Trot Insider has spoken with Standardbred Canada's Audit & Governance Committee Chair Bob Roach in regard to the committees' recent report to the Board
of Directors.
Essentially, the report consists of three parts: the financial management of the Board; the results of the Board's self assessment; and recommendations.
"In regard to the financial management, things are handled very well by Rosenna (SC's Chief Financial Officer, Rosenna So)," Roach told Trot Insider. "Her hard and thorough work makes the auditing much easier. From a financial management point of view, the audit is in very good hands."
In terms of the Board's self assessment, 17 directors completed a form which was used as a tool for feedback on the effectiveness of how the Board operates.
"It's a unique committee appointed by the Board to report on the Board," Roach explained. "The committee has two primary responsibilities. The first responsibility has to do with the financial management of the corporation -- ensuring that the proper controls are being implemented. The second responsibility of the committee is to make recommendations back to the Board in respect to the effectiveness of the organization."
Roach noted that items on the Board's self-assessment came back very high, but the report does outline certain categories.
"Most points ranked very high," he explained. "The report outlines categories in which the lowest numbers were reflected. The three categories which were touched on in the report produced rankings in the mid to high 'sevens' (out of 10), which are still good numbers. Basically, what it indicates is that the Board feels that it is doing a good job, but that there is room for improvement."
The final section of the report deals with key recommendations for the Board.
"There were many key recommendations this year, but one of the most important ones is that they (the Board) should meet three times per year. Thus, the Board will meet three times in 2010. A spring meeting has been added, which will be done via teleconference. It costs roughly $30,000 to bring all the directors together from across Canada. With today's technology, we have the ability to get together via teleconference.
"The Board just felt that there was too much of a gap between meetings. With the turmoil that the Canadian standardbred racing industry has seen over the past year -- the situation in Quebec being a prime example -- and the industry changing so quickly, the Board felt that there was just too much of a gap between meetings."
Roach also stated that with this being an election year -- and since there are nine Board members with their three-year terms up -- it has been strongly recommended that the Board strive for a minimum of two candidates for Active and Breeder elections to avoid acclamations. He also stated that since the Canadian racing landscape is vast and broad -- and since many individuals within the industry are virtually unknown to each other, not including his/her name -- outgoing directors should be strongly encouraged to find potential replacements for the Board, and that resumes should accompany all nominations for director positions.
To view a copy of the Audit & Governance Committee Report, click here.