The RMA, which serves the counties and districts across Alberta, is urging for a formal examination of the charitable gaming framework in Alberta , expressing concerns that the existing setup is inequitable towards non-profit organizations.
Currently, non-profits in Alberta are permitted to obtain licenses for running casino events staffed by volunteers. However, there is a noticeable difference in earnings based on geographical location, where charities in rural regions consistently generate less revenue compared to their urban counterparts, which puts them at a significant disadvantage.
According to the Calgary Herald, organizations in Calgary host casino events that yield an average of $42,000 annually and can arrange an event roughly every 20 months. In contrast, rural groups earn only about $16,000 on average and often wait up to three years for their events.
The RMA has expressed the need for regular reviews of the charitable gaming framework and has put forward suggestions for an overhaul, one of which includes consolidating a fraction of the revenue generated across Alberta and redistributing it evenly among all regions. They believe that this approach could greatly alleviate the current imbalance in financial returns.
RMA President Paul McLauchlin pointed out that the solution might lie in having a portion of the online gaming revenue from AGLC’s PlayAlberta platform directed towards supporting charities.
“There’s a significant opportunity to rectify the situation if the online gaming proceeds are integrated into the same funding system,” McLauchlin commented to the Herald.
However, one must question whether this initiative regarding charitable gaming aligns with the broader gaming strategies set forth for Alberta.
McLauchlin emphasized that the charitable gaming system in Alberta “has been a contentious topic for many years.” He recalls discussions surrounding this issue from his initial involvement with the RMA seven years ago, stating, “As time passes without any action, we must revisit the conversation.”
This topic is gaining renewed attention at a moment when Alberta is examining the viability of creating a regulated gaming sector. Dale Nally, the Service Alberta and Red Tape Reduction Minister, is overseeing a $1 million assessment to explore possible developments in Wild Rose Country.
According to a statement from Nally’s press secretary, Nick Gocuan, the province will begin consulting with traditional casino operators, Racing Entertainment Centre operators, and First Nations in the coming year to gather insights on the expansion of iGaming in a manner that suits Alberta's unique market and the interests of its residents.
“We acknowledge there are additional opportunities to enhance the charitable gaming model, especially in how we can better support charitable organizations in rural areas,” added Gocuan.
The minister’s office further noted that there will be a review of AGLC's operations to see if contributions to Alberta charities and community facilities can be increased.
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