Sudbury council backs road work for Gateway's planned Kingsway casino

Greater Sudbury city council has agreed to help pay for road work needed for Gateway Casinos' proposed casino on The Kingsway, with the money to be recovered from the city's future gaming revenue.

Council approved two funding requests from the casino operator at its meeting on the afternoon of Tuesday, Aug. 11, CBC News reported. The work is tied to the casino and hotel development Gateway plans for its Kingsway site.

Under the arrangement, Gateway will pay up front to build a new signalized intersection at The Kingsway and a future road, referred to for now as Street "A". Once the work is finished and the city takes ownership of it, Gateway will be reimbursed for eligible costs up to a maximum of $3.035 million.

Council added an amendment setting out how the city will recover the money. The municipal reserve used to cover the cost will be topped up with future revenue the city receives from the Ontario Lottery and Gaming Corporation (OLG). Ontario municipalities that host casinos receive a share of the gaming revenue those venues generate. The city said the approach will have "no impact on the municipal tax levy."

Road plan came forward in early August

The road proposal moved quickly through city hall. In early August, CTV News reported that Gateway was set to bring a plan to the city's planning committee for a new road to serve both the hotel and the casino. The full council vote followed about a week later.

Gateway already operates a casino in the Sudbury area, at its Azilda site in Chelmsford. Later in August the company opened six staffed tables there, offering blackjack and three poker games, and said the addition created about 24 jobs.

The council decision covers only the road and intersection work. Gateway has not announced a construction start or an opening date for the Kingsway casino itself, and the reports did not give a cost estimate for the building.