Russell Balding's two-year extension axed in late-night parliamentary drama

Dramatic scenes unfolded in the Legislative Council of the Parliament of New South Wales late on Thursday night, as opposition and crossbench members banded together to force amendments to the Thoroughbred Racing Amendment Bill 2023.

With the changes enforcing further oversight on the body, the Minns Labor Government sensationally voted against their own bill once returned to the Legislative Assembly, changing the landscape of racing administration in New South Wales.

How did we get here?

Over recent weeks, The Thoroughbred Report has provided extensive coverage of the Thoroughbred Racing Amendment Bill 2023, both on the progress made, and the potential ramifications on the wider industry.

In mid-November, the Minister for Racing and Gaming, David Harris MP, announced he would be introducing legislation to extend the tenure of Racing New South Wales Chairman, Russell Balding. It was set to be the third extension to Mr Balding’s term, who was initially set to be capped at eight years of service in the position, a deadline that passed in December 2019.

Two 24-month extensions were introduced by then-Minister for Racing and Gaming, Kevin Andrews MP, who supported the proposed third extension of Mr Balding, albeit in opposition.

Strong opposition was immediately present to the third extension, with industry figures such as Gai Waterhouse, John Messara and Katie Page-Harvey voicing concerns about the unprecedented planned extension, one that Mr Harris has consistently maintained is essential for the corporate continuity of the body.

On Tuesday, the bill was debated in the Legislative Assembly, commenced by a 40-minute monologue from Mr Anderson, discussing at length the benefits of racing to the New South Wales economy, the regions, and the value of Mr Balding’s tenure. Numerous MPs weighed in, on both sides, including Ray Williams, a former trainer and current member for Kellyville, who spoke in favour of Balding and against proposed amendments to the bill tabled, concluding his speech by comparing corporate oversight to ‘wokeness’.

“That is the woke generation, Mr Assistant Speaker. Those people are forcing us to keep flicking through people and putting probity measures in place, but they are people raising an argument about something they would know bugger-all about.”

After further debate, including contributions from independent MP’s Helen Dalton and Alex Greenwich, the proposed amendments fell afoul of lower house standing orders, which prevented alteration of the bill beyond the original intent. Despite the setback, Mr Andrews, who supported both an extension to Mr Balding and increased oversight, vowed to keep the amendments alive.

“The opposition will seek to move them in the upper house,” Andrews said prior to the vote on the bill.

With the lower house voting 77 to eight in favour of the bill, Thursday was set as the date for debate in the upper house.

An extraordinary evolution

Thursday’s tumultuous day featured a number of prominent figures drawing their lines in the sand, including Racing New South Wales Chief Executive Peter V’landys, who attended parliament with a police escort.

V’landys spent his visit reportedly meeting with coalition MPs in an attempt to gain a buzzer-beater style reversal of the opposition’s intent to introduce the previously touted changes. Speaking to the Sydney Morning Herald, V’landys stated he was there to “brief the opposition on any unintended consequences of their proposed amendments,” at the invitation of Mr Anderson.

Another figure, arguably the headliner, Russell Balding, was also spotted at Parliament on Thursday, although he denied his presence had anything to do with the imminent vote on his future, saying, “I was there in an official capacity in relation to one of my other board roles.”

The Daily Telegraph also reported that there was fierce lobbying against the extension of Mr Balding, asserting that Thoroughbred Breeders Australia Chief Executive Tom Reilly also attended parliament to plead his case.

Just prior to 9.30pm on Thursday night, the bill was introduced to the upper house, commencing an extraordinary two hours of parliamentary debate, with input from all sides of the floor. After a re-reading of Mr Harris’ speech in the lower house, the coalition Leader of the Upper House, David Tudehope MP, announced that, “The opposition does not oppose the bill. However, the support is conditional upon amendments that we will move in the committee stage that we believe will strengthen the accountability and transparency relating to the manner in which the Act is applied.”

Speeches were subsequently made by Emma Hurst MP and Mark Latham MP, the latter pouring on pressure for the government to act transparently and to stamp out “cronyism” within the appointment process. Latham also raised concerns about staffing, previously spoken about by this publication, saying, “There are workforce issues. Not many young people coming out of school want to be farriers. Where are the farriers and stable hands of the future?”

After further input from all sides of the political spectrum, amendments to give the Auditor General oversight of Racing New South Wales, as well as further ministerial accountability were voted on, with 20 voting in favour, and 17 against.

More amendments to the original bill were proposed by The Greens and The Animal Justice Party, which were negatived without the need for division. With completion of debate and voting on amendments, the final version of the bill was voted on in the upper house, with some of the most extraordinary scenes out of this entire story.

Spirited points of order were fired in regarding members of the government voicing a ‘yes’ vote when required to vote by voice, but sitting on the ‘no’ side for the division. Numerous MPs objected, citing standing orders that require members to align their vote by voice with their vote by division.

After the dust settled, the bill, in its amended form, passed with 27 votes in favour, compared to 10 against.

End of the line for Mr Balding

With the bill now back in the lower house, it became very clear that there had been a significant shift in governmental intent, with David Harris telling the house the bill was no longer supported by the government.

“In proposing the extension of the term of appointment for the current chair, the Government set clear public expectations for the board of Racing NSW, including those in relation to increased transparency around welfare and rehoming, greater support for provincial racing and continued commitment to supporting a responsible, sustainable and competitive racing industry. The opposition amendments achieve none of those aims but instead hinder the ability of Racing NSW to effectively oversee and deliver commercial success for the New South Wales thoroughbred racing industry.

“Hampering it with those unnecessary requirements risks making Racing NSW uncompetitive with other Australian racing jurisdictions. The opposition’s amendments do not address the purpose of the Government's bill, which is to ensure Racing NSW retains the corporate knowledge and expertise to position for further success. That is why the Government cannot support the amended bill from the other place.”

Despite Mr Harris consistently maintaining that Russell Balding should retain his position, for a host of reasons including ‘corporate continuity’, his speech at 1.30am on Friday morning, splashed against a backdrop of weary, and in some cases agitated, MP’s signalled that the Russell Balding era of Racing New South Wales has come to its conclusion.

Just before 2am, the bill was officially laid aside, ending fleeting considerations of increased governmental accountability for Racing New South Wales, as well as the tenure of their chairman.

The fallout

With just 18 days until Mr Balding vacates his position, Racing New South Wales find themselves in the unenviable position of finding his replacement, one that can successfully navigate the numerous complexities of the industry, within three weeks.

Reaction on Friday was sweeping, Leader of the Opposition Mark Speakman said in a statement that, “Chris Minns (Premier of New South Wales) promised transparency, better standards and accountability, but failed at the first hurdle. Instead of proceeding with the bill that they told us was absolutely necessary, they decide to abandon it rather than accept stronger oversight and governance.”

David Harris also had his say on the matter, telling Newscorp, “It makes no sense to burden Racing NSW with these additional requirements and risk making it uncompetitive with racing jurisdictions to fix a problem that is not the subject of this legislation.”

While Mr Harris argued against increased oversight and reporting obligations for Racing New South Wales, one man that, at least publicly, is not opposed, is Peter V’landys.

“I also provided an option where we could be under greater scrutiny to parliament,” V’landys told the Sydney Morning Herald.

“We welcome this as it gives us the opportunity to correct the significant misinformation which borders on dishonesty that has been said about Racing NSW during this week.”

When pressed on what those measures may look like, V’landys had less to say, citing that his plans are, “confidential at this stage.”

Participants will have to await the new appointment of a Chairperson to see what steps will be made, with staff shortages, equine welfare and facilities still needing attention, irrespective of who is in charge.