Port Pirie Racecourse Site Amendment Bill

Second Reading

The Hon. G.E. GAGO (Minister for Employment, Higher Education and Skills, Minister for Science and Information Economy, Minister for the Status of Women, Minister for Business Services and Consumers) (12:59): I move:

That this bill be now read a second time.

I seek leave to have the second reading speech and explanation of clauses inserted in Hansard without my reading it.

Leave granted.

This Bill amends the Port Pirie Racecourse Site Act 1946.

The Act first came into operation in 1946 and sets up a statutory purpose trust over the Port Pirie Racecourse land. The land was originally gifted to the Port Pirie Trotting and Racing Club (now known as the Port Pirie Harness Racing Club inc) (the Club) by the Crown on the basis that it would be used for the objects of the club, in accordance with its constitution at the time of its establishment. These objects include carrying on horse-racing for the purposes of recreation and amusement, providing social and sporting advantages for its members and persons interested in horse-racing, promoting the improvement of horse racing in South Australia, to acquire and hold property for achieving its objects, and to apply its profits for the furtherance of its objects.

This means that the Act, as it stands, does not allow the Club to use the land for any other purpose. This Bill changes this by amending the Act to allow the Club to enter into a lease, licence or easement with a person or entity which can involve using the land for a purpose other than horse racing. The changes to the Act proposed in the Bill mean that the Minister for Racing will have the ability to authorise activities, including commercial development on the site. This amendment broadens the Club's ability to generate opportunities to best meet its objects. The amendment ensures that there are appropriate measures in place and provides that the lease, licence or easement is approved by the Minister responsible for the Act.

The passing of this Bill will enable the possibility of a commercial and regional centre development in Port Pirie involving a portion of currently disused racecourse land coming under the Act and an area directly adjacent to the racecourse. This proposed development will support economic and commercial development in the Port Pirie community and surrounding regions, stimulating job creation, business opportunities and other benefits for the community. It will enable the Club to generate funds that, in turn, will be used to promote the objects of the Club.

The Bill allows for a lease, licence or easement to be renewed from time to time and sets up a system whereby any major variations to a lease, licence or easement that have not been approved are voidable by the Minister.

In addition, the Bill creates a mechanism to rectify the situation where a party to an approved lease, licence or easement fails to comply with the terms and conditions of the lease, licence or easement. In these cases, the Minister would give notice to the Club in writing requiring the Club to comply with a term of the lease, licence or easement or, if the other party was at fault, to require the Club to enforce a term or condition of an approved lease, licence or easement against another party to it. In accordance with section 4(3) of the Bill, if the Minister was satisfied that the Club had not complied with the Notice after a period of 6 months, the Governor could by proclamation resume the portion of racecourse land that is subject to the lease, licence or easement and the Club's title to the resumed land would again vest in the Crown. In accordance with section 4(4)(e) of the Bill, the rights of any holder of an approved lease or licence in relation to the land, subject to the terms of the lease, licence or easement, would remain in full force and effect.

This system would operate alongside the current mechanisms in the Act that require the Club to abide by its objects when using of the balance of the land, which are those parts not subject to an approved lease, licence or easement.

I commend the Bill to Members.

Explanation of Clauses

1—Short title

This clause is formal.

2—Interpretation

This clause defines the principal Act that is to be amended by this measure. The principal Act is defined as the Port Pirie Racecourse Site Act 1946 ('the 1946 Act') as read together with or amended by the Port Pirie Racecourse Land Revestment Act 1960, the Port Pirie Racecourse Land Revestment Act 1965 and the Port Pirie Racecourse Land Revestment Act 1981 ('the revestment Acts'). Each revestment Act states that a certain portion of the land vested by the 1946 Act in the Port Pirie Harness Racing Club Incorporated ('the club') ceases to be so vested and each of those Acts has to be read together with the 1946 Act for that purpose. It is therefore the 1946 Act read together with the revestment Acts that is to be amended by this measure.

3—Amendment of principal Act

This clause contains all of the amendments to the principal Act, as follows:

(a) Paragraph (a) adds definitions of certain terms to be used in the principal Act and updates the definition of certain terms currently used in the Act:

an approved lease, licence or easement is defined to mean a lease, licence or easement approved by the Minister under section 4(1b) of the principal Act;

the existing definition of the club is altered to refer to the current name of the club;

the existing definition of the defined land is altered to refer to the current definition of the part of the land originally vested in the club under the 1946 Act that remains after the removal of various portions of that land by the revestment Acts;

an easement is defined to include a right-of-way;

(b) Paragraph (b) makes provision for the land vested in the club under the 1946 Act to be used for purposes other than those currently permitted by the Act. The land can only be used at present for the objects for which the club was established in 1946. Under the amendments, however, the club can grant to another person or body a right to use the land vested in the club by the 1946 Act for objects other than those for which the club was established provided that the right is conferred under a lease, licence or easement approved by the Minister by notice in writing. The use of land for purposes provided for under such an approved lease, licence or easement will be taken to comply with the objects for which the club was established. The Minister's approval can be subject to such terms and conditions as the Minister considers necessary or appropriate and specifies in the notice.

A variation (other than a minor variation) of such an approved lease, licence or easement has to be approved by the Minister, otherwise the variation is voidable at the option of the Minister.

If an approved lease, licence or easement is renewed, it continues to be approved as long as the terms and conditions are the same or substantially the same as those originally approved.

Paragraph (b) also amends the power of the Minister to intervene where the club does not comply with the requirements of the principal Act. Currently, if the land is not used by the club for the objects for which the club was established, the Minister can by notice in writing require the club to use the land for those objects. If the club fails to do so within 6 months the Governor can by proclamation resume the land vested in the club by the Act. Under the amendments, if the land is not used by the club for the purposes for which the club was established or if a party to an approved lease, licence or easement does not comply with the terms and conditions of that lease licence or easement, the Minister can by notice in writing require the club to take such action to remedy the default as the Minister thinks fit and specifies in the notice. In particular, the Minister can require the club to comply with any term or condition of an approved lease, licence or easement or require the club to enforce any term or condition of such a lease, licence or easement against another party;

(c) Paragraph (c) amends the principal Act to provide that if the club fails to comply with a notice from the Minister to remedy a default in the use of the land or in the compliance with the terms and conditions of an approved lease, licence or easement, the Governor can resume the land vested in the club by the Act or can resume the part of the land that is subject to the lease, licence or easement. The Act currently allows only the resumption of the land vested in the club by the Act;

(d) Paragraph (d) amends section 4(4)(a) of the principal Act. The change is consequential on the alteration of the Governor's powers to resume land referred to in paragraph (c) above;

(e) Paragraph (e) gives the Registrar-General power to make such alterations to land records and titles as may be necessary to give effect to a resumption by the Governor of land currently vested in the club by the principal Act;

(f) Paragraph (f) amends section 4(4)(c) of the principal Act. That provision currently enables the club to remove all buildings on the land vested in the club by the Act if that land is resumed by the Governor. That power is currently subject to the rights of any mortgagee over the land. This amendment provides that that power of the club is now also subject to the rights of the holder of any approved lease, licence or easement;

(g) Paragraph (g) amends section 4(4)(c) of the principal Act. The change is consequential on the alteration of the Governor's powers to resume land referred to in paragraph (c) above;

(h) Paragraph (h) amends section 4(4)(d) of the principal Act. This change is also consequential on the alteration of the Governor's powers to resume land referred to in paragraph (c) above;

(i) Paragraph (i) amends the principal Act to provide that where the Governor resumes land vested in the club under the principal Act, the rights of the holder of an approved lease, licence or easement to or in relation to the resumed land will, subject to the terms and conditions of the lease, licence or easement, remain in full force and effect. This is similar to an existing provision in the principal Act preserving the rights of a mortgagee over such land (section 4(4)(d));

(j) Paragraph (j) amends the principal Act to insert the current name of the council within whose area the land vested by the principal Act falls;

(k) Paragraph (k) amends section 6 of the principal Act. Section 6 currently provides that the land vested by the Act and all buildings and erections on the land are exempt from land tax and council rates, except for land and buildings used for residential purposes. This amendment provides that the exemption from land tax and council rates also does not apply to land under an approved lease, licence or easement;

(l) Paragraph (l) removes a reference in the principal Act to legislation that is no longer applicable.

4—Repeal of revestment Acts

This clause repeals the Port Pirie Racecourse Land Revestment Act 1960, the Port Pirie Racecourse Land Revestment Act 1965 and the Port Pirie Racecourse Land Revestment Act 1981. Each of these Acts removed a portion of the land originally vested in the club by the 1946 Act. They did so by describing the land to be removed and stating that that land ceased to be vested in the club. Each has to be read with the 1946 Act in order to identify the land that is still vested in the club. Clause 4(a) of this measure now inserts into the principal Act the current description of the land that is still vested in the club. The revestment Acts are therefore no longer required.

Debate adjourned on motion of Hon. T.J. Stephens.