Richmond city councillors are unanimously opposed to a proposed new casino in Delta that could impact the millions of dollars the city receives in annual revenue sharing from River Rock Casino and Resort.
There are preliminary discussions between the Corporation of Delta and the B.C. Lottery Corporation to locate a new casino at the foot of the planned bridge to replace the George Massey Tunnel, where the Town and Country Inn presently rests. Nothing has been confirmed and a casino may, instead, be located in the Nordel area of north Delta.
The new casino would be a relocation and expansion of the Gateway Casinos and Entertainment community gaming facility in Newton.
“Any casino in Delta should be located sufficiently away from Richmond, so as not to negatively affect the City,” notes a report this month from the City of Richmond’s general manager of planning Joe Erceg.
At issue are annual $18-20 million cheques the city has been receiving from the River Rock as a host city. Another stated concern is related to policing costs and highway/bridge traffic that any such casino would bring to south Richmond.
The City of Richmond is reminding Delta, via a letter, that Richmond should be fully consulted, under the Gaming Control Act, with any decision to place a large casino near the Highway 99 crossing.
The city’s 10 per cent share of net gaming revenues peaked in 2014, at $21 million.
Last year, revenues fell to $19.5 million. For 2016, the city budgeted for $18 million. The city’s share of revenue for the second quarter of 2016 was down 12 per cent, compared to the same period in 2015.
According to a report from Richmond’s finance department, the dip in revenue is mainly attributed to a decrease in high-limit gambling, such as Chinese baccarat.
Some high rollers also appear to be spooked by a new British Columbia Lottery Corporation policy.
Late last year, BCLC, as part of an anti-money laundering initiative, set new conditions for VIP players, including a requirement for high rollers to demonstrate the source of funds used to purchase gaming chips.
The report noted the casino’s overall revenues decreased by 14 per cent in the second quarter of 2016, compared to last year.
Since River Rock opened in 2004, the city has received $167.8 million from gaming revenues.
