Clubs WA

09 Dec 2009

Clubs WA, like our members, is very upset with the announcement that sees a massive annual fee hike for having a club licence. Clubs WA has called for a review of the new fee structure, which would include an opportunity for Clubs WA to submit against the changes on behalf of clubs.

Further to the article that appeared on page 5 of The West Australian, on Friday, 4^th December 2009, please find the full press statement made by Clubs WA.

Community clubs are reeling from a new invoice, from Treasury & Finance, outlining how fees and charges attached to liquor licensing have increased dramatically, the annual fee now increasing to $500, from what was previously $155.  

Clubs WA’s Executive Director, Peter Seaman, said, “It seems to me that this massive policy direction was unfortunately accompanied by another; the withdrawal of common courtesies by the Government, through the Department of Racing, Gaming and Liquor. A briefing should have been held for the four key stakeholders, prior to sending notice of major policy change to licensees throughout Western Australia”. 

"Clubs WA shares the view expressed by not for profit community controlled clubs - that the rate increases determined by the Government is in fact unfair, unjust and ill conceived at best. We find it hard to analyse how a 3% efficiency drive for Government departments has now transformed into a 223% fee increase. And, that is only one of the several new charges directed to liquor licensees,” said Mr Seaman.  

• Over 400 Licensed Clubs are targeted for the same level of increase (223%) as commercial operators, whose charter and licensing predominately involve the sale of alcohol. 
• Since the Liquor Control Regulations and the Department constantly refer to a club licence as being ancillary to the main function of a club, it seems inconsistent to use this well tried argument (ancillary to purpose) to maintain a restrain on trade. -          It is also without proper thought, to lock liquor licensing fees of community controlled not for profit clubs with commercial entities, as the latter’s purpose is to solely drive profits for stockholders.
• The impact of a 161% fee increase for the further 550 clubs with a restricted club licence, will be devastating in that they have even less capacity to act in a commercial manner with further restrains  of trade built into the terms of their limited liquor licence.
• The increase in fees for ETPs issued by the Department will also have a very significant effect on clubs (full & restricted) which are the predominant users of permits to conduct community events. Again, this can be seen as targeting the community owned not for profit sector, run by volunteers, to sustain extra revenue.
• In itself, inflationary pressures and media reports of a 3% cost cut from Treasury, may have been anticipated as a worst case scenario. But, increases of over 300% appear as a measure to cover other inadequacies not apparent to liquor licensees.
• Also, it appears very blatant and unacceptable that the Department can wait weeks to get glossy presentations produced and printed to announce the rate increases, but did not use any of that time to organise a meeting for the stakeholders.

Clubs WA seeks that the Director General of Racing Gaming & Liquor conducts an urgent review of the processes and actions that have been used to increase the licence fees it administers. Such a review should also include a consultation with the relevant stakeholders so that a more accurate gauge on the impact of the structure and size of the fees may be considered.

Further information: Peter Seaman on 08 9312 1655