Canberra's clubs will be forced to surrender poker machine licences from April next year, to reduce the number of machines on gaming floors to 4000 by 2020, as part of major reforms to gambling laws that passed on Tuesday.
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The long-awaited changes will also involve an overhaul of the territory's clubs community contributions scheme, which will now see contributions raised to 8.8 per cent of net gaming revenue, though the extra 0.8 per cent will be controlled by the government.
It follows a scathing audit of the scheme earlier this year that found clubs were often using the scheme to support professional sports teams more than junior teams or funding gambling harm reduction programs.
Despite protests from the clubs sector about the revenue lost through the forfeiture of machines, the government has pressed ahead offering $12,000 cas incentives only to small and medium clubs until the end of January next year.
Other clubs can also access potential discounts on lease variation charges and land and planning charges for the same period.
While Labor and Greens Assembly members backed the legislation, the Opposition did not, with the Liberals' gaming spokesman Mark Parton voicing concerns the government had failed to properly consult with the community over the changes and had ignored Clubs ACT.
Despite not meeting with the peak clubs group about the changes after the group's requests, Attorney-General Gordon Ramsay said he had offered two meetings with government officials to the group, which Clubs ACT was unable to attend.
In changes to the final bill introduced on Tuesday, Mr Ramsay has also formally required clubs to report any community contributions made to political parties and their associated entities.
There will also be a two per cent cap on in-kind support given by large clubs and club groups - a figure which, due to their size, relates to about a quarter of all community contributions made under the scheme.
Clubs that fail to meet their required payments under the scheme will also be forced to pay a fee of 150 per cent of the underspend through the scheme.
The allowable categories of contribution will be redefined to: charitable; recreational; educational; social inclusion, equality or cultural diversity, community sport, addressing substance misuse or dependence, women’s sport; or natural disaster relief or assistance.
Claims for professional sports - including wages, coaches and other staff - will also be banned, unless they are explicitly for women’s sport, as well payments for fines at sports matches, staff entitlements and facilities management - unless a club can prove a connection with women's sport.
The changes will come into force at the end of January, with the total number of poker machines active in Canberra to be cut to 4000 by April 2020.
Clarification: This article previously stated the government offered no compensation for the surrender of machines. The government's began offering incentives in August.
