January 25, 2005

Study recommends improving existing facilities

Ontario won't build more casinos, minister says

TORONTO

Ontario won’t be building any more casinos after the release of a study suggesting the province should focus on making its current gaming facilities more competitive instead of creating new ones.

“There will be no additional casinos,” Economic Development Minister Joe Cordiano told a news conference last Thursday.

As well, the province won’t allow video lottery terminals in bars and restaurants, nor will it allow slot machines in bingo halls.

The province also won’t be involved in Internet gaming, and won’t allow any additional racetrack slot machine facilities beyond the two already approved at Picov Downs in Ajax and Quinte Exhibition in Belleville.

In addition, the government will implement more programs to deal with problem gambling.

The decisions follow a study of the market, ordered last February, done by the Ontario Lottery and Gaming Corp.

The study states the government has to more effectively manage existing casinos and make them more competitive, especially because of tough competition from south of the border.

“The market assessment clearly points out that in order to maximize what we have, we shouldn’t cannibalize, so this is why we arrived at the decision that we made: no new facilities,” Cordiano said.

Cordiano acknowledged that the decision to let the Picov Downs and Quinte Exhibition racetracks proceed with their plans was contentious.

But since those agreements were already in place prior to the Liberals coming to power in October 2003, it would have been costly to cancel those deals, he said.

The gambling industry is important to the province, Cordiano said, with 20,000 people employed and annual revenues of about $2 billion pouring into government coffers.

To improve casinos, Cordiano said some could upgrade their facilities or add non-gambling amenities such as convention centres to increase their business.

As part of its “socially responsible” gambling plan, the government is putting in new customer service centres at casinos that will be staffed by problem gaming counsellors.

The Canadian Press

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