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2017 Annual Report

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2017 Annual Report ANNUAL REPORT 2017 MISSION STATEMENT CONTENTS To establish a dynamic NSW Thoroughbred Racing Industry Chairman’s Report 2 which advances participation, Chief Executive’s Report 3 ensures integrity and delivers quality racing at all levels Industry 11 Regulatory 15 Integrity 23 VISION Veterinary Services 26 Provide a committed, user-friendly, Laboratory 28 professional and cost-effective administration which uses best business Marketing & PR 30 practice in serving all aspects of the BOBS 34 NSW Thoroughbred Racing Industry. Provide Leadership and Strategic Industry Welfare 36 Direction to ensure the NSW Appeals 38 Thoroughbred Racing Industry achieves revenue growth, profitability and Insurance 40 greater returns to Owners and IT 43 Industry Participants. RICG 44 Provide a Racing Product that appeals to all demographics, and takes all actions Obituaries 45 necessary to guarantee integrity and Group & Listed Winners 46 confidence in the sport. Financial Statements 50 Maximise betting turnover on NSW Thoroughbred race meetings by accommodating punters’ needs and Front cover: Sydney’s champions for the desires, and work with Tabcorp to 2016/17 racing season (L-R): Hugh Bowman, promote new wagering products that Chris Waller, Andrew Adkins and Winx reflect changes in demand. CURRENT MEMBERS OF THE BOARD R Balding AO (Russell) A G Hodgson AM (Tony) P N V’landys AM (Peter) The Hon K P Greene (Kevin) CHAIRMAN DEPUTY CHAIRMAN RACING NSW CHIEF EXECUTIVE Re-appointed Re-appointed Re-appointed Appointed 23 February 2004 19 December 2014 19 December 2015 19 December 2016 Attended 10 meetings Attended 10 meetings Attended 10 meetings Attended 10 meetings Mrs S Cooke (Saranne) Ms C Molyneux-Richards S Tuxen (Simon) A Shepherd AO (Anthony) Appointed 19 December 2015 (Carole) Appointed 3 November 2016 Appointed 1 January 2017 Attended 10 meetings Appointed 19 December 2014 Attended 6 meetings Attended 4 meetings Attended 9 meetings PAST MEMBERS OF THE BOARD J M Messara AM (John) Ms J Owen (Jennifer) CHAIRMAN Appointed 19 December 2015 Appointed 19 December 2015 Attended 2 Meetings Attended 5 Meetings FUNCTIONS OF THE BOARD Under section 13(1) of the Thoroughbred Racing Act industry in the State and the protection of the public (NSW) 1996, the Board has the following functions: interest as it relates to the horse racing industry, a) all the functions of the principal club for New South d) functions with respect to the insuring of participants Wales and committee of the principal club for New in the horse racing industry, being functions of the South Wales under the Australian Rules of Racing, kind exercised by the ATC on the commencement of b) to control, supervise and regulate horse racing in this section, and such other functions with respect the State, to insurance in the horse racing industry as may be b1) such functions in relation to the business, economic prescribed by the regulations, development and strategic development of the horse e) such functions as may be conferred or imposed racing industry in the State as are conferred or on Racing NSW by or under the Australian Rules of imposed by this Act, Racing or any other Act, c) to initiate, develop and implement policies f) such functions with respect to horse racing in considered conducive to the promotion, strategic New South Wales as may be prescribed by the development and welfare of the horse racing regulations. CHAIRMAN’S REPORT Russell Balding AO Chairman The Hon Paul Toole, MP The additional revenue also enabled Racing NSW to Minister for Lands and Forestry, and Minister for Racing confirm its commitment to animal welfare by establishing Parliament House a Horse Welfare Fund which is funded predominately Macquarie Street by a deduction of 1% of all prizemoney paid in NSW. It is Sydney, NSW 2000 estimated that $2 million will be taken from prizemoney and paid into the fund each year and used for the care of all NSW thoroughbred horses following the end of their Dear Minister racing careers. A highlight of the year was the announcement of the n accordance with Section 29 of the Thoroughbred inaugural running of The Everest at Royal Randwick on Racing Act 1996, I am pleased to submit to you the 14 October 2017 with subsequent events to be held on I21st Annual Report of Racing NSW (formerly the NSW the second Saturday of October each year. The Everest Thoroughbred Racing Board) covering the period 1 July is a $10 million race with entry being eligible to persons 2016 to 30 June 2017. or syndicates who purchased slots entitling them to Board meetings were held on 10 occasions throughout participate. The race will be held over 1200 metres making this period and I acknowledge the contributions and it the richest 1200 metre race in the world. It will also support of my fellow Board members. The industry become the richest race in the world conducted on turf. continues to be well served by a Board which is comprised The year also saw the fourth running of The of members with an excellent mix of financial, commercial Championships which were again conducted successfully. and industry experience. As in previous years the Provincial and Country During the year, former Chairman, John Messara AM Championships series played an important role in the retired following five years in that position. Throughout his success of the overall event and provided added impetus chairmanship, John provided outstanding leadership and to the reinvigoration of racing in those areas. oversaw several major initiatives which have placed the With The Championships in the autumn and the industry on a sound footing for years to come, including proposed running of The Everest together with an the attainment of tax parity and the implementation of enhanced program of supporting races in the spring, The Championships. On behalf of the industry I thank Sydney is well positioned to maintain a dominant role in John for his dedicated service to thoroughbred racing in world racing. New South Wales. On behalf of the Board I thank and acknowledge the Board Member Ms. Jennifer Owen also retired during Chief Executive, Peter V’landys AM and the staff of Racing the year and I thank her for her contributions during NSW for their dedication and support. Peter and his team the term of her appointment. The positions vacated by continue to provide outstanding service to the NSW the retirement of John and Jennifer were filled by Tony Thoroughbred Racing Industry and must be congratulated Shepherd AO and Simon Tuxen and I welcome them to the on their achievements during the year. Board and congratulate them on their appointments. Finally, I would like to congratulate you on your The additional revenue generated following the appointment as Minister for Racing and thank you enactment of legislation by your Government to grant tax and your personal staff, as well as your Departmental parity with the Victorian Racing Industry is now flowing Officers for your assistance and support during the year. to the industry. This revenue is putting the industry on In addition, I must acknowledge your predecessor, The a more sustainable footing by enabling Racing NSW to Hon. Troy, Grant MP who contributed significantly to the complete the major objectives in its strategic plan and industry during his term of office in the racing portfolio. continue with the implementation of policies aimed at enhancing the livelihoods of the industry’s participants including the provision of major prizemoney increases and Yours Sincerely reinvigorating racing in the Provincial and Country regions Russell Balding AO of the State. Chairman 2 Annual Report 2017 CHIEF EXECUTIVE’S REPORT Peter V’landys AM Chief Executive Highlights the increasing complexities and functions of its supervisory and regulatory roles. The 2016/17 year was again a momentous year for All of the aforementioned accumulated savings the NSW Thoroughbred Racing Industry with major of Racing NSW have been passed on to race clubs initiatives being either announced or implemented. over that period to be distributed to participants. These include: ●● Significant prizemoney increases which saw returns to owners increase from $196.5 million in Workers Compensation the previous year to $228 million in this financial Division year; The Racing NSW Workers Compensation Fund is ●● The development of ‘The Everest’ which will carry not for profit and its objective is to collect sufficient prizemoney of $10 million, making it Australia’s premiums to cover the claims and future liabilities. richest race and the world’s richest race on turf; During 2016/17 the Fund received 547 new ●● The establishment of an Equine Welfare claims which was a minor increase on the claims Program to be funded from a 1% deduction of all prizemoney paid. The principal objective of the received during 2015/16. program will be to rehome every thoroughbred The Fund returned a surplus of $587, 594 for the horse which was predominantly domiciled in year. The actuarial estimate of the future liability of NSW, no matter if it raced or not; the Fund at 30 June 2017 was $42.3 million, which was a decrease of $600,000 on the estimate at 30 ●● The purchase of a 2,600-acre property at Capertee June 2016 of $42.9 million. Accordingly, a total of for use in the Equine Welfare Program and other $1.2 million went to reserves. Racing NSW strategic pursuits, and The Racing NSW Workers Compensation Fund ●● 2016/17 was a record year for wagering turnover currently maintains a reserve of $1.419 million. The on NSW thoroughbred racing. Total wagering Fund has performed soundly over recent years turnover over the period increased 8% against having overcome a deficit which peaked at $9.2 2015/16. Just as pleasing was that the 8% million at the end of the 2010/11 financial year.
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