Schemes of Arrangement by Listed Entities and (ii) Relaxation under Sub-rule ...
Considerations for privatising the Western Australian TAB
1. Priorto determiningwhetherthe privatisationof the WATABwouldbenefitthe racingindustrythe
followingmattersrequireconsideration.
Wagering Licence
1. What isthe model forthe privatisationof the TAB?
a. JointVenture model (VictorianModel)…flexiblefundingarrangement withprofit
sharing
b. Contractual model…needtoaccuratelyunderstandfundingneedssotheyare
writteninthe contract
c. SeparationModel…annual submissiontogovernmentforfundingeachyear
d. Racing IndustryModel…separationof governmentfromindustry
2. Will virtual gamblingbe includedinthe licence toattract a higherreturnfromthe sale?
a. Trackside
b. Keno
c. Exchange betting
d. Otherwageringproductsavailable toNTbasedbettingagencies
3. What will industryreceive (fromeitherthe purchaserorgovernment)?
a. Singularlumpsumforinfrastructure atstart of contract
b. Annual licencingfee(tofundinfrastructure)
c. Increase inrace fieldscommissions
d. Sponsorshipguaranteestoreplace currentTabtouch commitments
4. What are the impacton revenues causedby changingfromastatutoryauthorityto a private
companyas a resultof differenttreatmentsforwageringtax, GST,unclaimeddividends,
fractionsandothersubsidies
5. What are the selectioncriteriafordeterminingthe bestsale outcome
a. Returnto GovernmentorReturnto industry
b. Priorindustryexperienceormediaplayerinpartnership
6. If the industryistobe “no worse off”,how muchisthat?
a. CurrentDistribution?
b. A distributionthatallowsgrowthin racingproduct
Governance Structures
7. Will RWWA or the DRGL manage the licence (andcollectfees)?
8. What isthe model forRacingGovernance?
a. Will itstill be a statutoryAuthoritywithGovernmentoversightrepresenting industry
participantsandstakeholders?
b. Will there be a singulargovernance bodyrepresentingthe principle racingauthority
for all three codes?
c. Will there be separate governance structure foreachcode ?
9. Shouldthe breedingindustrycontinuetobe subsidisedbywageringincomes?
2. Racing Product
10. Who determinesthe racingprogramand fundingdistributionsinWA?
a. Highlyimpactedbydecisionongovernance structures
b. Will there be an equalisationcalculationtothe distributionorwill clubsonlyreceive
amountstheirownproductscontribute inproductfees?
11. What doesthe industryhave toprovide?
a. Is the newlicenseeguaranteedaccesstoon-course wageringordoclubshave the
freedomtochoose the beston-course wageringpartner?
b. Are clubscommittedtosponsorshiparrangementsonlywiththe new licensee orcan
theyseeksponsorshipfromotherbettingcompanies
12. What isthe strategyto increase the quantityandqualityof the racingproductso as to
increase revenuesunderaproductfee basis
13. Who will fundongoinginfrastructure needs
a. From government
b. From industryfunds
c. From the licence fee
RiskManagement
14. Withoutprivatisationandinaconsolidatinggamblingmarket,canthe WATABmaintainits
performance andmarketshare to the extentitcan continue tofundthe racingindustry?
a. All growthinWATAB revenuesare inresponse toincreasedwageringonEastern
Statesand overseasproduct