the event.

thumb|left|American Grand Prize trophy

The Grand Prize era
The Savannah Automobile Club laid out a lengthened version of their stock car course, totaling 25.13 mi. Georgia Governor M. Hoke Smith authorized the use of convict labor to construct the circuit of oiled gravel. The Governor also sent state militia troops to augment local police patrols in keeping the crowd in check, hoping to avoid the pitfalls of the Vanderbilt Cup races. The event saw strong European factory participation, due to the winner's purse of $4,000 - double that of the Vanderbilt Cup - and the adherence by the ACA to the new AIACR regulations. The entry for the inaugural race featured 14 European and six American entries, including factory teams from Benz, Fiat, and Renault. In the race, held on Thanksgiving Day, Ralph DePalma led early in his Fiat, before falling back with lubrication and tire problems. The race came down to a three-way battle between the Benz of Victor Hémery and the Fiats of Louis Wagner and Felice Nazzaro. Wagner won the race by the close margin of 56 seconds.

Despite the success (?) of the event, the ACA entered into negotiations with the AAA on a merger of the racing operations of the Grand Prize and the Vanderbilt Cup, resulting in the formation of the Motor Cups Holding Company. Part of the agreement determined that all future Grand Prizes would be held on Long Island, in conjunction with the Vanderbilt Cup. However, in 1909 only the Vanderbilt Cup race was held and the Grand Prize pushed back to the next year. Changes in AAA regulations after 1908, which evolved in response to the particulars of the domestic, American automobile industry, had solidified the Grand Prize as the American event of choice for European manufacturers.

After the 1910 Vanderbilt Cup on Long Island saw numerous incidents including the deaths of two riding mechanics and crowd control issues leading to several serious spectator injuries, Nassau County authorities permanently banned auto racing on the island. The Motor Cups Holding Company sought a new location; after first considering Fairmont Park, the organizers decided to return to Savannah. The ACA ran an unrestricted forumula, seeing little reason to adhere to the ACF regulations in the wake of French withdrawal from auto racing. Nevertheless, the unrestricted formula helped ensure the even saw strong participation from German and Italian manufacturers. The leading trio from the 1908 event returned, and American David Bruce-Brown joined the Benz squad. Bruce-Brown won another incredibly tight race over teammate Hémery, this time by only 1.42 seconds, the closest finish in history to that time.

The 1911 event returned to Savannah, and as had been agreed between the AAA/ACA in 1909, the Vanderbilt Cup came with it, running that same week; the Cup and Grand Prize were to be held together until 1916. Despite the success of the events, public pressure started to mount on the organizers. A large amount of manpower was necessary to properly police the course, and there were concerns about the courses length, economic benefit, as well as evolving spectator demands towards shorter courses. The use of convict labor and the militia drew criticism, as did the nuisance of closing roads for the event. Furthmore, the Inaugural Indianapolis 500 had run for a purse of $25,000, more than twice that offered by the Grand Prize. However, European manufacturers were unwilling to construct cars to the AAA formula, and the Grand Prize maintained its preeminient position with the European auto industry. Two accidents on the open roads in practice, one resulting in the death of Jay McNay, cast a shadow over the event. The American entries dominated the support events and ran well throughout the Grand Prize, after poor showings in past years and once again Bruce-Brown triumphed, this time driving a Fiat. With a very competitive race in doubt until the end, some contemporary reports considered it "the greatest race ever run."

For 1912, Savannah succumbed to public pressure, and Milwaukee, Wisconsin, won the bid for the race. Growing negative local opinion towards the inconveniences of the event, plus its great cost with little apparent economic benefit, led the Savanah Auto Club to demur on bidding for the race once more. During this delay a prosperous group of Milwaukee brewers won the bid with assistance from the Milwaukee Automobile Dealers Association. A narrow, 7.88 mi trapezoidal course was set up in the neighboring town of Wauwatosa.

That year, Indianapolis had more than doubled its purse, to $50,000. The majority of American manufacturers devoted their efforts to this race, resulting in a field of only 12 cars, primarily European. While French manufacturers had returned to racing, they abstained from making entries. There were also no European drivers. Historian David M. Burns asserted that the "expense" of bringing foreign drivers, coupled with the performances of American drivers in major domestic and international events, such as David Bruce-Brown during the 1912 French Grand Prix and Ralph DePalma during the 1912 Indianapolis 500, rendered "the importation of European drivers unnecessary."

The race was marred, with David Bruce-Brown killed during an incident in practice for the Vanderbilt Cup held three days before the Grand Prize. On the final lap of the Grand Prize, Ralph DePalma - winner of the Vanderbilt Cup three days previously, was involved with contact with eventual winner Caleb Bragg. The resulting accident seriously injured DePalma, and the changes of Milwaukee repeating as host were diminished.

thumb|The grid for the 1915 Grand Prize in San Francisco

Neither the Grand Prize nor the Vanderbilt Cup were held in 1913. Milwaukee was not considered an option, Long Island's bid was rejected, and Savannah demanded terms unacceptable to race organizers. Furthermore, the drivers insisted upon appearance money. Oval racing on board tracks had taken off in the United States, to the detriment of road racing.

For 1914, the Grand Prize and Vanderbilt Cup were staged in Santa Monica, California near Los Angeles, on an 8.4 mi course, with the start/finish straight along the Pacific Ocean. The events were moved from the end of the American racing season, to its beginning, in late February. While the number of American entries was an improvement from 1912, European participation remained low. While the first entries from Great Britian, Sunbeams, made a debut, participation from FIAT and Peugeot did not materialize, with those makes electing to prepare instead for the Indianapolis 500. The European cars that participated were not factory backed. The field was primarily American entries (twelve, against five European entries), and an American make scored its first victory, as Eddie Pullen in his Mercer drove to a record pace that decimated the field, winning by more than half an hour . According to historian John M. Burns, by 1914, the Grand Prize had been "supplanted" by the Indianapolis 500 as America's preeminent international race. Enticed by the astronomical prizes French manufactures avoided the Grand Prize entirely, with Peugeot, Delage, and Bugatti sending factory teams and drivers instead to Indianapolis, where they were joined by contingents from Belgium (Excelsior) and Great Britain (Sunbeam). Italians saw monor recognition, with only a privately owned entry of Isotta-Fraschini. (essentially the GP saw a bunch of privateer entries excluding Sunbeam).

In 1915, the race shifted to San Francisco, in conjunction with the Panama–Pacific International Exposition. Organizers had had difficulty securing a proper venue, with the circuit at the Exposition being a compromise venue. At only 3.84 mi long, the course was significantly shorter than previous Grand Prize tracks. The course was a hybrid; starting on the boarded main straight of a nearby horse racing track, the majority of the course ran through narrow Exposition ground roadways with sharps turns, before returning. Contemporary accounts criticized the design, considering it dangerous and with few opportunities for passing, and historians such as John M. Burns compared the track to modern street courses than traditional road courses. While the world war precluded Euopean factory involvement, with just four privately owned entries in comparison to 26 American entries. While the grand prix regulations allowed unlimited displacement, all cars entered were below the 450cu threshold mandated at Indianapolis. For the first time, a notable number of entries were fielded by small independent operations "with no connection to the production of road-going automobiles." . Heavy driving, rain began two hours into the race, covering the circuit in mud from the extensive flower arrangements, and warping the main straight's boards. Numerous drivers pulled off the course, as Dario Resta in a Peugeot cruised to a seven-minute victory, and followed up a week later by winning the Vanderbilt Cup.

For 1916, the Grand Prize returned to Santa Monica and was held two days after the Vanderbilt Cup. The feud between the AAA and the ACA, which had simmered since the two organizations formed the Motor Cup Holdings Company, once again flared up. The AAA took complete control of the Grand Prize (from the small ACA??), making it the penultimate round of a resurrected national points championship, the AAA's first attempt at such a venture since the 1905 racing season. The ongoing war (precluded?) European particpation, however, 3 1914 Peugeots were entered, against a varied American competition. Only Mercer and Hudson supported full factory teams for the Americans, with 4 entries completely independent creations. The race saw a deadly accident, with a car going of course, killing the driver and 2 (or 3?) spectators, leading to renewed scrutiny on road racing. A few days after the race, the California Legislature began proceedings to ban road racing. The race would be a part of the AAA National Championship, which carried a 4.91-liter displacement limit. Although the limit for the Grand Prize was 7.37 liters, no large-displacement cars would enter. The race was the penultimate round of the championship, with Dario Resta leading Johnny Aitken after his Vanderbilt Cup win. However, both cars would be out before halfway. Although Aitken took over teammate Howdy Wilcox's car for the win, the AAA awarded points only to Wilcox, and Resta took the championship. The AAA cited the Indianapolis 500 precedent earlier that year, where Rickenbacker had received no points after finishing the race for Henderson.

Post-war decline and the Indianapolis 500
The Grand Prize was discontinued after the 1916 event. The outrage after the deaths of 1916 made it impossible to find a new venue for 1917, coupled with > Between a lack of European participation due to World War I, and the growing American interest in oval racing, road racing fell by the wayside. Road and street races necessitated political involvement and an inconvenience to citizens. They were difficult to provide wtih adequate crowd-control, and unlike on an oval, it was difficult to prevent non-paying spectators from viewing the course, harming the interests of promoters, who could easily enclose an oval, charging fees to all spectators. For spectators, ovals offered visibilty of cars for all or most of the length of a track, and offered far more instances of "wheel-to-wheel" racing.

In addition to these factors, the astronomical prize money awarded to Indianapolis 500 winners dwarfed that of the Vanderbilt Cups or Grand prizes. In 1914, Rene Thomas won $40,000 for his victory in Indianpolis. The $3,000 purses awarded to Ralph DePalma and Eddie Pullen for their respective victories in the Vanderbilt Cup and Grand Prize was less than that awarded to the fourth placed finisher in the 500.

While in 1911, 25 major road racing events had taken place, in locations such as Santa Monica, Claifornia, Tacoma, Washington, Lowell, Massachusetts, and Savannah Georgia, and locations in between. By 1915, only five major road racing events were held, most of which were in the western state of California. The two Santa Monica events were the only road races on the 1916 championship, and the aborted AAA 1917 National Championship was slated to feature eight events, all ovals and six of them board tracks.

The Vanderbilt Cup was revived in 1936 and 1937 and run to Grand Prix regulations; these races were run at the Roosevelt Park Autodrome near New York City but a lack of competition and domination by German Bernd Rosemeyer and Italian Tazio Nuvolari led to the races being a commercial failure.

The Indianapolis 500 kept a connection to international racing, running to Grand Prix regulations between 1923 and 1930, and from 1938 until 1953. In the late 1920s, efforts were made to refer to the 500 as the American Grand Prize. The Grand Prize trophy was awarded to the winner of the Indianapolis 500 between 1930 and 1936, when it was replaced by the Borg-Warner Trophy. The race was included in the World Championship from 1950 through 1960.

Grand Prize Legacy
See epilogue of Thunder at Sunrise, 248-249.