4. OLG Gaming Modernization
In March 2012, the OLG initiated a plan to modernize lottery and gaming in Ontario, which included three key priorities:
- Becoming more customer-focused
- Securing qualified service providers for the day-to-day operation of lottery and gaming
- Renewing OLG’s role in the conduct, management and oversight of lottery and gaming.
The AGCO also embarked on a path to modernize its approach to regulating, which complements the OLG’s plan to modernize the lottery and gaming sectors in Ontario. The AGCO has been taking a modern and progressive approach to regulation, based on risk, the achievement of outcomes and providing a degree of business flexibility and efficiencies for the lottery and gaming industries. These efforts support and align with key government objectives for enhanced efficiency in the delivery of public services and reducing regulatory burden and increasing consumer choice. In addition, the AGCO’s outcomes-based approach to regulation has resulted in significant cost avoidance annually for the AGCO, as well as cost savings, avoidance or additional revenue for Casino Operators.
OLG Casino Modernization
The OLG started modernizing commercial gaming operations by inviting private sector casino companies to become the new Casino Operators. The OLG divided Ontario casino sites into eight gaming bundles and released Requests for Proposal for private sector Casino Operators for each bundle. On May 1, 2018 and July 18, 2018, the West GTA Bundle and Central Bundle respectively transitioned to new private sector Casino Operators. To date, seven bundles (East, Southwest, North, Ottawa, GTA, West GTA and Central) have transitioned to private sector Casino Operators, and the remaining Niagara Bundle is scheduled to be transitioned in 2019. The AGCO has played a key role in supporting this transition. For starters, the AGCO conducts comprehensive due diligence and eligibility assessments to ensure that all operators meet standards of honesty and integrity and to ensure that all casino gaming will be operated within the law. The AGCO also undertakes a number of key activities during the transition process. For example, the AGCO works with the Casino Operator and OLG to monitor transition activities, assess the sites’ readiness, and ensure casino operations comply with all gaming-related legislation and the Registrar’s Standards for Gaming. Once transitioned, many private sector Casino Operators are choosing to build new casinos or expand and relocate existing ones in their respective bundles. Numerous expansions and new builds have taken place over the past year, many with plans to build hotels and live entertainment venues, as well as expand gaming facilities to include ‘live’ table games. The AGCO enhances the operators’ understanding and compliance to AGCO/OPP regulatory requirements by providing them with a Building, Expanding and Relocating Casinos guide, and participates in activities such as pre-opening compliance inspections and ‘mock’ casino exercises.
OLG Player Platform and Lottery Modernization
Under OLG’s Lottery Modernization Strategy, and in accordance with AGCO standards, OLG is also modernizing key components of its lottery and iGaming business including a new OLG Player Platform, the replacement of Lottery Terminals, an enhanced Sports Betting solution, a new Web and App presence as well as new games.
The goal of the OLG Player Platform and Lottery Modernization Strategy is to expand the customer base by ensuring technology and product solutions are responsive to changing customer needs. OLG intends for all lottery modernization initiatives be released at the same time, with Phase 1 releases planned for later in the coming fiscal year and the integration of all systems to be part of future phases. The AGCO is working to educate new Gaming-Related Suppliers on the regulatory requirements and expectations as well as to assess technical solutions in accordance with Registrar’s Standards, and principles of integrity and public interest.
The OLG and the AGCO continue to work together to implement the overall modernization strategy. AGCO’s approach, both in its day-to-day role, as well as in modernization, is to be standards and risk-based, as well as outcomes-focused. The agency has successfully transitioned to a standards-based approach in casino gaming, lotteries, charitable gaming and iGaming.
See OLG Lotteries for information on how the AGCO conducts audits and reviews of OLG lottery management functions, processes and systems.