Trading Result
The Board can report a cash surplus of $64,050 for the trading year 2023-24. This number will reduce
after taking into account non-trading items such as tax, depreciation and interest. The final surplus will be
circulated with annual meeting information.
The result is solid and reflects budget expectations. More importantly, this surplus builds our capital
base for future major capital works. Members are urged to consider the full statutory accounts with
their AGM papers.

Governance
In the next weeks our Company Secretary will be posting out information regarding annual statutory
governance requirements. He will be calling for nominations for director positions, circulating notices of
general meeting, trading information and seeking notices of motions.
This is the time for members to consider the performance of their Board, their investment and general
operations of the Marina. Your interest in these functions matters.

Capital Works Program
Over the years capital works have suffered from an ad-hoc approach. This approach has lacked
consistency, efficacy and most importantly, relevance to annual budget preparation and management.
While operating budgets account for normal repairs and maintenance, the larger expenditures
(generally greater than $10,000) demand greater analysis and due diligence. The Board is currently
undertaking a whole-of-business approach to building a 10-year capital works program that will run in
parallel with annual operating budgets.
A well thought out and costed capital works program is critical, especially in terms of our Head Lease
renewal where Government expectations state that Marina assets must be kept up-to-date and fit-for purpose. A further influence is the increasingly obvious need for overall modernization of the Marina
precinct, notably the buildings.
Unsurprisingly, funding of capital projects is difficult for a company limited by guarantee. The only
avenue to accessing capital is from retained earnings (trading surplus’) and special levies. Only after
capital projects are identified and costed can we turn to such funding options.
The Board is keen to keep members appraised of the program, indeed, would welcome member input
and comment in the deliberations. Updates will be circulated over ensuing months as this work unfolds.

Satellite Mooring
As intimated in the last KM News the Board is revisiting this project. The Board has decided to pursue
again the establishment of a 6-berth hexagonal mooring in the middle of the ‘pond’ adjacent to the
Marina.
This will require a feasibility exercise to be completed by early in 2025. A critical component will be
gaining approval from the Department of Resources to extend MOL’s Head Lease….this process is long
and complicated. As noted previously, we already have notional support from another authority, MSQ.
The commitment of capital will be considered as part of the abovementioned Capital Works Program.

AGM Notice
This is an early reminder of the 2024 AGM which is set down for 4:00pm Friday 29th November 2024.

Head Lease Renewal

While the Head Lease is not due for renewal until 2038, the Board has a duty to all members in ensuring long range planning for that important event. The planning involves making sure no issues exist in Marina operations that conflict with any terms in the existing Agreements which may adversely impact the chances of renewal.

As part of this planning, the Board is conducting a due diligence exercise in examining all Marina operations for compliance with existing Agreements, Policies, Procedures and Rules and put in place an action plan, to ensure compliance and address any discovered variances.

This will include things such as the Marina precinct and berth boundaries, acceptable use of berths and ensuring berths with private tenants are assessed in accordance with policy.

If any discrepancies are identified, Action Plans will be put in place to correct contraventions. Members will be notified of such plans as well as any resulting changes to overall Marina operations.

The Board understands some individual situations maybe affected, however, as members would expect, the Board needs to consider the rights of all members in exercising its duty of care.  The Head Lease renewal is the most fundamental and important element of operating the Marina into the future.

Occupancy Rate

Members who have their berth in the Rental Pool will again receive a good return this year. This in mainly due to the high occupancy rate, always in excess of 95%. The financial returns that flow from this statistic are expected to mirror the last period.

Limited berth supply with high demand drives rental prices. We continue to maintain a watch on all southern Queensland marina prices. Of course, during the winter months, the occupancy drops marginally as boats head north but this annual trend has little impact on the overall Rental Pool results.

Berth Sales

We have experienced another buoyant year for berth sales. Recent years has witnessed steady ‘liquidity’ in the turnover of berths, 14% turnover in 2022-23 and 10% turnover this year-to-date.  Early expectations for the next financial year suggest a continuation of this trend.

Manager’s Absence

James Freeman will be absent on leave for the two weeks beginning 25^th June.

As usual, Fiona Young-Moir will be acting manager for that period.

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