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Saturday, June 4, 2011

Always an excuse.....

When a business model is constructed based on creating new gamblers and thrives on Gambling Addicts, there's always an excuse not to employ sensible limits, even when a country is stricken by the costs of ADDICTION.


Pokie laws will bite
DEREK SCHWARZ

THE Federal Government’s proposed changes to poker machine laws could be the death of clubs and some pubs in Bega.

Earlier this year, the government announced it would seek to overhaul poker machine legislation in an effort to curb problem gambling.

At the heart of the reform are two choices that clubs and other gambling venues face – introduce “low intensity machines” with a maximum bet of $1 and jackpot of no more than $500 or ask gamblers to pre-commit how much they wished to spend.

Under the current proposal, venues with more than 15 poker machines would have to comply by 2014 while those with fewer machines will have until 2018.

While some have hailed the move as a social and moral necessity, with an estimated 95,000 gambling addicts across Australia, others believe its real effect will be that recreational gamblers and communities suffer.

Bega RSL general manager Peter Lynch, who has worked in the sector for over 30 years, said if the legislation goes through it would be devastating to the club and the wider community.

The club has a total of 70 machines across its two premises – Club Bega and Bega Golf Club.

“Not-for-profit clubs like ours don’t exist without income from poker machines, that’s just a fact,” Mr Lynch said.

“Given that clubs will not survive these changes in their current form, the flow-on effect to the community will be horrific because so many families, sporting clubs, community organisations and businesses rely on us to make a living.

“To my mind, it’s a thoughtless proposal which will affect the butcher, the baker and the candlestick maker without dealing with the problem at all.”

Mr Lynch said recreational gamblers “would not bother” if they had to pre-commit to their spending while problem gamblers would easily find another way to gamble.

“The irony is that people will still be able to go home, type in their credit card details and lose their life savings online or sell their house and put their money on a horse,” he said.

“Nothing will be served by this except a moral victory for those few who have blindly pushed for it.”

Luke Ryan, who oversees 59 poker machines as general manager of the Tathra Beach Bowling Club agrees.

Mr Ryan said the initial cost to the club would be $600,000 and then – based on the figures of Independent MP Andrew Wilkie, who has fought for the legislation – around $400,000-a-year in lost gaming revenue.

“Given that our club has had an average loss of $138,000 over the past four years, it would be safe to say that we wouldn’t exist within one to three years if this legislation were adopted,” Mr Ryan said.

“As an employer that expends approximately $600,000 in wages per annum and has a vested interest in the majority of family businesses in the community, (it) would not only affect our 1500 members but the longevity of commerce in Tathra as a whole.”

It was important however, Mr Ryan said, not to downplay the negative consequences that problem gambling can have.

He said programs like voluntary self-exclusion, where gamblers who feel they have a problem can ask management to refuse them, and the free phone service G-line were proving effective in addressing the problem.

“Being involved in such a tight-knit community, there is always personal involvement in assisting those that are affected by a gambling problem.

“But the rate of problem gambling in NSW is 0.4 per cent, which is just over half of what it was four years ago, and the number of calls to G-line has fallen by over 50 per cent over the past decade.

“This suggests much of what we are doing to help problem gamblers is working,” he said.

George Alnis, President of Tathra Beach Country Club which has 20 poker machines, labelled the government’s proposed legislation a “Big Brother” approach which would financially cripple his club’s ability to offer sporting facilities.

“We provide six all-weather tennis courts, a 12-hole golf course and an oval used by all codes in a town of less than 2000 people,” Mr Alnis said.

“There’s no doubt these facilities will no longer be available and who knows what that will mean for the tourists that Tathra relies on.

“It’s no exaggeration to say this has the potential to kill off three-quarters of our community-based industry.”

And it would have a similar effect on Bermagui, according to Bermagui Country Club general manager Caleb Rose.

Mr Rose said an overhaul of the club’s 50-machine system would “quite likely see the end of us” and send a shockwave right through the town.

“We pay $1 million in wages and employ 10 per cent of Bermagui’s workforce,” he said.
“So as well as the massive scaling back of facilities like the golf course and our support for sporting groups and local businesses, the whole community will bear the brunt.”

Mr Rose said he believed there were far better ways of tackling the problem of gambling addiction, including voluntary pre-commitment (where gamblers set their own limit) and giving clubs greater authority to intervene.

“At the moment, we are not well empowered to even talk to somebody that is identified as having a problem,” he said.

“Extending this power would have far more impact than forcing people to pre-commit - if you needed a pre-paid license to drink, the first people to sign up for one would be alcoholics.

“This legislation is not the answer to problem gambling and I’m confident that the commonsense will prevail.”

Member for Eden-Monaro Mike Kelly, who has been vocal in his support for clubs, said the process of introducing the legislation still had some way to go.

Mr Kelly said he would continue to consult with local clubs and would represent to the government the “impacts and considerations that need to be taken into account” before changing the law.

“All of the pubs and clubs in Eden-Monaro recognise that we have to do something about problem gambling in this country (and) all of the clubs and pubs in Eden-Monaro have in place policies to manage problem gamblers.”

Mr Kelly suggested voluntary pre-commitment or a free mental health treatment for problem gamblers, funded by a levy on gambling, as two viable future policies.

“I intend to vigorously advocate for solutions to problem gambling that do not threaten the survival of the pubs and clubs that are so vital to our community,” he said.

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