15 February 2023 | Tennis Queensland

The Queensland Government are introducing new law changes to the Associations Incorporation and Other Legislation Amendment Act 2020. These law changes are being proposed to reduce and improve internal governance for 23,300 incorporated associations in Queensland, including 3,750 that have registered as charities.

These changes do not affect the Tennis Queensland affiliate networks which is regulated by ASIC under the Corporations Act 2001 (Cth), but provides information to assist clubs and associations with identifying and complying with their relevant obligations under the Associations Incorporation and Other Legislation Amendment Act 2020.

For more information, The Queensland Government has provided this information guide: https://www.qld.gov.au/law/laws-regulated-industries-and-accountability/queensland-laws-and-regulations/associations-charities-and-non-for-profits/incorporated-associations/new-laws

Upcoming Changes in 2023

The Queensland Government has flagged upcoming changes in 2023, including:

• Grievance Policy: Associations will be required to include a grievance procedure. Currently, s 47A of the AI Act provides that an Association may (but is not obliged) to have one.  or dispute resolution clause in its constitution.
• Remuneration Disclosure: At its AGM, Associations will need to disclose remuneration and benefits to management committee members (and their relatives) and staff

A draft of these changes is yet to be released. If Associations make changes to accommodate these requirements, they may need to make further changes once the legislation is finalised.

In any event, Tennis Queensland have provided an example clause at Annexure A, which covers section 47A of the AI Act. Each Association will need to tailor this clause to their own Rules. The Remuneration Disclosure will unlikely require amendments to the Associations Rules but will likely require an update to AGM documentation.

Summary of Changes in 2022

The amendments to the AI Act in 2022 include:

• Charities: Reduction of duplicated annual reporting if your Association is also a registered charity under ACNC.
• Common Seal: This use is now optional. Please review your Rules to see if any updates are required.
• Secretary: The Secretary must be at least 18 years old (in line with other committee members)
• Management Committee Duties: The AI Act now clarifies the duty of care and diligence for the management committee.
• Insolvent trading: There is duty on committee members to prevent insolvent trading.
• Conflict of interest: A committee member must not profit from their position.
• Material personal interest: A committee member must disclose this at a management committee meeting and must not be present to vote on the matter unless permitted by the rest of the committee.
• OFT Inspectors: The Regulator’s powers are extended (including entry and seizure powers for records).