Politics · Canada · 3 hrs ago
Ontario seeks new Niagara casino investors and cuts operator tax rate
Ontario and the Ontario Lottery and Gaming Corp.
are seeking investors for new Niagara casinos, in a region that includes Niagara Falls and borders New York State.
The province plans to allow up to three new operators, each required to invest at least $1.5-billion and pay a $100-million entrance fee.
It will set a standardized gambling tax rate of 9.75 per cent for Niagara operators; current rates vary by casino and are not public.
The call is part of Premier Doug Ford’s Destination Niagara strategy, which aims to increase tourism and attract investment to the region.
The government says the plan could bring $3-billion in direct investment from the gaming sector, plus $600-million from the private sector over 20 years.
It says the strategy could support tourism and jobs, but the plans have also raised concerns about online gambling and community consultation.
Operators must express interest by Dec.
3, after which the province plans to shortlist applicants for a competitive proposal process.
Ontario is seeking new investors for Niagara casinos and will cut the operators’ tax rate to 9.75 per cent.
The province and the Ontario Lottery and Gaming Corp. aim to attract $3-billion in direct investment from the sector and another $600-million from the private sector over 20 years.
The proposed market would allow up to three new operators, each required to invest at least $1.5-billion and pay a $100-million entrance fee.
The move is part of Premier Doug Ford’s Destination Niagara strategy to expand tourism and economic activity in the region.
- Who
- The Ontario government and the Ontario Lottery and Gaming Corp. are seeking investors. New casino operators are being invited to express interest.
- What
- Ontario is seeking investment for Niagara casinos and plans to set a standardized operator tax rate of 9.75 per cent.
- When
- The call for investment was issued on Wednesday. Operators must express interest by Dec. 3.
- Where
- The Niagara region, including Niagara Falls, Ontario.
- Why
- The province says the plan will attract investment, boost tourism and create jobs. It is part of the Destination Niagara strategy.
This story does not have two clearly opposing sides.
The government ended MGE Niagara Entertainment Inc.’s exclusivity rights to operate casinos in the area.
Mohegan chief operating officer Joseph Hasson said OLG had pledged to make up any decrease in revenue at Mohegan’s Ontario properties caused by new casinos.
Ontario and the OLG issued a call for investment in Niagara.
Deadline for gaming operators to express interest in the region.
- Tax rate
- 9.75 per cent for Niagara operators
- Maximum new operators
- 3
- Minimum investment per operator
- $1.5-billion
- Entrance fee per operator
- $100-million
- Direct investment target
- $3-billion
- Private-sector investment target
- $600-million over 20 years
What people are saying
New gaming investment will bring exciting attractions and experiences to the region, helping drive tourism, create good-paying jobs and support Niagara’s future as a world-class, year-round destination
We are comfortable that our new commercial arrangement leaves us better off under all scenarios.