Simmonds pushes back on MP's licensing trust bill
“I have written to Simon Court, and I intend to have more discussions with him, because it is not what is wanted down here."
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Invercargill MP Penny Simmonds has written to a fellow MP telling him his quest to get rid of the licensing trust alcohol “monopolies” isn’t wanted in Southland.
ACT list MP Simon Court revealed last week he had lodged a new member’s bill to abolish the remaining liquor licensing trusts’ trading privileges - including the Invercargill Licensing Trust and Mataura Licensing Trust.
Court, who is based in West Auckland where the Waitakere Licensing Trust operates, has labelled the rules “silly”.
Simmonds confirmed she has and will continue push back on Court’s member’s bill.
“I have written to Simon Court, and I intend to have more discussions with him, because it is not what is wanted down here,” Simmonds told The Tribune.
“So, I need to talk to him about narrowing the scope down for what he is wanting to do. I would like him to, say, narrow it down to just his West Auckland situation, not bringing in Southland where it is not wanted, and it’s not needed.”
Simmonds was puzzled by the bill given there was already a mechanism for the public to ditch trading privileges in their area if that’s what they want.
Any individual can trigger a vote on possibly removing those trading privileges if they can gather the required amount of petition signatures.
“I’m not sure why he is trying to impose something when there is an ability for locals to do that,” Simmonds said.
“However, he wants to get something narrower through that’s up to him, but I certainly don’t want something imposed on us that we don’t want.”
Simmonds is well aware of the role ILT plays in Invercargill community. She herself has been in various roles at different organisations that have benefacted from Invercargill Licensing Trust funding.
In the latest financial year ILT provided $9.1m in funding to community organisations, with $5.8m of that coming from gaming machine profits and the remainder from its hospitality business profits.
Simmonds was the Southern Institute of Technology’s CEO when the ILT played a significant role in helping fund the initial setup of the polytechnic’s Zero Fees scheme.
Simmonds was also a key figure within Hockey Southland when it pulled together the required funds to get a new hockey complex built at Turnbull Thomson Park.
The ILT was a significant funder for that project.
Court’s member’s bill will go into the “biscuit tin” with the possibility of being drawn from the ballot.
It is purely based on luck and many bills will never be drawn. If the bill is pulled out of the “biscuit tin”, they will then go to the first reading at Parliament.
Members can bypass the ballot if they can gain support for their proposed bill from 61 members, excluding Ministers and Parliamentary Under-Secretaries.
Simmonds confirmed she will be lobbying her fellow National party colleagues and explaining why Court’s bill - as it stands - should not be supported.
ILT was set up in 1944 and is the largest remaining trust. Mataura was started in 1955 and the two Auckland-based trusts in the 1970s.
The main restriction in Invercargill, and in the Mataura Licensing Trust area, is that the public cannot buy alcohol in supermarkets.
ILT CEO Chris Ramsay said they would continue to fight for that privilege to remain to ensure they can continue to return the levels of funding - last year $9.1m - back to the community.
However, Ramsay pointed out private businesses can and do operate with liquor licenses in Invercargill.
“In strict terms, it is not actually a monopoly, but I also don’t want to downplay it. It is a trading privilege.”
Court said he did not want the remaining licensing trusts scrapped, saying they would be able to continue to operate if his member’s bill was successful.
“We are going to end the monopoly. The licensing trusts can continue to operate bars, restaurants, lots and lots of pokie machines, they can continue to return their profits - as meagre as they are - back to the communities. We are not going to stop them doing that.
“But what we are going to do is, if someone wants to set up a hotel and offer room service, they are able to do that,” Court told The Platform.
“What we want is to allow competition. These are fast growing areas, Invercargill is popular.
“I’m down there two or three times a year and it is growing fast; it is an attractive place to live and work. Housing is relatively affordable, there are good high paid jobs down there.
“The Invercargill Licensing Trust and Mataura [Licensing Trust] should back themselves.”
Court was asked about the fact there is already the prospect of a referendum if the majority of the public want the remaining licensing trust privileges removed.
“We’ve tried referenda to end the monopolies. The reason I’m taking this bill to Wellington, and I’m going solve this problem through legislation, is that it is just too difficult to get it. It is 15% [to trigger a referendum] and a number of people have tried.
“I’ve been involved in a group called the West Auckland Licensing Trust Action Group, which has tried to get the signatures that they needed to force a referendum at the Local Government elections, it hasn’t been possible.”
As well as the $ benefit of this trust there are costs or constraints to the Invercargill community also. Over 80 years the raising of discussion around the costs to our community brings a single point refute of any points made - that it’s all about the dosh . There is a closing down of conversation . Already powerful voices articulate the story the way that it is… that in $ benefit of the status quo is indisputable and overriding. Sounds like we should change the law to compel it everywhere then ?