May - 2006
More gaming money to flow to First NationsBy Laura Stevens, Birchbark Writer, Toronto
First Nations across Ontario will be seeing more money flowing into their coffers in the future, thanks to an agreement on the sharing of gaming revenues signed with the provincial government.
On March 29, the Ontario First Nations Limited Partnership (OFNLP) and Ontario Premier Dalton McGuinty signed a First Nations Gaming and Revenue Sharing Agreement-in-Principle (AIP), which sets the stage for development of formal business agreements between he province and First Nation members of the OFNLP, an organization created in 2000 to distribute revenue from Casino Rama to First Nations in Ontario and to represent First Nations in dealings concerning the casino. It's expected those agreements will be ratified by the end of the year.
Currently the only provincial gaming money that goes directly to Ontario First Nations comes from Casino Rama, located on reserve land of the Chippewas of Mmjikaning First Nation. Under the new agreement, that arrangement will remain in place until 2011, when the current Casino Rama Revenue Agreement expires. Until then, the province will top up the gaming revenue received by First Nations to a tune of $155 million over the next five years. In 2011 the Casino Rama agreement will be replaced by an arrangement that will see Ontario First Nations sharing 1.6 per cent of the total gross revenue from all provincial gaming.
Once the formal business agreements are in place the OFNLP will put an end to its lawsuit against the province aimed at recovering the 20 per cent of Casino Rama revenues Ontario has been collecting since the casino opened its doors in 1996. The organization has been fighting the province's collection of the WinTax since 1998.
"This is a significant step forward," Ontario Regional Chief Angus Toulouse said of the agreement. "First Nations will view this as a measure by the provincial government to recognize First Nations rights to benefits from a major revenue source. Indeed, sharing is an important principle of the relationship, as is negotiation versus litigation."
Negotiations that lead to the agreement in principle began in January 2005, with former Ontario premier David Peterson tagged as the lead negotiator for the province.
Peterson said that, given the scope and complexity of the issues to be resolved, the negotiations were concluded quite quickly.
"Some of these negotiations drag on forever," said Peterson. "We moved it along very quickly because people wanted to solve this. People were well motivated. There's some really smart people doing this and they didn't fool around."
Peterson was referring to the OFNLP negotiating team- Gord Peters, Joe Miskokomon, Linda Commandant, Don Morrison, Mike Mitchell, Ernest Sutherland and George Kakeway.
"The leadership of the First Nations were fabulous and they're tough and they got a really good deal for their community," Peterson said.
"It's a beginning of a brand new relationship. The First Nations are now going to participate in all gambling revenue. It's going to be a lot of money flowing into the various bands and communities and it's already started. We've already written one cheque for $30 million, which is distributed to all of the communities," he said. "It's a long term foundation of stable funding for communities."
"Our government is committed to building opportunity and this agreement-in-principle is an important step forward in meeting the needs of First Nations communities. It provides the foundation for a stronger partnership with First Nations as we work together to invest in their communities in a number of areas such as the education, skills and health of First Nations peoples," said McGuinty. "The increased revenue will allow First Nations to make key investments to build a brighter future for their communities and a stronger Ontario for all."