One Sailing. The obligation of the Board of YWA to our Members is to ensure that YA delivers – that the opportunities for improvement identified in the One Sailing proposal manifest. YWA will co-operate fully and constructively with YA and the other MYAs in our joint endeavour to implement Phase 3 and deliver the opportunities for improvement identified in the One Sailing proposal. For the sake of clarity, during Phase 3 of “One Sailing”, it is envisaged that the scope of activities of YWA will not be diminished, but the qualitative and quantitative outcomes will improve. The Board of YWA will undertake regular reviews to assess how well the One Sailing program is working. The YWA General Manager and his staff, along with the Sub-Committees of YWA that will remain in place, will report to the YWA Board on the progress and outcomes from Phase 3 independent of the reports that will be provided by YA’s CEO. This assessment will form the basis of its decision by YWA whether or not to progress to Phase 4 (adoption of a One Company structure). The decision to opt out can be taken at any time, although it is not envisaged that this would be before Phase 3 of One Sailing has been in place for at least six months.

### Next Steps

At the Federal Assembly of YA to be held on 1 August 2015, the members of YA (the 7 MYAs) will be asked to pass a resolution to proceed with Phase 3 of One Sailing. At this time the position of each MYA is: (cid:0) Yachting NSW – Board has agreed to move to Phase 3 (cid:0) Yachting QLD – Clubs have approved a motion to progress to Phase 3, with safeguards as agreed by the YQ Board and YA (cid:0) Yachting VIC – Board have issued a statement supporting moving to Phase 3 following agreement on safeguards. The Board meets on 21 July to formalise their position (cid:0) Yachting NT – Board has agreed to progress to Phase 3 (cid:0) Yachting TAS – Board have agreed to progress to Phase 3 (cid:0) Yachting SA – Board meets 22 July – expected to agree to progress to Phase 3 (cid:0) Yachting ACT – Board meets 24 July - expected to agree to progress to Phase 3

Following this, the MYAs and YA will proceed with the functional alignment and re-assignment of roles and secondment of personnel between YWA and Yachting Australia (YA). The steps to be taken, set out in the Case for Change previously circulated, require:

- 1. Scoping of an Integration Plan for each MYA by function, including the operational requirements of YA to support each function.
- 2. Development of a detailed organisational structure for One Sailing that takes into account the particular requirements of each MYA.
- 3. Scoping of detailed Transition plans – overall and by MYA.
- 4. Review of YA and MYA committees to ensure appropriate integration into the new structure.
- 5. Based on the Transition Plans the financial arrangements between MYA and YA and provisions for staff transition can be determined.

### What do we ask of you?

First, keep an open mind to the changes that will be made, and cooperate in their implementation. Second, critical to the success of Phase 3 is securing the sailing participation development funding from the ASC for 2015/16. A decision at the Federal Assembly of YA on 1 August to proceed with implementation of the One Sailing reforms will result in Yachting receiving $546,000 from the ASC in 2015/16. That’s the good news! The bad news is that as part of the ASCs participation game plan the ASC has developed a new participation investment model based on a categorisation approach and framework. This new framework will be implemented in 2016/17, and in essence means that future participation grants to YA will be solely determined by participation data from the Australian Bureau of Statistics (ABS) and data gathered through the ASC’s Annual Sports Performance Review (ASPR). At present, sailing is categorised as a tier D sport. The base level of funding for YA in 2016/17 is therefore $200,000. If we allow that to remain the case YA will lose $346,000 in ASC funding next year, which would be devastating to our sport. The simple answer is to have sailing re-categorised as a tier C or B sport. To do that we need to increase the number of registered participants on My Club. It is as simple as that! Currently we believe around 30% to 40% of all Club members and regular participants are registered. If we lifted this to 60% we believe we would be categorised as tier C and receive $400,000 in ASC funding in 20156/17. If we were to register closer to 100% of Club members and regular participants, we believe we could be categorised as tier B and receive $600,000 in ASC funding in 20156/17. I appreciate that some Clubs fear that registering more Members and regular participants on My Club will result in their YWA subscription being increased. This is not correct: (cid:0) The YWA banding system that has been in place for 15 years is not simply based on membership numbers. There are many other considerations. I have attached a summary of the Banding system that was last endorsed by Member Clubs and Associations at the May 2013 Members meeting.