Ontario Lottery and Gaming Corporation is talking over some of the most important details surrounding the new casino location in North Bay. The revenue-sharing agreement has received approval during the most recent North Bay City Council meeting, a step crucial for the future development of the casino complex. It would ensure that the host community is well supported down the road.
Casino venues are among the main supporters of a host community, as the Canadian provinces could confirm. Regular gaming operation is able to sustain many larger projects on a regional level, while also improving the infrastructure and introduce more beautification work to the community. North Bay is paving the way for a positive influence over the course of casino operation.
Revenue-Sharing Agreement
Cascades Casino North Bay is expected to launch operation this year and the Crown corporation is ironing out the last details surrounding its day-to-day operation. This would guarantee smooth operation in the upcoming months of gambling activities in North Bay. Most of the North Bay Council Members gave their approval of the proposed revenue-sharing agreement. The subject was thoroughly reviewed and pros and cons were evaluated.
It is a standard agreement applicable to all casino locations overseen by the Ontario Lottery and Gaming Corporation. Some 5.25 percent of the first CA$65 million in gaming revenue is going to be bagged by the host community in order to support various projects it has in the works. Such an arrangement is mandatory for every new casino location welcoming casino patrons. It includes the operation of slot machines.
Table games gaming revenue is subjected to another arrangement, mandating the allocation of four percent of the first CA$65 million. Mayor Al McDonald pointed out that the agreement is a standard one and the City Council could not negotiate a different percentage. Projections at this point are that the city coffers would bag up to CA$2 million on an annual basis.
Launch Expected in July
Moreover, the community is supposed to receive up to CA$800,000 depending on the casino building assessment that is about to take place once the project has been completed. Such financial support would be positively welcomed by the city and the people supporting the project, but just like every larger project, this one also has an opposition. It includes both local residents and council members.
Coun. Scott Robertson is one of the individuals opposing a casino complex in North Bay despite the support it would bring to the city coffers. One of the main reasons why he refused to vote in support of this agreement is the clause that makes it possible for the Ontario Lottery and Gaming Corporation to put an end of its support whenever it decides so.
In the meantime, the host community does not have the mechanism to exit the agreement. Mr. Robertson also pointed out that the actual gaming revenue generated could not be audited and verified and the city coffers have to trust the Crown corporation. At the end of the day, seven councilors supported the agreement while three opposed it. The CA$31.1-millioncasino complex is currently being built on Pinewood Park Drive, south of Decaire Road.
