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The fundraising part of the gaming sector is required to have a very high level of accountability. Gaming venue operators are completely separated from the grant making process and are limited on what they can be paid by complex formulas. Gaming venue operators are also accountable for the well being of their gaming patrons to ensure as much as practicable that they gamble in a controlled fashion and within their means as a form of entertainment.
Gaming venue operators are in the process of having their machines electronically monitored with the Department of Internal Affairs having the ability to turn the machines off remotely.
Gaming Trusts are equally required to have a high level of accountability. They have constraints on how much they can pay to venue operators, requirements in terms of how much they must pay the community in the form of grants and rules as to what constitutes an authorised purpose. It’s hard to imagine another sector which is as closely scrutinised and held accountable for their actions.
The recent consultation process around the setting of the problem gambling levy has brought into question whether the Government Departments involved in administering gaming are held to the same level of accountability. Figures released by the Ministry of Health seem to suggest that the dosh being handed out for Problem Gambling Intervention treatment is a free for all. The Charity Gaming Association has likened it to a lolly scramble. Ministry of Health data suggesting that more the $143,000 was spent for one treatment provider to have eight treatment interactions is farcical. The data also suggests that three other treatment providers were all paid more then $440,000 to provide treatments on another 32 occasions. That the Ministry of Health are using this data as the basis for a proposed increase in the problem gambling levy from 2007 demonstrates a complete lack of accountability.
Everyone supports those with a gambling problem being looked after, but it cannot be at any cost. The cost effectiveness of treatment programs and alternative, cost effective delivery means must and should be explored. This is public money which is being doled out. Every dollar that is paid in problem gambling levies is a dollar which is not available for Community Grants. Societies are accountable for every dollar they pay out in the form of grants and are required to ensure that grant money is fully and appropriately accounted for. It is time the Ministry of Health applied the same rigour to their management of the spending of the Problem Gambling levy.
Bruce H Robertson
Chief Executive
Hospitality Association of NZ
20 October 2006
ref: h:hr6r6116.doc
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