Cover image courtesy of Australian Turf Club
Nearly a year after Australian Turf Club Chairman Peter McGauran joined NSW Premier Chris Minns to announce a massive, city-shaping plan to sell Rosehill Racecourse for housing, the Select Committee on the Proposal to Develop Rosehill Racecourse has delivered its final report with five specific recommendations.
The Five Recommendations
That the NSW Government update the Ministerial Diary Disclosure requirements to mandate an accurate description of attendees, purpose and any conflicts of interest and extend these requirements to Shadow Ministerial spokespeople.
That the Legislative Council give consideration to establishing an inquiry into the operations of Racing NSW.
That the NSW Government conduct a thorough review of the Thoroughbred Racing Act 1996 which, among other things, considers whether the Act is fit for purpose.
That, as part of the reviews of the Thoroughbred Racing Act 1996 and the Prevention of Cruelty to Act 1979, the NSW Government have regard to the animal welfare issues raised in this report and the recommendations made in the 2021 report of the Thoroughbred Aftercare Welfare Working Group: The most important participant—A Framework for Thoroughbred Welfare.
That the Legislative Council reaffirm its support for the Parliamentary Evidence Act 1901 and the critical importance of witnesses to committee inquiries giving direct and honest evidence at all times.
While the report’s findings and recommendations address a range of issues - from transparency in government dealings to an appraisal of the realistic likelihood for the brick pit site as a replacement racecourse - one recommendation stands out for its potential to reshape the racing industry in New South Wales: the call for the Legislative Council to consider an inquiry into the operations of Racing NSW.
Crucially, this recommendation was put forward by Bob Nanva, a Labor MP and member of the current government, and supported by fellow Labor ministers Dr Sarah Caine and Peter Primrose. Nanva’s motion to include this recommendation underscores the bipartisan nature of the concerns, indicating an acknowledgment from within the government itself that Racing NSW’s operations may not align with their standards.
The report mentions serious whistleblower allegations against Racing NSW, including claims of alleged illegal activity and conduct deemed 'plainly not acceptable from a regulatory body.' The committee acknowledged the challenges of addressing these allegations without compromising the confidentiality of those who came forward, many of whom feared retaliation. It concluded that these claims 'are worthy of further investigation.'
Recommendation 3 urges the NSW Government to conduct a comprehensive review of the Thoroughbred Racing Act 1996 to assess whether the legislation is still fit for purpose. This review reflects concerns raised during the inquiry about the adequacy of the Act in addressing the current and future needs of the racing industry, particularly in terms of governance, wagering landscape changes and maintaining public confidence.
The committee also recommended that the NSW Government incorporate animal welfare considerations as part of its review of the Thoroughbred Racing Act 1996 and the Prevention of Cruelty to Animals Act 1979. Specifically, this recommendation calls on the government to have regard to the findings and recommendations of the 2021 report by the Thoroughbred Aftercare Welfare Working Group (TAWWG), The Most Important Participant: A Framework for Thoroughbred Welfare.
The committee’s report notes that the recommendations of the TAWWG report have not yet been implemented, stating:
“The committee was concerned to hear from animal welfare organisations regarding Racing NSW's responses to the latest research and expert opinions regarding animal welfare, and they have not taken steps to implement the recommendations of the (TAWWG) report.”
This lack of progress drew specific criticism from multiple submissions, stakeholders and the committee itself, highlighting concerns about the racing industry’s commitment to thoroughbred welfare.
The Rosehill position
The inquiry involved four public hearings, 127 submissions, and one site visit. Stakeholders ranged from racing authorities and animal welfare advocates to community groups opposing the redevelopment.
While the report acknowledged the potential benefits of the proposed housing development, it stopped far short of endorsing the proposal.
At the heart of the committee’s findings is a clear concern that the proposal to sell Rosehill Racecourse was mishandled by both the NSW Government and the ATC. The report paints a picture of a process characterised by haste, poor communication, and questionable adherence to probity standards.
Rosehill
The committee zeroed in on the government’s early championing of the proposal as premature and inappropriate. Guidelines for unsolicited proposals require impartiality, yet the report found that the government had breached these standards by publicly supporting the sale before the Stage 1 process was complete.
One of the most referenced findings involved a meeting on 30 October 2023 between Premier Chris Minns and Steve McMahon, the ATC’s Head of Membership and Corporate Affairs. The meeting was listed in the Premier’s diary as a “meet and greet,” but the committee found this description to be “inaccurate, misleading and (not) adequately describing the purpose of this meeting.”
The committee noted that the close relationship between McMahon and the Premier - who have been friends for over 20 years - raised questions about the impartiality of the government’s involvement. As the report bluntly stated:
“There was a perception among some people that the proposal… was either being led by the Government, or fast-tracked by the Government, without adherence to proper probity measures.”
Steve McMahon | Image courtesy of Australian Turf Club
The committee recommended updates to Ministerial Diary Disclosure requirements, ensuring that all meetings include accurate descriptions of attendees, purposes, and any potential conflicts of interest.
The fourth Sydney racecourse
The Brick Pit at Sydney Olympic Park was considered as a potential site for the relocation of Rosehill Racecourse and was a hot topic at the inquiries, however, the committee found it to be unsuitable due to critical environmental and structural concerns. In particular, the committee emphasised that “the Brick Pit site at Sydney Olympic Park is highly unlikely to be able to accommodate a racetrack due to environmental factors, including the endangered status of the resident green and golden bell frog population and the ongoing instability of land at the site.”
In addition to environmental concerns, the report mentioned that the physical condition of the Brick Pit posed serious logistical challenges. The committee's report described the site as having “ongoing instability of land,” a result of its history as a former industrial clay quarry. William Murphy, Deputy Secretary of Strategic Projects in the Premier’s Department, testified that stabilising the land for development would require 'extensive remediation and engineering,' leading to significant delays and cost increases.
The Brick Pit at Sydney Olympic Park
The committee also noted a lack of viable alternatives or contingency plans, concluding that “outside of the Brick Pit site at Sydney Olympic Park, which is unsuitable to accommodate an alternative racetrack, no other viable or feasible sites have been identified to create another racetrack in metropolitan Sydney”.
This lack of alternatives places further strain on the feasibility of the Rosehill Racecourse sale, with many stakeholders raising the importance of having a fourth Sydney racetrack.
The ATC’s response
In response to the report, ATC Chairman Peter McGauran assured members of the club’s full cooperation with the inquiry and reiterated its commitment to transparency, proper governance, and the interests of members.
McGauran described the project as a “unique and complex proposal; unlike anything the ATC, or in fact anyone, has attempted in Australia.” He confirmed that ATC Directors and management are continuing to refine the proposal in preparation for members to vote at an Extraordinary General Meeting on April 3, 2025.
Peter McGauran | Image courtesy of Australian Turf Club
While the Legislative Council report raised concerns about governance and transparency, McGuaran noted that the inquiry occasionally “drifted away from the core issues and became politicised.”
Despite the findings of the report, the ATC emphasised that it has adhered to proper governance practices in its dealings with the NSW Government.
Racing NSW’s response
Questions about Racing NSW’s response to the serious allegations raised in the Rosehill Inquiry Report remain unanswered.
Chair, Dr. Saranne Cooke, who holds extensive credentials in corporate governance, including completion of a doctoral thesis on the governance practices of ASX 200 directors, was asked by The Thoroughbred Report what decisive action would be taken in light of the whistleblower allegations raised in the Rosehill Inquiry Report.
These questions included whether she or Racing NSW CEO Peter V’Landys would step down pending investigations into the issues raised, and what steps the Racing NSW board would take to restore industry confidence in light of the major integrity concerns outlined in the report.
Cooke did not respond to the questions, instead TTR received a legal letter from Racing NSW’s lawyers threatening defamation action. The letter also stated Racing NSW were unaware of what the specific allegations are and that the allegations have not been put to Racing NSW for their response.
What’s next?
The feasibility of the Rosehill Racecourse unsolicited proposal, as it stands, appears to be hanging on by a thread. While the promise of 25,000 new homes and potential funding for the racing industry had positive aspects, the committee’s report exposed significant flaws in the proposal process to date.
The committee’s chair, Hon. Scott Farlow MLC, summarised the situation in his foreword, noting:
“Throughout the inquiry there was significant conflicting information that was presented, which asked more questions than it answered.”
“Throughout the inquiry there was significant conflicting information that was presented, which asked more questions than it answered.” - Hon. Scott Farlow MLC
The report’s 10 findings and five recommendations underscore the need for significant scrutiny before a Rosehill sale can proceed. Beyond the fate of the racecourse itself, the inquiry has become a flashpoint for broader debates about transparency, accountability, and the future of NSW racing industry leadership.
The NSW Government has three months to respond to the report. And while it is not obligated to act on the findings or recommendations, it must provide reasons if it chooses not to do so.
Ultimately, the committee stopped short of rejecting the sale outright. Instead, it called for greater transparency, adherence to proper processes, and further investigation into unresolved issues. With the report now referred to the Independent Commission Against Corruption (ICAC), its impact regarding government repercussions remains uncertain.
Hon. Scott Farlow MLC | Image courtesy of NSW Liberal
The inclusion of the second recommendation, consideration to establishing an inquiry into the operations of Racing NSW, will be of particular interest to readers of The Thoroughbred Report. Nanva’s motion is significant, as it signals recognition within government ranks that Racing NSW’s role warrants further scrutiny.
Such an inquiry into Racing NSW would likely focus on compliance with the Thoroughbred Racing Act 1996, its financial management, employee management, and its handling of stakeholder relationships. It could also explore broader governance concerns, such as whether Racing NSW’s current structure allows for adequate transparency and accountability.
For the racing industry and the broader community, this inquiry has gone beyond a review of Rosehill Racecourse. It has raised deeper questions about governance and stakeholder trust in the leadership of the NSW racing industry. Whether it can pass potential looming tests - and what format they might take - remains to be seen.
