OLG Releases Remaining Gaming RFPQs

On Thursday, December 12, the Ontario Lottery and Gaming Corporation launched the remaining Requests for Pre-Qualification (RFPQs) for gaming.

The contents of the OLG’s release appear below

OLG RELEASES REMAINING GAMING RFPQS

December 12, 2013

TORONTO – The Ontario Lottery and Gaming Corporation (OLG) continues its modernization of the province’s lottery and gaming industry with the launch of the remaining Requests for Pre-Qualification (RFPQs) for gaming. OLG is also issuing a Request for Information (RFI) for a potential privately-funded, multi-purpose entertainment centre in Niagara Falls.

Gaming RFPQs

The RFPQs include up to 10 Gaming Zones grouped into three Gaming Bundles:

• GTA Gaming Bundle – Gaming Zones C2 (OLG Slots at Woodbine Racetrack); C3 (OLG Slots at Ajax Downs); and potentially C8 (Great Blue Heron Casino);


• Central Gaming Bundle – Gaming Zones C5 (OLG Slots at Georgian Downs); C6 (Casino Rama); and C7 (proposed new gaming site in Collingwood or Wasaga Beach); and


• West GTA Gaming Bundle – Gaming Zones C4 (OLG Slots at Mohawk Racetrack); SW1 (OLG Slots at Grand River Raceway); SW2 (OLG Casino Brantford); and SW9 (OLG Slots at Flamboro Downs).

“These Gaming Bundles represent unique opportunities for service providers to leverage the success of our existing gaming sites, with their established customer bases and experienced employees,” said Rod Phillips, President and CEO, OLG. “This will also be an opportunity for a service provider to develop a new facility in Collingwood or Wasaga Beach.”

The RFPQ process enables OLG to create a list of qualified service providers who are then eligible to receive the Request for Proposal (RFP) documents for specific Gaming Bundles. OLG has been releasing RFPQs for the modernization of gaming in stages. The release of these RFPQs follows the RFPQs for Gaming Bundles in Southwestern Ontario, Ottawa Area, Ontario East and Ontario North.

OLG has done its due diligence in reviewing the responses to gaming RFPQs that have closed and is currently considering service providers who will be eligible to receive the RFP documents. OLG will begin the RFP process for gaming in the coming months by releasing RFP documents to selected service providers.

As part of the RFP process, pre-qualified service providers will, in some cases, be able to propose the construction of a new gaming site anywhere within an OLG-defined geographic Gaming Zone, where there is municipal support.

"It is important to understand the complexity of the decision making about moving a site—or building a new one. Not only does there need to be demonstrated customer interest and a compelling business case that results in increased revenue for the Government of Ontario, there also needs to be a willing municipal host," said Phillips. "And where there is a slots at racetrack facility, a proposal has to make sense for the horse racing industry. Any new site or relocation of an existing site is subject to final approval from the Ontario government."

As part of modernization, OLG is continuing to work with the Ontario government and the horse racing sector to integrate horse racing into the provincial gaming strategy. This work includes the development of competitive, customer-appealing products to help grow a sustainable horse racing industry in Ontario for the long-term. OLG is also providing its expertise in marketing and Responsible Gambling.

"Ensuring a vibrant horse racing industry is a critical consideration as OLG modernizes gaming,” said Phillips. "This change is a positive move for Ontario’s horse racing industry because, for the first time, all of the stakeholders are fully engaged in the effort to integrate horse racing into a provincial gaming strategy."

Modernization will enable OLG to provide additional revenues to the Province to help fund the operation of hospitals and other provincial priorities. At the same time, it could help create jobs in the industry across Ontario and trigger private sector investment.

While the new gaming model includes securing qualified service providers for the day-to-day operation of gaming, OLG will continue to conduct and manage lottery and gaming in Ontario.

OLG will continue to work within the Province’s overall problem gambling strategy to contribute to the prevention and mitigation of problem gambling through its Responsible Gambling program, which is recognized internationally by the World Lottery Association’s certification program. OLG will also require service providers to follow the Responsible Gambling Standards that OLG has developed.

Interested service providers are required to submit proposals for an entire Gaming Bundle as set out in the RFPQ, not for individual Gaming Zones or gaming sites contained within the bundle. This means that service providers are being asked to demonstrate their ability to operate all facilities in a Gaming Bundle.

Service providers interested in the GTA, West GTA and Central Gaming Bundles must respond to the RFPQs by March 13, 2014.

OLG is also launching a RFI to help gauge interest in the marketplace for developing and financing a potential Niagara entertainment centre. It is anticipated that the potential multi-purpose entertainment centre would be similar to, or larger in size and scale, than facilities at Caesars Windsor and Casino Rama.

Parties interested in the potential Niagara entertainment centre must respond to the RFI by March 3, 2014.

The RFI, as well as each of the RFPQs released today, will be available on MERXTM (www.merx.com/olg). MERXTM charges a small fee to download this material.

The following are also available in the media section at OLG.ca:

• OLG Backgrounder that provides more details regarding the GTA Gaming Bundle


• OLG Backgrounder that provides more details regarding the RFPQs and OLG’s procurement process


• OLG Maps of Gaming Bundles


• Summaries of the RFPQ for each Gaming Bundle announced today


• OLG Backgrounder that provides more details on a potential Niagara entertainment centre