Loophole provides public liability relief

In a Media Release from the Minister for Victorian Communities, dated Monday, January 9, 2006 and titled 'MORE SIZZLE FOR YOUR STREET PARTY OR FUNDRAISER', John Thwaites has provided the loophole to save community groups thousands of dollars annually in public liability insurance.

The State Government is backing a $500,000 program with grants to local councils that will help neighbours and community groups hold street parties, community sausage sizzles and local fundraisers.

The program is modelled on the Streetlife program developed by the City of Port Phillip to encourage residents to keep in contact. Councils accepting the grant will need to ensure that events have adequate insurance cover as a requirement of the funding agreement.

Mr. Thwaites said the City of Port Phillip addressed the public liability insurance issue through a partnership with a local not-for-profit organisation.

“The resident hiring the equipment registers as a volunteer and is then covered through the Victorian Government policy covering not-for-profit organisations like Neighbourhood Houses and pre-schools where mums and dads do voluntary work.” ... and therein lies the loophole.

That means that if one local not-for-profit organisation in an area uses the Victorian Government public liability policy, the other community groups can hold events by forming a partnership with the N.F.P organisation utilising that policy.

This provides a massive incentive for small communities to re-invent the long forgotten 'Progress Association' as a not-for-profit organisation to provide a public liability insurance umbrella for the rest of the community. It would be made up of volunteer members of all the local community groups and clubs that are prepared to share the cost of the Victorian Government public liability policy.

It could become the best community building tool we have seen and that would certainly be in line with the state government's Go For Your Life campaign encouraging all Victorians to engage more with their communities.