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OLG modernization of gaming continues

Thursday, March 07, 2013   by: SooToday.com Staff

NEWS RELEASE

ONTARIO LOTTERY
AND GAMING CORP

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OLG modernization of gaming continues to proceed with close of first two RFPQs

TORONTO - Nearly one year after the modernization of lottery and gaming in Ontario was announced, the Ontario Lottery and Gaming Corporation (OLG) today marked the close of its Request for Pre-Qualification (RFPQ) for the Ottawa Area and the Ontario East Gaming Bundle.

These two RFPQs were issued along with the RFPQ for the Ontario North Gaming Bundle on November 30, 2012, as part of OLG's first wave of gaming RFPQs.

As a result of an addendum issued on March 4, 2013, the RFPQ closing date for the Ontario North Gaming Bundle has been extended to March 14, 2013.

"With the close of the RFPQs today, we're continuing with the modernization of lottery and gaming in Ontario," said Rod Phillips, OLG president and CEO. "We will now undertake our due diligence in evaluating the RFPQ submissions."

Where the RFPQ was based on a Gaming Bundle, interested service providers were required to submit proposals for the entire Gaming Bundle as set out in the RFPQ, not for individual Gaming Zones or Gaming Sites contained within a Gaming Bundle.

This means that service providers must demonstrate their ability to assume specific day-to-day operations of multiple facilities in a given region or geographic area of Ontario.

OLG will select service providers who are eligible to receive the Request for Proposal (RFP) document for the Ottawa Area, as well as the East and North Gaming Bundles.

As part of the RFP process, pre-qualified service providers will be able to propose the construction of a new gaming site anywhere within a Gaming Zone, where there is municipal support.

However, all successful proponents will need to work with their host municipalities on specifics about a gaming facility, including selecting a preferred location.

"Municipalities have a choice when it comes to the location of new or relocated gaming sites," said Phillips. "As part of its resolution, a municipality may indicate conditions of its approval, such as where the gaming site may or may not be located. Before any site is built or relocated, three parties will need to agree - the municipality, the service provider and OLG, on behalf of the Ontario government."

OLG has two impartial advisors providing oversight on the integrity and fairness of the procurement process.

While the new gaming model will include securing qualified service providers for the day-to-day operation of gaming, OLG will continue its role in conduct, management and oversight of lottery and gaming.

OLG will also continue to help prevent and mitigate the effects of problem gambling through its Responsible Gambling program, which is recognized internationally by the World Lottery Association's certification program, and at four gaming sites, by the Responsible Gambling Council of Canada's RG Check program.

In the coming months, OLG will launch RFPQs for the remaining Gaming Zones - some in Gaming Bundles. All RFPQs will be available on MERXTM (www.merx.com/olg).  MERXTM charges a fee to download this type of material.

On December 14, 2012, OLG also issued a RFPQ for the modernization of the province's lottery industry.

That RFPQ will close on April 4, 2013.

OLG contributes nearly $2 billion annually to the Ontario government.

The vast majority of this funding is directed to hospitals and health care.

Once the modernization of lottery and gaming in Ontario is complete, OLG will have increased its net contribution to the province by $1.3 billion annually, while creating thousands of jobs and driving more than $3 billion in capital investment across Ontario.

For more details on Gaming Zones/Bundles, visit here

OLG is a provincial agency responsible for province-wide lottery games and gaming facilities.

Since 1975, OLG lotteries, casinos, slots, and resort casinos have generated more than $36 billion for the benefit of the Province of Ontario.

Proceeds from OLG's operations help support Ontario's hospitals, amateur sport through the Quest for Gold program, recreational and cultural activities, communities, provincial priority programs such as health care and education, and local and provincial charities.

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OrlandoFlorida 3/7/2013 9:07:27 PM Report

The OLG says they will increase revenues by 1.3 Billion dollars, they leave out a small detail HOW? To increase net revenue by 1,3 Billion will mean the lottery will need to increase gross sales by at least 2 to 3 Billion. Remember Modernization is OLG's term for Privatization, so how can revenues nearly triple from current levels while at the same time allowing private operators to take out a profit? The OLG and Liberal government are playing fast and loose with the financial numbers. Please will someone ask the OLG to prove how they came up with a number of 1.3 BILLION.
good4now 3/7/2013 10:29:33 PM Report

STOPPING CHARITABLE DONATIONS
such as community contributions that support our Physician Recruitment Fund, will be a new source of revenue...
The new owners will be under no obligation to continue charitable donations as the OLG had historically provided.

The new owners need not collect a penny more, but just transfer an amount equal to the current charitable donations, back to the OLG. What is now an expense will become REVENUE !!
And I'm more than sure the financial wizard can come up more schemes than we can ever dream of creating. BTW Greece hid part of its massive debt by some financial wizardry that designated federal loans owing as "collateral" ie these were listed on the revenue side of the ledger!!
Mr E 3/7/2013 10:41:13 PM Report

They get rid of payroll for thousands as well as future pensions for them. Keep in mind the Sunshine club will remain, they have more managers and directors than ever. Each one making 100k plus. Look at ex Saultite Marenelli, no longer CEO but making just as much money. He sure did look after the Sault!
Wisenheimer 3/8/2013 6:41:48 AM Report

O.F. ... Couple ideas, loosen up the slots, increase payouts, re-instate Black Jack video machines. Gamblers are notorious for ploughing winnings back in. They also don't go back if they feel like they're getting ripped off. Hire some Vegas operators. Government is bad at running any enterprise especially gambling.
W. Yote 3/8/2013 7:22:13 AM Report

This will end up going to an American provider, so now a huge portion of the profits will go south of the border, where beer sales revenues have been going for years!



OMGWTF 3/8/2013 8:01:48 AM Report

They will move 7000 or more people off their payroll, benefits costs, pension costs etc. They will remove all capitol cost associated with casino site improvements and a lot of casino staff will probably become part time when the new owners come on board. All these bodies and costs are assumed by the new owners. It comes off OLG's books. Lots of revenue coming in with very low cost structure = more profit. Ask Rod how OLG can call the SSM office a "head office" when there are no executive management working/living here? Everyone who works there knows Toronto is the head office, in reality.
good4now 3/8/2013 9:01:57 AM Report

Mr S. Headd will always be stationed there, unless otherwise on assignment, vacation, leave...
OMGWTF 3/8/2013 9:45:12 AM Report

who is S Headd and what do they do?
Comments
8
Please sign in to post a response
Note: Comments that appear on the site are not the opinion of SooToday.com. Keep discussions civil and on topic. Refrain from obscenity and don't post anything that your grandmother would be ashamed to read. Those who do not abide by these guidelines will have their membership revoked without notice. If you see an abusive post, please click the link beside the post to report it.
SalDan Developments LimitedDavid Orazietti MPP
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