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Advice to many New Zealand sport clubs from their relevant national body, is to avoid undertaking any constitutional reform (as required by the Incorporated Societies Act 2022), until the national body has first reconstituted. This advice poses an important question. Are clubs the offspring of their national body, or are national bodies designed by (and accountable to) their clubs?

There are some benefits to top-down constitutional design, (for example, to ensure that rules concerning affiliation are clearly articulated), but there are also risks, (for example, in directing clubs as to how they should manage their independent affairs more generally).

The New Zealand Rugby Union Incorporated (NZRU) was in the headlines this past week, not for its on-field achievements, but as a result of its off-field governance battle for the soul of the game.

At the heart of the current Board Room maul is a fight for possession of the right to make national decisions in the best interests of the game, with New Zealand Rugby’s “shareholders,” (the Provincial Unions) and their elected Board, in dispute over the future path to follow.

In a recent interview with Radio New Zealand, Sport New Zealand said the crown agency did not have a direct role in supporting community sports clubs. The crown agency's Chief Executive said that "our role is to engage with the National Sports Organisations”. The Association points out that this is at odds with the crown agency’s statutory obligations and indicates a loss of focus on what New Zealander taxpayers should expect.

We encourage Sport New Zealand to join us in advocating for the new Government to undertake a statutory review of the Incorporated Societies Act 2022 to ensure it (and its associated regulations) are fit for purpose in maintaining the organisational infrastructure for sport in New Zealand.

228 of the 663 incorporated societies gazetted as dissolved by the Registrar of Incorporated Societies (the Companies Office) on 5 October were "community sport organisations".

Whether dissolved involuntarily or voluntarily, as the burden of registering under the new 2022 Incorporated Societies Act and associated regulations becomes more apparent, it is conceivable that the dissolution rate may materially increase. 

Association Chairman, Gordon Noble-Campbell was interviewed by Newstalk ZB's Matt Buck on Wellington's "All Sport Breakfast" on Saturday, 2 September.

The 10 minute interview focused on the role of the Association in advocating for community sport in New Zealand and on the increasing issues arising from the intersection between amateur and professional sport.

With the delivery of sport to Kiwis young and old largely in the hands of volunteer-led incorporated community clubs, the cost-of-living crisis and overbearing regulatory change is placing increased pressure on those who coach, administer and govern local clubs.

Grassroots feedback suggests that some community clubs are struggling to stay open, with some facing a potential “extinction event” as costs increase, while volunteer numbers fall.

Tucked away in the 270 sections of the new Incorporated Societies Act is a clause which provides an opportunity for incorporated community sport entities (ICSEs) to lobby the responsible Minister, (currently the Hon Dr David Clark) in respect of new audit obligations.

Section 254 (3) (b) allows the Minister to make recommendations to the Parliamentary Counsel Office (PCO) where the Minister considers it is desirable to avoid “unnecessary administrative burdens, and unnecessary compliance costs, for incorporated societies”.

100 years ago, a boy aged under 16 could pay his annual football club membership fee for two shillings and sixpence. Even after allowing for inflation over a century, the price to do so today is more than ten times the sum of 1922.

And even though median household incomes in New Zealand have doubled over the same period, the relative cost of participation for children in community sport has increased exponentially. What's changed?

Is the pride of society in its sporting, commercial, cultural and social achievements also seen in the care and maintenance of the monuments erected to those responsible for them? The derelict tomb of “the Father of Rugby in the Wairarapa” might suggest a degree of indifference to our rich national history, with a need to recover and restore its contemporary memory.

Less than 100 years after his death, the memorial to Thomas Sheriff (also known as “Barney”) Ronaldson in Wellington's Karori Cemetery is crumbling, while the memory of his contribution to sport and society in the late-nineteenth and early twentieth centuries increasingly fades.

On Friday, 27 August, the Association's Chairman spoke with Wallace Chapman, Livia Esterhazy and Patrick Gower on Radio New Zealand’s “The Panel”, on the wave of community sport club dissolutions which is threatening the fabric of amateur sport in this country.

The Panel supported the Association's call for the easing of the regulatory burden for incorporated sport bodies and suggested that a Government-led project be established to find a better way for volunteer-led organisations to meet their obligations under incorporation.

Today, the Economic Development, Science and Innovation Committee continued its hearings into the Incorporated Societies Bill. With a focus on tourism, Crown minerals, commerce, science, innovation, broadcasting and information technology, New Zealand’s amateur sport community should be very concerned that the draft legislation is not being considered by Parliament, with the right focus in mind.

The Association has made seven substantive recommendations on the draft Bill, which should soften the impact of the draft legislation should it pass into law. In it's oral submission, the Association recommended that the Bill be referred back to the community for further consultation to ensure it does not become the "law of unintended consequences".

Ten Members of Parliament have put their support behind a proposed new Bill which aims to amend the Sale and Supply of Alcohol Act 2012 by banning alcohol sponsorship and advertising of all streamed and live sports and at all sporting venues, (in a similar manner to current restrictions on tobacco advertising and sponsorship). The Bill also proposes to prohibit alcohol sponsorship of the name of a sports team, sports merchandise, uniforms, and equipment.

Revenue generated “over the bar” has become an increasingly important part of the annual revenue of many sporting codes. Based on an analysis of the financial statements of 21 Wellington-based sport clubs, across seven different sporting codes, on average clubs with licensed premises generate 20% of the annual income from bar sales.

In 1938, Bert Kyle, Member of Parliament for Riccarton observed that the £4,000 allocated from the Government’s budget to support the newly formed 16-member National Council of Physical Welfare and Recreation Branch of the Department of Internal Affairs “seemed large”.

With the successor entity to Bill Parry's "National Council of Sport" now receiving nearly $100 million a year in Crown (taxpayer) funding, in the wake of COVID-19 and its impact on community sport is it now time for a review of where and how this money is spent? 

According to figures released by New Zealand Police (and recently reported in the media), at least 900 people joined gangs in 2020, a 13 per cent year-on-year increase.

It was reported that the majority of recruits are young men, with Canterbury University sociologist, Jarrod Gilbert noting that “there were a number of reasons why young people joined gangs, but the main factors were they wanted a sense of family or brotherhood”. Sport clubs can (and should) provide a positive alternative.

There are six-steps immediately needed to help volunteer organisations bridge the current capability gap between “best endeavours” and “best practice” when administering and promoting sport for their communities. 

Volunteers tasked with the management and administration of their chosen sport are typically passionate supporters of their game, but are they not necessarily skilled in undertaking governance, financial or other roles requiring certain knowledge, skills and experience, which can expose their organisation (and potentially themselves, if their organisation is not incorporated, or becomes unincorporated), to potential risk and liability.

As reported by TVNZ's "1 News" on Wednesday, 21 October, the appointment of an independent commissioner to review the administration, participation, facilities and funding of sport in the Auckland region over the next ten weeks is timely, given the challenges created by the on-set of COVID-19 and its impact on New Zealand communities. However, the review should cover sport nationally, given two-thirds of sport-loving Kiwis live outside Auckland.

Data from the 2020 NSCS which revealed that only a minority of sport clubs have received COVID-19 financial relief, with an increasing number of clubs also reporting that they are losing money and membership, may be surprising to government and its crown agency for sport, given the COVID-19 support packages made available this year.

It's perhaps less of an indication that financial support is not required by New Zealand’s sport club community, and more likely an indication that there are barriers to that support being accessed by those who need it most. COVID-19 may have exposed a dangerous disconnect between the organisations strategising for sport and the organisations largely responsible for delivering it to local communities.

The timing of this evening’s COVID announcement is not optimal for those involved in weekend community sport. Many organisations and their volunteers are planning for delivering opportunities for community participation in sport under the national requirements for Alert Level 2, but with uncertainty as to whether or not this will be possible. 

As part of its consideration of the physical impacts and costs of COVID-19, the cost to the mental health and social well-being of Kiwis arising from possible national cancellation of community sport must also be considered by Cabinet as part of its deliberations of current COVID status levels.

New Zealand Amateur Sport Association President, Andy Leslie MNZM, is sending an open-letter to all New Zealand local authorities, requesting financial relief from all council levies for local community sport organisations and clubs, arising from COVID-19.

The letter will be sent to the 78 City, District and Regional Councils in New Zealand, which provide facilities and services, at a cost, to local community sport clubs and organisations. A waiver of these costs for 12 months is proposed.

New Zealand's community sports clubs could lose at least half of their annual income as a result of COVID-19. Without grant-funding and membership-fees, their very survival may rely on their reserves, or Government support. 

A review of the financial statements of a sample of 10 leading incorporated sports clubs with a combined annual income of over $2 million, representing 10 different sporting codes in the Wellington region, shows that on average, 25% of their total annual revenue is derived from grant-funding. When combined with membership subscriptions, on average around half of the annual income of the sample is generated from these two income sources alone.

While sportspeople and sporting communities across the country eagerly await the lifting of restrictions on community sporting activities, both on-field and off-field, there is a challenge for all sporting codes to describe what will constitute a “safe” environment for playing sport and socialising around sport, in the future. 

To move community sport “from crisis to confidence”, an open and honest discussion by all community sport stakeholders with government and health-authorities will be required, with the Association willing to support this process through its comprehensive network and database of New Zealand community sport clubs.

How will communities overcome their fear of COVID-19 when contact sport resumes? Sports' administrators need to focus on defining what a “safe” playing environment looks like, to be able to reassure the community that “it’s O.K. to play”, when the current crisis ends.

Whether (or not) “social-distancing” or actual incidences of illness arising from COVID-19 give rise to a symmetrical stigma concerning physical contact with strangers in community sport, should be of urgent and careful consideration by administrators of sporting codes which require random (and often uncontrolled) physical contact.

Following the implementation of a Relief Package to support community sport organisations, there is an equally urgent need to develop a Recovery Plan which returns confidence to New Zealand’s sporting communities.

The Recovery Plan will need to involve a nationwide “It’s O.K. To Play” publicity campaign, together with a joint-funding approach from Central Government and the business community, supported by a comprehensive review of National Sport Organisation governance.

The Final Report for the 2019 National Sport Club Survey (NSCS) has been released and is available for download. The (NSCS) aims to generate insights that can be used to improve sport for all New Zealanders. While other sport industry data exists at individual level this survey provides a unique snapshot of the sport sector at club level.

If you visit any Secondary School or Club, upon entering you will more than likely be greeted by a cabinet of gleaming trophies, representing the success of the various teams that the School or Club supports. Signs of success such as these are important in establishing the value of the sporting community (or "tribe"), as it seeks to differentiate itself from others with similar goals.

Historically, the pride in the display was intended to demonstrate the values of the community through sport. More often than not, trophies on display will be named after a person (or persons), whose contribution to the sporting community has resulted in their values and success being idealised in the trophy being competed for. 

One of the biggest obstacles to the growth and well-being of amateur sporting clubs nationally may be the increasing insistence of high-schools to charge students who want to join school teams which play in local sporting competitions.

While the cost of participation varies by sporting code, it’s not uncommon for families to be asked to stump up over $100 per child, before the costs of clothing and equipment.