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Racing and W
agering WA
Annual Report 2018
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ANNUAL REPORT2018
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Image: Owners Only Ambassadors, Brittany Taylor and Rick Hart, with retired racing animals Mynameskenny, Dynamite Dan and Falak Blues
Racing and W
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The Hon Paul Papalia CSC MLA
Minister for Tourism; Racing and Gaming; Small Business; Defence Issues;
Citizenship and Multicultural Interests.
In accordance with Section 61 of the Financial Management Act 2006, we
hereby submit for your information and presentation to Parliament, the
Annual Report of Racing and Wagering Western Australia for the financial year
ended 31 July 2018.
The annual report has been prepared in accordance with the provisions of
the Financial Management Act 2006 and the Racing and Wagering Western
Australia Act 2003.
_________________________ _________________________
Jeff Ovens Anthony Hasluck
Chairman RWWA Board Chairman Audit and Risk Committee
15 October 2018 15 October 2018
Statement of Compliance
For the year ended 31 July 2018
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Chapter 1: OverviewWho Are We 1
Chairman and CEO Report 3
Industry Funding 9
Western Australian Racing Overview 10
Operational Structure 12
Racing and Wagering Western Australia Board 14
Board Committees 15
Code Committees 16
Strategic Priorities 17
Future Outlook 2018/19 19
Chapter 2: Report on OperationsRacing 21
Infrastructure Grants 27
Animal Welfare 29
Racing Integrity 37
Racing Marketing and Communications 43
Wagering 49
Corporate Social Responsibility 51
People and Culture 55
Chapter 3: Disclosures and Legal ComplianceOpinion of the Auditor General 58
Certification of Financial Statements 62
Financial Statements
Statement of Comprehensive Income 63
Statement of Financial Position 64
Statement of Changes in Equity 65
Statement of Cash Flows 66
Notes to the Financial Statements 67
Certification of Key Performance Indicators 98
Performance Management Framework 99
Key Performance Indicators 100
Other Financial Disclosures 104
Governance Disclosures 106
Other Legal Requirements 109
Government Policy Requirements 110
Contents
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Image: Owners Only Ambassador Brittany Taylor and retired race horse Falak Blues
Chapter 1: Overview
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Our Brands Purpose
To provide a sustainable future for the Western Australian
racing industry.
VisionTo be a national leader in racing and wagering entertainment.
Values• Enthusiasm and Pride
• Achievement
• ‘Real’ationships
• Team Play
• Honesty
About Us
RWWA’s Charter under the Racing and Wagering Western
Australia Act 2003 is to foster development, promote the
welfare and ensure the integrity of metropolitan and country
thoroughbred, harness and greyhound racing in the interests
of the long-term viability of the racing industry in Western
Australia. RWWA also has responsibility for the off-course
wagering functions trading as the TAB. The organisation
cover approximately 54,000 races per year spread across
the three codes, supporting more than 330 TAB retail outlets
across Western Australia.
Who We Are
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Image: Shaun McGruddy
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We are pleased to present the 2017/18
Annual Report for Racing and Wagering
Western Australia (RWWA).
RWWA continues to perform its role as
the Principal Racing Authority (PRA) for all
three codes of racing in Western Australia
and as the operator of the WA TAB.
Historically, the sport of Racing has
been a favourite pastime and prominent
community fixture in Australia, however
the racing industry is facing significant
challenges in terms of maintaining
its relevance among an increasingly
competitive consumer entertainment
and wagering marketplace.
RWWA is proactively progressing
various initiatives with key stakeholders
locally, and at the national level,
to navigate these challenges while
continuing to enhance the racing
industry’s significant contribution to the
Western Australian economy.
The WA racing industry continues to
provide a vital contribution to the State’s
economic performance, generating
more than $821M in real gross value
add to the economy and accounting for
more than 24,000 people – or 1 in 79 of
WA’s adult population – who participate
in the sport, with 823,000 people
attending race meetings annually.
Since its inception in 2003, RWWA has
increased its annual funding to the
racing industry from $63M to more than
$157M in 2017/18.
In August 2018, RWWA announced a
record $157.4M in annual distribution
and industry funding, up $6M on the
previous year. This funding came on the
back of a stable performance from the
WA TAB and improved income from the
WA Race Bets Levy.
The WA TAB continues to provide a
significant revenue stream from betting
on national and international racing and
sporting product which, together with
increased revenues from the WA Race
Bets Levy, provided the organisation
the capacity to increase its funding
commitment to the WA racing industry.
Financial PerformanceRWWA continues to evolve relevant
strategies and operations while managing
expenses across its multiple business
units, lifting productivity and increasing
wagering revenues over the last year to
afford greater investment back to the
racing industry.
Overall revenues for 2017/18 were
$404.7M comprised of $321.5M from
wagering, $58.4M from WA Race Bets
Levy and $24.8M from other items.
Income generated by the WA Race Bets
Levy from domestic and international
wagering operators betting on WA
racing increased by 8.2% or $4.4M
for the year, growing from $54.0M to
$58.4M (see Note 27 & 41 in Financial
Statements: Grants and Subsidies from
State Government).
The WA Race Bets Levy is revenue
paid to RWWA but is treated as Grants
Income from the State Government
because RWWA operates as both the
PRA and wagering operator.
It is important to note that while RWWA
reported a net deficit of $9.1M having
distributed available funds for relevant
racing infrastructure, as outlined below,
the WA TAB produced a profit in 2017/18
of $133M excluding support costs.
The 2017/18 financial year incorporated
a 53rd trading week generating further
wagering revenue of $4M and improving
performance overall.
Chairman and CEO Report
2012
$53M
$293M
$52M
$316M
2013
$54M
$339M
2014
$64M
$336M
2015
$71M
$330M
2016
$77M
$315M
2017
$83M
$322M
2018
Chart 1: Wagering Revenue and Other Income (2012 - 2018)
Other Income (Incl Race Bets Levy) Wagering Revenue
* Payments to Sports Wagering Account of $4.6M in 2017/18 are not included in this graph.
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RWWA increased funding to the racing
industry via distributions, grants and
subsidies by $6M to a new total of $157M.
In terms of infrastructure grants, RWWA
chose to distribute funds for relevant
racing infrastructure projects and
investment priorities across all three
codes, drawing on surplus funds accrued
over past years, resulting in a $9.1M
deficit for 2017/18.
After taking into account the various
financial outcomes including the increase
in industry funding, working capital
reduced by $8M over the prior year as
highlighted in Chart 3.
$114M
Chart 2: Distributions*, Grants and Subsidies (2012 - 2018)
$116M $131M $143M $149M $151M $157M
2012 2013 2014 2015 2016 2017 2018
$22M
Chart 3: Working Capital (2012 - 2018)
$32M $46M $54M $48M $50M $42M
2012 2013 2014 2015 2016 2017 2018
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WageringAustralia’s wagering industry continues
to attract increasing levels of public and
political attention.
During the 2017/18 financial year,
RWWA has worked proactively with
the Department of Treasury Western
Australia, the Minister for Racing and
Gaming, and racing stakeholders to
inform and contribute to the evaluation
of the potential privatisation of the WA
TAB.
Consistent communication with the
racing industry across the State has
allowed participants and stakeholders to
stay abreast of this progress, participate
in open discussion forums and provide
submissions on this important issue.
As announced by the Minister for
Racing and Gaming and the Treasurer
in March 2018, the State Government
committed to a thorough consultation
with the racing industry regarding the
future of the WA TAB following detailed
analysis conducted by Treasury and its
commercial advisor, Investec.
The subsequent consultation process
was divided into two stages: stage
one involved discussions with the
RWWA Board and its subcommittees
representing the three racing
codes (thoroughbred, harness and
Greyhounds). Stage two commenced
with publication of a detailed discussion
paper to facilitate discussion and
analysis of the key issues, and enable
the racing industry and other key
stakeholders to provide input and
feedback, supplemented by a series of
consultation forums for stakeholder
groups arranged by RWWA.
While the State Government has not
yet announced its intentions regarding
the potential privatisation of the WA
TAB, RWWA continues to advocate for
the racing industry on this and other
relevant matters of policy.
In September 2017, the Federal
Government passed a Bill to amend the
Interactive Gambling Act 2001 (IGA) to
remove uncertainty around wagering
operators interpretations of what does
and does not comply with the IGA, in
particular with respect to ‘in play’ sports
betting.
Furthermore, State and Federal Ministers
have agreed to the implementation
of a National Consumer Protection
Framework for wagering operators
to comply with. RWWA endorses this
framework in support of its efforts to
address responsible wagering and reduce
harm created by excessive advertising
and inducement of wagering offers.
The Federal and State government
regulatory environment affecting
online and retail wagering continues
to change with further tightening on
responsible wagering, Anti-Money
Laundering/Counter Terrorism
Financing compliance and acceptable
standards around customer advertising
and inducements. Whilst RWWA has
a positive track record of compliance
across the various regulatory
organisations and racing authorities,
ongoing investment in compliance
resourcing is required to maintain this
standard.
RWWA is presently working with the
State Government regarding the
potential benefits and concerns arising
from the possible introduction of a new
point of consumption (POC) tax.
Amid the progress of these various
initiatives and considerations, RWWA’s
wagering business performed strongly
during 2017/18 taking wagering revenue
to over $321.5M.
Wagering revenue was up primarily due
to growth in fixed odds racing of 13.8%.
Increase in betting volume of 6.3%
for the year was negatively offset by a
reduction in average bet value of 6.0%.
Pari-mutuel margin increases eclipsed
minor falls in fixed odds margin,
however, overall blended margin
reduced slightly over the year.
RacingThree Racing Code Committees were
formed in late 2017 to generate greater
collaboration and engagement with all
racing participants and stakeholders.
These sub-committees of the RWWA
Board continue to evolve while
improving consultation with industry
across all three codes.
During the year, RWWA continued to
refine strategic plans for each of the
three racing codes that were approved
last financial year and implemented in
2017/18. These code strategic plans
remain fundamental to the business
generally, and vital in communicating
and gaining stakeholder support for
each code in order to achieve positive
long term commercial sustainability.
RWWA, together with the local racing
industry, continued to develop the
quality of the Western Australian racing
product, which remains a key focus in
recognition of state racing industries
competing nationally for animal
ownership, bloodstock and wagering
investment.
Further investment in on-course vision
and wagering equipment has been a
necessary and positive step towards
improving the on course experience.
RWWA continues to advance the
modernisation program to major
thoroughbred, harness and greyhound
tracks.
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In particular, the commencement of the
$3M Pinjarra harness project, including
new stalls and machinery shed at the
Pinjarra Paceway, is necessary for the
continued success of the code.
The Mandurah greyhound track at
Kanyana Park was reopened following an
extensive upgrade involving resurfacing
of the race track and amendments to the
course design generating racing, wagering
and animal welfare improvements.
The State Government funding component
of $150K was supplemented by almost
$250K from RWWA’s Infrastructure Grants
funding pool allowing the eight-week
construction program to finish ahead of
schedule in July.
In addition, the State Government
contributed $1.3M towards racing
infrastructure grants during the year
through the Royalties for Regions
program and matching Government
racing infrastructure grants funding.
An important part of summarising
Racing’s key achievements for 2017/18
is to recognise the winners of the major
Group races throughout the season. They
are as follows:
Thoroughbreds
• GREAT SHOT; Rhys Radford (trainer);
Craig Staples (Jockey); and Dr F J &
Mrs M E Edwards (owners).
• Winterbottom Stakes (Group
One): won by VIDDORA; Lloyd
Kennewell (trainer); Joe Bowditch
(Jockey); and Lloyd Kennewell,
C J Cooke, M Adami, Dr E T
Hodgson, Mrs J Bowditch, Blue Hills
Syndicate(Mgr: G J Matheson) F &
Mrs G L Fitzgibbon, R Williamson,
J B Kaufman, N J E Lovett,M L
Simpson, D & Mrs K Rogers, S & Mrs
M Ferguson (owners).
• Kingston Town Classic (Group One):
won by POUNAMU ; Alan Mathews
(trainer); Patrick Carbery (Jockey);
and Thommo’S Syndicate(Mgr: J L
Thompson) Mrs P M, Ms R C & Ms A
J Thompson & G Hilton (owners).
• Perth Cup (Group Two): won by
MATERIAL MAN; Justin Warwick
(trainer); Lucy Warwick (Jockey); and
M J & Mrs J Mac Dermott (owners).
• WATC Derby (Group Two): won by
ACTION; Grant & Alana Williams
(trainer); William Pike (Jockey); and
Peters Investments Pty Ltd Syndicate
(Mgr: R J & Mrs S L Peters) (owners).
• Karrakatta Plate (Group Two): won
by VALOUR ROAD; Simon A. Miller
(trainer); Aaron Mitchell (Jockey);
and D L Carvell, B J Mc Gougan,
I S Devenish, Mrs C M Devlin, P
R Conway, R G Sayers, Jacques
De Bissy, Mrs D M Williams, J A
Vingerhoets & Mrs S J Conway
(owners).’
Harness
• Inter Dominion (Group One): won
by LAZARUS (NZ); Mark Purdon
(trainer); Mark Purdon (driver); and G
J Kennard, P I Kennard, T G Casey &
K J Riseley (owners).
• Fremantle Pacing Cup (Group
One): won by MY HARD COPY
(NZ); Gary Hall Snr (trainer); Clinton
Hall (driver); and S K Chapman, C
Chapman & D Chapman (owners).
• WA Pacing Cup (Group One): won
by SOHO TRIBECA; B E Cousins
(trainer); Kim Prentice (driver); and
Robert Watson (owners).
• WA Derby (Group One): won by
KING OF SWING (NZ); Gary Hall Snr
(trainer); Gary Hall Jnr (driver); and
B V Richardson, M A Congerton,
Go Racing, K A Hall, G L Moore, S D
MacGregor, R Patriarca & F Patriarca
(owners).
• WA Oaks (Group One): won by OUR
MAJOR MAMA (NZ); Justin Prentice
(trainer); Justin Prentice (driver); and
Solid Gold Stanardbreds, B L Jones,
K Woolfenden, J R Brennan, R V
Brennan, G Monaghan, R Vassallo, R
Fitzgerald, L Dewar & CAD Syndicate
(owners).
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Greyhound
• Perth Cup (Group One): won by
TROUPER MONELLI; David Hobby
(trainer); and Mike & Michelle
Quinsee (owners).
• Galaxy (Group One): won by
RIPPIN’ SAM; Robert Britton
(trainer); and Loren Harborne
(owner).
• All Stars Sprint (Group Two): won
by EQUANIMITY; Enzo Crudeli
(trainer); and Robbie Brankstone
(owner).
Strategic OutlookRWWA maintains a strong focus on the
following strategic priorities over the
medium and long term to achieve the
organisation’s stated purpose:
1. Work with industry to increase
the effectiveness and utilisation of
racing assets;
2. Increase our share of the
competitive wagering market
through enhanced product and
services;
3. Strengthen government relations
and demonstrate the economic
and social benefits of a positive
and sustainable racing industry;
4. Improve the quality of racing
product, oncourse attendance and
relevance of Western Australian
racing through increasing stakes
distribution and industry marketing
and planning;
5. Implement strategies to
demonstrate best practice in
animal welfare, as well as the
promotion and delivery of
responsible wagering; and
6. Strengthen the integrity and
welfare standards across Western
Australian racing to ensure public
confidence and support.
In addition to the above strategic
priorities, RWWA is focused on working
with Government to provide the best
long term outcomes from the proposed
POC tax and the possible sale of the
WA TAB.
Our PeopleIn light of challenges and opportunities
that the Western Australian racing
industry continues to encounter under
the authority and guidance of RWWA,
whether they be foreign or domestic
and either within or outside of our
control, our organisation works hard
to achieve the best outcome for its
stakeholders.
There are more than 24,000 people
involved in racing in this state, many of
whom are fulltime, assisting to improve
the quality of our racing product and
promote to sport on a national and
international stage.
Mr Robert (Bob) Pearson stood down
as a Director of RWWA at the end of
the year, after many years of dedicated
service to the racing industry in Western
Australia. Bob’s contribution has been
enormous and appreciated by fellow
Board members and the industry at
large.
Finally, we take this opportunity to
thank our racing participants, staff,
agents, Government and importantly
our customers for their ongoing
commitment in providing a sustainable
future for the Western Australian racing
industry as we endeavour to be a
national leader in racing and wagering
entertainment.
Jeff OvensChairman
Richard BurtCEO
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Image: Ryan Hill, Jockey
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The Western Australian racing industry is funded via the profits made by the Western Australian TAB together with income
generated via WA Race Bets Levy from national wagering operators. For the 2017/18 financial year, RWWA contributed $162M
in funding to the Western Australian racing and sporting industry, and $24.4M in funding towards its racing and integrity
services, at total increase of $7M from the previous financial year.
$141.9m
RACING DISTRIBUTION
$24.4m
RACING & INTEGRITY SERVICES
$4.6m
SPORT DISTRIBUTION
$15.4m
RWWA GRANTS & CLUB SUBSIDIES
Western Australian Racing and Sporting industry
Racing Distribution
RWWA Grants & Club Subsidies
Racing & Integrity Services
Sport Distribution
In 2017/18 $141.9M of funding was distributed to the Western Australian racing industry as prize money, owner and breeder bonuses, participant payments, event fees and training services, as well as providing funding for initiatives such as the Australian Jockey Association and welfare initiatives.
RWWA has continued to assist clubs with infrastructure grants outside of the Racecourse Infrastructure Grants Program (RIGP) and Royalties for Regions (RFR) funding, with $15.4M in grants and subsidies provided to the Western Australian racing industry in 2017/18.
In 2017/18 $24.4M funding was allocated to racing and integrity services to ensure the proper conduct and integrity of racing activities across the State.
Every year RWWA, through the profits generated by the TAB, invests a portion of sports wagering revenue back into community sports through the Sports Wagering Account with the Department of Sport and Recreation, with a total contribution of $4.6M in 2017/18.
Industry Funding
Purpose of Funding
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The Western Australian racing industry is responsible for generating more than $821M in economic contribution to the State.
Furthermore, the industry has a presence in all regions of Western Australia, with 48 out of 52 race clubs located in regional areas,
meaning all of the State benefits from the racing industry.
Regions Number of Race Clubs
Number of Race Meetings
Real Gross Value-Added*
Metropolitan 3 333 $504.0M
Peel 4 203 $120.3M
South West 6 62 $58.3M
Wheatbelt 12 132 $57.6M
Goldfields-Esperance 7 51 $28.1M
Great Southern 5 31 $24.7M
Mid-West 7 24 $13.4M
Kimberley 4 15 $8.0M
Gascoyne 2 12 $3.6M
Pilbara 4 12 $3.0M
TOTAL 54** 875 $821M
*Real gross value-added is the measure of the value of production from economic activity. **The Western Australian Greyhound Association (WAGRA) are counted as one club, but run from three different race tracks, each in a different region.
Western Australian Racing Overview
Image: Broome Turf Club
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Western Australian Racing Overview
The continual increase in funding reflects RWWA’s wider strategy to improve the quality of racing product, on-course attendance and relevance of Western Australian racing.
Economic and Social Impact
The Western Australian racing industry generates more than $682M in direct expenditure, with more than half of expenditure occurring in regional areas.
The training and preparation of racing animals results in more than $165M in expenditure.
In excess of 823,000 racegoers attend thoroughbred, harness and greyhound race meetings in Western Australia each year; over 57% of these attendances occur at country racecourses, with Peel and the South West representing the largest regions.
More than 24,000 individuals participate in the Western Australian racing industry (as an employee, participant or volunteer), which equates to approximately 1 in every 79 adult residents in the State.
The economic activity generated by the racing industry sustains more than 7,360 full-time-equivalent positions in Western Australia.
On average 260 community organisations and charities are financially assisted by the
industry, and over 150 community organisations share race club facilities and resources.
(Source: WA Racing Economic & Social Report, IER, January 2016).
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Enabling Legislation
RWWA commenced operations on 1
August 2003 upon promulgation of
the Racing and Wagering Western
Australia Act 2003. The Act established
RWWA as the controlling authority for
thoroughbred, harness and greyhound
racing in Western Australia, together
with the responsibility for off-course TAB
wagering. Implementation of RWWA’s
responsibilities occurred in two stages.
Effective 1 August 2003, RWWA assumed
the principal club/controlling authority
responsibilities of The Western Australian
Turf Club, Western Australian Trotting
Association and Western Australian
Greyhound Racing Authority. On 30
January 2004, the Totalisator Agency
Board Betting Act 1960 was repealed
and RWWA assumed responsibility
for the conduct of off-course TAB
wagering. The Racing and Wagering
Western Australia Regulations 2003
were enacted to establish key employee
licensing procedures relating to RWWA’s
wagering activities, and to include those
provisions of the Totalisator Agency
Board (Betting) Regulations 1988 needed
to control RWWA’s wagering activities.
To complement the formation of RWWA,
the Betting Control Board, established
under the Betting Control Act 1954, was
abolished and its functions transferred
to the Gaming Commission of Western
Australia, which was re-titled the
Gaming and Wagering Commission of
Western Australia. Hence, the Gaming
and Wagering Commission, under the
Gaming and Wagering Commission Act
1987, now regulates RWWA’s gambling
activities.
As part of the legislative package to
establish RWWA, the Totalisator Agency
Board Betting Tax Act 1960 was repealed
and replaced by the Racing and Wagering
Western Australia Tax Act 2003. The
Racing Restriction Act 2003 replaced the
Racing Restriction Act 1917. Under the
Racing Restriction Act, no thoroughbred,
harness or greyhound race for prize
(exceeding $50 in value) or betting may
be held without a licence from RWWA.
LegislationThe principal legislation governing
RWWA is:
• Racing and Wagering Western
Australia Act 2003;
• Racing and Wagering Western
Australia Tax Act 2003;
• Racing Restriction Act 2003;
• Racing Bets Levy Act 2009;
• Gaming and Wagering Commission
Act 1987; and
• Betting Control Act 1954.
Other legislation to which RWWA must
comply includes the following. The list
is not exhaustive but represents the
legislation which impacts on the general
operation of RWWA:
• Anti-Money Laundering and
Counter Terrorism Financing Act
2006 (Commonwealth);
• Broadcasting and Recorded
Entertainment Award 2010;
• Copyright Act 1968
(Commonwealth);
• Corruption, Crime and Misconduct
Act 2003;
• Criminal Code Act 1913 (WA)
and Criminal Code Act 1995
(Commonwealth);
• Electoral Act 1907;
• Equal Opportunity Act 1984;
• Financial Management Act 2006;
• Freedom of Information Act 1992;
• Gaming and Betting (Contract
Securities) Act 1985;
• Interactive Gambling Act 2001;
• Liquor Control Act 1988;
• Long Service Leave Act 1958;
• Occupational Safety and Health Act
1984;
• Patents Act 1990;
• Public Interest Disclosure Act 2003;
• Spam Act 2003;
• State Government Agencies
Administration Award 2010;
• State Superannuation Act 2000;
• Statutory Corporations (Liabilities of
Directors) Act 1996;
• Superannuation Guarantee
(Administration) Act 1992;
• Trade Marks Act 1995;
• Trade Practice Act 1974;
• Unclaimed Money Act 1990;
• Workers Compensation and Injury
Management Amendment (Jockeys)
Act 2012; and
• Fair Work Act 2009.
Responsible MinisterThe Hon Paul Papalia CSC MLA (Minister
for Tourism; Racing and Gaming; Small
Business; Defence Issues; Citizenship and
Multicultural Interests) was appointed the
responsible Minister on 17 March 2017.
The Hon Paul Papalia CSC MLA (Minister for Tourism; Racing and Gaming; Small Business; Defence Issues; Citizenship and Multicultural Interests) was appointed the responsible Minister on 17 March 2017.
Operational Structure
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Operational Structure
The organisational structure of RWWA is based on a corporate model comprising a number of divisions which oversee the varying activities of the organisation.
Chief Executive OfficerRichard Burt
General Manager RacingCharlotte Mills
General Manager Racing Integrity Denis Borovica
General Manager Human ResourcesMatthew Thomas
Chief Information OfficerSam McCready
General Manager WageringMichael Saunders
Chief Financial OfficerIan Edwards
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Racing and Wagering Western Australia Board
Mr Jeff OvensFirst appointed 21 November 2011
Chairman, Jeff has helped implement
significant change programs aimed at
improving company performance in
ASX listed and private companies, the
tertiary education sector, health and the
sports industry.
Mr Robert Pearson First appointed 1 August 2003
(Retired 31 July 2018)
Nominated by Thoroughbred
Racing Industry Bodies since the
inception of RWWA in 2003 until
31 July 2018, former Chairman and
Director of Australian Racing Board,
WATC Committee, Director roles
in the sporting industry and current
Chairperson and Managing Director
Statewide Oil Distributors since 1985.
Mr Bob Fowler First appointed 1 August 2016
Mr Bob Fowler is the Managing Director
of Fowler Group of Companies. Bob’s
passion is Allwood Stud Farm situated
in Bullsbrook, Western Australia. He
was the President of Western Australian
Standardbred Breeders Association from
1985-1988.
Mr Gary GliddonFirst appointed 21 November 2011
Gary is the nominated Code Director for
Greyhounds and has previously been a
Licensed Owner through syndication.
He is currently the Managing Director of
Braxford Consultancy, a firm specialising
in Corporate Governance, Probity and
Audit related services.
Mr Anthony HasluckFirst appointed 1 February 2014
Anthony is one of WA’s leading
communications consultants and heads
Clarity Communications, the largest
independent agency in Western Australia
assisting corporations with public
relations, branding, design and digital
communications.
Dr Lianne Cretney-Barnes First appointed 1 February 2011
Lianne has a Doctor of Business
Administration and is a Fellow of
the Australian Institute of Company
Directors, the Australian Institute
of Management and the Australian
Marketing Institute.
Mrs Kirrilee WarrFirst appointed 1 February 2014
Director of a broad acre agricultural
enterprise Kirrilee currently holds
board appointments with Midwest
Development Commission, CBH
Grower Advisory Council, and
is Deputy President of Shire of
Chapman Valley. Also a member and
Graduate (2012) of the Australian
Institute of Company Directors, and
Graduate of the Australian Rural
Leadership Program .
Mr Stephen LangsfordFirst appointed 1 February 2018
Corporate Adviser, Company
Director and entrepreneur
founding and operating a number
of companies in the consumer
digital and information technology
sectors.
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Board Committees
Integrity Assurance CommitteeThe Integrity Assurance Committee (IAC) has primary
oversight of those aspects of RWWA’s functions that
relate to stewards, drug testing and control, licensing and
registration, handicapping, racing appeals, rules of racing
and wagering compliance.
Committee members:
• Dr Lianne Cretney-Barnes (Chairperson)
• Mr Stephen Langsford
• Mrs Kirrilee Warr
• Mr Anthony Hasluck (ex-officio)
Audit and Risk CommitteeThe Audit and Risk Committee (ARC) plays an important
role in providing oversight of RWWA’s values and ethics,
governance, risk management and internal control practices.
The ARC has oversight of the Internal Audit function. The
ARC also reviews and approves the Annual Report.
Committee members:
• Mr Anthony Hasluck (Chairman)
• Mr Jeff Ovens
• Mr Gary Gliddon
Remuneration and Nomination Committee The Remuneration and Nomination Committee (RNC)
oversees and reports on remuneration for the CEO,
bonuses for staff and executive, allowances for committee
members, and the nomination process for the recruitment,
appointment and development of the Board and
Committees, in accordance with its Charter.
Committee members:
• Mr Jeff Ovens (Chairman)
• Dr Lianne Cretney-Barnes
• Mr Robert Pearson
Animal Welfare CommitteeTo regularly review and revise all matters pertaining to the
proper control of the welfare of all racing animals within
the WA Racing Industry and to provide a communications
conduit between the WA Racing Industry and the general
public with respect to responding to public opinion and to
promulgate the proper regulation of racing animal welfare
within WA.
Committee members:
• Chief Executive Officer (Chairman)
• General Manager Racing
• General Manager Racing Integrity
• Racing Industry Veterinarian
• Manager Animal Welfare
• Manager Corporate Communications
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Code Committees
The purpose of the Thoroughbred Racing Committee is to make recommendations to the Board for
endorsement in relation to the specialised functions in relation to racing as prescribed within Section 35 of
the Act in its role as the Principal Racing Authority.
Name Nominated by
Mr Robert Pearson (Chairman) RWWA Code Director (Retired 31 July 2018)
Mr Robert Bransby (Chairman) RWWA Code Director (Appointed 1 August 2018)
Mr Neil Pinner Perth Racing
Mr Frank Fiore WAPTRA/CRA
Mr Alan Bansemer Stakeholder Associations
Mr Jarrod Rendell Independent (appointed by Committee)
Mr Anthony Cipriano Independent (appointed by Committee)
Racing CommitteesFormed in December 2017, the three individual code racing committees are responsible for the strategic role and direction of their
respective codes.
Thor
oug
hbre
dH
arne
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reyh
ound
s
The purpose of the Harness Racing Committee is to make recommendations to the Board for endorsement
in relation to the specialised functions in relation to racing as prescribed within Section 35 of the Act in its
role as the Principal Racing Authority.
Name Nominated by
Mr Robert (Bob) Fowler (Chairman) RWWA Code Director
Mr Michael Radley GPHR
Mr Peter Trefort WACHRA
Mr Howard King Stakeholder Associations
Ms Lisa Hando Independent (appointed by Committee)
Mr Glen Mortimer Independent (appointed by Committee)
The purpose of the Greyhound Racing Committee is to make recommendations to the Board for
endorsement in relation to the specialised functions in relation to racing as prescribed within Section 35 of
the Act in its role as the Principal Racing Authority.
Name Nominated by
Mr Gary Gliddon (Chairman) RWWA Code Director
Mr Richard Humphries WAGRA
Mr Noel Reilly WAGRA
Mr Gary Weston WAGBOTA
Mr Dean Starkie WAGBOTA
Mr Ken Norquay Independent Nominee
Ms Cheryl Isaac Independent Nominee
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Strategic Priorities
RWWA maintains a strong focus on the following strategic
priorities over the medium and long-term in the context of
achievement of the organisation’s stated purpose:
Sustainable Growth:
Deliver products and functionality that drives customer
engagement and increases financial outcomes.
Customer and Stakeholder Experience:
Create and lead the best customer and stakeholder
experience.
Risk and Compliance:
Maintain best practice standards of risk management and
compliance in a rapidly changing wagering and racing
landscape.
Racing Administration:
Ensure high standards of integrity and improve the quality
and sustainability of the racing industry through greater
collaboration.
Productivity:
Drive greater productivity and effectiveness across the
business.
People and Culture:
Continue to improve staff engagement and build a high
performing workforce.
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The following announcements form
part of RWWA’s wider strategy to
increase the quality of racing product,
on-course attendance and relevance of
racing in Western Australia.
Industry Funding
RWWA will provide distribution and
club subsidies to industry of $157.4M
in 2018/19, to support the delivery of
the strategic plans for thoroughbred,
harness and greyhound racing. This
represents an increase of $5.2M in new
funds to implement the framework
which will drive the delivery of the three
code strategic plans. The newly formed
RWWA Racing Committees have played
an important role in determining the
areas of funding priority for the three
racing codes. A further $3M in grants
have been allocated in 2018/19 to
complete the Pinjarra Harness Stalls
project, purchase and install a new big
screen at Ascot Racecourse and various
other racing projects. In addition,
$1.45M will be allocated to new digital
marketing initiatives predominantly
in the thoroughbred code to drive
ownership and participation.
Thoroughbreds
Priorities for the 2018/19 racing season
include new digital marketing initiatives
that have been allocated $1.2M to
drive the promotion of racing animal
ownership. This includes targeted
marketing and branding initiatives along
with $200K to rollout a comprehensive
digital content strategy in the
thoroughbred code. The thoroughbred
industry will also continue to benefit
from the full year effect of stake money
increases announced in February
2018 across all metropolitan and
provincial thoroughbred race meetings,
headlined by a $10K boost to Saturday
metropolitan races. Moreover, the
revised stakes distribution formula
(providing prizemoney to be paid back
to tenth place and a $100 subsidy to all
non-stakes earning runners) will also
continue to be funded. Thoroughbred
Owners and Breeders will also benefit
from the WestSpeed Platinum bonus
scheme now applying to both 2YO and
3YO crops at the full level, increasing
the bonus for 3YOs to $15K.
Harness
The key priority for the 2018/19 racing
season is the implementation of the
new business model for harness
racing, with almost $1M allocated to
this important project. Transitional
stakes tiering will be introduced
from 1 September 2018 along with
enhancing the racing circuits and
implementation of further elements of
the new business model. Following this
period of transitional stakes increases,
all remaining stakes increases will be
implemented from 1 November 2018,
delivering Gloucester Park mid-week
total meeting stakes increases of
$10K and Gloucester Park prime total
meeting stakes will increase by an
additional $7.5K. Total meeting stakes
for Provincial 2/Country race meetings
will increase by a further $500 from 1
November 2018, with an additional $1K
in total meeting stakes for Provincial 1
race meetings from this date.
Greyhounds
More than $500K will fund an increase
in the trainer’s subsidy (to $50) to
recognise the additional costs trainers
and owners bear throughout the
career of a racing greyhound, and help
with the costs in maintaining retired
greyhounds in their kennel immediately
post their racing career before entering
the Greyhounds as Pets assessment
program. In terms of animal welfare,
$200K will be invested in rehoming
initiatives involving Greyhounds as
Pets (GAP) and other animal advocacy
and rehoming agencies, while $250K
in funds will support an expanded
track injury rebate scheme. From 3
August 2018, revised stake money
levels incorporating stake tiering within
the Sprint Grade will see increases of
up to $545 specific to City Grade 5
520m races; $375 specific to Provincial
Grade 5 490m and 520m races; and
$225 specific to Country 490m, 509m
and 520m races. WAGRA will receive
an increase of $330K including an
Event Fee increase, further training
funding and financial support to deliver
subsidised public trials.
Future Outlook 2018/19
RWWA will provide distribution and club subsidies to industry of $157.4M in 2018/19, to support the delivery of the strategic plans for thoroughbred, harness and greyhound racing.
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Chapter 2: Report on Operations
Image: Mollie Clak and Casey Hunter
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The Racing division is responsible
for racing operations and the overall
strategic direction of the racing industry
in Western Australia. Responsibilities
include fixture planning, racing
systems and information maintenance,
handicapping and grading, race
programming, base and feature stakes
allocations, domestic and international
vision contracts, industry consultation,
racing industry development, industry
training, club and racing industry related
occupational safety and health (OSH),
and control of RWWA-owned animal
industry training venues.
Throughout the year racing and
technical teams have been working
through the transition to the new
Single National System that will
support the thoroughbreds from early
2019. Continued focus has been on
maximising the OzChase support system
for Greyhounds and will continue
to deliver self service functions for
participants through the next 12 months.
RWWA, as the Principal Racing Authority
for the three codes of Racing in Western
Australia, operates under the Racing and
Wagering Western Australian Act 2003
but also applies National Rules of Racing
for each code. The Racing division
results listed below are for the period 29
July 2017 to 27 July 2018.
The 2017/18 season provided 875
race meetings across the three codes
of racing, featuring a total of 7,976
races contested by 68,683 starters. Of
these, 6,562 individual animals raced
including 3,427 thoroughbreds, 1,691
standardbreds and 1,444 greyhounds.
Funding For Race Clubs
In 2017/18, RWWA provided distribution
funding as follows:
• One greyhound club (Western
Australian Greyhound Racing
Association (WAGRA)) racing
at three venues (Cannington,
Mandurah and Northam).
• 37 thoroughbred clubs (including
tenanted arrangements for
Coolgardie Race Club at
Kalgoorlie)*.
• 14 harness clubs.
• Five harness training only venues
(Byford, Dunbarton, Jandakot,
Wanneroo and York).
• Total distribution funding (in the
form of event fees, training funding,
international rights and on-course
bookmakers levy rebate) provided
to Western Australian racing clubs
in 2017/18 amounted to $25.4M or
17.1% of total industry distributions.
• Total distributions to race clubs
excludes capital infrastructure
funding, on-course vision
production costs, SKY broadcast
transmission costs, wagering
pooling fees and product fees.
• The source of funds for
distributions is made up of RWWA
profits/retained earnings and
revenue from the WA Race Bets
Levy (under which all race fields
income is passed on to the race
clubs).
• Capital infrastructure funding
was sourced via the Racing
Infrastructure Grants Program
(RIGP), Royalties for Regions
(RFR), race club and RWWA
supplementary funding.
*Note: dual code race clubs, York
Racing and Narrogin Race and Pace, are
included in the above figures.
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Major thoroughbred racing activities in 2017/18:
• RWWA provided thoroughbred
race clubs and participants with
payments for stakes and subsidies of
$67.5M.
• The WestSpeed Scheme provided
owners, breeders, trainers and riders
with an additional $7.1M in bonuses.
• Race clubs conducted a total of 295
race meetings (including non-TAB
meetings) and 2,212 races.
• The Western Australian
thoroughbred race clubs paid a
total of $61.2M in prize money, with
20,924 starters.
• There were 3,427 individual
thoroughbreds that raced.
• The Magic Millions Yearling Sales
recorded an aggregate for the sale
of $11.66M and an average sale price
of $45.8K, with a clearance rate of
84.7%.
• Owners benefited from the increase
of WestSpeed Platinum bonuses of
$5k on previous year. A total of 115
Prime Metro WestSpeed bonuses
were paid during 2017/2018 season.
• Ascot hosted the TABtouch Masters
series featuring a $1M Group One
race on three consecutive Saturdays.
• Bunbury Turf Club and Pinjarra
Race Club hosted standalone
metropolitan class Saturday fixtures.
• RWWA continued a project to
migrate from the internal legacy
thoroughbred racing computer
system to the Single National
System administered by Racing
Australia. The project, which was
initially expected to be delivered in
May 2018, was delayed by Racing
Australia and is now expected to be
completed in early 2019.
Racing
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Major Harness racing activities in 2017/18:
• RWWA provided harness race
clubs with payments for stakes and
subsidies of $35.7M.
• RWWA paid out an additional $1.4M
in WestBred bonuses.
• Race clubs conducted a total of
263 race meetings and 2,219 races,
which provided 21,815 racing
opportunities for 1,691 individual
horses that raced.
• The 21,815 starters were trained
by 382 individual trainers, with 59
trainers having 100 or more starters
for the year, and 20 having 200 or
more starters.
• A total of 221 Western Australian
trained mares earned at least one
of the EPONA bonuses, winning
478 races and generating $231K in
credits. Six mares each earned the
maximum credit amount of $5K,
and a total of $115K was paid out in
claims to the owners of 54 mares.
• The Australian Pacing Gold Yearling
Sales recorded a sale of $1.31M
and an average sale price for fillies
of $15K and for colts $16K, with a
clearance rate of 80.4%.
• RWWA and Gloucester Park
Harness Racing (GPHR) hosted the
third series of the TABtouch Perth
Inter Dominion Championship
Series in December 2017 with the
overall series worth $1.8M in prize
money.
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Image: TABtouch Park Cannington
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Major greyhound racing activities in 2017/18:
• RWWA provided WAGRA with base
and feature stakes funding of $11M.
• The WESTCHA$E Incentive Scheme
paid out $1M in bonuses for the
year.
• WAGRA conducted 3,545 races
at 317 race meetings, with 25,945
starters.
• There were 1,444 individual
Greyhounds that raced.
• The Group 1 Perth Cup was won
for the third year in a row, by a
Western Australian trained, owned
and bred greyhound TROUPER
MONELLI. Trainer David Hobby,
Owners and Breeders Mike &
Michelle Quinsee.
• The Group 1 pinnacle was
also achieved by the Western
Australian trained, owned and
bred greyhound QUICK JAGGER,
who won the Group 1 Sale Cup
in Victoria. Trainer Chris Halse,
Owner Declan Edmonds, Eamon
Fitzpatrick & Geoff Chatfield,
Breeder Christine Robartson.
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Industry Training
Major industry training highlights in 2017/18:
• Three apprentice jockeys
commenced race riding, with
three graduating into senior ranks
during the year. Eight commenced
as trainees. One transferred to
Victoria and one transferred back
to complete his apprenticeship.
Additionally one apprentice returned
to race riding after having two years
off due to injury.
• RWWA again supported the National
Apprentice Jockey Challenge, with
a heat being held at Ascot in April,
which was won by WA Apprentice
Tayla Stone. Western Australian
apprentices rode in each heat,
represented by Fiona Bell (Tasmania),
Randy Tan (Victoria), Tayla Stone
(Queensland, ride was scratched,
rode in South Australia),
• Tayla Stone won the leading
metropolitan apprentice
premiership, Brodie Kirby the leading
Provincial and leading Country
Apprentice.
• Two new C grade harness drivers
(trials only) commenced during the
season.
• One driver progressed to B grade
drivers’ licences during the period.
• The Garrard’s Young Drivers
Challenge was won by Dani Roberts.
• RWWA Careers in Racing promotions
have been supported by Racing
Marketing to raise the profile of
career opportunities in the racing
industry.
Image: Ben Paterson, Jockey
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Infrastructure Grants
Racecourse Infrastructure Grants Program (RIGP) and Royalties for Regions
In July 2010, the Western Australian State
Government announced a $13M funding
program over five years toward racing
infrastructure. The Western Australian State
Government also approved boost funding
from Royalties for Regions (RFR) of $6.6M
in November 2012, increasing infrastructure
grant funding to the racing industry to
$19.6M during the period 2010/11 –
2014/15.
RWWA administers the Racecourse
Infrastructure Grants Program (RIGP) for
the Minister for Racing and Gaming. During
2017/18 financial year outstanding projects
were progressed towards completion, with
no additional Government funding or grants
approved by the Minister.
Other major projects completed from RIGP/RfR funding include:
• Pinjarra Harness Racing Club –
Sempahore Board
• Vision Cabling – Albany Racing Club
• Vision Cabling – Mt Barker
• Remedial Track Works – Narrogin
Racing
• Remedial Track Works – Broome
• New Tractor – Wagin
• New Jump Out Barriers – Esperance
Code Funding Metro Non-Metro
Thoroughbreds $1.69M 51% 49%
Harness $350K 47% 53%
Greyhounds $460K 100% n/a
Major RWWA Funded Grants
In 2017/18, $4.5M of RWWA Grant Funding was made available to all Race
Clubs based on wagering performance in the previous year, with minimum
funding available to each Club of $10,000 specific to OSH and infrastructure
projects.
Key projects completed include:
• Ascot Grandstand Major
Electrical Upgrade
• Perth Racing Track Maintenance
Equipment
• Ascot Bar Upgrades
• Kalgoorlie-Boulder Race Club
Bar Upgrade
• Northam Race Club Tractor
• Geraldton Turf Club Tractor
• Albany Racing Club Irrigation
Upgrade
• Pinjarra Race Club Solar Panels
• Pinjarra Race Club TV Cabling
Upgrade
• Bunbury Turf Club Track
Equipment
• Gloucester Park Network
Upgrade
• Pinjarra Harness Racing Club
Track Conditioner
• Bunbury Trotting Club Solar
Panels
• Northam Harness New Toilets
• Mandurah Greyhound Track
Upgrade
• Northam Greyhound Lure
Upgrade
• Other major RWWA funded
grants in 2017/18 include:
• Gloucester Park Bridge Bar
• Greyhound Sectional Timing
• Kalgoorlie-Boulder Race Club
Swimming Pool Upgrade
• Roebourne New Judges Tower
• Vision Cabling – Ascot
• Vision Cabling – Esperance
• Vision Cabling – Geraldton
Image: Gloucester Park
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Animal Welfare
RWWA is committed to ensuring that
racing animals in all three codes of
racing (thoroughbred, harness and
greyhound) are afforded appropriate
care and attention before, during and
after their racing careers. RWWA aims to
be a leader in animal welfare and build
a racing culture in which the health
and wellbeing of racing animals is
paramount to all participants
and owners.
To ensure welfare remains at the
forefront of all decisions, RWWA has
an Animal Welfare Committee (AWC)
comprising the CEO, General Manager
Racing, General Manager Racing
Integrity, Racing Industry Veterinarian,
Manager Corporate Communications
and Animal Welfare Manager.
The AWC meets regularly to discuss
strategic objectives and operations
regarding animal welfare. Additionally,
RWWA continues to identify areas of
focus within racing and refine strategies
intended to successfully drive positive
outcomes and deliver reform to
contribute to a sustainable future for
racing in WA.
In evolving these strategies, RWWA
sought consultation with industry
stakeholders to best understand and
address the key issues relating to
greyhound and equine welfare. These
strategies will serve to guide RWWA
and the racing industry into the future,
setting clear priorities and objectives
regarding the welfare of thoroughbred,
harness and greyhound Racing.
Equine WelfareRWWA recognises the importance of
appropriate care and consideration for
racing animals throughout their entire
lifecycle, including retirement, and
is committed to executing strategies
aimed at facilitating thoroughbreds and
Standardbreds transitioning to careers
outside of racing.
In recognising the importance of equine
welfare and in complementing National
Standards and the thoroughbred and
Harness Racing Strategic Plans, RWWA
will work towards the following welfare
commitments;
1. Full Lifecycle Tracking
2. Maximising Race Potential
3. Minimising Racing Injuries
4. Ensuring Best Practice
5. Education
6. Increasing Demand For Retired Racehorses
7. Retirement Requirements
Consistent with achieving these
aims, the following strategies were
implemented in 2017/18;
• From 1 September 2017, RWWA
implemented mandatory
microchipping of Standardbred
horses to enhance data capture
and promote full life-cycle tracking
of Standardbreds.
• Through the 2016/17 period,
RWWA developed a new business
model for harness Racing
aimed at providing greater race
opportunities for all horses. This
model should extend the racing life
of a horse and reduce the number
of horses exiting the industry
prematurely.
• Increased penalties for whip rules
breaches in harness racing and
revised whip rule to be introduced
on 1 September 2018.
• Policy development – use of
joggers.
Research and EducationRWWA has a research partnership
with Murdoch University and this
year made a contribution towards
funding a three year research project
examining Exercise Induced Pulmonary
Hemorrhage (EIPH) in horses.
The final publication, published in April
2018, examined the progression of
the condition and made observations
around tailoring racehorses exercise
schedules to limit the progression of
EIPH.
The project has previously published
two papers in the Equine Veterinary
Journal; one investigating risk factors
for disease, and the second examining
the association between EIPH and
performance.
Image: Retired racehorse Scenic Blast
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Off the Track (OTT)RWWA’s Off the Track (OTT) program
continues to be an active voice within
the racing and equestrian industries,
positioning retired racehorses as breeds
of choice for equestrian disciplines and
other pursuits.
The program’s activities increase
the demand for, and supports the
placement of, retired thoroughbred
and Standardbred racehorses in second
careers via the marketing initiatives
including sponsoring of events, sharing
successful stories, promoting re-trainers
and rehoming services, and holding
education clinics for retired racehorses.
Key achievements in 2017/18 include:
Cavalletti ClassifiedsOTT facilitates the sale of horses
on behalf of owners and trainers on
Australia’s most popular horse-selling
website – Cavalletti Classifieds. Through
this online platform, OTT has assisted in
the rehoming of 119 retired racehorses
since February 2017. Additionally, the OTT
program provides information to assist
trainers and owners to independently
transition their horses to successful
secondary careers.
Riding for the Disabled Association of Western Australia (RDA) Horses In 2017/18, two retired racehorses (one
Standardbred and one thoroughbred)
sourced by Off the Track were specifically
assessed and re-trained for RDA purposes
and have been gifted complete with
saddlery to RDA’s Centre in Collie.
Education Clinics In order to maximise rehoming success,
RWWA provides Education Clinics
through the OTT. These clinics are
valuable as they provide new owners
with tools to train and care for their
retired racehorse. The workshops bring
together experts in the fields of dressage,
show jumping, cross country and general
horse care including nutrition, farriery
requirements, dental and veterinarian
care to support the successful transition
of racehorses into second careers.
Events and Sponsorship OTT attended many events throughout
2017/18 to promote the capabilities
and versatility of thoroughbred and
Standardbred horses, including the Scenic
Blast Stakes, Magic Millions Yearling Sales,
Rockingham Beach Cup, Dowerin Field
Day, Equestrian WA Thoroughbred Horse
Of The Year, Patron’s Cup, Harness Horse
Of The Year Awards, IGA Perth Royal
Show, Harvey Dickson Rodeo, Equestrian
WA State Show jumping Championships
and The Blackwood Marathon.
OTT also provided sponsorship to 234
retired racehorse events and shows
throughout Western Australia.
Retired thoroughbred racehorse showjumping over the OTT jump at the Alcoa International Horse Trials at Fairbridge
Animal Welfare
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Greyhound WelfareRWWA is committed to ensuring that
the best levels of care are given to
greyhounds throughout all stages
of their lives, through a program of
investment, education, monitoring and
regulation. When a greyhound retires
from the racing industry, at any age,
RWWA will aim to have every healthy
and behaviourally sound greyhound
re-homed.
RWWA has a strict ‘Code of Practice
for the Keeping of Greyhounds’, which
outlines its expectations for the care of
greyhounds by all industry participants.
RWWA is proactive regarding greyhound
welfare and has implemented many
of the reforms from Commissioner
McHugh AC QC’s 2016 report on the
Special Commission of Inquiry into the
Greyhound Racing Industry in New
South Wales. The phased approach to
achieving these reforms is documented
in the 2017 RWWA Annual Report.
The central disciplines that make up an
effective welfare centric approach to
greyhound racing include;
1. Controlling supplyIn light of increased expectations
regarding rehoming greyhounds post
racing, reaching a state of equilibrium
between supply and demand is critical.
RWWA has implemented reforms aimed
at controlling the number of dogs in the
WA racing population while ensuring
race fields are maintained. Specifically,
RWWA is seeking to achieve this
balance through the introduction of:
stricter controls on breeding, breeding
licences and other measures targeted
towards supply; the introduction of
‘DAM’ registrations; a breeding review
panel; and through maximising racing
opportunities for greyhounds of all
abilities.
2. EducationRWWA is committed to ensuring
greyhound racing participants are
offered the highest level of training and
education to maintain a welfare centric
approach to breeding, rearing, training
and racing.
3. SocialisationThe early stages of a greyhound’s
life are extremely important for their
development and their early rearing
environment is critical for building
resilience. As part of RWWA’s ‘Code of
Practice for the Keeping of Greyhounds’
within the Western Australian Racing
Industry, young greyhounds must be
provided with a structured program
of controlled exposure to a range of
stimuli from an early age. The stimuli
should represent likely scenarios that
the greyhound will experience in later
life, such as exposure to other breeds
of dogs.
4. Minimising track injuriesRWWA is committed to ensuring that
euthanasia of greyhounds, where not
indicated for medical or behavioural
reasons, is prevented. In December
2017, RWWA introduced an Injury
Rebate Scheme designed to offer
more greyhounds the opportunity to
recover from a serious injury sustained
on the race track. Under the scheme,
if a greyhound sustains an injury on
the track and subsequently meets the
eligibility requirements, RWWA will
offer a financial contribution to help
the trainer/owner pay for the costs of
surgery.
Additionally, RWWA investigates,
assesses and reports on track injuries
and incidents that result in catastrophic
injury while racing. RWWA maintains
an injury recording system within the
greyhound racing database, OzChase.
This injury data is continually monitored
and trends analysed with a view to
improving safety and welfare where
possible. Through an infrastructure
grant from RWWA, the West Australian
Greyhound Racing Association (WAGRA)
purchased new track measuring devices
to collect data aimed at identifying
optimum track surface.
5. Increasing demandRWWA is committed to strategies aimed
at maintaining community demand
for greyhounds as pets. In working to
achieve this goal, RWWA increased
investment in the Greyhounds as Pets
(GAP) program.
6. Re-homingRWWA is committed to ensuring all
behaviourally sound greyhounds are
able to transition to life as a pet post
racing. In keeping with best practice,
RWWA introduced a rule change
effective 1 January 2018, requiring
all greyhounds to be sterilized prior
to rehoming unless the greyhound
is being accepted into an adoption
agency that undertakes sterilisation as
part of their rehoming practices. RWWA
implemented a Sterilization Rebate in
tandem with this rule to assist industry
participants to comply with increased
welfare requirements.
7. Tracking
RWWA is committed to full lifecycle
tracking of all greyhounds throughout
their racing career and into retirement.
RWWA greyhound Stewards have
continued to be active both in lifecycle
tracking retirements of greyhounds
through auditing industry compliance
with the submission of mandatory
Rule 106 retirement forms. These
requirements are being strictly enforced
by Stewards with penalties issued for
non-compliance. Greyhound Stewards
conducted 210 individual kennel/
property inspections in 2017/18.
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8. Consultation
The WA Greyhound Welfare Working
Group (GWWG) was established by the
Minister for Racing and Gaming, the
Hon. Paul Papalia CSC MLA, and Lisa
Baker MLA, Member for Maylands with
regular meetings facilitated by RWWA.
The aim of the group is to foster greater
collaboration between the greyhound
racing industry and major greyhound
welfare and adoption groups for the
advancement of greyhound welfare in
WA through all stages of a greyhounds
life.
Research and Education – RWWA has
conducted an analysis of data from the
past two years of injury records to gain
a better understanding of factors that
might contribute to the development
of hock fractures in greyhounds.
Collaboration is being sought from
researchers at Murdoch University to
assist with this data analysis, with a view
to identifying any contributing factors
that can be mitigated in order to prevent
occurrence of hock fractures.
Review of the use of barking muzzles –
On behalf of RWWA, Murdoch University
veterinary consultant in animal
behaviour, Dr Nicole Lobry de Bruyn,
completed a review into the use of
barking muzzles following a recent WA
ban off the back of recommendations
in the McHugh report. This independent
report confirmed the negative welfare
implications of barking muzzles and
reaffirmed the ban.
Optimum Track Design - A report from
the University of Technology Sydney
into optimal track design commissioned
by Greyhound Racing NSW outlined
a number of recommendations, both
long and short term to reduce injury
and ensure best practice. RWWA has
already implemented some of the short
term recommendations including the
implementation of hoop arm lures at
most racetracks.
Greyhound Retirement Data For the period 1 August 2017 to 31 July 2018, the following numbers of greyhounds were reported to RWWA by the latest
registered owners of persons responsible for the greyhounds at the relevant time, under requirements of greyhound rule of
racing LR106, as retired from racing or deceased.
Metric 2016/17* 2017/18* Variance
Adopted through GAP 245 270 10%
Adopted through other greyhound rehoming organisations 331 225 -32%
Adopted as pet to a third party (non-owner / trainer) 125 84 -33%
Adopted as pet to an owner / trainer 56 30 -46%
Retired for breeding 40 37 -8%
Total number of greyhounds retired 797 646 -19%
Deceased or euthanasia due to accidental death, natural causes, illness or age 82 55 -33%
Deceased or euthanasia due to racing related injury 83 74 -11%
Euthanasia not suitable for rehoming 53 43 -19%
Euthanasia not suitable for racing 7 0 -100%
Total number of greyhounds deceased 225 172 -24%
Total number of greyhounds retired or deceased 1022 818 -20%
* The data for 2017/18 was extracted from OzChase on 4 September 2018 and is correct as of that date whilst the data for 2016/17 was reported in the 2016/17 Annual Report (correct as of 10 October 2017). Minor variances in some data can occur over time as LR106 forms are received and processed on a continuous basis, and the status of individual greyhounds may be updated from time to time with new information received.
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This report has been prepared using the information on
greyhound racing injury, fatality and related euthanasia recorded
by on track veterinarians and Stewards at race meetings held in
WA and maintained in the OzChase system by RWWA. This is an
annual report covering the period 1 August 2017 to 31 July 2018
inclusive.
Injury severity classification All greyhounds with an on-track post-race or post-qualifying
trial veterinary reported injury have been included in this
report. As the injuries range from very mild and requiring no
incapacitation period (stand-down period) to catastrophic
injuries leading to death or euthanasia the rating guide in Table 1
has been used to categorise injury severity.
The examination of a greyhound post racing identifies any
injuries, including minor injuries such as general muscle
soreness, that potentially impacted its racing performance, and
thus the reporting of injuries has both an integrity and welfare
function. The period of incapacitation (stand down) prescribed
is intended to enable the greyhound to return to full race
fitness to resume competitive racing, above and beyond the
time required to overcome the reported injury. Accordingly the
examination and subsequent reporting is based on a high level
and conservative veterinary assessment of any injury, related
to the greyhound’s ability to compete at the required level of
racing, beyond the primary requirements for a more standard
welfare assessment.
Rating Incapacitation period Typical injury types
Minor Class I 0 days Mild skin abrasions/grazes
Minor Class II 1- 10 days Grade 1 muscle injury Minor skin laceration
Medium 11- 21 days Joint /ligament sprain Skin laceration Grade 2 muscle injury
Major Greater than 21 daysGrade 3 muscle injury
Bone fractures
Catastrophic Deceased or euthanased immediatelySevere skull or spinal trauma
Complex /open/joint fractures
Table 1: Greyhound injury rating guide indicating expected stand-down periods and examples of related injury types.
Between 1 August 2017 and 31 July 2018 (inclusive) 3,493
greyhound races and 170 qualifying trials were conducted
across WA at racing venues with a total of 25,562 race starters
and 744 qualifying trial starters (26,306 total starters). Table
2 details the number of injury incidents reported where a
greyhound with at least one injury was identified by an on track
veterinarian after participation in a race or qualifying trial in WA
during this period.
These injury incidents affected a total of 753 individual starters.
This equates to an injury incident being reported on track from
2.9% of official starters in races and qualifying trials. Of the total
reported injury incidents, 54% were of a minor nature requiring
either no stand-down period or a stand-down period of less
than 11 days. The percentage of starters affected by either a
Major or Catastrophic injury was 0.6%.
A 2018 review of consistency of incapacitation (stand-down)
periods by RWWA in conjunction with official track veterinarians
resulted in some minor and medium grade injuries attracting
slightly longer incapacitation periods during 2017/18. This has
provided increased recuperation time for greyhounds and may
be reflected in an overall lowering of the total injury rate from
3.5% in 2016/17 to 2.9% in 2017/18.
Animal Welfare
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Rating Incapacitation period Total numbers of injury incidents
Injury rate (injury inci-dents/1000 starts)
Injury rate as % of total starters
Minor Class I 0 days 46 1.7 (1.8) 0.17% (0.18%)
Minor Class II 1- 10 days 335 12.7 (22.0) 1.27% (2.20%)
Medium 11- 21 days 214 8.1 (6.6) 0.81% (0.66%)
Major Greater than 21 days 113 4.3 (3.6) 0.43% (0.36%)
Catastrophic Deceased or euthanased immediately
45 1.7 (1.4) 0.17% (0.14%)
Table 2: Number of race injury incidents, injury rates and severity reported at WA race meetings by on track veterinarians between 1 August 2017 and 31 July 2018. (Figures for 2016/17 in green)
Table 3: GAP key statistics outlining total number of adoptions, Greyhounds in foster care, pre-assessments undertaken and euthanasia’s.
Greyhounds as Pets (GAP)GAP is a program of RWWA. GAP’s mission is to promote, encourage and facilitate greyhound pet ownership to the wider
community through the provision of safe, healthy greyhounds to homes throughout Western Australia.
2015/16 2016/17 2017/18 Variance from 2016/17 – 2017/18
Adoptions 121 245 272 11%
Greyhounds in Foster 60 112 82 -26%
Pre-Assessments 99 432 367 -15%
Euthanasia at Kennels 16 18 14 -22%
Euthanasia % of Total Adoptions 13% 7% 5%
Note – while we endeavour to rehome all greyhounds, there will be times when humane euthanasia is the most compassionate and responsible course for the animal’s wellbeing and for public health and safety. GAP may euthanse animals, as either medically or behaviourally necessitated, who are found to meet criteria for unhealthy/untreatable/unadoptable animals.
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Image: GAP National Adoption Day 2018
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On Sunday 29 April 2018, GAP hosted
an inaugural National Adoption Day in
conjunction with five other states (QLD,
NSW, VIC, TAS, SA) in a consolidated
effort to rehome retired greyhounds.
The WA event was hosted at the GAP
Southern River facility with more than
300 members of the general public
attending and a record number of 60
greyhounds adopted to families across
the state.
During the year, GAP continued to grow existing partnerships and programs:
Bunbury Regional Prison
The Bunbury Prison Program provides
the opportunity for prisoners in the
pre-release unit to care for GAP foster
greyhounds for a period of six weeks.
The prisoners are entrusted with
the responsibility of caring for the
greyhounds, who learn basic obedience
and household manners to assist them in
preparing for life in their future adoptive
homes. Recognised for the positive
impact the program has on prisoners,
the facility doubled their commitment to
the program increasing the number of
dogs from two to five. In doing so they
expanded the initiative into the medium
security prison.
South Metropolitan TAFEThe GAP program expanded its
relationship with South Metropolitan TAFE
to include work experience at the kennel
facility. The existing program sees animal
studies students care for two foster
greyhounds to gain experience handling
and working with large breed dogs. Over
the year, 20 students who are completing
their Certificate III in Companion Animal
Services undertook their work placement
hours at the GAP facility. Five students
attended throughout the year who
are completing work placement hours
through other vocational education
programs.
School Visits One student attended from St Norberts
College completing the in-school
WorkPrep Program by completing
volunteer hours on site at GAP.
Also a relationship with Carey Baptist
College commenced for one day a term
for ten Year 11 students to come and
volunteer at the facility.
Volunteer ProgramOur volunteer program continues to be
very popular with approximately four
volunteers per day over the year coming
in to walk, groom and socialise our
greyhounds. The volunteer program
benefits our greyhounds hugely by giving
them extra handling and socialising with
our volunteers before becoming a forever
pet in a home.
Community EventsAs part of continuing the positive
positioning of greyhounds within the
Western Australian community, GAP has
attended many events this year including
the Perth Royal Show, Perth Cup Heats
and Final at Cannington, Sighthound
Club Show, RSPCA Million Paws Walk and
various community days.
Image: A rehomed Greyhound via GAP
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Racing Integrity
The WA Racing Industry is governed
by a unique model compared to most
other states where a Statutory Body
(RWWA) is charged with specialised
functions in relation to Racing (Part 4
Racing and Wagering Western Australia
Act 2003).
In this capacity, RWWA has all the
functions of the principal club/
controlling body in relation to
thoroughbreds, harness and
Greyhounds, however is precluded by
law from conducting race meetings
on its own behalf (S35(2)). This is an
important structural distinction which
provides a level of separation of powers
and governance from the actual
conduct of a race meeting which is
of benefit to the proper discharge of
integrity functions.
The objective of the Racing Integrity
Division is to maintain a level playing
field for racing participants through
the promotion of integrity, ethics and
fair play with a view of preventing all
methods or practices which might
jeopardise the integrity of racing.
Prohibited Substance ControlRWWA continues to invest heavily in
drug control, which represents some
$1.3m for analytical service costs alone.
The restrictions on drugs in racing,
which includes stimulants, analgesics
and anti-inflammatory drugs, not only
ensures the confidence of the betting
public that the results of races are
determined through honest means, but
also ensures that the animals competing
do so on their own merits without
compromising their welfare.
ChemCentre in Perth is contracted to
undertake the screening of all samples
taken by RWWA. Through the year they
have invested in acquiring additional
modern instrumentation to assist in
delivering a broader level of screening
for every post-race sample taken.
As a result of the greater breadth of
analysis of each sample an increase in
the number of detections of prohibited
substances has been seen. Such result
Thoroughbred Samples Positives
Post Race 1,987 10
TCO2 1,449 0
OOCT 123 0
Human 244 4
Harness Samples Positives
Post Race 1,658 9
TCO2 2,082 2
OOCT 70 0
Human 121 0
Greyhound Samples Positives
Post Race 1,199 7
OOCT 37 0
Table 1: Indicates total swabbing levels for the year 2017/18*.
(* Figures of positives correct as at 17 August but subject to variation upon subsequent reporting from ChemCentre)
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From a total of 8,605 horse or
greyhound swabs, 28 positive swabs
were recorded for the year. This figure
is inflated on previous years due to the
following, with only 10 positives for the
year resulting in penalty to the trainers.
Thirteen of the recorded positive swabs
were established on inquiry to involve
the ingestion of arsenic by horses
chewing Chromated Copper Arsenate
(CCA) treated timbers commonly used
in the construction of fencing and
paddocks. As such these positives were
not the result of deliberate treatments
but rather environmental factors. In
some cases several horses housed in
the same environment from a single
trainer exceeded the threshold which
resulted in those horses concerned
being disqualified from the races they
won with no other penalties recorded
against the trainers in view of the
circumstances.
Various warnings to industry have been
publicised through the year with respect to
horses exposure to CCA treated timbers.
The broadening of screening has also
seen an increase in the number of
cobalt positives for the year to nine.
Of the remaining six positives, with the
exception of the two which related
to TCO2, there was one positive to
the stimulant caffeine in Greyhounds
with the remaining three being of a
therapeutic nature.
The increased level of positives for
2017/18 is evident in the following chart.
Greyhounds
Harness
Thoroughbreds
07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18
100
99.5
99
98.5
98
Per
cent
age
Positive Swabs
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The level of swabbing relative to percentage of winners across all three codes is represented graphically as follows and has been
consistently maintained.
InquiriesThe Western Australian Racing industries are recognised
nationally as having the strongest approach to integrity
matters with the range of penalties for serious offences at
the upper end of the spectrum when compared to national
penalties. This strong approach, particularly in matters
of animal welfare, assists in maintaining the image and
reputation of the racing industries as being properly regulated.
The following refers to matters of a serious nature that have
been dealt with by the RWWA Primary Inquiries Panel that
is Chaired by the General Manager Racing Integrity and
comprised of the Senior Integrity Officers across the codes
who are empanelled to determine matters in accordance with
the rules of racing. Parties called to such proceedings are
often represented by Senior Counsels with decisions made
in accordance with the principles that apply to domestic
tribunals.
Code Total Inquiries Appeals Disqualifications Suspensions Fine Reprimands
Thoroughbred 8 3 4 - 3 -
Harness 19 12 8 - 9 -
Greyhound 8 4 7 1 - -
Total 35 19 19 1 12 -
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07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18
20
30
40
50
60
70
80
90
100
10
Winners Swabbed
Greyhounds
Harness
ThoroughbredsPer
cent
age
40
The results of the determinations in
respect of the racing codes for the
year 2017/18 are summarised below.
(Courtesy RPAT Annual Report)
During the year, four appeals were carried
over from 2016/17 and 19 new appeals
were lodged with the Tribunal. As at 30
June 2018, the Tribunal had determined
20 appeals, including four from the
previous year, with three appeals being
carried over to 2018/19. These appeals,
together with appeals from the previous
year, are summarised by racing code:
Racing Code Appeals carried over to 2017-18 Appeals Lodged Appeals
DeterminedAppeals carried over
to 2018-19
Thoroughbred 0 3 3 0
Harness 2 12 11 3
Greyhound 2 4 6 0
TOTAL 4 19 20 3
Racing Appeals
Performance Summary for 2017/18
The results of the determinations in respect of the racing codes for the year 2017-18 are summarised below.
2017/2018
Results Thoroughbred Harness Greyhound
Allowed in Full 0 2 0
Allowed in Part (Penalty Reduced) 2 1 3
Referred Back to Stewards (RWWA) 0 1 0
Dismissed 1 6 2
Withdrawn 0 1 1
Leave to Appeal Refused 0 0 0
TOTAL 3 11 6
Appeals Carried Over to 2018/19 Thoroughbred Harness Greyhound
Reserved Decision 0 1 0
Reserved Decision on penalty only 0 0 0
Reasons to be published 0 0 0
Yet to be heard 0 2 0
TOTAL 0 3 0
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Stays of ProceedingsIn 2017/18, there were six applications for stays of proceedings. The Chairperson made the determinations as follows:
Stays of Proceedings 2017/18
Results Thoroughbred Harness Greyhound
Stays Granted 0 0 1
Stays Refused 0 4 1
Withdrawn 0 0 0
TOTAL 0 4 2
Image: Port Hedland Turf Club
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Image: WA Country Cups Fashion on the Fields Gascoyne Regional Heat winner Sam Wells
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Racing Marketing and Communications
The Racing Marketing division has
promoted RWWA’s key objectives
through its media assets, developing
and implementing racing marketing
plans aimed at:
• Increasing on-course attendance
• Promoting animal ownership
• Repositioning the brand of racing
• Promoting careers in racing
The Racing Marketing Strategy requires
strong stakeholder engagement across
the racing industry, ensuring the local
industry has a role to play in the process
is critical to the overall success of the
division’s objectives.
Key Achievements in 2017/18:• Expanded Owners Only into the
acquisition phase via:
- The launch of the ‘Own the
Dream Events Series’
incorporating the ‘Win a Share
in a Racehorse’ competition
- Facilitating events for Public
Promoters of Syndication for
thoroughbreds and harness
• Continuation of the WA Country
Cups brand, including:
- Showcasing the Regions
- WA Country Cups Fashions
on the Field competition
• Launched the Careers in Racing
digital marketing campaign
• Digital marketing promotions for
Perth Cup and Galaxy
Owners OnlyOwners Only, RWWA’s dedicated
ownership program, is designed to
recognise and reward current Western
Australian racing animal owners, with
the ultimate intention being to attract
new participants to the industry.
A number of events were held in
partnership with Public Promoters of
Syndication for both thoroughbred and
harness racing enthusiasts, the sole
intention facilitating the selling of shares
in available horses.
Own the Dream Events Series
A collaboration with Magic Millions
and Thoroughbred Breeders WA led to
promoting WA’s Thoroughbred
Yearling Sale, and the important lead up
period, under a uniform brand. From
this the “Own the Dream Events Series”
came to fruition. Driven by Racing and
Wagering WA’s Owners Only initiative,
the series of nine events ran for a
four-week period showcasing behind
the scenes insight into the racing
industry, providing potential owners the
opportunity to engage with WA’s racing
industry participants.
The announcement of Brittany Taylor
as an Ambassador for Owners Only
saw a competition to ’Win a Share in
a Racehorse’ come to life. Running
concurrently with the Own the Dream
Events Series, the competition was
aimed at educating prospective
owners about the various facets of the
industry. The strategy was to incentivise
interested parties to participate in
the series with the draw card being
the opportunity to win a share in a
racehorse, 92 teams encompassing
over 440 people took part.
The acquisition strategy for ownership
in 2018/19 will be rolled out
progressively throughout the season.
Image: Owners Only Ambassadors Brittany Taylor and Rick Hart with retired race horse Mynameskenny
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WA Country CupsWA Country Cups is an initiative run by
RWWA to foster the development and
promote the longevity of country racing
across the State. WA Country Cups
works with regional race clubs and local
communities to further promote their
major race meetings, to showcase not
only the race events themselves but also
local tourism and fashion.
Showcasing the RegionsRWWA, via WA Country Cups,
continued to produce promotional
videos for regional areas, which
feature the nominated race days and
their surrounding local attractions.
Further promoting and enhancing the
country racing ‘experience’ by not only
showcasing major race events but
also showcasing tourist attributes of
the region (e.g. local attractions, local
produce and landmarks), and using these
celebrated racing events as a focal point.
Fashions on the FieldRWWA, incorporating WA Country Cups
and Community TAB, continued the
WA Country Cups Fashions on the Field
initiative. The initiative is a state-wide
racing fashion competition consisting
of nine regional heats held at major
race meetings across the State. The
culmination is a final at Ascot Racecourse
on Winterbottom Stakes Day with finalists
competing for a racing holiday and
spending money at Royal Ascot, United
Kingdom, thanks to TABtouch.
In addition to the nine nominated regional
heats, any winner of a Western Australian
regional Fashions on the Field competition
is able to enter into an online ‘Wildcard
Competition’.
The three entrants with the most votes
were also invited to Ascot where one of
the top three were selected to join the
regional heat finalists in the Final. The
overall 2017/18 winner Elizabeth Winlo was
a wildcard entrant and a very deserving
winner.
Image: WA Country Cups Fashions on the Field Final 2017 - Francesca Cumani and winner Elizabeth Winlo
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“The Racing Marketing Strategy requires strong stakeholder engagement across the racing industry, ensuring the local industry has a role to play in the process is critical to the overall success of the division’s objectives”
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Images: Careers in Racing Marketing Campaign
Careers in Racing (CIR)One of the biggest challenges concerning racing nationally
is the industry’s ability to recruit, develop and retain skilled
apprentices and jockeys, therefore ensuring the sustainability
of racing. RWWA ran a short-term marketing campaign to
promote CIR in WA, in particular apprentice jockeys. The
campaign formed the basis of an ongoing, overarching
marketing strategy for recruitment and retention. Part of this
has been a brand refresh utilising strong branding elements
(font, imagery, music and voiceover) to present careers in
racing as a strong competitor in the elite athlete education
arena and therefore attractive to the target audience.
Racing Marketing and Communications
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events award image here?
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Perth Cup and Galaxy (Greyhounds)Vision from the 2017 Leap Lead Love campaign was repurposed to promote the Perth Cup Carnival, incorporating the two
Group 1 Greyhound features, SKY Racing Perth Cup and SKY Racing Galaxy. This was a joint marketing initiative with WAGRA.
A digital campaign including Seven West Media assets and social media was used to promote the events with exposure also on
SKY Racing.
EventsAnnual awards events funded by RWWA and coordinated by Racing Marketing were held to showcase the contribution by the
people and animals of the racing industry across all three codes. These included:
• Country Racing Association Awards
• Apprentice Jockey of the Year Awards
• Harness Horse of the Year Awards
• Greyhound of the Year Award
Image: 2017 Harness Horse of the Year Awards - Gareth Hall and Bob Harnett
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Image: TABtouch Better your bet campaign
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Wagering
The Wagering division is responsible for
the functions of the Western Australian
TAB including sales, marketing and
wagering operations. The sales channels
include an exclusive retail licence
containing a network of more than 330
TAB agencies, hotels and clubs, as well
as the TABtouch account channels in
mobile, internet and call centre. The
WA TAB offers totalisator and fixed
odds betting on racing and sporting
events. It is also the commercial selling
agent for SKY Racing, which broadcasts
thoroughbred, harness and greyhound
racing into WA TAB agencies.
In 2017/18 the WA TAB successfully
maintained its wagering dominance
in Western Australia and increased
its market share from the east coast.
TABtouch was highly competitive in the
online market with a strong customer
experience in racing and a competitive
sports offer.
Key highlights for 2017/18 include:
• 1.78% growth in core wagering turnover
• 21.90% growth in turnover from mobile devices
• 10.4% growth in fixed odds turnover
• Active TABtouch account customers up 5.70%
• 16 x TAB Racewall and Terminal installations
TABtouch Digital Customers wagering by mobile device
grew by 21.9% in 2017/18 as a result of
targeted investment and migration from
other wagering channels. The increase
in mobile betting enables TABtouch
to deliver more customer value to
individual customers.
The Wagering and technical teams have
co-located into one refurbished office
space as part of the broader change
program to support RWWA’s shift to
operating a scaled agile delivery model.
This shift is already seeing a continued
focus on delivering value to customers
based on their feedback, while blending
the delivery of technical capability and
addressing all new legislation changes
that have been introduced over the last
12 months.
TABtouch mobile still has a considerable
growth opportunity, hence, a
continuous improvement approach has
been adopted to ensure the customer
experience evolves, including:
• Enhanced wagering product
offering through existing and new
contracted arrangements;
• Targeted development of the
TABtouch mobile and internet
platforms for a better customer
experience;
• Focus on customer experience and
building a differentiated position in
the market;
• Matching competitors on
sports product and price whilst
differentiating with unique offers;
and
• Enhanced view of customer data,
insights and analytics to understand
customers better.
TAB RetailA key part of RWWA’s strategic plan
has been to invest in its exclusive
retail wagering license. The Racewall
technology was installed in 16 agencies
during 2017/18 with investment targeted
toward hotels and high turnover full-
time TAB agencies.
The Racewall has been embraced
by TAB Agents and customers alike.
The investment in the paperless
systems delivers TAB Agents a more
labour efficient race-day whilst their
customers can access the next six
races to jump with a direct tote to fixed
odds comparison, expert ratings and
traditional racing information.
Racewalls are complemented by
market-leading customer terminals that
offer extended racing information, form
and ratings plus cash and cashless self-
service betting. The increasing customer
acceptance of self-service betting
terminals has seen terminals account for
69% of sales in licensed outlets and 60%
of RWWA’s total retail sales.
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Image: Netball WA Aboriginal programs sponsored by Community TAB
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Corporate Social Responsibility (CSR) is
the way a business takes into account
the financial, environmental and social
impacts of decisions and actions it is
involved in. Effective CSR guides and
contributes to the sustainability of
RWWA, is recognised as good business
practice and is increasingly expected
by stakeholders. Community TAB is the
brand that is responsible for upholding
the CSR of RWWA externally and
internally.
Major PartnersA new partnership was entered into
in 2017/18 between Community
TAB and the Netball WA Aboriginal
Grassroots and All Stars Programs.
This new partnership saw a $40K
contribution from Community TAB to
Netball WA to support their delivery
of these programs and items such as
equipment, uniforms, coaches, umpires
and off court education programs for
the 10 Aboriginal Grassroots Sites. The
partnership allows RWWA through
Community TAB to help Netball provide
a positive environment and nurtures
local role models to improve health
and wellbeing and build sustainable
capacity for regional towns and
local communities. As well as this
contribution Community TAB sponsored
300 starter packs for players around
the State and provided volunteers and
support at various Netball WA events.
Community TAB was the major partner
for Lifeline WA’s ‘Lights for Lifeline’
campaign for the fourth year in a row
during 2017/18. The campaign shone
a light on suicide prevention during
the festive period when demand
for Lifeline’s crisis support services
are highest. The partnership saw a
contribution of $25K to directly support
the training of new crisis support
volunteers and help their service run
24/7. This brings Community TABs total
sponsorship contribution to Lifeline
over the course of the partnership to
$200K not including other informal
contributions. Lifeline WA provided
speakers at RWWA events and RWWA
fundraised for Lifeline WA through
various internal activities.
A fourth year of partnership between
Community TAB and Riding for the
Disabled WA (RDAWA) was completed in
2017/18 which saw a fourth sponsorship
donation of $80K to the organisation
to support their program development
and ensure high standards of animal
welfare for RDA horses around the
State. RWWA employees volunteered
their time at RDAWA events such as
the RDA State Games and Community
TAB was sponsor of the Games as well
as the RDA Awards. RDAWA has 19
riding centres statewide, which assist
more than 1,000 riders with disabilities
to enjoy safe, fun and therapeutic
recreational riding. This service has
proved to help the physical and mental
well-being of children and adults with
disabilities.
Community SportIn November 2017, Community TAB
launched the Community TAB Sports
Grants. Since launching the grants
360 applications for grants have been
received from sporting clubs in regional
and metropolitan WA. To date 16 grants
Corporate Social Responsibility
Image: Riding for the Disabled State Games at Fairbridge Village, Pinjarra
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of up to $4K have been awarded to
clubs. Community TAB was sponsor of
the Integrated Football Program again
in 2017/18 through the sponsorship of
the Wembley Integrated Football Team,
Willetton Integrated Football Team and
the WA State Integrated Team who
travelled to Tasmania to compete against
all other States. The Integrated Football
Program caters for men and women with
intellectual disabilities who want to play
in an amateur football team.
Over the past 10 years more than $30M
of funding has gone to the Department
of Sport and Recreation, and in 2017/18
the contribution was close to $4.6M.
Some of the prominent sport and
recreation organisations and programs
that are funded by the TABs contribution
include the WA Sports Federation, Parks
and Leisure WA, Hockey WA, Royal
Life Saving Society WA, Westcycle,
Club Development Officer Scheme,
Annual Grants Scheme, Football West
and Sports Medicine. Through these
programs hundreds of sporting clubs,
teams, athletes and organisations are
funded to help grow the WA community
physically, socially and economically.
Community TAB continued to promote
the programs that are sponsored through
this contribution.
Racing Industry SupportSince February 2015, Community TAB
has been running a program with WA
race clubs to fundraise for not-for-profit
groups in their communities. In 2017/18
Community TAB once again asked WA
race clubs to choose a not-for-profit
organisation in their community, give
them the opportunity to fundraise at a
major race day, and Community TAB will
match what is raised for the community
partner. In 2017/18, Community TAB has
had 32 partnerships with race clubs and
has matched nearly $50K in fundraising.
The total amount of funds raised and
matched by Community TAB since
the inception of the Program is over
$465K. Some community groups that
have benefited from the project include,
Isolated Children and Parents Association,
Give Me 5 for Kids, Men’s Shed, Lions
Club, Royal Flying Doctor Service, various
St John Ambulance Sub Centres, Full
Circle, SAFE, South West Bushfire Relief,
Breast Cancer Care WA and Beyond Blue.
In 2017 Community TAB was the brand
that supported Team Teal on behalf of
RWWA. The campaign saw eight female
WA harness drivers take part in the
initiative where RWWA donated $200 to
the Women’s Cancer Foundation every
time one of the drivers won a race.
Image: Community TAB and Netball WA Partnership at the Kwinana Grassroots site
Corporate Social Responsibility
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Nearly $5k was donated to the
Foundation to fund ovarian cancer
research. Some WA race clubs also
supported the campaign by fundraising
on race days.
Awards SponsorshipsCommunity TAB was sponsor of the WA
Regional Achievement and Community
Awards in 2017/18, as a Category
Sponsor of the Community Service
Award. The Community Service Award
recognises individuals or groups who
make a significant contribution through
community service or social justice
initiatives in the areas of culture, health,
emergency services or education. The
awards have been in place for the past
16 years and are designed to encourage,
acknowledge and reward the valuable
contributions individuals, communities
and businesses are making throughout
regional and rural WA.
In 2017/18, Community TAB was a
Category Sponsor of the WA Sports Star
Awards. Community TAB was sponsor
of the Official of the Year Award and the
Award Ceremony was attended by many
high profile personalities and athletes
and was aired on television.
Community TAB was also a Major
Sponsor of the Parks and Leisure WA
Awards also in 2017/18. The annual
awards recognise outstanding initiatives
and innovative effort of people who
create opportunities for the good use
of leisure time for a number of social,
environmental and economic benefits
to the community.
Internal EngagementCommunity TAB has become even more
responsible for internal engagement at
RWWA over the past 12 months. Stress
Down Day, Responsible Gambling
Week, Purple Bra Day, Mental Health
Week, RSL fundraising are examples of
initiatives that are communicated and
organised through Community TAB to
enhance employees and community
engagement. Community TAB has also
worked closely with Human Resources
at RWWA to align the CSR and Wellness
Programs at RWWA.
Employees are given opportunities to
take part in volunteering as an individual
or as a team. Employees are welcome
to volunteer with Community TAB
major partners or organise volunteering
opportunities outside of these partners.
All volunteering opportunities for
employees are communicated through
Community TAB.
In 2017/18, Community TAB continued
the RWWA Not-For-Profit Recognition
Program where RWWA employees
nominate organisations that they think
deserve a donation. RWWA employees
vote and each month one organisation
receives a donation of $500 from
Community TAB. Since the launch of
this program, 28 nominations have
been received and 17 organisations have
received donations.
Image: TAB agencies fundraise for the RSL WA each year
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Full Page Image here
Image: Hannans Handicap Kalgoorlie 2017
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People and Culture
Whilst the uncertainty of privatisation
continued to be an external factor
for employees, we pursued initiatives
and strategies designed to enable the
organisation to achieve its business
outcomes through its people. Within
the reporting period, RWWA conducted
a staff engagement survey, which was
previously conducted in 2015.
The overall results were fairly balanced,
with some good progress made
in key engagement areas however
it also identified opportunities for
improvement. The feedback captured
from this survey became the foundation
on which a variety of activities were
initiated to enhance and improve on
RWWA’s key engagement drivers. There
was also a greater focus employed
by the RWWA leadership team, with
the creation of engagement working
groups, to establish ways engagement
drivers could be improved such as clear
measures and strategy, recognition and
team effectiveness.
Further activities conducted throughout
the year included the continuation of
existing successful programs such as
the leadership learning groups, bite
size learning and emerging leaders.
There was also the introduction of
new initiatives. Through the use of
technology RWWA was able to further
enhance employees’ engagement at the
workplace through the use of Hyphen, a
mobile activated pulse survey tool.
This tool allowed for a more ‘real-time’
assessment of employees’ sentiment and
in turn provided greater awareness for
the organisation of areas of concern that
required addressing. The introduction
of a broader wellness program, which
included the introduction of an eight
week mindfulness program, and a
commitment to an Inclusion & Diversity
program, were two such initiatives
that gained traction and support by
employees over the course of the year.
RWWA has continued to maintain
high staff retention rates across the
business and this is testament to an
ongoing commitment to invest in our
people, with the aim of building a high
performing workforce and continually
improving staff engagement.
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Chapter 3: Disclosures and Legal Compliance
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Image: Carnarvon Ladies Day, Saturday 9 June 2018
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Opinion of the Auditor General
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Opinion of the Auditor General
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Certification of Financial Statements
For the year ended 31 July 2018
The accompanying financial statements of Racing and Wagering Western Australia have been prepared in compliance
with the provisions of the Financial Management Act 2006 from proper accounts and records to present fairly the
financial transactions for the financial year ended 31 July 2018 and the financial position as at 31 July 2018.
At the date of signing we are not aware of any circumstances which would render the particulars included in the
financial statements misleading or inaccurate.
Jeff Ovens
Chairman RWWA Board
15 October 2018
Anthony Hasluck
Chairman Audit and
Risk Committee
15 October 2018
Ian Edwards
Chief Financial Officer
15 October 2018
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Statement of Comprehensive IncomeFor the year ended 31 July 2018
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Racing and Wagering Western AustraliaStatement of Comprehensive IncomeFor the year ended 31 July 2018
Income Notes 2018 2017$000 $000
RevenueMargin 6 321,514 314,694 Interest Revenue 2,146 2,048 Other Revenue 9 22,625 21,127
Total Revenue 346,285 337,869
Gains
Gains on disposal of non-current assets 10 35 180 Total Gains 35 180
Total Income 346,320 338,049
Expenses
ExpensesCost of Sales 7 84,557 80,047 Wagering Tax 8 41,510 40,351 Racing Services 11,41 24,413 19,244 Wagering Services 11,41 84,757 85,508 Support Services 11,41 29,652 29,763 Grants and Subsidies to racing 12 16,697 17,294 Distribution to racing and sports 13 146,541 138,895
Total Expenses 428,127 411,102
Loss before Grants and Subsidies from State Government (81,807) (73,053) Grants and Subsidies from State Government (a) 27 72,710 67,973
Loss for the period (9,097) (5,080)
Other Comprehensive Income
Items not reclassified subsequently to profit or lossChanges in asset revaluation surplus 28 (507) (1,595) Total other comprehensive income (507) (1,595)
Total Comprehensive Income for the period (9,604) (6,675)
See also Note 41 'Schedule of Income and Expenses by Service'The Statement of Comprehensive Income should be read in conjunction with the accompanying notes.
(a) Government grants include WA Racefields income (see note 27)
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Statement of Financial Position
As at 31 July 2018
Racing and Wagering Western AustraliaStatement of Financial PositionAs at 31 July 2018
Assets Notes 2018 2017$000 $000
Current AssetsCash and cash equivalents 29 74,733 67,205 Restricted cash and cash equivalents 14 1,060 1,455 Other Financial Assets 31 10,023 20,000 Inventories 15 743 811 Receivables 16 3,655 2,258 Other Current assets 18 4,154 4,377 Non-Current assets classified as held for sale 19 388 434
Total Current Assets 94,756 96,540
Non-Current AssetsInvestments 17 455 455 Other Non-Current assets 18 310 286 Property, Plant and Equipment 20 51,515 44,751 Capital Works In Progress 22 4,250 3,439 Intangible Assets 23 18,338 19,714
Total Non-Current Assets 74,868 68,645
Total Assets 169,624 165,185
Liabilities
Current LiabilitiesPayables 25 45,059 39,316 Provisions 26 7,251 7,292
Total Current Liabilities 52,310 46,608
Non-Current LiabilitiesPayables 25 1,080 1,095 Provisions 26 1,179 984
Total Non-Current Liabilities 2,259 2,079
Total Liabilities 54,569 48,687
Net Assets 115,055 116,498
Equity
Contributed Equity 28 69,045 60,884 Reserves 28 46,010 55,614
Total Equity 115,055 116,498
The Statement of Financial Position should be read in conjunction with the accompanying notes.
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Statement of Changes in EquityFor the year ended 31 July 2018
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Racing and Wagering Western AustraliaStatement of Changes in EquityFor the year ended 31 July 2018
NoteContributed
EquityGeneral
Reserves
Asset Revaluation
ReservesRetained Earnings Total Equity
$000 $000 $000 $000 $000
Balance at 1 August 2016 28 60,884 43,076 19,214 - 123,174
Surplus/(deficit) - - - (5,080) (5,080) Other comprehensive income - - (1,595) - (1,595)
- - (1,595) (5,080) (6,675) Transactions with owners in their capacity as owners:
Capital appropriations - - - - - Other contributions by owners - - - - - Transfers between reserves - (5,080) - 5,080 - Distributions to owners - - - - -
Total - (5,080) - 5,080 -
Balance at 31 July 2017 60,884 37,996 17,619 - 116,498
Balance at 1 August 2017 60,884 37,996 17,619 - 116,498
Surplus/(deficit) - - - (9,097) (9,097) Other comprehensive income - - (507) - (507)
- - (507) (9,097) (9,604) Transactions with owners in their capacity as owners:
Capital appropriations - - - - - Other contributions by owners 8,161 - - - 8,161 Transfers between reserves - (9,097) - 9,097 - Distributions to owners - - - - -
Total 8,161 (9,097) - 9,097 8,161
Balance at 31 July 2018 69,045 28,899 17,111 - 115,055
The Statement of Changes in Equity should be read in conjunction with the accompanying notes.
Total comprehensive income for the year
Total comprehensive income for the year
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Statement of Cash Flows
Racing and Wagering Western AustraliaStatement of Cash FlowsFor the year ended 31 July 2018
Cash Flows from Operating Activities Notes 2018 2017$000 $000
ReceiptsReceipts from customers 2,018,558 1,974,285 Interest received 2,148 2,048 GST receipts on sales 40,154 38,126 Other receipts 14,052 14,233
PaymentsCustomers (1,685,970) (1,648,028) Creditors (201,710) (197,341) Employee benefits (40,781) (39,723) Distributions, Grants and Subsidies (163,238) (156,189) Interest paid (15) (16) GST payments on purchases (18,517) (17,081) GST payments to taxation authority (21,936) (21,311) Other payments (6,170) (6,031)
Net cash used in operating activities 29 (63,425) (57,028)
Cash Flows from Investing Activities
ReceiptsProceeds from sales of non-current assets 80 285 Proceeds from investments in unit trusts 9,977 -
PaymentsPurchase of non-current physical assets (12,209) (7,547) Payments for investments in unit trusts - (20,000)
Net cash used in investing activities (2,152) (27,262)
Cash Flows from State Government
Government Grant reimbursement 72,710 67,973 Net cash provided by State Government 72,710 67,973
Net increase/(decrease) in cash and cash equivalents 7,133 (16,317) Cash and cash equivalents at the beginning of period 68,660 84,977
Cash and cash equivalents at the end of period 29 75,793 68,660
The Statement of Cash Flows should be read in conjunction with the accompanying notes.
For the year ended 31 July 2018
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1. Australian Accounting StandardsGeneral RWWA’s financial statements for the
year ended 31 July 2018 have been
prepared in accordance with Australian
Accounting Standards. The term
‘Australian Accounting Standards’
includes Standards and Interpretations
issued by the Australian Accounting
Standard Board (AASB).
RWWA has adopted any applicable,
new and revised Australian Accounting
Standards from their operative dates.
Early adoption of standards RWWA cannot early adopt an Australian
Accounting Standard unless specifically
permitted by Treasurer’s Instruction
(TI) 1101 ‘Application of Australian
Accounting Standards and Other
Pronouncements’. There has been no
early adoption of any other Australian
Accounting Standards that have been is-
sued or amended (but not operative) by
RWWA for the annual reporting period
ended 31 July 2018.
2. Summary of significant accounting policies(a) General Statement RWWA is a not-for-profit reporting
entity that prepares general purpose
financial statements in accordance with
the Australian Accounting Standards, the
Framework, Statements of Accounting
Concepts and other authoritative
pronouncements of the AASB as applied
by the Treasurer’s Instructions. Several
of these are modified by the Treasurer’s
Instructions to vary application,
disclosure, format and wording.
The Financial Management Act 2006
and the Treasurer’s Instructions impose
legislative provisions that govern the
preparation of financial statements and
take precedence over the Australian
Accounting Standards, the Framework,
Statements of Accounting Concepts and
other authoritative pronouncements of
the AASB.
Where modification is required and has
had a material or significant financial
effect upon the reported results, details
of that modification and the resulting
financial effect are disclosed in the notes
to the financial statements.
(b) Basis of Preparation The financial statements have been
prepared on the accrual basis of
accounting using the historical cost
convention, except for land and building
and other financial assets which have
been measured at fair value.
The accounting policies adopted in the
preparation of the financial statements
have been consistently applied
throughout all periods presented unless
otherwise stated.
The financial statements are presented
in Australian dollars and all values are
rounded to the nearest thousand dollars
($’000).
Note 3 ‘Judgements made by
management in applying accounting
policies’ discloses judgements that have
been made in the process of applying
RWWA’s accounting policies resulting in
the most significant effect on amounts
recognised in the financial statements.
Note 4 ‘Key sources of estimation
uncertainty’ discloses key assumptions
made concerning the future and other
key sources of estimation uncertainty
at the end of the reporting period,
that have a significant risk of causing
a material adjustment to the carrying
amounts of assets and liabilities within
the next reporting period.
(c) Reporting Entity
The reporting entity comprises Racing
and Wagering Western Australia (RWWA).
(d) Contribution equityAASB Interpretation 1038 Contributions
by Owners Made to Wholly-Owned
Public Sector Entities requires transfers
in the nature of equity contributions,
other than as a result of a restructure
of administrative arrangements, to be
designated by the Government (the
owner) as contributions by owners (at
the time of, or prior to transfer) before
such transfers can be recognised
as equity contributions. Capital
appropriations have been designated
as contributions by owners by TI 955
Contributions by Owners made to
Wholly Owned Public Sector Entities
and have been credited directly to
Contributed Equity.
The transfers of net assets to/from
other agencies, other than as a result
of a restructure of administrative
arrangements, are designated as
contributions by owners where the
transfers are non-discretionary and
non-reciprocal.
(e) Income Revenue RecognitionRevenue is recognised and measured at
the fair value of consideration received
or receivable.
Revenue is recognised for the major
business activities as follows:
Betting ReceiptsThis represents bets taken net of
monetary prizes and GST. Revenues
are only recognised when the events to
which they relate are finalised.
InterestInterest income is accrued on a time
basis by reference to the outstanding
principal and the effective interest rate
applicable.
Notes to the Financial Statements
For the year ending 31 July 2018
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Unclaimed DividendsIn accordance with the RWWA Act
2003 (section 104), dividends that
are not claimed within seven months
are included as income under Other
Revenue.
GainsThe gain or loss on the disposal of assets
is recognised at the date the significant
risks and rewards of ownership of the
asset passes to the buyer, usually when
the purchaser takes delivery of the
asset. The gain or loss on disposal is
calculated as the difference between
the carrying amount of the asset at the
time of disposal and the net proceeds on
disposal.
Government Grants and SubsidiesThe Western Australian Government
provides partial reimbursement for GST
paid on RWWA’s margin and partial
reimbursement for Wagering Tax paid on
VIP turnover.
Under the Gaming and Wagering
Commission Act 1987 (section 110B), the
Gaming and Wagering Commission may
credit RWWA with the proceeds collected
under the Western Australian Race Fields
legislation. The Racing and Wagering
Western Australia Act 2003 (section 107A)
requires these funds to be credited into a
special purpose account and distributed
to registered racing clubs in Western
Australia. Treasurer’s Instruction 1102
requires these amounts to be disclosed as
Grants from the State Government.
Royalties for Regions funds, as well
as contributions received through
the Racecourse Infrastructure Grants
Program, are recognised as revenue at
fair value in the period in which RWWA
obtains control of the funds. RWWA
obtains control of the funds at the time
the funds are deposited into RWWA’s
bank account.
(f) Tax
Section 102 of the Racing and Wagering
Western Australia Act 2003 requires
RWWA to pay tax in respect of bets at the
rate imposed by Sections 4 and 5 of the
Racing and Wagering Western Australia
Tax Act 2003.
State Wagering Tax The tax rate for Parimutuel Sports betting
is 5.0% of turnover, whereas the tax rate
for Parimutuel Racing is 11.91% of gross
revenue. The tax rate for Fixed Odds
Betting (FOB) Sports is 0.5% of turnover
and FOB Racing is 2.0% of turnover.
(g) Goods and Services Tax (GST)Revenues, expenses and assets are
recognised net of GST, except where
the amount of the GST incurred is not
recoverable from the Australian Taxation
Office (ATO). In these circumstances, the
GST is recognised as part of the cost of
acquisition of the asset or as part of the
expense.
The net amount of GST recoverable from,
or payable to, the ATO is included as a
current asset or liability in the Statement
of Financial Position.
Cash flows are included in the Statement
of Cash Flows on a gross basis. The
GST components of cash flows arising
from investing and financing activities
which are recoverable from, or payable
to, the ATO are classified as operating
cash flows. The GST on operator’s
margin, which is partially reimbursed
by the Western Australian Government,
is classified as cash flows from State
Government.
(h) Property, Plant and Equipment
Capitalisation/expensing of assets
Items of property, plant and equipment
costing over $5,000 are recognised as
assets and the cost of utilising assets is
expensed (depreciated) over their useful
lives. Items costing less than $5,000
are expensed direct to the Statement
of Comprehensive Income (other than
where they form part of a group of similar
items which are significant in total).
Initial recognition and measurement
All items of property, plant and
equipment are initially recognised at cost.
For items of property, plant and
equipment acquired at no cost or for
nominal cost, the cost is the fair value at
the date of acquisition.
Subsequent measurement
Subsequent to initial recognition as an
asset, the revaluation model is used
for the measurement of land and
buildings and the historical cost for all
other property, plant, equipment and
infrastructure. Land and buildings are
carried at fair value less accumulated
depreciation (buildings only) and
accumulated impairment losses. All
other items of property, plant and
equipment are carried at historical cost
less accumulated depreciation and
accumulated impairment losses.
Where market-based evidence is
available, the fair value of land and
buildings is determined on the basis
of current market buying values
determined by reference to recent
market transactions. When buildings
are revalued by reference to recent
market transactions, the accumulated
depreciation is eliminated against the
gross carrying amount of the asset and
the net amount restated to the revalued
amount.
In the absence of market-based
evidence, the fair value of land and
buildings is determined on the basis of
existing use. This normally applies where
buildings are specialised or where land
use is restricted. Fair value for existing
use assets is determined by reference
to the cost of replacing the remaining
future economic benefits embodied
Notes to the Financial Statements
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in the asset i.e. the depreciated
replacement cost. Where the fair value
of buildings is determined on the
depreciated replacement cost basis, the
accumulated depreciation is eliminated
against the gross carrying amount of
the asset and the net amount restated
to the revalued amount. Fair value for
restricted use land is determined by
comparison with market evidence for
land with similar approximate utility
(high restricted use land) or market value
of comparable unrestricted land (low
restricted use land).
Land and buildings are independently
valued annually by the Western
Australian Land Information Authority
(Valuation Services) and recognised
annually to ensure that the carrying
amount does not differ materially from
the assets’ fair value at the end of the
reporting period.
Infrastructure is carried at historical
cost less accumulated depreciation and
accumulated impairment loss.
The most significant assumptions and
judgements in estimating fair value are
made in assessing whether to apply
the existing use basis to assets and in
determining estimated economic life.
Professional judgement by the valuer
is required where the evidence does
not provide a clear distinction between
market type assets and existing use
assets.
Derecognition
Upon disposal or derecognition of an
item of property, any revaluation relating
to that asset is retained in the asset
revaluation surplus.
Asset Revaluation Reserve
The asset revaluation reserve is used to
record increments and decrements on
the revaluation of non-current assets on
a class of assets basis.
Depreciation
All non-current assets having a limited
useful life are systematically depreciated
over their estimated useful lives in a
manner that reflects the consumption of
their future economic benefits.
Depreciation is calculated using the
straight line method, using rates which
are reviewed annually. Estimated useful
lives for each class of depreciable asset
are:
2017/18
Buildings 10 to 40 years
Infrastructure 10 years
Leasehold Improvements (a) 5 to 15 years
Motor vehicles 5 years
Machinery, Plant and Equipment 5 years
Furniture and Fittings 5 years
Computer Equipment (b) 3 to 7 years
Software (c) 2 to 15 years
(a) Leasehold Improvements useful life will depend on duration of lease.(b) Rate reflects the estimated economic life of the asset.(c) Software that is integral to the operation of related hardware.
Land is not depreciated.
Notes to the Financial Statements
(i) Intangible Assets
Capitalisation/Expensing of Assets
Acquisitions and internally generated
intangible assets costing over $50,000
are capitalised. The cost of utilising the
assets is expensed (amortised) over their
useful life.
All acquired and internally developed
intangible assets are initially measured
at cost.
The cost model is applied for
subsequent measurement requiring
the asset to be carried at cost less
any accumulated amortisation and
accumulated impairment losses.
Amortisation for intangible assets
with finite useful lives is calculated
for the period of the expected benefit
(estimated useful life which is reviewed
annually) on the straight line basis using
rates which are reviewed regularly. All
intangible assets controlled by RWWA
have a finite useful life and zero residual
value.
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The expected useful lives for each class
of intangible asset are:
(a) Software that is not integral to the operation of any related hardware.
Computer Software
Software that is an integral part of
the related hardware is recognised as
property, plant and equipment. Software
that is not an integral part of the related
hardware is recognised as an intangible
asset.
Web Site Costs
Web site costs are charged as expenses
when they are incurred unless they relate
to the acquisition or development of an
asset when they may be capitalised and
amortised. Generally, costs in relation
to feasibility studies during the planning
phase of a web site, and ongoing costs
of maintenance during the operating
phase are expensed. Costs incurred in
building or enhancing a web site, to the
extent that can be reliably measured,
are capitalised to the extent that they
represent probable future economic
benefits.
Domain Names
Domain names have a finite useful life
and are carried at cost less accumulated
amortisation and accumulated
impairment losses.
(j) Impairment of AssetsProperty, plant and equipment,
infrastructure and intangible assets are
tested for any indication of impairment at
the end of each reporting period. Where
there is an indication of impairment,
the recoverable amount is estimated.
Where the recoverable amount is less
than the carrying amount, the asset
is considered impaired and is written
down to the recoverable amount and an
impairment loss is recognised. Where an
asset measured at cost is written down
to its recoverable amount, an impairment
loss is recognised in profit or loss. Where
a previously revalued asset is written
down to recoverable amount, the loss is
recognised as a revaluation decrement
in other comprehensive income. As
RWWA is a not-for-profit entity, unless a
specialised asset has been identified as
a surplus asset, the recoverable amount
is the higher of an asset’s fair value less
costs to sell and depreciated replacement
cost.
The risk of impairment is generally
limited to circumstances where an asset’s
depreciation is materially understated,
where the replacement cost is falling or
where there is a significant change in
useful life. Each relevant class of asset
is reviewed annually to verify that the
accumulated depreciation/amortisation
reflects the level of consumption or
expiration of the asset’s future economic
benefits and to evaluate any impairment
risk from falling replacement costs.
Intangible assets with an indefinite useful
life and intangible assets not yet available
for use are tested for impairment at the
end of the reporting period irrespective
of whether there is any indication of
impairment.
The recoverable amount of assets
identified as surplus assets is the higher
of fair value less costs to sell and the
present value of future cash flows
expected to be derived from the asset.
Surplus assets carried at fair value have
no risk of material impairment where
fair value is determined by reference
to market-based evidence. Where fair
value is determined by reference to
depreciated replacement cost, surplus
assets are at risk of impairment and the
recoverable amount is measured. Surplus
assets at cost are tested for indications of
impairment at the end of each reporting
period.
(k) Non-current Assets Classified as Held for SaleNon-current assets held for sale are
recognised at the lower of carrying
amount and fair value less costs to sell,
and are disclosed separately from other
assets in the Statement of Financial
Position.
(l) LeasesRWWA holds a number of operating
leases for buildings. Lease payments are
expensed on a straight line basis over the
lease term as this represents the pattern
of benefits derived from the leased
properties.
(m) Financial InstrumentsIn addition to cash, RWWA has three
categories of financial instrument:
• Receivables
• Financial assets at fair value through
profit or loss
• Financial liabilities measured at
amortised cost
These have been disaggregated into the
following classes:
Financial Assets
• Cash and cash equivalents
• Restricted cash and cash equivalents
• Receivables
• Investments
• Cash held in unit trusts
Financial Liabilities
• Payables
• Agents Deposits
Initial recognition and measurement of
financial instruments is at fair value which
normally equates to the transaction
cost or the face value. Subsequent
measurement of cash held in unit trusts is
at fair value using quoted prices from the
fund manager. Subsequent measurement
of other financial instruments is at
2017/18
Software (a) 2 to 15 years
Web site costs 3 to 5 years
Domain names 10 years
Notes to the Financial Statements
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amortised cost using the effective
interest method.
The fair value of short-term receivables
and payables is the transaction cost
or the face value because there is no
interest rate applicable and subsequent
measurement is not required as the
effect of discounting is not material.
(n) Cash and Cash EquivalentsFor the purpose of the Statement of
Cash Flows, cash and cash equivalent
(and restricted cash and cash equivalent)
assets comprise cash on hand and short
term deposits with original maturities
of six months or less that are readily
convertible to a known amount of cash
and which are subject to insignificant
risk of changes in value.
(o) Accrued SalariesAccrued salaries represent the amount
due to staff but unpaid at the end of
the reporting period. Accrued salaries
are settled within a fortnight of the
reporting period end. RWWA considers
the carrying amount of accrued salaries
to be equivalent to its fair value.
(p) InventoriesInventories are measured at the lower
of cost and net realisable value. The
cost of inventories is based on the
first-in first-out principle, and includes
expenditure incurred in acquiring the
inventories and bringing them to their
existing location and condition.
Inventories not held for resale are
measured at cost unless they are no
longer required, in which case they are
measured at net realisable value.
(q) ReceivablesReceivables are recognised at original
invoice amount less an allowance
for any uncollectible amounts (i.e.
impairment). The collectability of
receivables is reviewed on an ongoing
basis and any receivables identified as
uncollectible are written-off against
the allowance account. The allowance
for uncollectible amounts (doubtful
debts) is raised when there is objective
evidence that RWWA will not be able to
collect its debts. The carrying amount
is equivalent to fair value as it is due for
settlement within 30 days. Agents settle
on a weekly basis.
(r) PayablesPayables are recognised at the amounts
payable when RWWA becomes obliged
to make future payments as a result of
a purchase of assets or services. The
carrying amount is equivalent to fair
value, as settlement is generally within
30 days.
(s) ProvisionsProvisions are liabilities of uncertain
timing and amount and are recognised
where there is a present legal or
constructive obligation as a result of
a past event and when the outflow
of resources embodying economic
benefits is probable and a reliable
estimate can be made of the amount of
the obligation. Provisions are reviewed
at the end of each reporting period.
(i) Provisions – Employee Benefits
All annual leave and long service leave
provisions are in respect of employees’
services up to the end of the reporting
period.
Annual Leave
Annual leave is not expected to be
settled wholly within 12 months after
the end of the reporting period and
is therefore considered to be ‘other
long-term employee benefits’. The
annual leave liability is recognised
and measured at the present value of
amounts expected to be paid when
the liabilities are settled using the
remuneration rate expected to apply at
the time of settlement.
When assessing expected future
payments consideration is given to
expected future wage and salary levels
including non-salary components
such as employer superannuation
contributions as well as the experience
of employee departures and periods of
service. The expected future payments
are discounted using market yields
at the end of the reporting period on
national government bonds with terms
to maturity that match, as closely as
possible, the estimated future cash
outflows.
The provision for annual leave is
classified as current liability as RWWA
does not have an unconditional right
to defer settlement of the liability for
at least 12 months after the reporting
period.
Long Service Leave
A liability for long service leave is
recognised after an employee has
completed two years of service based
on remuneration rates current as at the
end of the reporting period.
When assessing expected future
payments consideration is given to
expected future wage and salary levels
including non-salary components
such as employer superannuation
contributions, as well as the experience
of employee departures and periods of
service. The expected future payments
are discounted using market yields
at the end of the reporting period on
national government bonds with terms
to maturity that match, as closely as
possible, the estimated future cash
outflows.
Unconditional long service leave
provisions are classified as current
liabilities as RWWA does not have an
unconditional right to defer settlement
of the liability for at least 12 months
after the end of the reporting period.
Pre-conditional and conditional long
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service leave provisions are classified as
non-current liabilities because RWWA
has an unconditional right to defer
the settlement of the liability until the
employee has completed the requisite
years of service.
Superannuation
The Government Employees
Superannuation Board (GESB) and other
fund providers administer public sector
superannuation arrangements in Western
Australia in accordance with legislative
requirements. Eligibility criteria for
membership in particular schemes for
public sector employees varies according
to commencement and implementation
date.
Employees may contribute to the Gold
State Superannuation Scheme (GSS), a
defined benefit lump sum scheme now
closed to new members. Employees
commencing employment prior to 16
April 2007, who were not members of
GSS, became non-contributory members
of the West State Superannuation
Scheme (WSS).
Employees commencing employment on
or after 16 April 2007 became members
of the GESB Super Scheme (GESBS).
From 30 March 2012, existing members
of WSS or GESBS and new employees
became able to choose their preferred
superannuation fund provider. RWWA
makes contributions to GESB or other
fund providers on behalf of employees
in compliance with the Commonwealth
Government’s Superannuation
Guarantee (Administration) Act 1992.
Contributions to these accumulation
schemes extinguish RWWA’s liability for
superannuation charges in respect of
employees who are not members of the
Pension Scheme or GSS.
The GSS Scheme, the WSS Scheme, and
the GESBS, where the current service
superannuation charge is paid by RWWA
to the GESB, are defined contribution
schemes. The liabilities for current service
superannuation charges under the GSS,
the WSS, and the GESBS are extinguished
by the concurrent payment of employer
contributions to the GESB.
The GSS is a defined benefit scheme for
the purposes of employees and whole-
of-government reporting. However,
from an agency perspective, apart from
the transfer benefits, it is a defined
contribution plan under AASB 119.
(ii) Provisions – Other
Employment on-costs
Employment on-costs, including workers’
compensation insurance, are not
employee benefits and are recognised
separately as liabilities and expenses
when the employment to which they
relate has occurred. Employment
on-costs are included as part of ‘Other
expenses’ and are not included as part of
RWWA’s ‘Employee benefits expense’. The
related liability is included in ‘Employment
on-costs provision.’
(t) Superannuation Expense
Superannuation expense is recognised in
the Statement of Comprehensive Income
in profit or loss for defined contribution
plans, including the concurrent payment
of employer contributions to the GSS
scheme, as and when the contribution
falls due.
(u) Comparative Figures
Comparative figures are, where
appropriate, reclassified to be
comparable with the figures presented in
the current reporting period.
3. Judgements made by management in applying accounting policies
The preparation of financial statements
requires management to make
judgements about the application of
accounting policies that have a significant
effect on the amounts recognised in the
financial statements. RWWA evaluates
these judgements regularly.
Operating lease commitments
RWWA has entered into a number of
leases for buildings for branch agency
accommodation. Some of these leases
relate to buildings of a temporary nature
and it has been determined that the
lessor retains substantially all the risks
and rewards incidental to ownership.
Accordingly, these leases have been
classified as operating leases.
4. Key sources of estimation uncertainty
Key estimates and assumptions
concerning the future are based on
historical experience and various other
factors that have a significant risk of
causing a material adjustment to the
carrying amount of assets and liabilities
within the next reporting period.
Long Service Leave
Several estimations and assumptions
used in calculating RWWA’s long service
leave provision include expected future
salary rates, discount rates, employee
retention rates and expected future
payments. Changes in these estimations
and assumptions may impact on the
carrying amount of the long service leave
provision.
5. Disclosure of changes in accounting policy and estimates
Voluntary changes in accounting policy
There are no voluntary changes in
accounting policies during the reporting
period.
Notes to the Financial Statements
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Annual Report 2018
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Changes in accounting estimates
There have been no changes in accounting estimates during
the year.
Future impact of Australian Accounting Standards not yet
operative
RWWA cannot early adopt an Australian Accounting Standard
unless specifically permitted by TI 1101 ‘Applications of
Australian Accounting Standards and Other Pronouncements’
or by an exemption from TI 1101.
Where applicable, RWWA plans to apply the following
Australian Accounting Standards from their application date.
Title Operative for reporting periods
beginning on/after
AASB 9 Financial Instruments
This Standard supersedes AASB 139 Financial Instruments: Recognition and Measurement, introducing a number of changes to accounting treatments.
RWWA has not yet determined the application or the potential impact of the Standard.
1 Jan 2018
AASB 15 Revenue from Contracts with Customers
This Standard establishes the principles that RWWA shall apply to report useful information to users of financial statements about the nature, amount, timing and uncertainty of revenue and cash flows arising from a contract with a customer. RWWA has not yet determined the application or the potential impact of the Standard.
1 Jan 2019
AASB 16 Leases
This Standard introduces a single lessee accounting model and requires a lessee to recognise assets and liabilities for all leases with a term of more than 12 months, unless the underlying asset is of low value. RWWA has not yet determined the application or the potential impact of the Standard.
1 Jan 2019
AASB 1058 Income of Not-for-Profit Entities
This Standard clarifies and simplifies the income recognition requirements that apply to not for profit (NFP) entities, more closely reflecting the economic reality of NFP entity transactions that are not contracts with customers. Timing of income recognition is dependent on whether such a transaction gives rise to a liability, or other performance obligation (a promise to transfer a good or service), or a contribution by owner, related to an asset (such as cash or another asset). RWWA has not yet determined the application or the potential impact of the Standard
1 Jan 2019
AASB 1059 Service Concession Arrangements: Grantors
This Standard addresses the accounting for a service concession arrangement (a type of public private partnership) by a grantor that is a public sector agency by prescribing the accounting for the arrangement from the grantor’s perspective. Timing and measurement for the recognition of a specific asset class occurs on commencement of the arrangement and the accounting for associated liabilities is determined by whether the grantee is paid by the grantor or users of the public service provided. RWWA has not yet determined the application or the potential impact of the Standard.
1 Jan 2019
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Title Operative for reporting periods
beginning on/after
AASB 2010-7 Amendments to Australian Accounting Standards arising from AASB 9 (December 2010) [AASB 1, 3, 4, 5, 7, 101, 102, 108, 112, 118, 120, 121, 127, 128, 131, 132, 136, 137, 139, 1023 & 1038 and Int 2, 5, 10, 12, 19 & 127]
This Standard makes consequential amendments to other Australian Accounting Standards and Interpretations as a result of issuing AASB 9 in December 2010.
The mandatory application date of this Standard has been amended by AASB 2012-6 and AASB 2014-1 to 1 January 2018. RWWA has not yet determined the application or the potential impact of the Standard.
1 Jan 2018
AASB 2014-1 Amendments to Australian Accounting Standards
Part E of this Standard makes amendments to AASB 9 and consequential amendments to other Standards. It has not yet been assessed by RWWA to determine the application or potential impact of the Standard.
1 Jan 2018
AASB 2014-5 Amendments to Australian Accounting Standards arising from AASB 15
This Standard gives effect to the consequential amendments to Australian Accounting Standards (including Interpretations) arising from the issuance of AASB 15. RWWA has not yet determined the application or the potential impact of the Standard.
1 Jan 2018
AASB 2014-7 Amendments to Australian Accounting Standards arising from AASB 9 (December 2014)
This Standard gives effect to the consequential amendments to Australian Accounting Standards (including Interpretations) arising from the issuance of AASB 9 (December 2014).
RWWA has not yet determined the application or the potential impact of the Standard.
1 Jan 2018
AASB 2015-8 Amendments to Australian Accounting Standards – Effective Date of AASB 15
This Standard amends the mandatory application date of AASB 15 to 1 January 2018 (instead of 1 January 2017). It also defers the consequential amendments that were originally set out in AASB 2014-5. There is no financial impact arising from this standard.
1 Jan 2018
AASB 2016-3 Amendments to Australian Accounting Standards – Clarifications to AASB 15
This Standard clarifies identifying performance obligations, principal versus agent considerations, timing of recognising revenue from granting a licence, and, provides further transitional provisions to AASB 15.
RWWA has not yet determined the application or the potential impact.
1 Jan 2018
AASB 2016-7 Amendments to Australian Accounting Standards Deferral of AASB 15 for Not for Profit Entities
This Standard defers, for not for profit entities, the mandatory application date of AASB 15 to 1 January 2019, and the consequential amendments that were originally set out in AASB 2014 5.There is no financial impact arising from this standard.
1 Jan 2018
AASB 2016-8 Amendments to Australian Accounting Standards Australian Implementation Guidance for Not for Profit Entities
This Standard inserts Australian requirements and authoritative implementation guidance for not for profit entities into AASB 9 and AASB 15. This guidance assists not-for-profit entities in applying those Standards to particular transactions and other events. There is no financial impact.
1 Jan 2019
Notes to the Financial Statements
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Annual Report 2018
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Notes to and forming part of the Financial StatementsFor the year ended 31 July 2018
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Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
6 MarginMargin on Turnover inclusive of GST 347,909 341,116 Goods and Services Tax (26,395) (26,422)
321,514 314,694
Goods and Services Tax (GST) is not applied to the consumption of gambling services. It is however, applied to the operator's margin defined as the total amounts wagered less total monetary prizes.
The State provides reimbursement to gaming operations (including RWWA) for GST paid on the operator's margin on Fixed Odds Betting and Parimutuel Sports.
Treasurer's Instruction 1102 requires the GST reimbursement to be disclosed as a grant from the State Government rather than offset against the cost to which it applies.
7 Cost of SalesCost of Sales mainly include pooling fees, product fees and rebates. 84,557 80,047
84,557 80,047
8 Wagering TaxTax on Turnover 12,774 11,351 Tax on Margin 28,736 29,000
41,510 40,351
9 Other RevenueOther Revenue 15,450 13,192 Unclaimed Dividends 7,175 7,935
22,625 21,127
10 Net gain/(loss) on disposal of non-current assetsProceeds from disposal 81 285 Cost of disposal (46) (105) Net gain 35 180
11 Racing, Wagering and Support ServicesEmployee benefit expense (a) 40,936 39,304 Depreciation and Amortisation expense 12,747 14,175 Finance costs 15 16 Supplies and services 37,701 38,058 Advertising and promotions 27,102 24,198 Communications 5,762 5,274 Accommodation 7,037 6,954 Other expenses (b) 7,522 6,537
138,822 134,515
(a) An amount of $3,497,659 (2017: $3,647,307) was paid to Government Employees Superannuation Board, a related party of RWWA under the definitions of AASB124.(b) An amount of $292,349 (2017: $5,411,012) was paid to Insurance Commission and Riskcover Fund, a related party of RWWA under the definitions of AASB124. In 2017 two years premiums were paid which accounts for the variance year to year.
76
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
12 Grants and Subsidies to racingGrants and Subsidies expenseGrants (a) 4,547 5,821 Other Subsidies (a) 10,880 9,549 Racecourse Infrastructure Grants Program 510 664 Royalties for Regions 760 1,260
16,697 17,294
(a) Included in Grants and Other Subsidies is an amount of $976,572 (2017: $1,960,552) paid to the Western Australian Greyhound Racing Association, a related party of RWWA under the definitions of AASB124.
13 Distributions to Racing and SportsThoroughbreds 89,235 83,580 Harness 34,593 34,454 Greyhounds (a) 18,146 17,965 Sports (b) 4,567 2,896
146,541 138,895
(a) Greyhound distributions are paid to the Western Australian Greyhound Racing Association, a related party of RWWA under the definitions of AASB124.(b) Sports distributions are paid to Department of Local Government, Sport and Cultural Industries, a related party of RWWA under the definitions of AASB124.
14 Restricted cash and cash equivalentsCurrentRoyalties for Regions Fund (a) 1,060 1,455
1,060 1,455
(a) Unspent funds are committed to projects and programs in Western Australian regional areas.
15 InventoriesCurrentInventories not held for resale:
At CostTickets 625 697 Agency Spares and Consumables 118 114
743 811
16 ReceivablesCurrentReceivables 794 1,082 Accrued revenue 239 175 Other Debtors 2,688 1,073 Allowance for impairment of receivables (66) (71)
3,655 2,258
Reconciliation of changes in the allowance for impairment of receivables:Balance at start of year 71 105 Doubtful debts expense recognised in the income statement 20 65 Amounts written off during the year (25) (99) Balance at end of year 66 71
RWWA does not hold any collateral as security or other credit enhancements relating to receivables.
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For the year ended 31 July 2018
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
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Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
17 InvestmentsNon-CurrentAt CostUnlisted shares 455 455
455 455
ReconciliationCarrying amount at start of period 455 455 Revaluations - - Disposals - - Carrying amount at end of period 455 455
18 Other AssetsCurrentPrepayments 4,154 4,377
4,154 4,377
Non-CurrentPrepayments 310 286
310 286
19 Non-Current assets classified as held for saleOpening balanceFreehold land 275 275 Buildings 159 166
434 441
Revaluation increment / decrementFreehold land (37) - Buildings (9) (7)
(46) (7)
Total assets classified as held for saleFreehold land 238 275 Buildings 150 159
388 434
Less assets soldFreehold land - - Buildings - -
- -
Closing balanceFreehold land 238 275 Buildings 150 159
388 434
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Notes to and forming part of the Financial Statements For the year ended 31 July 2018Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
20 Property, Plant & EquipmentFreehold LandAt fair value 22,084 18,624 Accumulated impairment losses - -
22,084 18,624
BuildingsAt fair value 12,236 8,704 Accumulated depreciation (26) (98)
12,210 8,606
Leasehold ImprovementsAt cost 10,399 9,990 Accumulated depreciation (9,786) (9,302)
613 689
InfrastructureAt cost 5,216 4,984 Accumulated depreciation (4,675) (4,252)
541 731
Machinery, Plant & EquipmentAt cost 5,270 5,135 Accumulated depreciation (4,406) (3,878)
864 1,257
Computer EquipmentAt cost 48,147 43,032 Accumulated depreciation (34,303) (29,575)
13,844 13,456
Furniture and FittingsAt cost 4,055 4,076 Accumulated depreciation (3,731) (3,665)
324 411
Motor VehiclesAt cost 2,103 1,891 Accumulated depreciation (1,067) (914)
1,035 977
51,515 44,751
Freehold land and buildings except for the transfer of Manduarh racecourse assets from Western Australian Greyhound Racing Association were revalued as at 1 July 2017 by Western Australian Land Information Authority. The valuations were performed during the year ended 31 July 2018 and recognised at 31 July 2018. The fair value of all land and buildings has been determined by reference to recent market transactions. In undertaking the revaluation, fair value was determined by reference to market values for land: $17,708,500 (2017: $18,249,100); current use of land $375,000 (2017: $375,000); market value of buildings $5,627,000 (2017: $5,829,900); current use of buildings $2,653,700 (2017: $2,776,200).
Information on fair value measurement is provided in Note 21.
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For the year ended 31 July 2018
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
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)/inc
rem
ents
(578
)
72
-
-
-
-
-
-
(5
06)
Dep
reci
atio
n-
(4
06)
(4
85)
(4
22)
(5
54)
(4
,861
)
(1
71)
(3
52)
(7
,250
)
C
arry
ing
amou
nt a
t end
of
per
iod
22,0
84
12,2
10
613
541
864
13,8
44
324
1,03
5
51,5
15
(a) T
rans
fer o
f Man
dura
h ra
ceco
urse
ass
ets
from
Wes
tern
Aus
tralia
n G
reyh
ound
Ass
ocia
tion.
2017
Car
ryin
g am
ount
at s
tart
of p
erio
d20
,260
8,
941
1,22
3
1,
192
1,60
2
14
,557
47
4
1,00
6
49
,255
Addi
tions
-
14
94
-
217
3,
828
182
39
9
4,73
4
Dis
posa
ls-
-
-
-
-
(1
0)
-
(95)
(1
05)
Impa
irmen
t-
-
-
-
-
(1
09)
-
-
(1
09)
R
eval
uatio
n (d
ecre
men
ts)/i
ncre
men
ts(1
,635
)
40
-
-
-
-
-
-
(1,5
95)
Dep
reci
atio
n-
(3
89)
(6
29)
(4
60)
(5
62)
(4
,810
)
(2
45)
(3
32)
(7
,427
)
C
arry
ing
amou
nt a
t end
of
per
iod
18,6
24
8,60
6
689
731
1,25
7
13,4
56
411
977
44,7
51
80
Notes to and forming part of the Financial StatementsFor the year ended 31 July 2018
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
21 Fair Value MeasurementsAssets measured at fair value:
Level 1 Level 2 Level 3
Fair value at end of period
$000 $000 $000 $0002018Non-Current assets classified as held for sale (Note 19) - 388 - 388 Land (Note 20) - 17,709 4,375 22,084 Buildings (Note 20) - 5,627 6,583 12,210
- 23,724 10,958 34,682
2017Non-Current assets classified as held for sale (Note 19) - 434 - 434 Land (Note 20) - 18,249 375 18,624 Buildings (Note 20) - 5,830 2,776 8,606
- 24,513 3,151 27,664
There were no transfers between Levels 1, 2 or 3 during the period.
Valuation techniques to derive Level 2 fair values
Fair value measurements using significant unobservable inputs (Level 3)
Land Buildings$000 $000
2018Fair value at start of period 375 2,776 Transfers 4,000 3,929 Revaluation increments recognised in Other Comprehensive Income - 19 Depreciation Expense - (141) Fair value at end of period 4,375 6,583
2017Fair value at start of period 375 2,830 Additions - - Revaluation increments recognised in Other Comprehensive Income - 88 Depreciation Expense - (142) Fair value at end of period 375 2,776
Level 2 fair values of Non-Current assets held for sale, Land and Buildings are derived using the market approach. Market evidence of sales prices of comparable land and buildings in close proximity is used to determine price per square metre.
Non-Current assets held for sale have been written down to fair value less costs to sell. Fair value has been determined by reference to market evidence of sales prices and comparable assets.
Racing and W
agering WA
Annual Report 2018
81
For the year ended 31 July 2018
Notes to and forming part of the Financial StatementsFor the year ended 31 July 2018
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
21 Fair Value Measurements continuedThere were no changes in valuation techniques during the period.
Valuation ProcessesTransfers in and out of a fair value level are recognised on the date of the event or change in circumstances that caused the transfer. Transfers are generally limited to assets newly classified as non-current assets held for sale as Treasurer's Instructions require valuations of land and buildings to be categorised within Level 3 where the valuations will utilise significant Level 3 inputs on a recurring basis.
Land (Level 3 fair values)Fair value for restricted use land is based on comparison with market evidence for land with low level utility (high restricted use land). The relevant comparators of land with low level utility is selected by the Western Australian Land Information Authority (Valuation Services) and represents the application of a significant Level 3 input in this valuation methodology. The fair value measurement is sensitive to values of comparator land, with higher values of comparator land correlating with higher estimated fair values of land.
Buildings (Level 3 fair values)Fair value for existing use specialised buildings assets is determined by reference to the cost of replacing the remaining future economic benefits embodied in the asset, i.e. the current replacement cost. Current replacement cost is generally determined by reference to the market observable replacement cost of a substitute asset of comparable utility and the gross project size specifications, adjusted for obsolescence. Obsolescence encompasses physical deterioration, functional (technological) obsolescence and economic (external) obsolescence.
Valuation using current replacement cost utilises the significant Level 3 input, consumed economic benefit/obsolescence of asset which is estimated by the Western Australian Land Information Authority (Valuation Services). The fair value measurement is sensitive to the estimate of consumption/obsolescence, with higher values of the estimate correlating with lower estimated fair values of buildings.
Basis of ValuationIn the absence of market-based evidence, due to the specialised nature of some non-financial assets, these assets are valued at Level 3 of the fair value hierarchy on an existing use basis. The existing use basis recognises that restrictions or limitations have been placed on their use and disposal when they are not determined to be surplus to requirements. These restrictions are imposed by virtue of the assets being held to deliver a specific community service.
Amendments to AASB 136
Mandatory application of AASB 2016-4 Amendments to Australian Accounting Standards – Recoverable Amount of Non-Cash-Generating Specialised Assets of Not-for-Profit Entities has no financial impact for RWWA as RWWA is classified as not-for-profit and regularly revalues specialised infrastructure, property, plant and equipment assets. Therefore, fair value of the recoverable amount of such assets is expected to be materially the same as fair value.
Significant Level 3 inputs used by RWWA are derived and evaluated as follows:Consumed economic benefit/obsolescence of assetThese are estimated by the Western Australian Land Information Authority (Valuation Services).
Selection of land with restricted utilityFair value for restricted use land is determined by comparison with market evidence for land with low level utility. Relevant comparators of land with low level utility are selected by the Western Australian Land Information Authority (Valuation Services)
82
Notes to and forming part of the Financial Statements For the year ended 31 July 2018Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
21 Fair Value Measurements continued
Information about significant unobservable inputs (Level 3) in fair value measurements
Description and fair value as at 31 July 2018
Description and fair value as at 31 July 2017
Valuation technique Unobservable inputs
Relationship of unobservable inputs to fair value
Land $4,375,000
Land $375,000
Depreciated Replacement Cost
Method
Selection of land with similar approximate utility
Higher value of similar land increases estimated fair value
Buildings $6,583,000
Buildings $2,776,200
Depreciated Replacement Cost
Method
Consumed economic benefit/obsolescence of
asset
Greater consumption of economic benefit or increased obsolescence lowers fair value
Reconciliations of the opening and closing balances are provided in Note 20.
Racing and W
agering WA
Annual Report 2018
83
For the year ended 31 July 2018
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
22 Capital Works In ProgressTAB terminals and Racewall upgrade 1,212 1,332 Software upgrades 1,837 1,205 Computer equipment 769 603 Other 432 299
4,250 3,439
ReconciliationCarrying amount at start of period 3,439 2,395 Expenditure during the year 12,209 7,547 Assets capitalised during the year (11,398) (6,503) Carrying amount at end of period 4,250 3,439
23 Intangible AssetsComputer SoftwareAt cost 64,783 59,744 Accumulated amortisation (46,445) (40,030)
18,338 19,714
Domain NamesAt cost 25 25 Accumulated amortisation (25) (25)
- -
18,338 19,714
ReconciliationComputer SoftwareCarrying amount at start of period 19,714 24,761 Additions 5,040 1,769 Amortisation (5,496) (6,739) Impairment (920) (77) Carrying amount at end of period 18,338 19,714
Domain NamesCarrying amount at start of period - 2 Amortisation - (2) Carrying amount at end of period - -
18,338 19,714
84
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
24 Impairment of Assets
25 PayablesCurrentTrade payables 3,590 2,708 Unclaimed dividends and refunds 4,564 4,582 TAB payables and account betting deposits 22,233 18,316 Other payables 5,681 5,249 GST payable 1,843 2,142 Accrued expenses 7,146 6,319
45,059 39,316
Non-CurrentAgents deposits and property bonds 1,080 1,095
1,080 1,095
There were no indications of impairment to property, plant and equipment or intangible assets at 31 July 2018.
RWWA held no intangible assets with an indefinite useful life during the reporting period.
Racing and W
agering WA
Annual Report 2018
85
For the year ended 31 July 2018
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
26 ProvisionsCurrentEmployee benefits provisionAnnual Leave (a) 2,931 2,899 Long Service Leave (b) 3,915 3,982
6,846 6,881
Other provisionsEmployment on-costs (c) 405 411
405 411
7,251 7,292
Non-CurrentEmployee benefits provisionLong Service Leave (b) 1,113 929
1,113 929
Other provisionsEmployment on-costs (c) 66 55
66 55
1,179 984
(a) Annual leave liabilities have been classified as current as there is no unconditional right to defer settlement for at least 12 months after the reporting period. Assessments indicate that actual settlement of the liabilities is expected to occur as follows:
Within 12 months of the end of the reporting period 2,084 2,061 More than 12 months after the end of the reporting period 847 838
2,931 2,899
(b) Long service leave liabilities have been classified as current as there is no unconditional right to defer settlement for at least 12 months after the reporting period. Assessments indicate that actual settlement of the liabilities is expected to occur as follows:
Within 12 months of the end of the reporting period 1,156 1,129 More than 12 months after the end of the reporting period 3,872 3,782
5,028 4,911
(c) The settlement of annual and long service leave liabilities gives rise to the payment of employment on-costs including workers compensation premiums and payroll tax. The provision is measured at the present value of expected future payments. The associated expense, apart from the unwinding of the discount (finance cost), is included under 'Other expenses' at Note 11.
Movements in each class of provisions during the financial year, other than employee benefits, are set out below.
Employment on-cost provisionCarrying amount at start of period 466 520 Additional provisions recognised 2,612 2,291 Payments/other sacrifices of economic benefits (2,607) (2,345) Carrying amount at end of period 471 466
86
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
27 Grants and Subsidies from State GovernmentGovernment Grants 72,710 67,973 Government grants include WA Product Fee income (a) , GST and Wagering Tax rebate. 72,710 67,973
28 EquityContributed Equity:Balance at the start of the period 60,884 60,884 Contributions (a) 8,161 - Distributions - - Balance at the end of the period 69,045 60,884
ReservesGeneral reserve:Balance at the start of the period 37,996 43,076 Changes in accounting policy - - Transfer from Retained Earnings (9,097) (5,080) Balance at the end of the period 28,899 37,996
Asset revaluation reserve:Balance at the start of the period 17,619 19,214 Net revaluation increments/(decrements):
Land (578) (1,635) Buildings 70 40
Transfer to General Reserve - - Balance at the end of the period 17,111 17,619
Balance of reserves at end of the period 46,010 55,614
Retained earnings:Balance at the start of the period - - Result for the period (9,097) (5,080) Transfer from Asset Revaluation Reserve - - Transfer to General Reserve 9,097 5,080 Balance at the end of the period - -
(a) Transfer of Mandurah racecourse assets from Western Australian Greyhound Racing Association.
General reserveThe purpose of the general reserve is to cushion the effect of turnover fluctuations, or for supplementing payments made to the racing industry; to meet capital commitments, including the repayment of borrowings; to provide for capital development in the long term interests of RWWA; to meet contingent losses; and for the maintenance, repair, improvement and equipment of premises used by RWWA or its agencies.
(a) Government Grants include $58.4M (2017: $54M) in revenue received via the Gaming and Wagering Commission WA, from national and international wagering operators betting on Western Australian racing product. Generated from RWWA’s commercial activity, this revenue would otherwise be paid directly to RWWA by the wagering operators for distribution to WA race clubs, however, it is treated as a government grant to be consistent with Section 110B.(5) of the Gaming and Wagering Commission Act 1987, and Section 107A of the Racing and Wagering Western Australia Act 2003 .
Racing and W
agering WA
Annual Report 2018
87
Notes to and forming part of the Financial Statements
For the year ended 31 July 2018 For the year ended 31 July 2018
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
29 Notes to the Statement of Cash Flows
Cash at bank earns interest at floating rates based on daily bank deposit rates.
Short-term deposits are made for varying periods of between one and six months, depending upon the immediate cash requirements of RWWA, and earn interest at the respective short-term deposit rates.
Reconciliation of cash
Cash at the end of the financial year as shown in the Statement of Cash Flows is reconciled to the related items in the Statement of Financial Position as follows:
Cash and cash equivalentsCash at bank 12,656 9,623 Cash on hand 77 81 Short-term deposits 62,000 57,500
74,733 67,205 Restricted cash (a) 1,060 1,455
75,793 68,660 (a) Royalties for Regions fund - unspent funds are committed to Racecourse Infrastructure Grants Program in WA regional areas.
Reconciliation of profit to net cash flows provided by/(used in) operating activitiesLoss for the period (9,097) (5,080)
Non cash items:Depreciation and amortisation expense 12,747 14,175 Net (gain) on sale of property, plant and equipment (35) (180) Impairment 920 187
Grants and Subsidies from State Government (72,710) (67,973)
(Increase)/decrease in assets:Receivables / Accrued Income (1,397) 1,040 Current inventories 67 (29) Prepayments 198 (387)
(Increase)/decrease in liabilities:Trade creditors 5,216 3,796 Other creditors 810 (1,892) Annual leave and long service leave provisions 150 (364) Other current provisions 5 (54) Change in GST Receivables/Payables (299) (267)
Net cash used in operating activities (63,425) (57,028)
88
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
30 Financial Instruments(a) Financial Risk Management objectives and policies
Credit Risk
Liquidity Risk
Market Risk
(b) Categories of Financial Instruments
Financial AssetsCash and cash equivalents (a) 75,793 68,660 Other financial assets 10,023 20,000 Receivables (b) 3,655 2,258 Investment 455 455
89,926 91,372
Financial LiabilitiesPayables (b) 43,216 37,174 Agent Deposits and property bonds 1,080 1,095
44,295 38,269 (a) Cash and cash equivalents includes restricted cash and cash equivalents.(b) The amount of receivables/payables excludes GST recoverable/payable to the ATO (statutory receivable/payable).
Financial Instruments held by RWWA are cash and cash equivalents, other financial assets, receivables, payables and agent deposits.
RWWA has limited exposure to financial risks. RWWA's overall risk management program focuses on managing the risks identified below.
Credit risk arises when there is the possibility of RWWA's receivables defaulting on their contractual obligations resulting in financial loss to RWWA. The majority of the authority's trading with customers is conducted on a cash basis. In addition, receivable balances are monitored on an ongoing basis with the result that RWWA's exposure to bad debts is minimal. Credit risk in other financial assets is mitigated by RWWA's investment policy which requires surplus funds to be predominantly invested in unit trusts with underlying assets with credit ratings above investment grade (BBB- or above as per a Standard & Poors rating). At the end of the reporting period there were no significant concentrations of credit risk.
The maximum exposure to credit risk at the end of the reporting period in relation to each class of recognised financial assets is the gross carrying amount of those assets inclusive of any provisions for impairment.
Liquidity risk arises when RWWA is unable to meet its financial obligations as they fall due. RWWA is exposed to liquidity risk through its trading in the normal course of business. RWWA has appropriate procedures to manage cash flows by monitoring forecast cash flows to ensure that sufficient funds are available to meet its commitments.
Market risk is the risk that changes in market prices such as foreign exchange rates, interest rates and unit trust prices will affect RWWA's income or the value of its holdings of financial instruments. RWWA does not trade in foreign currency and thus has no exposure to foreign currency risk.
Other than as detailed in the interest rate sensitivity analysis table, RWWA's exposure to interest rate risk is limited because it does not have any borrowings.
RWWA is exposed to unlisted unit trust price risk. This arises from investments held by RWWA and classified on the statement of financial position as financial assets at fair value.
To manage its price risk in these investments RWWA utilises the services of a professional firm of investment advisors. Price risk is mitigated by RWWA's investment policy that provide strategies for the minimisation of price risk with the diversification of risk across a number of classes of investment.
The carrying amounts of each of the following categories of financial assets and financial liabilities at the end of the reporting period are:
Racing and W
agering WA
Annual Report 2018
89
For the year ended 31 July 2018
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
30 Financial Instruments continued(c) Financial Instrument Disclosures
Credit Risk
Carrying Amount
Not past due and not impaired
Up to 1 month 1-3 months
3 months to 1 year 1-5 years
More than 5 years
Impaired financial assets
$000 $000 $000 $000 $000 $000 $000 $000
2018Cash and cash equivalents 75,793 75,793 - - - - - - Other financial assets 10,023 10,023 - - - - - - Receivables (a) 3,655 2,691 - 729 235 - - - Investment 455 455 - - - - - -
89,926 88,962 - 729 235 - - -
2017Cash and cash equivalents 68,660 68,660 - - - - - - Other financial assets 20,000 20,000 - - - - - - Receivables (a) 2,258 1,677 - 370 211 - - - Investment 455 455 - - - - - -
91,372 90,792 - 370 211 - - -
(a) The amount of receivables excludes GST recoverable/payable to the ATO (statutory receivable/payable).
The following table discloses the average credit quality of other financial assets.
2018 2017$000 $000
A+ to AA- rating 23 10,000 AA rating 10,000 10,000
10,023 20,000
Liquidity Risk and Interest Rate ExposureThe following table details RWWA's interest rate exposure and the contractual maturity analysis of financial assets and financial liabilities. The maturity analysis section includes interest and principal cash flows. The interest rate exposure section analyses only the carrying amounts of each item.
The following table discloses RWWA's maximum exposure to credit risk and the ageing analysis of financial assets.
RWWA's maximum exposure to credit risk at the end of the reporting period is the carrying amount of financial assets as shown below.
The table discloses the ageing of financial assets that are past due but not impaired and impaired financial assets. The table is based on information provided to senior management of RWWA.
RWWA does not hold any collateral as security or other credit enhancements relating to the financial assets it holds.
Ageing analysis of financial assetsPast due but not impaired
90
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Rac
ing
and
Wag
erin
g W
este
rn A
ustra
liaN
otes
to a
nd fo
rmin
g pa
rt o
f the
Fin
anci
al S
tate
men
tsFo
r the
yea
r end
ed 3
1 Ju
ly 2
018
30Fi
nanc
ial I
nstr
umen
ts c
ontin
ued
Inte
rest
rate
exp
osur
e an
d m
atur
ity a
naly
sis
of fi
nanc
ial a
sset
s an
d fin
anci
al li
abilit
ies
Wei
ghte
d Av
erag
e Ef
fect
ive
Inte
rest
R
ate
Car
ryin
g Am
ount
Fixe
d In
tere
st
Rat
e
Varia
ble
Inte
rest
R
ate
Non
In
tere
st
Bear
ing
Nom
inal
Am
ount
Up
to 1
m
onth
1-3
mon
ths
3 m
onth
s to
1
year
1-5
year
sM
ore
than
5
year
s%
$000
$000
$000
$000
$000
$000
$000
$000
$000
$000
2018
Fina
ncia
l Ass
ets
Cas
h an
d ca
sh e
quiv
alen
ts2.
47%
75,7
93
37
,000
38,1
56
63
8
75
,793
18,7
93
50
,000
7,00
0
-
-
Oth
er fi
nanc
ial a
sset
s10
,023
-
-
10,0
23
10
,023
-
10
,023
-
-
-
R
ecei
vabl
es (a
)3,
655
-
-
3,
655
3,
655
3,
655
-
-
-
-
In
vest
men
t45
5
-
-
45
5
45
5
-
-
-
-
45
5
89
,926
37,0
00
38
,156
14,7
71
89
,926
22,4
48
60
,023
7,00
0
-
45
5
Fina
ncia
l Lia
bilit
ies
Paya
bles
(a)
43,2
16
-
-
43
,216
43,2
16
43
,216
-
-
-
-
Agen
t Dep
osits
and
pro
perty
bon
ds1.
45%
1,08
0
-
1,
080
-
1,08
0
-
-
-
-
1,08
0
44,2
96
-
1,08
0
43,2
16
44
,296
43,2
16
-
-
-
1,08
0
2017
Fina
ncia
l Ass
ets
Cas
h an
d ca
sh e
quiv
alen
ts2.
41%
68,6
60
37
,500
30,5
39
62
1
68
,660
15,1
60
30
,000
23,5
00
-
-
O
ther
fina
ncia
l ass
ets
20,0
00
-
-
20
,000
20,0
00
-
20,0
00
-
-
-
Rec
eiva
bles
(a)
2,25
8
-
-
2,25
8
2,25
8
2,25
8
-
-
-
-
Inve
stm
ent
455
-
-
455
455
-
-
-
-
455
91,3
73
37
,500
30,5
39
23
,334
91,3
73
17
,418
50,0
00
23
,500
-
45
5
Fina
ncia
l Lia
bilit
ies
Paya
bles
(a)
37,1
74
-
-
37
,174
37,1
74
37
,174
-
-
-
-
Agen
t Dep
osits
and
pro
perty
bon
ds1.
45%
1,09
5
-
1,
095
-
1,09
5
-
-
-
-
1,09
5
38,2
69
-
1,09
5
37,1
74
38
,269
37,1
74
-
-
-
1,09
5
(a) T
he a
mou
nt o
f rec
eiva
bles
/pay
able
s ex
clud
es G
ST re
cove
rabl
e/pa
yabl
e to
the
ATO
(sta
tuto
ry re
ceiv
able
/pay
able
).
Th
e am
ount
s di
sclo
sed
are
the
cont
ract
ual u
ndis
coun
ted
cash
flow
s of
eac
h cl
ass
of fi
nanc
ial l
iabi
litie
s
Mat
urity
Dat
esIn
tere
st R
ate
Expo
sure
Racing and W
agering WA
Annual Report 2018
91
For the year ended 31 July 2018
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
30 Financial Instruments continued
Interest rate sensitivity analysis
Carrying amount Surplus Equity Surplus Equity$000 $000 $000 $000 $000
2018Financial AssetsCash and cash equivalents (a) 38,156 (382) (382) 382 382
Agent Deposits and property bonds 1,080 (11) (11) 11 11 Total Increase/(Decrease) (392) (392) 392 392
2017Financial AssetsCash and cash equivalents (a) 30,539 (305) (305) 305 305
Agent Deposits and property bonds 1,095 (11) (11) 11 11 Total Increase/(Decrease) (316) (316) 316 316
(a) Excludes cash amounts that do not earn interest or have a fixed interest rate.
Price Sensitivity Analysis
Carrying amount -5% change +5% change$000 $000 $000
2018Financial AssetsCash held in unit trusts 10,023 (501) 501
2017Financial AssetsCash held in unit trusts 20,000 (1,000) 1,000
Fair Values
-100 basis points +100 basis points
The following table represents a summary of the interest rate sensitivity of RWWA's financial assets and liabilities at the end of the reporting period on the surplus of the period for a 1% change in interest rates. It is assumed that a change in interest rates is held constant throughout the reporting period.
All financial assets and liabilities recognised in the Statement of Financial Position, whether they are carried at cost or fair value, are recognised at amounts that represent a reasonable approximation of fair value unless otherwise stated in the applicable notes.
A change in the market value of unlisted unit trust investments by +/-5% with all other variables held constant would have increased (decreased) RWWA's total surplus of the period as shown below.
92
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
2018 2017$000 $000
31 Other Financial AssetsShort term investment in unit trusts 10,023 20,000
10,023 20,000
Valuation of Investments
Fixed interest unit trust
Fair Value Hierarchy
Recurring fair value measurementsLevel 1 Level 2 Level 3 Total
$000 $000 $000 $0002018Fixed interest unit trusts - 10,023 - 10,023
2017Fixed interest unit trusts - 20,000 - 20,000
There were no significant transfers between Level 1, 2 or 3 during 2018.
The table below provides information about the valuation technique and inputs utilised in fair value measurement (Level2):
Valuation Technique Inputs Utilised
Fixed Interest Unit Trusts Unit Price, Quantity
Level 3 relates to inputs that are unobservable. Unobservable inputs means that fair values are determined in whole or in part using a valuation technique (model) based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.
Quoted prices: Unit price quoted by the Fund Manager
Investment assets are initially recognised at cost and subsequently measured at fair value. The approach to measuring the fair value of investments is described below:
Unit trusts are priced using fund managers' quotes of unit prices determined on the basis of market value of the investment portfolio with an adjustment for transaction costs.
The Fair Value Hierarchy assigns rankings to the level of judgement which is applied in deriving inputs for valuation techniques used to measure fair value. The three levels of the Fair Value Hierarchy are as follows:
Level 1 is the preferred input for valuation and reflects unadjusted quoted prices in active markets for identical assets or liabilities which the economic entity can access at the end of the reporting period. A financial instrument is regarded as quoted in an active market if quoted prices are readily and regularly available from an exchange, dealer, broker, industry group, pricing service or regulatory agency and those prices represent actual and regularly occurring market transactions on an arms length basis.
Level 2 is the valuation of assets and liabilities either directly or indirectly based upon market observables other than quoted prices. For example: Investments with fair values based on broker quotes, investments in unlisted trusts with fair values obtained via fund managers and assets that are valued using the economic entity's own models whereby the majority of assumptions are market observable.
Racing and W
agering WA
Annual Report 2018
93
For the year ended 31 July 2018
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
32 CommitmentsCommitments are inclusive of GST
Capital CommitmentsCommitments in relation to capital expenditure contracted for at the reporting date but not recognised in the financial statements as liabilities, are payable as follows:
Within one year 504 122 504 122
The capital commitments include amounts for:Customer Information & Betting Terminals - 58 Racewalls rollout 52 64 IT systems 415 - TAB Radio 37 -
504 122
Lease CommitmentsCommitments in relation to leases contracted for at the reporting date but not recognised in the financial statements as liabilities, are payable as follows:
Within one year 4,409 4,956 Later than one year but not later than five years 10,519 13,344 Later than five years 1,099 5,108
16,027 23,408
Representing:Non-cancellable operating leases 16,027 23,408
16,027 23,408
The non-cancellable operating lease commitments include amounts for:Property 16,027 23,408
16,027 23,408
RWWA has entered into a number of property leases which are non-cancellable leases of varying lengths, with rent payable monthly in advance. Contingent rent provisions within the lease agreements allow annual increases and market reviews. In some instances an option exists to extend the lease at the end of the initial term.
Other Expenditure CommitmentsOther expenditure commitments contracted for at the end of the reporting period but not recognised as liabilities, are payable as follows:
Within one year 10,349 10,180 Later than one year but not later than five years 16,181 25,302
26,530 35,482
33 Contingent (assets) liabilitiesContract performance guarantees exist over future rental payments on TAB Agencies 30 30 Approximate amount receivable from Riskcover in future years for performance adjustment in prior years' Workers Compensation insurance premiums (2,168) (2,966)
34 Events occurring after the end of the reporting periodOn 9th October 2018 the State Government announced a ‘Racing Reform Package’ which included the proposed sale of the WATAB.
94
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
35 Compensation of Key Management PersonnelRWWA has determined that key management personnel include Ministers, board members and senior officers of RWWA. However RWWA is not obligated to compensate Ministers and therefore disclosures in relation to Ministers' compensation may be found in the Annual Report on State Finances.
Total compensation for key management personnel, comprising members of the accountable authority and other senior officers of RWWA for the reporting period are presented within the following bands:
Compensation of members of the accountable authorityCompensation Band ($)20,001 - 30,000 1 - 30,001 - 40,000 - 1 40,001 - 50,000 - 5 50,001 - 60,000 - 1 60,001 - 70,000 6 - 70,001 - 80,000 - 1 110,001 - 120,000 1 -
Short term employee benefits 484 351 Post employment benefits 41 29 Other long term benefits - - Termination benefits - - Total compensation of members of the accountable authority 525 380
Compensation of senior officersCompensation Band ($)40,001 - 50,000 - 1 130,001 - 140,000 (a) - 1 220,001 - 230,000 1 - 250,001 - 260,000 - 1 260,001 - 270,000 - 1 280,001 - 290,000 2 - 290,001 - 300,000 - 1 300,001 - 310,000 1 - 310,001 - 320,000 1 1 330,001 - 340,000 - 1 380,001 - 390,000 1 - 740,001 - 750,000 1 - 760,001 - 770,000 - 1
Short term employee benefits 2,086 1,955 Post employment benefits 218 231 Other long term benefits 242 227 Termination benefits - - Total compensation of senior officers 2,546 2,413
(a) Senior officers employed for partial periods of the financial year in their positions.
Racing and W
agering WA
Annual Report 2018
95
For the year ended 31 July 2018
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
2018 2017$000 $000
36 Remuneration of AuditorRemuneration paid or payable to the Auditor General in respect of the audit for the current financial year is as follows:
Auditing the accounts, controls, financial statements and Key Performance Indicators 127 135 127 135
37 Related Party TransactionsRWWA is a wholly owned and controlled entity of the State of Western Australia. In conducting its activities, RWWA is required to pay various taxes and levies based on the standard terms and conditions that apply to all tax and levy payers to the State and entities related to the State.
Related parties of RWWA include:
• All Ministers and their close family members, and their controlled or jointly controlled entities;• All board members, senior officers and their close family members, and their controlled or jointly controlled entities;• Other departments and public sector entities, including related bodies included in the whole of government consolidated financial statements;• Associates and joint ventures, that are included in the whole of government consolidated financial statements;• Government Employees Superannuation Board (GESB).
Significant transactions with government related entities:
• Royalties for Regions Fund (Note 14)• Grants and Subsidies to Western Australian Greyhound Racing Association (Note 12)• Distributions to Western Australian Greyhound Racing Association and Department of Local Government, Sport and Cultural Industries (Note 13)• Insurance payments to the Insurance Commission and Riskcover Fund (Note 11)• Grant income from State Government (Note 27)• Remuneration for services provided by the Auditor General (Note 36)• Transfer of Mandurah Racecourse assets from Western Australian Greyhound Racing Association (Note 20 & Note 28)
Material transactions with other related parties
• Superannuation payments to GESB (Note 11)
During the year, RWWA had no material related party transaction with Ministers/board members/senior officers or their close family members or their controlled (or jointly controlled) entities for disclosure.
38 Related BodiesAt year end RWWA did not have any related bodies.
39 Affiliated BodiesAt year end RWWA did not have any affiliated bodies.
40 Supplementary Financial Information Write-offsBad Debts Written off (25) (99)
(25) (99)
96
Notes to and forming part of the Financial Statements For the year ended 31 July 2018
Rac
ing
and
Wag
erin
g W
este
rn A
ustra
liaN
otes
to a
nd fo
rmin
g pa
rt o
f the
Fin
anci
al S
tate
men
tsFo
r the
yea
r end
ed 3
1 Ju
ly 2
018
41Sc
hedu
le o
f Inc
ome
and
Expe
nse
by S
ervi
ce
2018
2017
2018
2017
2018
2017
2018
2017
$000
$000
$000
$000
$000
$000
$000
$000
INC
OM
ER
even
ueM
argi
n-
-
32
1,51
4
31
4,69
4
-
-
32
1,51
4
31
4,69
4
In
tere
st re
venu
e-
-
-
-
2,
146
2,
048
2,
146
2,
048
O
ther
reve
nue
10,0
10
8,60
9
12,5
98
12,4
83
17
35
22,6
25
21,1
27
Gai
n on
dis
posa
l of n
on-c
urre
nt
asse
ts-
-
-
-
35
18
0
35
18
0
To
tal I
ncom
e10
,010
8,60
9
334,
112
32
7,17
7
2,19
8
2,26
3
346,
320
33
8,04
9
EXPE
NSE
SC
osts
of s
ales
-
-
84,5
57
80,0
47
-
-
84,5
57
80,0
47
Wag
erin
g Ta
x-
-
41
,510
40
,351
-
-
41
,510
40
,351
R
acin
g Se
rvic
es24
,413
19
,244
-
-
-
-
24
,413
19
,244
W
ager
ing
Serv
ices
-
-
84,7
57
85,5
08
-
-
84,7
57
85,5
08
Supp
ort S
ervi
ces
-
-
-
-
29,6
52
29,7
63
29,6
52
29,7
63
Gra
nts
and
subs
idie
s16
,697
17
,294
-
-
-
-
16
,697
17
,294
D
istri
butio
n to
raci
ng a
nd s
ports
in
dust
ries
141,
974
135,
999
4,56
7
2,89
6
-
-
146,
541
138,
895
Tota
l Exp
ense
s18
3,08
4
17
2,53
7
21
5,39
1
208,
802
29
,652
29,7
63
42
8,12
7
411,
102
Prof
it/(L
oss)
bef
ore
Gra
nts
and
Subs
idie
s(1
73,0
74)
(1
63,9
28)
11
8,72
1
118,
375
(2
7,45
4)
(2
7,50
0)
(8
1,80
7)
(7
3,05
3)
Gra
nts
and
subs
idie
s fro
m S
tate
G
over
nmen
t (G
ST &
Wag
erin
g Ta
x R
eim
burs
emen
t)58
,400
54
,013
14
,310
13
,960
-
-
72
,710
67
,973
Prof
it/(L
oss)
for t
he p
erio
d(1
14,6
74)
(1
09,9
15)
13
3,03
1
132,
335
(2
7,45
4)
(2
7,50
0)
(9
,097
)
(5
,080
)
Rac
ing
Wag
erin
gU
nallo
cate
dTo
tal
Racing and W
agering WA
Annual Report 2018
97
Notes to and forming part of the Financial Statements
For the year ended 31 July 2018 For the year ended 31 July 2018
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Racing and Wagering Western AustraliaNotes to and forming part of the Financial StatementsFor the year ended 31 July 2018
42 Explanatory Statement
Significant variations are considered to be those in excess of 10% or $2.5M.
Significant variances between actual results for 2017 and 2018
Comment 2018 2017Actual Actual Variance$000 $000 $000
RevenueMargin (1) 321,514 314,694 6,820 Interest Revenue 2,146 2,048 98 Other Revenue 22,625 21,127 1,498
GainsGain on disposal of non-current assets 35 180 (145)
ExpensesCost of sales (1) 84,557 80,047 4,510 Wagering Tax 41,510 40,349 1,161 Racing Services (2) 24,413 19,244 5,169 Wagering Services 84,757 85,509 (752) Support Services 29,652 29,763 (111) Grants and subsidies to racing 16,697 17,295 (598) Distribution to racing and sports (3) 146,541 138,895 7,646 Loss on disposal of non-current assets - - -
Grants and subsidies from State Government (4) 72,710 67,973 4,737
Comment(1)
(2)
(3)
(4)
AASB 1055 Budgetary Reporting standard requires specific budgetary disclosures in the general purpose financial statements of not-for-profit entities within the General Government Sector. RWWA falls within the category of Public Non-Financial Corporation Section, also RWWA does not publish annual estimates in the budget papers or the Statement of Corporate Intent.
Therefore, as prescribed under TI 945P, RWWA provides details of any significant variations between the actual results for 2017 and 2018.
The increase in margin and cost of sales is due to a slight increase in turnover including the inclusion of one extra week of turnover necessitated by the financial calendar. Every seventh year an extra week is required to realign with the financial reporting calendar.
The increase in Racing Services results from an increased focus on promotion of racing codes, further focus on industry development and planning, and increased animal welfare activities.
Outside the additional week mentioned in note (1), RWWA Distribution Policy for 2018 allowed for an increase in funding over 2017, with the aim of keeping distribution increases at sustainable levels.
Grants and subsidies from State Government increased from prior financial year due to an increase in racefields Income collected by Department of Local Government, Sport and Cultural Industries and paid to RWWA for distribution to registered racing clubs in Western Australia. Generated from RWWA’s commercial activity, this revenue would otherwise be paid directly to RWWA by the wagering operators for distribution to WA race clubs, however, it is treated as a government grant to be consistent with Section 110B.(5) of the Gaming and Wagering Commission Act 1987, and Section 107A of the Racing and Wagering Western Australia Act 2003.
98
Certification of Key Performance Indicators
For the year ended 31 July 2018
We hereby certify that the key performance indicators for Racing and Wagering Western Australia (RWWA) are
based on proper records, are relevant and appropriate for assisting users to assess the performance of RWWA and
fairly represent the performance of RWWA for the financial year ended 31 July 2018.
Jeff OvensChairman RWWA Board
15 October 2018
Anthony HasluckChairman Audit and
Risk Committee
15 October 2018
Racing and W
agering WA
Annual Report 2018
99
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Perf
orm
ance
Man
agem
ent
Fram
ewor
kR
elat
ions
hip
To G
over
nmen
t Goa
lsPe
rfor
man
ce M
anag
emen
t Fra
mew
ork
Rel
atio
nshi
p To
Gov
ernm
ent G
oals
Des
ired
Out
com
esSe
rvic
es P
rovi
ded
Effe
ctiv
enes
s In
dica
tors
Effic
ienc
y In
dica
tors
Prov
isio
n of
a b
ettin
g sy
stem
whi
ch is
effi
cien
t, re
liabl
e, m
aint
aina
ble
and
capa
ble
Prim
ary
Betti
ng S
yste
m a
vaila
bilit
yM
argi
n pe
r em
ploy
ee
Staf
f (FT
E)Pr
ofit
per e
mpl
oyee
Num
ber o
f bet
s pr
oces
sed
Ret
urn
on A
sset
s (o
pera
ting
prof
it as
a p
erce
ntag
e of
to
tal a
sset
s)D
istri
butio
n to
Indu
stry
Mar
gin
Gra
nts
to in
dust
ry (R
WW
A fu
nded
)G
rant
s to
indu
stry
(Sta
te G
over
nmen
t fun
ded)
Mai
ntai
n th
e in
tegr
ity o
f the
Wes
tern
Aus
tralia
n ra
cing
in
dust
ry%
of W
inne
rs S
wab
bed
/ Ret
urne
d N
egat
ive
Gua
rant
ee th
e on
goin
g w
elfa
re a
nd s
usta
inab
ility
of
the
Wes
tern
Aus
tralia
n ra
cing
indu
stry
Aver
age
num
ber o
f sta
rters
in W
este
rn A
ustra
lian
race
sPr
ovis
ion
of ra
cing
, ste
war
ding
, wag
erin
g, fi
nanc
ial,
mar
ketin
g, h
uman
reso
urce
s, IT
, stra
tegi
c an
d ot
her
serv
ices
Annu
al g
row
th in
TAB
Tur
nove
r on
Wes
tern
Aus
tralia
n ra
cing
RW
WA'
s ke
y pe
rform
ance
indi
cato
rs a
re a
ligne
d to
gov
ernm
ent g
oals
i.e.
Bet
ter P
lace
s : A
qua
lity
envi
ronm
ent w
ith li
veab
le a
nd a
fford
able
com
mun
ities
and
vib
rant
regi
ons.
RW
WA'
s ke
y pe
rform
ance
indi
cato
rs a
re a
lso
repo
rted
in th
e Fi
nanc
ials
sec
tion
of th
is A
nnua
l Rep
ort.
Res
ults
with
sig
nific
ant v
aria
nces
of 1
0% o
r mor
e co
mpa
red
to th
e ta
rget
or t
o pr
ior y
ear's
resu
lts h
ave
been
exp
lain
ed in
det
ail.
Res
ults
-Bas
ed S
ervi
ce D
eliv
ery
Gre
ater
focu
s on
ach
ievi
ng re
sults
in k
ey s
ervi
ce d
eliv
ery
area
s fo
r the
ben
efit
of a
ll W
este
rn A
ustra
lians
To p
rovi
de a
n ef
ficie
nt, c
ompe
titiv
e an
d re
spon
sibl
e w
ager
ing
serv
ice
for W
este
rn A
ustra
lia
To e
ffici
ently
adm
inis
ter,
and
to p
rovi
de e
ffect
ive
lead
ersh
ip in
the
deve
lopm
ent,
inte
grity
and
wel
fare
of
the
raci
ng a
nd w
ager
ing
indu
stry
in W
este
rn A
ustra
lia
Rac
ing
and
Stew
ard
expe
nses
per
Wes
tern
Aus
tralia
n ra
ce m
eetin
g
Prov
isio
n of
ser
vice
s to
sup
port
wag
erin
g
To a
chie
ve a
n op
timum
leve
l of f
undi
ng to
the
raci
ng
indu
stry
and
spo
rtsO
pera
ting
Prof
it (e
xclu
ding
the
prof
it/lo
ss fr
om s
ale
of
asse
ts) b
efor
e di
strib
utio
n to
cod
es
Gra
nts
adm
inis
tratio
n, e
valu
atio
n an
d di
strib
utio
n
Adm
inis
tratio
n of
indu
stry
dis
tribu
tion
to th
e cl
ubs
100
Key
Per
form
ance
Indi
cato
rsFo
r the
yea
r end
ed 3
1 Ju
ly 2
018
Rac
ing
and
Wag
erin
g W
este
rn A
ustra
liaK
ey P
erfo
rman
ce In
dica
tors
For t
he y
ear e
nded
31
July
201
8
Out
com
e:To
pro
vide
an
effic
ient
, com
petit
ive
and
resp
onsi
ble
betti
ng s
ervi
ce fo
r Wes
tern
Aus
tral
ia.
Effe
ctiv
enes
s In
dica
tors
Des
crip
tion
2018
Ac
tual
2018
Ta
rget
2017
Ac
tual
2016
Ac
tual
2015
Ac
tual
2014
Ac
tual
Res
ult
Prim
ary
Betti
ng S
yste
m
avai
labi
lity
The
avai
labi
lity
of th
e be
tting
sys
tem
is
para
mou
nt to
the
TAB'
s ab
ility
to g
ener
ate
reve
nue.
The
hig
h av
aila
bilit
y ta
rget
refle
cts
the
impo
rtanc
e R
WW
A pl
aces
on
this
. A
serv
ice
that
is re
liabl
e is
nec
essa
ry fo
r the
TA
B to
attr
act a
nd re
tain
cus
tom
ers.
%99
.98
99
.96
99
.99
99
.99
99
.94
99
.98
The
avai
labi
lity
of th
e be
tting
sys
tem
dur
ing
the
year
is a
bove
RW
WA'
s ta
rget
and
co
mpa
rabl
e w
ith p
rior y
ear r
atio
s.
Staf
f (FT
E)W
ith s
taff
empl
oyee
ben
efits
exp
ense
bei
ng
one
of th
e la
rges
t cos
t cat
egor
ies
at R
WW
A,
man
agin
g th
e FT
E le
vels
is a
n im
porta
nt p
art
of e
nsur
ing
an e
ffici
ent c
ompe
titiv
e bu
sine
ss.
No.
374
381
366
366
364
362
Th
e nu
mbe
r of F
TE a
t the
end
of 2
017/
18 w
as
slig
htly
low
er th
an ta
rget
.
Num
ber o
f Bet
s Pr
oces
sed
The
num
ber o
f bet
s pr
oces
sed
is a
n in
dica
tor
of th
e TA
B's
com
petit
iven
ess
in th
e w
ager
ing
and
gam
blin
g m
arke
tpla
ce.
000'
s21
4,79
0
208,
983
20
2,34
6
197,
954
19
0,67
9
180,
819
Th
e nu
mbe
r of b
ets
for 2
018
show
s a
slig
ht
incr
ease
of 2
.8%
on
targ
et a
nd a
6.1
%
incr
ease
on
2017
act
ual r
esul
ts m
ainl
y du
e to
in
clus
ion
of a
n ad
ditio
nal w
eek.
An
extra
wee
k of
turn
over
is re
quire
d to
be
incl
uded
eve
ry
seve
nth
year
to re
alig
n w
ith th
e fin
anci
al
repo
rting
cal
enda
r.
Effic
ienc
y In
dica
tors
Des
crip
tion
2018
Ac
tual
2018
Ta
rget
2017
Ac
tual
2016
Ac
tual
2015
Ac
tual
2014
Ac
tual
Res
ult
Mar
gin
per e
mpl
oyee
Mar
gin
per e
mpl
oyee
is a
mea
sure
of t
he
com
petit
iven
ess
of th
e bu
sine
ss.
$000
860
860
902
922
937
Mar
gin
per e
mpl
oyee
is c
onsi
sten
t with
last
ye
ar.
Prof
it pe
r em
ploy
eePr
ofit
per e
mpl
oyee
, lik
e m
argi
n pe
r em
ploy
ee, i
s a
mea
sure
of t
he e
ffici
ency
of
the
busi
ness
in d
eliv
erin
g w
ager
ing
reve
nue
and
also
pro
vidi
ng ra
cing
and
inte
grity
se
rvic
es to
the
indu
stry
.
$000
367
365
360
376
369
Prof
it pe
r em
ploy
ee is
con
sist
ent w
ith p
rior
year
s.
Ret
urn
on a
sset
s (O
pera
ting
prof
it as
a
perc
enta
ge o
f tot
al a
sset
s)
Ret
urn
on a
sset
s (R
OA)
is a
wid
ely
acce
pted
in
dica
tor o
f the
effi
cien
cy in
the
use
of a
sset
s.%
81.0
84.7
80
.977
.2
74.9
75
.9
RO
A is
bro
adly
con
sist
ent w
ith ta
rget
and
last
ye
ar.
Racing and W
agering WA
Annual Report 2018
101
Key
Per
form
ance
Indi
cato
rsFo
r the
yea
r end
ed 3
1 Ju
ly 2
018
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Out
com
e:To
ach
ieve
opt
imum
leve
l of f
undi
ng to
the
raci
ng in
dust
ry a
nd fo
r spo
rts.
Effe
ctiv
enes
s In
dica
tors
Des
crip
tion
2018
Ac
tual
2018
Ta
rget
2017
Ac
tual
2016
Ac
tual
2015
Ac
tual
2014
Ac
tual
Res
ult
Dis
tribu
tion
to In
dust
ry$0
0014
6,54
1
145,
852
13
8,89
5
140,
157
13
1,03
3
124,
205
%
Cha
nge
on p
rior
year
5.5
5.0
(0.9
)
7.
3
5.
5
5.
6
Gra
nts
to In
dust
ry (R
WW
A Fu
nded
)G
rant
s to
indu
stry
are
ess
entia
l to
prov
ide
the
safe
st p
ossi
ble
raci
ng e
nviro
nmen
t and
en
sure
the
inte
grity
of t
he ra
cing
pro
duct
.
$000
4,54
7
4,00
0
5,82
1
9,11
2
13,6
55
9,
494
Gra
nts
to in
dust
ry w
ere
slig
htly
abo
ve ta
rget
du
e to
add
ition
al g
rant
s pa
id d
urin
g th
e ye
ar.
Gra
nts
to In
dust
ry (W
A G
over
nmen
t Fun
ded)
$000
1,27
0
2,01
2
1,92
3
1,28
4
3,62
1
3,61
7
N
ot a
ll fu
ndin
g bu
dget
ed fo
r the
fina
ncia
l yea
r w
as d
istri
bute
d to
clu
bs d
urin
g 20
17/1
8. T
hese
am
ount
s w
ill be
dis
tribu
ted
durin
g 20
18/1
9.
Effic
ienc
y In
dica
tors
Des
crip
tion
2018
Ac
tual
2018
Ta
rget
2017
Ac
tual
2016
Ac
tual
2015
Ac
tual
2014
Ac
tual
Res
ult
Mar
gin
Mar
gin
is a
n im
porta
nt in
dica
tor o
f the
ca
paci
ty o
f RW
WA
to fu
nd th
e ra
cing
indu
stry
an
d sp
orts
.
$000
321,
514
31
4,69
4
330,
169
33
5,68
5
339,
474
M
argi
n in
crea
sed
com
pare
d to
last
yea
r pr
imar
ily d
ue to
a s
light
incr
ease
in tu
rnov
er
incl
udin
g th
e in
clus
ion
of a
n ex
tra w
eek
of
turn
over
.
Ope
ratin
g Pr
ofit
excl
udin
g th
e pr
ofit/
loss
from
sal
e of
as
sets
bef
ore
dist
ribut
ion
to
code
s.
Ope
ratin
g Pr
ofit
excl
udin
g th
e pr
ofit/
loss
from
sa
le o
f ass
ets
befo
re d
istri
butio
n to
cod
es
high
light
s th
e am
ount
of r
even
ue th
at h
as
been
gen
erat
ed fo
r dis
tribu
tion
to th
e ra
cing
cl
ubs.
$000
137,
409
13
3,63
5
131,
815
13
6,93
3
133,
464
O
pera
ting
prof
it is
hig
her t
han
last
yea
r due
to
the
incl
usio
n of
an
extra
wee
k's
turn
over
.
RW
WA'
s pr
imar
y pu
rpos
e is
to p
rovi
de a
su
stai
nabl
e fu
ture
for t
he W
est A
ustra
lian
raci
ng in
dust
ry, a
chie
ved
by m
aint
aini
ng th
e op
timum
leve
l of f
undi
ng fo
r the
raci
ng
indu
stry
.
The
resu
lts a
re c
onsi
sten
t with
RW
WA
dist
ribut
ion
polic
y an
d ta
rget
s.
102
Key
Per
form
ance
Indi
cato
rsFo
r the
yea
r end
ed 3
1 Ju
ly 2
018
Out
com
e:
Effe
ctiv
enes
s In
dica
tors
Des
crip
tion
2018
Ac
tual
2018
Ta
rget
2017
Ac
tual
2016
Ac
tual
2015
Ac
tual
2014
Ac
tual
Res
ult
Thor
ough
bred
s %
99.2
99
.9
99.7
99
.6
99.8
Har
ness
%99
.0
99.9
99
.8
99.5
99
.8
Gre
yhou
nds
%99
.4
100.
0
100.
0
99.8
99
.8
Thor
ough
bred
s %
9.7
10.4
10
.4
10.3
10
.7
Har
ness
%9.
8
9.
9
9.
5
9.
7
9.
7
Gre
yhou
nds
%7.
3
7.
6
7.
6
7.
6
7.
9
Annu
al G
row
th in
TAB
Tu
rnov
er o
n W
A ra
cing
The
TAB
acce
pts
bets
on
raci
ng a
nd s
ports
pr
oduc
t fro
m W
A, th
e Ea
ster
n St
ates
, and
In
tern
atio
nal J
uris
dict
ions
. Th
e gr
owth
in T
AB
turn
over
on
WA
Rac
ing
is a
n in
dica
tor t
hat
the
WA
prod
uct i
s se
en a
s an
attr
activ
e pr
opos
ition
, dem
onst
ratin
g a
qual
ity p
rodu
ct,
with
hig
h le
vels
of i
nteg
rity.
%(0
.90)
(6
.32)
(6
.91)
(4
.71)
1.
45
The
stab
le T
AB tu
rnov
er o
n W
A pr
oduc
t for
20
17/1
8 is
con
side
red
a go
od re
sult
in li
ght o
f th
e co
ntin
ued
econ
omic
clim
ate
in W
A.
Effic
ienc
y In
dica
tors
Des
crip
tion
2018
Ac
tual
2018
Ta
rget
2017
Ac
tual
2016
Ac
tual
2015
Ac
tual
2014
Ac
tual
Res
ult
$000
28.2
0
28.1
0
22.2
0
23.5
0
21.1
0
19.0
8
% C
hang
e on
prio
r ye
ar26
.99
28
.25
(5
.44)
11
.42
10
.54
1.
94
Rac
ing
and
Stew
ard
expe
nses
per
WA
race
m
eetin
g
The
raci
ng a
nd s
tew
ardi
ng fu
nctio
ns
perfo
rmed
by
RW
WA
are
para
mou
nt to
bot
h th
e de
velo
pmen
t and
inte
grity
of t
he ra
cing
in
dust
ry.
In d
eliv
erin
g th
ese
func
tions
, R
WW
A en
sure
s th
at th
e co
st o
f del
iver
y is
ke
pt u
nder
con
trol,
and
the
cost
per
mee
ting
is a
n im
porta
nt in
dica
tor o
f how
wel
l RW
WA
is a
t con
trollin
g th
e co
st o
f del
iver
y.
To e
ffici
ently
adm
inis
ter,
and
to p
rovi
de e
ffect
ive
lead
ersh
ip in
the
deve
lopm
ent,
inte
grity
and
wel
fare
of t
he ra
cing
and
wag
erin
g in
dust
ry in
Wes
tern
Aus
tral
ia.
The
resu
lts a
re c
onsi
sten
t with
targ
et. T
he
incr
ease
on
last
yea
r res
ults
was
mai
nly
due
to
an in
crea
sed
focu
s on
pro
mot
ion
of ra
cing
co
des,
indu
stry
dev
elop
men
t and
pla
nnin
g,
and
incr
ease
d an
imal
wel
fare
act
iviti
es.
A ke
y co
mpo
nent
in m
aint
aini
ng th
e in
tegr
ity
of th
e ra
cing
indu
stry
is a
n ef
ficie
nt a
nd
effe
ctiv
e dr
ug te
stin
g re
gim
e an
d th
e "%
of
win
ners
sw
abbe
d / r
etur
ned
nega
tive"
is a
key
in
dica
tor o
f the
dru
g te
stin
g re
gim
e im
pact
on
the
indu
stry
.
The
resu
lts a
re c
onsi
sten
t with
pre
viou
s ye
ars.
The
aver
age
num
ber o
f sta
rters
in W
A ra
ces
is a
n in
dica
tor o
f a h
ealth
y po
pula
tion
of
anim
als
avai
labl
e fo
r rac
ing
in W
A.
Aver
age
num
ber o
f sta
rters
in
WA
Rac
es (e
xclu
ding
no
n-TA
B M
eetin
gs)
% o
f Win
ners
Sw
abbe
d /
Ret
urne
d N
egat
ive
The
resu
lts a
re c
onsi
sten
t with
pre
viou
s ye
ars.
Racing and W
agering WA
Annual Report 2018
103
Key
Per
form
ance
Indi
cato
rsFo
r the
yea
r end
ed 3
1 Ju
ly 2
018
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
Out
com
e:
Effe
ctiv
enes
s In
dica
tors
Des
crip
tion
2018
Ac
tual
2018
Ta
rget
2017
Ac
tual
2016
Ac
tual
2015
Ac
tual
2014
Ac
tual
Res
ult
Thor
ough
bred
s %
99.2
99
.9
99.7
99
.6
99.8
Har
ness
%99
.0
99.9
99
.8
99.5
99
.8
Gre
yhou
nds
%99
.4
100.
0
100.
0
99.8
99
.8
Thor
ough
bred
s %
9.7
10.4
10
.4
10.3
10
.7
Har
ness
%9.
8
9.
9
9.
5
9.
7
9.
7
Gre
yhou
nds
%7.
3
7.
6
7.
6
7.
6
7.
9
Annu
al G
row
th in
TAB
Tu
rnov
er o
n W
A ra
cing
The
TAB
acce
pts
bets
on
raci
ng a
nd s
ports
pr
oduc
t fro
m W
A, th
e Ea
ster
n St
ates
, and
In
tern
atio
nal J
uris
dict
ions
. Th
e gr
owth
in T
AB
turn
over
on
WA
Rac
ing
is a
n in
dica
tor t
hat
the
WA
prod
uct i
s se
en a
s an
attr
activ
e pr
opos
ition
, dem
onst
ratin
g a
qual
ity p
rodu
ct,
with
hig
h le
vels
of i
nteg
rity.
%(0
.90)
(6
.32)
(6
.91)
(4
.71)
1.
45
The
stab
le T
AB tu
rnov
er o
n W
A pr
oduc
t for
20
17/1
8 is
con
side
red
a go
od re
sult
in li
ght o
f th
e co
ntin
ued
econ
omic
clim
ate
in W
A.
Effic
ienc
y In
dica
tors
Des
crip
tion
2018
Ac
tual
2018
Ta
rget
2017
Ac
tual
2016
Ac
tual
2015
Ac
tual
2014
Ac
tual
Res
ult
$000
28.2
0
28.1
0
22.2
0
23.5
0
21.1
0
19.0
8
% C
hang
e on
prio
r ye
ar26
.99
28
.25
(5
.44)
11
.42
10
.54
1.
94
Rac
ing
and
Stew
ard
expe
nses
per
WA
race
m
eetin
g
The
raci
ng a
nd s
tew
ardi
ng fu
nctio
ns
perfo
rmed
by
RW
WA
are
para
mou
nt to
bot
h th
e de
velo
pmen
t and
inte
grity
of t
he ra
cing
in
dust
ry.
In d
eliv
erin
g th
ese
func
tions
, R
WW
A en
sure
s th
at th
e co
st o
f del
iver
y is
ke
pt u
nder
con
trol,
and
the
cost
per
mee
ting
is a
n im
porta
nt in
dica
tor o
f how
wel
l RW
WA
is a
t con
trollin
g th
e co
st o
f del
iver
y.
To e
ffici
ently
adm
inis
ter,
and
to p
rovi
de e
ffect
ive
lead
ersh
ip in
the
deve
lopm
ent,
inte
grity
and
wel
fare
of t
he ra
cing
and
wag
erin
g in
dust
ry in
Wes
tern
Aus
tral
ia.
The
resu
lts a
re c
onsi
sten
t with
targ
et. T
he
incr
ease
on
last
yea
r res
ults
was
mai
nly
due
to
an in
crea
sed
focu
s on
pro
mot
ion
of ra
cing
co
des,
indu
stry
dev
elop
men
t and
pla
nnin
g,
and
incr
ease
d an
imal
wel
fare
act
iviti
es.
A ke
y co
mpo
nent
in m
aint
aini
ng th
e in
tegr
ity
of th
e ra
cing
indu
stry
is a
n ef
ficie
nt a
nd
effe
ctiv
e dr
ug te
stin
g re
gim
e an
d th
e "%
of
win
ners
sw
abbe
d / r
etur
ned
nega
tive"
is a
key
in
dica
tor o
f the
dru
g te
stin
g re
gim
e im
pact
on
the
indu
stry
.
The
resu
lts a
re c
onsi
sten
t with
pre
viou
s ye
ars.
The
aver
age
num
ber o
f sta
rters
in W
A ra
ces
is a
n in
dica
tor o
f a h
ealth
y po
pula
tion
of
anim
als
avai
labl
e fo
r rac
ing
in W
A.
Aver
age
num
ber o
f sta
rters
in
WA
Rac
es (e
xclu
ding
no
n-TA
B M
eetin
gs)
% o
f Win
ners
Sw
abbe
d /
Ret
urne
d N
egat
ive
The
resu
lts a
re c
onsi
sten
t with
pre
viou
s ye
ars.
104
Other Financial Disclosures
Ministerial Directives No Ministerial directives were received during the financial year.
Pricing PoliciesRWWA has discretion over pricing for goods and services rendered.
Capital Works In Progress
Project NameExpected Year of
Completion$000
Expected Cost to Complete
$000
Expected Total Cost of Project
$000
Racing Infrastructure 18/19 698 2,753
Wagering Infrastructure 18/19 2,803 25,216
Support Infrastructure 18/19 379 2,995
Image: Craig Staples returning with racehorse Great Shot after winning the 2017 Group One Railway Stakes
Racing and W
agering WA
Annual Report 2018
105
Other Financial Disclosures
Employment and Industrial Relations
Staff Profile
As at the end of the reporting year the number of people
employed at RWWA was 504 up from 482 in 2017. The
increase in headcount can be attributed predominantly
to the establishment of new roles within the Racing and
Information Services divisions. This included the formation of
the Racing Commercial Team, whilst within the Information
Services divisions three new project teams were recruited to
drive strategic and wagering outcomes.
Employee ProfileFull Time Equivalent (FTE)*
2017 2018
Full time 227 240
Part Time 27 33
Casuals 51 62
Maximum-Term Contracts 73 57
Total 374 392
*The employee profile is expressed above as full time equivalent numbers (FTE) rather than a headcount. FTE indicates the number of hours worked and paid, divided by weekly hours of 38.
Industrial RelationsWithin the reporting period the RWWA TAB Radio
Agreement 2015 and the RWWA General Staff Agreement
2015 were in operation and both of these agreements
have nominal expiry dates in August 2018. The RWWA TAB
Radio Agreement 2015 will continue to operate with an
administrative salary increase applied in line with the WA
Government State Wages Policy, and negotiations will soon
commence towards a replacement for the RWWA General
Staff Agreement 2015.
Racing Industry Safety, Health and Injury ManagementThroughout 2017/18 RWWA has supplied the WA
racing industry with the support and guidance to
ensure Occupational Safety and Health (OSH) risks are
managed and legal obligations are met through regular
communications and updates, publications, training,
audits and inspections to identify areas requiring further
improvement.
The focus for 2018/19 will be to continue to maintain a
proactive approach to managing risks and legal obligations
in the Occupational Safety and Health area, as well as
continued support and guidance to the racing industry as
we approach the introduction of new OSH legislation in
mid-2019.
Image: Bonnie Palise
Business
Overview
R
eport on O
perationsD
isclosures and Legal C
ompliance
1
2
3
106
Governance Disclosures
Contracts with Senior Officers
At the date of reporting, other than contracts of
employment or Directorship appointment, no Senior
Officers (Directors and Executives) or firms of which
Senior Officers are members or entities in which Senior
Officers have substantial interests had any interests in
existing or proposed contracts with RWWA. However,
it is noted that some Senior Officers own (in full and/or
part) racehorses and/or greyhounds that participate in
racing within Western Australia.
Insurance Premiums Paid to Indemnify Members of The Board
An insurance policy was undertaken to indemnify
members of the Board against any liability incurred
under sections 13 or 14 of the Statutory Corporations
(Liabilities of Directors) Act 1996. The amount of the
insurance premium paid for 2018 was $15,425.
2018
Aggregate amount of personal use expenditure for the reporting period
$788
Aggregate amount of personal use expenditure settled by the due date (within 5 working days)
$156
Aggregate amount of personal use expenditure settled after the period (within 5 working days)
$632
Aggregate amount of personal use expenditure out-standing at balance date.
$0
Unauthorised Use of Credit Cards
Officers of RWWA hold corporate credit cards where their functions
warrant usage of this facility. Despite each cardholder being reminded
of their obligations under RWWA’s credit card policy, 14 employees
inadvertently utilised their corporate credit card for personal use. The
matters were not referred for disciplinary action as the Chief Financial
Officer noted prompt advice and settlement of the personal use
amount and that the nature of the expenditure was immaterial and
characteristic of an honest mistake.
Image: TABtouch Park Cannington
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Governance Disclosures
RWWA’s Corporate Governance Principles
RWWA’s Board strongly supports the
principles of Corporate Governance and
is committed to maintaining the highest
standards within the organisation. This
is particularly important given that
RWWA has to balance commercial
decisions with the welfare and integrity
of the racing industry within a heavily
regulated environment. This is to ensure
that RWWA and the racing industry
remain viable and sustainable into the
future.
Board Powers, Structure, Composition and MembershipThe management of the business and
affairs of RWWA is under the direction of
the RWWA Board. Racing and Wagering
Western Australia Act 2003 gives
RWWA broad powers in relation to the
management of its affairs and also in
the management and regulation of the
Western Australian Racing Industry.
Whilst the Gaming and Wagering
Commission of Western Australia
regulates RWWA’s commercial wagering
activities, RWWA’s Board is not subject
to government direction. Part 2, Division
2 of the Racing and Wagering Western
Australia Act describes how the Board
is to be structured, its composition and
membership.
The Board comprises:
One chairperson appointed by the
Minister responsible for RWWA;
• Four members selected for their
expertise in management, finance,
business, commerce or information
technology, one of which has
knowledge of and experience in
regional development; and
• Three members representing each
of the racing codes, comprising
one representative from each code.
Boardroom Conduct and Relationships
The roles and delegated authorities
of the Board, Board Committees,
Chairperson, CEO and Executive
Members are clearly defined and
understood within RWWA.
Key roles of the Board include:
• Strategy – set goals and objectives
for the organisation and the racing
industry and provide strategic
direction and planning;
• Policies and procedures –
determine the organisation’s and
industry’s policies and priorities;
• Leadership and selection – appoint
the Chief Executive Officer;
• Monitor performance – monitor
the performance of the
organisation and management in
achieving its goals;
• Financial performance – oversee
the allocation of the organisation’s
finances and resources;
• Risk management – understand
the major risks involved in the
organisation’s operations;
• Relationship with the Minister,
regulators and other key
stakeholders – create a regular
flow of information to and from
the Board, public, employees and
industry stakeholders to contribute
to the marketing and maintenance
of RWWA’s good reputation; and
• Social responsibility – consider
the social, environmental, financial
and ethical impact on RWWA’s
stakeholders and the community
when making decisions.
Regulatory Disclosure and Stakeholders Communications A Board Member who has a notifiable
interest in matters involving RWWA must
conform to the following:
• Disclose this interest to the Board;
• Not vote on the matter; and
• Must not be present while the
matter or resolution is being
considered at the meeting.
However, if the Board has passed a
resolution that specifies the Board
Member, the interest and the matter,
and the other Board Members voting
for the resolution are satisfied, the
interest should not disqualify the Board
Member from considering or voting on
the matter (Sections 18 & 19, Schedule 1,
clause 8(1) of the Racing and Wagering
Western Australia Act 2003).
RWWA complies with the requirements
of disclosure as required by Racing
and Wagering Western Australia Act,
Financial Management Act 2006 and
applicable Australian Accounting
Standards.
RWWA maintains regular
communications with its stakeholders
through:
• Racing Industry Consultative
Groups;
• TAB Agents Advisory Council;
• Meetings with the Minister
responsible for RWWA; and
• Communications with employees.
Risk Management and Compliance
RWWA’s Compliance Risk and Legal
team is responsible for embedding and
maturing the organisation’s approach
to risk management and compliance, as
well as for the internal audit function.
The team reports quarterly to the Audit
and Risk Committee on risk, compliance
and audit matters.
The Board, through its Audit and Risk
Committee, assesses and monitors the
adequacy and effectiveness of the risk
management and compliance systems
and further oversight is provided
through various internal, external and
regulatory reviews, including the internal
audit program. The internal audit
program operates in accordance with
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an internal audit charter and the internal
audit plan. The risk-based internal audit
plan is compiled with reference to the
organisation’s key risks against which
other forms of assurance are mapped
to ensure targeted and effective internal
audit reviews.
Management also signs an annual
representation letter providing the
Board with assurance that its operations,
including financial reports, are based
on a sound system of risk management,
legislative compliance and internal
control.
IntegrityThe maintenance of the integrity
and fairness of the Racing Industry is
paramount to ensuring the confidence
and support of the public and participants
who support the Industry. In an industry
dependent on the public wagering upon
the outcome of races, it is imperative that
racing is conducted on a level playing
field and that the outcome of these races
is determined through honest means.
The importance of ensuring the
confidence of participants and supporters
is recognised by the Racing and Wagering
Western Australia Act 2003, by providing
an Integrity Assurance Committee
responsible for the primary oversight
of those aspects of RWWA’s functions
that relate to stewards, drug testing
and control, licensing and registration,
handicapping, racing appeals and rules of
racing. Critical to the regulation, control
and supervision of racing are the RWWA
Stewards, who are based at the three
codes of racing.
By virtue of the relevant Rules of Racing,
the Stewards are granted wide-ranging
powers in order for them to properly
control and regulate their respective
racing codes. It is the Stewards’ task
to ensure that the Rules of Racing are
adhered to and to investigate, determine
and where necessary penalise any
breaches of the Rules. The Stewards
are responsible for the conduct of race
meetings throughout the State in addition
to the conduct of all persons registered
in varying capacities in the various racing
codes.
Ethical Decision MakingRWWA considers the social,
environmental, financial and ethical
impact on RWWA’s stakeholders and
the community when making decisions.
RWWA has developed a Responsible
Wagering Policy to guide Board
Members, employees and TAB Agents
in the responsible provision of wagering
services and to ensure that RWWA
provides customers with the highest
standard of customer care.
Strategy, Planning and MonitoringTo fulfill RWWA’s Purpose, an annual
Statement of Corporate Intent and a
Strategic Development Plan (longer term
plan) are developed which documents
the plans, direction and vision for RWWA
and the Racing Industry. The Board
monitors and evaluates the progress of
implementing the Strategic and Business
plans of RWWA.
Encouraged Enhanced PerformanceAnnual budgets and business plans are
developed to meet the targets set in the
Statement of Corporate Intent and the
Strategic Development Plan and these
are linked into RWWA’s Performance
Management System.
SustainabilityRWWA considers sustainability an
important issue, not only for the
organisation but also for the Western
Australian Racing Industry. RWWA
believes that sustainability concentrates
on providing a sustainable future;
focusing on economic, environmental
and social elements.
Key initiatives include:
• Continuous OSH audits of all race
clubs;
• Responsible Wagering Program and
Code of Conduct;
• Equity and diversity within the
workplace; and
• Ensuring the financial viability of the
Western Australia Racing Industry
through financial practices.
• RWWA is committed to improving
its sustainability practices and
principles.
Governance Disclosures
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Other Legal Requirements
Other Wagering Costs
In compliance with section 175ZE of the Electoral Act
1907, RWWA reports that it incurred the following
expenditure in relation to account management, market
research, content, direct communications and advertising.
Total expenditure for 2017/18 was $18.33M and was
incurred as follows:
Record KeepingIn accordance with Section 61 of State Records Act 2000,
RWWA provides the following information in support of
compliance with the State Records Commission’s Standard 2
(Principle 6).
To maintain accurate records, a schedule is in place to conduct
testing of records integrity on an ongoing basis. This schedule
is used for checks of records held at offsite storage, on RWWA’s
intra-web and on central databases. The process includes cross
referencing of information recorded on the intra-web with
permanent and temporary records archived both onsite and
offsite.
Supplier$000
Advertising Agencies
Brand Agency 7,016
Market Research Agencies
Painted Dog 437
Media Advertising Organisations
Croc Media 283
Facebook 185
Twitter 12
Redwave Media 95
The West Australian 450
Western Sports Media (Sport FM) 36
Sky Channel 9,223
Signifi Media 339
Scott Hamilton Media 8
Media Agencies
OMD 84
Direct Mail
Engage Digital 34
Telstra SMS Services 47
Mobivate SMS 22
Mobivate Blackbook 5
Telstra Blackbook 57
Total 18,333
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Government Policy Requirements
Occupational Safety and Health
The RWWA Board and Executive team
continue to ensure a proactive and
positive approach to safety within the
organisation whilst also ensuring that all
health and safety legislative requirements
are met. The RWWA OSH Policy and
associated procedures seek to promote
the proactive management of workplace
safety, health and wellbeing throughout
all levels of the organisation by setting
measurable key performance indicators
that are tracked over a twelve month
period. The key performance indicators
have been identified in an effort to
control high risk work activities and
minimise risk exposure whilst improving
the standard of OSH management
throughout RWWA and the wider racing
industry.
2017/18 saw the expansion of the
RWWA OSH team with the addition of an
OSH coordinator, with a pure focus on
managing RWWA’s OSH obligations at
head office, whilst further OSH capability
was directed within the Racing Division
to the racing industry requirements.
This allowed for a greater focus of OSH
support to racing clubs, training centres
and GAP and Off the Track programs
whilst still improving the RWWA OSH
management system with updated
and strengthened policies, procedures
and providing a proactive approach to
risks at all RWWA divisions. In 2018/19
an improved safety induction process
for RWWA employees and contractors,
improved infrastructure, procedures and
training to support a progressive safety
culture within the workplace will be
progressed.
RWWA continues to maintain compliance
with the Workers Compensation
and Injury Management Act 1981
with the management of all workers
compensation claims including the
completion of return to work plans and
the provision of vocational rehabilitation
as and when required. For the next twelve
months this requirement will continue
to see regular workers compensation
claim reviews involving representatives
from RWWA and the insurer RiskCover
to ensure that active claims are being
appropriately managed and finalised in an
appropriate timeframe.
Insurance and Lost Time Injury Table
Measure
Results 2015-16(1)
Base year
Results 2016-17
Prior year
Results 2017-18(1)
Current reporting year
TargetsComments
towards targets
Number of fatalities 0 0 0 0 Target Achieved
Lost time injury and/or disease incidence rate
0.52 0.79 00 or 10% reduction in incidence rate
Reduction in total FTE numbers
Lost time injury and/or disease severity rate
0.26 0 00 or 10% reduction
in severity rateTarget Achieved
Percentage of injured workers returned to work (I) within 13 weeks
100% 100% 100%Actual result to be
statedTarget Achieved
Percentage of injured workers returned to work (ii) within 26 weeks
100% 100% 100%Greater than or equal to 80%
Target Achieved
Percentage of managers trained in occupational safety, health and injury management responsibilities, including refresher training within 3 years
71% 81% 61.76%Greater than or equal to 80%
Target not met due to
refresher training still being
undertaken
Note (1) The performance reporting examines a three year trend and as such the comparison base year is to be two years prior to the current reporting year (i.e. current year is 2017/18 and comparison year is 2015/16).
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