More gaming machines
An additional 20 electronic gaming machines at the Warragul Sporting and Social Club will allow the club to fund a $1.2 million redevelopment of the Longwarry Bowls Club, Baw Baw Shire Council was told last week.
An application to the Victorian Commission for Gambling and Liquor Regulation for the additional gaming machines at WSSC (Warragul Downtowner) was not opposed when considered by council last week.
The club’s submission stated if the application was granted, the WSSC would commit $1.2 million to redevelopment of the Longwarry Bowls Club, which also will result in three new jobs at Longwarry.
The Warragul Club and Longwarry Bowls Club merged in 2014 to form the WSSC.
If approved, the number of machines at the club will increase from 80 to 100.
However, council has requested the VCGLR include a condition requiring the club to increase its contribution to community organisations to $65,000 per year.
Councillors indicated they were “extremely concerned” about another increase in gaming machines for the shire.
But, councillors agreed they had few grounds for opposition given the shire was still well below the state government cap of 299 for the municipality.
In writing to the VCGLR, council will not oppose the application but will state “this is the third application in recent times, which if approved, will result in a total increase of 60 additional gaming machines in our community.”
“This is a significant increase of approximately 25 per cent and the social and economic impacts of such an increase have not yet been understood,” the motion stated.
If approved, council has requested the WSSC increase its community contributions from $40,000 per year to $65,000 per year.
The WSSC also is planning a $2 million renovation of its Victoria St premises. It is one of four gaming venues in the municipality.
The club currently holds the licence to 37 per cent of gaming machines in the shire.
A report to council said in 2014/15 the WSSC reported the highest EGM expenditure in the shire of more than $5.2 million in the municipality, after the Warragul Country Club of more than $3.9 million.
The report said total EGM expenditure in Baw Baw had continued to increase and the annual increase was 2.6 per cent, higher than the Victorian average.
WSSC commissioned Harvest Strategy to provide an assessment of the likely social and economic impacts associated with the additional machines.
The report concluded the extra EGMs “would not be detrimental to the well-being of the community.”
Council was told the WSSC currently delivers a $40,000 community contribution program as well as $30,000 through discounted room hire, food and beverage.
Cr Murray Cook said he reluctantly moved the motion to not oppose the application because he did not support additional machines.
He said gaming machines were designed to be addictive and gambling addiction leads to adverse consequences for the gambler and the community.
Cr Cook said increased spending and losses on gaming machines led to significant funds leaving the municipality.
“It is the state government that is hooked on the revenue of gaming machines.
“We would be wasting our ratepayers’ money it we tried to stop that state government cap.
“I move this motion knowing full well that we have no other alternative.
“We know full well what would happen at VCAT but our motion definitely sets out what we think,” he said.
Cr Mikaela Power said she could not support the motion on principle. “While they give money back to the community, they also suck a whole lot out of it.”