Presentation to SSM City Council. OLG Modernization Strategy Update June 24, 2013

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1 Presentation to SSM City Council OLG Modernization Strategy Update June 24, 2013

2 In March 2012, OLG released Modernizing Lottery and Gaming in Ontario outlined its plan to engage regulated private sector providers to expand lottery and gaming (L&G) in Ontario via a multistage procurement process. Situation Review

3 Situation Review 2 This modernization plan has significant implications for the City of Sault Ste. Marie Head Office at Foster Drive employs 558/annual payroll $45.6M SSM Casino employs 300/annual payroll $15.4M In addition, significant economic spin off via suppliers, infrastructure development, etc The City and SSMEDC identified a need to make a strong business case for private sector providers to locate their staff & operations in SSM Generator Alliance (GA) was retained in August 2012 to provide consulting expertise. Mayor s Letter to OLG

4 SSM/OLG Modernization Strategy As a result of this activity, the SSM/EDC strategic plan to maximize the OLG Modernization Plan is four fold: 1. Retention of Head Office Jobs in Sault Ste. Marie oversight roles; conduct and manage; responsible gaming; brand management; community relations; social responsibility.; relationship with other Canadian jurisdictions for shared management of national lotteries. 2. Convince private lottery proponents to locate in Sault Ste. Marie 3. Exploration and development of a Pilot Project(s) between OLG SSMIC and other Private Sectors participants to enshrine Sault Ste. Marie as a Centre Next Generation Lottery & Gaming, and 4. Convince the successful Gaming North Casino Bundle operator to choose SSM as its Regional Headquarters. Having a true Head Office, as defined in Mayor Amaroso s letter, critical to SSM/OLG Modernization Strategy success.

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6 Business Objectives Preserve and grow the OLG Lottery & Gaming jobs in SSM that will migrate to the private sector due to modernization Capitalize on existing public and private innovation assets to create an environment for future private sector lottery and gaming growth and advocate for it. Create the products and mechanisms to facilitate this support and advocacy. Immediate objective Preserve jobs in the transition phase Midterm objective Retain jobs post transition Mid to long term objective Increase employment in sector

7 Communications Goals Near term/transition Stage: Ensure that allies and stakeholders with shared objectives understand and align with the SSMEDC strategy, preparing them for the interaction with proponents Convince OLG Lottery & Casino Proponents to engage with SSMEDC personnel to learn more about the lottery assets in SSM and their essential role in the OLG Modernization plan Convince OLG Lottery & Casino Proponents that overtly including the transition and retention of SSM OLG jobs will strengthen their RFP submission

8 Reaching the Proponents SSM will participate in the OLG Data Room (a virtual repository of information that will be available to proponents during the development of their RFP responses) In addition to the Data Room presence, OLG will send direct communication to the proponents to highlight the presence of the information and encourage the proponents to review Proactively identify and communicate with potential proponents Continue Google Adword program & Public Relations

9 Communications Plan Integrated Communications Strategy create initial contact engage via /phone adapt/prepare particular proponent approach, materials and events encourage community and site visits appropriate follow up regular updates

10 OLG SSM Data Room

11 Contact Strategy

12 Communications Materials

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14 Casino & Lottery Websites

15 Separate websites for Lottery & Gaming North Casino Bundle proponents Welcome Page With call to action to register for Transition Support Why Sault Ste. Marie? Subpages: Lottery & Gaming Expertise Centre for Next Generation Lottery & Gaming Superb Cost Competitive Infrastructure Academic Excellence Dynamic Business Community Quality of Life

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18 Presentation Materials

19 CommunityResources FundingIncentives Supportive Business Community Sault Ste. Marie Upgraded Rapid Municipal Approval to A+ Standard & Poor's Credit Rating #2 Most Entrepreneurial City in Ontario (2012) Canadian Federation of Independent ENROLLMENT Business/ IN 2 OUTSTANDING Financial Post POST SECONDARY INSTITUTIONS $2Billion+ Public & Private Sector investments made in community

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