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HomeMy WebLinkAboutCAO-13-012 - Community Consultation Process - OLG Gaming Facility REPORT TO: Council DATE OF MEETING: March 25, 2013 SUBMITTED BY: Jeff Willmer, CAO, 519-741-2200 ext. 7350 PREPARED BY: Dorothy McCabe, Chief of Staff, 519-741-2200 ext. 7795 WARD(S) INVOLVED: All DATE OF REPORT: March 20, 2013 REPORT NO.: CAO-13-12 SUBJECT: Community Consultation Process re: OLG Gaming Facility RECOMMENDATION: That staff be directed whether to engage in a public consultation regarding Kitchener’s willingness to host an Ontario Lottery & Gaming Corporation Gaming Facility. BACKGROUND: In July 2010, the Province of Ontario directed the Ontario Lottery and Gaming Corporation (OLG) to modernize its operations. OLG’s new strategic plan includes a plan to build new 5 gaming facilities within 29 gaming zones. One of the five affected gaming zones is SW1 which includes Kitchener and much of the Region of Waterloo as well as the municipality of Centre Wellington, current site of OLG Slots at Grand River Raceway. OLG held a Regional Information Session on June 4, 2012 to present the opportunity to municipalities in the affected gaming zones. Some municipalities within zone SW1 have now passed resolutions either confirming their willingness to host a gaming site (Centre Wellington, Woolwich) or confirming that they are not willing to host a gaming site (Cambridge, Wilmot). These resolutions are attached for reference. The Greater Kitchener-Waterloo Chamber of Commerce has requested that the City of Kitchener initiate a public consultation process to determine whether a new gaming facility within city boundaries is supported by residents and businesses. OLG’s guidelines require that a community consultation be held before a municipality passes a resolution of explicit municipal consent to host a gaming site. REPORT: If Council determines that the City is not willing to host an OLG gaming site it may do so with or without public consultation. If Council is to pass a resolution of explicit municipal consent to host a gaming site it must first hold a public consultation. OLG had previously indicated a deadline of December 31, 2012. Subsequent indications were that the deadline was extended to April 30 2012. 5 (a) - 3 Should Council direct staff to initiate a public consultation we would recommend one or more town hall meetings and an on-line component. A town hall meeting could be scheduled for April 9 (and April 10 if necessary) which would allow for two weeks’ notice. The on-line component would remain open for approximately one week after the town hall meeting, following which a staff report would be prepared for Council’s consideration on April 29. Municipalities may establish terms and conditions of their willingness to host a casino. These may be part of the initial resolution or may be set during the process of reviewing casino proposals but may only be changed in consultation with OLG and the private operator(s). According to the OLG, once a municipality has indicated that they would be willing to be considered as a host municipality, the next steps and timelines would be determined. As well, according to the OLG, the municipality would continue to be involved in discussions throughout the process regarding the zoning, development and location of the gaming facility. ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: Community engagement on the question of Kitchener’s willingness to host a casino relates to a number of community priorities and/or plan foundations including the following: Quality of Life (all voices matter); Leadership and Community Engagement (citizens are engaged in decision-making about local issues); Effective & Efficient Government (engaging citizens in public policy decisions; e- engagement is here to stay). FINANCIAL IMPLICATIONS: None at this time. It is assumed that any public consultation would be organized by City staff and be completed by the April 29 meeting of City Council. COMMUNITY ENGAGEMENT: Residents and businesses would be engaged as described above. The intent would be to inform the community of the choice and to consult with the community to receive input either in favour of or in opposition to hosting a casino or on potential terms and conditions that City Council may wish to establish. CONCLUSION: Council direction is requested. ACKNOWLEDGED BY: Jeff Willmer, CAO 5 (a) - 4 List of Attachments: Map of Southwestern Ontario Gaming Zones including SW1 Council Resolution, Township of Centre Wellington, June 20, 2012 Council Resolution, City of Cambridge, October 22, 2012 Council Resolution, Township of Wilmot, February 11, 2013 Council Resolution, Township of Woolwich, March 5, 2013 Council Resolution, Region of Waterloo, March 6, 2013 5 (a) - 5 Area Council Resolutions: 1) Township of Centre Wellington – June 20, 2012: “THAT the Council of the Township of Centre Wellington affirms as follows: WHEREAS the Township of Centre Wellington has an existing slot gaming site and horse track facility; AND WHEREAS the Grand River Raceway facility contributes significantly to the local agri- business economy in Centre Wellington as an important tourism partner, employs many Centre Wellington residents, provides financial viability to local horse breeders, equipment and feed suppliers, veterinarians and farmers whose very existence is dependent on the race facility, as well as contributing to the spill-over economy generated by the Grand River Raceway. THEREFORE BE IT RESOLVED THAT: a) The Township of Centre Wellington confirms its support as a host municipality for the Grand River Raceway and Gaming Site, and b) The Township of Centre Wellington requests the Government of Ontario to continue to work with the gaming and raceway combined facilities at Grand River Raceway to look at new formulas to keep this facility sustainable to the benefit of our community, and c) This resolution be circulated to the Legislative Assembly of Ontario, the Association of Municipalities of Ontario, the Ontario Horse Race Industry Association, Rural Ontario Municipalities of Ontario and the Ontario Harness Horse Association.” 2) City of Cambridge – October 22, 2012: OFFICE OF THE CHIEF ADMINISTRATIVE OFFICER #115 ONTARIO LOTTERY/GAMING MODERNIZATION PLAN - OPTION TO CONSIDER BECOMING A HOST COMMUNITY Moved by Councillor Kiefer Seconded by Councillor Monteiro THAT Council directs staff to establish a public meeting to seek input on the possible establishment of a gaming site within the City of Cambridge; and further to report back to Council as soon as possible, on the results of the public input process. LOST ON A RECORDED VOTE 5 TO 4 In Favour: Councillors Cowsill, Kiefer, Monteiro and Price Opposed: Councillors Ermeta, Reid, Tucci, Wolf and Mayor Craig 5 (a) - 6 3) Township of Wilmot – February 11, 2013: 9.2.2 REPORT NO. CL 2013-03 Draft Public Consultation Process Regarding The Township of Wilmot as a Potential Host Municipality for an OLG Gaming Facility Resolution No. 2013-28 Moved by: M. Murray Seconded by: B. Fisher THAT Report No. CL2013-03 prepared by the Director of Clerk’s Services with respect to a Public Consultation Process regarding the Township of Wilmot potentially becoming a Host Municipality for an OLG Gaming Facility (Casino) regulated by the Province of Ontario, be endorsed. A. Junker, Opposed. P. Roe, Opposed. B. Fisher, Opposed. J. Gerber, Opposed. M. Murray, In Favour. L. Armstrong, In Favour. MOTION LOST. The Director of Clerk’s Services highlighted the report. Councillor Gerber provided some statements on the nature of this matter; that the matter itself is questionable given that it is required that the municipality engage a public input process, that Wilmot is not in need of an economic renewal vehicle, that typically with gaming facilities the funds flow out of the community and that a gaming facility does not fit the core statements of the municipality. Councillor Junker reiterated his opposition to this topic from an earlier meeting (January 21, 2013) and that his opposition is even stronger. He expressed his opinion that a great deal of social problems are associated with gambling and that this sort of facility would place a greater burden on Wilmot’s citizens. He stated that the response he received from the public was that a gaming facility is not right for this community. Councillor Junker requested a recorded vote. Councillor Roe advised Council of his earlier vote in favour of bringing the draft consultation process forward for consideration and that he is in favour of democracy where the elected official is charged with representing the constituents. He further stated that the response he has received thus far was not overwhelmingly in favour of a gaming facility. Mayor Armstrong stated his hopes that this would be taken to the public for input so that both sides would be able to express their views. He agreed that Council is elected to make decisions but that some decisions require the input of the public. He concluded by stating that everyone is entitled to their own thoughts and to think for themselves. 5 (a) - 7 Township of Woolwich – March 5, 2013: 4) MOVED BY Councillor Herteis SECONDED BY Councillor Poffenroth THAT the Council of the Township of Woolwich, following consideration of the information, input and analysis outlined in the Staff Report A01-2013, provide the following direction to Staff: That the Ontario Lottery and Gaming Corporation be notified that the Township of Woolwich agrees to be a willing host for a new gaming facility. After significant discussion, the motion was amended to the following: THAT Council, following consideration of the information, input and analysis outlined in the attached Report A01-2013, provide the following direction to staff: That the Ontario Lottery and Gaming Corporation be notified that the Township of Woolwich agrees to be a willing host for a new gaming facility. AND THAT approval be subject to the following conditions: 1. That Council is satisfied through discussions with a private sector operator with regards to the location of a gaming facility; 2. That Council is able to negotiate an appropriate revenue sharing agreement with a private sector operator; 3. That the OLG agrees problem gambling and the effectiveness of measures and requirements to control gambling will be strictly adhered to, enforced, monitored and reported on; and that should additional resources be required that measures will be taken to implement the needed resources; 4. That direction be provided to the Senior Management Team (SMT) to ensure that any revenue received from any potential casino development, excluding applicable property taxes and regular Township fees and charges, be allocated into a separate reserve fund to be used to address the infrastructure deficit, investment in community development and infrastructure, and support for mental health/addiction services; and 5. That Council agrees to enter into discussions with the Region of Waterloo about possible revenue sharing as it relates to potential service level increases for public health/social services and policing costs subject to determining appropriate service level and cost parameters, measures and comparators. 5 (a) - 8 In FavourOpposed Councillor Bryant Councillor Bauman Mayor Cowan Councillor Herteis Councillor Poffenroth Region of Waterloo – March 6, 2013 5): Notice of Motion Presented by Councillor Carl Zehr For the March 6, 2013 Region of Waterloo Council Meeting BE IT RESOLVED that in the event any local municipality within the Region of Waterloo (Region) expresses an intent to be considered for a new host community for a casino, consultation be sought from the Region, BE IT FURTHER RESOLVED that in order to address this matter, the Ministry of Finance and the Ontario Lottery and Gaming Corporation (OLG) be requested to amend their regulations to allow region/county municipalities to have a voice in the decision process, BE IT FURTHER RESOLVED that in the event a local municipality within the Region be considered by the OLG as a potential site for a casino, that the OLG consult with the Region before proceeding to enter into a Municipality Contribution Agreement (MCA) with the chosen local municipality, BE IT FINALLY RESOLVED that should the OLG approve a casino within the Region, whether or not approval is given by the Region for such casino, OLG commit to including the Region as a party to the MCA with the intent of sharing the municipal hosting fees. 5 (a) - 9 5 (a) - 10