HomeMy WebLinkAboutCAO 02-23 Report to
PJ(KERJNG Executive Committee
Report Number: CAO 02-23
Date: February 6, 2023
From: Marisa Carpino
Chief Administrative Officer
Subject: Memorandum of Understanding for the Sharing of Pickering Casino Revenues
-The Corporation of the City of Pickering and The Regional Municipality of
Durham
-File: A-1440
Recommendation:
1. That Report CAO 02-23 regarding the Memorandum of Understanding for the Sharing of
Pickering Casino Revenues be received;
2. That Council approve the Memorandum of Understanding for the Sharing of Pickering
Casino Revenues between The Corporation of the City of Pickering and The Regional
Municipality of Durham as set out in Attachment 5, subject to minor revisions acceptable
to the Chief Administrative Officer and the Director, Corporate Services & City Solicitor;
3. That the City Clerk forward a copy of Report CAO 02-23 to The Regional Municipality of
Durham and all lower tier municipalities of Durham Region; and
4. That the appropriate City of Pickering officials be given authority to tak e the necessary
actions to give effect thereto.
Executive Summary: Ontario Lottery and Gaming Corporation (“OLG”) opened Pickering
Casino Resort (“PCR”) on July 26, 2021 under Provincial mandatory capacity restrictions due
to COVID-19. At this time, PCR features approximately 2,200 slot machines, 90 live gaming
tables, 52 stadium gaming terminals with several restaurants as one of the Province’s premier
gaming and entertainment destinations. In recent days, PCR Hotel opened its 275 room tower
and is expected to open its 2,500 seat theatre in January 2023.
OLG makes payments to host communities under the Municipality Contribution Agreements
(“MCAs”) using a prescribed formula consistently applied across all sites in Ontario and based
on a graduated scale of gaming revenue at hosted sites. In accordance with Pickering’s MCA
with OLG dated February 12, 2020 (Attachment 1) and the amendment to the MCA dated
October 28, 2022 (Attachment 2), OLG has issued non-tax gaming revenue payments totaling
$20,253,780 (up to December 31, 2022) to the City of Pickering for hosting the Pickering
Casino Resort.
At the Council Meeting of April 10, 2018, days after Great Canadian Gaming announced it
would build a new casino at the Durham Live site located at Church and Bayly i n Pickering,
City Council approved a motion that directed City staff to consult with staff at The Regional
CAO 02-23 February 6, 2023
Subject: Memorandum of Understanding for the Sharing of Pickering Casino Page 2
Revenues
Municipality of Durham (“Region”) and to make recommendations to City Council regarding the
terms of a revenue sharing agreement as per Resolution #432/18 (Attachment 3). As stated in
the 2018 resolution, Pickering has publicly proposed that 30 percent of gaming revenues at full
build-out of the gaming facility be directed to the Region and further that a portion of the
revenues shared be directed to Social Housing and or other social programs.
In 2022, with the full build out of the gaming facility, City staff worked with Region staff to
identify the core principles to inform the sharing of Pickering Casino Revenues. Guided by
Pickering Resolutions #432/18 and #240/20 (Attachment 4), terms for a memorandum of
understanding (“MOU”) have been negotiated and deemed satisfactory to both City of
Pickering and Region staff. The draft MOU is Attachment 5 to this Report.
The purpose of this report to seek Council’s approval of the MOU.
Financial Implications: The draft MOU is based on the principle that the City shares its
casino revenues “earned” with an effective date of January 1, 2023. Therefore, the casino
revenue payment for the period of October 1 to December 31, 2022 received in late January
2023 is exempt from the MOU.
Based on an annual estimated Pickering Casino revenues, as part of the MCA, in the amount
of $16 million, the following allocations will be made:
City of Pickering will retain $13 million per year and the Region will receive $3 million
per year.
Over the term of the agreement ending 2026, the City of Pickering will retain $52 million
and the Region will receive $12 million.
Subject to Council’s approval of the annual budget, the an nual allocation of Pickering casino
revenues by the City of Pickering will be substantially dedicated to capital projects and a
portion to community grants. For public information, the City’s allocation of funds will be
clearly identified in the annual Budget and on the City’s website.
Discussion: Ontario Lottery and Gaming Corporation (“OLG”) opened Pickering Casino
Resorts (“PCR”) at the Durham Live site on July 26, 2021 under Provincial mandatory capacity
restrictions due to COVID-19. PCR features approximately 2,200 slot machines, 90 live
gaming tables, 52 stadium gaming terminals with several restaurants as one of the Province’s
premier gaming and entertainment destinations. By April 2022, indoor gathering limits were
lifted, allowing all gaming facilities in PCR to be open without capacity restrictions. As of
January 2, 2023, PRC opened their 275 room hotel tower and is expected to open their 2,500
seat theatre on January 28, 2023.
OLG makes payments to host communities, including the City of Pickering, under the
Municipality Contribution Agreements (“MCAs”) using a prescribed formula consistently applied
across all sites in Ontario and based on a graduated scale of gaming revenue at hosted sites.
CAO 02-23 February 6, 2023
Subject: Memorandum of Understanding for the Sharing of Pickering Casino Page 3
Revenues
In accordance with Pickering’s MCA with OLG dated February 12, 2020, and amended on
October 28, 2022 (Resolution #30-22), Pickering receives the following:
A. the aggregate (without duplication) of:
5.25% of the Electronic Games Revenue, if any, generated in such Operating Year that
is less than or equal to $65 million; plus
3.00% of the Electronic Games Revenue, if any, generated in such Operating Year, that
is more than $65 million and less than or equal to $200 million; plus
2.50% of Electronic Games Revenue, if any, generated in such Operating Year, that is
more than $200 million and less than or equal to $500 million; plus
0.50% of Electronic Games Revenue, if any, generated in such Operating Year, that is
more than $500 million; plus
B. 4.00% of Live Table Games Revenue, if any, generated in such Operating Year; and
C. 4.00% of Sportsbook Revenue, if any, generat ed in such Operating Year.
The City’s 4% share of Sportsbook Revenue was added to the MCA by the October 28, 2022
amendment. In accordance with the amended MCA, payments received by the City to date for
hosting the Pickering Casino Resort total $20,253,780 (up to December 31, 2022).
On April 10, 2018, City Council approved a motion that directed City staff to consult with staff
at the Region and to make recommendations to City Council regarding the terms of a revenue
sharing agreement. As stated in Resolution #432/18, the City of Pickering has publicly
proposed that 30 percent of gaming revenues at full build-out of the gaming facility be directed
to the Region and further that a portion of the revenues shared be directed to social housing
and or other social programs.
In 2022, with the full build out of the gaming facility, City staff worked with Region staff to
identify the core principles to inform the sharing of Pickering Casino revenues. Guided by
Pickering Resolutions #432/18 and #240/20, terms for the MOU have been negotiated and
deemed satisfactory to both City of Pickering and Region staff.
In summary, the provisions of the MOU include but are not limited to the following:
Revenue sharing will be retro-active to January 1, 2023 with payments made by the
City to the Region annually;
Annually, the first $10 million in casino revenues from the MCA are allocated to the City
and the remaining balance of casino revenues from the MCA are shared 50%/50%,
with the Region’s share capped at $6 million per year;
The CAO’s for the City and the Region will hold semi-annual meetings to share
information;
CAO 02-23 February 6, 2023
Subject: Memorandum of Understanding for the Sharing of Pickering Casino Page 4
Revenues
The City and the Region keep their respective responsibilities for establishing policies,
budgets and service levels for programs and services within each jurisdiction;
The MOU will survive any change in the gaming operator;
The term of the MOU shall expire on December 31, 2026 and the term can be
extended on the mutual written agreement by both the City and the Region; and
The City and the Region will renegotiate the MOU for the balance of the term should
the Province implement any substantial reduction of the Region’s jurisdiction over
health and social services, policing and emergency response.
It is important to note that the provisions of the MOU allocate the first $10 million of casino
revenues to the City of Pickering. This safeguards the City’s ability to meet annual financial
commitments for priority capital projects. Additionally, the MOU does not require the Region to
allocate their share of casino revenues to specific areas and/or programs such as Social
Services and/or Housing programs. Regional staff could not agree to terms that would limit
their Council’s flexibility to allocate funds in a manner that meets their annual fiscal needs.
Accordingly, Regional and City staff are recommending a provision in the MOU that requires
the Region to provide an annual report regarding the Region’s use of funds under this
agreement.
City staff seek Council’s approval of the MOU for the Sharing of Pickering Casino Revenues
between The Corporation of the City of Pickering and The Regional Municipality of Durham as
set out in Attachment 5.
Attachments:
1. Municipality Contribution Agreement between Ontario Lottery and Gaming Corporation
and The Corporation of the City of Pickering executed February 12, 2020
2. Amendment to the Municipality Contribution Agreement between Ontario Lottery and
Gaming Corporation and the Corporation of the City of Pickering executed October 28,
2022
3. Council Resolution #432/18
4. Council Resolution #240/20
5. Memorandum of Understanding for the Sharing of Pickering Casino revenues between
The Corporation of the City of Pickering and The Regional Municipality of Durham
Prepared By:
Original Signed By:
Marisa Carpino
Chief Administrative Officer
CAO 02-23 February 6, 2023
Subject: Memorandum of Understanding for the Sharing of Pickering Casino Page 5
Revenues
:mc
Recommended for the consideration
of Pickering City Council
Original Signed By:
Marisa Carpino, M.A.
Chief Administrative Officer
' . Attachment #1 to CAO 02-23
MUNICIPALITY CONTRIBUTION AGREEMENT
/ J.. I o:i- / c2o:i-oTHIS AGREEMENT is made as of Iday/month/year
BET WEEN:
ONTARIO LOTTERY AND GAMING CORPORATION, a
statutory corporation established under the Ontario Lottery and
Gaming Corporation Act, 1999 (Ontario) with its head office located
at 70 Foster Drive, Suite 800, Sault Ste. Marie, ON P6A 6V2 and its
corporate office located at 4120 Yonge Street, Suite 420, Toronto,
ON M2P 2B8, facsimile number 416-224-7003
(hereinafter referred to as "OLG")
OF THE FIRST PART
-and-
THE CORPORATION OF THE CITY OF PICKE RING, with its administrative
office located at 1 The Esplanade, Pickering, ON L 1 V 6K7
(hereinafter referred to as the "Municipality")
OF THE SECOND PART
WHEREAS OLG has the authority to conduct and manage lottery schemes within the
meaning of subsection 207( 4) of the Criminal Code (Canada) and subject to the Gaming Control
Act, 1992 (Ontario), including Electronic Games and Live Table Games;
. AND WHEREAS OLG intends to conduct and manage a gaming site at 2028 Kellino Street,
Pickering, ON Ll W 3R6 (the 'Location");
AND whereby the parties acknowledge it would be in the public interest for the host
Municipality of the Location to have access to funds which may be used, at the discretion of the
Mayor and Council, for municipal purposes;
NOW THER EFORE in consideration of the respective covenants and agreements, representations,
warranties and indemnities herein contained and other good and valuable consideration (the receipt
and sufficiency of which are acknowledged by each party hereto) the parties agree as follows:
1. Definitions
As used herein, including the foregoing recitals, the following terms shall have the respective
meanings indicated below:
(a) "Agreement" has the meaning set forth in the recitals to this Agreement;
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(b) "Annual Contribution" has the meaning set forth in Section 3(a);
(c) "Annual Contribution Quarterly Payment" has the meaning set forth m
Section 4(a);
(d) "Casino Games " means Electronic Games , Live Table Games and such other casino
games and promotional schemes that are, in each case, conducted and managed by
OLG from time to time during the Term at the Location;
(e) "CRP" has the meaning set forth in Section 5;
(f) "Effective Date' means day/month/year or such later date as OLG may specify;
(g) "Effective Date of Termination " has the meaning set forth in Section 2;
(h) 'Electronic Games " means all electronic gaming devices, including but not limited
to reel-type and video-type slot machines, electronic table games and dealer assisted
electronic games, in each case, whether or not a live dealer is present to enable or
control game play;
(i) "Electronic Games Revenue" means , for any period, the sum of net revenue
generated from Electronic Games at the Location, calculated in accordance with
International Financial Reporting Standards or such other Canadian generally
accepted accounting principles as OLG adopts from time to time in its sole
discretion . For greater certainty, the Electronic Games Revenue will only include net
revenue generated from the Electronic Games at the Location and will not include
any revenue whatsoever from other products or services provided by OLG at the
Location in the Municipality;
(j) "Live Table Games" means games operated by a live dealer at a single gaming
table, but excluding Electronic Games;
(k) "Live Table Games Revenue" means, for any period, the sum of net revenue
generated from Live Table Games at the Location, if any, calculated in accordance
with International Financial Reporting Standards or such other Canadian generally
accepted accounting principles as OLG adopts from time to time in its sole
discretion. For greater certainty, the Live Table Games Revenue will only include net
revenue generated from the Live Table Games at the Location and will not include
any revenue whatsoever from other products or services provided by OLG at the
Location in the Municipality;
(I) "Location" has the meaning set forth in the recitals to this Agreement;
(m) "Operating Year" means each period from April 1st to March 31 st inclusive , during
the Term, to the end of the Term, except that the first Operating Year shall be the
period beginning on the Effective Date and ending on the following March 31 st and if
this Agreement shall be terminated effective on a date other than March 31 st in any
year, then the period from April 1st of the calendar year in which such termination
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occms ( or April l5 1 of the immediately preceding calendar year if _the date of
termination occurs in January, February or March) to such effective date of
termination shall be treated as an Operating Year;
(n ) "Overpayment" has the meaning set forth in Section 4(c);
(o) "Term " means the period of time referred to and described in Section 2 hereof.
2. Term and Termination
The term of this Agreement (the "Term") will become effective on the Effective Date and will
terminate at the earlies t of:
(a) the date on which all Casino Games are no longer conducted and managed by OLG
in the Municipality at the Location;
(b) the date on which any license, permit, approval , consent and/or other permission that
may be required for the continued use and operation of the Casino Games at the
Location in the Municipality is no longer available, becomes invalid or ceases to
have effect;
(c) the effective date of written notice of termination provided by OLG to the
Municipality, in the event that Casino Games continue to be conducted and managed
by OLG in the Municipality at the Location , which effective date must be specified
by OLG in such notice; provided, however, that such effective date shall be at least
30 day s following the date of such notice. OLG will endeavour to provide more than
30 day s' notice , and, where not practicable to do so and OLG has commenced
conducting and managing Casino Games at the Location, OLG shall:
(i) explain, in said notice, why it is not practicable to do so, subject to any
confidentiality concerns , as well as setting out in such notice the length ofthe
time period equal to the difference between: (A) 365 days; and (B) the
number of days ' notice actually given by OLG. For greater certainty, such
time period shall not exceed 335 days; and
(ii) pay to the Municipality , in accordance with the timelines in Section 4,
amounts which aggregate OLG 's estimation of the Annual Contribution
Quarterly Payment(s) that OLG would have paid in respect ofthe time period
referred to in subsection 2(c)(i) above had this Agreement not been
terminated in accordance with this Section 2( c ); and
(d) the date mutually agreed to in writing between OLG and the Municipality
(the "Effective Date of Termination").
For greater certainty, OLG or the Municipality shall be able to provide written notice to the
other party of the circw11stances in (a) and (b) above without trigg ering the compen sation
mechanisms set out in subsection (c) above .
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3. Payments
(a) Where OLG has commenced conducting and managing Casino Games at the
Location, then, during the Term and subject to the terms and conditions of this
Agreement, the Municipality shall be entitled to receive from OLG in respect ofeach
Operating Year the amount (the "Annual Contribution ") equal to the sum ofA+ B ,
where:
A is the aggregate (without duplication) of:
(i) 5.25% of the first $65 million of Electronic Games Revenue
generated in such Operating Year; plus
(ii) if the Electronic Games Revenue is greater than $65 million, 3 .00%
of the next $135 million of Electronic Games Revenue, if any ,
generated in such Operating Year; plus
(iii) if the Electronic Games Revenue is greater than $200 million,
2.50% of the next $300 million of Electronic Games Revenue,
generated in such Operating Year; plus
(iv) if the Electronic Games Revenue is greater than $500 mill10n,
0 .50% of any additional Electronic Games Revenue generated in
such Operating Year; and
B is 4.00% of Live Table Games Revenue , if any, generated during such
Operating Year .
(b) Following the Effective Date, in the event any additional taxes , charges, conditions
or requirements are imposed by the Municipality on OLG in respect ofthe continued
operation of the Casino Games at the Location in the Municipality, the Municipality
acknowledges and agrees that OLG shall be entitled to amend the calculation of the
Annual Contribution in a way that may reduce the Municipality's entitlement. For
greater certainty, the Annual Contribution for the first Operating Year shall be
calculated based on Electronic Games Revenue and Live Table Games Revenue
generated as of the Effective Date.
4. Timing and Calculation of Payments
(a) Subject to Section 4(b ), within twenty-one (21) days of the end of each Operating
Year quarter during the Term, OLG shall pay to the Municipality the portion of the
Annual Contribution (the "Annual Contribution Quarterly Payment") to which
the Municipality is entitled for such Operat.ing Year quarter. In calculating the
portion of each Annual Contribution Quarterly Payment derived from Electronic
Games , OLG will notionally aggregate all Electronic Games Revenue generated
during such Operating Year in order to apply the correct percentage set out in Section
3(a). OLG will provide access to its most current audited consolidated financial
statements once such are made public by the Ministry of Finance in public accounts.
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For example and by way of illustration only, Exhibit A to this Agreement sets out a
sample calculation of the Annual Contribution .
(b) In respect of the Operating Year quarter in which this Agreement is tenninated, OLG
shall pay to the Municipality the Annual Contribution Quarterly Payment to which it
is entitled: (i) in the ordinary course, in the event the Effective Date of Termination
of this Agreement occurs after the date that is twenty-one (21) days following the end
of an Operating Year quarter; or (ii) within fifteen (15) days of the Effective Date of
Termination, in the event Effective Date of Termination is on or before the date that
is twenty-one (21) days fol\owing the end of an Operating Year quarter.
(c) At any time and from time to time during an Operating Year and up to the date that is
60 days after the last day of such Operating Year, in the event OLG determines that
there has been an overpayment ("Overpayment") by OLG to the Municipality of
any Annual Contribution Quarterly Payment in such Operating Year, the
Municipality acknowledges and agrees that OLG may deduct and set off the full
amount of such Overpayment from future Annual Contribution Quarterly Payment(s)
or, if there are insufficient future Annual Contribution Quarterly Payments to fully
set off such Overpayment, the Municipality will promptly reimburse OLG for the full
amount of such Overpayment ( or the remaining amount thereof not already deducted
as set-oft). OLG will use its commercially reasonable efforts to effect any deduction
and set-off pursuant to this Section 4 in a manner that recognizes the Municigality's
desire to realize reasonable continuity in cash flow associated with the Annual
Contribution.
5. Community Recognition Program
(a) During the Tem1, the parties will collaborate in good faith to design and jointly
implement the CRP for the promotion of the positive impact of the Annual
Contri bution on the Municipality and to promote and communicate to the public
decisions made and initiatives taken by the Municipality regarding the deployment or
other allocation of the Annual Contribution for municipal purposes.
(b) It is expected that the CRP wiJl include, at a minimum, one community event during
each Operating Year during the Term, discussions and meetings on a regular basis
between the appropriate representatives of each party relating to spending, allocation
and deployment of the Annual Contribution, the allocation of responsibilities and
obligations in respect of the development, operation and/or other activities and
initiatives of the CRP, including but not limited to any program management
functions to be performed by each party.
(c) The Municipality will cooperate reasonably with OLG to facilitate messaging and
communication of the CRP and its mandate. The Municipality will comply with all
reasonable initiatives and requests proposed by OLG to the Municipality from time
to time relating to the CRP and its initiatives, including but not limited to ,branding ,
marketing and public acknowledgements in respect of funding by OLG. ·
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(d) The Municipality will ensure that its marketing and advertising materials are not
fal se , misleading or deceptive, do not portray OLG or customers of the Location or
the general public in a disparaging manner, and that such marketing and advertising
materials are in compliance with the marketing and branding guidelines which OLG
communicates to the Municipality from time to time. In the event the Municipality
does not comply with OLG 's marketing and branding guidelines, OLG may
thereafter require the Municipality to submit all proposed advertising and marketing
materials in relation to the matters set out herein to OLG for its review and approval
not less than 15 business days prior to the expected use or distribution of such
materials .
6. Amendment and Restatement; Entire Agreement
This Agreement consti tutes the entire agreement between the Municipality and OLG with respect to
the matters herein and, without limiting the foregoing , amends and supersedes all prior agreements
and understandings , oral or written, between the parties hereto or thei_r respective representatives
with respect thereto.
7. Further Assurances
The parties agree to do, or cause to be done, all acts or things and execute all such fmther documents
as may be necessary to implement and carry into effect this Agreement to its full extent.
8. Normal Costs of Development
The parties acknowledge and agree that nothing herein shall operate to fetter any legislative or quasi
judicial jurisdiction of the Municipality, and in particular, it is understood and agreed by the parties
that this Agreement does not preclude the Municipality from imposing upon occupants , owners or
developers ofthe property at which the Casino Garnes are located, normal development related costs
(including but not limited to the costs of infrastructure improvements under local or regional
jurisdiction) arising from the Casino Games in the same manner and to the same extent as may be
imposed by the Municipality on other occupants , owners or developers of land within the
Municipality, and further that this Agreement does not preclude the Municipality from imposing
such taxes, fees , charges, conditions or other requirements as may be imposed in accordance with
applicable law upon owners , occupants , de velopers , properties or businesses in the Municipality
(including, without limitation, realty taxes, development charges, conditions of site plan approval
and sewer and water charges).
9. No Liability ofOLG
The Municipality acknowledges and agrees that none of OLG and any provincial agency , ministry or
crown corporation, nor any of their respective of ficers , directors, employees, agents or
representatives shall be liable to the Municipality for or in respect of any claims (including but not
limited to claims based in contract, tort or negligence, active or passive), any cause of action,
demands, losses, liabilities or damages whatsoever (including but not limited to consequential,
exemplary, special , punitive and indirect damages) arising out of, in respect of, or relating indirectly
or directly to this Agreement, the Casino Games, the operation, cessation ofoperation or malfunction
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of any systems or equipment, or any injury to or death ofany person. Furthermore, the Municipality
releases OLG from any and all losses in respect of the foregoing.
10. Notice
Any notice or other communication permitted or required to be given by OLG to the Municipality
shall be given by either posting the same by prepaid registered mail or by facsimile addressed to the
Municipality at the address or facsimile number, as applicable, appearing in this Agreement or by
personal delivery to the Municipality. Any notice or other communication permitted or required to
be given by the Municipality to OLG shall be given by either posting the same by prepaid registered
mail or by facsimile addressed to OLG at the following address or facsimile number, as applicable:
4120 Yonge Street, Suite 420, Toronto, ON M2P 2B8 , facsimile number 416-224-7003. Any notice
posted by pre-paid registered mail shall be deemed to have been received on the third business day
following such mailing and any notice personally delivered or sent by facsimile shall be deemed to
have been received at 5 :00 p.m. on the day so delivered or sent by facsimile (if such day is a
business day and if such notice is sent prior to 5:00 p.m. on that day, and if not , on the next
following business day). During periods of a postal strike or of a general interruption of postal
services, any notice shall be given by personal delivery or facsimile hereunder and shall be deemed
to have been received on the second business day following posting of the same.
11. Relationship of Parties
OLG acknowledges the Municipality's role as a host municipality of the Casino Games at the
Location. The Municipality acknowledges and agrees that the Municipality is not an employee, agent
or representative,joint venturer, or partner of OLG, and the Municipality shall not represent itself to
others as being authorized to assume, incur or create any obligation ofany kind ( express or implied)
on behalf of (or in the name ot) OLG or any other provincial agency, ministry or crown corporation,
or purport to bind OLG or any other provincial agency , ministry or crown corporation in any respect.
For greater certainty, the Municipality acknowledges that OLG has, and shall have, the sole right to
determine, from time to time and at any time, the number and type of Electronic Games and Live
Table Games operated at the Location.
12. Severability
If any covenant or term herein or the application thereof to any person or entity, or in any
circumstance, to any extent is held invalid or unenforceable, the remainder ofthis Agreement or the
application ofthe term, covenant or condition to any person, event or circumstance, other than those
as to which it is held invalid or unenforceable , will not be affected thereby and each term, covenant
and condition shall be valid and enforceable to the fullest extent permitted by law, except that if on
the reasonable construction of this Agreement, as a whole, the applicability of the other provisions
presumes the validity and enforceability of the particular provision, the other provisions will be
deemed also to be invalid or unenforceable.
13. Governing Law
This Agreement shall be interpreted and the rights ofthe parties shall be governed by and construed
in accordance with the laws of the Province of Ontario .
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14. Attornment
Each party irrevocably and unconditionally attorns to the exclusive jurisdiction of the comis of the
Province of Ontario.
15. Recitals
The recitals to this Agreement form part thereof, and this Agreement is to be construed accordingly.
16. Time
Time shall in all respects be of the essence in this Agreement.
17. Counterparts
This Agreement may be executed in counterpa1is , each of which shall constitute an original and all
of which taken together shall constitute one and the same instrument.
18. Disclosure
The parties acknowledge that OLG is a Crown Agency and that it is subject to the Freedom of
Information and Protection of Privacy Act, R.S.O. 1990, c.F.31, as· amended, and that the
Municipality is subject to the Municipal Freedom ofInformation and Protection of Privacy Act,
R.S.O. 1990, c.M.56, as amended, and that, as a result , each party is required to observe ce1tain
legislative obligations with respect to the disclosure or non-disclosure of information, whether to
government agencies or ministries, members of the public , or otherwise .
19. Modifications
Excluding an amendment permitted under Sections 3(b) and 4( c ), no amendment to this Agreement
will be valid or binding unless set forth in writing and duly executed by both of the parties hereto.
No waiver of any breach of any provision ofthis Agreement will be effective or binding unless made
in writing and signed by the party providing such waiver, and will be limited to the specific breach
being waived.
20. Assignment
No transfer, sale or assignment by the Municipality of this Agreement or the Municipality's rights
hereunder is valid without the prior written consent of OLG.
21. Benefit of the Agreement
This Agreement will enure to the benefit of and be binding upon the respective successors and
permitted assigns of the parties hereto.
., .
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22. Electronic Execution
Delivery of an executed signature page to this Agreement by any party by electronic transmission
will be as effective as delivery of a manually executed copy of this Agreement by such party.
IN WITNESS WHEREOF the parties hereto have executed this Agreement as of the date
first written above .
ONTARIO LOTTERY
CORPORATIO
THE CORPORATION OF THE CITY
OF PICKERING
Per:
Name: [•}
Title: [•]
c/s
Per:
Name: r • 1 Susan Cassel
Title: [•] City Clerk
I/We have authority to bind the Municipality.
EXHIBIT A
Calculation of Annual Contribution
For example and by way of illustration only: if the Electronic Games Revenue and Live Table
Games Revenue for an Operating Year is $650 million and $100 million respectively and as further
described in Table A below, then the applicable Annual Contribution for such Operating Year would
be $19,712,500:
TABLE A
Electronic Gam es
Revenue (in millions)
Live Table Game s
Revenue (in millions)
Annual Contribution
Quarterly Payment (in
millions)
Operating Year
Quarter No . 1 (March
1 -June 30)
$100 $25 , [0.0525 X $65 ) + (0.03
X $35)] + [0 .04 X $25]
= $5.4625
Operating Year
Quarter No . 2 (July 1
-September 30)
$175 $22 [0 .03 X $100) + (0 .025
X $75)] + [0.04 X $22]
= $5.755
Operating Year
Quarter No. 3
(October 1 -
December 31)
$170 $23 [0 .02 5 X $170)] + [0 .04
X $23] = $5 .17
Operating Year
Quarter No. 4
(January 1 -March
31)
$205 $30 [0.025 X $55) + (0.005
X $150)] + [0.04 X $30]
= $3.325
Total $650 $100 $19 .7125
Attachment #2 to CAO 02-23
EXECUTED VERSION
AMENDMENT TO MUNICIPALITY CONTRIBUTION AGREEMENT
THIS AMENDMENT TO MUNICIPALITY CONTRIBUTION AGREEMENT (this
“Amendment”) made as of the ___ day of ___________________, 2022 (the “Effective Date”),
BETWEEN:
ONTARIO LOTTERY AND GAMING
CORPORATION
(hereinafter referred to as “OLG”)
- and -
THE CORPORATION OF THE CITY OF
PICKERING,
with its administrative office located at 1 The
Esplanade, Pickering, ON L1V 6K7
(hereinafter referred to as the “Municipality”).
WHEREAS OLG and the Municipality (the “Parties” and each a “Party”) are
parties to that certain Municipality Contribution Agreement dated as of February 12, 2020 (the
Contribution Agreement”);
AND WHEREAS capitalized terms that are used but not defined in this
Amendment, including in the recitals hereto, have the respective meanings specified in the
Contribution Agreement;
AND WHEREAS pursuant to the Contribution Agreement, the Municipality is
entitled to receive from OLG in respect of each Operating Year an Annual Contribution, which is
defined and calculated by reference to a percentage of Electronic Games Revenue and Live
Table Games Revenue, subject to the terms and conditions of the Contribution Agreement;
AND WHEREAS OLG is willing to conduct and manage Sports and Other Betting
(as defined below) at the Location, if OLG’s service provider wishes to offer Sports and Other
Betting at the Location;
AND WHEREAS the Parties are entering into this Amendment in accordance
with Section 19 of the Contribution Agreement for the purpose of amending the manner in which
the Annual Contribution will be calculated if and when Sports and Other Betting is operated at
the Location;
NOW THEREFORE THIS AMENDMENT WITNESSES THAT in consideration of
the respective covenants and agreements of the Parties herein contained and for other good
and valuable consideration (the receipt and sufficiency of which are acknowledged by each
Party), the Parties agree as follows:
OLG Internal
October 28
- 2 -
1. Amendment to Section 1 (Definitions)
From and after the Effective Date, Section 1 of the Contribution Agreement is
hereby amended by inserting the following definitions in such Section in alphabetical order:
““Sports and Other Betting” means, (a) with respect to sports
betting, the making of a bet or placing of a wager on any actual
sport event or any other athletic contest, race or fight, and (b) with
respect to other betting, the making of a bet or placing of a wager
on (i) video games that are played competitively, (ii) any non-
sporting event (for greater certainty, other than Electronic Games
and Live Table Games) where real-world factual occurrences are
the contingency on which an outcome is determined (“Novelty
Events”), and (iii) any pay-to-play sport betting product that allows
participants to assemble a virtual team composed of real players
in a given sport and compete against other virtual teams based on
the performance of those players in real matches. The making of a
bet or placing of a wager on horse racing or on a computer-
generated presentation of a random number draw that provides
sport-like visual presentation for entertainment purposes only, so
that the outcome of the “event” is determined by a random number
generator rather actual sports, players or Novelty Events, does not
constitute Sports and Other Betting;”
““Sportsbook Revenue” means, for any period, the sum of net
revenue generated from Sports and Other Betting at the Location,
if any, calculated in accordance with International Financial
reporting Standards or such other Canadian generally accepted
accounting principles as OLG adopts from time to time in its sole
discretion. For greater certainty, the Sportsbook Revenue will only
include the net revenue generated from Sports and Other Betting
at the Location and will not include any revenue whatsoever from
other products or services provided by OLG at the Location;”
2. Amendments to Section 3 (Payments)
From and after the Effective Date, Section 3(a) of the Contribution Agreement is
amended by deleting the provisions thereof in their entirety and replacing them with the
following:
“3 Payments
(a) During the Term and subject to the terms and conditions of
this Agreement, the Municipality shall be entitled to receive from
OLG in respect of each Operating Year the amount (the “Annual
Contribution”) equal to the sum of (A) + (B) + (C), where:
(A) is the aggregate (without duplication) of:
OLG Internal
- 3 -
(i) 5.25% of the Electronic Games Revenue, if any,
generated in such Operating Year that is less than or equal
to $65 million; plus
(ii) 3.00% of the Electronic Games Revenue, if any,
generated in such Operating Year, that is more than $65
million and less than or equal to $200 million; plus
(iii) 2.50% of Electronic Games Revenue, if any,
generated in such Operating Year, that is more than $200
million and less than or equal to $500 million; plus
(iv) 0.50% of Electronic Games Revenue, if any,
generated in such Operating Year, that is more than $500
million;
(B) is 4.00% of Live Table Games Revenue, if any, generated
during such Operating Year; and
(C) is 4.00% of Sportsbook Revenue, if any, generated during
such Operating Year.”
3. Amendment to Exhibit A (Calculation of Annual Contribution)
From and after the Effective Date, Exhibit A of the Agreement is amended by
deleting the provisions thereof in their entirety and replacing them with Exhibit A attached to this
Amendment.
4. Effect of Amendment on Contribution Agreement
Except as modified by this Amendment, the Contribution Agreement remains
unchanged and in full force and effect.
5. Electronic Execution
Delivery of an executed signature page to this Amendment by either Party by
electronic transmission will be as effective as delivery of a manually executed copy of this
Amendment by such Party.
[The next page is the signature page.]
OLG Internal
Name:
Title:
Date:
Name:
Title:
Date:
Kevin Ashe
Mayor
Susan Cassel
City Clerk
December 20, 2022
December 20, 2022
IN WITNESS WHEREOF the Parties have executed this Amendment as of the
Effective Date.
ONTARIO LOTTERY AND GAMING CORPORATION OF THE CITY OF
CORPORATION PICKERING
by
Name: Duncan Hannay
Title: President & CEO
Date: Dec 21/22
("I have the authority to bind OLG.")
(“I/We have the authority to bind the
Municipality.”)
OLG Internal
EXHIBIT A
Calculation of Annual Contribution
For example and by way of illustration only: if the Electronic Games Revenue, the Live Table
Games Revenue and the Sportsbook Revenue for an Operating Year is $650 million,
$100 million and $10 million respectively and as further described in Table A below, then the
applicable Annual Contribution for such Operating Year would be $20,112,500.
TABLE A
Electronic
Games Revenue
(in millions)
Live Table
Games Revenue
(in millions)
Sportsbook
Revenue (in
millions)
Annual
Contribution
Quarterly
Payment (in
millions)
Operating Year
Quarter No. 1
(March 1 – June
30)
$100 $25 $2.5 [(0.0525 x $65)
+ (0.03 x $35)] +
[0.04 x $25] +
[0.04 x $2.5] =
$5.5625
Operating Year
Quarter No. 2
(July 1 –
September 30)
$175 $22 $2.2 [(0.03 x $100) +
(0.025 x $75)] +
[0.04 x $22] +
[0.04 x $2.2] =
$5.843
Operating Year
Quarter No. 3
(October 1 –
December 31)
$170 $23 $2.3 [0.025 x $170] +
[0.04 x $23] +
[0.04 x $2.3] =
$5.262
Operating Year
Quarter No. 4
(January 1 –
March 31)
$205 $30 $3.0 [(0.025 x $55) +
(0.005 x $150)]
+ [0.04 x $30] +
[0.04 x $3.0] =
$3.445
Total $650 $100 $10 $20.1125
OLG Internal
Resolution #432/18
-~~f
P1CKER1NG
Attachment #3 to CAO 02-23
Council Meeting Minutes
April 10, 2018
7:00 pm - Council Chambers
(VIII) By-laws
7613/18 Being a by-law to exempt Lots 2, 3 and 4, Plan 40M-2597 from the part lot
control provisions of the Planning Act.
7614/18 Being a by-law to establish those parts of Lots 24 and 25, Con. 3 and those
parts of the road allowance between Lots 24 and 25, Con. 3, being Parts 1 to
4, 40R-29947 as public highway.
Resolution #430/18
Moved by Councillor Butt
Seconded by Councillor Pickles
That By-law Nos. 7613/18 through 7614/18 be approved.
Carried
(IX) Other Business
Resolution #431/18
Moved by Councillor Brenner
Seconded by Councillor McLean
That the rules of procedure be suspended in order to allow the introduction of a
Notice of Motion.
Carried on 2/3 Majority
1) Ontario Gaming GTA LP Revenue Sharing
Moved by Councillor Ashe
Seconded by Councillor Pickles
Whereas Ontario Gaming GTA LP has now announced that it will proceed with
development of the Durham Live entertainment complex and casino in the City of
Pickering;
Whereas Durham Live will be a significant tourist destination, will create thousands
of jobs in Pickering and will generate significant revenues for the City of Pickering;
10
-~~f
P1CKER1NG
Council Meeting Minutes
April 10, 2018
7:00 pm - Council Chambers
Whereas The City of Pickering, by resolution No. 158/12 dated December 10, 2012,
committed to revenue sharing regardless of which municipality is selected as the
gaming site for the C3 zone;
Whereas The City of Pickering remains committed to an equitable and reasonable
arrangement for sharing gaming revenues for the benefit of all Durham Region
residents;
Whereas The City of Pickering has publicly proposed that 30 percent of gaming
revenues at full build-out of the gaming facility be directed to the Region of Durham,
and further proposes that a portion of the said revenue share be directed to Social
Housing and/or other Social programs;
Now Therefore The Council of the City of Pickering directs City staff to consult with
staff at the Region of Durham and to make recommendations to City Council
regarding the terms of a revenue sharing agreement; and
Now Therefore City staff are directed to send a copy of this motion to the Region of
Durham and to all Durham Region municipalities.
Carried Unanimously on a
Recorded Vote
2) Councillor Brenner gave notice that he would be bringing forward his Notice of
Motion with respect to the licensing of service animals at the May Council meeting.
He noted that this had been deferred from the April Council meeting in order to allow
sufficient time for consultation with the Accessibility Advisory Committee.
Resolution #433/18
Moved by Councillor Pickles
Seconded by Councill Butt
That Council recess for ten minutes.
Delegations Continued
4. Michael Angemeer, Veridian
Proposed Veridian and Whitby Hydro Merger
Michael Angemeer, Veridian, Ron Clark, Aird & Berlis & Troy MacDonald, Grant
Thornton LLP appeared before Council and with the aid of a PowerPoint
presentation provided an overview of the potential merger of Veridian Corporation
and Whitby Hydro Energy Corporation. He noted that the reasons for the potential
merger is to achieve efficiencies, mitigate future rate increases to customers and
11
Attachment #4 to CAO 02-23
Legislative Services Division
Clerk’s Office
Directive Memorandum
March 2, 2020
To: Stan Karwowski
Director, Finance & Treasurer
From: Susan Cassel
City Clerk
Subject: Direction as per Minutes of the Meeting of City Council held on
February 24, 2020
Director, Finance & Treasurer, Report FIN 02-20
2020 Current and Capital Budget
Council Decision Resolution #240/20, 242/20, 243/20 &
244/20
1. That Report FIN 02-20 of the Director, Finance & Treasurer be approved;
2. That Council direct staff to adopt the following guidelines in negotiating the
sharing of casino revenue with Durham Region:
a) That annually, the first $10 million in casino revenue be allocated to the
City and the remaining balance of casino revenues be s hared with
Durham Region and their share be capped at $6 million per year;
b) That Durham Region be requested to develop and implement a Property
Tax Relief program for low income Seniors & Persons with Disabilities for
the Regional share of residential property taxes;
c) That Durham Region commits to reviewing the allocation of the police
services budget based on the principle of achieving property tax fairness;
d) That any sharing of casino revenue with Durham Region to be considered
after January 1, 2021;
e) That Durham Region reimburse the City for the Regional share of property
taxes for the OPG leased parkland;
f) That Durham Region participate as a funding partner for the Notion Road
401 project; and,
g) That all legal, consulting and professional fees and expenses incurred by
the City in relation to Ajax’s appeals of Pickering By-law No. 7404/15 be
reimbursed out of casino revenue prior to the sharing of such revenue with
Durham Region.
3. That the following budget recommendations be approved;
a) That the 2020 Current Budget expenditure for personnel costs, consisting
of salaries and wages (Account 1100), overtime (Account 1200) and
employer contributions (Account 1400), in the total amount of $61,017,294
be approved;
b) That the 2020 General Government Budget for grant expenditures in the
total amount of $296,591 be approved;
c) That the 2020 Gross Current Budget expenditures for City purposes in the
amount of $52,382,912 (excluding personnel costs and grant
expenditures) less estimated current revenues of $45,371,039 (City
revenues of $43,873,039 plus $1,198,000 for assessment growth plus
supplementary taxes of $300,000) and net transfer from the Rate
Stabilization Reserve of $1,500,000 for City operations be approved;
d) That the Capital from Current expenditure in the amount of $736,363
funded from property taxes be approved; and,
e) That the total final City levy under paragraphs a), b), c) and d) above, plus
the following additions that result in a total final levy of $68,630,621 being
an increase of approximately 2.99 percent over the 2019 Budget, be
approved:
i) Hiring of three additional fire fighters ($277,500) for the Seaton
station and additional staffing resources for By-law ($96,000);
and,
ii) Service level increases that consist of $35,000 for Sunday
Hours at the George Ashe Library, $150,000 for Automated
Speed Enforcement and additional resources for Winter
Control, Roads and Parks in the amount of $510,000 as
outlined in Attachment 4.
4. That the 2020 Capital Budget for the City of Pickering with a Gross Expenditure
of $58,558,005, plus an additional $187,311,000 for the City Centre project be
adopted as presented:
a) That the following capital financing sources be approved as presented in
the 2020 Capital Budget:
Transfer from Current Fund to Capital Fund $736,363
Transfers from Reserves:
-Rate Stabilization Reserve (7021) 1,477,200
-Vehicle Replacement (7040) 1,482,000
-Major Equipment Reserve (7062) 823,000
-Casino Reserve (7067) 720,000
-Capital Replacement (7001) 556,000
-Tennis Reserve (7061) 250,000
-City Share Dev. Charges (7022) 182,012
-Self-Insurance Reserve (7020) 175,000
-Facilities Reserve (7055) 120,000
-Rec. Complex Arena Surcharge (7036) 97,000
-Rec. Complex Pool Surcharge (7035) 80,000
-Rec. Complex Core Surcharge (7034) 25,000
Transfers from Reserve Funds:
-Development Charges (7601 – 7630) 110,591,354
-Federal Gas Tax Funds (7505) 4,713,000
-Third Party Contribution (7501) 3,932,940
-Roads & Bridges (7709) 2,350,000
-Animal Shelter (7706) 979,760
-Parkland (7502) 970,000
-Building Permit (7506) 552,000
-Seaton Land Group FIA (7713) 416,796
Debt -5 yr 360,400
Debt -10 yr 1,400,000
Debt -15 yr 1,470,000
Debt -20 yr 9,327,180
Debt -25 yr 96,626,000
Internal Loan -5 yr 626,000
Internal Loan -10 yr 780,000
Donations 2,250,000
Federal Grant – TBD 650,000
Federal Grant – Investing in Canada 300,000
Infrastructure Program (ICIF)
Provincial Grant – Ontario Community 850,000
Infrastructure Fund (OCIF)
Total $245,869,005
b) That total external debt financed by property taxes of $109,183,580 for the
projects identified in the 2020 Capital Budget, and as indicated in this
report, in the amount of $360,400 for a period not to exceed 5 years,
$1,400,000 for a period not to exceed 10 years, $1,470,000 for a period
not to exceed 15 years, $9,327,180 for a period not to exceed 20 years
and $96,626,000 for a period not to exceed 25 years be approved;
c) That the internal loans in the amount of $1,406,000 be undertaken at the
discretion of the Director, Finance & Treasurer;
d) That projects identified in the 2020 Capital Budget as being financed
through the issuance of debt be subject to additional, specific approval of
the expenditure and the financing by Council;
e) That any debt repayment, interest or financing provisions contained in the
annual Current Operating Budget not used in the current year’s payments
requirements may, at the discretion of the Director, Finance & Treasurer,
be used to apply towards additional principal repayment, outstanding loan
or debt charges or to reduce debt not issued, balloon payments in future
years through transfer to Rate Stabilization Reserve, internal loans or any
other amounts to be financed;
f) That all Capital expenditures or portions thereof appro ved in the 2020
Capital Budget to be financed through the issuance of debt may, at the
discretion of the Director, Finance & Treasurer, be financed through
internal loans, current or capital funds or a combination thereof;
g) That the Director, Finance & Treasurer be authorized to make draws from
Reserve and Reserve Funds for projects included in the approved Capital
Budget up to the amount approved;
h) That the Director, Finance & Treasurer be authorized at his discretion to
apply any Casino revenues attributed to 2020 towards the payment of
internal loans; and,
i) That the Director, Finance & Treasurer be authorized at his discretion to
apply any excess funds obtained through the issuance of debentures as
provided for under Section 413 of the Municipal Act, 2001 as amended.
5. That the Director, Finance & Treasurer be authorized to transfer:
a) Any surplus current operating funds at year-end in excess of
approximately $125,000 be allocated in the following manner: the first
$70,000 be allocated to the Elected Officials Life Insurance Reserve and
the remaining surplus be allocated in the following ratio: 25 percent to the
Rate Stabilization Reserve (7021); 10 percent to the Tennis Court
Reserve (7049); 10 percent to the Facilities Reserve (7055); 5 percent to
the Artwork Reserve (7066) and 50 percent to the City Share DC Projects;
b) Any surplus funds from the Emergency Operational Capital Needs
Account (2901.0000.0000) to the Facilities Reserve; and,
c) The revenue from the sale of used vehicles recorded in account
(1593.0001.0000) to the Vehicle Replacement Reserve (7040).
6. That the Director, Finance & Treasurer be authorized to make any changes or
undertake any actions necessary including: reduce the Contingency Account
2900.0000.0000 by $17,000 to offset the loss of the golf simulator revenue
amendments to Section 07.01 c) of Policy ADM 190, to insert after the word
“Plans” the following clause “including the health care spending account
referenced in 7.01 b)”; and apply these changes to Directors and CAO and to
accommodate any labour relations settlements including adjusting the Personnel
related accounts and that any revenue shortfall as a result of a Provincial tax
policy change be adjusted through the 2020 final tax rates;
7. That the Director, Finance & Treasurer be authorized at his discretion to fund
Property Tax Write-offs account (2134.0000.000) that exceed the budget
provision due to assessment appeals that translates into a deficit position for the
corporation and this shortfall be funded from a transfer f rom the Assessment
Appeal Reserve (7011) and if this reserve is depleted then the shortfall be funded
from the Rate Stabilization Reserve (7021) and that any shortfall from Payment -
in-Lieu Education Share revenue estimates be funded from a transfer from th e
Rate Stabilization Reserve (7021);
8. That the Director, Finance & Treasurer be authorized to use any under
expenditures from projects funded from Reserves or Reserve Funds to fund over
expenditures for approved projects funded from the same source(s);
9. That the Purchasing Policy be amended to reflect that Public Art purchases or
Public Art project costs that exceed $25,000 requires Council approval;
10.That the Director, Finance & Treasurer be authorized at his discretion to close
any current and completed prior year’s capital expenditure accounts and to first
apply any excess funding from property taxes to any over expenditure in other
accounts and to secondly transfer any remaining excess funding back to the
original sources of funds;
11.That Council approve the cancellation of the following previously approved
Capital projects:
a) DH-3 Tillings Road – Valley Farm Road to north limit – 5321.1001 –
$372,935;
b) Don Beer Waste Oil Tank Replacement (5715.1803) – $21,725;
c) Pickering Heritage & Community Centre (PHCC) – Construction
(5719.1901) – $14,915,675;
d) CHDRC Main Entrance & Core Area Renovations – Construction
(5731.1901) – $4,900,000;
e) CHDRC Tenant Suite Expansion (5731.1906) – $31,000;
f) CHDRC Water and Fire Main Replacements (5731.1908) – $160,000;
g) CHDRC Arena Waste Oil Tank Replacement (5735.1804) – $21,725;
h) Museum Conservation Barn Health & Safety Upgrades (5744.1601) –
$65,540;
i) Traffic Speed Camera System (5320.1906) – $25,000;
j) Museum Retaining Wall, Guard and Handrail Upgrades (5744.1803) –
$40,000;
k) Museum Backhoe/Loader Replacement (5744.1902) – $210,000;
l) Museum Schoolhouse Relocation (5744.1903) – $75,000;
m) Museum Schoolhouse Foundation (5744.1904) – $75,000;
n) Museum Harvey House Relocation (5744.1905) – $75,000;
o) Museum Harvey House Foundation (5744.1906) – $75,000;
p) Museum Harvey House Design (5744.1907) – $30,000; and,
q) Archives and Library Space (5800.1902) – $3,968,292.
12.That Council approve the change in the specifications for the replacement of
health club equipment approved in the 2019 Capital Budget (account
5731.1904.6178) from two Arc Trainers, four Recumbent Bikes, one Jacob's
Ladder and one Strength Machine to four Ascent Trainers, one Self Powered
Ascent Trainer (SPARC), one Stairmaster Gauntlet, two SkiErgs and two
Recumbent Bikes;
13.That the Director, Finance & Treasurer be authorized at his discretion to close
any consulting account expenditure and corresponding revenue source that is
over three years from the original purchase order date of issuance;
14.That the Director, Finance & Treasurer be authorized at his discretion to
refinance any capital expenditures that failed to meet the Federal Gas Tax
reporting criteria from other sources including transfers of funds from reserves
and reserve funds;
15.That the Director, Finance & Treasurer be authorized to:
a) Undertake transactions in the spot or forward (12 months or less) currency
markets in order to effect United States dollar denominated expenditures
in the Current or Capital Budgets;
b) Sign leases or rental agreements (including summer rentals) on the City’s
behalf for the provision of vehicles or equipment required for temporary
use during periods of equipment breakdown or repair or during periods of
increased need (e.g. inclement weather);
c) Restate the 2020 Current Operating, User Fees and Capital Budgets to
reflect: (i) any Council changes made at the February 24 Council meeting;
(ii) any reorganization or personnel account changes (salary, benefits and
overtime), (iii) reclassifications that result from salary increases or
negotiated labour settlements; and,
d) To process budget transfers during the fiscal year which do not change
the overall approved property tax levy.
16.That Council waive the Purchasing Policy where the estimated vehicle repair cost
is below $30,000 (HST excluded) for all fleet vehicles and off road vehicle
equipment in 2020;
17.That the Director, Finance & Treasurer be authorized to amend Sections 09.08,
13 and 13.01 of Policy ADM 190 to read as follows:
09.08 -Council approval is not required for international air travel,
accommodations, registration fees and meals for economic development
initiatives;
13. It is recognized that there are many communications media available
to Members of Council to communicate with their constituents, including
newsletters, neighbourhood letters, cooperative letters, websites and
social media accounts;
13.01 -An annual budget of $10,000 for the first, second and third
calendar years and an annual budget of $4,000 for the fourth year for
website expenditures will be provided to each Councillor for constituent
communications. The City shall cover the cost of preparing, printing and
mailing newsletters, neighbourhood letters and cooperative letters, as well
as the cost of creating and maintaining a website and/or soc ial media
account security measures as follows ...;
18.That the Director, Finance & Treasurer be authorized at his discretion to draw
from the Winter Control Reserve to fund any Current Budget deficit as a result of
higher than budget winter control costs;
19.That Council approve the following changes due to the receipt of the Combating
Ageism & Promoting the Engagement of Seniors or (CAPES) grant to the 2020
budget expenditure and revenue accounts as presented below:
a) That Revenue account (1623.2572.0000) be increased by $25,000; and,
b) That the following expense accounts be increased: account
(2572.2394.0000) – $19,300; account (2572.2210.0000) – $2,000; and
account (2572.2399.0000) – $3,700.
20.That Council approve the continuing engagement of the firm of Wats on &
Associates Economists Ltd. to be used for Development Charge and Community
Benefit Charge issues, financial studies related or in support of the DC
Background Study and Community Benefit Charge and issues related to the City,
Seaton and/or Duffin Heights;
21.That the Financial Control Policy be amended to require that Furniture Fixtures
and Equipment or FFE budgets include a breakdown of expenditures to allow the
Treasurer to fulfill the obligations of the Financial Control Policy under subsection
02.04 b) and under the Municipal Act subsection 286(1)(d);
22.That Council approve the continuing engagement of the following firms: Nixon
Fleet & Poole LLP, Municipal Tax Advisor Group and Municipal Tax Equity
Consultants to protect the property tax base by defending assessment appeals
through proactive assessment base management;
23.That the Director, Finance & Treasurer be authorized to adjust the per kilometre
travel expense reimbursement rate (last increased in 2018) with an effective date
of March 1, 2020 from 0.56 cents per kilometre to 0.59 cents per kilometres for
the first 5,000 kilometres and 0.53 cents per kilometre for travel beyond 5,000
kilometres;
24.That Council authorize the Treasurer to pay the invoice for work related to
William Jackson Drive in the amount of $183,329 to be funded from the DC City
Share Reserve (7022) in the amount of $27,499 and DC – Transportation
Services Reserve Fund (7610) in the amount of $155,830;
25.That the Director, Finance & Treasurer be authorized to increase the funding for
the project management work as undertaken by Sabourin Kimble & Associates
(SKA) for the Kubota lands within the Pickering Innovation Corridor in the amount
of $425,000 plus net HST and these costs be recovered through Third Party
Contribution;
26.That the Director, Finance & Treasurer be authorized to initiate any additional
assessment appeals necessary to protect the assessment base of the City;
27.That the Director, Finance & Treasurer be authorized at his discretion to transfer
any green energy rebates and revenue associated with the Claremont solar roof
rental project account (1530.2620.0000) and other incentives and rebates
account (2620.9993.0000) to the Reserve for Sustainable Initiatives;
28.That Council amend the Community Grant policy as follows:
a) That the grant application deadline date for the 2021 Community Grant
Program be October 23, 2020 to give community groups sufficient time to
complete their applications.
29.That any unused funds in excess of $1,000 for accessibility capital projects
(6183) be transferred to the Reserve for Accessibility Initiatives (7053);
30.That Council approve $50,000 to be added to 2020 Capital Budget for the
purchase of a mobile licence plate recognition system to be funded from the Rate
Stabilization Reserve (7021);
31.That any unspent 2020 Local Planning Appeal Tribunal (LPAT) funds budgeted
under General Government consulting account (2126.2392) be transferred to the
Tennis Court Reserve (7061);
32.That Council approve the combining of the previous unspent Property
Maintenance Capital Budget amounts for fence replacement from acco unts:
5311.1505.6181 ($213,046) and 5311.1802.6181 ($118,303) to account
5311.1505.6181;
33.That Council approve the combining of the previous unspent Parks Capital
Budget amount for fence replacement from account: 5780.1818.6181 ($60,000)
to account 5780.1818.6181;
34.That Council direct staff to report on Outstanding Capital projects as of July 31st
and December 31st of each year;
35.That Council approve the 2020 Low Income Seniors & Persons with Disabilities
grant amount to be increased from $330 to $375 per household;
36.That Council pass the attached General Municipal Fees and Charges By-law and
incorporate the user fee schedule into the 2020 Current Budget:
a) That Council approve revising “Schedule B – Fees Payable for Building
Permits” of the Building By-law with the Building Permit fees listed in the
2020 User Fee Schedule;
b) That the attached 2020 User Fee Schedule be revised to be consistent
with the fees stated in the Vehicle for Hire By-Law enacted on February
24, 2020; and,
c) That the indoor golf fees for prime and non-prime times be removed from
the attached 2020 User Fee schedule.
37.That staff be directed to develop an implementation plan for public EV Charging
Infrastructure including location and investigation of installation costs and that the
appropriate funding be included in the 2021 Capital Budget in order to apply for
all possible grants including the Natural Resources Canada Zero Emission
Infrastructure program;
38.That Council direct the Director, Finance & Treasurer to develop a financial plan
that allocates the casino revenues only after the Community Benefit Charge
(CBC) regulations have been issued and the financial impact analyzed and when
the City Centre project costs are based on tender pricing with any surplus casino
revenues being allocated to critical infrastructure reserves; and,
39.That the appropriate City of Pickering officials be authorized take the necessary
actions as indicated in this report.
Please take any action deemed necessary.
Susan Cassel
Copy: Chief Administrative Officer
-Ci/J;of
P](KER]NG
___________________________________________________
Attachment #5 to CAO 02-23
Commencing the year after the first payment is received, the Region shall
provide the City annually by March 31st with annual reports which account for the
Region’s use of funds it receives under this agreement.
3. Both municipalities agree that the partnership between the City and the Region
will enable open and timely sharing of information to assist program areas of both
municipalities. Semi-annual update meetings between the Parties respective
CAO’s will be scheduled to plan for issues and needs which may arise.
Memorandum of Understanding for the Sharing of the Pickering Casino
Revenues between the Corporation of the City of Pickering (the “City”) and
The Regional Municipality of Durham (the “Region)
WHEREAS:
a. The City has entered into a Municipal Contribution Agreement (the “MCA”) with
the Ontario Lottery and Gaming Commission (“OLG”), in order for the City to
receive a share of revenue from the Pickering Casino (the “Casino”);
b. The City has agreed to share a portion of the revenue from the Municipal
Contribution Agreement with the Region; and
c. The Parties wish to reduce their agreement on the revenue sharing to writing;
NOW THEREFORE for the following consideration, the parties agree that:
1. This agreement, will commence in Q1, 2023, and revenue sharing will be retro-
active to January 1, 2023, it being understood that payments from OLG in
respect of any time prior to December 31, 2022 will not be shared even if such
payments are received by the City after that date.
2. Annually, the first $10 million in casino revenues from the MCA be allocated to
the City and the remaining balance of casino revenues from the MCA be shared
50%-50% with the Region, provided that the Region’s share shall be capped at
$6,000,000 per year. The City shall make the payment to the Region in one
annual payment annually, within sixty (60) calendar days of December 31.
4. Pickering and Durham Region will solely retain their respective responsibilities for
establishing the policies, budgets and service levels for programs and services
within each of their jurisdictions.
5. This Revenue sharing Agreement will survive any change in the gaming
operator. This agreement does not preclude the Region or the City from imposing
any fees, charges, conditions, levies etc. on OLG and/or any operator which
would otherwise be applicable to the operation of the Casino, hotel or any other
amenity associated with the Casino.
6. The City is recognized as the host municipality in accordance with the MCA.
7. The term of this agreement shall expire on December 31, 2026. Notwithstanding
this term limit, the final payment from the City to th e Region for 2026 will be due
60 days from December 31, 2026. In the event that the Province implements any
substantial reduction of the Region’s jurisdiction over health and social services,
policing or emergency response, the City and the Region will renegotiate the
revenue sharing specified in this MOU for the balance of the term. The term can
be extended on the mutual written agreement of both the City and the Region.
THIS AGREEMENT made this ____ day of February, 2023
The Regional Municipality of Durham
Per: __________________________________
John Henry, Regional Chair & CEO
Per: __________________________________
Alexander, Harras, Regional Clerk
We have the authority to bind the Corporation
The Corporation of the City of Pickering
Per: __________________________________
Kevin Ashe, Mayor
Per: __________________________________
Susan Cassel, City Clerk
We have the authority to bind the Corporation