19 September 2008

Kerry Clark OBE

Chief Executive Officer

Bowls New Zealand Inc

P O Box 62-502

Kalmia Street

Auckland

Dear Kerry

Re: Class 4 Gaming Funding and Sporting Organisations

As we discussed, the gaming environment has changed a great deal in recent times. Compliance costs for gaming societies have increased significantly. Territorial local authorities (local councils) and central government face increasing pressure from well organized anti-gambling lobbyists. End user trusts have impacted on the overall ‘pool’ of funds available for distribution in many communities.

On top of these issues, we now face reduced income streams as the effects of a sustained slowing of the economy are realized.

In this new environment, it is essential that gaming societies such as NZCT take an even more responsible and strategic approach to the process of funding.

NZCT, asa significant funder of amateur sport across the country, is focusing on the quality of spend, and how this best delivers benefits to the local community. We view four key areasas strategic platforms for the future:

  1. LEGACY FUNDING:

Through supporting core infrastructure (buildings and facilities) that increase opportunities for people to be involved in sport, or investing in activities that increase the capability of sport to deliver services to its members and the community.

  1. DEVELOPING SKILLS:

Strategic funding in both the governance and management domains, with a focus on increasing the capability and ability of an organisation to work towards best practice and long-term sustainability.

  1. FRAMEWORK FOR THE FUTURE:

Organisations that have a clear strategic plan for the future including a program (business plan) to both attract and retain participants.

  1. ATTRACTION:

Organisations that have a wide appeal to a growing audience within the community.

Those applications which are considered to:

a) Merely focus on subsidising membership;

b) Be propping up unsustainable structures;

c) Have a dependence on gaming funding without mitigation of reliance;

d) Focus on the ‘nice to haves’ rather than adding real value

will not be considered favorably in a diminishing pool of available funding.

We further consider that for many sports, Bowls of which is one, there are simply too many clubs each duplicating services. This is clearly not sustainable, nor is it adding real valueto growing and developingthe sport.

Bowls NZ would seem to be in the best position to provide advice to societies such as NZCT on which clubswe should be supporting. To this end, we’ll be seeking your guidance, where appropriate, on local funding decisions, possibly through your regional development officers.

Our aim will be to allocate funding as consistently and fairly as possible to help achieve the best possible outcomesfor Bowls and the local community.

We are actively promoting the above messages to a number of sports. I will be pleased and available to discuss any of the points raised here with your members should you would wish me to do so directly.

Kind regards

Tony Gill

National Grants Manager