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Legislative Assembly for the ACT: 2000 Week 11 Hansard (30 November) . . Page.. 3519 ..

MR HUMPHRIES (continuing):

acknowledged that, despite a decline in their gaming machine profits for the last financial year, the hotel licensees' contributions were $8,748 higher than in 1998-99.

Unfortunately, the picture is not quite as good among ACT clubs. In the reporting period, the club industry had gross gaming machine revenue of $163.6 million, a somewhat significant difference. There was an increase of nearly $16.7 million or 11.4 per cent on that received during 1998-99. After tax and subtracting an estimated allowance of 15 per cent of the gross gaming machine revenue representing the clubs' operating costs, the net gaming machine revenue received by all clubs is estimated at $101.5 million.

Mr Moore: That sure is a lot of money.

MR HUMPHRIES: It certainly is a lot of money. That is, a $101.5 million net profit was available to the clubs to provide services to their members and to the community. The majority of the net gaming machine revenue, some $90.5 million, remained within club operations, while $10.9 million was reported to the ACT Gambling and Racing Commission as community contributions. Of the reported $10.9 million, club contributions that were directed to associated organisations, infrastructure assets, and political and union organisations totalled $6.3 million. These contributions could be said to be not contributions to the wider community. They are contributions arguably to matters or organisations closely associated with individual clubs and their membership. Of the $101.5 million of net profit, the clubs donated $4.6 million in cash or in kind-

Mr Moore: How much?

MR HUMPHRIES: They donated $4.6 million in cash or in kind-not just in cash but also in kind-for the benefit of the wider ACT community; that is, outside the club membership base. The $4.6 million comprised donations to sport of $1.72 million, donations to charity of $1.1 million, in-kind donations of $790,000, donations to non-profit organisations of $860,000, and the use of club assets by the public at no charge of $120,000.

Mr Speaker, from a net profit of $101.5 million, the club industry gave just $1.1 million to charity organisations and for charitable activities in the ACT. That equates to just over 1 per cent of net gaming machine revenue and reflects a decrease on the 1998-99 contributions of $240,000; that is, a quarter of a million dollars less than the previous year.

I should acknowledge that not all clubs have shown what I would regard as a regressive attitude towards these things. I acknowledge that nine clubs in the ACT declared contributions in excess of 20 per cent of net gaming machine revenue and a further 26 clubs declared contributions of between 5 and 20 per cent of net gaming machine revenue. While these clubs are clearly pulling their weight, they are mainly small clubs with limited turnover. However, the overall value of the club industry's contributions to charitable organisations and for charitable purposes still falls well short of what this government considers a reasonable level of contributions to the needy and disadvantaged groups within our community.

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