Page 3528 - Week 12 - Thursday, 20 September 1990

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Detail stage

Clauses 1 to 7, by leave, taken together and agreed to.

Proposed new clause 8

MS FOLLETT (Leader of the Opposition) (11.25): I move:

That the following new clause be inserted in the Bill:

"Percentage pay-out

8. Subsection 17(2) of the Principal Act is amended by omitting '90 percent' and substituting '95 per cent'.".

The amendment has been circulated to members. The effect of the amendment I have proposed is to increase the maximum - and I stress that it is a maximum - pay-out ratio to 95 per cent rather than the 90 per cent that is currently in Mr Collaery's Bill. I think members should be aware that in setting a maximum pay-out ratio it does not automatically follow that that is the pay-out ratio which clubs apply. Currently the maximum is 90 per cent but I believe the common pay-out figure in the clubs is 87 per cent. So it is strictly a maximum that we are looking at here.

In moving it up to 95 per cent I would be seeking to give the clubs some flexibility in order to meet the new tax arrangements and the new arrangements with the $1 and $2 coin machines. I believe that the increased maximum 95 per cent was used in New South Wales initially when they moved to these higher denomination coins and they found that it did in fact offer the consumer, the better, an increased level of enjoyment of playing those machines. I am merely moving this amendment in order that GALA establish that as a maximum and leave it to the clubs to decide, as they do now, whether they want to use that maximum or not.

Mr Speaker, this amendment has been the subject of some consultation by my office with the licensed clubs, predominantly the largest licensed clubs, the ones that we would expect to use the $1 and $2 coin machines. They have asked me to proceed with this amendment. They feel that it would be better for their members, better for the people who play their machines, and would make for an easier transition to these large denomination machines.

I am aware of the Government's hesitation about it, but I do assure you that there has been some consultation on it. I have been asked to move this amendment by the clubs with which we have consulted. So I would recommend it to members. I would stress again that it is a maximum and that there is no compulsion on the clubs to move their pay-out ratio up to that maximum.

MR COLLAERY (Attorney-General) (11.27): I do not object in principle to the amendment proposed by the Leader of the


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