Rugby: HBRFU posts 20th consecutive surplus

Union CEO Jay Campbell (left) and financial director Mike Smith check the figures before last night's meeting. Photo / Paul Taylor

The pressure was on Mike Smith at last night's Hawke's Bay Rugby Football Union annual meeting in Napier.

The bloke he replaced as the union's financial committee chairman, Dan Druzianic, had delivered two consecutive surpluses and, in the wake of a turbulent 2017 season which saw more dwindling crowd figures at Magpies fixtures and four board members resign, there was considerable interest in whether or not Smith would deliver.

He did with a $15,334 surplus. While it was the union's 20th consecutive surplus it was $186,914 less than the previous year's surplus.

Total revenue dropped $153,052 to $4,264,159.

"Sponsorship and gaming grants were down as were gate takings and that is aligned to team performance," new union CEO Jay Campbell said, referring to the fact the Magpies under achieved for the second consecutive season.

NPC match income dropped $21,410 to $92,779.

However, for the second consecutive year the union's equity was more than $1 million ... $1,169,492 to be precise, an increase of $15,335 on last year's.

The New Zealand Rugby Union's grant increased by $24,850 to $1,630,743.

Total expenses for the union dropped $248,551 to $4,230,961. Expenses for the Magpies amounted to $1,792,301 and the meeting heard a big factor in this was wages for injured Super Rugby players as well as their replacements as injured Super Rugby players don't receive ACC payments directly.

The NZRU manages rehabilitation and costs for injured players on behalf of ACC as part of the accredited employer programme.
Smith told the 62 delegates the union will aim for a $10,766 surplus during the 2018 season. "We're in a tough environment," he added.

The only contested election at the meeting saw incumbent director Mark Hamilton beat Hawke's Bay Racing Centre CEO Andrew (Butch) Castles 21-11 for an elected director's position. Two co-opted board members will be elected at the next board meeting.

Smith, who retired by rotation, is seeking one of these positions and Colin Francis has retired by rotation and won't be seeking re-election. Along with Smith, MAC's Anthony Morley, Castles, Napier Old Boys Marist's Craig Riddiford, Union's relationship manager Danny Gough and union life member and former NZRU director Richard Hunt are seeking election to one of the two berths.

Former All Black, Magpies great and former union president Blair Furlong was awarded life membership.

Hastings Rugby and Sports delegate Jack Sanders asked the board about progress on the review of the constitution.

"We've got four new board members, numerous staff changes including the departure of the CEO ... I'm concerned about where we are going and what succession plans have been put in place. The chairman has been there for some time ... we need change, we shouldn't stand still," Sanders said.

"I'm concerned about the income the board isn't generating," he added.

In reply to Sanders board member Mavis Mullins said that constitutional review is on the radar. "Hopefully by this time next year it will be done and dusted."

The meeting approved the Bridge Pa Sports Club's application for affiliation. The club aims to field a fifth grade team this season.

"We've got the wave of a new generation coming through Bridge Pa. We want to provide our kids with an opportunity to represent the community they live in," club spokesman Ihaka Waerea told the meeting.

"This is the legacy I want to leave for my kids," he added.

Officers elected: Patron, Neil Thimbleby; president, Paul Daniel; chairman, Brendan Mahony; directors, Peter Fleming, Grant Gilbert (co-opted secondary schools rep), Mark Hamilton, Steve Lunn, Mavis Mullins, Mike Smith, Mark Sowman.