Fifth Meeting
10 April 2000
Outcomes of meeting held at Level 40, 242 Exhibition Street, Melbourne on 10 April 2000.
Attendance
Members:
Mr Paul Rizzo (Chairman)
Mr Don Challen (participating by phone)
Mr Leigh Hall, AM
Mr David Jackson (participating by phone)
Mr Jeffrey Lucy
Mr Charles Macek
Ms Jan McCahey (participating by phone)
Mr Graeme McGregor, AO (participating by phone)
Ms Anne Morant (Alternate for Dr Wright)
Mr Robert Nottle, CBE (participating by phone)
Mr Gary Potts
FRC secretariat:
Mr Michael Kooymans
Apologies:
Ms Elizabeth Alexander, AM
Mr Michael Ullmer
Adoption of agenda
The proposed agenda was adopted.
Confirmation of minutes of 28 February 2000 meeting
It was agreed that the draft minutes of the 28 February meeting would be considered at the following meeting of the Council.
Agenda item 1: Consideration of report of Sub-Committee on FRC functions
The meeting thanked the Sub-Committee, chaired by Mr Lucy, for its report. The Council endorsed the report, with agreed drafting changes, as a basis for the Chairman's advice to the incoming AASB Chair and, subject to feedback from the AASB, for the FRC's ongoing work.
As part of its consideration of this issue, the meeting further discussed the question of observer status at AASB meetings. It was agreed that, in view of the requirement that AASB meetings dealing with accounting standards be held in public (and given other opportunities for stakeholder involvement), observer status should not be granted to stakeholders in the accounting standard setting process. It was further agreed that there should be a standing invitation for the Australian appointee to the IASC Technical Standards Board to attend AASB meetings as a fully participating observer.
Agenda item 2: Other business
Mr Potts reported on the status of the Government's consideration of the appointment of the AASB Chair.
The Chairman noted that decisions by relevant stakeholders on funding of the new accounting standard setting arrangements were very close and that it should be possible to settle the matter at the next meeting or by correspondence beforehand.
The Council supported the Chairman's proposal that Mr Michael Ullmer be appointed as Deputy Chairman of the FRC. Mr Ullmer is accordingly appointed Deputy Chairman of the Council under sub-section 235A(3) of the Australian Securities and Investments Commission Act 1989 with effect from 10 April 2000.
There was a brief discussion of concerns apparently held by some staff of the Australian Accounting Research Foundation that their terms and conditions of employment could be adversely affected on transfer to the AASB. It was agreed that the FRC should be ready to step in if necessary to allay any such concerns.
It was agreed that the next meeting of the Council would be held around mid- to late-June 2000.