OLG BEGINS PROCESS TO PREQUALIFY POTENTIAL VENDORS FOR MODERNIZATION OF GAMING IN ONTARIO

TORONTO – The Ontario Lottery and Gaming Corporation (OLG) is taking another important step forward in modernizing the province’s lottery and gaming industry by starting the Request for Pre-Qualification (RFPQ) process. This process is intended to pre-qualify service providers for specific day-to-day operation of gaming in Ontario.

The gaming Request for Information (RFI) that OLG released on May 17, 2012, identified 29 proposed Gaming Zones — or geographic areas — where qualified service providers would be permitted to operate a single gaming facility.

“We received more than 100 responses to our gaming RFI from a wide range of proponents, and we now have a better understanding of the change we are making as an organization,” said Rod Phillips, OLG President and CEO.

As a result of feedback from the RFI, and to enable OLG to more effectively manage the gaming market in Ontario, OLG is grouping many of the 29 Gaming Zones into Gaming Bundles — each bundle representing a separate bidding opportunity.

OLG is releasing its RFPQs in stages. The first wave includes three separate RFPQs, one for each of the following:

  • Ottawa Area (Zone E4)
  • East Gaming Bundle (Zones E1, E2, E3)
  • North Gaming Bundle (Zones N1, N2, N3, N4, N5)

Where the RFPQ is based on a Gaming Bundle, interested service providers are required to submit proposals for the entire Gaming Bundle as set out in the RFPQ, not for individual Gaming Zones or Gaming Sites contained within a Gaming Bundle. This means that for some RFPQs, including two of the three being issued today (East and North), service providers must demonstrate their ability to operate multiple facilities in a given region or geographic area of Ontario.

Service providers must also provide information on their financial and technical attributes and capabilities, including proof of successful experience with similar projects.

In addition, service providers are asked to provide information on any experience and working relationship with First Nations or First Nations communities.

“This is the next step in our Modernization plan. We plan to have no more than one gaming site in each of the 29 Gaming Zones,” said Phillips. “Gaming Bundles will not result in the merging of current or proposed gaming sites, or of proposed Gaming Zones.”

OLG intends to issue separate RFPQs for the remaining Gaming Zones, many in Gaming Bundles, over the next several months. Details pertaining to upcoming RFPQs, including the composition of additional Gaming Bundles are still being finalized based on feedback OLG received from the RFI process.

The RFPQ process for gaming is the next step in OLG’s Modernization plan. This step will enable OLG to prequalify applicants who would then be eligible to participate in the Request for Proposal (RFP) process.

OLG has two impartial advisors providing oversight on the integrity and fairness of the procurement process.

By modernizing lottery and gaming, OLG will in five years contribute an additional $1.3 billion per year to key public priorities and usher in more than $3 billion dollars in new capital investment in Ontario. In addition, thousands of jobs will be created across the province.

While the new lottery and gaming model will include securing qualified service providers for the day-to-day operation of gaming, OLG will continue its role in conduct, management and oversight of lottery and gaming. OLG will also continue to prevent and mitigate the effects of problem gambling through its Responsible Gambling program, which is recognized internationally by the World Lottery Association’s certification program, and at four gaming sites, by the Responsible Gambling Council of Canada’s RG Check program.

Interested service providers must respond to the first three RFPQs by March 7, 2013.

OLG will issue the RFPQ for the modernization of lottery shortly. All RFPQs will be available on MERX (www.merx.com/olg). MERX charges a fee to download this type of material.

The following are also available in the media section at www.OLG.ca:

OLG is a provincial agency responsible for province-wide lottery games and gaming facilities. Since 1975, OLG lotteries, Casinos, Slots, and Resort Casinos have generated more than $36 billion for the benefit of the Province of Ontario. Gaming proceeds support Ontario's hospitals, amateur sport, recreational and cultural activities, communities, provincial priority programs such as health care and education, and local and provincial charities and non-profit organizations through the Ontario Trillium Foundation.

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