History of OLG Revenue under New Funding Agreement
| Calendar Year | Q1 | Q2 | Q3 | Q4 | Total per City
Fiscal Year (Dec. 31) |
|---|
| 2013 | N/A | $ 6,433,923 | $ 5,596,501 | $ 4,780,702 | $ 16,811,126 |
|---|
| 2014 | $ 4,452,570 | $ 6,715,070 | $ 5,304,206 | $ 4,916,987 | $ 21,388,833 |
|---|
| 2015 | $ 4,532,010 | $ 7,003,666 | $ 5,930,369 | $ 5,540,423 | $ 23,006,468 |
|---|
| 2016 | $ 5,275,019 | $ 7,153,022 | $ 6,245,991 | $ 5,625,402 | $ 24,299,434 |
|---|
| 2017 | $ 5,548,566 | $ 7,868,653 | $ 6,813,615 | $ 6,101,268 | $ 26,332,102 |
|---|
| 2018 | $ 5,546,465 | $ 7,393,429 | $ 6,499,766 | $ 5,373,138 | $ 24,812,798 |
|---|
| 2019 | $ 4,690,534 | $ 7,137,205 | $ 6,057,544 | $ 4,951,522 | $ 22,836,805 |
|---|
| 2020 | $ 3,974,389 | $ 0* | $ 0* | $ 0* | $ 3,974,389 |
|---|
| 2021 | $ 0* | $ 0* | $ 4,668,393 | $ 3,889,163 | $ 8,557,556 |
|---|
| 2022 | $ 2,969,020 | $ 6,257,258 | $ 5,285,233 | $4,433,189 | $ 18,944,700 |
|---|
| 2023 | $ 3,939,785 | $ 6,386,158 | $ 5,387,008 | $4,096,386 | $ 19,809,337 |
|---|
| 2024 | $3,743,017 | $5,815,950 | TBD | TBD | $9,558,967 |
|---|
| Total | $220,332,515 |
|---|
Table Note
Cells that have $ 0 values are during the time that the Casinos were closed due to COVID restrictions.
History of OLG Spending & Commitments - April 1, 2013 to September 30, 2023
| OLG Year | Property Tax Relief | Capital Asset and Strategic Investment | Economic Development Initiatives | Hospital (2013-2022) Social Services 2023 | Policing | Total Commitments |
|---|
| 13/14 | $ 3,723,250 | $ 10,419,057 | $ 254,401 | $ 318,955 | $ 4,214,384 | $ 18,930,047 |
|---|
| 14/15 | $ 6,173,659 | $ 10,643,279 | $ 305,281 | $ 322,024 | $ 4,200,000 | $ 21,644,242 |
|---|
| 15/16 | $ 6,034,985 | $ 10,106,264 | $ 1,204,401 | $ 356,242 | $ 4,200,000 | $ 21,901,892 |
|---|
| 16/17 | $ 6,168,506 | $ 14,009,809 | $ 605,281 | $ 382,574 | $ 4,200,000 | $ 25,366,170 |
|---|
| 17/18 | $ 6,319,278 | $ 12,118,300 | $ 700,000 | $ 562,596 | $ 4,200,000 | $ 23,864,173 |
|---|
| 18/19 | $ 6,265,285 | $ 15,865,598 | $ 0 | $ 479,137 | $ 4,200,000 | $ 26,810,020 |
|---|
| 2019 Apr - Dec. | $ 4,537,643 | $ 6,632,698 | $ 472,955 | $ 362,925 | $ 3,150,000 | $ 15,156,221 |
|---|
| 2020 | $ 2,189,984 | $ 230,820 | $ 779,354 | $ 79,488 | $ 715,390 | $ 3,995,035 |
|---|
| 2021 | $ 5,895,000 | $ 3,032,056 | $ 0 | $ 171,151 | $ 1,540,360 | $ 10,638,567 |
|---|
| 2022 | $ 5,493,314 | $ 8,088,543 | $ 0 | $ 290,230 | $ 3,410,046 | $ 17,282,133 |
|---|
| 2023 | $5,420,133 | $ 0 | $ 179,374 | $ 350,000 | $ 1,858,670 | $ 7,808,177 |
|---|
| Totals | $ 58,221,036 | $ 91,146,424 | $ 4,501,045 | $ 3,639,322 | $ 35,888,850 | $ 193,396,677 |
|---|
| % of Total | 30.1% | 47.1% | 2.3% | 1.9% | 18.6% | 100% |
|---|
Summary
In 2013, the City of Niagara Falls approved the new Municipality Contribution Agreement with the Ontario Lottery and Gaming Corporation (OLG) with an effective date of April 1, 2013. This agreement significantly increased the City’s hosting fees from the previous agreement.
Council adopted five key areas of expenditures that funds should be used for. These include:
- Property Tax Relief
- Capital Asset and Strategic Initiatives
- Economic Development Initiatives
- Social Service Initiatives (previously Future Niagara Falls Hospital 2013-2022)
- Niagara Regional Police (NRP) Fallsview Casino District Unit Funding
Background
In September 2013, Council approved the Municipality Contribution Agreement (MCA) with the Ontario Lottery and Gaming Corporation (OLG). The effective date of the MCA is April 1, 2013 and will terminate at the earliest of:
- Date which all Casino games are no longer conducted and managed by OLG in Niagara Falls;
- Date on which any license, permit, approval, consent and/or other permission that may be required to use and operate the casino games in Niagara Falls is no longer available, becomes invalid or ceases to have effect;
- The date specified in a written notice of termination provided by OLG to the Municipality provided that such date shall be at least 30 days following the date of the notice of termination.
The new funding agreement increased the hosting fee to the municipality for the two casinos located in Niagara Falls. The funding period is based on the Province’s fiscal year, specifically April 1st to March 31st. Payments, based on a percentage of gaming revenues identified below, are received by the City within 21 days of the end of each quarter.
Under the new host funding formula in the Municipality Contribution Agreement (MCA), host municipalities will receive:
- 5.25% on the first $65 million of electronic games revenue; plus
- 3.00% on the next $135 million of the electronic games revenue; plus
- 2.50% on the next $300 million of the electronic games revenue; plus
- 0.50% on electronic games revenue above $500 million; plus
- 4.00% of the live table games revenue; and
- 4.00% of Sportsbook revenue, if any, generated during the operating year
Supporting Documents
