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03380 Alpine AR FINAL Alpine Resorts Co-ordinating Council Annual Report 2002/03 This report covers the period 1 July 2002 to 30 June 2003, in accordance with the relevant provisions of the Financial Management Act 1994. Contents 2002-2003 IN REVIEW 4 Chairperson's Report 4 2002-2003 Key Achievements 5 Review of Operations and Financial Conditions 6 CORPORATE GOVERNANCE 7 Introduction 7 Council Mission 7 Organisational Chart 7 Undertakings and Services Provided 7 Council Meetings 8 Membership 8 Freedom of Information 10 Reporting Requirements under Part II of the Freedom of Information Act 1982 10 Reporting Requirements under the Financial Management Act 1994 10 Reporting Requirements under the Whistleblowers Protection Act 2001 11 FINANCIAL REPORTS 12 Certification of Financial Statements 12 Statement of Financial Performance for Year Ended 30 June 2003 12 Statement of Cash Flows for Year Ended 30 June 2003 13 Statement of Financial Position as at 30 June 2003 13 Notes to and forming part of the Financial Report 14 Auditor-General's Report 20 Compliance Index 21 3 2002/03 in Review CHAIRPERSON'S REPORT The Council continues to provide a forum for addressing a range of The Council has been instrumental in tackling the issue of industry wide issues that face Alpine Resort Management Boards adaptability of alpine areas to climate change and has coordinated (ARMBs). the finalisation of a comprehensive, cooperative research study by Council played a critical role in addressing the problems faced by CSIRO, funded by a range of Victorian, New South Wales, the small resorts (Lake Mountain, Mt Baw Baw and Mt Stirling) in Commonwealth, and private sector partners. The final report was trying to achieve viable futures, as well as dealing with released in August 2003. fundamental structural problems affecting all Alpine Resorts. Of On a personal note, I resigned as the Chairperson of particular concern was the system of support payments made by the Board of Alpine Resorts Tourism (BART) in December 2002, after ARMBs at the large resorts (Falls Creek, Mt Buller and Mt Hotham) participating in the establishment of BART and achieving a sound to the small resorts. Council is delighted to be able to say that financial base. I know that BART is in capable hands under the subsequent to the reporting date, its efforts proved to have been chairpersonship of Mr Peter Gromotka. successful. The Government has now adopted a reform package for I would like to thank members of the Council for their diligence in Alpine Resorts, resolving problems that had been present since the dealing with the many challenges associated with alpine resort formation of ARMBs in 1998, and incorporating almost every management and for their assistance and support. I would also recommendation made by the Council. These reforms provide the like to thank the staff of the Department of Sustainability and Alpine Resorts with an unparalleled opportunity to become truly Environment for the provision of executive support, without which viable and sustainable and contribute to the prosperity of their the Council would have been unable to discharge its functions. regional communities and Victoria. Finally I would like to express particular thanks to Council members, The Council has continued its significant role in the finalisation of Board members and staff, Department of Sustainability and alpine leasing policies that ensure that the resorts are an attractive Environment and Parks Victoria staff, Country Fire Authority investment choice. After extensive consultation with stakeholders volunteers, other emergency workers, resort and sub-alpine town and the Alpine Resort Management Boards the Minister approved communities, and the public for their courageous efforts in the Alpine Resorts Leasing Policy Implementation Details paper on protecting the Alpine Resort assets at Falls Creek and Mt Hotham 24 October 2002, designed to implement the Alpine Resorts during the north-eastern alpine fires. I would also like to thank all Leasing Policy previously approved by Government in March 2002. those involved for their efforts in re-building the resorts to enable The Council played an important role in reviewing the submissions the resorts to operate successfully for the 2003 winter season for to the Alpine Resorts 2020 Discussion Paper released in April 2002 the enjoyment of all visitors to our precious Alpine Resorts. and in the preparation of the Alpine Resort 2020 Draft Strategy that was released for public consultation in August 2003. Warick Leeming Chairperson 4 Alpine Resorts Co-ordinating Council Annual Report 2002/03 2002/03 KEY ACHIEVEMENTS During the report period the Council: • was actively involved in the development of the • established a Small Resorts Funding Arrangements Alpine Resorts Leasing Policy Implementation Working Party to develop a funding framework for Details, approved by the Minister in October 2002. the three small resorts (Lake Mountain, Mt Baw That approval represented the culmination of a Baw and Mt Stirling) that provides clarity about significant effort to reform leasing policy that had their future strategic direction and establishes commenced in 1998; financial support frameworks and timelines for • reviewed submissions on the Alpine Resorts 2020 implementation. The Council’s report, presented to Discussion Paper (released in April 2002 with Government in June 2003 also raised a number of submissions closing in July 2002) and participated in other issues common to all Alpine Resorts; the work of the 2020 Working Group chaired by the • played a major role in the Board of Alpine Resorts Hon John Button. That group, comprising a wide Tourism (BART), participating in workshops with range of Alpine Resort stakeholders and interested Tourism Victoria and contributing to the overall parties, also reviewed the submissions on the Alpine strategic direction of Victorian alpine resorts joint Resorts presented its report to the Minister in marketing; February 2003; This will inform the development • continued its watching brief on the land stability risk of the final Alpine Resorts 2020 Strategy, being management programs being undertaken by the undertaken to assist the Victorian Alpine Resorts with Alpine Resort Management Boards (ARMBs); and planning for future developments and tourism trends; • provided a forum for discussion on resort-wide • worked with CSIRO and a number of public and strategic issues including: the implications of new private sector parties involved in Australian alpine legislation: comparison of costs between Alpine areas to finalise the Alpine Resorts Climate Change Resorts; valuations at Alpine Resorts; access to Study, a research report prepared by CSIRO to model alternative funding sources; review of entry in an integrated manner future natural snow cover regulations; insurance waivers; and insurance and capacity for man-made snow cover within the premiums. Australian alpine region, including the effects of climate change. For the first time all relevant Commonwealth and State agencies as well as the Australian Ski Areas Association are participating in a comprehensive study covering all alpine resorts in Victoria and New South Wales as well as selected sites of environmental significance, facilitated by the Council; 5 REVIEW OF OPERATIONS AND FINANCIAL CONDITIONS Five Year Financial Summary 2002-2003 2001-2002 2000-2001 1999-2000 1998-1999* Revenue from Support Payments 240,599 97,846 90,918 78,055 68,676 Other Revenue 67,182 28,809 2,416 41,711 706 Total Revenue 307,781 126,655 93,334 119,766 69,382 Operating Expenses 229,004 155,514 165,107 78,454 43,894 Net Operating Result 78,777 (28,859) (71,773) 41,312 25,488 Total Assets 187,352 50,907 59,614 73,800 28,938 Total Liabilities 142,407 84,739 64,587 7,000 3,450 * The Council was established on 30 April 1998. The 1998-1999 report covers the period 30 April 1998 to 30 June 1999. The Council receives its funding chiefly from contributions by Detailed financial information about the performance the ARMBs. In the financial year ending 30 June 2003 the of the Council is contained in the financial statements Council’s operating result was affected by the timing of receipt contained in this report. of payments from the ARMBs. The Council does not foresee any issues in relation to its future performance. 6 Alpine Resorts Co-ordinating Council Annual Report 2002/03 Corporate Governance INTRODUCTION The Council was established in accordance with the The Council does not employ staff. Administrative and provisions of the Alpine Resorts (Management) Act secretariat support is provided by the Coasts, Alps and 1997 (the Act) and reports to, and is responsible to, Recreation Branch of the Department of Sustainability the Minister for Environment. The statutory functions and Environment (DSE). Mr Stuart Bowe, Deputy of the Council are set out in Section 18 of the Act, Director, Coasts, Alps and Recreation, is the Council’s and in summary they are to: Executive Officer. • attract investment for the improvement of Operations are managed in accordance with DSE alpine resorts; procedures and guidelines for expenditure, purchasing, reporting, occupational health and safety and industrial • coordinate overall promotion of alpine resorts relations and related issues. in conjunction with Tourism Victoria; • make recommendations to the Minister on matters UNDERTAKINGS AND SERVICES PROVIDED related to the provision of services within the alpine The Council provides a forum for discussion and resorts; and consultation on issues
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