Peters WinstonRACING REFORM BILLFirst ReadingRt Hon WINSTON PETERS (Minister for Racing): I move that the Racing Reform Bill be reported to the House by 11 June 2019 and that the committee have authority to meet at any time while the House is sitting. Can I say Mr Speaker that I nominate the Transport and Infrastructure Committee to consider the bill. At the appropriate time I intend to move that the bill be reported to the House as I said by 11 June 2019 and that the committee have authority to meet at any time while the House is sitting (except during oral questions) during any evening on a day on which there has been a sitting of the House—Hon Gerry Brownlee: It comes later. Do that later.Rt Hon WINSTON PETERS: —and on a Friday in a week in which there has been a sitting of the House and outside the Wellington area despite Standing Orders 191 193 and 194(1)(b) and (c). For translation legally of that Mr Brownlee I'm happy to come over and give him some advice later.SPEAKER: Order! There's just a couple of vital words: I move the first reading of the bill" I think needs to be said as well.Rt Hon WINSTON PETERS: Yes I'm getting to it. I move That the Racing Reform Bill be now read a first time.Racing in New Zealand has a long and proud history. It's part of our culture our history and our traditions. Racing clubs and their facilities are often local focal points in the community playing an important role beyond the races themselves and the racing industry is an important part of New Zealand's economy particularly in the regions contributing $1.6 billion in the year 2016 to 2017. However the New Zealand racing industry is in decline and the economic benefits New Zealand receives from it are at risk—ASSISTANT SPEAKER (Adrian Rurawhe): Order! Sorry to interrupt the member but if the group who are having a hui in the aisle there could take their hui out into the lobbies please. Thank you.Rt Hon WINSTON PETERS: Mr Speaker it's only a hui "no matter". It is in New Zealand's interests to revitalise this industry. Its success will lead to increased employment opportunities support for communities and an increase in the industry's contribution to the economy. In April 2018 the Government commissioned Mr John Messara an Australian thoroughbred racing expert to conduct an independent high-level assessment of the state of New Zealand's racing industry.In August 2018 Mr Messara's report was released. He confirmed that the industry is at a tipping point and that without urgent intervention the industry is at risk of suffering irreparable damage. The public has been consulted on the Messara report with submitters being generally supportive of the report's overall direction. Late last year the Government also appointed a ministerial advisory committee to provide a further stream of advice on the Messara report. The ministerial advisory committee in its interim advice expressed support for the proposals contained within this bill. It's this bill that is taking a phased approach to responding to Mr Messara's findings which includes the on-going work of the ministerial advisory committee. This bill forms the Government's first legislative response to the recommendations of the Messara report. It amends the Racing Act 2013 and the Gaming Duties Act 1971 and will implement some of Messara's key recommendations. The Government intends to follow this bill with a second bill later this year to build upon the initial reforms implemented by this bill. In order to drive the immediate change required for the industry this bill reconstitutes the New Zealand Racing Board as the Racing Industry Transition Agency or in short RITA. RITA will have a changed membership and new transitional powers to enable the changes needed to move to the financially sustainable future that the Messara report envisaged. RITA will manage the transition and day-to-day operations of the industry for a limited period—and for those who know something about racing it will make one huge difference.Hon Gerry Brownlee: No it won't.Rt Hon WINSTON PETERS: —because Messara is an expert and the protester over on the other side in the form of Mr Brownlee knows nothing whatsoever about racing. These reforms are focused on increasing the financial sustainability of the racing industry. One way this bill will achieve this is by two offshore charges that will be implemented: an information-use charge and a point-of-consumption charge. Currently unlike the New Zealand-based provider overseas betting operators aren't required to contribute to the cost involved in conducting racing and sports in New Zealand. These offshore charges will ensure that overseas betting operators start to contribute to New Zealand including to the racing and sports codes from which they benefit. This bill will also allow betting on sports not currently represented by a qualified domestic national sporting organisation and will place the formula for calculating payments to sporting organisations into regulations. It's worth noting that these financial proposals were considered during the select committee stage of the previous Racing Amendment Bill in 2017. Apparently they were thought back then to be worth it when they were in Government.Hon Gerry Brownlee: Who wrote this speech?Rt Hon WINSTON PETERS: So when somebody makes that sort of speech—I'm able to write my own speech unlike that member. Hon Gerry Brownlee: Well he clearly can't remember it.Rt Hon WINSTON PETERS: That bill was withdrawn last year. Now Mr Brownlee bombast and behaving like a buffoon doesn't cut it in this Parliament and that's why he's on the second row. He'll be on the third row shortly and then out the door. This bill was withdrawn last year as it was prudent that its proposals be considered in the context of the wider reforms recommended by Mr Messara. The ministerial advisory committee has recommended and reconfirmed that the need to have these provisions in the bill are part of wider changes to reform the industry. This bill will also progressively repeal and replace the totalisator duty which is currently paid to the Crown over three years. These funds will instead be reinvested to the racing and sport sectors. A proportion of those funds will also be set aside—because we are a responsible Government—for industry-related gambling harm minimisation programmes.As indicated the Government intends to introduce a second Racing Amendment Bill later this year. This will build upon these initial reforms by establishing the future governance structure for New Zealand racing and will implement the other agreed recommendations from the Messara report. We intend to tell the racing industry right around this country in respect to these deliberations what their representatives in Parliament think. We need the racing industry all around New Zealand to know that this great industry—which has an enormous capacity to triple its exports and to do so much more in respect to the welfare in this country and to give so many employment opportunities in the main to so many young people—is a serious consideration and priority of this present Government. We intend to tell them and very clearly that they should hang on for a bit longer because hope's on its way and so is help. We have a chance to build a great industry that will deliver for all New Zealanders and this bill is a first step in that process. I commend this bill to the House."