Kaye NikkiHon NIKKI KAYE (National—Auckland Central): I'm very pleased to take a call on this piece of legislation the Racing Reform Bill. Firstly can I just acknowledge all of those people that made submissions to the Transport and Infrastructure Committee. We had a total of 42 submissions—a number of submissions from obviously the racing industry but also a number of submissions from the sporting codes of New Zealand. And I think that's the first point that I would make at the outset of my speech. I was very clear when this bill was introduced that this is not just about the racing industry; this bill has huge potential to impact sport and sport funding in New Zealand.I do want to acknowledge the Minister for Racing for the work that he has done. I've had quite a bit of feedback from obviously people in the racing industry in terms of this legislation. It is important that we ensure the viability of the racing sector—you've got $1.6 billion; you've got 18000 jobs—but again as National's sport and recreation spokesperson it's really important that we have balance in this debate. So the purpose of my speech is going to be to talk about what we heard at the select committee level both for racing but also for sport.So coming back to that—42 submissions—again some very strong themes came through. I think it is fair to say that there were people from racing and sport who wanted this bill to be passed and National respects that. We acknowledge that. That is why not only did we vote for it to go to select committee but we've continued to vote for it through the House. And I want to make it absolutely clear that National has voted for this bill because we see the benefit for racing and sport in terms of funding. But we do want to put on record absolutely here the appalling process that we have been under for this bill. We had around five days for people to get submissions in. That was over a long weekend and it was reflected in the departmental report summary it was reflected in the people that made submissions that that is unacceptable. The reason that it is unacceptable is that these are huge amounts of money for both sport and racing. We had the betting operators turn up—the Remote Gambling Association—and raise really serious issues about not just the impact domestically but what it means internationally in trying to collect levies over jurisdictions. So I'd put it on record that National had major concerns around the process in terms of this bill.But coming to the substantive issues one of the concerns that we raised during the select committee process was that we absolutely need to have a transition authority—that is called the Racing Industry Transition Agency (RITA)—but what is really important is that we do look at those issues of core representation. This is important again because if you look at the wide powers in this legislation given to the Minister for Racing it matters who is on RITA. Again I can't possibly comment as to whether the Minister for Racing has appointed people or shoulder-tapped them before this legislation has gone through but my plea to the Minister for Racing and also to the Minister for Sport and Recreation—who I note is not in the House but I'm not allowed to say that so I won't say that—is that there is real consideration given to the people who are on RITA. It matters. They are making huge decisions around the future of funding of racing and sport and National has absolutely argued for greater balance.The second issue that we raised during the select committee process was this issue of certainty of funding for the codes. Now again we understand the arguments that have been put up in select committee. In fact my learned colleague the Hon David Bennett who did do some work on this—and National previously had a bill that had some provisions that were similar to this legislation—said that while we understand the need to have flexibility around the formula which was supported in a number of submissions there was this idea that we couldn't actually recognise that there's been a huge increase in sport betting; that actually that was raised by a number of submitters; and that when it comes to the sporting organisations they are absolutely running that argument. It was acknowledged by the Remote Gambling Association who actually said This bill should be called the 'Sports Betting Bill'." Because if you look at the amount of betting that actually occurs on overseas events they estimate—they actually disagree with the Messara report—that it could be up to 95 percent of betting that is sports-related betting. So it is absolutely fair and real for the National Party not only to raise these issues of representation on RITA but also to raise these issues of fairness of distribution. We accept that there is a case for flexibility—National has previously proposed that—but we are absolutely interested in ensuring that there is balance between the Minister for Sport and Recreation and the Minister for Racing around that distribution.We were pleased that during the select committee process it was acknowledged that the Minister of sport needs to be part of this. I do want to put on the record because I've asked questions of the Minister of sport that it is appropriate for Parliament and for New Zealand to understand what advocacy the Minister of sport has made in these areas and I have questions back to a select committee hearing where I'll be grilling the Minister tomorrow where he's refusing basically to give that information and I think New Zealanders need to understand where the Minister of sport is in this important debate for the future funding of sport and we have raised those issues in the select committee process.The other issue that we raised in the select committee process which we heard from a range of submitters was around the totalisator levy. Now again this is important because it cuts to the heart of the timing and release of some funding for both sport and racing. What has been argued by the Minister and what we landed on at the select committee—but National has raised the issues that were raised by some submitters—is a progressive repeal. Now again this is a large amount of money; this is $13.8 million. National raised the issue that select committee submitters raised which was "Why don't you consider doing it immediately?" Now again we heard from officials. It's not clear whether the Rt Hon Winston Peters actually argued for that in a Budget bid—I'm hoping that I'll find that out tomorrow in select committee from the Minister of sport—but we heard passionate submissions from people who said "If you're really serious about viability issues in sport and racing then you'll consider the timing and release of that funding and that funding being earlier."So again as I've said before National is very clear that we have heard the voices of both the racing industry and the sports sector. We agree that this bill needs to be supported because it can lead to greater funding for both sectors. However we have major concerns about the lack of balance in this legislation and guarantees for the sporting sector. We have raised that in our minority report through arguing the real issues of representation around RITA through arguing this idea that no national sporting organisation could lose from this bill but also through raising those questions of fairer distribution given the huge increase that is happening in terms of sport betting. We also acknowledge and I hear this from sporting organisations across New Zealand this issue of reduced amounts of funding that are coming to the sectors via other funding pools. So it's very relevant for these sporting organisations.I do want to take a moment to acknowledge the national sporting organisations—New Zealand Rugby Netball New Zealand New Zealand Cricket. All of these sporting organisations have engaged in good faith in the process but they have been really clear: it is time to give them greater recognition through this legislation through the enormous amount of sport betting that occurs. They couldn't have been clearer in their submissions. They have argued for instance that whatever is bet in the sport should come back to the sport. National has listened to some of the submissions that they have put up. Again this is about recognising that actually when you look at sport as an industry we're talking about billions in revenue for the country. We're talking about 35000 jobs. Again we're balancing that with $1.6 billion of revenue for the racing industry and 18000 jobs.I do acknowledge the conversations that I've had with people in the racing industry about the historic investment that they have made in the platform and the infrastructure and we need to recognise that but we will be holding the Government to account in terms of balance. We know that the Minister of sport is slightly missing in action but we have absolutely made it very clear to sporting organisations that we are a party of balance that it is important that the Minister for Racing considers the millions of dollars that can potentially be lost if he gets the distribution wrong for sport—that's coaches that's sporting organisations that's our top athletes alongside those stable hands those jockeys. It's really important to have balance. National supports this bill to the House. We congratulate the Minister for Racing on the work that he's doing for the viability of the racing industry but we raise these fundamental issues for sport because we need to have balance in this House."