Casino Gaming Model

Casino Information: Licensing Process Licensing & Eligibility Forms Casino Gaming Model Conducting a Casino Volunteer Requirements & Roles Opening and Closing Procedures Casino Pooling Guidelines, Terms & Conditions

There are four components to the casino gaming model in Alberta. Each one has different roles, authority and responsibilities.

1. The Group:

• is licensed by the AGLC to conduct a casino;
• hires the facility to provide staff to operate table games on the group’s behalf; and
• provides volunteers responsible for cash and financial controls.

2. The Casino Facility Operator:

• is an independent, for-profit business;
• provides gaming expertise, a facility, and gaming materials, i.e. chips, cards, etc.;
• supplies staff to operate table games and manage specific casino positions; and
• is paid by the charity to operate table games and by the AGLC to operate slot machines.

3. Casino Advisors:

• ensure the licensed group operates the casino event according to the Casino Terms & Conditions and Operating Guidelines (CTCOG);
• are independent persons hired by the group to assist in the conduct of a casino event;
• are gaming workers registered with the AGLC; and
• are required to be on site until the casino closes.

4. The AGLC:

• is authorized to regulate gaming activities in Alberta, including casino events;
• supplies an eligible group with a casino licence;
• supplies the operator with a facility licence;
• conducts and manages electronic gaming; and
• directs slot machine proceeds (less commissions and expenses) into the Alberta Lottery Fund.

Alberta’s Casino Gaming Model – Roles and Responsibilities

Casino Gaming

There is an important distinction between the conduct and management of casino table games and that of slot machines in casino facilities.

Table Games

Groups are licensed specifically to conduct and manage table games in Alberta casinos.

The licensed group receives all table game net sales revenue and pays the facility operator a fixed fee that reflects space and services provided. The maximum amount for the fixed fee varies throughout the province and is based on the amount of table game play at the facility.

At the completion of the casino event, it will be determined if the total of
the fixed fees and charges of the casino facility licensee exceeds:

• 50% of the net table game proceeds for Edmonton and Calgary casinos,
• 65% of the net table game proceeds for the St. Albert casino,
• 65% of the net table game proceeds for casinos outside Edmonton and Calgary with 300 to 400 slot machines, and
• 75% of the net table game proceeds for casinos outside Edmonton, Calgary, and St. Albert.

If the fees exceed the net proceeds noted above, the casino will only be entitled to payment of an amount equal to 50%, 65%, or 75% of the net table game proceeds.

The differences in fixed fees among casinos in various locations throughout the province are a direct result of the high operating cost of the table games and the lower revenue generated from the table games in certain locations.

Poker

Casino poker rooms may operate 24 hours a day. Poker rooms are managed in a separate room at a casino facility. The room requires additional access via a separate outside entrance during extended hours. The AGLC’s goal in approving these rooms is to discourage illegal poker rooms from operating. licensed groups retain a minimum of 25% of poker net sales throughout the province.

Slot Machines

Under the Criminal Code, only a provincial government may conduct and manage electronic gaming devices like slot machines. The Gaming and Liquor Act authorizes the AGLC to fulfill this role on behalf of the province. In that regard, the AGLC enters into an agreement with the casino facility to provide various services to operate slot machines during licensed casino events.

Services and space provided for the operation of slot machines are the sole responsibility of the casino facility licensee and do not involve the licensed charity’s volunteers. Fifteen percent (15%) of net sales generated by slot machines is allocated for licensed charities. These revenues are collected by the AGLC and pooled separately from the casino pool, on a facility basis, or in the case of cities with two or more casinos, on a citywide
basis, for each pooling period. Percentages of slot machines net sales are allocated as follows:

Two Categories of Casino Facility

Designated Casino Regions

A group is required to hold casino events in a casino facility that is within its designated region in the province. For example, only licensed groups based in Edmonton and Calgary may access casino events in those cities or regions. Groups outside Edmonton and Calgary may only conduct events in the nearest regional casino facility. It must be a facility other than one located in Edmonton or Calgary. An exception is the Silver Dollar Casino in Calgary which, because no casino facility exists in proximity outside the city limits, is designated to serve groups in rural communities around Calgary.

Wait Times to Hold Casinos

The wait time for a group to hold a casino event at a permanent casino varies by community based on the demand for casino event licences. The wait time in most communities is considerably longer than one year.

Wait times to hold casino events are determined by these factors:

• the number of licensed casino facilities in Alberta;
• the number of eligible groups trying to secure casino dates; and
• the size and boundaries of the designated casino regions.

Groups may check with a casino licensing clerk or the nearest casino facility for current wait times in a region.