The Sask. Party government says in a news release that net revenue at SLGA retail has led to the decision to get out of the business of selling liquor, and the transition to the private sector will be complete next year. Minister Responsible for SLGA, Lori Carr, cites that in the 2018-19 fiscal year, profits were $9.4-million, declining to $3.2-million in the last fiscal year and this year is projected at $395,000. She adds that many of SLGA’s current stores need to be relocated or physically adapted to better meet customer needs, which would be a significant cost.
All of the stores will be closed by March 31st and the 19 buildings, the fixtures and equipment will be sold in a separate process and the permits for the 34 stores will be sold through a public online auction process. SLGA will work with the Saskatchewan Government and General Employees’ Union (SGEU) to negotiate what will happen to them and will continue to operate as the wholesaler of alcohol and the regulator of liquor, gaming and cannabis.
After announcing the selling off of government-owned liquor stores during the Throne Speech Wednesday, the province is now also announcing new crown corporation changes to the structure of lotteries and gaming. A new crown corporation called Lotteries and Gaming Saskatchewan is expected launch at the beginning of April to consolidate the management oversight for casinos, VLTs, lotteries and online gaming.
The current Saskatchewan Gaming Corporation will be reconfigured as a wholly owned subsidiary of LGS, while continuing to operate Casinos Regina and Moose Jaw. Minister of Crown Investments Corporation, Don Morgan, says management of VLTS moves from the Saskatchewan Liquor and Gaming Authority to LGS, as does online gaming from SaskGaming. Lotteries will continue to be operated by SaskLotteries and Western Canada Lottery Corporation but will be overseen by the new crown corporation. SLGA will continue to license charitable gaming.
Morgan suggests these changes will be increasingly important as digital gaming changes the lotteries, gaming and entertainment landscape in the province. He emphasizes that the new crown corporation will not make changes to the province’s gaming and lottery operators and all beneficiaries of net gaming and lottery income will remain unchanged.
