Bill S-226 concerns aired at HOST Saskatchewan

HOST Saskatchewan Fun Night

REGINA—Now that the Saskatchewan Hotel and Hospitality Association has joined Tourism Saskatchewan and Saskatchewan Outfitters Association to form the HOST Saskatchewan show, the event was too big for its traditional Regina venue at downtown hotels.  The venue this time was the much larger Queensbury Centre, a short shuttle ride away from the downtown properties.

The three-day event held March 22-24 attracted over 400 delegates and just under 100 trade show exhibitors.
 
Conference events included annual general meetings for the three host associations, a dinner and fun night complete with feather boas and top hats for delegates, seminars on subjects ranging from loyalty programs to tribal treks, and a keynote speech by renowned commentator, Peter Yesawich of Ypartnership marketing, advertising, and public relations agency which serves travel, leisure and lifestyle clients.

But permeating the conference was concern among hotel delegates at least, regarding Bill S-226, a Senate Private Members’ Bill put forward by Senator Jean-Marie Lapointe, which would prohibit the operation of video lottery terminals (VLTs) in licensed premises, restricting them to Canada’s 206 casinos, race courses and betting theatres.


Barry Lacey and Dan D'Autremont

Saskatchewan Liquor and Gaming Authority (SLGA) president Barry Lacey addressed the topic during the Liquor and Gaming panel session. VLTs are big business in Saskatchewan and the other prairie provinces, he said.  But gaming is not growing out of control in the province. In fact, said Lacey, the gaming market is “fairly mature” with about $300-$350 million total spent each year over the past several years.

At the SHHA chairman’s dinner at the Regina Inn Hotel and Conference Centre, Dan D’Autremont, the Minister responsible for the SLGA, also addressed the issue.

“Bill S-226 will have serious ramifications for the hotel industry of Saskatchewan and the government as well,” the Minister said.  Not only will both the provincial government and the hotels lose revenue, but it could have a broader effect on federal/provincial jurisdiction over gaming.
 
“In 1985, the feds gave provincial jurisdiction over gaming to the provinces.  Bill S-226 would be taking that away.”

“Bill S-226 was one vote away from passing into the House of Commons for first reading.  There was all likelihood of it passing.  That means no money for you [the hoteliers] and no money for us,” he added. 

“It’s going to be up to yourselves and us to step forward and not allow that to happen.  I have contacted my provincial counterparts to see if we can present a unified front on this position.  Nova Scotia may be prepared to offer a site for provincial ministers to meet.”

Strong response to Bill S-226 noted by Alberta senator

EDMONTON—At least one Alberta senator has taken note of letter-writing campaigns by members of the Alberta Hotel and Lodging Association who have VLTs.  The senator told the  member that they had never received such a strong response on an issue.
Members of the AHLA, along with their counterparts in the Saskatchewan and Manitoba hotel associations, and the Hotel Association of Canada have been sending letters and e-mails to the senators in their provinces to ensure they understand the impact of the legislation on hotel and motel owners with VLTs.

Said the AHLA in its latest issue of innsight newsletter, “The AHLA and our provincial and national counterparts are opposed to this legislation.  We will continue to monitor the progress of Bill S-226 and ensure our members have the information they need to influence the federal government.”

Here is an excerpt from the letter the AHLA asked their members to send. Saskatchewan and Manitoba have similar letters.

“This legislation will have a devastating effect on the 1035 VLT retailers (hotels, lounges and restaurants with licensed premises) that depend on commissions earned from the responsible operation of VLTs. Bill S-226 would concentrate VLTs in large urban facilities and will result in a transfer of millions of dollars from small business to big business and from local, often rural communities, to big cities.  The hospitality industry transcends the rural/urban divide and is one of the few to provide employment in nearly every community in Alberta.  In addition to the loss of revenue, many operators will lose capital investments they have made to comply with VLT regulations such as the construction of new walls and rooms.

“Although well-intentioned, the bill would negatively impact existing provincial programs aimed at problem gaming, while benefitting a few huge corporations at the expense of many small businesses across the country. The passage of Senate Bill S-226 will not solve problem gambling, and will only serve to drive it underground.”

For more SHHA news, see Lorane Gray retires from the SHHA and Bill S-226 devastating for small hotels.