BCLC updates agreements with casinos

The entity updated its operational services agreement for casino and community gaming services.

Canada.- The British Columbia Lottery Corporation updated its OSA for casino and community gaming services as it is aiming to set the course for better accountability, long-term private sector investment and sustained revenues to the Province and communities.

The new operational services agreement (OSA) is replacing the 1997 regulations that were established when the BCLC was mandated to oversee and manage casinos in British Columbia. Jim Lightbody, BCLC President & CEO, said: “The gambling market has evolved significantly since BCLC first took on the role of managing casinos in 1997. The new OSA sets the course for the long-term success of the industry in B.C. by working with service providers to create and commit to an investment plan and hold service providers accountable for those plans and for maintaining the security and integrity of gambling.”

BCLC will still be in charge of deciding where casinos and community gaming centres are located and contracts with private-sector companies to build and operate the facility. “These private sector service providers earn commissions similar to a revenue share as a financial incentive for their investments in operating and growing the business,” said BCLC in a statement. The terms of the new OSA require service providers to submit annual business plans which will include commitments to capital and operating investments in properties over the term of the contract. “This new agreement provides a framework for BCLC to hold service providers accountable for investment commitments and service standards which will ultimately drive growth and new amenities. A critical component includes our commitment to responsible gambling practices,” said BCLC.

“Operating commissions for regular limit table games will be 42.5 percent and 77.5 percent for poker. This is an increase from current commissions of 40 percent and 75 percent. For high limit table games, the commission will remain at 40 percent. For bingo games, commissions will be 90 percent on the first $10,000 and 45 percent above $10,000 on weekly bingo revenue after prizes paid. This is an increase from a former tiered commission structure of 60 percent / 40 percent / 25 percent,” updated the Corporation.