Review of the Registered Clubs Industry in NSW - Clubs NSW

5 Refining the Community Development and Support
Expenditure Scheme
5.3 Increasing support for CDSE local committees
During consultation, the OLGR proposed to provide greater support to CDSE local
committees through, for example, an annual conference for committee members and
the provision of more guidance on process and conflict resolution issues. 78 While
clubs and industry stakeholders were generally happy with the CDSE local
committee process, IPART believes the OLGR proposal would further strengthen
committee processes by offering greater support and disseminating best practice to
participants and convenors.
Recommendation
9 That the Office of Liquor, Gaming and Racing (OLGR) provide greater support for local
CDSE committees through an annual conference for committees and provision of
support materials on issues such as priority-setting, decision-making and conflict
resolution procedures, and information to clubs on valuing in-kind contributions.
5.4 Improving guidance to clubs on measuring in-kind CDSE
After considering comments received on in-kind measurement options, IPART
believes market value is best suited to measuring clubs’ in-kind provision of goods
and services. It assigns a commercial or market value to the good provided in-kind.
The value of the club’s direct social contribution is then found by subtracting any
price or fee charged by the club from the commercial or market value assigned to the
good.
5.4.1 The need for clearer direction
While clubs do not appear to have any problems describing the in-kind contributions
they make, IPART’s roundtable and case study club consultation revealed the
difficulty they experience when trying to quantify them. This difficulty was further
demonstrated by the limited comment IPART received about the options outlined in
the issues paper for club in-kind contribution measurement.
Clubs have expressed a view that it is unclear how the in-kind provision of goods
and services should be calculated. Some confusion on their part is understandable,
because both the March 2004 and the revised October 2007 CDSE guidelines 79 say
that ‘actual cost’ rather than market price should be claimed, but the guidelines do
not define or give examples of actual cost. Actual costs could be interpreted in a
number of ways, for example as opportunity cost, marginal cost, avoided cost or
average cost – all of which would produce different values.
78 For example, OLGR, Sydney roundtable, 27 August 2007, p 20.
79 OLGR, CDSE Scheme Guidelines, March 2004, p 7; October 2007, p 6.
Review of the Registered Clubs Industry in NSW IPART 81