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fact-sheets
12 March 2024

ClubGRANTS Local Committees Fact Sheet

This fact sheet provides information on local committees which have an important role to play in the ClubGRANTS scheme.

What is a local commitee?

A local committee must be established when qualifying clubs allocate more than $30,000 of category 1 funding within a local government area (LGA) within a tax year.

They can also be established if funding received in an LGA is less than $30,000 if all typical representatives agree.
A local committee is made up of representative/s from:

  • Qualifying clubs
  • Local council
  • The Department of Communities and Justice
  • A community organisation endorsed by the Office of Responsible Gambling
  • The local Aboriginal community (where appropriate)

Local committees may also include third parties under certain circumstances such as community stakeholders who can identify and understand community needs. These stakeholders must be independent from other representatives on the local committee.

Political representatives, including elected councillors are excluded from becoming local committee members to ensure assessments and advice are politically independent and minimise the risk of conflicts of interest.

What does a local committee do?

Local committees serve a range of functions and work closely with other ClubGRANTS stakeholders. Their work with clubs includes:

  • Identifying community service priorities for expenditure based on information and advice provided by local government and the Department of Communities and Justice
  • Assessing category 1 applications to determine if they align with community service priorities
  • Determining and recommending a proportion of category 1 expenditure that should be allocated towards applications
  • When requested by clubs; determining priorities for category 1 funding when multiple applications are received within an LGA
  • In situations where a club has funded a category 1 application without a referral to a local government committee; review evidence from clubs to determine if these applications align with community service priorities
  • Obtaining written reports from clubs that list category 1 projects that have been funded to determine if funding is aligned with community service priorities
  • Providing clubs with certificates of attendance that indicate their attendance at local committee meetings

When identifying local community service priorities, it is expected that local communities identify a broad range of local priorities to allow funding of a wide range of local community service projects by clubs.

Local committees have a responsibility to report information to Government agencies which include:

  • Providing information to Liquor and Gaming NSW about clubs that claim a rebate when they have not complied with the ClubGRANTS guidelines
  • Informing the Office of Responsible Gambling of the LGA they represent and the organisations that form the membership of the committee, including when there is a change in membership
  • Forwarding certificates of attendance for clubs to the Independent Liquor & Gaming Authority (ILGA) via revenue.assurance@liquorandgaming.nsw. gov.au

Additional local committee responsibilities include:

  • Organising local promotion of ClubGRANTS in conjunction with with state-wide and regional advertising of the
    scheme by ClubsNSW
  • Encouraging clubs to publish and distribute information on ClubGRANTS funded projects within the local
    community
  • Distributing standard application forms and taking enquiries about ClubGRANTS activities
  • Discussing and reviewing the operation and impacts of ClubGRANTS activities on an annual basis

What happens if a local committee is not formed in a local government area?

If a local committee is not formed within an LGA, the Department of Communities and Justice and the Office of Responsible Gambling must develop a list of social expenditure priorities for the relevant LGA and make this available to clubs.

Can local committees decline or approve category 1 applications?

Local committees cannot veto, decline or approve category 1 applications. The primary purpose of a local committee is to assess and provide advice on whether funding applications align with community service priorities and, when requested by clubs, develop a priority listing of those applications to assist clubs in making decisions on what projects to fund.

Decisions on ClubGRANTS funding is made by a club’s board of directors. In LGAs where a local committee must be established, it is required that all qualifying clubs in the LGA participate in the local committee process.

What responsibility do clubs have to local committees?

Clubs have responsibilities to local committees under the ClubGRANTS scheme. These include providing local committees with the webpage that contains a list of their ClubGRANTS.

In cases where a club has not updated their website, a club must provide information on their category 1 grants including grants made in the previous gaming machine tax years to a local committee in writing when requested. Information provided by each club must include:

  • Advice on funding recipients
  • Amounts of funding for each category 1 project
  • Advice as to whether a club’s category 1 allocations in the previous year were in line with the local community priorities identified by the local committee
  • Evidence and/or a written explanation to indicate how their category 1 projects aligned with the local community service priorities identified by the local committee

Clubs with long-term or pre-existing commitments to organisations must also provide information on these commitments to their local committee.

Clubs must not allocate less than 75% of a local committee’s recommendation for the allocation of category 1 fund.

What happens when a club allocates less than 75% of a local committee’s recommendation?

When a club does not fulfil this requirement, they must submit a report to Liquor and Gaming NSW within 45 days of finalising their category 1 funding decisions. This report must include:

  • The recommendations made by the local committee
  • The reason why the recommendations were not accepted
  • The projects the funds have instead been allocated to
  • The exceptional circumstances that resulted in the club not meeting the requirement

From the 2023-24 tax year, Liquor and Gaming NSW will conduct a yearly report at the end of each tax year to monitor clubs’ observance of this requirement and report back to ILGA for it to consider whether a rebate should be provided or not.

When do applications for category 1 funding open and close?

Applications for category 1 grants open on 1 February and close on 31 May.

What should a local committee do if they have reason to believe the guidelines have been breached?

Complaints on breaches of the guidelines can be reported to Liquor and Gaming NSW at www.liquorandgaming.nsw.gov.au/community-and-stakeholders/have-your-say/complaints/make-a-complaint

Who is responsible for convening local committee meetings?

Local councils are responsible for convening meetings and organising representatives to attend. As convenors, they must sign off on certificates of attendance to be issued to club representatives.

Meetings must also be operated in a manner that is consistent with section 6.4 of the ClubGRANTS guidelines which outlines the operational procedures of local committees.

Where should certificates of attendance be sent to?

Certificates of attendance should be forwarded to: revenue.assurance@liquorandgaming.nsw.gov.au

How do I contact the Department of Communities and Justice to provide a representative?

The Department of Communities and Justice has directorates for various districts throughout NSW. The contacts for each district include:

How can I contact the Office of Responsible Gambling to notify them of changes to a local committee?

The Office of Responsible Gambling can be contacted at: info@responsiblegambling.nsw.gov.au or on 02 9995 0992.