Report Criticizes Ontario Casino

A proposed $45 million casino to be operated by Gateway Casinos for Ontario Lottery and Gaming Corporation in Sudbury would hurt local business, kill jobs, impact the city's economy, "suffocate local culture" and not attract tourists, according to a new report. But Gateway already signed a letter of intent with developer Dario Zulich.

A proposed million casino complex in Sudbury, Ontario, Canada is facing mounting opposition, even though casino operator Gateway Casinos and Entertainment Limited signed a letter of intent with developer Dario Zulich, owner of the local Sudbury Wolves OHL franchise. The casino and entertainment venue would be part of the planned True North Strong development, which would replace the existing Sudbury Downs.

Last December, Vancouver-based Gateway signed a 20-year deal with Ontario Lottery and Gaming Corporation to: 1) open new casinos in North Bay and Kenora to generate more revenue to be spent on health care and other programs, and 2) take over management of existing casinos in Sudbury, Thunder Bay and Sault Ste. Marie.

However, a report by Tom Fortin of Fortin Foundation said the proposed Sudbury casino would hurt local business, kill four existing jobs for every one it created, take money from the city’s economy, “suffocate local culture” and not attract tourists. The new casino would offer slots, roulette and craps.

Sudbury Downs, now operated by Gateway, currently offers 406 slots machines which, the Fortin report said, take $50 million out of Sudbury’s economy annually. That amount would increase if a casino opens, the report said.

Pat MacIsaac, owner of Sudbury Downs, said locating a casino “closer to the people has been a contentious issue. A new casino closer to the bulk of the local population is estimated to generate an additional $30 million of net win annually. That is $30 million more, each year, leaving our community.”

Gateway Casinos and Entertainment Senior Vice President and Ontario Managing Director Keith Andrews said, “Gateway Casinos and Entertainment Limited is very excited to take this important step forward in bringing a major investment and up to 250 new jobs to greater Sudbury. The True North Strong proposal envisions creating a vibrant regional entertainment district. A Gateway Casinos and Entertainment Limited property in the district is a perfect complement to this dynamic development.”

Zulich said his development team will “continue to work with the track owner at Sudbury Downs” as True North Strong plans progress.