All voting members have received the Special Resolution proposing changes to the Board and elections. These proposed changes have been brought about by Government. Clubs New South Wales has formally advised that the Registered Clubs Amendment 2013 has been proclaimed and imposes that the NSW Government requires that as of 1 July 2016 a board must not exceed 9 directors –
“Any club whose constitution currently provides that the board consists of more than 9 directors will be required to amend their constitution in order to comply with the regulation.”
Clubs NSW also detailed that it understands that “the Government does not intend to make regulations allowing for controls to facilitate two year (biennial) or three year (triennial) rolling elections. It is anticipated that these reforms are to be adopted by the industry voluntarily.”
We understand that the NSW Government has made these changes and recommendations with a view to improving the stability of Boards in clubs with the aim of providing better corporate governance. The Board of The Lakes Golf Club spent the first part of 2014 discussing this advice. We understand and are committed to providing best practice in corporate governance; stability and continuity at Board level are important elements in achieving this. In discussing the recommendation for biennial or triennial rolling elections the Board considered a number of points including:
- the time commitment prospective Members make in nominating for the Board is substantial; increasing this from the current one year commitment to a three year commitment was too great a step and may preclude some talented and suitable Members from nominating.
- the Club’s long standing custom of President’s and Captain’s serving for the maximum four years; the triennial option would stop this custom and either require extension to a maximum of six years or more likely result in one three year term.
The Board therefore resolved that it be proposed that the Board of our Club be reduced to 9 persons with biennial elections subject to Member feedback. On two occasions the Board sought the Member’s feedback in relation to this pending change and received no formal feedback proposing alternate changes. Hence the Special Resolution that was recently distributed to all voting Members in preparation for the upcoming Annual General Meeting. Please feel welcome to contact the General Manager Andrew Kirkman if you require additional information or clarification.