Amalgamation of Bellingen’s two licensed clubs is back on the agenda.
The Bellingen Bowling Club recently held a meeting of members where amalgamation with the Golf Club was one of the options put forward by the directors.
Other options included selling the poker machines to pay off some of the club’s debt and going completely voluntary with members running the bar and maintaining the bowling greens.
The Golf Club will hold an ‘information’ meeting on Thursday, July 31 when members will once again be asked to consider amalgamation of the two licensed clubs.
In December 2005, golf club members overwhelmingly rejected a motion that the two clubs investigate the possibility of a merger.
However, Golf Club president, Brian Mortimer said he was hopeful members would at least support the two clubs commencing merger talks.
“Personally, I support an amalgamation,” Mr Mortimer said. “It would be a joining of the clubs, not a takeover by the golf club.”
“But for the amalgamation to go ahead, the Bowling Club must come to us with money after they have paid off all their debts so we can build a synthetic bowling green and refurbish our club to accommodate both sets of members,” he said.
“One united club will be an asset to the town attracting visitors with a picturesque golf course, bowling green and bistro.”
The Golf Club returned a profit of $40,000 in 2007, but smoking bans have caused poker machine revenue to fall by at least 10 percent and a wet summer saw the golf course closed for many days, which resulted in a downturn in revenue in all areas, including the bar and bistro.
Steve Glyde, who is the Secretary and licensee of the Bowling Club, said his club had to keep trading otherwise they would have to break into their equity. “The buildings and poker machines must be worth more than our debt.”
He said currently the club owed $320,000 to the Credit Union and Taxation Department.
“Our poker machine revenue is down since the introduction of smoking bans inside clubs and that has affected our overall trade,” Mr Glyde said. “We have cut back our permanent staff to one full-time and one part-time (15 hours a week) with casuals and volunteers working the bar.”
“The only solution is amalgamation, try to make one strong and viable club.”
He said the club could pay off its debt by selling the site, which was valued at $560,000 and the poker machine licences, valued at $90,000. “The land is zoned recreational, but that could be changed to accommodate aged units, or similar.”
“We would then have sufficient funds to build a bowling green, possibly a synthetic green, on the golf course.”
The Bowling Club requires the support of 50 percent, plus one, of its members at next month’s annual general meeting for the amalgamation process to commence. If approved, it would then go to an extraordinary general meeting of golf club members, when again it would need the support of 50 percent, plus one, of the members.
If the initial amalgamation motions are successful, it would then go to a second vote of Bowling Club members when it would require the support of 75 percent, plus one. Then everything becomes a cost for the golf club.
Mr Glyde said small clubs were not coping with the smoking bans and the general downturn in the economy. “People just don’t have the money to spend.”
“And, Woolworths and Coles don’t have to contend with the conditions imposed on clubs and pubs for the sale of alcohol.”
David Doyle, President of the Coffs Ex-Services Club and an executive member of ClubsNSW, said there was funding available from ClubsNSW to assist small clubs with amalgamation.
As well, Mr Doyle said IPART (the Independent Pricing and Regulatory Tribunal of New South Wales) says the State Government should do more to assist ailing clubs and provide funding up to $50,000 to those wanting to amalgamate. “Receivers eat up the funds very quickly.”
He said there was also funding available for the construction of bowling greens from the State Government through the Department of Sport and Recreation and the Federal Government.”
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