Casino Rama Revenue Agreement

This long-term lessor agreement also imposes a revised formula for income distribution. Rama First Nation will collect 1.9% of Casino Rama`s gross revenue. In the first year of the agreement, approximately $8.8 million is expected to be disbursed. The province and CRFN have signed a new agreement for the operation of Casino Rama under the post-2011 title. It is applicable for 20 years from August 1, 2011. There are two possibilities to extend the agreement by 10 years and then by five years. As of April 1, 2011, the share of First Nations sales (excluding the NRFC) will be tied to the entire Ontario gaming market, not just Casino Rama`s net sales. The 2012 game strategy was developed by the OLG in secret, without meaningful consultation with First Nations. The strategy requires the privatization of most gaming sectors (commercial casinos, OLG casinos and lotteries), subject to ultimate supervision by the OLG. Four or five new facilities are planned, as well as a significant expansion of the highly successful Woodbine facility in Toronto. The initial revenue forecast for the 2012 strategy was extremely optimistic and there were many delays and controversies, particularly with respect to the rejection of the province`s entire equestrian industry.

The new site is not going well. Some new facilities are now in sight and the expansion of Woodbine (approximate completion in 2020) is expected to significantly increase OLG`s gross revenues. On April 1, 2011, the Rama casino was replaced by a 1.7% share of OLG`s total gross revenue, divided into monthly payments, in accordance with the 2008 revenue agreement. The calculation of gross revenue under this agreement includes not only Casino Rama funds, but also all other commercial and charitable casinos, Racinos (z.B Woodbine), lotteries and other sources of OLG games and non-games. Since April 1, 2011, there is no direct link to the Rama casino. First Nation partners may decide to make up to 15% of the proceeds available for collective financing (for example, a collective investment fund. B) over a period of time. This result is achieved by an extraordinary resolution which requires positive support of 66.66% at a meeting of partners duly convened. Section 7.2 is the applicable provision of the single limited partnership agreement. All 133 First Nations in Ontario are expected to receive a percentage of the $400 million in revenue – a portion of the revenues raised by the casino since it opened in 1996.

Bingo is not explicitly included or excluded in the definition of Casino Gaming in the new arrangements. At the Thunder Bay MPS on February 6, 2008, Provincial Aboriginal Affairs Minister Michael Bryant went to the minutes before the Chiefs/Partners, confirming that the new regulations should not include bingo. The Minister knew that the Chiefs/Partners would rely on his commitments if they ratified the new regulation the next day. This will make it more difficult, if not impossible, for the province to later adopt the position that „unlicensed“ bingo is a violation of the new regulations. There will therefore be no consequences in terms of revenue sharing. The agreement with rama First Nation, which has a population of approximately 1,500, will enter into force on 1 August 2011 and includes, at the sole discretion of the OLG, two successive extensions of 10 and 5 years. Since its opening in 1996, Casino Rama has generated more than $5.2 billion in gross revenue. Casino Rama`s financial and employment results have created a better quality of life for all. Half of the 1,500 members of the Rama First Nation live on the 2,800-hectare Rama Reserve. A few days after the closure, the province paid $201 million to OFNLP2008. It was distributed to First Nations signatories to the new partnership agreement, which were consistent with the financial reports and other requirements of the existing partnership agreement, and was based on the existing formula.