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Melbourne and Olympic Parks ANNUAL REPORT 2013 ANNUAL REPORT 2013 A CONTENTS Governance 4–5 The Chairman’s Report 6 The CEO’s Report 7 Highlights 2012-13 9 Our Partners 11 Financial Overview 12 Financial Statements 13–41 Administrative Reporting Requirements 43–45 Disclosure Index 46 ANNUAL REPORT 2013 3 GOVERNANCE Establishment • To be responsible for proper financial management of the National Tennis Centre and Olympic Park The Melbourne and Olympic Parks Trust (MOPT) was established • To provide for the planning, development, promotion, on 5 October 1995 pursuant to the provisions of The Melbourne management, operation and use of other sports, recreation and and Olympic Parks Act 1985 (as amended). It was created by entertainment facilities and services in Victoria the merger of the National Tennis Centre Trust (established 13 Nov 1985) and the Olympic Park Committee of Management • To provide for the development, promotion, management, (formed originally in 1909). The Act is jointly administered by operation and use of facilities and services for the parking both the Premier of Victoria, the Honourable Denis Napthine, of vehicles and other necessary services to be used in and the Minister for Sport and Recreation, the Honourable Hugh conjunction with any of the facilities operated or managed by Delahunty. the Trust • To provide for the management of Gosch’s Paddock by The Melbourne and Olympic Parks Act 1985 the Trust as a committee of management under the Crown Lands (Reserves) Act 1978. The Purpose of the Act: The purposes of the Act as outlined in section 3 are: Melbourne and Olympic Parks’ • To create a Melbourne and Olympic Parks Trust to administer Formula for Success the National Tennis Centre, Olympic Park and certain other land and facilities for the purposes of tennis, other sports, Purpose recreation and entertainment Australia’s heart of sport and entertainment - where the world • To provide for the management and operation of the comes to play. National Tennis Centre and Olympic Park Our Goals • To provide for the use and promotion of the National Tennis In the context of an expanding precinct and substantial new Centre and Olympic Park infrastructure investment, we must: • To provide for the development, promotion, management, 1. Maintain our financial sustainability operation and use of sports, recreation and entertainment facilities and services in Victoria in addition to those at the 2. Increase benefits to the people of Victoria National Tennis Centre and Olympic Park. 3. Ensure the customer experience is at the heart of everything Under the Act the Trust has the following primary functions: we do. • To accept appointment and act as a committee of 4. Grow our utilisation by expanding into new markets. management of Crown lands. 5. Transform our business processes to deliver cost effective • To be responsible for the care, improvement, use and services. promotion of the National Tennis Centre and Olympic 6. Build an Achievement Culture - develop leaders who Park as facilities for tennis, other sports, recreation and consistently achieve outstanding results and help others entertainment achieve. • To operate the National Tennis Centre and Olympic Park efficiently and effectively to obtain the best possible use of the facilities • To provide planning for the operation of the National Tennis Centre and Olympic Park which is coordinated between the two facilities 4 MELBOURNE & OLYMPIC ParKS TrUST GOVERNANCE TRUSTEES Russell Caplan Tim Jacobs (to 19/4/13) Diana Nicholson* Ray Smith Deborah Beale* Kate Joel (to 6/4/13) Geoffrey Pollard AM David Stobart The Honourable John Cain Sue Nattrass AO (to 17/11/12) Kenneth Roche AO (from 15/5/13) Scott Tanner (to 18/1/13) *reoppointed during the year EXECUTIVE GROUP Brian Morris - Chief Executive Officer Travis Mardling - Chief Financial Officer Russell Fakira - Director of People and Culture Shane Mates – General Manager AAMI Park Chris Forbes - Business Development Specialist Geoff McDonald - Director of Infrastructure Enna Giampiccolo - Corporate Communications Manager Mark Zundans – Director of Operations Melbourne Park Statement of Corporate Governance Finance Audit and Risk Committee Procedures have been established at the Trust and executive The Trust has established a Finance Audit and Risk Committee to management level, which are designed to safeguard the assets advise the Trust in relation to matters falling into the broad areas of: and interests of the Trust and to ensure integrity of reporting. The • Financial reporting, accounting policies and internal controls Trust acknowledges the need for and continued maintenance of the highest standards of corporate governance practice and • Risk management ethical conduct by all Trustees and employees of the Trust. • Governance • Funding Remuneration Committee The Committee meets monthly or more often as required and The Trust has established a Remuneration Committee to govern makes recommendations to the Trust on specific issues. the Trust’s policy and practise for executive remuneration and to determine the individual remuneration packages for its The Members of the Committee during the year ended executive staff. The Committee meets as required and makes 30 June 2013 were: recommendations to the Trust on specific issues. The members of Ray Smith (Chair) Sue Nattrass (to 17/11/12) the Committee during Deborah Beale Diana Nicholson (from 17/4/13) the year ended 30 June 2013 were: John Cain (to 18/1/13) Geoff Pollard Russell Caplan (Chair) Russell Caplan Diana Nicholson Geoff Pollard All Finance, Audit & Risk Committee members are independent Ray Smith from management. Strategic Planning Committee The Trust’s Strategic Planning Committee is established to provide independent and expert advice to assist the Trust to discharge its strategic planning responsibilities. The Members of the Committee during the year ended 30 June 2013 were: Russell Caplan (Chair) Kate Joel Deborah Beale Ray Smith Tim Jacobs Scott Tanner ANNUAL REPORT 2013 5 THE CHAIRMAN’S REPORT A year of wide-ranging events generated a positive financial Significantly, further improved amenities at Olympic Park Oval result for the Melbourne and Olympic Parks Trust. Extensive will target female user groups with the planned CFC Community redevelopment of the precinct continued as the long term Centre including new public changeroom facilities and a Health, masterplan was implemented, addressing the needs of the Wellness and Fitness Centre encouraging more women to utilise Australian Open and other stakeholders. Maintaining M&OP’s the area. And at the high performance end, the Melbourne Vixens financial strength during the redevelopment period has been a will enjoy an international netball training facility and home base challenge as costs will increase before upgraded infrastructure at the recently refurbished Westpac Centre. such as Margaret Court Arena is operational. AAMI Park continued to be a source of admiration and entrenched The year produced many highlights, including another terrific itself as an integral part of Melbourne’s sporting landscape. Australian Open attendance of 684,457 patrons. The tournament For the second year running the Stadium won the Professional broke the worldwide Grand Slam one-day attendance record when Footballers Association ‘Best Pitch’ award and ‘Best Match Day 80,735 fans congregated for the middle Saturday. In the men’s Atmosphere’ via Melbourne Victory’s passionate supporter group. final Novak Djokovic won his fourth Australian Open defeating The fan experience was perhaps best illustrated by the Melbourne Andy Murray in four sets. Victoria Azarenka also defended her title Rebels v British & Irish Lions match and the crowd’s deafening in the women’s singles, defeating Li Na. In a promising result for roar, many of whom dressed wonderfully for the occasion. local fans, Jarmila Gajdošová and Matthew Ebden won the mixed Congratulations must be afforded our long term tenant Melbourne doubles, and in an all-Australian boys’ final, Nick Kyrgios defeated Storm. Their 2012 NRL Premiership triumph was a richly Thanasi Kokkinakis. deserved prize for their loyal members and a testament to the The new Margaret Court Arena, including an operable roof, professionalism of the club. improved public facilities and increased capacity to 7,500, has In line with global trends there were fewer Rod Laver Arena progressed considerably and is due for completion in 2015. This concert days than last year; however the arena is still reported will make the Australian Open the only Grand Slam boasting three by international live music industry trade magazines as being feature courts with operable roofs and will further enhance our amongst the world’s top live music arenas. year-round suite of sport and entertainment facilities. On behalf of the Trustees, I would like to recognise and thank retiring Subsequent to the detailed design and business case member John Cain for his outstanding contribution and service to in preparation for the next stage of the Melbourne Park this precinct, having been a driving force behind the original National redevelopment, further plans have been developed for upgrading Tennis Centre as Victorian Premier in the mid 1980’s, before a long Rod Laver Arena, the creation of new public spaces and amenities, tenure on the Melbourne & Olympic Parks board. as well as improved player, media and broadcast facilities. I’d also like to thank the another outgoing Trustee Sue Nattrass. A An important part of the Trust’s purpose is to ensure public staunch advocate for AAMI Park, its iconic lighting display and unique access to the precinct for recreational use. The new Eastern architectural design has much to do with Sue’s artistic vision. Plaza redevelopment, which includes an elevated plaza linking AAMI Park and the MCG, parking for 1,000 cars and a National On behalf of the Trustees I would also like to express my thanks Tennis Centre to provide a world class sport development facility, to the Premier of Victoria, the Honourable Denis Napthine, and was completed in January. Importantly, the indoor and outdoor the Minister for Sport and Veterans’ Affairs, the Honourable Hugh complex is available to the general public throughout the year.
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