Pokies lifeline

By Melissa Grant
AN OUTCRY from managers of small pokies venues, including the Pakenham Sports Club, has seen the State Government move to protect those clubs in its landmark restructure of the gaming industry.
Steve Moloney, Pakenham Sports Club committee of management president, was concerned his club would be forced to shut its doors when a poker bidding system was introduced as part of the new gaming legislation.
The closure of the club, as reported in the News, would have seen a $100,000 year funding cut to sport clubs in the Cardinia Shire.
However, the State Government last week implemented measures to provide greater certainty to existing clubs by allowing them to pre-purchase gaming machine entitlements ahead of the bidding process.
Mr Moloney was worried small community-focused clubs wouldn’t be able to compete if an auction style process was introduced, however such clubs will only be forced to bid for extra machines, and the venue’s average annual revenue per machine will determine their price.
The industry restructure will spell the end of a gaming operator duopoly between Tatts and Tabcorp. Minister for Gaming Tony Robinson said this would give greater control to clubs and the opportunity to derive more revenue.
Mr Moloney was pleased to hear that the State Government had implemented safeguards for small pokies clubs, but is waiting for more details.
“It’s a little bit grey there about how it’s going to work but there will certainly be some protection unlike before where it’s open slather,” he said.
The legislation, which was passed in the Upper House last Thursday night, requires that gaming machines are split 50/50 between clubs and hotels.
Mr Robinson said the State Government was also assisting clubs with special deferred payment terms, reducing the first two instalments from 10 per cent to five per cent.
Opposition Gaming Minister Michael O’Brien said the safeguards delivered a lifeline for dozens of footy clubs, bowls clubs, golf clubs and RSL sub-branches.
“Under Labor’s original bill, every club would have been forced to compete in an auction process for gaming entitlements and many small clubs would have missed out and been forced to the wall,” he said.