• Print
  • Send to a friend
  • Comment (3)
  •  

UPDATE: Watson threatens to cancel casino plan over funding formula fight

Ottawa mayor Jim Watson. File photo by Lois Siegel

Ottawa mayor Jim Watson.

Mark Brownlee
Published on March 15, 2013
Published on March 15, 2013
Mark Brownlee  RSS Feed

Mayor Jim Watson is threatening to pull the city out of the bidding process that could see a new casino built in Ottawa unless the municipality receives the same revenue sharing deal as Toronto.

Topics :
Ontario Lottery , Globe and Mail , Toronto , Ottawa

Mr. Watson made the comments in an open letter dated March 15 and addressed to the body responsible for gambling in the province, the Ontario Lottery and Gaming Corp.

The letter is apparently in response to comments OLG chief executive Rod Phillips made to the Globe and Mail this week that Toronto would receive more than double the fees of other municipalities for hosting a casino.

Toronto would receive higher fees because a casino there is a more ambitious venture than in other cities, Mr. Phillips said, according to the Globe story.

Mr. Watson rejected the suggestion that Toronto should receive special treatment.

“I strongly disagree with the OLG’s suggestion that it is planning to introduce preferential revenue sharing for the City of Toronto that, by function, would discriminate against all other municipalities,” the letter, addressed to OLG CEO Paul Godfrey, reads.

“I urge you to revisit this decision at your earliest opportunity.”

Ontario Premier Kathleen Wynne issued a statement after Mr. Watson’s letter saying there would be “no special deal for Toronto.”

However she suggested that Toronto might be getting more as a result of what she referred to as “hosting fees.”

“The hosting fee for Toronto would reflect the size and scale that global gaming companies have confirmed is possible in the city,” her statement said. “If the same capital investment and job potential are possible elsewhere, the same hosting fees would be generated.”

An OLG spokesperson was not immediately available to respond to the letter.

The city has been discussing the possibility of bringing a casino to Ottawa on the understanding that all municipalities would get the same deal, Mr. Watson’s letter said.

Mr. Watson quotes a letter the OLG sent to him in November that said the “payment formula” for municipalities who host casinos would not change.

Ottawa city councillors agreed in principle to have a casino somewhere in Ottawa last October when they passed a motion inviting interested businesses to submit bids to build one.

However, a casino is far from a done deal and the city still has the power to remove itself from the running for a new gaming facility.

“Unless the City of Ottawa receives the same revenue sharing formula as that being made available to the City of Toronto I will, in the coming months, bring forward a motion to city council recommending that the City of Ottawa withdraw from the OLG’s RFP process,” Mr. Watson’s letter reads.

Comments

  • Username
    Jayme
    - March 18, 2013 at 08:06:45

    RustyB Toronto does get money from the Feds for certain parks for exzample the Feds are investing millions into a massive Urban Park in the Toronto area.

    Submit a comment

  • Username
    RustyB
    - March 16, 2013 at 12:27:47

    Does this mean that Toronto can expect all sorts of Federal money for public parks etc (as in the National Capital Commission)

    Submit a comment

  • Username
    Gordon
    - March 15, 2013 at 22:38:38

    There is something inherently wrong with a society that throws off believing in a Christian way of life and bows down to the most wretched devil that man can think of "gambling"... Man is witnessing the end to a civil society where thieves are allowed to take our soul and sell it to the most crooked bidder. Gambling takes the very honest individual and destroys him from within. One doesn't need to believe in Christianity to live honestly. All that one needs to follow is an honest guiding belief in the TEN Commandants.

    Submit a comment

Submit a comment

Submit a comment (we keep all emails private)
Agreement

We ask that users remain courteous. You may not post insulting, discriminatory or inappropriate content, which may be removed at our discretion. We are not responsible for user content and opinions. Use of this site as well as content submission & ownership are governed by our Conditions of Use and Privacy Policy.

Member organizations should be non-profit in nature, and promote legal activities. Any organization found promoting illegal activities or commercial products or services will be deleted from the site.

I agree with these conditions.

Advertising

Expert bloggers

CASE STUDIES & VIDEOS

Rideau Hall Creates New Lighting Environment and Lowers Electricity Costs
Hydro Ottawa

Building stronger communities across Ottawa
Domicile Developments

An investment in yourself
LC Fitness Studio

No surprises, no upselling
RE/MAX Citywide Realty

Are you ready for the unexpected?
TK Financial Group

More Case Studies

Newsletter

Please enter your email to receive our free newsletter

Subscribe to news alerts

Advertising