Gambling and Liquor Legislation Further Amendment Bill 2014

Introduction Print

EXPLANATORY MEMORANDUM

Clause Notes

PART 1—PRELIMINARY

Clause 1 sets out the purpose of the Bill. The purpose of the Bill is to make a number of amendments to the Gambling Regulation Act 2003 (the GRA), the Liquor Control Reform Act 1998 (the LCRA) and the Victorian Commission for Gambling and Liquor Regulation Act 2011 (the VCGLR Act) and the Gambling and Liquor Legislation Amendment (Modernisation) Act 2014.

The amendments are intended to modernise and simplify those Acts, reduce unnecessary red tape and address recommendations made by the Victorian Auditor-General.

Clause 2 sets out when the provisions of the Bill come into operation.

Subclause (1) provides that clauses 10 and 12 and Part 5 come into operation on the day after the day on which the Bill receives Royal Assent.

Clause 10 relates to the technical amendments made in relation to community benefit statements and the payment of tax. Clause 12 relates to the creation of a new power for the Minister to determine standard venue conditions that will apply to arrangements between venue operators and the monitoring licensee in relation to the provision of pre-commitment services. Part 5 relates to the amendments to the Gambling and Liquor Legislation Amendment (Modernisation) Act 2014.

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Subclause (2) provides that, subject to subclause (3), the remaining provisions of the Bill come into operation on a day or days to be proclaimed.

Subclause (3) provides that if a provision referred to in subclause (2) does not come into operation before 1 August 2015, it comes into operation on that day.

PART 2—AMENDMENT TO GAMBLING REGULATION ACT 2003

Clause 3 amends the outline of the GRA to reflect the amendments made to the regulation of trade promotion lotteries to allow them to be conducted without a permit.

Clause 4 amends the definitions contained in section 1.3 of the GRA to shorten the GRA by removing references to authorised deposit-taking institutions. ADI is defined in the Interpretation of Legislation Act 1984 and is not required to be defined again in the GRA.

Clause 5 amends section 3.4.13 of the GRA to provide that an application made to the Victorian Commission for Gambling and Liquor Regulation (the Commission) for approval of a nominee of a venue operator must be in the form approved by the Commission and be accompanied by the prescribed fee (if any).

The creation of a power to impose a fee by regulations is intended to provide the ability for the State to recover the regulatory costs associated with the activity.

Clause 6 amends section 3.4.22 and section 3.4.23 of the GRA to remove obsolete requirements for venue operators to notify the Commission of issues relating to their liquor licence.

Before the establishment of the Commission these provisions were required because liquor and gambling licences were issued and regulated separately. As the Commission now has responsibility for both liquor and gambling regulation, the requirements imposed by the relevant provisions are obsolete.

Clause 7 amends section 3.5.1 of the GRA to provide that authorised deposit-taking institutions (ADIs) or employees or agents of ADIs may obtain or be in possession of gaming equipment if it is obtained or possessed in accordance with the exercise of power by the ADI under a financial or other arrangement with a venue operator.

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Currently, under the GRA, in order to possess gaming equipment a person must either be a venue operator or listed on the Roll of Manufacturers, Suppliers and Testers.

New section 3.5.1(5A) allows ADIs to take possession of gaming equipment secured under a financial arrangement with a venue operator without being listed on the Roll of Manufacturers, Suppliers and Testers.

New section 3.5.1(5B) allows ADIs to sell or supply gaming equipment obtained under section 3.5.1(5A) to a person listed on the Roll of Manufacturers, Suppliers and Testers.

Clause 8 amends section 3.5.5 of the GRA to provide that an application made to the Commission for approval of a variation of a gaming machine type or game must be in the form approved by the Commission and be accompanied by the prescribed fee (if any).

The creation of a power to impose a fee by regulations is intended to provide the ability for the State to recover the regulatory costs associated with the activity.

Clause 9 amends section 3.6.6A and section 3.6.6B of the GRA to clarify the operation of the taxation provisions that apply to gaming machines in approved venues.

Section 3.6.6A provides for the calculation of tax in respect of gaming machines in approved venues with a pub licence.

Section 3.6.6B provides for the calculation of tax in respect of gaming machines in approved venues with a club licence.

The amendments do not change the method of calculating tax ation under section 3.6.6.A and section 3.6.6B. The amendments are only intended to clarify when an entitlement is counted when calculating the taxation to be paid under this section. This is consistent with how taxation has been calculated under the current provisions.

Clause 10 amends section 3.6.8 of the GRA to resolve an inconsistency relating to references to payment of tax by gaming operators rather than club venue operators for a failure to lodge a community benefit statement or to make the required community contribution.

Subclause (1) amends the heading to section 3.6.8 to reflect that the declaration applies to club venue operators to pay a different tax in some circumstances.

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Subclause (2)(a) amends section 3.6.8(1) to provide that the Commission may, in limited circumstances, declare that, instead of a venue operator paying the club tax rate under section 3.6.6B, the venue operator must pay the pub tax rate under section 3.6.6A.

Subclause (2)(b) amends section 3.6.8(4A) to provide that the Commission must declare that a club venue operator that has not lodged an audited community benefit statement in accordance with section 3.6.9 must pay the pub tax rate in respect of the period of time between the due date for the community benefit statement to the time that the statement is lodged.

Subclause (3) amends section 3.6.8(4B) to provide that the Commission must notify the venue operator of the making of a declaration under section 3.6.8(4A).

Subclause (4) amends section 3.6.8(4C) to update the cross-references in the section and to remove the obsolete requirement under section 3.6.8(5) for a gaming operator to inform a venue operator of the additional tax amounts paid.

Clause 11 inserts a new Division 3 in Part 6 of Chapter 3 of the GRA, consisting of section 3.6.13 to provide for the collection of unclaimed money associated with the conduct of gaming machines in accordance with the GRA.

Currently, unclaimed money relating to gaming machine play is administered under the Unclaimed Money Act 2008.

The GRA governs the collection of unclaimed money resulting from wagering and betting (section 4.6.9 of the GRA), public lotteries (section 5.5.9 of the GRA) and keno (section 6A.3.39D of the GRA).

The new Division will require winnings relating to gaming machine play that have remained unclaimed for 12 months to be paid to the Treasurer. This includes winnings less than $20. The provisions of the Unclaimed Money Act 2008 will not apply to amounts covered by the new section.

The provision only requires one annual lodgement of unclaimed gaming machine winnings, as opposed to the monthly requirement for other types of gambling. An annual payment is appropriate to minimise unnecessary administrative burden.

Persons who are the owner of the unclaimed money may make a demand on the Treasurer for payment of the amount.

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Clause 12 inserts a new Division 4A in Part 8A of Chapter 3 of the GRA allowing the Minister to determine standard venue conditions that will apply to arrangements between venue operators and the monitoring licensee in relation to the provision of pre-commitment services.

The Gambling Regulation Amendment (Pre-commitment) Act 2014 inserted section 3.8A.15 in the GRA enabling the Minister to direct venue operators to enter into venue pre-commitment services agreements with the monitoring licensee for the provision of pre-commitment on their gaming machines.

The new provisions will enable the Minister to specify standard conditions that apply and for these standard conditions to be published in the Government Gazette.

New section 3.8A.19A(1) provides that the Minister may determine the standard conditions that are to apply to a venue operator or a casino operator and to the monitoring licensee in relation to the provision of pre-commitment services.

New section 3.8A.19A(2) provides that the standard conditions may vary for different venue operators or classes of operators and for casino operators.

New section 3.8A.19A(3) requires the Minister to consult with venue operators, casino operators and the monitoring licensee before the Minister determines the standard conditions that will apply to the operators or licensee.

New section 3.8A.19B requires a determination to be published in the Government Gazette and provides that all relevant operators and the monitoring licensee must comply with the standard conditions contained in the determination.

New section 3.8A.19C provides that no compensation is payable by the State because of the making of a determination under section 3.8A.19A.

Clause 13 amends section 4.2.5(2B) and inserts a new 4.2.5(2BA) of the GRA to allow the wagering and betting licensee to apply a maximum 40 per cent commission rate for internationally pooled totalisators.

New section 4.2.5(2B)(a) provides that the maximum amount of commission that can be deducted in the case of bets transmitted to an international totalisator in relation to a wagering event that is conducted outside Australia, cannot exceed 40 per cent of the total amount invested in the totalisator.

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New section 4.2.5(2B)(b) provides that the maximum amount of commission deducted in relation to any other totalisator cannot exceed 25% of the total amount invested in the totalisator. This is consistent with the existing maximum commission.

New section 4.2.5(2BA) provides the definition of internationally pooled totalisator for which section 4.2.5(2B)(a) applies.

Clause 14 amends section 4.4.8 of the GRA to reflect the amendment to the maximum commission rate made by clause 13 of the Bill.

Clause 15 creates a new definition in section 4.5.1 of the GRA of corresponding sports betting law.

The new definition is required because of amendments made by clause 17 to introduce a mutual recognition system for the approval of sports controlling bodies in Victoria that have been approved in other Australian jurisdictions.

The definition of sports controlling body is also amended to reflect that a sports controlling body also includes an organisation declared under the new section 4.5.15A to be inserted by clause 13.

Clause 16 amends the heading of Division 4 of Part 5 of Chapter 4 of the GRA and to section 4.5.14 to reflect the changes made by clause 17 to introduce a mutual recognition system for the approval of sports controlling bodies in Victoria that have been approved in other Australian jurisdictions.

Clause 17 inserts a new section 4.5.15A in the GRA to introduce a mutual recognition system for the approval of sports controlling bodies in Victoria that have been approved in other Australian jurisdictions.

New section 4.5.15A creates a power for the Commission to approve a sports controlling body that has been approved in another Australian jurisdiction under a process that is at least equivalent to the process for approving a sports controlling body under the section 4.5.15 of the GRA.

It is intended that approval under section 4.5.15A will be simpler and quicker than approval under section 4.5.15. An organisation seeking approval under this section will not be required to pay any prescribed fee and will not be required to undertake the objection processes under section 4.5.12 and 4.5.13 of the GRA.

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These amendments arise from recommendations made by A Review of Sports Betting Regulation, conducted by Mr Des Gleeson, that was publicly released on 3 August 2011.

Clause 18 makes a number of technical amendments required because of the amendments made by clause 17 to introduce a mutual recognition system for the approval of sports controlling bodies in Victoria that have been approved in other Australian jurisdictions.

Clause 19 amends section 4.5.22 of the GRA to increase the penalty that applies to a sports betting provider offering a betting service on a sports betting event without an agreement in place between the sports controlling body for the event and the sports betting provider or a determination by the VCGLR.

The existing penalty of 60 penalty units will be increased to 120 penalty units.

This amendment arises from a recommendation made by A Review of Sports Betting Regulation, conducted by Mr Des Gleeson, that was publicly released on 3 August 2011.

Clause 20 amends section 4.5.29 and 4.5.30 of the GRA to enable sports controlling bodies to make an application to the Commission to prohibit betting on a sports betting contingency.

An agreement made between sports betting providers and sports controlling bodies under section 4.5.33 of the GRA may specify whether certain bet types are not permitted.

Section 4.5.29 of the GRA already provides the Commission with the power to prohibit betting on contingencies.

Subclause (1) provides that a sports controlling body may make an application to the Commission for it to consider whether a bet type should be made a prohibited contingency under section 4.5.29 of the GRA.

Subclause (2) inserts section 4.5.30(3A) in the GRA to provide that the Commission must provide a notice to the relevant sports controlling body in the event of the making of a prohibition, or variation or revocation of a prohibition.

Additionally, subclause (2) inserts section 4.5.30(3B) in the GRA to provide that the Commission must also provide written notice to a sports controlling body that makes an application to prohibit betting on a contingency of a decision to not prohibit it, and to provide reasons for the decision.

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These amendments arise from recommendations made by A Review of Sports Betting Regulation, conducted by Mr Des Gleeson, that was publicly released on 3 August 2011.

Clause 21 inserts a new Division 7 in Part 5 of Chapter 4 in the GRA to provide the Commission with an ongoing role in monitoring the integrity mechanisms of a sports controlling body to ensure that they are being implemented and enforced appropriately.

The GRA already requires sports controlling bodies to have adequate policies, rules, codes of conduct or other mechanisms designed to ensure the integrity of the events being bet on as well as the expertise, resources and authority necessary to administer and enforce those systems.

New section 4.5.32(1) provides that a sports controlling body must notify the Commission of any changes to the body's policies, rules, codes of conduct or other mechanisms designed to ensure the integrity of the events being bet on or to the expertise, resources and authority available to the body to administer and enforce those mechanisms.

New section 4.5.32(2) provides that the sports controlling body must provide notification under section 4.5.32(1) upon request by the Commission, and on an annual basis.

New sections 4.5.32(3) to (5) provide that a sports controlling body must advise the Commission as soon as practicable, but no later than 14 days after, becoming aware of a breach or suspected breach of the mechanisms designed to ensure the integrity of events being bet on, the action taken to investigate a breach or suspected breach, and the result of those investigations.

New section 4.5.33 provides that the Commission may, by written direction, require a sports controlling body to provide any information about the implementation of integrity mechanisms requested by the Commission. The Commission is required to provide a sports controlling body with at least 14 days to provide the information or documents under this provision.

These amendments arise from recommendations made by A Review of Sports Betting Regulation, conducted by Mr Des Gleeson, that was publicly released on 3 August 2011.

Clause 22 amends section 4.5A.7 of the GRA to extend the duration of a registration as a bookmaker or bookmaker's key employee.

In order to reduce the regulatory burden on Victorian businesses, the duration of a registration as a bookmaker or bookmaker's key employee will be extended from 5 years to 10 years.

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Clause 38 of the Bill provides that the extension applies to existing registrations so that they are taken to have been granted for a period of 10 years.

Clause 23 repeals section 4.5A.10(2)(a) of the GRA to remove the requirement for an approval of a bookmaking partnership by the Commission to be renewed every 3 years.

Section 4.5A.10(2)(a) of the GRA currently provides that an approval of a bookmaking partnership ceases to have effect 3 years after approval.

There is no integrity or other benefit to the Commission renewing the approval of bookmaking partnerships. The repeal of this requirement does not detract from any integrity mechanisms and requirements for associates that apply under the GRA.

Clause 24 amends section 4.6.1 of the GRA to reflect the amendment to the maximum commission rate made by clause 13 of the Bill.

Clause 25 amends section 5.7.1 of the GRA to remove an obsolete reference to a trade promotion lottery permit issued under Division 2 of Part 7 of Chapter 5 of the GRA. This reference is no longer required because of clause 26 of the Bill which removes the requirement to obtain a permit to conduct a trade promotion lottery with a prize pool over $5000.

Clause 26 amends section 5.7.2 of the GRA to remove the requirement for a business to obtain a permit to conduct a trade promotion lottery with a prize pool over $5000.

A trade promotion lottery is a lottery conducted for the purpose of promoting a trade or business, that includes an element of chance and provides for the award of prizes. Notably, an entry fee cannot be charged for a trade promotion lottery although entrants may incur an incidental cost to enter a trade promotion lottery.

Currently, a trade promotion lottery can be conducted without a permit in accordance with section 5.7.2 if the total prize value is $5000 or less, or under a permit issued by the Commission under section 5.7.4 of the GRA.

Subclause (1) amends the heading to section 5.7.2 to reflect the new arrangements for the conduct of trade promotion lotteries without a permit.

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Subsection (2) amends section 5.7.2(1) to provide that a person may conduct a trade promotion lottery of any prize value providing they comply with conditions of entry specified in section 5.7.2(2) and any conditions prescribed by regulations.

It is expected that regulations will be made under the new section 5.7.2(1)(b) to specify standard terms and conditions that will apply to all trade promotion lotteries.

Clause 27 repeals Divisions 2 and 3 of Part 7 of Chapter 5 of the GRA. These Divisions address applications for a trade promotion lottery permit (sections 5.7.3 to 5.7.6), the nomination of a person responsible for a permit (section 5.7.7), the imposition and amendment of conditions of a permit (sections 5.7.8 and 5.7.9), appeals against a decision not to grant a permit (section 5.7.10) and disciplinary action against a permit holder (sections 5.7.11 to 5.7.15).

These sections are no longer required because a permit will not longer be required to conduct a trade promotion lottery.

A number of the conditions that apply to trade promotion lotteries conducted under a permit that are being repealed will be reproduced in regulations made under section 5.7.2 of the GRA, including that a trade promotion lottery can only be conducted with the consent of the trade or business to be promoted and for the trade or business being promoted to be conducted in good faith.

Clause 28 amends section 5.7.16AA of the GRA to reflect the new arrangements for the conduct of trade promotion lotteries without a permit.

The remaining provisions of section 5.7.16AA are still required as they relate to the restriction on gaming machine play for entry into a trade promotion lottery.

Clause 29 amends section 5.7.16 of the GRA to reflect the new arrangements for the conduct of trade promotion lotteries without a permit.

Paragraph (a) amends section 5.7.16(1) of the GRA to provide that conducting a trade promotion lottery in breach of the conditions imposed by the GRA or regulations is an offence.

Paragraph (b) repeals section 5.7.16(2) of the GRA to remove an obsolete reference to an employee of a trade promotion lottery permit holder.

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Clause 30 amends section 5.7.16A to apply the existing restriction on gaming operators conducting trade promotion lotteries associated with the conduct of gaming to venue operators.

Since 16 August 2012, gaming operators have not been permitted to conduct gaming, and the responsibility for the conduct of gaming has been held by venue operators.

The restriction does not limit the capacity for a venue operator to conduct a trade promotion lottery promoting other aspects of their business including the sale of food and beverages.

Clause 31 repeals sections 5.7.17 and 5.7.18, Division 5 of Part 7 of Chapter 5 and section 5.7.20(2) of the GRA.

Section 5.7.17 of the GRA requires a trade promotion lottery permit holder to notify the Commission to notify of certain changes to their situation.

Section 5.7.18 of the GRA requires a permit holder to maintain records contained prescribed information for a period of three years. It is anticipated that record keeping for trade promotion lotteries conducted without a permit will be addressed in regulations.

Division 5 of Part 7 of Chapter 5 of the GRA provided that a person whose interested are affected by a decision of the Commission may apply to the Victorian Civil and Administrative Tribunal for a review.

Section 5.7.20(2) of the GRA provided that certain functions of the Commission relating to trade promotion lottery permits could not be performed by a single commissioner.

These sections are no longer required because a permit will not longer be required to conduct a trade promotion lottery.

Clause 32 amends sections 8.5.8 and 8.5A.9 of the GRA to extend the duration of a bingo centre operator's licence and a commercial raffle organiser's licence respectively.

In order to reduce the regulatory burden on Victorian businesses, the duration of a bingo centre operator's licence and a commercial raffle organiser's licence will be extended from 5 years to 10 years.

Clause 38 of the Bill provides that the extension applies to existing licences so that they are taken to have been issued for a period of 10 years.

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Clause 33 amends section 9A.1.18 of the GRA to make technical amendments to the requirement for certain persons to undertake responsible service of gaming training.

Subclause (1)(a) amends section 9A.1.18(1) to reproduce the existing requirement under section 9A.1.18(1A) that a person undertake the training within 6 months after commencing to work in the gaming machine area of an approved venue.

Subclause (1)(b) repeals section 9A.1.18(1A). This section is obsolete following the amendment made by subclause (1)(a).

Subclause (1)(c) amends section 9A.1.18(1B) to provide that the exemption from undertaking responsible service of gaming training applies to people who have completed the training within the 3 year period prior to commencing work in the gaming machine area of a gaming venue, not prior to generally commencing employment with a venue operator.

It also provides that the exemption applies to all employees of a venue operator who would otherwise be required to complete responsible service of gaming training, including both licensed and non-licensed persons.

Subclause (2) substitutes section 9A.1.18(2) of the GRA to clarify that it is an offence for a venue operator to employ a person to work in the gaming machine area of an approved venue who has not undertaken the appropriate responsible service of gaming training required under section 9A.1.18(1) regardless of whether the person holds a gaming industry employee's licence or not.

Clause 34 amends sections 10.2.1 and 10.2.2 of the GRA to remove references to the Minister for Community Services in relation to the establishment and functions of the Responsible Gambling Ministerial Advisory Council.

The Council is a body comprised of industry and community representatives established to provide advice to the Minister in relation to responsible gambling policy and gambling research. At the time these provisions were created the Minister for Community Services had portfolio responsibility for problem gambling help services and community education. These functions have since transferred to the Minister for Liquor and Gaming Regulation.

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Clause 35 amends section 10.4A.7 of the GRA to provide that an application made to the Commission for approval of an associate of a gaming industry participant must be in the form approved by the Commission and be accompanied by the prescribed fee (if any).

The creation of a power to impose a fee by regulations is intended to provide the ability for the State to recover the regulatory costs associated with the activity.

Clause 36 amends section 11.2.1 of the GRA to provide greater flexibility for the regulations to differentiate between the fees that apply to recover the regulatory costs associated with activities undertaken by the Commission.

The amendment is intended to provide that the regulations may specify the imposition of fees that vary for different classes of applications, gambling industry participants, gambling authorisations or premises, and for scales of fees according to the value of the services to which the fees relate.

The imposition of any fees by regulations will be subject to the processes under the Subordinate Legislation Act 1984.

Clause 37 amends Schedule 2 of the GRA to resolve errors in Schedule 2 resulting from changes to the TT-Line Gaming Act 1993 of Tasmania.

Chapter 9 of the GRA allows for the conduct of gaming on Trans-Tasman cruise ships operated under the TT-Line Gaming Act 1993. Section 9.2.1 of the GRA provides that the TT-Line Gaming Act 1993 applies as a law of Victoria subject to amendments set out in Schedule 2 of the GRA.

A number of amendments to Schedule 2 are required to reflect changes to the Tasmanian Act and the establishment of the Commission.

The amendments are only intended to resolve inconsistencies that have arisen as a result of various amendments made to the GRA and the Tasmanian Act.

Clause 38 amends Schedule 7 to the GRA to provide for transitional provisions in relation to amendments in the Bill extending the duration of licences and registrations and removing the requirement to obtain a permit to conduct a trade promotion lottery.

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New clause 31.1 provides that for the purposes of the new Part 31 of Schedule 7, the amending Act means the Gambling and Liquor Legislation Further Amendment Act 2014.

New clause 31.2 provides that a registration as a bookmaker or bookmaker's key employee, or a bingo centre operator's licence or commercial raffle organiser's licence that was in effect before the commencement of the relevant section of the amending Act is taken to have been granted for a period of 10 years from the date the registration took effect or the licence was granted.

The intention of this clause is to provide that the extension applies to existing registrations and licences so that they are taken to have been granted for a period of 10 years.

New clause 31.3 provides that a trade promotion lottery authorised under a permit issued before the commencement of the relevant section of the amending Act may be conducted after the commencement of the relevant section in accordance with the conditions of the permit as in force immediately before the commencement of the relevant section.

The intention of this clause is to provide that any ongoing trade promotion lotteries conducted under permit at the commencement of the removal of the permit requirement must still comply with any conditions imposed on the permit.

Clause 39 amends a number of sections of the GRA to reflect the removal of the defined term authorised deposit-taking institution and the replacement with the term "ADI", which is defined in the Interpretation of Legislation Act 1984.

PART 3—AMENDMENT OF LIQUOR CONTROL REFORM ACT 1998

Clause 40 inserts a new definition in section 3 of the LCRA of approved advanced RSA program. An approved advanced RSA program is a training program approved by the Commission under new section 146E which will be inserted by clause 46 of the Bill.

Clause 41 amends section 3B of the LCRA to remove an example of where supply of liquor occurs if a request to purchase liquor is made on a footpath.

Section 108 of the LCRA provides that a licensee must not use any place or premises, other than the licensed premises or authorised premises, for the supply of liquor.

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The amendment is intended to clarify that the service of alcohol on adjacent footpaths within the licensed premises by general licensees is the provision of liquor on-premises, and the licensee is responsible for ensuring compliance with all responsible service of alcohol provisions of the LCRA in relation to those areas.

It is not intended that any general licensees that are currently permitted to supply liquor for consumption on an adjacent footpath will not be permitted to do so following commencement of the provisions. This may require the amendment of the area considered to be within the licensed premises by the Commission for some general licensees so that they can continue to supply liquor on adjacent footpaths.

The amendment affirms the Government's commitment to the live music industry by imposing a legislative obligation to consider whether a liquor licensed premises was operating in an area first when considering the impact that noise generated by a live music venue is having on the amenity of a local area.

Clause 42 inserts new sections 66AA, 66AB, 66AC and 66AD in the LCRA to require certain liquor licensees to provide wholesale liquor sales data.

New section 66AA inserts a number of definitions for the purposes of Division 10 in Part 2 of the LCRA.

The definition of applicable licence is a licence that is not of a specified class or otherwise specified under new sections 66AB or 66AC.

The definition of reporting licensee means a holder of an applicable licence. A reporting licensee must provide wholesale liquor supply information in accordance with new section 66AD.

The definition of wholesale liquor transaction is a transaction in which a reporting licensee, under an applicable licence, supplies liquor to another licensee in that other licensee’s capacity as a licensee.

The definition of wholesale liquor supply information is information on the volume, value and type of liquor supplied in relation to a wholesale liquor transaction as well as any additional information required under regulations relating to a wholesale liquor transaction.

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New section 66AB provides the Minister with the power to determine by a Ministerial Order published in the Government Gazette that a licence or class of licences that would otherwise be subject to the reporting requirement is not to be subject to the requirement.

New section 66AC(1) provides the Minister with the power to determine by a Ministerial Order published in the Government Gazette that a licence held by a licence or class of licences that would otherwise be subject to the reporting requirement and is a small business is not to be subject to the requirement.

New section 66AC(2) requires the Minister to consult with the Minister administering the Small Business Commissioner Act 2013, and the Minister administering Part V of the Drugs, Poisons and Controlled Substances Act 1981, before making an Order under section 66AC(1).

New section 66AD(1) requires a reporting licensee who has conducted a wholesale liquor transaction in a prescribed period to provide the information specified in section 66AD(2) to a prescribed person on the prescribed day of every year. This section requires relevant licensees to provide wholesale liquor sales data.

New section 66AD(2) provides that the information to be provided under section 66AD(1) is the wholesale liquor supply information (defined in new section 66AA) for each wholesale liquor transaction carried out by the reporting licensee in the prescribed period.

New section 66AD(3) creates a power to specify in regulations the form and manner in which wholesale liquor supply information must be provided, the purposes the information may be used, the persons to whom a prescribed person may disclose the information and the limitations on the use of disclosure of the information.

New section 66AD(4) provides that no compensation is payable by the State in relation to anything done in compliance with section 66AD.

Clause 43 substitutes section 95(2) of the LCRA to provide that, before making a determination as to whether the continuation of a licence or BYO permit would detract from the amenity of an area in which a licensed premises is situated, the Commission must

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consider whether the licensee or permittee had been operating the licensed premises before any change to the area in which the licensed premises is situated that may affect the Commission' s view of the amenity of the area.

Clause 44 amends section 96A(1)(a) of the LCRA to resolve an incorrect reference to "an application under section 90". Amendments to the LCRA by the VCGLR Act removed section 90 applications for an inquiry into a licensee. These inquiries are now requested under section 91 of the LCRA.

Clause 45 amends section 97A(1) of the LCRA to resolve an incorrect reference to "grounds for an application under section 91 for an inquiry into the licensee". The relevant grounds for disciplinary action in relation to the licensee are now specified in section 90 for the purposes of Division 1 of Part 6 of the LCRA.

Clause 46 inserts a new Division 7 in Part 8 of the LCRA to provide that relevant persons must complete an advanced responsible service of alcohol (RSA) training program that has been approved by the Commission.

New section 146E provides that the Commission may approve training programs to be approved advanced RSA programs for the purposes of the LCRA.

New section 146F provides that the Minister may, by notice published in the Government Gazette, direct that a person who is in a class of persons specified in the direction must complete an approved advanced RSA program within the period specified in the direction.

It is intended that the direction will specify that a relevant person must undertake the training within 6 months of the event that mandates them to undertake the training.

PART 4—AMENDMENT TO VICTORIAN COMMISSION FOR GAMBLING AND LIQUOR REGULATION ACT 2011

Clause 47 amends section 3 of the VCGLR Act to insert a new definition of sessional commissioner. A sessional commissioner is a commissioner appointed under section 15A of the VCGLR Act which will be inserted by clause 49 of the Bill.

Clause 48 amends section 11(1)(c) of the VCGLR Act. Section 11 of the VCGLR Act specifies that the Commission consists of a

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commissioner appointed as a Chairperson, one or more commissioners appointed as Deputy Chairpersons and as many additional commissioners as the Minister considers necessary to enable the Commission to perform its functions.

The amendment provides that the constitution of the Commission also includes as many additional sessional commissioners as the Minister considers necessary to enable the Commission to perform its functions.

Clause 49 inserts new section 15A in the VCGLR Act to provide for the appointment of sessional commissioners of the Commission.

Currently any commissioners appointed under section 15 of the VCGLR are able to perform all functions that can be performed by a commissioner under the VCGLR Act. There is no capacity to appoint sessional commissioners to undertake limited functions under the VCGLR Act, the LCRA or the GRA.

Section 10.1.10 of the GRA (now repealed) previously provided for the appointment of sessional commissioners of the Victorian Commission for Gambling Regulation, who could be appointed to perform specified functions.

New section 15A(1) provides that the Governor in Council, on the recommendation of the Minister, may appoint qualified and eligible persons as sessional commissioners.

New section 15A(2) provides that the appointment of a sessional commissioner is to be on a part-time or daily basis, on the terms and conditions determined by the Governor in Council. In contrast, commissioners appointed under section 15 of the VCGLR Act may be appointed on a full-time or part-time basis.

New section 15A(3) provides that a sessional commissioner may be appointed for a specific period or a specific matter.

New section 15A(4) provides that, if a sessional commissioner is appointed for a specific matter, the commissioner must be allocated to that matter and may perform the functions of a commissioner only in relation to that matter.

Clause 50 amends section 18 of the VCGLR Act. Section 18 of the VCGLR Act provides that the Minister may appoint a person as an acting commissioner. The amendment provides that the Minister is not able to appoint an acting sessional commissioner.

Clause 51 inserts a new section 27(2A) in the VCGLR Act. Section 27 of the VCGLR Act provides for rules for a meeting of the

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Commission. Section 27(2) of the VCGLR Act provides that the quorum for a meeting of the Commission is 3 commissioners, including at least the Chairperson or a Deputy Chairperson.

New section 27(2A) provides that if a sessional commissioner has been appointed for a specific matter, the quorum for a meeting of the Commission that is to perform any function in relation to that matter must include that sessional commissioner.

Clause 52 amends section 30 of the VCGLR Act to provide that the Commission may delegate a number of functions to a single commissioner.

These functions include the power to determine whether to conduct an inquiry into whether there are grounds to take disciplinary action against a licensee (section 91 of the LCRA), a decision on whether to conduct an amenity inquiry (section 94 of the LCRA), a decision to accept an application for internal review beyond the 28 day time limit where exceptional circumstances apply (section 153 of the LCRA), and a decision to stay the operation of a decision pending an internal review (section 160 of the LCRA).

The amendments are intended to increase the efficiency and streamline decision making in relation to procedural matters considered by the Commission

Clause 53 amends section 33 of the VCGLR Act. Section 33 provides that the Commission may conduct an inquiry for the purposes of performing its functions or duties, or exercising its powers under the VCGLR Act, gambling legislation or liquor legislation.

New section 33(4) provides that, if a sessional commissioner has been appointed for a specific matter, that sessional commissioner must sit on any inquiry in relation to that matter.

PART 5—AMENDMENT OF GAMBLING AND LIQUOR LEGISLATION AMENDMENT (MODERNISATION) ACT 2014

Clause 54 amends section 3 of the Gambling and Liquor Legislation Amendment (Modernisation) Act 2014 to amend the changes to the definitions in the GRA made by that Act.

Paragraph (a) amends the definition of lottery to reflect the change made by clause 55 of the Bill.

Paragraph (b) amends the proposed definition of wagering service provider to remove the reference to "in Australia" which

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reflects the definition currently provided in section 2.5.19A of the GRA.

Clause 55 amends section 4 of the Gambling and Liquor Legislation Amendment (Modernisation) Act 2014 to amend the new definition of gambling inserted by that Act.

Subclause (1) inserts a range of activities that are to be considered gambling for the purposes of the GRA. These activities are currently specified as unlawful games under section 2.3.1 of the GRA.

Subclause (2) amends proposed sections 1.3AA(3)(a), (b) and (e) to provide that the exclusions of activities from the definition of gambling do not apply to listed activities inserted by subclause (1).

Subclause (3) amends proposed section 1.3AA to renumber that section to provide for the insertion, by subclause (1), of activities that are to be considered gambling.

Subclause (4) inserts a new section 1.3AA(5) to define unlisted activity as an activity that is not referred to in the new subsection (3) created by subclause (1).

Clause 56 amends sections 9 and 16 of the Gambling and Liquor Legislation Amendment (Modernisation) Act 2014 to increase the maximum penalty that applies to conducting unauthorised gambling under proposed section 2.2.1 of the GRA, advertising unauthorised gambling under proposed section 2.2.8 of the GRA and providing a place for unauthorised gambling under proposed section 2.5.20 of the GRA.

The maximum penalties for these offences will be increased to 1000 penalty units or imprisonment for 2 years or both. This is consistent with the current maximum penalty relating to the illegal betting under sections 2.5.2, 2.5.8 and 2.5.45 of the GRA.

Clause 57 amends section 48 of the Gambling and Liquor Legislation Amendment (Modernisation) Act 2014 to amend the restriction that applies under the GRA on the publication and use of race fields.

Subclause (1) amends proposed section 4.2.3A(1) to provide that the restriction on the publication of race fields information also applies to a wagering service provider causing the information to be published. This is intended to incorporate the restriction on causing information to be published created by the definition of publish under the existing section 2.5.19A of the GRA.

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Subclause (2) amends proposed section 4.2.3A of the GRA to provide that the exemption to the restriction on the use of race fields information only applies to registered bookmakers, and not to the wagering and betting licensee or the wagering and betting operator.

Subclause (3) amends proposed section 4.2.3C(1) to provide that the an approval to publish race fields information from an appropriate controlling body to a wagering service provider also includes approval to cause the information to be published.

Clause 58 amends section 55 of the Gambling and Liquor Legislation Amendment (Modernisation) Act 2014 to update the references to Part 29 of Schedule 7 to the GRA to instead refer to Part 30.

Section 27 of the State Taxation Legislation Amendment Act 2014 already inserted Part 29 in Schedule 7 to the GRA.

PART 6—REPEAL OF AMENDING ACT

Clause 59 provides for the automatic repeal of this Act on 1 August 2016. The repeal of this Act does not affect in any way the continuing operation of the amendments made by this Act (see section 15(1) of the Interpretation of Legislation Act 1984).

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