Under a three-year pilot project, two local poker houses are looking to give back at least $3 million each from the proceeds from Electronic Gaming Devices. Last Wednesday evening, Playground Poker and Poker Palace made a joint presentation to the community to unveil details about the project that would see each poker house also offer EGDs.
The presentation was held at the Knights of Columbus Hall and began shortly after 6 p.m. and was attended by more than 100 people. Representing Playground Poker was David Montour and Mackenzie Kirby, while Stan Myiow and Barry Alfred represented Poker Palace. Mohawk Council of Kahnawake Grand Chief Joe Norton, Chief Gina Deer and Executive Financial Officer Paul Rice represented the MCK, and representatives from the Kahnawake Gaming Commission were also on hand.
Last month, the MCK announced that it had approved the pilot project that would see the KGC establish regulations pertaining to EGDs. The pilot project will see Playground and Poker Palace have exclusivity in operating EDGs in the community for three years. Licenses will only be issued by the KGC once all due diligence and testing have been successfully completed. Initially, the licenses will be conditional for six months, which will then be followed by the KGC to conduct a comprehensive review of the project.
In the past, Video Lottery Terminals could be found in various locations throughout the community, including in the social clubs and some convenience stores, but were outlawed in the 1990s.
“[This project] is not targeted at our local people,” Kirby said at the start of the presentation. “We’re looking at using this project as a means to get outside dollars into the community.”
Both Playground and Poker Palace approached the MCK separately about this project in 2016. Playground said that prior to going to the MCK that it has done extensive market research for about three years, before developing a business plan to present to the MCK for consideration.
As a part of this pilot project, both Playground and Poker Palace are setting a minimum guaranteed contribution back to the community of $1 million each for three years. Kirby said that based on their projections that number is conservative and may very well be much higher. Playground stated that the numbers are based on installing 200 EDGs in each property.
Kirby said that aside from the revenue going back to the community, this pilot project will also create new job opportunities within Playground and Poker Palace. These job opportunities would be open to Kahnawa’kehró:non. Both poker houses will be hosting job fairs this month.
Playground also announced that it would be offering an investment opportunity to individual community members. Playground said it will make available 1.5 million shares at $5 each for community members.
The joint presentation lasted about 45 minutes, at which point the floor was opened for community members to ask questions to either of the proponents, the MCK or the KGC. One community member asked about the level of community consultation on the project. Deer responded that she had held information kiosks on gaming at the Kahnawake Services Complex last summer where this issue was discussed. While Norton said that because this is a pilot project for three years that a referendum was not required.
Another community member asked where the money would go that is derived from this pilot project. Rice responded that the money the MCK would receive from the EDG project would go towards the areas in the community that are underfunded or not funded at all, such as language and culture initiatives as well as sports and recreation activities.
Another community member asked if this was being done in conjunction with Loto-Quebec or with the provincial government. The MCK stated that this project will be licensed by the Kahnawake Gaming Commission, which licenses and regulates both online gaming and land-based gaming in the community.
Other community members expressed that adding EGDs to the poker houses will create casinos. Deer stated that this pilot project is not creating casinos in the community.
“This is not a casino,” Deer stated. “You have one element that you may find in a casino, but it doesn’t make it a full-blown casino.”
Myiow said that the dictionary definition of a casino is any facility that offers gaming.
“So Cage aux Sports is a casino because they have (VLT) machines,” he said.