2009/10 Report to the Minister for Racing, Gaming and Licensing

Department of Justice 2009/10 Report to the Minister for Racing, Gaming and Licensing

Contents

Department of Justice 2009/10 Report to the Minister for Racing, Gaming and Licensing 1

Executive Summary 3

Gambling Industry Contribution 4

Gambling 6

Highlights 2009-2010 6

Gambling Research – Community Benefit Fund 6

Community Gaming Machines 7

Community Benefit Fund 24

Community Benefit Fund Summary 24

Small grants issued by region 25

Vehicle gifts and long term loan approvals 25

Community Support Contributions – Licensed Clubs 26

Casinos 28

Lotteries 31

Racing 33

Alcohol Management 36

Highlights 2009/10 36

Research and Policy Evaluation 36

Community education campaigns 37

Policy and supply measures 38

Key Directions 2010-11 38

Wholesale Alcohol Supply1 38

Per Capita Consumption 39

Wholesale PAC Supply - NT Total 40

Regional Composition 44

Darwin 45

Palmerston 49

Alice Springs 53

Katherine 57

Tennant Creek 61

Nhulunbuy 65

NT Balance 69

Restricted Area 73

Liquor Licensing 74

ID Takeaway Liquor System 75

Electronic Liquor Permit System 75

Licensing 79

Table 64: Employee Licensing – Cumulative Total 79

Table 65: Business Licensing – Cumulative Total 79

Table 66: Tobacco, other Licensing and Statutory Appointments – Cumulative Total 80

Appendix A 81

Community Gaming Machines - Previous Years 81

Appendix B 82

Community Benefit Fund - Successful Applications 82

Appendix C 97

Liquor Licences – NT Licensing Commission 97

Liquor Licences – NT Licensing Commission Transferred Licences from 1 July 2007 109

Transferred Licences from 1 July 2008 110

Transferred Licences from 1 July 2009 111

Suspended Licences from 1 July 2007 112

Suspended Licences from 1 July 2008 114

Suspended Licences from 1 July 2009 115

Surrendered Licences from 1 July 2007 116

Surrendered Licences from 1 July 2008 116

Surrendered Licences from 1 July 2009 117

Cancelled Licences from 1 July 2007 117

Cancelled Licences from 1 July 2008 118

Cancelled Licences from 1 July 2009 118

Licence Condition Variations 2008-09 118

Licence Condition Variations 2009-10 119

Applications for Alterations of Licensed Premises 2008-09 120

Applications for Alterations of Licensed Premises 2009-10 121

Executive Summary

A range of activities are undertaken by the Northern Territory Government in relation to racing, gaming and licensing. The majority of these activities are performed by the Department of Justice, with primary oversight resting with the Licensing, Regulation and Alcohol Strategy (LRAS) division.

This report consolidates information provided in the 2009-10 Annual Reports for the Department of Justice, Northern Territory Treasury, Community Benefit Fund and the Northern Territory Licensing Commission, and supplements those reports.

LRAS administers and enforces the Northern Territory regulatory regimes for gambling, liquor, kava, tobacco, escorts and private security and is responsible for licensing under the Consumer Affairs and Fair Trading Act, Agents Licensing Act and the Prostitution Regulation Act.

The division provides support to the following independent, statutory authorities:

·  Northern Territory Licensing Commission;

·  Northern Territory Racing Commission;

·  Agents Licensing Board (Real Estate); and

·  Agents Licensing Fidelity Guarantee Fund.

The policy, programs and services of LRAS contribute to the achievement of the Department’s five strategic directions as outlined in its Strategic Plan 2009-12. The strategic directions are:

·  Play a lead role in developing safer communities;

·  Develop and maintain an sustainable organisation;

·  Protect and promote the rights of vulnerable and disadvantaged;

·  Influence responsible social and economic development; and

·  Enhance Indigenous outcomes.

Specific achievements in 2009-10 include:

·  Commenced development of the Alcohol Reform package, linking activities of NT Government agencies to address alcohol related harm, crime and antisocial behaviour.

·  Established the framework for developing Alcohol Management Plans (AMPs) across the Northern Territory and commenced or continued engagement with a number of remote communities across the NT to progress the development and/or implementation of community safety and alcohol management plans.

·  Commenced the development of a social marketing framework to change the drinking culture in the Northern Territory and Territorians’ attitude and behaviour to drinking in and around licensed premises.

·  Provided $10.6 million to support the two racing codes in the Northern Territory.

·  Commenced and progressed discussions with licensees in Alice Springs, Tennant Creek, Katherine and Nhulunbuy to support the establishment of Liquor Accords aimed at restricting ‘trouble makers’ from on premise outlets in each town. The Alice Springs Liquor Accord will also focus on reducing under age drinking, regulatory breaches, alcohol-related harm and antisocial behaviour.

·  Implemented a risk based self-assessment program for Sports Bookmakers.

·  Distributed the first edition of Licensing E-news to industries operating under various legislation administered by the division, providing information about policy changes, updates and recent events. More than 2,000 individuals and organisations received the newsletter, with most subscribing to receive future issues, to be distributed on a quarterly basis.

·  Contributed to the Gambling Awareness Week 2010 committee managed by Amity Community Services. The theme for the week, held in May 2010, was ‘The secret to winning is knowing when to stop’.

·  Implemented amendments to the Liquor Act, which were passed in April 2010. Major amendments related to the ability of the Minister for Racing, Gaming and Licensing to specify designated areas as a result of antisocial behaviour in and around licensed premises and the subsequent capacity for police to be able to issue banning notices to people committing specific offences in those designated areas. Other amendments include increased police powers to remove people from licensed premises, the provision for the Director of Licensing to approve Liquor Accords, and the requirement to seize false or fake IDs used by minors to attempt to gain entry into licensed premises or to obtain alcohol.

·  Worked closely with the Department of Health and Families (DHF) to develop and implement smoking bans inside licensed premises that took effect from 2 January 2010. The division continues to work closely with DHF and industry to implement regulatory structures required for ongoing tobacco reforms.

·  Trialled a self assessment program of licensed premises in Alice Springs and Tennant Creek.

·  Developed and conducted investigation training courses for all Inspectors.

·  Funded a Privacy Impact Assessment in relation to ID scanning in Darwin City licensed venues.

Gambling Industry Contribution

The NT gambling industry continues to be a significant contributer to the NT economy through the direct employment of in excess of 1,000 people. In addition, annual turnover exceeds $7.2 billion, resulting in gross revenues of $540 million of which in excess of $60 million is paid to the NT Government in tax and levies.

/ Turnover $M / Gross Revenue $M / Taxes and Levies $M /
Racing / 3,925.4 / 228.0 / 6.1
Gaming / 1,904.3 / 206.6 / 9.9
Sportsbetting and Wagering / 1,428.0 / 108.5 / 46.9
Total / $7,257.7 / $543.1 / $62.9

Key directions for LRAS in 2010-11 include:

·  Implement the Enough is Enough alcohol reform package.

·  Review the effectiveness of the electronic identification system currently deployed in Alice Springs, Katherine, Nhulunbuy and Groote Eylandt.

·  Enhance the security and monitoring capabilities of the electronic identification system.

·  Introduce an electronic identification system into Tennant Creek.

·  Expand Alcohol Management Plans (AMPs) in remote communities linked to phase two of the Northern Territory Emergency Response (NTER), where communities can have alcohol restrictions lifted through the development of AMPs.

·  Develop a comprehensive community education and social marketing campaign to change the culture of drinking in the NT, including the way Territorians drink, their personal knowledge on safe, responsible drinking and their tolerance of risky drinking behaviour.

·  Establish an Alcohol Management Plan for the Darwin and Palmerston regions.

·  Progress implementation of recommendations from the Menzies School of Health Research evaluations of the Alice Springs, Tennant Creek and Katherine Alcohol Management Plans and associated measures.

·  Implement changes to the Tobacco Control Act and assist the liquor industry in making the transition to predominantly smoke free operations.

Address gambling policy issues arising from the Productivity Commission inquiry into gambling and manage the sequence of industry changes.

·  Participate in the development and implementation of key national initiatives including:

– security industry harmonisation;

– business names referral to the Australian Government; and

– participation in the National Occupational Licensing scheme for property agents.

·  Participate in the e-Business working group with a view to identifying an integrated information management solution for the Division’s licence administration requirements.

·  Focus on improving the systems and processes in the division to enhance outcomes for Government, particularly by:

– introducing an industry self assessment system;

– maintaining a publicly available enforcement policy; and

– working with the liquor industry to expand the use of Liquor Accords.

·  Develop a framework for the movement of gaming machine entitlements between venues within the Territory wide cap.

I am pleased to present the 2009-10 Report to the Minister for Racing, Gaming and Licensing.

Greg Shanahan
Chief Executive Officer
10 March 2011

Gambling

Highlights 2009-2010

The Northern Territory Government has identified gambling related harm in Indigenous communities as an action area under Closing the Gap. The Gambling Policy Officer in Community and Justice Policy has been working towards the development of a program to address gambling in the Indigenous community, integrating research and community development initiatives, delivered by government and non-government agencies.

In 2009-10, the Community Benefit Fund provided funding for the following programs, focused on Indigenous people and gambling:

·  Amity Community Services Provides a gambling harm minimisation and education program, including marketing, education, treatment and community development strategies.

·  8-EAR FM NhulunbuyThe For Youth by Youth program covers a number of public health issues including problem gambling. It has a strong following among Indigenous and non-Indigenous youth in East Arnhem.

·  Waltja Tjutangku PalyapayiWise Use of Money Workshops are delivered to remote Indigenous communities. Topics covered include budgeting Centrelink payments, the effect of gambling on families and strategies for resisting pressure to gamble. Waltja mentors women living in the communities to act as mentors for those having difficulty managing gambling.

·  Isee-ilearnThis NT company produces innovative, interactive stories designed for use by traditional Indigenous people. The stories can be easily translated in community languages. Five stories have been produced about gambling and are available to the public from the iseeilearn library on the Internet.

·  Menzies School of Health Research The Healing and Resilience Division is funded to evaluate the Indigenous gambling amelioration programs delivered by Waltja Tjutangku Palyapayi and Amity Community Services. The findings will inform development of further programs.

Gambling Research – Community Benefit Fund

The Gambling Research Grants Program is funded by the Community Benefit Fund. It supports research into gambling where the outcomes can be used to inform policy. The focus is on providing information on gambling in the unique social environment of the Northern Territory.

In 2009-10, Charles Darwin University received $500,000 for the third year of a contract that supports an integrated gambling research program.

The following reports were completed this year:

·  Gambling Problems Amongst the Indigenous Population of the Northern Territory (Stevens & Young: CDU-GRU):

·  The Spatial Distribution of Gambling Vulnerability in Greater Darwin and Alice Springs (Doran & Young: CDU-GRU).

·  An Extended Analysis of the 2005 Northern Territory Gambling Prevalence Survey. (Doran, B., Young, M., Lamb, D. and Stevens M. 2009)

The CDU Gambling Research Unit also made several conference presentations and supported the work of three doctorate students.

Community Gaming Machines

Table 1: Northern Territory Community Gaming Machine Performance in Clubs, 2009/10
Club Venue / Number of Machines / Turnover $ / *Gross Profit $ / Gaming Tax $ / Community Benefit Levy $ /
Alice Springs Golf Club / 6 / 155,274 / 14,995 / 1,970 / 0
Alice Springs Memorial Club / 45 / 16,883,276 / 1,752,848 / 444,862 / 0
Alice Springs RSL Club / 24 / 4,252,557 / 447,869 / 90,607 / 0
Alyangula Golf Club / 7 / 768,892 / 96,565 / 13,034 / 0
Alyangula Recreation Club / 15 / 6,539,136 / 774,935 / 165,538 / 0
Casuarina All Sports Club / 45 / 65,875,602 / 6,519,594 / 2,425,558 / 0
Cazalys Palmerston Club Inc / 45 / 60,389,611 / 5,906,403 / 2,162,438 / 0
Darwin Bowls & Social Club / 3 / 134,000 / 19,768 / 2,552 / 0
Darwin Golf Club / 13 / 1,425,642 / 187,259 / 31,133 / 0
Darwin Leagues Club / 5 / 39,307 / 5,163 / 667 / 0
Darwin North Sub Branch RSL / 6 / 281,100 / 42,534 / 5,491 / 0
Darwin RSL / 30 / 12,618,116 / 1,259,081 / 287,964 / 0
Darwin Sailing Club / 10 / 440,490 / 49,574 / 6,400 / 0
Darwin Trailer Boat Club / 10 / 1,579,989 / 165,001 / 26,271 / 0
Federal Sports Club / 10 / 1,580,438 / 164,980 / 26,104 / 0
Gillen Club (Wests Sporting Club) / 45 / 21,515,419 / 2,048,302 / 544,250 / 0
Gove Country Golf Club / 12 / 1,717,971 / 168,242 / 29,176 / 0
Humpty Doo & Rural Area Golf Club / 10 / 1,492,649 / 180,867 / 29,437 / 0
Jabiru Sports & Social Club / 17 / 6,078,870 / 605,319 / 126,678 / 0
Katherine Club / 45 / 20,916,080 / 2,268,183 / 633,532 / 0
Katherine Country Club / 35 / 19,950,484 / 1,868,034 / 482,770 / 0
Katherine Sports & Recreation Club / 19 / 7,537,581 / 823,363 / 176,632 / 0
Nightcliff Sports Club / 22 / 17,891,795 / 1,873,983 / 484,728 / 0
Palmerston Golf & Country Club / 21 / 3,897,252 / 458,986 / 93,154 / 0
Palmerston Sports Club / 45 / 54,611,454 / 5,237,526 / 1,875,422 / 0
PINT Club / 24 / 7,917,692 / 863,756 / 185,887 / 0
RAOB Club (Buffs Club) / 16 / 6,929,789 / 827,045 / 177,476 / 0
Sporties Club / 16 / 4,822,179 / 578,165 / 120,458 / 0
St Marys Football Sporting & Social Club / 30 / 8,140,235 / 872,508 / 187,892 / 0
Tennant Creek Bowling Club / 4 / 8,726 / 845 / 130 / 0
Tennant Creek Memorial Club / 23 / 15,071,177 / 1,604,539 / 397,275 / 0
The Arnhem Club / 45 / 39,027,088 / 3,722,595 / 1,225,366 / 0
Tracy Village Social & Sports Club / 45 / 49,037,228 / 4,653,504 / 1,624,819 / 0
Total / 748 / $459,527,096 / $46,062,331 / $14,085,671 / $0

* While this column is titled ‘Gross Profit’ to reflect the Act’s defined term, the figure actually represents the net loss by players. It represents the revenue flow from gaming machine operations to the venue.
Source: Northern Territory Department of Justice and NT TAB.
Note: Gaming tax is the amount generated in period specified, not the amount received.
Columns may not add due to rounding.