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Home > Gaming > Local Impact Assessment (LIA)

Local Impact Assessment (LIA)

The Local Impact Assessment (LIA) process is designed to assess the impact of additional gaming machines in a local government area.

Each local government area is classified into Band 1, 2, or 3 based on its gaming machine density, gaming machine expenditure and Socio-Economic Indexes for Areas (SEIFA) disadvantage score.

Local government areas are also referred to as LGAs. Classifications for all LGAs are listed below.
Depending on the classification of the LGA where the venue is located, the venue may or may not be required to complete a LIA when applying for an increase in the number of gaming machines it may operate.

Information for community and people wishing to respond to an LIA application

Hotels and registered clubs seeking to increase their gaming machine numbers must notify certain organisations and consult with the local community as part of the LIA application process. Individuals and organisations may make submissions in response to the proposed hotel or club gaming machine increase. A guide has been prepared to provide further information and a template to assist individuals and organisations in making a submission.

Information for hotels and clubs

What you need to demonstrate

If a Class 1 LIA is required, the applicant venue will need to demonstrate that the additional gaming machines will provide a positive contribution towards the local community.

If the application is for a Class 2 LIA, the venue will need to demonstrate that the additional gaming machines will result in an overall positive impact on the local community.

A fact sheet about the LIA process, as well as Class 1 LIA, and Class 2 LIA guidelines are available.

Classification of local government areas

The classification of LGAs was reviewed by the Independent Liquor and Gaming Authority on 27 April 2011 using the same methodology as the original classification in 2009, but with updated data.  Details of the methodology used for determining classifications are below.

Following that review, revised classifications for LGAs were approved to take effect from 1 July 2011.
The Authority will assess and determine a LIA based on the classification of the applicant venue’s local government areas as at its lodgement date.

Local government areas – all bands – effective 1 July 2011(250kb)

Band 1 local government areas – effective 1 July 2011 (137kb)

Band 2 local government areas – effective 1 July 2011 (130kb)

Band 3 local government areas – effective 1 July 2011(129kb)

Methodology used for determining classifications

In determining the classifications, the Authority ranks all LGAs in the greater Sydney metropolitan region and separately those in the country region of NSW based on each LGA’s:

The Authority then classifies the top 25 percent of LGAs in each region as Band 3. These LGAs were generally characterised as having high numbers of gaming machines, high gaming machine expenditure or a low index of relative socio-economic disadvantage.

The following 25 percent of LGAs in each region were then classified as Band 2. The remaining LGAs were classified as Band 1 as they typically had low numbers of gaming machines, low gaming machine expenditure or a high index of relative socio-economic disadvantage.