The minutes of the Council meeting held 20 November 2015, were confirmed as a true and correct record (King/Saba).

Transcription

1 MINUTES OF A MEETING OF THE COUNCIL OF THE NEW ZEALAND THOROUGHBRED BREEDERS ASSOCIATION HELD ON FRIDAY 4 th MARCH AT THE KARAKA SALES COMPLEX AT 10.30AM. PRESENT: Messrs J Fokerd, N King, G Wigley, C Dennis, M Chitty, and Mesdames V Pascoe, L Bleakley, M Saba Also attending: Mr M Martin and Ms N Griffiths and G Purcell (CEO NZTR) as guest 1 APOLOGIES: Ms J Griffin, Mr J Thompson, Mr M Baker 2 CONFIRMATION OF MINUTES The minutes of the Council meeting held 20 November 2015, were confirmed as a true and correct record (King/Saba). 3 MATTERS ARISING AND CORRESPONDENCE 3.1 No matters arising 4 FINANCIAL REPORT & BUDGET 2015/ It was resolved that the payments list from 1 st November 2015 to 31 st January 2016, be approved (Fokerd/Bleakley). 4.2 As at 31 st January 2016, the budget showed a forecast loss of $46k for the 2015/16 financial year. The Council is currently trying to cut costs and grow revenue as the NZTBA cannot continue to sustain a deficit of this size in future years. 4.3 G Wigley asked whether the Stallion Register could be produced in house. M Martin commented that the process of producing the Register is very time consuming and the NZTBA does not have the staff or resources to produce it in house. M Martin commented that he contributes considerable time to the production of the Register each year and it has returned good profit for the Association. 4.4 It was suggested that the NZTBA could offer external advertising in the Breeders Bulletin. This is an option, but the Association would need to be very mindful of the product exclusivity that we offer our current Partners. 4.5 V Pascoe commented that the income from our new Partner, NZForex, could be substantial if the services become well used by members. It was agreed that the NZTBA and branches need to promote NZ Forex as much as possible to our members through word of mouth, articles and advertising. 4.6 Members Diary. M Martin raised the issue of producing the extra large members diary that is currently mailed out as part of the annual membership benefits. After discussions with M Martin, Professional Printing Services (PPS) have put forward a proposal to the NZTBA to offer additional benefits to our members at a similar cost. 1

2 The proposal is to continue with the directory section of the diary, which contains valuable information and contacts within the thoroughbred world, and delete the full page diary section. The Directory would be mailed to members in late July as usual. Additionally we could offer our members a copy of the Racing Annual publication (published in late October) which could be mailed out with the Spring Breeders Bulletin. The Racing Annual is always well received by the racing industry and is now produced by PPS. It contains a comprehensive review of the previous season and is presented to an extremely high standard that makes it a must read and a collector s item. The Council unanimously agreed that this proposal would add excellent additional value to the membership and asked M Martin to develop the concept further. 4.4 It was agreed that the Executive Committee need to meet regarding the Association s financial situation and make a recommendation to the full Council. 4.5 M Martin advised that Hudson Kasper have been appointed to conduct the annual audit which will commence on 21 st April The Financial report and budget was approved. (Fokerd/King) 5 MEMBERSHIP REPORT 5.1 As at 1st March 2016, there were 1503 members, 127 are still in arrears for the 2015/16 membership year. 6. NZ THOROUGHBRED MARKETING 6.1 Council members expressed their disappointment that NZTM continues to undersell the NZ Thoroughbred breeding industry given that they are the main marketing body for New Zealand to promote the breeding sector, and that the majority of their funding comes from the Yearling Sales Levy. M Chitty gave an example that on the eve of the NZ Derby, when it was a perfect opportunity to promote the developing sires that have runners in the race, nothing was mentioned in the NZTM News Bulletin. Mr Chitty suggested sending a letter to NZTM expressing concern that this was a wasted opportunity. It was agreed that J Fokerd should write to NZTM. It was agreed that the matter should also be raised at the next NZTM board meeting as there are three representatives from the breeding industry on the NZTM board. 7. BLOODSTOCK TAXATION/IRD UPDATE 7.1 John Aubery (bloodstock taxation specialist), Rob Braithwaite (Braithwaite and Pearks), John Allen (NZRB), J Fokerd and M Martin have been working closely with David Patterson, a Wellington based tax specialist contracted by the Racing Board, regarding ongoing bloodstock tax matters. John Allen (NZRB) has picked up the ongoing issues very quickly, especially those regarding new investment and understands the importance of getting the interpretation of the legislation right for the future. 2

3 7.2 J Fokerd outlined progress made since November, including meetings with John Allen and David Patterson, the District Commissioner of IRD, and with a group of IRD specialists including Martin Smith, Chief Tax Counsel for IRD. A detailed joint submission by NZRB and NZTBA has been forwarded to IRD during February and their initial response has been received with some progress on items of disagreement. Strategy now will either be to seek amendment to legislation or turn to political pressure. 7.3 Mr Aubrey and Mr Braithwaite have contributed a considerable number of professional hours and knowledge into these ongoing tax submissions. It was agreed that they both need to be recompensed by the NZ Racing Board for their time assisting the NZTBA s contribution. 8 NZTR 8.1 New Zealand Pattern Committee Following the recent retirement of Mr Chas Amon as Chairman, the NZTR Board at its 12 February 2016 meeting, formally approved the appointment of Mr Matthew Goodson to the chair of the NZ Pattern Committee subject to consultation with the NZTBA. J Fokerd expressed his recommendation for M Goodson s appointment and will formally confirm that the NZTBA Council has agreed to the appointment with a formal letter. 8.2 The NZTBA wishes to thank Chas Amon for his outstanding contribution to the Pattern Committee over many years, firstly on behalf of the NZTBA, and in more recent years as the Committee s Chairman. At 11.30am Mr Greg Purcell (NZTR) joined the meeting 8.3 Mr Purcell advised that NZTR had recently assumed control of the Thoroughbred Bonus Scheme (TBS) website and will be scheduling bonus races from 1 st February 2016 for those horses qualified for the TBS Scheme. Some information for the 2013 and 2014 TBS scheme entries remain outstanding from Cambridge Lodge but is now under the control of NZTR. 9 ACC LEVY INCREASES 9.1 M Martin reported that despite a comprehensive submission prepared by NZTR, NZTBA and NZTA in December 2015, and meetings with ACC officials, it is disappointing that the ACC levy rates for the Racing and Breeding industries will increase from 1 st April The justification from the ACC is the flow-on effects of the cessation of the residual levy on 1 st April 2016, and the industries injury claims. Many of these claims are preventable with better training and induction of inexperienced staff. 3

4 The new levies for Breeding and Agistment farms will increase from $2.66 (15/16) to $2.93 (16/17) per $100 of payroll from 1 st April That is an increase of 10.2%. Trainers and Jockeys will pay $6.08 (22.8% increase). 10 NZTR BROODMARE LEVY PAYMENT 10.1 NZTR has agreed that the broodmare levy payment would be set at $67k + GST for the 2015/16 year, to be paid to the Association prior to 31 st March It was agreed that in the future, the agreed annual amount would be paid in quarterly instalments to assist with cashflow. 11 NZB SALES MARQUEE REVIEW 11.1 The NZTBA sales marquee was positioned back to the old site for the 2016 Karaka Yearling Sales, which is a more prominent position than last year s position behind the selling auditorium. This satisfied the NZTBA partners. It was agreed that the NZTBA needs an ongoing presence at the yearling sales. 12 PEARL SERIES UPDATE 12.1 The Early Bird enrolments for the 2016 Pearl Series closed at the end of February. A very encouraging 438 entries have been taken at this stage. Further entries at $920 including GST are now open until 31 st July G Purcell acknowledged that NZTR has not been able to programme adequate races for Rating 65 & 75 fillies and mares only races, and races beyond 1600m for fillies and mares G Purcell requested a meeting with the NZTBA to discuss the programming of Pearl races and allocation of bonuses for the 2016/17 season after NZTR has had an opportunity to analyse the financial data forwarded to him by the NZTBA. G Purcell said he is also keen to review the programme with the host clubs. NZTBA to work with NZTR on a joint memo of understanding on how the Pearl Series will operate in future The 2017 Pearl Series conditions and entry fees may need to be reviewed. 13 EDUCATION - PRIMARY ITO UPDATE 13.1 G Purcell discussed the continuation of the Primary ITO Breeders Course which is currently under threat. He stated that the NZTBA have NZTR s full support for the continuation of a Breeders stud employee course V Pascoe advised Council that PITO have a new General Manager of Field Operations, Alastair Shennan, who recognises the importance of the breeding course. He will be visiting the Waikato area on the 16 th and 17 th March to speak with stud owners to gain a deeper understanding of the importance and content of the breeding course. 4

5 14 WINTER SEMINAR PLANNING 14.1 It is planned to hold a winter Members seminar in August (dates to be confirmed). Suggested speakers include Mr Rob Braithwaite (Braithwaite & Pearks) to deliver an update on the bloodstock tax issues; Marcus Phillips (NZForex) on foreign exchange; and a representative from Worksafe NZ regarding Health and Safety issues. Suggestions from branches would be very welcome. 15 HEALTH AND SAFETY ACT 15.1 The new Health and Safety at Work Act (HSWA) comes into effect on 4 th April The new Act brings additional responsibilities for everyone in the workplace. The new law is part of a reform package aimed at reducing the number of serious workrelated injuries and deaths by 25% by year N King suggested that we our members reminding them of the start date. 16 GENERAL BUSINESS 16.1 The NZTBA insurance policies are due for renewal on 1 st April M Martin tabled and explained the schedule of renewal quotes from Crombie Lockwood. The new schedule was approved M Martin, with assistance from Simon Cooper (NZTR), will be drafting an updated constitution for the NZTBA to take into account anticipated changes to the Incorporated Societies Act (1908) L Bleakley stated that the CD branch did not appear to have a branch constitution. M Martin advised that each branch should have a Branch copy filed, and maybe they could find a copy registered at the Companies Office L Bleakley also asked whether each branch needs to be independently audited. J Fokerd confirmed that this was indeed the case, but an audit review may suffice if formally agreed to by the branch committee under their Constitution NZTBA Council Nominations for 2016/17 M Martin said that nominations for this year s election of members to the Council will be sent to members and branch committees before the end of March with a closing date of Friday 6 th May for nominations. The meeting closed at 3.45 pm Retiring Council members were asked to advise M Martin by Friday 18 th March of their availability for re-election. M Martin reminded Council members that any financial member may nominate another financial member for election to regional vacancies, provided the nominator and nominee reside in the same region. Signed Date 5