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October 2, 2001

WCB Regulation Impacts Gambling Revenues

Government documents obtained under freedom of information show that the BC Lottery Corporation estimates that the WCB smoking regulation would result in a loss of $5 million to $20 million per year in revenue. Anyone who visits a BC casino where smoking occurs will see players blow smoke directly into the faces of dealers. There is not a filtration system on earth that can protect casino workers from that kind of assault.

Two months after a simple freedom of information request was made with respect to the July 31st Fiscal Update, a covering letter dated September 28, 2001, was sent together with the requested documents.

References to the WCB smoking regulation appear in four of the mini-budget background documents:

  • One background paper assesses risks to the Corporation's revenue forecasts, and says "As noted in the Budget Reports, BCLC estimates if the smoking regulations are re-introduced, annualized net income could be reduced by up to $20 million."
  • A document providing a five year projection for the Lottery Corporation says under "key assumptions" that "Workers Compensation Board smoke free regulations are not reintroduced."
  • A draft Part 2 Fiscal Update shows that a note was edited out of the published report. That note said "Reintroduction of WCB smoke free regulations would negatively impact net income by up to $10 million."
  • The initial report from the BCLC to the Ministry of Finance said "While WCB's smoking regulations had a significant impact on gaming revenues when they were first introduced in January 2000, the Corporation is expecting that the impact will be less of a factor when the regulations are re-introduced this fall. The Corporation expects that the negative impact of $5 to$10 million dollars in income in the social gaming network, casino and bingo halls will be offset by stronger than projected sales performance that has been evident in the first two months of operation."

It should be noted that none of the background documents refer to alternatives or modifications to the WCB regulations such as might now be considered by a government caucus committee.


August 27, 2001

Information and Privacy Commissioner
1675 Douglas Street, 4th Floor
PO Box 9038 Stn Prov Govt                       by fax to (250) 387-1696
Victoria, BC V8W 9A4

Dear Commissioner:

Re: Request for Information #01243,
Impact of WCB smoke-free regulations on revenues

I enclose the following documents:
1) a copy of my original request faxed July 31, 2001
2) a reply from Joanne Gardiner dated August 1, 2001
3) a letter from Shyrl Kennedy dated August 22, 2001

I request a review of the failure to respond in the statutory time limits.

The government's interference in the independence of the Workers Compensation Board is a matter of public concern and urgency. The Ministry of Finance chose to include a note in its Fiscal Update that signaled a relation between protecting workers from second hand smoke and revenues from the BC Lottery Corporation. A further delay in response to my request is unreasonable and subverts the intent of the Act.


Sincerely,


David D. Schreck


July 31, 2001

Manager of Information and Privacy
Ministry of Finance
PO Box 9424 Stn Prov Govt
Victoria, British Columbia                        by fax only to 250-356-8201
V8W 9V1

Dear Sir/Madam:
I make this request pursuant to the Freedom of Information and Protection of Privacy Act.
In the "Update" document provided by the Ministry of Finance as part of yesterday's "Economic and Fiscal Update" under the BC Lottery Corporation, page 51 table 2.11, the report says "Does not include impact of a re-introduction of WCB smoke-free regulations."
This is a request for any memorandum, emails or other records with regards to that note. In particular, this is a request for any estimate made by or received by the Ministry of Finance with regards to the impact of a re-introduction of WCB smoke-free regulations on revenues of the BC Lottery Corporation.


Sincerely,


David D. Schreck

 

For more on Freedom of Information click here.

 

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