Overall traffic to the AGCO website increased by 19% during fiscal year 2019–2020 compared to the previous year, due in large part to the public attention surrounding the second allocation of cannabis retail stores (in Q2) as well as the opening of the cannabis retail market to the public (beginning in Q4). During these peak periods, website visits increased more than tenfold, increasing from an average of 2,000 to over 29,000 per day in August and 24,500 per day in March.

The AGGO has continued to increase its outreach on social media in response to sustained interest in cannabis regulation and licensing. Users directly engaged with the AGCO’s tweets over 16,700 times in 2019–2020 through liking, sharing, or replying. Peak periods were closely aligned with major milestones and announcements, such as the results of the second allocation lottery and the opening of the public market for cannabis retail licensing. The AGCO received over 300 mentions on Twitter in a single day after the announcement of the second allocation lottery results, compared to just 400 mentions during the entire 2016–2017 fiscal year. Social media posts during these peak periods commonly reached more than double the usual audience size.

The AGCO sent 31 direct emails to subscribers of its cannabis distribution list in both official languages. By the end of fiscal year 2019–2020 the list had grown to over 14,000 subscribers, an increase of approximately 3000 over the previous fiscal year. Messages initially focused on providing updates about the application status of those selected in the first expression of interest lottery but later provided important details about the second allocation lottery and open market licensing. Most of these emails continued to have open rates of over 50%, well above the government benchmark average open rate of 26.5%.

Working with media outlets to share information continued to be a priority over the year. The significant increase in media inquiries during August 2019 was due to the second allocation lottery.

TABLE 1 – Media Requests by Month

Operations Division

Through its Licensing and Registration Branch, the Operations Division is responsible for reviewing and processing all application types including licences, permits, authorizations and registrations across all the lines of business regulated by the AGCO. The Branch also works with municipalities and First Nations overseeing the licensing of charitable lottery schemes.

The Division also includes Compliance Services (CS), which consists of the Audit and Financial Investigations Branch and the Regulatory Compliance Branch. These branches conduct regulatory compliance activities, including education, planning, and inspections, along with audits and financial investigations across all lines of business. Equipping frontline staff with the knowledge and skills to deliver services to all sectors, CS deploys regional, cross-functional teams who take a comprehensive, risk- and outcomes-based approach to regulatory compliance. Inspectors respond to compliance concerns when and where they occur, taking a multi-sector approach and maintaining a focus on supporting desired regulatory outcomes.

The Regulatory Compliance Branch also provides Racing Officials (Judges and Stewards), who supervise horse races conducted at Ontario’s licensed racetracks, as well as Veterinary Services, which oversee the health and welfare of horses during racing. Veterinary Services work with the Official Veterinarians, who are employed by the racetracks but supervised by the AGCO.

The Division’s Technical and Laboratory Services staff assess and approve electronic games, systems and equipment against Ontario Technical Standards and assess supplier and Ontario Lottery and Gaming Corporation (OLG) quality assurance and testing procedures.

The Regulatory Assurance Branch leads the development and implementation of tools, strategies, and frameworks that assess risk and drive the AGCO’s compliance-focused approach. The RAB also works with the Province’s cannabis retail store operators and the Ontario Cannabis Store to ensure the accurate tracking of all cannabis.

Strategy and Policy Division

The Strategy and Policy Division coordinates and supports a variety of strategic functions and informs regulatory direction through evidence-based policy making. Through the use of leading practices, it helps to ensure that major projects stay on track and outcomes are aligned to strategic goals. The Division implements a change management framework for the agency and supports the AGCO’s strategic goal of being a rewarding workplace. This Division also provides leadership for the execution of a dedicated, strategic approach to stakeholder engagement and for the development of the AGCO’s Strategic and Corporate Plans.

Corporate Services Division

The Corporate Services Division provides strategic advice and guidance and is responsible for providing key support services such as Human Resources (including Labour Relations and Collective Bargaining), Information Technology, Finance and Administration, Information Security, Internal Audit, and Enterprise Risk Management.

Communications and Corporate Affairs Division

The Communications and Corporate Affairs Division provides strategic communications advice and services, manages media relations and the AGCO’s public reputation, and oversees the development of internal and external communication materials and publications. It builds understanding and acceptance of organizational objectives and policy priorities through regular communication with staff and stakeholders. It also serves as the primary liaison with government to support government initiatives and to manage issues.

The Division also includes the Service Strategy and Experience Branch, which is tasked with building upon and institutionalizing the objectives established by the agency’s Service Experience 2020 initiative. The Branch continues to focus on enhancing the AGCO’s service to its customers across all lines of business and at every agency touchpoint.

The Corporate Secretariat responsible for Board support resides within this Division and assists the Board of Directors in fulfilling its governance responsibilities. This includes ensuring that key corporate accountability measures are completed within government timelines and monitoring compliance with the Memorandum of Understanding (MOU) between government and the AGCO. A dedicated and segregated unit also provides administrative support to the Horse Racing Appeal Panel (HRAP or Panel).

Investigation and Enforcement Bureau

The OPP Investigation and Enforcement Bureau (IEB) assigned to the AGCO employs approximately 160 OPP Officers, fully integrated within the AGCO. The OPP Superintendent (Director) and two Inspectors (Deputy Directors) report directly to the Chief Superintendent. The Bureau’s branches conduct investigations across all lines of business regulated by the AGCO. The Bureau also provides investigative expertise to and shares information with other law enforcement services and regulatory and industry stakeholder agencies to ensure integrity and public safety within these regulated industries.

Legal Services Division

The Legal Services Division provides a broad range of legal services. It reviews Notices of Proposal (NOPs), provides advice and opinions to AGCO staff on corporate issues (such as privacy and freedom of information requests), drafts legislation and contracts, and assists in policy development. Counsel represent the Registrar at hearings before the Licence Appeal Tribunal (LAT) and the HRAP and prepare appeals to the Divisional Court and the Court of Appeal.

FIGURE 2 – AGCO Licensees and Registrants (2019–2020)

• Total Licensees and Registrants: 61,394
• Gaming and Lottery Registrants: 29,318 (48%)
• Alcohol Industry / Licensees: 20,276 (33%)
• Horse Racing Licensees: 11,091 (18%)
• Cannabis: 709 (1%)

Approximately 58,600 Special Occasion Permits were issued by the AGCO in 2019–2020.

• The AGCO supported the Government of Ontario in the regulation of legal, recreational cannabis by streamlining data collection from operators through a finalized MOU with the Ontario Cannabis Store (OCS) for data gathering and sharing.
• The AGCO held a series of technical consultations to further the government’s spring 2019 budget commitment to establish a competitive market for internet gaming in Ontario.
• Working collaboratively with the OLG to support the provincial government’s gaming modernization strategy, the AGCO helped to transition new Casino Operators and support key components of the OLG Player Platform and Lottery Modernization Strategy.
• The AGCO launched the charitable gaming modernization initiative, which focuses on reforming charitable gaming regulation to align with the AGCO’s modern regulatory approach.
• The AGCO implemented changes announced by government to remove the administrative fee for Break Open Tickets, which resulted in additional funding available for charitable organizations.
• Significant work was undertaken to streamline forms and reduce administrative burden and red tape for applicants in preparation for the implementation of iAGCO online services for charitable gaming licensees.
• As part of the Moving Ahead: Horse Racing Regulation in Ontario project, the AGCO implemented several welfare and integrity reforms in April 2019, including a ban on the use of race day medications for racehorses, revised claiming rules, and the launch of a concussion protocol pilot for jockeys at Woodbine and Fort Erie racetracks.
• The AGCO provided ongoing strategic and operational advice to government on proposed reforms to the liquor regulatory framework.
• The Regulatory Intelligence and Innovation team developed a predictive risk model for liquor, implemented a data-driven strategy to strengthen the agency’s regulatory approach towards impaired driving, and developed an analytics training framework to embed data analysis into decision making and policy development.

• The continuation of the AGCO’s service delivery model, through the phased rollout of the iAGCO online portal, featured the March 2020 launch of online services for horse racing participants.
• The AGCO continued its ongoing development of organizational performance measures, with insights employed to better evaluate business performance and regulatory effectiveness.
• The AGCO delivered a series of engagement-driven activities to solicit stakeholder input and generate awareness about major corporate initiatives, including hosting the AGCO’s second Stakeholder Summit.
• The Education, Training and Awareness team launched an eLearning course for private event SOP holders to educate them about their legal responsibilities.
• The AGCO conducted internal audits and evaluations, and implemented recommendations, based on a Board-approved, three-year, rolling Strategic Audit and Evaluation Plan, leading to strengthened internal controls and improved governance and accountability.
• The AGCO continued to maintain and build upon collaborative relationships with the Canadian Centre for Ethics in Sport, College of Veterinarians, Canada Border Services Agency, Regulatory Compliance & Enforcement Council, Financial Transactions and Reports Analysis Centre of Canada, Canadian Pari-Mutuel Agency, and the Canadian American Law Enforcement Organization.
• The AGCO continued to enhance its Emergency Management Plan Framework, including the creation of business continuity plans for new lines of business and modifications to infrastructure to ensure critical systems and information are protected and available in the event of an emergency.
• As part of its Better, Faster, Smarter story, the AGCO launched a Value Task Force in April 2019, creating an internal infrastructure for measuring red tape and supporting the government’s objective of reducing regulatory burden by 25%. 

• Under its organizational design initiative to identify opportunities to be more flexible, dynamic, and agile, the AGCO strengthened its Regulatory Intelligence function, improved the structure of its Customer Experience team, and created a new Chief Information Officer role.
• The rollout of the Remote Work Arrangement program provided a flexible structure for employees to occasionally work from an alternate work location when appropriate to their duties and functions. The program was a driving factor in the AGCO’s successful and efficient response to the COVID-19 pandemic, with most staff seamlessly transitioning to an expanded full-time remote work arrangement within a matter of days.
• As part of a multi-year Diversity and Inclusion plan, the AGCO conducted an all-staff Diversity and Inclusion Survey to assess the organization’s efforts to create a positive workplace environment that reflects the unique qualities of its employees.
• The Well Engaged Committee took a leadership role in action planning and implementation of initiatives to enhance organizational diversity and inclusion efforts, with recruitment, outreach, and disability/accommodation awareness being identified as its top priorities.
• The AGCO formalized a Corporate Social Responsibility strategy and took concrete steps to ensure its employees, communities, and environment thrive by identifying four focus areas: diverse, healthy and engaged workplace; a vibrant and strong community; a sustainable environment; and socially responsible industries.
• The AGCO’s virtual Town Hall series continued to connect staff across the province over a one-week period, by taking a modern, cost-effective approach that combined live streaming, interactive sessions, themed days with customized content, recorded presentations, and an employee social media platform to engage with staff across the province.
• Providing the organization with a competitive advantage in attracting talent, the AGCO NEXT initiative launched NEXT Talks, inviting employees to create and deliver all-staff presentations on relevant themes.
• The AGCO continued to implement its Employee Engagement action plan, by focusing on two corporate themes: opportunities to have ideas adopted and put into use, and improving the efficiency and effectiveness of work structures and processes. Initiatives such as innovation hour, process review, and continuous improvement were rolled out across the organization.
• In 2019–2020, a new Ask Me Anything staff engagement initiative was launched, providing AGCO employees with an opportunity to submit questions directly to executives and receive an immediate response.
• The Manager 2020 project team introduced several progressive initiatives, including LeaderShift, which allows managers to apply for temporary assignments outside of their field and lead a team of specialists. The team also developed four leadership competencies for use in management and staff development plans.
• Human Resources continued to incorporate a Digital First approach by implementing new technology modules to improve efficiency, adopt best practices, and eliminate manual/paper-based processes.