Council places bets on resort development

By Morgan Ian Adams, Enterprise-Bulletin March 5, 2013  

COLLINGWOOD — Town council is taking a chance that a big player is willing to bring a resort development — including casino — to Collingwood.

But at least one councillor says in the age of online, casinos aren’t a sure bet, and a few council members privately believe the idea a big casino resort development would come to Collingwood is a bit of a long shot.

By a vote of 8-1 — with only Councillor Keith Hull in opposition — councillors said they would be in favour of exploring the option of an ‘integrated destination resort’ that would potentially include a 400-suite hotel, restaurants, an entertainment venue, and a boutique casino.

The motion also included a statement the town was not interested in being the host site for a 300-slot gaming facility, which the Ontario Lottery and Gaming Corporation has designated for the region identified as Zone C-7, which includes Collingwood, Wasaga Beach, and portions of Springwater and Clearview townships.

Last week, councillors were presented with the idea of a resort development by gambling industry expert Steve Wolstenholme. Wolstenholme — who is also a registered lobbyist for MGM Resorts International, and is presently engaged in discussions with Toronto city councillors on a potential gaming facility in the city — said a $200-million project would employ about 850-to-1,000 people, with the casino a ‘catalyst’ to bring people to the region.

Wolstenholme, who was brought to the community by local developer Larry Dunn, emphasized he was not speaking on behalf of MGM.

On Monday night, however, Hull cautioned his council colleagues to consider the future of the industry, suggesting casino gambling could go the way of the video rental store thanks to online gaming sites.

“You don’t have to go too far to realize the industry is evolving… and there are communities across North America that are banking on these (resorts) only to see them not to come to fruition,” he said. “Although today this presents an opportunity, that opportunity could produce a diminishing return… the industry as a whole appears to be (going online).

“I’m not denying gaming won’t be part of our future… but instead, you’ll be doing it from your mobile device, TV, whatever.”

Councillor Kevin Lloyd — an opponent to the idea of a ‘slots barn’, and the mover of the motion — noted Hull’s point was “very valid and should be taken seriously.”

In presenting his motion, Lloyd said council would be exploring “the scope, criteria, and conditions” for a possible ’boutique casino’.

Lloyd said any approval of a facility in the future would be based on conditions set by council of a suitable proposal, and an acceptable revenue-sharing arrangement with OLG. It would also include conditions for “full public debate.”

The debate — according to a couple of councillors — should include a community referendum. While it was noted a referendum would cost the same as holding a municipal election — $60,000 — one councillor says those costs should be footed by OLG.

“This was dropped on us by the OLG… (and) it’s inexcusable that it’s dividing the community,” said Councillor Ian Chadwick, who added the province should have conducted a referendum on the issue of expanding gambling, and not left to local municipalities.

“I have no respect” for the process OLG has taken, said Chadwick.

Chadwick presented a notice of motion that OLG be asked to pay the costs of a referendum, should it reach that stage.

“If we’re to take this proposal to the community… the taxpayers of the community should not be saddled with the costs,” he said. “They (the OLG) want this to be their playground… if they say they’re not interested (in paying for a referendum), then I’m not interested.”

Chadwick also doesn’t believe there is anyone waiting in the wings, ready to set up shop — certainly not the scope being contemplated — in the community.

“Personally, I don’t think anything will come of this… it’s too big a scale (for Collingwood).”

Mayor Sandra Cooper said regardless of whether or not there is a proposal, council still has the responsibility to pursue the concept.

“This could be a great opportunity for 800-to-1,000 jobs,” she said. “If it means employment for the town, in town, then it is in our best interests to look at the opportunity.”

Cooper added a resort development would also have spin-offs, from employing tradespeople, to business for local retailers — “There are so many who would benefit from this.”