Ward 5 incumbent Robert Kirwan has found himself having to explain why he’s seemingly changed his mind on the impact casinos have on host communities.
The post in 2016 was based on a story published by the North Bay Nugget, which argued that casinos suck money of communities and put little back.
In a Valley East Facebook post, the Ward 5 councillor wrote:
“About $20 million per year is taken out of the Slots at Sudbury Downs each year. If one assumes that for every dollar spent locally it generates up to $4 of economic sping off activity, then that means the Slots are currently taking $80 million per year of economic activity out of our local market. These are dollars that would have been spent locally if not being spent at the slots. So when the casino is built in Greater Sudbury, it will take even more money out of the local economy. We will have a nice beautiful casino, but our economy is definitely going to suffer …”
A member of the Greater Sudbury Politics Facebook group dug up the old post and shared it on the page, eliciting a great deal of response and criticism. Kirwan is a favourite topic of discussion by members of the group.
But the councillor himself is now saying the quote is being taken out of context as the opinion he said he shared was very specific to Sudbury Downs, and should not be broadly applied to his stance regarding a casino on the Kingsway.
At the time, OLG’s work on the new Northern Gaming Bundle was just getting underway and the Kingsway Entertainment District (KED) project was in its infancy, and was known as the True North Strong Centre. A casino was not listed as part of that project at the time. Read the 2016 report here.
“At that time it was anticipated that the modernized casino might remain at Sudbury Downs, and I postulated that if it remained at Sudbury Downs it would continue to be a casino largely used by local residents,” Kirwan said in a statement to media. “The patrons for the Slots at Sudbury Downs were mostly from the City of Greater Sudbury and as long as it was in that location, we couldn't expect much more.
“By staying there it very well could be more of a drain on the economy than it was returning. Obviously conditions have changed in two years.”
When Gateway Casinos indicated it was interested in developing something more akin to Casino Rama in Orillia and was looking to work with the city on developing something like that, Kirwan said the project became about building a regional attraction — a far different entity with much different local impact, Kirwan said.
“A $60-million investment in a new casino that was going to include three or four restaurants, alongside a new $100-million arena/event centre and a 200-room hotel would give us the same dynamic as Rama and we would even have an event centre that is larger,” Kirwan wrote.
“The evidence is clear that the conditions are much different than they were back in June 2016. And I will say that no one — and I repeat no one — could have imagined all of this could be happening two years ago.”
If the KED comes to fruition and operates as planned, Kirwan said, it won’t be local residents supporting the casino, but visitors attracted to the city by the myriad shows and attractions the KED will encompass.
“Rather than local residents being the main supporters of the casino, as it was in the past, the bulk of the supporters will be from out of town,” he said. “And we don't even have to try to market to tourists. They are already in our city for a variety of different reasons. We have at least 7,500 people in our city every day of the year from out of town who will be looking for exciting places to visit while they are here.
“We now have places where they can spend their money. I have no problem saying that if all of the above would have been known on June 16, 2016, I would written a much different post on Facebook and it would very likely resemble the one I have just written.”
Learn more about Kirwan on his Valley East Today web portal.
The full text of his statement to media is below:
A few people have made reference to a post I put up in my Valley East facebook group back on June 16, 2016 when the OLG indicated that Sudbury would be part of a gaming bundle that was going to be awarded to a managing company to be named at some time in the future.
At that time it was anticipated that the modernized casino might remain at Sudbury Downs and I postulated that if it remained at Sudbury Downs it would continue to be a casino largely used by local residents. The patrons for the Slots at Sudbury Downs were mostly from the City of Greater Sudbury and as long as it was in that location we couldn't expect much more. By staying there it very well could be more of a drain on the economy than it was returning. Obviously conditions have changed in two years.
When Gateway Casinos was awarded the bundle, I met with representatives of the company and they expressed great interest in moving away from Sudbury Downs and forming a collaborative partnership with the City of Greater Sudbury to develop a facility that would be similar in concept to Orillia's Casino Rama with the goal of becoming the regional attraction for Northeastern Ontario.
A $60 million investment in a new casino that was going to include 3 or 4 restaurants, alongside a new $100 million arena / event centre and a 200 room hotel would give us the same dynamic as Rama and we would even have an event centre that is larger.
The icing on the cake was that by locating the arena on the Kingsway with the casino and the hotel, we would then be able to also develop the Arts & Culture District downtown. That would give us the Kingsway Entertainment District plus a new library, a new art gallery, a new convention and performance centre, a new downtown hotel, Place des Arts, a renovated Tom Davies Square Courtyard, the Elgin Greenway, the Brady Green Stair connection, and a revitalized Sudbury Theatre Centre. All of this is happening over the next five years.
The critical factor in all of this taking place was the inclusion of Gateway Casino as part of the Kingsway Entertainment Centre. If Gateway Casino had decided to go anywhere else, I can pretty well say that none of the above would be taking place. Gateway was the key to this all happening.
So, when we look at the fact that the casino and the hotel alone are going to generate enough new revenue to pay for our new arena; and when you look at the fact that the total infusion of construction dollars for both developments is going to come close to $500 million; and you look at the fact that there will be hundreds of new jobs in construction plus hundreds of new permanent jobs from the new facilities; plus the fact that within five years the City of Greater Sudbury is going to rise to our full potential as not only the largest city in Northern Ontario, but the city with the best future, the evidence is clear that the conditions are much different than they were back in June 2016. And I will say that no one - and I repeat no one, could have imagined all of this could be happening two years ago.
But the biggest change is that being located on the Kingsway, Gateway Casino is now in close proximity to most of the hotels in Greater Sudbury. There are many hotels along the Kingsway leading right downtown. Anyone staying in a hotel downtown or along the Kingsway is just minutes away from the Casino. And when you take the by-pass to Regent Street, you get to the hotels that are along Regent. So those hotels are also a short distance away from the Casino now.
We are going to increase our hotel room total to about 2400 over the next five years. That means we have at least 1800 rooms booked on average every single day of the year. That would give us about 2500 to 3000 out of town guests staying in hotels who are just minutes away from the casino, but also minutes away from the arena / event centre and Festival Square. They are minutes away from our downtown arts and culture centre. When they ask, "What are we going to do tonight?" there are going to be all sorts of choices now, but before there was nothing because the last place they would think of going would be to the casino at Sudbury Downs.
On any given day we have about another 5000 people visiting and staying with family and friends from out of town. They will now have some place to bring their friends when they are in our city.
And so, rather than local residents being the main supporters of the casino, as it was in the past, the bulk of the supporters will be from out of town. And we don't even have to try to market to tourists. They are already in our city for a variety of different reasons. We have at least 7500 people in our city every day of the year from out of town who will be looking for exciting places to visit while they are here. We now have places where they can spend their money.
Another spin off is that with our increased hotel capacity and our new convention and event centre space, we are going to be able to accommodate more conferences in Sudbury, which will further boost our economy.
In conclusion, while my critics, and it seems as if this election campaign they are going to be coming out of the woodwork in droves, may want to attack me for changing my mind, I just want to assure all of my constituents that it has always, always, always been my philosophy that when I make up my mind on something and make a decision, I will hold onto that decision unless there is a material change in circumstances that is so significant that had it had been known at the time the original decision was made, the original decision would have been different.
I have no problem saying that if all of the above would have been known on June 16, 2016, I would written a much different post on Facebook and it would very likely resemble the one I have just written. I am proud of the position I held on June 16, 2016 and I am equally proud of the position I hold onto now because the financial return to the city from what is transpiring as a result of Gateway Casino being part of the KED has completely changed the game.
No member of City Council should be so entrenched in a decision that he / she would be unwilling to change his/her mind if presented with facts or evidence that were not known at the time the decision was made and which is such a material change in circumstances it could have affected the original decision. I am not going to be that kind of Councillor and so I actually feel that by changing my mind from June 16, 2016, I have demonstrated that I am not afraid of making the best decision, even if it means changing my original position.
