B.C.'s Minister of Social Development Rich Coleman says playgrounds, adult sports teams and other groups will no longer be eligible for gaming grants. (CBC)

The B.C. government is changing the way it distributes casino and bingo hall revenue, meaning hundreds of B.C. community groups will no longer be eligible for the annual gaming grants.

Social Development Minister Rich Coleman announced on Monday morning that school playgrounds, adult sports teams, arts and culture groups, and environmental groups will no longer be eligible for funding.

Last September many community groups had their annual grants turned down as the government slashed its budget in order to curtail spending during the economic crisis.

Coleman said he has been able to restore some of the funding cut last year, but he could no longer justify supporting some of the programs any longer.

"One of the examples given was that somebody who buys a golf membership doesn't get subsidized by government, so why would we subsidize a guy who wants to play rugby with a bunch of adults, or pay for their ice time?" said Coleman.

The province is planning to give out a total of $120 million in gaming grants next year, up from about $113 million this year, but well below the $156 million mark during the 2008-09 fiscal year.

NDP tourism critic Spencer Herbert said the government has just decided to move the cash to other priorities.

"What's happened is that the government has decided to take more money away from charities to fund other projects," said Herbert.

According to Coleman, youth arts, culture and sports groups will still be eligible for grants this year, as will sports organizations serving people with disabilities.

Parent Advisory Councils will be eligible for a $20 grant per student (up from $10 per student last year), and a new sub-category of grants has been created specifically for museums, fairs and festivals, he said.