OLG may sweeten casino deal for all

Toronto’s downtown casino resort might not be so dead after all.

Ontario government and casino industry sources are optimistic Ontario Lottery and Gaming Corp. will find a way to promise Toronto “hosting fees” near or at the $100million-a-year mark.

That’s the minimum some city councillors, including Michael Thompson and Josh Colle, want before considering voting for the long-shot proposal to allow a multibillion-dollar casino-anchored complex in the core. When Premier Kathleen Wynne ordered OLG to devise a single-fee formula for all municipalities, with no extra cash for a Toronto resort, many assumed it would knock Toronto’s take below OLG’s pledge of $50 million to $100 million.

But the new revenue-sharing for- mula, to be revealed in April, “may enrich things for everyone,” so other potential casino hosts such as Ottawa would get a bump in fees now forecast at just $4 million, said a provincial official, who added that Wynne is under pressure from unions that would benefit from a massive Toronto building project.

Bill Rutsey, the Canadian Gaming Association president who is in contact with the OLG, said: “What everyone is working toward is getting a solution to the (fee) issue.

“I’m confident that one will be found soon — there are so many positive things for the city that could come out of an integrated resort that the issues, the problems, will get solved.”

Toronto officials say city manager Joe Pennachetti’s report on the casino will not be delayed by the fee issue. It will be released as early as next week, setting the stage for a May council vote. A majority of Toronto councillors either outright oppose a downtown casino or are skeptical that the bonanza of cash and jobs will materialize or outweigh negative social and economic impacts. If Toronto says no, OLG will look to other communities in the socalled gaming zone: Richmond Hill, Markham, south Mississauga and Vaughan, which OLG added at the request of civic officials there. Mayor Rob Ford told reporters Friday he is worried about losing the casino to another community. “If we don’t get the casino, then I’m sure Vaughan or someone else will pick it up. That’s why I’m a supporter of creating 10,000 good paying jobs . . . ,” Ford said. “I’ve been to casinos. I’ve seen how important they are.” Ontario Finance Minister Charles Sousa said a Vaughan casino could be as lucrative as one in downtown Toronto.