SINGAPORE SPORTS COUNCIL (AMENDMENT) BILL

Order for Second Reading read.

4.15 p.m.

The Minister for Social Affairs (Encik Othman Bin Wok): Mr Speaker, Sir, I beg to move, "That the Bill be now read a Second time."

The Bill before the House seeks to amend section 8 of the Singapore Sports Council Act, 1973, to enable the Council to establish and manage sports clubs.

One of the primary tasks of the Council is the planning and implementation of Government's "sports-for-all" policy which calls for the education and involvement of the masses in the regular practice of some wholesome form of physical activity. Towards this end, inter-constituency sports tournaments were introduced in 1972. The tournaments are organised by the Singapore Sports Council working closely with the various national sports organisations and the sports liaison officers of the constituencies. As the sports programme in each constituency developed, it was found that a sports liaison officer working alone was not enough for the proper co-ordination of sporting activities within his constituency. In view of this, Constituency. Sports Associations were formed to provide the organisational base for the promotion of sports within the constituencies and for the preparation of teams for both inter-constituency and intra-constituency tournaments. To-date, 39 such Associations have been registered under the Societies Act (Chapter 262).

Hon. Members of the House will recall that several meetings were held in 1974 to discuss inter-constituency sports. Though it was generally agreed that the Constituency Sports Associations should be independent bodies, it was also recognised that to ensure success these Associations should be managed by officials who had the interest, aptitude and background in sports. Members of Parliament who attended these meetings pointed out various problems connected with the running of these Associations, apart from difficulties in management and in the recruitment of suitable personnel to serve in them. Subsequently, the Singapore Sports Council made a study of Constituency Sports Associations. The Study revealed that not all Members of Parliament were in favour of forming Constituency Sports Associations under the Societies Act because, amongst other things, the registration procedures in forming societies under the Societies Act are too complex and the legal obligations of managing an association under the Act are too burdensome. These obligations include:

(i) the submission of annual reports and statements of accounts audited by public accountants;

(ii) the liability of excess revenue to income tax; and

(iii) an annual election of office bearers.

Constituencies with Constituency Sports Associations are also faced with the following problems:

(a) difficulty in getting sports officers and dedicated members to serve in the Associations on a continuing basis. Officials serve in a purely voluntary capacity. They are, by and large, persons with full-time employment and untrained in sports administration;

(b) difficulty in obtaining sufficient funds to finance their sports programmes. The tax liability on excess revenue discourages them from raising funds. Furthermore, donations to the Associations do not enjoy income tax relief.

There is no doubt that the difficulties and problems I have just mentioned have impeded the speedy formation of Constituency Sports Associations and their operation. Needless to say, such a situation would adversely affect the implementation of our "sports-for-all" policy.

The amendment to section 8 of the Singapore Sports Council Act, 1973, will enable the Council to establish Constituency Sports Clubs as proprietary clubs under the Act, to, ensure that the "sports-for-all" policy can be implemented successfully. This would enable all constituencies to overcome the technical difficulties they face in promoting sports through Constituency Sports Associations.

The amendment to section 23 is a consequential amendment.

Sir, I beg to move.

Question proposed.

4.20 p.m.

Mr Teong Eng Siong: (In Mandarin): Mr Speaker, Sir, I support this amendment Bill. Although the Constituency Sports Association in my constituency was formed two years ago under the Societies Act, I believe that this amendment Bill will simplify the procedures involved in establishing the Constituency Sports Clubs and sports organisations. I believe this will contribute more effectively towards inter-constituency sports activities.

As the Minister has pointed out, this measure would avoid the problem of having to present annual reports and statements of account and to conduct an annual election of office bearers. We know that many officials of the Constituency Sports Associations are also members of Citizens' Consultative Committees and that a number of other officials also belong to other organisations. They are all attached to the Constituency Sports Associations on a part-time basis and they cannot devote too much time to the Associations' activities. Therefore, a simplification of procedures would enable these people to carry out their task more easily.

Furthermore, under the amendment Bill, Constituency Sports Associations will be exempted from paying income tax. The funds available would therefore be greater. I believe that this amendment Bill will promote sports more effectively so that our policy of "sports-for-all" will be carried out on a wider scale.

Sir, I support this amendment Bill.

Mr Ng Kah Ting: Mr Speaker, Sir, I would like to ask the Hon. Minister for Social Affairs one question. While I welcome the introduction of this amendment Bill, would the Hon. Minister inform the House as to the source of funds for the Singapore Sports Council to enable it to establish and manage the various sports clubs and their facilities?

Encik Othman Bin Wok: Sir, as the Member for Sembawang has been repeating what I have said, therefore I have nothing to say to him.

On the question raised by the Member for Punggol, when this Bill becomes an Act, the Singapore Sports Council will look into that matter.

Mr Ng Kah Ting: Sir, I do not quite understand what the Hon. Minister means when he says that "the Singapore Sports Council will look into the matter". I have asked my question after having made a search into past Hansard records which state that the source of funds would, to a certain extent, come from the Singapore Pools (Pte) Ltd.

Encik Othman Bin Wok: Sir, not all the funds of the Singapore Pools (Pte) Ltd, are channelled into financing the Constituency Sports Associations. Of course it will be desirable for these Sports Associations or Clubs to raise their own funds. But if it is necessary for the SSC to provide them with funds, then the SSC will look into the matter.

Mr Ng Kah Ting: Sir, I think the Hon. Minister has not got my point. I am talking about the Constituency Sports Associations. The Constituency Sports Association in my constituency can very well look after itself easily enough, even though it has to pay 40% income tax on the excess of its income over expenditure.

My question is this. As far as I can remember, when the construction of the National Stadium was first mooted, the Singapore Pools (Pte) Ltd, was formed and, to a certain extent, the profits of Singapore Pools were to be ploughed back for the construction of the Stadium. Subsequently, the National Sports Promotion Board was dissolved and the Singapore Sports Council was set up by statute. Now, I am given the impression that the SSC has been experiencing some difficulties with regard to funds to promote or provide more sports facilities for the inter-constituency sports activities; not for the Constituency Sports Associations in particular.

Encik Othman Bin Wok: Sir, the point raised by the Member has no relevance to the Bill before the House.

Mr Ng Kah Ting: Sir, this question is definitely relevant because if the Bill seeks to amend section 8 of the Singapore Sports Council Act, 1973, to enable the Council to establish and manage sports clubs, then it means that the SSC will definitely have to have some sort of funds to manage not only the facilities but also the Constituency Sports Clubs that may be constituted at a later stage. Therefore, my question is relevant.

Encik Othman Bin Wok: Sir, I have nothing more to add. I have clearly stated just now that the SSC will look into this.

Mr Ng Kah Ting: "The SSC will look into this" is a different matter.

Question put, and agreed to.

Bill accordingly read a Second time and committed to a Committee of the whole House.

The House immediately resolved itself into a Committee on the BilI.-[Encik Othman Bin Wok].

Bill considered in Committee; reported without amendment; read a Third time and passed.