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Boating Industry Association Ltd ANNUAL REPORT 2018

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Page 1: 2018 - BIA

Boating Industry Association ltd

AnnuAl RepoRt

2018

Page 2: 2018 - BIA

BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 2

Page 3: 2018 - BIA

BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 3

Index Page

Governance and People 4

President’s Report 7

Working for Member and Industry Prosperity 8

Membership 10

Advocacy and Representation 13

New South Wales 15

Queensland 16

South Australia 17

International 18

Marketing 20

Events 23

Queensland Chairman’s Report 25

NSW Chairman’s Report 26

South Australian Chairman’s Report 27

Houseboat Hirers Division Chairman’s Report 28

Commercial Vessel Division Chairman’s Report 29

Marine Brokers Division Chairman’s Report 30

Financial Report 31

Financial Summary 32

Statement of Financial Position as at 31 December 2018 33

Page 4: 2018 - BIA

BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 4

Governance and People The Boating Industry Association is governed by a voluntary National Board chaired by Alan Blake and supported by professional staff.

Running alongside member forums are the regular state council meetings, one of the key elements of BIA governance, where member-elected representatives gather to provide oversight of state-specific issues and projects and provide local guidance and input to the national board and executive.

The state councils meet four times per year, just ahead of when the national board convenes. A chairman of each state council is supported by up to 10 councillors, drawn from the varied cross-section of BIA membership. From this number, three councillors are then nominated to serve on the BIA national board. As purely volunteer positions, state councillors put in a great deal of effort to represent their peers, and thanks are due to them for their dedication in looking after local affairs. BOARD OF DIRECTORS 2018

Director Member Company Position State

Alan Blake Blakes Marine Pty Ltd President NSW

Rob Cuming Christies Beach Marine Vice President SA

Allen Buckley Riverdance Houseboat Director SA

Simon Cook (appointed 12 Nov 2018) Cook Family Enterprises Pty Ltd Director NSW

Craig Evans (resigned 15 Nov 2018) Cruising Yacht Club of SA Director SA

Matthew Hodson John Crawford Marine Director QLD

Michael Jarvin Advanced Marina Management Pty Ltd Director NSW

Nicholas Kitchen Yamaha Motor Australia Director QLD

Stuart Myles (appointed 11 Dec 2018) Elite Ski Boats Director SA

Nathan Nichols Cruise Craft Boats Pty Ltd Director QLD

David Randall (resigned 11 Sep 2018) Royal Prince Alfred Yacht Club Director QLD

Darren Vaux Empire Marina Bobbin Head Pty Ltd Director NSW

Page 5: 2018 - BIA

BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 5

NEW SOUTH WALES STATE COUNCIL 2018

Councillor Member Company Position

Alan Blake Blakes Marine Pty Ltd Chairman

Adam Brown NM Insurance Pty Ltd Councillor

Paul Burgess Bluewater Marine Surveyors Councillor

Simon Cook Cook Family Enterprises Pty Ltd Councillor

Ian Ford Bass & Flinders Councillor

Jon Hunt Hunts Marine Pty Ltd Councillor

Michael Jarvin Advanced Marina Management Pty Ltd

Councillor

David Randall (resigned 18 Sep 2018) Royal Prince Alfred Yacht Club Councillor

Shannon Stocks Shannon Outboard Service Councillor

Terry Wise Pacific Sailing School Pty Ltd Councillor

QUEENSLAND STATE COUNCIL 2018

Councillor Member Company Position

Andrew Fielding Anchorline Yacht Brokers Chairman

Aaron Goodchild Brisbane Yamaha Councillor

Johan Hasser Mulpha Sanctuary Cove International Boat Show Pty Ltd

Councillor

Matthew Hodson John Crawford Marine Councillor

Nicholas Kitchen Yamaha Motor Australia Councillor

Nathan Nichols Cruise Craft Boats Pty Ltd Councillor

Peter Ruhle Boating & RV Councillor

Steve Sammes Gold Coast City Marina Councillor

Page 6: 2018 - BIA

BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 6

SOUTH AUSTRALIAN STATE COUNCIL 2018

BOATING INDUSTRY ASSOCIATION LTD

STAFF 2018

Howard Glenn (resigned March 2018) Chief Executive Officer and Company Secretary

Domenic Genua General Manager, Marketing Events & Communications

Nik Parker General Manager, Advocacy & Member Services

Simon Hazelbrook Financial Controller Company Secretary from April 2018

Jenny Bellaver Membership Services, National

Alicia Blackett (part-time) Operations Coordinator

George Bolton Member Services, South Australia & Northern Territory

Michael Date Member Services, Queensland

Linda Edge Office Administration and Reception

Julie Harris (resigned March 2018) Executive Assistant to CEO/Office Coordinator

Phil McDermott Marketing, Events & Special Projects

Corrina McMillan (resigned April 2018) Education & Training Coordinator

Megan Robson Marketing & Communications Coordinator

James Thompson Operations Manager

Peter Tucker (retired August 2018) General Manager, Houseboat Hirers

Shane Wilson Member Services, New South Wales

Robyn Wingrove Marketing & Events Coordinator

Councillor Member Company Position

Rob Cuming Christies Beach Marine Chairman

Ken Bampton Orlando Houseboat Councillor

David Binks Binks Marine Councillor

Allen Buckley Riverdance Houseboat Councillor

Tim Cook Club Marine Limited Councillor

Andrew Craddock Marina Adelaide Councillor

Craig Evans (resigned 15 Nov 2018) Cruising Yacht Club of SA Councillor

Trish Flaherty NM Insurance Pty Ltd Councillor

Dean Forster Stress Free Marine Pty Ltd Councillor

Stuart Myles Elite Ski Boats Councillor

Steve Ottaway Cape Jaffa Anchorage Councillor

Page 7: 2018 - BIA

BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 7

Alan Blake

President’s Report 2018 proved to be a very productive year for the Association. The Board, Management and Staff adapted positively to changing circumstances and a number of major deviations in the operation of the business.

As the member-elected Board, our focus remained on member and industry prosperity. The Boating Industry Association Ltd was borne as a result of the amalgamation of the BIA NSW, BIA SA and Marine Queensland, which at that time also incorporated BIA NT. Whilst geographically our membership territory originally covered New South Wales, SA, NT & Queensland, our current membership base includes numerous organisations in other states. This bodes well with our philosophy that boating has no borders.

We remain committed to supporting and working with the BIA of Victoria and WA, as we do with the many other kindred Association bodies, such as the MIA & AIMEX with whom we happily cooperate on any projects that benefit our members.

The board was driven to deliver our key responsibilities of:

• Financial management • Organisation development • The advancement of the boating lifestyle

• A program of Boat Shows • Member support and programs • Advocacy across local and national issues

The change in circumstances pertaining to our Association’s management allowed the BIA to pause and reflect on our priorities. It was imperative that the efforts of the Association body were clearly focused on the needs of our members, their business growth, health and success.

With this, your Board of Directors decided to invest time and effort through 2018 in conducting a review of our position, strengths, weaknesses and needs of industry. The Boating Industry Association always has an active business plan, however periodically the need arises to complete a total overhaul and renewal of our position. Whilst many elements of existing plans remain relevant, the overhaul allows your Association to clean out those activities that are not returning any benefit to members, rejuvenate those that are, and implement newly needed ones.

After a year of review and work by the BIA Team, on 11 December your Board approved a 5-year plan with Member Prosperity at the forefront of all future efforts. The required work has been identified and to ensure efficiency, our path forward has been classified into four pillars of activity. To further invest in our future, your Board have also approved a human resource structure designed for effective delivery and success.

An overview of the Business Plan 2019 to 2023 is included in this Annual Report.

I take this opportunity to thank the staff of the organisation for their work in 2018. I also thank the many members who volunteer their time on our three State Councils, and my fellow Board of Directors.

2018 was a success, and 2019 is shaping to be rewarding for our industry with new milestones and industry beneficial programs. Alan Blake President

Page 8: 2018 - BIA

BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 8

Working for Member and Industry Prosperity Business Plan 2019 to 2023 Overview

The Business Plan 2019 to 2023 respects the Constitution of the Boating Industry Association Ltd, first registered in 1970.

The Board of Directors of the Boating Industry Association Ltd recognised the Constitution as part of the future planning process and ensured that decisions did not oppose rules within the Constitution, unless it is determined that a modification to the Constitution is warranted to ensure the Association remains relevant.

The charter of the Association is designed to assist the recreational boating industry prosper. Sectors within recreational boating include any groups of like-minded businesses that provide a forum or pathway, either directly or indirectly, that supports participation in recreational boating or associated water sports.

The process of identifying the industry needs provided the foundation for a structure of efforts required, with the objective of improving member prosperity.

The four pillars of work in the Business Plan are:

1. Consumer Interface (Marketing & Events): To increase participation in recreational boating programs by providing the forum for information, education, engagement and experience of the lifestyle. To educate and entice the public into the recreational boating lifestyle.

2. Advocacy: To remain at the forefront of conversation by ensuring we remain the principal industry voice with government, influencers and stakeholders at all levels. Advocacy for the benefit of industry and consumers.

3. Membership Enrichment (Services & Support): To provide a forum, environment and infrastructure from which members can be empowered to achieve their desired objectives and improve their business prosperity. The support of members to improve business results.

4. Mechanic (Corporate Delivery): To fortify the Association body through good business practice, protection of the brand and its intellectual property, improved skill sets and productivity of its human resources, the protection of its financial assets, and the implementation of positive revenue activations to enable its ongoing service to industry. Structured and responsible business practices for the longevity of the Association body.

In summary: Member prosperity through heightened consumer engagement in recreational boating; positive engagement with government and stakeholders; improved member services and support; and a responsible business model for the longevity of the Association.

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BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 9

What are our strategic milestones to achieve our objectives?

• A revival of a structured consumer campaign and the design of a platform for ongoing consumer enticement into recreational boating.

• To persuade and assist authorities in delivery of more boating facilities and the empowerment of our members, through better tenure conditions, to provide an improved land water interface for recreational boaters.

• The maintenance and protection of existing successful boat shows, the refreshment of fledgling events and procurement of new events where market needs are identified.

• To have a government/stakeholder communication and interactivity plan with an ongoing engagement model active.

• The development, activation and delivery of an all-encompassing member service package. • To enhance the prosperity of members and the boating industry as a whole through member beneficial

programs, benefits and services. • To develop a strong collaborative, productive and motivated team within the Association. • To instill productive processes and procedures to fulfil the Association’s objectives, whilst protecting its assets

and ensuring efforts return a positive outcome to the Association and our members. • To enhance financial performance and security of the Association.

Critical to the plan is the process that the Board of Directors has adopted for the management, control and delivery of the plan.

Within the four pillars of work are 156 activities to be delivered. Each activity is unique in its nature, importance and effort required for its successful delivery.

Each activity has been classified as Critical, Important or Preferred. Responsibility for each activity is associated with a team leader and cohorts are noted where teams from more than one facet of the business are needed for a successful conclusion.

Resources to deliver the Business Plan have been identified, and in doing so the Board has approved the investment in further resources where industry needs are not being met. The new structure involves an Executive Management Team which will drive the success of the Association, replacing the role of Chief Executive Officer. Investment in voids within the team, particularly in the area of Advocacy, Member Services, Finance and Administration will be made, as opposed to the employment of a new singular head for the Association.

The Executive Management Team is made up of:

• Head of Marketing and Events • Head of Advocacy • Head of Membership • Head of Finance & Administration • The Association President • Two (2) Directors elected by the Board

The Executive Management Team meets monthly or more regularly as required, and progress reports are delivered by each Departmental Head at the Board of Directors meetings where activities will be noted as Complete, Work in Progress, Stalled or No activity.

The plan has been costed and a three-year budget to deliver improved services to industry has been approved. Further details of the plan can be found within the Members Area of the BIA website.

Page 10: 2018 - BIA

BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 10

Membership Membership profile 2018

Membership numbers as at end November 2018 had reached 824, consisting of a make-up of 799 full financial members and 25 life members.

The annual membership renewal for 2018 was a great success with 699 members renewing from the membership list covering principally NSW, SA and Qld. This is an 87% retention rate, considered excellent in an industry association. In addition, 100 new members joined during the year. While there were also a number of memberships not renewed, this was mostly due to consolidation of businesses or smaller businesses where the owner was retiring. Overall, this is good for the future of the boating industry and association itself, showing confidence in the industry and the value of being a member. Included in these numbers were 16 new members registered following an extension of membership to businesses in Northern Territory.

The state-by-state breakdown of members shows that NSW is considerably the strongest membership base, with 427 members. There are a further 234 in Queensland, 97 in SA, 16 in NT and 25 reporting a head office based in another state, including 2 overseas.

Across the national membership, 42% of companies reported a turnover of less than $500,000, in line with previous national surveys of the value of the sector. Of this number, around a quarter are sole-traders, the remainder employing two or three people. The highest proportion of these tier one members is in South Australia, with around 74% being considered micro-businesses. Queensland members showed the lowest percentage of tier one memberships at 41% (an increase of 3% over 2017) and the highest level of tier five memberships at 9%, a significant increase over 2017. Connecting with members

During the year, the BIA Member Services team has met members in locations up and down the East Coast and across South Australia, with member forums being the setting for over 200 members to meet with BIA staff and board members to air their views, hear what’s being done for them and to be kept up to date on the range of programs and issues BIA is always proceeding with on behalf of members. A well-received program of events in Adelaide, Sydney, Gold Coast, Brisbane and Mackay set the scene for this to become a regular feature of the member engagement program. The boating industry big picture numbers

The BIA annual State of the Industry survey was conducted for the eighth successive year, with useful data collected from approximately 30% of members. The 2018 survey was also completed by members of BIAs in Victoria and WA, plus members of MIA and AIMEX, to give coverage of the full scope of the marine industry in Australia.

The survey reported that the boating industry in Australia now reports a turnover of $8.47bn with over 27,500 people directly employed by boating industry businesses. Industry sentiment was positive with 49% of respondents looking to a growth in turnover over the coming 24 months, on a par with the year before.

427

234

97 16 25

NSW QLD SA NT Other

Membership by state

Nik Parker

Page 11: 2018 - BIA

The marine industry in Australia by the numbers2018 Industry data

8.47bn$Turnover in 2017/18

People are employed by the industry, with a flow on of thousands more in tourism jobs27,685

Companies in the marine industry are predominantly smaller businesses, typically employing less than 5 people.

The marine industry covers a broad range of sectors, with boat sales, storage, yard services and charter operators leading the way.

Industry profile by sector

But with a number of larger companies in the boatbuilding and professional sectors

Industry profile by employment

Operating in the recreational boating sector in Australia

SOLE TRADER

39%

10%

22%

8%

4% 7%7%3%

LESSTHAN

5

MORETHAN 50

6-1011-15

16-2021-25

26-50

YARD SERVICES 11%

USED BOAT SALES 10%

CHARTER OPERATORS13%

NEW BOAT SALES15%

MOORING/MARINA 12%

RETAIL/WHOLESALE 10%

MANUFACTURING 6%

BOATBUILDING 6%

PROFESSIONAL 3%

OTHER 3%

SOURCE: AMIAG STATE OF THE INDUSTRY SURVEY, JULY 2018

© Boating Industry Association Ltd PO Box 1204 Crows NSW 1585 • T. (02) 9438 2077 • [email protected] Offices in: Sydney • Gold Coast • Adelaide

2,250Businesses

+

IndustriesAssociation

ENGINE SALES 11%

Page 12: 2018 - BIA

SOURCE: STATE BOATING REGISTRATION AGENCIES, JULY 2018

A nation of boaters

2million

70,000

Boating is one of the leading pastimes in Australia – over 2 million Aussies have a boat licence

Strong growth in non-poweredsectoroutdoor, healthly lifestyle.

PWC are the fastest growing sector of powered vessels

14,500

new registrations each yearThe fleet is

growing with

now registered

900,000More than

registered boats

plus as many again paddle craft, SUPs, sailing dinghies

Licences (‘000s)

Registered Boats (‘000s)

L:704

L:281

L:243

L:517

L:405L:57

B:262

B:58

B:102

B:234

B:193B:31

© Boating Industry Association Ltd PO Box 1204 Crows NSW 1585 • T. (02) 9438 2077 • [email protected] Offices in: Sydney • Gold Coast • Adelaide

non-powered watercraft

countless

are forecasting growth over the next 12 months

70%

The boating industry has seen steady, healthy growth over the last three years, picking up from a down turn in 2013 – 2015

$

1513

17 16

20

10

34

2

UNDER10 - 20M 20 - 50M5 - 10M2 - 5M1 - 2M 1 - 2M250 - 500K

MORE THAN250K $50M

% % % % % % % % %

Industry Turnover

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BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 13

Advocacy and Representation Australian Builders Plate

In the second half of the year, attention was focused on Australian Builders Plate (ABP) compliance, following an audit conducted by Maritime Safety Queensland (MSQ). This included an inspection of new boats on display at the Brisbane Boat Show in late August and visits to boat builders across Queensland, plus, as the program was joined by other states, in Vic, WA and NSW.

The initial audit showed a significant level of non-compliance across the range of boats inspected, although this was often of an administrative nature such as not displaying the ABP correctly – or not at all. However, some market segments showed clear breaches of the technical requirements of the ABP, particularly in the smaller, open boat segment, with a number of manufacturers advised that their maximum persons number was over rated.

As part of the audit finding, BIA was advised of concerns from MSQ, and other state agencies, that there may be a considerable historic problem with some boats not having been compliant with the ABP going back to its inception. Initial estimates of 10s of thousands of such boats required action by BIA on behalf of industry to understand, evaluate and look for solutions to the potential problem. Work commenced later in the year to determine a way forward, with key manufacturers engaged to discuss ABP compliance understanding and education needs, as well as a way to manage expectations concerning the existing fleet of boats. This project will continue for some time and is the precursor to the formation of a national Boat Manufacturers Division. Regulation keeping up with a changing world

In early 2017, BIA discussed with AMSA the need to consider defining a regulatory approach to new business models entering the marine sector, such as online platforms offering boat share arrangements or accommodation-only use of boats, in a manner similar to changes in the land-based transport and hotel sectors. Following lengthy discussion on this topic, AMSA released in May 2018 a consultation on a draft exemption for short-term marina accommodation, known as Exemption 27.

This consultation proved to be AMSA’s largest in terms of responses, with over 150 formal submissions made from stakeholders across the marine industry. AMSA has reported that the submissions were very much split 50:50 for and against the proposed exemption, which in itself is another significant outcome. It is unusual for any form of consultation to receive such a strong positive response, suggesting that overall the industry is ready and willing to embrace a changing world and find solutions for regulatory management of new business models.

The consultation report remained long overdue at the end of 2018 and BIA will advise members when this is available. In the meantime, extracts from the BIA submission in support of the new regulatory approach explain the broader issues the industry is seeking to address:

The BIA has a brief to promote and sustain the boating industry across Australia, ensuring the long-term success of the industry and the ongoing prosperity of members’ businesses. A key facet of this is looking for opportunities to grow the number of people participating in and enjoying the boating lifestyle. Understanding and responding to contemporary consumer trends and emerging business models that service such is vitally important and over the last two years, BIA has joined with its global peers to explore and identify opportunities presented by the sharing economy that could support growth in boating.

In doing so, BIA is keenly aware that such opportunities should be embraced and activated in a way that is fair and equitable to all sectors of the industry and commensurate with BIA’s overall philosophy of matching regulation with risk while seeking to reduce regulatory burden and cost to its members. Such an approach must

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BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 14

provide clarity as to what is acceptable and what is not: BIA therefore welcomes AMSA’s efforts to design and implement a regulatory framework for short-term marina accommodation that can considered to be a precedent-setting framework for other aspects of the sharing economy interacting with the marine industry in Australia.

Following detailed discussion with members across all segments of BIA membership, a key issue raised has been that of compliance enforcement of any and all commercial vessel operations. Members operating vessels in full commercial survey have expressed concern about the possibility of EX27 opening up the market for illegal charter. BIA does not consider that EX27 itself would be a cause of such activity, as illegal charter is already a live issue and is regularly reported to relevant authorities. However, BIA would recommend that AMSA and its state delegate compliance agencies seek to maintain an appropriate, active and effective level of compliance enforcement to assure commercial vessel operators that all participants in the sector are properly managed.

Keeping marine pests out of Australian waters

Over the last couple of years, BIA has participated in a number of workshops looking to define a new guideline for managing marine pests, particularly in regions where international vessels visit and in boat cleaning facilities. This has culminated in the Australian Government publishing a national strategic plan for marine pest biosecurity in Australia: Marine Pest Plan 2018–2023. The plan details a series of activities to address national priorities for marine pest biosecurity, including improved marine pest prevention, strengthened surveillance, enhanced emergency response capability, support for research and development, and greater stakeholder engagement.

Australia’s unique marine environment is important for our way of life and prosperity, supporting numerous industries such as fishing, aquaculture and tourism which are important to our national and regional economies. Our marine environment is also integral to our leisure and recreation, with most Australians living near the coast and enjoying a variety of activities such as fishing, boating, swimming and SCUBA diving. Ensuring a healthy and thriving marine environment allows current and future generations to continue to enjoy these diverse economic and recreational opportunities. National Carp Control Plan

Carp completely dominate freshwater fish communities in southeastern Australia: in many areas they comprise a significant proportion of fish biomass, sometimes exceeding 80% or 350 kilograms per hectare in some parts of the Murray-Darling Basin. Carp impacts are felt environmentally, economically and socially, affecting water quality, native fish, fishing and irrigation. The National Carp Control Plan (NCCP) addresses plans for managing – and eventually removing – carp in all Australian waterways, with objectives as follows:

• undertake research and development to address key knowledge gaps;

• better understand and manage risks around carp control; • build community awareness and understanding of the proposal to

release the carp virus; • develop detailed strategies for carp control and subsequent clean-

up.

BIA has been involved with NCCP consultations for several years, with the most recent event being a stakeholder workshop held in Waikerie in late July. Recent events involving large-scale fish deaths have likely slowed progress on finalisation of the NCCP, but BIA will remain closely involved to understand and prepare for the impact on tourism on the River Murray and other inland waterways.

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NEW SOUTH WALES Hawkesbury Shelf Marine Park

During winter, the NSW Government’s Marine Estate Management Authority introduced a proposal for a state marine park extending from Newcastle to Wollongong and encompassing some of the most popular boating and fishing locations along the NSW coast. The plan was met with considerable community feedback which resulted, before the end of the consultation, with much of the proposed restrictions on activities, particularly fishing, removed. However, there remained elements which would directly impact boaters despite the backdown, which were addressed by BIA in its submission.

BIA noted that boating is best enjoyed in a clean and healthy environment and that the industry and boaters alike are strong advocates for measures and controls to enhance the quality of the environment in which we boat, with a message that plans for restricting access or activity must be science-based; relative to the issue; understandable and manageable by the community; and overall, cognisant of the three pillars of social, economic and environmental beneficial outcomes. NSW Second-hand Dealer Licence

Earlier in the year, the BIA President and NSW Member Services Officer met with NSW Fair Trading officers, including the Director of Consumer Protection, and the Pawn Brokers unit from NSW Police, as a follow up to the 2017 compliance enforcement activities that targeted marine dealers operating under a Second-hand Dealer Licence.

The compliance blitz had identified 380 businesses that are required to comply with the Pawn Brokers Act and of these businesses inspected, 23 infringements had been handed out. BIA agreed to work with the agencies to disseminate education information to members on the processes and requirements of compliance, which included commissioning new signage for display at members’ premises, being compliant with the Regulations. The signs were produced on 1mm rigid PVC and coated with a polymeric over-lamination to maximise the life of the sign. These have proved very popular. North Sydney Council Tunks Park

Later in the year, another potential impact to boating in Sydney Harbour was addressed via a submission to the North Sydney Council consultation on a new plan of management for Tunks Park, including the very popular boat ramp accessed via the park. Suggestions in the consultation document included possible changes to boat trailer parking and a limitation of hours of operation of the boat ramp.

BIA made a submission rejecting the idea of curtailing use of the ramp and called for better enforcement of current controls in order to manage perceived problems, such as noise regulation and parking restrictions, both of which are understood by boaters and effective in managing concentrations of use of the facilities. The submission also commented that imposing further restrictions on parking by way of an hourly charge for parking would need to provide for at least a six-hour stay and that this arrangement be extended to surrounding streets, preferably with a series of dedicated boat trailer-only parking bays. Sydney Working Harbour submission

BIA made a submission to the Sydney Working Harbour consultation in late December, with the fundamental premise that boating relies upon access to the waterways and without such, it would not exist. We noted that it is imperative that foreshore land be available for the boating industry and community, as clearly iterated over many years of submission and comment to similar studies.

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BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 16

The submission stressed that the current practice of rezoning foreshore land for residential use, if left to continue unabated and without due consideration of the marine industries on its foreshores, will result in the effective disappearance of these industries from the Harbour resulting in a lack of services to support both commercial shipping and pleasure craft. It was accompanied by a detailed document “A new approach for boating on Sydney Harbour” covering all facets of the industry, community, government and related interests.

QUEENSLAND War on Wrecks

In August, the Queensland Government announced a new initiative to tackle abandoned vessels in the state: War on Wrecks. This is a high-level ministerial task force investigating the scale of the problem of vessels that have sunk in various ports, harbours, rivers and estuaries, or have simply been abandoned by their owner. By the end of 2018, over 300 vessels had been classified as abandoned and removal or other action had been agreed for around 20% of this ‘fleet’. The group was also charged with defining processes for the future management of abandoned vessels, with proposals likely to focus on identifying responsible parties and how to interact with them to pay for removal.

BIA is represented on the group by Queensland State Council Chairman, Andrew Fielding, with a focus to ensure that the process doesn’t negatively impact BIA members or the wider industry, and that resolving the problem encourages more people to want to go boating in the future. Marina lease valuation and investment certainty

The BIA continued its advocacy to State, National and International government agencies and stakeholders with the objective of creating a consistent, commercially sustainable, investment and re-investment motivating and transparent government to private commercial framework. This work has been a sustained and diligent effort over more than a decade. It is based on the premise that marinas are privately funded and operated public infrastructure with the cost, risk and effort forming a large proportion of revenue and represent services generally delivered better by the private sector. There are three pillars to this advocacy.

1. Seabed and land rents for marina sites that fall within benchmark parameters for sustainable occupancy cost, with a framework that prevents significant changes in the rent or these parameters over the investment horizon of the marina. With marina investment and re-investment horizons greater than 40 years exposure to wild fluctuations in seabed and land lease rentals on 5-year review, horizons create investment uncertainty which undermines access and retention of investment capital.

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BOATING INDUSTRY ASSOCIATION LTD ABN 61 000 618 468 | 17

2. A transparent framework for the ongoing investment, adaption and enhancement of marinas with the ability to extend leases by variation, with extension terms related to extent of re-investment. This is fundamental to the ongoing improvement and adaption of infrastructure to the benefit of all stakeholders. Where a rigid lease term with no prospect of extension applied, the government landlord is directing the marina to amortise all of its infrastructure and good will to zero by lease end. This leads to poor outcomes for all stakeholders.

3. Regulatory frameworks, ie Planning, Environmental Controls and vessel safety regulations need to be clear and adapt to changing community expectations and technology-enabled consumer behaviour so that the industry can innovate and adapt. Regulatory burden is a significant inhibitor to the marine industries’ growth, adaption & innovation, and the BIA works with all levels of government to break down the barriers.

Specifically, the BIA has been working with Transport and Main Roads in Queensland over the last couple of years to communicate, explain and prove these principles. It’s a collaborative process and fundamental to this is building a bridge of understanding, transparency and trust between the parties. It takes time, years in fact, but we know the approach is in the interests of all stakeholders and we will get there.

SOUTH AUSTRALIA South Australia Boating Strategic Plan (SABSP)

BIA continued to work with the Department of Planning, Transport and Infrastructure (DPTI) via SA Boating Facilities Advisory Committee (SABFAC) to deliver improvements to boating infrastructure and facilities under the scope of the SA Boating Facilities Strategic Plan, launched by the then Minister Mullighan at the Adelaide Boat Show Industry Breakfast in 2017. Facilities funding via SABFAC is now allocated to achieve the goals of the plan in three key priority areas being activating key boating hubs; connecting key boating routes; and improving safety outcomes.

Within SABFAC itself, there have been several changes in the composition of the committee and the terms of reference, but BIA retains representation via George Bolton’s ministerial appointment. DPTI has actioned some of the recommendations from the SABSP including a new portal (for SABFAC applications and assessment). Funding submissions are now assessed as Stage 1 for preliminary appraisal and endorsement, and Stage 2 for final funding, with Stage 2 submissions assessed once per year in August.

The State Government’s recent budget announced $2M of funding per annum over the next 4 years being made available for better boating facilities which is good news, but could always be more generous Certificate III in Marine Craft Construction

BIA has been working with GOTAFE in Victoria over the last two years to support their application to SA Government to operate in SA, providing their unique blend of on the job, web-based and visiting trainers to support apprentice training in SA. This is badly needed to address the lack, or total absence, of shipwright training we have experienced here for over six years.

George Bolton has worked extensively with GOTAFE to support their application to the SA Government which is now close to being approved. When it is, we will hopefully have some young apprentices employed in this vocation to address the current skills shortage. This isn’t of course a problem in SA only, and BIA is working to address similar issues in Qld and NSW.

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Adelaide Dolphin Sanctuary

Following considerable media and political attention given to blunt trauma injuries sustained by dolphins within the Adelaide Dolphin Sanctuary, allegedly caused by boats operating at speed, with a report from the SA Museum claiming that 17 out of 35 dolphins that died in the sanctuary over the past 13 years, had been killed by blunt trauma, Stephan Knoll as the Minister for Transport organised a round-table meeting in October to discuss the speed limits within the Sanctuary.

BIA had already had discussions with representatives from DPTI and Department for Environment and Water (DEW) and put forward ideas to consider within the lower reaches of the Barker Inlet and the Port River. At the meeting, our line was to clearly oppose any blanket speed limit across the entire sanctuary area and, following further investigation and reports which have discredited some of the earlier claims, we are hopeful of a good outcome with a statement expected from the Minister soon.

INTERNATIONAL REPRESENTATION International associations

The BIA is part of the global family of marine industry associations represented by the International Council of Marine Industry Associations, the voice of the recreational marine industry worldwide. Over a number of years, BIA has played an important role in ICOMIA, including hosting the annual Congress in 2002 and 2017, providing the President in 2006-2008 by way of Graeme Avers, a Vice-President by way of Simon Cook 2013-2018 and a member of the Executive Committee by way of Darren Vaux since 2018. BIA’s membership of ICOMIA is a partnership with the Marina Industries Association and the Australian Marine Export Group, AIMEX.

ICOMIA represents its members at an international level and provides a forum in which to consider issues of common concern, formulating agreed policy to tackle each as necessary. ICOMIA’s core aim is to develop and sustain the global recreational marine industry by: breaking down barriers to trade; seeking removal of unnecessary or unviable legislation; promoting awareness of the industry’s requirements and objectives; providing guidance on standards and regulations (and a forum in which to shape such); promoting the concept of recreational boating as being fun, a lifestyle and available to all; providing members with data, advice and support on all issues relevant to the sector, drawing on lessons learned and sharing the knowledge of its global membership.

Alongside ICOMIA is the International Federation of Boat Show Organisers, which represents the leading boat shows around the world. These shows are a mix of industry-owned and commercial boat shows, but all are of world-class and set the benchmark for boat shows everywhere. The Sydney International Boat Show is a senior member of IFBSO with BIA represented by Domenic Genua as a member of the IFBSO Executive Committee. Congress 2018

The annual meeting was held in June 2018 in Berlin, with over 85 delegates from 25 member countries attending, including an 8-strong contingent from the National Marine Manufacturers Association (NMMA) in the US, this reflected in part the concern at the time of the soon-to-be-unleased levies on recreational boating products across various markets in response to US trade barriers being raised around the world.

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The Congress consisted of a range of specialist sector meetings, with useful updates on key regulatory drivers in European and US markets, with issues likely to flow on to Australia in due course in many instances. The circular economy remains a strong focus for policy-makers in Europe, plus management of chemicals used in the marine industry.

A key theme of conversation was also the end of life of boats, or how to recycle, re-use or re-purpose old boats. This is a particularly key issue in the EU and considerable efforts are now underway in a number of EU states to seek to address this. However, it is becoming an increasingly global issue, particularly with the disposal or reuse of fibreglass/GRP components, with abandoned vessels becoming an increasing cost and environmental issue for governments, as the last owner of a boat is usually the least financially equipped to deal with the disposal. Disposal pathways/options were identified as a significant issue: numerous studies and trials have been undertaken to reuse crushed fibreglass as a filler for bonded resin and concrete products, however these have not been independently financially viable. Predication that government regulators will start to impose regulations in relation to chain of custody, or a ‘tax‘ on new boats to cover the cost of disposal of old boats, and regulations to include recyclable content, will drive innovations in materials.

In discussing promotion of boating as a lifestyle, grow boating programs are producing results in some developing markets, but mature markets are struggling to find funding for such where results of past programs are unclear or are only treading water. New market dynamics, such as the sharing economy, are starting to play a key part in expanding the boating market with several members engaged in supporting this. This has seen a number of new business models start up over the last several years, operating in parallel to existing, traditional industry and often outside contemporary regulation. A guidance note on management of peer-to-peer boating opportunities was a key outcome of this discussion and this document formed a key part of BIA’s ongoing discussion with AMSA regarding the regulation of similar activities here in Australia.

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Marketing Throughout 2018 our communication was delivered through several mediums. Each medium selected specific to the task. The marketing requirements of the Boating Industry Association are complex and there are many to deliver the various desired outcomes.

The objective being to assist members of the Association grow and prosper. The BIA recognises the diversity of the industry and when referring to the various events and activities as ‘boating’, this refers to all business sectors within the recreational marine industry. The BIA concerns itself with products and services across the broad recreational and light commercial marine industry.

Whilst Boat shows are the most visible of the activities conducted, the Association continued to build and develop programs in order to:

• Create awareness around the benefits of dealing with a BIA member. • Promote recreational boating as a safe, environmentally sound and

responsible pastime for Australians.

A solid foundation was built upon existing products, assisted with continuity of industry messaging, promotion of the boating lifestyle to consumers, and the running of our established portfolio of events. Other additional products and activities had to be designed and modified to meet demand.

COMMUNICATION – INDUSTRY AND CONSUMER HIGHLIGHTS

Member Promotion & Marketing

The BIA corporate campaign continued to appear in a variety of mediums. This campaign does not promote the Lifestyle - this occurs as a separate task. This campaign promotes dealing with BIA members as a priority.

To support the existing messaging, a new campaign encouraging the consumer to deal with a BIA Member Broker as preference was launched.

MyBoatingLife.com.au

The BIA’s Lifestyle portal was designed and launched in 2012 and has since then served the Association well. Analytics show high monthly visitor rates and it provides a brand neutral reference tool for those seeking more information about getting into boating. Further to this, its unique features allow existing boaters a further benefit to help make their time

Domenic Genua

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on the water better. The site has been maintained to ensure calendars and all information remained relevant. A planned overhaul in 2018 was delayed allowing for a new site to coincide with a planned upcoming Lifestyle campaign.

Television alliances with Lifestyle programs

Connectivity with consumers and influencing their lifestyle choices can be challenging. Efforts with non-boating television programs have been successful and the BIA’s relations on this front expanded through 2018.

In NSW, the BIA remained active with Channel 7’s Sydney Weekender, a relationship that started in 1998. In Queensland, exposure of the Lifestyle was expanded through our association with its Creek to Coast program, and similarly in South Australia, activity and a relationship commenced with SA Weekender.

Social Media

Social Media continues to evolve as a key influencer. Whilst not dominating our efforts, ancillary efforts have seen the Boating Lifestyle feature across many of our social media assets. Through summer, a dedicated campaign ran ensuring that Boating remained top of mind.

Broadly, event specific Social Media assets remain a strong tool within the BIA’s collection, however the non-event assets have been identified as an untapped opportunity needing attention.

Safety Message review and update

Through 2018, the BIA hosted safety message workshops to overhaul our portfolio of safety messages.

In keeping with the Association’s charter to promote “safe recreational boating”, the BIA always ensures that it has an active campaign sharing safety messages as part of its Corporate Social Responsibility.

The BIA has been publishing these Safety Messages for over 30 years. 2018 was used to give the portfolio of safety

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assets a complete overhaul to ensure they remain relevant. During this process, the messages were also converted to ensure they remained relevant in each state in which we are active. The final portfolio was completed with the guidance of the relevant state agencies.

Industry Communication

E-News remained an important medium to deliver industry information to members fortnightly. Readership rates remain high and our philosophy to only include relevant information has made the newsletter a welcomed medium by members.

Logbook delivered our Association activity report card of activities and industry information. Published twice a year, it is posted to members and industry stakeholders. A digital copy is available on the Association’s website bia.org.au and during 2018, a Podcast was also introduced to assist members.

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Events The Boating Industry Association delivers its portfolio of events for the benefit of its members, and to fulfil numerous objectives for several key stakeholders. Each year hundreds of industry members participate and take advantage of the events as a key marketing tool.

Events organised by the Boating Industry Association Ltd can be identified by the BIA Wax Seal. During 2018 the BIA wax seal appeared against the Rosehill Boat Show, Adelaide Boat Show, the Sydney International Boat Show and the Brisbane Boat Show.

• Rosehill Trailer Boat Show The Sydney Trailer Boat Show returned to Rosehill Gardens in 2018 as the Rosehill Trailer Boat Show after a short hiatus in 2017. Mixed fortunes at the Sydney Showgrounds demanded a review of its operation and delivery. Industry feedback highlighted the need.

A return to Rosehill Gardens resulted in low visitor numbers, but a high volume of product sales. It was evident that those attending did so with purpose, leading to a very positive result for the show.

• Adelaide Boat Show The Adelaide Boat Show operated for the first time under the exclusive supervision of the BIA Show Team. The event was delivered under challenging circumstances. A move by the Melbourne Boat Show to the Adelaide Boat Show dates meant a forced change of dates for the event to avoid an industry event clash. This in turn resulted in the traditional

halls within the Showgrounds venue not being available to the BIA. That said, the available facility was utilised well, and a strategic change of the visitor entry price was justified to account for the compressed offering. The BIA was encouraged given it was evident that considerable opportunity exists to raise the event to the next level.

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• Sydney International Boat Show After enduring the challenges of entering a new facility for the first time in 2017, lessons learnt allowed the BIA to make further improvements to the delivery of the 2018 show. The show occupied all of the available exhibition space at ICC Sydney, as well as hosting

over 200 large vessels on the specially built marina in the adjoining Cockle Bay. Traditionally, the show also hosted numerous concurrent smaller events and meetings, highlighted by the very important Lifejacket Forum hosting David Meddings from the World Health Organisation. Whilst recognised as Australia’s premier boat event that was the best place to see and buy boats and equipment for them, it’s also a place for superior education and entertainment relating to the highly sought lifestyle. The show hosted almost 60,000 visitors.

The Sydney International Boat Show is an approved Gold member of IFBSO (International Federation of Boat Show Organisers).

• Brisbane Boat Show Running for the third year during this stint at the Brisbane Convention & Exhibition Centre, the event continued to grow back to its former success levels. The show remained at 20,000m2 with the BIA deeming that the focus on delivering more highly qualified visitors was a priority. Expansion is only possible in the future should demand for space

develop from non-participating sectors. Since its return to the heart of the city, visitor numbers grew considerably each year and the ongoing success will mean the investment in education and entertainment to ensure variety and interest from returning visitors.

• Mackay Boat Show The Mackay Boat Show remained on the agenda, but an apparent limited demand led to cautionary approach to the event. Not dismissed from the agenda, the BIA deemed that a critical volume of participating marine businesses would be needed for success. During 2018, ongoing opportunities and formalities were processed through the show site

landlord. Interest remained and a commitment was made to re-launch the opportunity to run the show in 2019.

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Andrew Fielding

Queensland State Council Chairman’s Report The past twelve months have certainly been an interesting and productive time for the BIA team in Queensland, with our involvement in the amendment and development of state maritime policies, executing another successful Brisbane Boat Show, constantly advocating for Queensland based marine businesses, and continuing to deliver our message of boating safety.

The 2018 BIA Brisbane Boat Show once again delivered positive results for our exhibitors, with sales both during and after the event, and visitor numbers increasing by 16%. It was a great pleasure to have the Minister for Transport and Main Roads, Mark Bailey, speak at the opening breakfast and Mark Furner, Minister for Agricultural Industry Development & Fisheries, also in attendance. The presence and support provided by the other government agency representatives was also greatly appreciated. The Brisbane Convention and Exhibition Centre continues to be the

premium location in South-East Queensland to hold this event and I look forward to welcoming our members back in August.

Away from the Brisbane Boat Show, the BIA team also proudly supported the Sanctuary Cove International Boat Show and the National 4x4 Outdoors, Fishing and Boating Expo.

Throughout 2018 the BIA team has continued to build their relationship with government departments that oversee the legislation under which we operate. I personally would like to show my appreciation to the staff of the Department of Transport and Main Roads, Maritime Safety Queensland, and the Gold Coast Waterway Authority for their open communication and positive involvement with the BIA. The BIA staff, Queensland councillors and Board of Directors have been actively involved in assisting with matters such as Australian Builders Plate compliance, Boat Licensing, and War on Wrecks, and are striving to secure positive results for our industry.

As part of our continued efforts to assist our members and to keep them up to date and aware of changes within our industry, BIA Queensland have been collaborating with the other associations that represent the marine industry such as the Marina Industries Association, the Queensland Recreational Boating Council and Boatsafe Queensland. Successfully working with these associations has proven to provide more positive outcomes for our members and the marine industry as a whole.

Dialogue has also commenced between the BIA, local schools and the Department of Employment, Small Business and Training regarding promoting maritime career options to students and providing more maritime related courses in South-East Queensland. We are passionate about ensuring the longevity of our industry and promoting the diverse range of job options available.

As we are eager to include and assist our central and north Queensland based membership, Michael Date and Jenny Bellaver (Member Services Queensland) have been contacting and visiting our regional members. More frequent visits to confirm our enthusiasm to work with industry that is outside of the more populated areas of the state will be undertaken in the future. As part of our commitment to support our members and to promote and grow boating in the north of our state, the Mackay Boat Show will return in 2019.

With continued growth in our Queensland membership base, a successful boat show, increased levels of advocacy, constructive communication and greater inclusion with maritime focused government departments, 2018 has certainly been a positive year for our association.

Andrew Fielding Chairman BIA Qld State Council

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NSW State Council Chairman’s Report The year was busy for the BIA team with many issues needing attention. With membership needs at the forefront of the work, the year was occupied with a combination of planned initiatives with those unplanned matters requiring attention.

In NSW, we looked after members’ interests across a number of issues, whether these concerned access to waterways; security of leases for marine facilities; skills and training needs; second-hand dealer licensing; advice concerning consumer complaints, commercial vessel access to Sydney Harbour’s wharves, government proposals on marine parks, new infrastructure and planning ahead, such as in the Sydney Working Harbour study.

This sort of advocacy work is ongoing and often hard to shout about as the issues are live and take time to work through. But I can assure you, from close personal

involvement in almost all issues throughout the last year, that the BIA team has a good grasp of the issues and how to respond. I’m grateful for the support of Councillors and Directors in getting involved in the advocacy work also.

During 2018 BIA has worked with various NSW agencies, fostering relationships, and representing BIA members across various issues. Our work with agencies such as Transport for NSW, the Centre for Maritime Safety, Roads and Maritime Services, and their various supporting stakeholder groups in which BIA has a role, such the Recreational Vessel Advisory Group, Commercial Vessel Advisory Group and Marine Property Advisory Group.

Our decision to pause and review our activities at our Watsons Bay Pilot Station is proving correct. We are lucky to have this facility, however we strayed from the charter momentarily. This facility is a tremendous opportunity for our industry to educate youth about safe recreational boating. Our work will continue into 2019 to revive the facility with relevant programs.

The year saw the return of the Rosehill Boat Show after a short hiatus. The event moved to Sydney Showgrounds for a short period, paused in 2017 and returned in 2018 back to Rosehill. The event required a refresh and strong industry feedback indicated a market demand. The first year back delivered low visitor numbers but a highly qualified buying audience leading to feedback showing strong support for the show to continue.

The year also allowed us to deliver the Sydney International Boat Show returning for a second year to the recently opened International Convention Centre Sydney. We had some fantastic weather and visitors were above the expected levels. This event remains the premier recreational boat show in Australia and region, and the location where the nucleus of the industry gather each year to conduct business. Member participation and efforts play a principal role in the events success for which the entire recreational boating industry is a beneficiary.

I would also like to recognise the members of the BIA NSW State Council and our NSW nominated board members and thank them for their great efforts in representing the membership in NSW. All Councillors and Directors volunteer their time and provide their expertise to support and represent the divisions of the marine industry in which they work, whether this be boat manufacturers, marinas, shipwrights, marine repairers, brokers, sailing industry or trailer boat dealers. We had a number of councillors step down during the year, namely Alan Steber, David Randall and Terry Wise, each following many years representing their division. Thank you all three for your great contribution over this time. Alan Blake Chairman BIA NSW State Council

Alan Blake

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South Australia State Council Chairman’s Report 2018 was a busy year for the BIA in SA with a number of important advocacy matters addressed by the team. These concerned access to waterways; improvements to boating infrastructure and facilities via SABFAC; the Whole of Murray proposal to manage derelict vessels; seagrass inundations; Dolphin Sanctuary speed limit change proposals; the new lifejacket wear regulations and Old 4 New buy back program; apprentices and training with GOTAFE; and of course with many issues related to commercial vessels supporting our Houseboat Hirers Division, an important part of the BIA in SA.

The principal event in SA was of course the Adelaide Boat Show, held at the end of June at the Adelaide Showgrounds. In 2018, the show was fully managed by BIA Marketing and Events, and despite the show being compacted into the Jubilee Pavilion and Duncan Gallery, due to Goyder Pavilion not being available following the date change because of a change of date for the Melbourne Boat Show, the show was well

presented and looked good. All dealers reported good sales with many leads generated for future follow-up. Visitation time was well up on previous years, which reflected on a greater range of content, with more smaller exhibitors, be it booth or open space.

The role of the BIA in ongoing advocacy matters and presenting the boat show circuit is a very diverse one which is often too difficult to explain to other industry members. It’s important that we all take time to keep up to speed with what’s going on, whether at local council meetings or via the many member visits which our Member Services officer, George Bolton, undertook during the year. I’m grateful to George for his support in maintaining a very good working relationship with the different government departments that oversee the legislation under which we operate, specifically DPTI, EPA, DEW and their various supporting stakeholder groups in which BIA has a role, particularly SABFAC.

I would also like to recognise the members of the BIA SA State Council and our SA nominated board members. All are here to represent our industry with an unbiased point of view and are here for the greater good of the industry. We have a strong Council with a number of members having held roles for many years, which provides great support for the Association. Toward the end of the year, long-standing Councillor Craig Evans resigned from the Council and as a BIA Director, following his appointment as the General Manager of the Royal Prince Alfred Yacht Club on Sydney’s northern beaches. A great move for Craig and I’m sure he’ll do very well, but a big loss for SA. Thank you to Craig for his time over many years representing SA on the BIA Board, the SA Council and previously on the BIASA Board.

Finally, due to work commitments I have made the decision to resign from the BIA Board of Directors and as Chairman of the BIA SA State Council at the BIA AGM. I have held these positions for four years and hope I have been able to represent your interests as members to the best of my abilities. I will however, continue on as a State Councillor and will support the new chairman as required. Rob Cuming Chairman BIA SA State Council

Rob Cuming

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Houseboat Hirers Division Chairman’s Report The Houseboat Hirers Division had a year of change, with the retirement of long-standing General Manager, Peter Tucker, after 30+ years with Houseboat Hirers Association and latterly the BIA. Peter received recognition of his service and unstinting support for the houseboat industry on the River Murray during the Sydney International Boat Show industry breakfast and following this at a dinner in Murray Bridge with local industry colleagues.

As part of preparing for this major change, the houseboatbookings.com website was enhanced to provide for a part automation of the site in terms of securing booking commissions. This enabled the full-time role of the GM to be reshaped to a part-time marketing role, with support on advocacy issues provided by BIA SA and national office staff. A new marketing officer was appointed in September, bringing to the Division many years of tourism promotion experience and expertise.

The website continued to be the Division’s main marketing platform, with feedback from the public, industry representatives and members very positive. Alongside the automation, the marketing campaign via Google AdWords has been a significant success with a continued driving of enquiries, bookings and traffic to the website. Other marketing programs were delivered to support members’ businesses and the promotion of the houseboat holiday lifestyle.

On advocacy matters, of key concern through the year were a number of issues related to AMSA’s domestic commercial vessel regulation. Several productive meetings were held with the AMSA standards team and local managers to address matters such as crew qualifications, periodic survey requirements, and an exemption for recreational use. The Division also worked to re-establish the well-received Hire and Drive Licence program, previously operated by DPTI, to provide for an appropriate level of competency assessment for the industry.

Investment in new boats, products and services remains a key consideration for the houseboat industry, but it is encouraging to see a number of operators diversifying their tourism offering and with news at the end of the year of a number of potential new builds being discussed with houseboat builders, we look to the future with enthusiasm that this iconic Australian holiday destination will be sustained for years to come. Allen Buckley Chairman Houseboat Hirers Division

Allen Buckley

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Commercial Vessel Division Chairman’s Report The Commercial Vessel Division (CVD) transformed from an independent association into a fully integrated division of the BIA in early 2018 when members which had joined part way through the previous year as part of the merger of CVA NSW Inc into BIA, committed to a long-term partnership with over 40 companies renewing their BIA membership. An active divisional committee was established and met regularly throughout the year to address a number of very topical issues which had previously struggled to progress.

One of the key projects delivered during the year was a new Sydney Harbour Liquor Accord, launched at the end of September. A liquor accord is principally a coming together of like-minded businesses, operating in the licensed premises sector, to address common issues, share experience, set some ground rules and respond as a collective and coordinated industry group. Following a number of years of inactivity, re-establishing the Accord was encouraged by agencies such as NSW Liquor & Gaming, NSW Police and City of Sydney. The division committee was very pleased to get this project back on track and thanks to NSW Member Services Officer Shane Wilson for his commitment to this work.

Other matters addressed during the year included improvements to Kings Street Wharf access for commercial operators and a response to the Blackwattle Bay and Sydney Fish Market precinct redevelopment, with an impact on wharf access and sullage pump-out. BIA worked closely with CVD members and various NSW government agencies on these matters, including representation at the Maritime Property Advisory Group and the Commercial Vessels Advisory Group. These are ongoing issues which will be exacerbated during season if reliable and efficient alternate options are not made available.

Impacting some of the larger commercial vessel operators were proposed changes to employment awards covering crew on port operations, charter and tourism vessels. A draft decision from the Fair Work Commission (FWC) has the potential to impact crew employment costs, with new definitions, or rather new interpretations, of overtime working hours; overtime rates; casual loadings and the combination of all three. BIA responded to the FWC with a core group of CVD members to ensure this matter does not escalate to cover a broader sector of operators.

Overall, a very positive year for the Commercial Vessel Division, with good progress in a number of areas. With much still to be done, we will be working to strengthen divisional membership numbers into the future and encourage all businesses in this sector to consider being part of the Association. Ian Ford Chairman Commercial Vessel Division

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Andrew Fielding

Marine Brokers Division Chairman’s Report BIA has provided broker members – and others involved with the sale of boats – with standard documentation for several years, having aligned paperwork used in NSW, Qld and SA to ensure its suitability for use in all states and compliant with Australian Consumer Law, among other regulations. Recent feedback suggests that this is increasingly being replaced by brokers’ own contracts and agreements, some drawing on the original BIA documentation and others being completely bespoke. There are also a significant number of brokers using pre-ACL documentation, mostly bearing the old Marine Qld logo.

Taking this alongside recent complaints about brokers in both Qld and NSW, with a particularly unfortunate incident on the Gold Coast, and being cognisant of the need to protect equally the boat buyer, seller and the broker, it is considered timely that a new program for broker accreditation is developed. Previous programs have

operated in NSW and Qld, and there is good support from brokers for such, particularly where barriers to entry are imposed and strong support is given to educating the boater of the importance of dealing with an accredited broker.

To support this work, a new national brokers division is to be established, with the objective of delivering a program of accreditation over the next 18 months. Basic requirements are expected to include the need to hold a second-hand dealers licence; using documentation to a BIA standard; making use of a trust account; and attending ongoing CPD and industry briefings. The program will be phased-in to allow existing members time to come up to speed, as required, but ultimately all BIA broker members will be required to be part of the accreditation program. Andrew Fielding Chairman Marine Brokers Division

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Financial Report For the year ended 31 December 2018

The audited Financial Report for the year ended 31 December 2018 identifies a surplus from operational activities of $192,579 (2017 deficit $111,786). This was a significant turnaround, and the success of the Sydney International Boat Show and Brisbane Boat Show were the primary drivers in delivering this substantial result.

Losses on the net present value of available-for-sale financial assets (equity investments managed by BT through St George Bank) resulted in comprehensive surplus for the year of $52,134 (2017 deficit $11,063). Members funds are $5,280,494, and the Association is in a sound financial position.

The Sydney International Boat Show achieved full occupancy of the International Convention Centre with 32,600m2 undercover space, and we saw an increase in the number of vessels on display on the purpose-built marina in Cockle Bay. The Brisbane Boat Show had substantial visitor growth for the third year in a row, 18,226 visitors, up 16% on 2017. Between these two shows total contribution to overheads was $418,300 in excess of budget.

Unfortunately, the Advanced Skipper project did not meet planned objectives and the Board decided to write-off the full capitalised value. This impacted the Statement of Income and Expenditure to the tune of $520,500.

We had a busy year and the Association continues to invest funds to promote, develop and grow the industry for our future well-being. A selection of our investments includes:

• Promoting boating lifestyle through sponsorship of television series and other marketing promotions. • Direct advertising and promotion of BIA shows and events. • Promoting the benefits of BIA membership through strategically placed advertisements. • Continuing development of education and training as an important product for the boating industry. • Affiliation with NSW Business Chamber to provide Members Advice Line to all financial members of the

Association. • Continuance of the travel insurance package for all corporate members, BIA staff and directors.

The full Financial Report of BIA Ltd is available at www.bia.org.au and a link has been emailed to all members. The Financial Report has been prepared and presented in accordance with Australian Accounting Standards (including the Australian Accounting Interpretations) and the Corporation Act 2001. We are required to report related party transactions between directors and the businesses they are related to. This disclosure is reported as note number 15 in Notes to the Financial Report (page 20). These transactions with director related companies were on an arm’s length basis, and were all business to business transactions. Income and expenses derived from the related parties would have been the same had they not been related.

The related party transactions predominantly relate to: hire of exhibition space at BIA shows and events; membership subscription fees; BIA purchase of insurance products; and licence fees to BIA. Your directors offer their time and support to improve and develop the industry, and no remuneration is received.

The aims and objectives of the Association continue to be achieved, and due to our financial strength, the benefits and services to members will continue to improve.

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Financial Summary BOATING INDUSTRY ASSOCIATION LTD FINANCIAL OVERVIEW - 2018

Education and training, $89,868, 1.1%

Interest & Fund Distributions, $103,857, 1.2%

Licence fees, $49,176, 0.6%

Membership subscriptions, $541,976, 6.4%

Rent and office services, $76,546, 0.9%

Shows & events, $7,430,445, 88.0%

Other income, $155,383, 1.8%

INCOME

Advanced Skipper, $524,555 , 6.4%

Advertising & promotion, $74,652 , 0.9%

Consultants & projects, $144,132 , 1.7%Depreciation, $101,182 , 1.2%Education & training, $24,964 , 0.3%

Queensland, $167,489 , 2.0%

Shows & events, $5,538,504 , 67.1%

South Australia, $169,058 , 2.0%

Staff costs, $962,805 , 11.7%

Subscriptions, $20,847 , 0.3%

Other expenditure, $526,484 , 6.4%

EXPENSES

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Statement of Financial Position

AS AT 31 DECEMBER 2018

2018 2017 $ $

ASSETS Current assets Advanced Skipper $0 $483,928 Cash & cash equivalents $1,548,804 $1,499,016 Trade and other receivables $59,803 $130,989 Other assets $506,392 $134,481 Total current assets $2,114,999 $2,248,414 Non-current assets Other financial assets $1,714,999 $1,763,801 Property, plant and equipment $1,923,356 $1,867,075 Total non-current assets $3,638,355 $3,630,876 Total Assets $5,753,354 $5,879,290 LIABILITIES Current liabilities Trade and other payables $214,501 $337,067 Deferred income $182,024 $223,641 Employee entitlements provision $55,432 $20,801 Total current liabilities $451,957 $581,509 Non-current liabilities Employee entitlements provision $20,903 $69,421 Total non-current liabilities $20,903 $69,421 Total Liabilities $472,860 $650,930 Net assets $5,280,494 $5,228,360 Members Funds Reserves $392,108 $532,553 Accumulated Surplus $4,888,386 $4,695,807 Total Members Funds $5,280,494 $5,228,360

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Boating Industry Association ltd

Boating industry association ltdABN 61 000 618 468

53 Hume Street CROWS NEST NSW 2065 AustraliaPO Box 1204 CROWS NEST NSW 1585 Australia

Offices in Adelaide (South Australia) and Gold Coast (Queensland)Phone (02) 9438 2077 • Fax (02) 9439 3983

Int’l Phone +61 2 9438 2077 • Int’l Fax +61 2 9439 3983Email [email protected]

www.bia .org.au