Thunder Bay is preparing for less cash flowing to the city coffers now that the local casino hotspot is closed indefinitely. City Treasurer Linda Evans recently made it clear that Gateway Casinos Thunder Bay was raking in some CA$200,000 per month but the lockdown is going to prevent this from happening. Projections are that the municipality would struggle financially down the road.
Mid-March all brick-and-mortar casino locations in Ontario closed for business and the lockdown is indefinite. The unprecedented situation called for more strict measures protecting the health of individuals frequenting the casino hotspots. Thunder Bay is one of the areas that were also affected by the lockdown, as the popular gaming hall overseen by Gateway Casinos & Entertainment was also closed.
Gaming Revenue Loss
The last days of April are a time for the city council to look over the past few weeks and make some projections for the foreseeable future. At this point, the City Council projects that Thunder Bay is about to lose gaming revenue allocations amounting to CA$200,000 over the course of a single month of no gambling hall operation in the area. The longer the lockdown continues, the more revenue loss Thunder Bay would see.
May 31, 2020 saw the end of the fourth quarter of the fiscal year for Ontario Lottery and Gaming Corporation which is a special time of the year, as it brings casino host communities the gaming revenue allocation they need. Thunder Bay also bagged its portion of the gaming revenue amounting to some CA$535,365. However, this amount is lower than the expectations, especially when compared to the previous quarter.
As it was calculated the two weeks of no gambling operation at Gateway Casinos Thunder Bay have resulted in a CA$90,000 hit on the gaming revenue allocation. Such a slump causes concern in the long run, as it would affect the city coffers. The month of July is about to see the next allocation coming from Ontario Lottery and Gaming Corporation.
The Story of Gateway Casinos Thunder Bay
Ms. Evans pointed out that the Thunder Bay area is about to experience more struggle, now that many local businesses are closed. This includes parking area, recreational facilities, as well as lower interest income. Gateway Casinos Thunder Bay managed to amass some CA$2,501,323 in gaming revenue allocations over the course of the entire 2019/2020 fiscal year.
When it comes to the overall operation of the gaming hall, the amount reaches CA$48 million over the past two decades. OLG Thunder Bay welcomed its first gaming patrons back in 2000. It could be recalled that back in 2017, OLG Thunder Bay welcomed its new casino operator. Gateway Casinos & Entertainment was the private casino leader chosen to modernize the local gaming field.
Ontario Lottery and Gaming Corporation inked a 20-year agreement with the casino operator, allowing it to oversee the day-to-day operation. In the fall of 2017, the gaming hall saw its official rebranding reflecting the recent changes and bringing a fresh new feel to it both on the Park Avenue and Pearl Street sides of the building.
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