Background and F.A.Q

The Foundation provides a structure for fundraising and professional investment of funds with a view to the North Cottesloe Surf Life Saving Club remaining a place for our families and in our community in 100 years’ time.

The creation of the Foundation allows the Club’s Board to focus on the day-to-day and seasonal operations of the club, whilst the Foundation focusses on building and managing the club’s long term financial health.

NCSLSC’s Board of Management currently oversees a surf club with over 2000 members and takes on the responsibility of providing an incredible breadth of education, surf lifesaving, patrol and competition opportunities every season.

The Foundation will provide a dedicated entity with a sole focus on the long-term financial stability for the Club for the next 100 years. It will encourage philanthropy within the membership and the broader community to ensure the success of the Club long into the future.

The Club is one of the few clubs that owns its club facility. These facilities are usually owned by the local council or similar bodies. As such, the Club needs to ensure it has the funds on hand in order to rebuild or refurbish the building when it is needed. Given the anticipated cost of that exercise, substantially more funds will be needed than currently at hand.

The project to establish the Foundation commenced approximately four years ago.

During the initial research stage, the working group contacted other clubs around Australia that have fundraising entities to discuss the various structures and the benefits and downfalls of each. Discussions were also held with the Surf Life Saving Foundation particularly around the Rescue Fund and the Legacy Program (bequest program).

A number of options have been investigated throughout this process including various direct investment funds, using the existing charitable status of the NCSLSC to establish a trust deed and establishing the Foundation as a public ancillary fund.

The advantages and disadvantages of each option were discussed at length with both the Foundation Working Group and the NCSLSC Board of Management along with professional legal and financial advice from friends of the Club.

With the firm intent of growing a corpus for the long-term success of the Club and to encourage philanthropy within the membership and broader community, we believe the final decision to establish a new public ancillary fund, which is registered by the ATO, with the sole purpose of providing money, property and benefits to the NCSLSC as a Deductible Gift Recipient (DGR) is the best outcome. The Board of Management approved this model in June 2023.

The advantages of this structure are:

• It is clearly separate from the NCSLSC from inception and all donations are made direct into the NCSLSC Foundation in which case the operational liability of the NCSLSC cannot be tied to the NCSLSC Foundation.

• All third-party donors would take comfort in the fact the NCSLSC Foundation is registered by the ATO as a public ancillary fund. While we have not checked, a big company may have a requirement that donations only be made to a registered fund.

• There is an audit requirement and ATO oversight of the NCSLSC Foundation which will also provide greater comfort to the third-party donors.

• This structure makes it clear that the NCSLSC is taking the set up of the NCSLSC Foundation seriously.

The Club Board considered the appropriate amount to contribute to the Foundation over the course of many months.

It is not unusual for the establishment of a Foundation to receive an initial contribution from the parent organisation. The initial donation of $1m by the Club provides the Foundation a sizeable initial corpus and is a demonstration to members and potential donors of the level of its commitment to the Foundation’s success.

As part of its considerations, the Board considered membership and sponsor outlook, potential capital requirements (eg refurbishments) and day to day operational demands.

The Club has around $1.5m in cash / term deposits and our judgement is that retaining $500k is a conservative position to guard against any unforeseen cash requirements over the next 4 - 5 years, before grants are able to be made from the Foundation.

Members were asked at a SGM on 11th October 2025 to endorse this initial seed contribution which was unanimously approved.

The Foundation’s Board comprises of professionals with particular qualifications related to the management of funds, as well as legal, financial, governance, accounting and fundraising skills.

The Board will appoint and be guided by professional financial advisors with the requisite Australian Financial Services (AFS) advisory licences, to ensure prudent investment in line with a defined and relatively conservative risk appetite approach to the investment of the Foundation’s funds from time-to-time.

An AFS licence holder can give product advice and deal in financial products. Holding an AFS licence requires meeting specific competence, financial, and conduct standards, and individuals need to complete professional requirements such as ASIC’s financial adviser exam.

The Foundation is being set up with an Investment Charter aiming to deliver an annual return of CPI plus 4% after fees on a rolling five year period. The Foundation’s financial advisor will provide written reports to the Foundation’s Board on a regular basis.

The Foundation must operate in accordance with the Investment Policy to ensure funds are invested in an appropriate way and in accordance with agreed risk tolerances. The Investment Policy is approved by the Club Board.

The Foundation Board is made up of qualified professionals. The ATO requires that a majority of the Foundation Board must be Responsible Persons as required for a public ancillary fund.

The Foundation Charter outlines the requirements of the Board of the Foundation, in summary these are:

• The Foundation’s Board shall comprise a minimum five Directors with a mix of qualifications, experience and expertise.

  • A minimum two (2) Directors who are also a member of the Board of the Club (Club Directors);

  • The majority of the Foundation Board shall be comprised of a minimum three (3) Directors who are not on the Board of the Club (Independent Directors). 

Each Independent Director is required to be a Club member and approved by the Club;

The composition of the Board should aim to include a diversity of genders, ages, and experiences so as to equitably represent the Club’s membership and community expectations.

Yes – The Foundation is registered as a public ancillary fund, which means that it can accept tax-deductible donations from both North Cottesloe SLSC members and also members of the public. The Foundation is a registered charity with the Australian Charities and Not-for-profits Commission.

The Foundation will operate its own financial accounts and manage its investments which will be reported quarterly to the NCSLSC Board of Management and audited annually.

At all times the Foundation must comply with ATO, ASIC and ACNC regulations.

The Foundation is a public ancillary fund and has two primary annual reporting obligations:

(i)                  lodging an annual information return with the Australian Taxation Office (ATO); and,

(ii)                 as a registered charity, an annual return will be lodged with the Australian Charities and Not-for-profits Commission (ACNC).

 The ATO return requires details of income, expenses, and distributions, and a minimum annual distribution of 4% of the Foundation’s net assets to be met (commencing 4 years after the Foundation’s establishment- IE  in 2029).

The Foundation has been established to raise a significant amount of capital within an initial period of 4 years and, beyond mandatory distribution requirements imposed by the ATO, there is intended to be minimal distributions provided to the Club during that four year establishment period. Grants will commence from 2029 and it is not expected that there will be a major distribution event for up to 10 years.

There will not be any grants made for the first 4 years of the Foundation (i.e. from 2025 to 2029), and thereafter, the Foundation will consider applications for grants according to the Grants Policy (LINK).

Applicants will initially make their application via the North Cottesloe SLSC Board, which will recommend various grants for consideration by the Foundation.

To qualify for eligibility, Grants will need to be in one of the categories specified within the “Three Pillars”

The Club has established the Foundation and is the sole shareholder.

The Club retains ultimate control over the Foundation and funds. If it is absolutely necessary, the Club could change the Foundation Board or wind up the Foundation.

Given the clarity provided by governance documents such as the Foundation Charter and Investment Policy along with representation on the Foundation Board by Club Directors, it is expected that the Club and Foundation Boards will be closely aligned.

Importantly, the Club can call on funds in a crisis and if the Foundation is wound up, funds must be returned to the Club.

Under the Charter of the Foundation, the Club will appoint at least 2 of its own Board members to sit on the Foundation’s Board at any time.

The Foundation has been discussed for a long time and originally only considered the potential funding of a new building or major renovations.

During the strategic planning process undertaken in 2021 there was extensive engagement with the NCSLSC membership and community. During this process, opportunities to support leadership development, the community and the environment were identified.

The Working Group has taken the information developed during that process and refined it into the Three Pillars that the Foundation will support which are specified under the Charter.

1. Safeguarding our Home – The clubrooms are more than just a building - they are the heart of our lifesaving service, our sense of belonging, and where future generations develop vital skills. The Foundation will ensure that our facilities remain safe, welcoming, and fit for purpose so that members, volunteers, and the community can continue to train, learn, connect, and serve for years to come. The Foundation will support major long-term building and club infrastructure projects.

2. Growing Tomorrow’s Leaders – Lifesaving shapes leaders. The Foundation will support access to vital leadership skill development, equipping current and future generations with resilience, responsibility, and the ability to serve their community for years to come.

3. Extending our Community Service - Along with servicing people, we want to serve and preserve the place. The Foundation invests in community engagement, environmental stewardship and coastal preservation programs to ensure our beach remains pristine, safe, and accessible for future generations to enjoy, just as it is today.

The Foundation is intended to support the Club with a focus on the long-term. As such, day to day operational and seasonal expenses will remain the responsibility of the Club and will not be eligible for funding by the Foundation.

The Charter defines the areas which the Foundation will support and the Club may determine different areas to support in the future. At that point it may elect to work with the Foundation to amend the Charter.

An experienced and credentialed Working Group has come together to deliver the activities required to get it up and running comprising

• Kelly Moss (Life Member)

• James Forbes (Chair of Strategy and Governance)

• Roger Steinepreis

• Michael Silbert

• David Andrews

• Ash Gely (Marketing & Partnerships)

• Pat Walsh (President)

• Bob Hunter (Chair of Lifesaving)

• Matt Stiller (General Manager)

To contact the Foundation and for more information, please see details on the <Contact> page.