Dáil debates

Friday, 4 July 2014

Valuation Bill 2014: Second Stage [Private Members]

 

11:20 am

Photo of Jerry ButtimerJerry Buttimer (Cork South Central, Fine Gael) | Oireachtas source

First, I commend Deputy Cowen on introducing the Bill in the House. The Deputy may not believe it but I wish to support him in this regard. I do so as a former GAA club chairman of six years' standing and as a current member of a club that has a bar and a licensed premises and Deputy Cowen is correct.

My local club is paying an unfair price for having a bar area and the unfair rate it pays is causing great angst among its members. Sports club complexes, irrespective of which organisation is involved, generally feature dressing rooms, a sports hall, a meeting room and a function room. The facilities are frequently used by residents' associations, senior citizens, bridge clubs and other groups. Sports clubs do not operate to make money but because sporting organisations of all codes, whether soccer, rugby or GAA, are the heartbeat and core of communities. It is, therefore, unfair to impose a higher commercial rate on them.

I recall my local club treasurer, Jim Collins, bringing the annual bill from Cork City Council to executive committee meetings, which were held on Monday nights, and asking what could be done. The current approach penalises clubs because it creates and unfair burden and requires them to transfer to local authorities some of the funds they raise.

The technical difficulties the Minister of State outlined can be overcome on Committee Stage. I hope a way will be found to support clubs because their purpose is not to compete with local bars, hotels or restaurants but to raise revenue for club development and upgrading facilities. I accept, however, that the scale of activities may differ between clubs. My local GAA club in Bishopstown has a licensed premises on the complex and uses funds to provide state-of-the-art playing fields, all-weather pitches, astro-turf pitches, dressing rooms, a gym for club use and an indoor sports hall for club members. We do not seek to make vast profits from the premises for use elsewhere but to raise money for ongoing coaching and games development. We want to win a county championship and ensure the club makes progress. Sports clubs must generate revenue to maximise their potential and all such revenue remains within the club. Their ethos is one of pride, immersion in the community and promoting a sense of unity that binds together a parish or community, whether urban or rural.

Many club bars do not make substantial profits. Since the recession started, many people have stopped consuming alcohol mid-week and only go out once at the weekend. Many will not even visit the bar of their local sports club. While I do not propose to reveal commercially sensitive information, many club bars do not make the profits their competitors believe they are making. The bar is a social focal point for club members and a means of raising funds.

Sports clubs with a bar on the premises also pay excise duty and tax and PRSI for staff. While those who argue that people who are involved in sport should not promote alcohol are correct in theory, an amateur organisation that is trying to win a county championship needs money for coaching and games development and the provision of gear in local schools. There are only so many draw tickets one can sell and fund-raising events one can hold. My club takes a responsible approach to the sale and use of alcohol on the premises and runs a very good shop.

The technical issues the Minister of State raised can be addressed. I share the hope expressed by Deputy Regina Doherty that the Bill will not be parked for 14 years. I was struck by comments made during a debate on a previous Valuation Bill in May 2001, during which the then Minister of State at the Department of Finance, Mr. Martin Cullen, stated the following:

I am satisfied that the definition of "community hall" in the Bill allows for the exemption from rates of a building comprising dressing rooms, changing rooms used in connection with a playing field... The same would apply to a community recreation facility. However, if the sporting or recreation complex is licensed, the entire property will be rateable. I consider that this should be the position. Consequently, I do not accept that the amendments are necessary.
I hope the Government will not do as the former Minister of State did and penalise sports clubs of all codes that raise money to fund their activities. These clubs do not pass on profits to a large entity but use them to develop the sport.

This legislation has been introduced at an opportune time given the current farce surrounding the Garth Brooks concerts at Croke Park. Cumann Lúthchleas Gael, the best sports organisation in the world, is raising money through Croke Park to fund the development of hurling and Gaelic football, the best games in the world. It is a pity that all those involved, specifically Dublin City Council, local residents and the GAA, are not engaging more. This episode highlights for all those involved in sport and politics the need for constant engagement and dialogue. I hope the matter can be resolved. The demand made by Garth Brooks for five concerts or nothing is wrong. If, as he says, Ireland is dear to his heart, he should not penalise all those who bought tickets for his concerts or the supporters of Cumann Lúthchleas Gael who will use some of the proceeds to fund games development. I hope the problem can be resolved and I am sure Páirc Uí Chaoimh in Cork, which is a great venue, will be available to host two of his concerts.

This is an important Bill which addresses issues such as community, fund-raising for clubs, the playing of our native games and the use by sports clubs of all the profits they make. As Deputy Barry Cowen noted, the Bill does not propose to exclude entire sports complexes from a liability to pay rates. The bar area will continue to be included but we must not penalise sports clubs. We must give those who promote sport at local level an incentive to continue doing so, rather than penalising them through high rate bills. Many clubs do not make the profits people believe they make.

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