Most recently, the Ontario Lottery and Gaming Corporation has sanctioned a fourth-quarter non-tax gaming revenue allocation to the City of Niagara Falls. The payment from the Crown agency is in the amount of CA$2.9 million and it is part of its Municipality Contribution Agreements with the city for the hosting of Casino Niagara and Niagara Fallsview Casino Resort.
Under the revenue-sharing agreement between the OLG and local municipalities, the Crown is required to issue a payment to host communities every quarter. The amount of the payments is determined by a formula applied across all gaming properties in Ontario and using a graduated scale of gaming revenue at the hosted location.
Allocations Sent Out
This week, Finance Minister of Ontario, Peter Bethlenfalvy noted that Municipality Contribution Agreements are an important source of funding for communities, and secure critical services to Ontarians. He claims that land-based casinos provide good and local jobs that have a crucial role in supporting the local economy, and due to that, the government will always back a strong gaming sector.
Overall, for the 2021-2022 financial year, the City of Niagara Falls has bagged more than CA$11.5 million in gaming revenue for the hosting of the two premium gaming sites. Since the opening of the first casino in the area in December 1996, the municipality has received more than CA$175 million, which has come as a great benefit to the local coffers.
In addition to that, the Crown corporation has also issued its fourth-quarter gaming allocation to the City of Windsor. For the hosting of Caesars Windsor Casino, the city has now received a payment of CA$1,010,143, which was accumulated between January 1, 2022, and March 30, 2022. For the previous three quarters, the city received approximately CA$5 million in revenue.
The OLG published a statement, in which it shared that is proud to share the proceeds of its casino gaming operations with local communities, and thus contribute to economic development, infrastructure, and jobs. In the statement, the Crown explains that payments to host communities are part of the corporation’s commitment to Ontario, as 100% of its profits are reinvested into the province.
OLG Activities and Contributions
Besides supporting the local economy, the OLG is also proud to back provincial lottery retailers. At the start of this month, the Crown revealed that it will be expanding its “Support Local” campaign. This program returns all proceeds from the activation and sales of CA$3 Instant Crossword and CA$3 Instant Bingo tickets to Ontario lottery retailers. The extended campaign will now run to April 30, 2022.
The OLG also supports many charities and community initiatives, as a while back announced a collaboration with the Black Talent Initiative. Through this team-up, the Crown is looking to improve Black representation in the workplace, as well as invest in the growth of Black professionals. It will also post job opportunities on BTI’s network, and provide mentoring and experience to members of the organization.
Source: “OLG makes $2.9-million payment to Niagara Falls for hosting casinos”, Niagara Falls Review, April 21, 2022