Monthly performance figures issued by the Charity Gaming Association show that communities in New Zealand received grants amounting to NZ$28 million (US$19.4 million) from gaming machine trusts in September. The 17,181 gaming machines, which are located around the country at hotels and bars, range from large-scale operations with over 2000 pokies to a small 18-machine venue. September’s figures this year have been disappointing.

In September 2004 an average NZ$2,402 (US$1,665.5) was raised and distributed from each machine. This year the figure is NZ$1,667 (US$1,155.7), described by the Association as a ‘major disappointment’ and meaning NZ$16 million (US$11 million) less for distribution. Charity Gaming Association Chief Executive Francis Wevers commented, “Gaming machine societies have been the principal means of fund raising for local communities. The current trend, if it is not arrested, will impact disproportionately on the smaller provincial and rural communities which need funds to participate fully in society and have reduced ability to raise them. Charitable trusts seek to distribute funds within the community from which they were raised. As venues close and machines are turned off (predominantly in smaller communities) that becomes more difficult. The ability to cross-subsidize under-performing venues is under significant pressure.”

The reduction is revenue is attributed largely to changes in New Zealand’s gaming legislation. Anti-smoking rules and the requirement for societies to distribute proceeds to authorized purposes within 3 months, as well as operational changes, have had a substantial negative impact on the ability of charitable trusts to raise money for community sports, cultural, educational and health activities.
(E-11.03.05)

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