ClubGRANTS Program Delivers Record $121 Million in Community Support in 2023

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ClubsNSW

More than 9,050 charities, health organisations and community groups received an average grant of $9,219 under the NSW ClubGRANTS scheme in the past 12 months.

In total, $121 million in financial support for community services, projects and programs was provided in the year to 31 August 2023 — that figure exceeded the mandatory contribution required under the ClubGRANTS Guidelines by over $50 million. The Guidelines are determined by the NSW Government and overseen by Liquor and Gaming NSW.

ClubGRANTS fall into three categories:

  • Category 1: Allocated by clubs to projects/services that contribute to the welfare and broader social fabric of the local community, including community welfare and social services, community development, community health services and employment assistance activities.
  • Category 2: Allocated by clubs to community development and support activities and projects not listed under Category 1, and/or a club’s core activities e.g. sport, returned servicemen’s league or veteran welfare, golf courses and bowling greens. This includes wages paid to staff to carry out maintenance.
  • Category 3: Infrastructure Grants administered by the Office of Responsible Gambling.

Some of the leading community beneficiaries of the ClubGRANTS program in 2023 are listed below.

Category 1

  • Ted Noffs Foundation: Australia’s largest provider of drug treatment for young people — $525,450
  • Oakdene House Foundation: Established to assist sufferers of addiction including problem gambling and alcoholism — $553,554
  • Learning Links: Supports children with learning difficulties and disabilities — $1,653,474
  • Little Wings: Provides medical flights and transfers for sick kids in regional areas — $486,867
  • Disaster Relief Australia (DRA): A veteran-led disaster relief organisation — $72,562. Since 2018, the club industry has donated close to $1 million to DRA.

Category 2 — often used to offset costs that would otherwise be raised through alternate means e.g. higher membership or entry fees, or for work carried out on facilities associated with a club’s core activities to enable the public’s participation e.g. golf course or bowling green maintenance.

  • Bulldogs Rugby League Club Ltd — $4.5 million (of which $892,000 was eligible for a tax rebate)
  • South Sydney District Junior Rugby Football — $2.2 million (of which $383,000 was eligible for a tax rebate)
  • Brighton Lakes Recreation and Golf Club — $1.7 million (of which $43,000 was eligible for a tax rebate)
  • St Johns Park Bowling Club — $805,000 (of which $482,000 was eligible for a tax rebate)

ClubGRANTS is one of Australia’s largest and most established grant programs and is a partnership between ClubsNSW and the NSW Government. It commenced in 1998 to formalise the longstanding practice of clubs responding and contributing to local community needs.

Rebecca Riant, CEO of ClubNSW, said ClubGRANTS has now delivered more than $1.5 billion in community benefits since its inception.

“ClubGRANTS is a fantastic program that drives support for community organisations and activities within a club’s local area and support for the core purpose for which clubs were established,” Ms Riant said.

“Every year, several thousand applications are received from charities that provide a range of vital services, including domestic violence crisis care, homeless shelters, veterans’ support and mental health programs. Without ClubGRANTS, many of these groups would not be able to provide the breadth of essential services that need continuous resourcing and financial certainty.”

Ms Riant said that aside from partnering with thousands of worthy external grant recipients, the ClubGRANTS Guidelines also ensure that funds are reinvested in facilities and services that benefit both club members and the broader community.

“That investment makes participation in sport, recreation and other activities more accessible and affordable for hundreds of thousands of community members — from junior footballers and netballers through to veterans and retired bowlers and golfers,” Ms Riant said.

“Of course, ClubGRANTS are just one way that the industry makes their communities better places to live. Clubs also support more than 75,000 jobs, contribute nearly 500,000 volunteer hours annually and put on over 10,000 free entertainment events each year. I could not be prouder to represent this industry.”

Eligibility for ClubGRANTS funding is determined in accordance with the Guidelines set by the NSW Government, which are regularly updated in response to community feedback. All applications are reviewed by local ClubGRANTS Committees that make recommendations for funding.

Just over 450 clubs (of approximately 1,100) in NSW qualify to participate in the ClubGRANTS program.

A full list of all ClubGRANTS recipients for the year to 31 August 2023 can be viewed at ClubGRANTS.com.au and a report outlining ClubGRANTS case studies can be found here.

The ClubGRANTS Guidelines can be viewed here.

ClubGRANTS FAQs

Q – What is the purpose of the ClubGRANTS program?

ClubGRANTS was established in 1998 and provides a formal framework to recognise the significant contribution that clubs make each year to projects, services and programs that benefit their community.

Q – How many clubs are eligible to participate in ClubGRANTS?

Registered clubs that earn $1 million or more in gaming machine profit each year are eligible to participate in the ClubGRANTS scheme. In the most recent reporting year to 31 August 2023, 458 clubs of approximately 1,100 across NSW participated in ClubGRANTS.

Q – Is all expenditure issued through the ClubGRANTS eligible for a tax rebate?

No. Clubs can only receive a tax rebate on eligible ClubGRANTS expenditure of up to 1.85% of a club’s gaming machine profits over $1 million during a tax year. In the most recent reporting year to 31 August 2023, more than $50 million of the $121 million distributed via ClubGRANTS did not attract a tax rebate.

Q – Who determines the level of expenditure that can be allocated to each ClubGRANT category?

These are specified in the ClubGRANT Guidelines. To qualify for the gaming machine tax rebate of 1.85%, clubs must allocate at least 0.75% of those funds over $1 million to Category 1 purposes, with the remainder allocated to Category 2 purposes (maximum 1.1%). Excess Category 1 expenditure may be used to cover shortfalls in Category 2, but the reverse does not apply.

Q – How many successful applications for financial support were submitted to the ClubGRANTS program in the 12-month reporting period?

More than 13,000 successful applications for support were received in the period to 31 August 2023.

Q – What is eligible expenditure under the ClubGRANTS scheme?

Eligible expenditure can take many forms, including (but not limited to): One-off funding to buy equipment, such as a vehicle for an aged care centre; extended or one-off staffing costs, such as training or wages for a new counsellor for a youth drop-in centre; and/or in-kind support, such as the occasional or ongoing use of club facilities for meetings or other activities. Funding requests must be for a specific purpose, and applicants need to identify how any funding sought under ClubGRANTS will be expended.

Q – How can ClubGRANTS funding be directed to professional sporting clubs, like NRL clubs?

Many clubs in NSW (specifically league clubs) were established with a core purpose of supporting local rugby league development and participation. Under the ClubGRANTS Guidelines set by the NSW Government, Category 2 expenditure can be allocated for professional sport purposes including National Rugby League, except for monetary payments to professional or semi-professional sports persons and their coaches and managers. ClubGRANTS funding for programs and projects related to sports clubs offset costs that would otherwise be raised through alternate means, including higher membership/annual subscription fees, higher gate/entry fees, and government grant programs.

Q – Can a club claim a gaming machine tax rebate for upgrading or improving a club’s facilities?

A tax rebate can be claimed under Category 2 for upgrading buildings, improving access to buildings, or upgrading communications, technology, or connections to utilities for club facilities. This is provided that the building or facility is not primarily commercial or related to gaming in nature and is not operated on a for-profit basis. The ClubGRANTS Guidelines also permit expenditure under Category 2 on work which is carried out on facilities associated with a club’s core activities e.g. a golf club’s course or a bowling club’s green.

Q – Why is the ClubGRANTS scheme being reviewed?

ClubGRANTS has not been formally reviewed since 2013 when the NSW Auditor-General conducted a performance audit of the scheme’s management, so it is appropriate that a fresh review occurs. Liquor and Gaming NSW will lead the review in consultation with The Cabinet Office and NSW Treasury. ClubsNSW welcomes the review and looks forward to working with stakeholders to further strengthen the program and ensure it remains fit for purpose.

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