Toronto’s downtown casino: Would it benefit or hurt the city?

A Vegas-style casino could create as much as $148 million in annual revenues for the city of Toronto, but critics say it would increase crime and social problems. Do you think a Vegas-style casino would benefit or hurt Toronto?

Here's what you said:

Thomas Bink: OK, I’m from Alberta, so I already saw this one play out when Ralph Klein introduced VLTs to that province. The influx of money was great – If I remember correctly, they estimated a $600 million benefit from gambling but got $2 billion in the first year – but I also saw the dark side. The fact of the matter is that the people most attracted to gambling are those who can least afford it: The unemployed, the underemployed, those with mental and social issues. And that creates new strains on the so-called “social safety net” and by extension increased poverty, domestic violence and alcoholism. I’m in favour of a casino because any revenue is good revenue, but it does come at a cost.

Matthew Coutts: I feel like this question needs a definitive answer, so I’m going to give you one. But I reserve the right to address my “buts.” I think it would benefit Toronto. Yes, the city should build a casino in the downtown area. BUT. The money has to be right. That $148 million number is based on Toronto getting a sweeter deal from the province than other cities have in the past. BUT. The social issues need to be managed. Whoever runs the casino should ensure social responsibility. There are ways to limit the social cost of casinos, although nothing is ever free. Casinos are a risky bet, but there are ways to stack the deck in our favour.

Andy Radia: We had this same argument in the City of Coquitlam (where I live, in B.C.) over a decade ago. Thank goodness our city council didn't listen to the fear mongers: Since 2001, our little City with about 120,000 people earned a total of about $80 million – equivalent to almost $2,000 per household. About 12 per cent of that money goes to local non-profit groups while the balance is allocated to a municipal capital fund which pays for roads, sports facilities and other city infrastructure. I am sensitive to the issue of problem gambling but is opening a casino in Toronto really going to exacerbate the problem? If somebody really wants to gamble, they're going to gamble, whether it's online, playing Keno, buying lottery tickets or driving to another casino.

Bink: But it’s not quite the same. A lot of the people who would patronize Toronto’s casino don’t have cars or iPads, and downtown TO is not a posh suburb like Coquitlam. They have a few dollars that they think they can magically turn into a few more dollars with a little luck. They invariably don’t and then it falls on us taxpayers again, or they get lost in the cracks. In Alberta they called gambling a “tax on the stupid,” but it’s really a tax on the unfortunate and desperate. Like I said, I like casino revenues, but Matt, we can’t just say that “social issues need to be managed.” There’s no magic wand. These are legitimate problems for real people.

Coutts: You are absolutely right on that, Tom. Studies also show that show low-income groups are more likely to become problem gamblers. These problems beget bigger problems, and there is no way not to feed them. I’m not one of those people that will say, “They’ll stop gambling when they are really out of money.” I get that addiction is a disease. But there are ways to manage those issues without blocking a casino entirely. One is to run legitimate addiction awareness campaigns. Another is to control where the casino is located, and how it is designed. A subtle casino as an internal part of a larger complex, for example, will draw less negative attention than Biff Tannen's Pleasure Paradise Casino & Hotel. A casino can benefit the city, but not if it is being bulldozed into existence by people who aren’t interested in addressing those costs.

Radia: C'mon guys. Cities across the country – both big and small – have developed casino properties without troubles. Yes, a casino may lead to more gambling addictions but prohibition does not work. Let's think outside the box: let's have counselors on-site at these casinos to get low-income gamblers the help they need. And you know what? A lot of us non-addicts actually enjoy the odd night out at a casino. According to Expedia.ca, 35 per cent of Ontario travelers have visited Las Vegas. Why not keep some of those gambling dollars right here in Ontario? The bottom line is that the federal and provincial downloading that has happened over the past several years has hamstrung city and municipal governments – they need things like casinos to raise more revenues.

Bink: The increased strain to social programs coupled with the initiatives you guys are talking about will take a nice chunk out of that $148 million in revenue they're estimating. In the end, it's not worth it.

So, what do you think? Have your say in the comments area below.