By Michael Newhouse
GAMING venues around the City of Brimbank may face tighter community-benefit reporting restrictions, after growing concerns over venues using the scheme to filter money to the clubs and not the community.
The State Government announced a review of the community-benefit arrangements, which are designed to encourage gaming venues to push pokie revenue back into the community and local groups.
Some pokies venues in Brimbank have been claiming employee wages, bottle shop refits, and computer equipment as part of their annual community benefit statement.
One venue claimed a $60,000 bottle shop conversion during the 2005/2006 financial year, and another claimed more than $230,000 spent on cleaning contracts.
To maintain a tax-break, gaming clubs across Victoria are required to spend at least 8.33 per cent of their poker machine revenue on projects that benefit the community.
The problem, according to councils and gambling-help groups, is that the definition of what constitutes a community benefit is so wide that venues can use wages, maintenance and other day-to-day costs of running to make up the 8.33 per cent.
The community benefit scheme has been running since 2003.
Brimbank has 953 electronic gaming machines across 15 venues, with the majority of money claimed as community benefits during the last financial year going to employment expenses, more than $10 million.
More than $115 million was dropped into Brimbank’s gaming machines during the past financial year.
In a submission to the Upper House Select Committee on Gaming Licensing, Brimbank City Council has pressed the State Government to tighten the rules so that money is directed to the community, rather than everyday running costs.
“Council demands the introduction of clearer, more robust criteria, justification and assessment in the claims process to ensure that revenue generated from local communities flows back into these local communities,” the council submission said.
The submission also raised concerns that money as part of the community-benefit scheme was being used to encourage alcohol consumption in pubs and clubs in Brimbank.
Gaming Minister Daniel Andrews has announced that the Government will review the community-benefit scheme during the coming months.
A spokeswoman for Mr Andrews said last week:“The minister anticipates making further announcements by the end of the financial year.”
From Page 1.
A spokesman for the Council of Gambler’s Help, Bernie Durkin, said he didn’t believe gaming venues were treating the community benefit scheme as a mechanism to help the community.
“What we really need to do is get the technical compliance to reflected the spirit of what was intended,” Mr Durkin said
Along with the proposed changes to the community benefit scheme, Brimbank Council has also called for a massive reduction in the number of gaming machines in Brimbank, calling for around a 50 per cent cut in electronic gaming machines across the municipality.
The Select Committee on Gaming Licensing is due to conduct its first round of public hearings in June.
