Arizona Tribes Discuss Compacts, Technology

Tribal gaming compacts, which begin to expire in 2023, and the impact of technology on Indian casinos were two of the major topics at the recent Arizona Indian Gaming Association's annual meeting in Scottsdale. The AIGA represents 18 of the state's 22 tribes.

Several timely issues were discussed at the recent Arizona Indian Gaming Association annual meeting, which attracted 500 attendees to the Fort McDowell We-ko-pa Resort in Scottsdale. The organization represents 18 of Arizona’s 22 tribes, and more than 90 percent of Indian people residing on the state’s reservations. Indian gaming revenues in Arizona increased 3 percent in 2012 from .75 billion to .8 billion, higher than the national growth rate of 2 percent. Since 2002, Indian gaming has contributed around 1 billion to the state economy.

AIGA Executive Director Valerie Spicer said, “This phenomenon of Indian gaming blows my mind. As of the third quarter of this year, we reached over $1 billion in contributions made to the state of Arizona, a clearly significant event because sharing gaming revenues sets our industry apart. Our culture teaches us to give back and help others, providing not only for our own people, but for everyone who calls our state home.”

Spicer added tribal gaming in Arizona provides jobs for more than 15,000 people, plus 7,000 more indirect jobs, ranking it as one of the top five employers in the state.

A major topic of concern was the issue of renewing gaming compacts.

Dan Bergin, executive director of the Arizona Department of Gaming pointed out, “Contracts start expiring in 2023. We have a three-year negotiation period, so I think at some point we’re going to have to start talking about re-negotiation and extensions and things of that sort. It took us years to negotiate the last pact and I think we should see the signs of discussion beginning soon. One can never start too early to develop a game plan.”

Diane Enos, president of the Salt River Pima-Maricopa Indian Community, said, “Our concern isn’t with state negotiations, but with inter-tribal discussions. Compact negotiation is a several year process and we’re leery at the moment. Everyone needs to put down their bows and arrows, trust each other and move forward in good faith.”

AIGA Vice President Thomas Beauty, chairman of the Yavapai-Apache Nation, said, “I wish we had negotiated the 2002 compact to allow adjustments to be made rather than something that ends and requires re-negotiation because we’re always the ones being strong-armed. Arizona is in a fiscal deficit and administrators are going to be looking under rocks for new finances. We already return 12 percent. Do we have more to give? I don’t believe so. It’s going to be a struggle to re-negotiate because we don’t want to get the short end of the stick this time.”

Another topical issue concerned the impact of new technology on traditional brick-and-mortar casinos. Gary Murrey, chief operations officer of the San Carlos Apache Gold Casino, commented, “New technology adds to the glitz and glamour of the social experience—the bright lights and excitement. It’s a 360-degree immersion experience if you build your casino correctly.”

Jonodev Chaudhuri, acting chairman of the National Indian Gaming Commission, spoke on regulation, calling it “a necessary part of the economic development of Indian gaming. It provides credibility as well as efficiency on the operational side. There’s a direct connection between regulated gaming and economic development, self-preservation and self-determination, and we have 5,400 tribal regulators on the ground to make sure items get addressed before any regulatory compliance enforcement is needed.”

Bergin added, “From a regulatory standpoint, Indian gaming in Arizona runs smoothly. We maintain cordial relationships with the tribes. They respect our regulations, we respect their sovereignty and on that basis of cooperation, we’re viewed nationally as a model relationship. Tribes are interested in compliance issues too because of the importance of maintaining the integrity of the industry and protecting it from corrupt influences like criminal elements and money laundering.”

Spicer reminded attendees, “Nothing happens in a vacuum and we’re all in this together. We wouldn’t be where we are today if we hadn’t stood up for what we believed in. We need to be large and in charge through diplomacy, hard work and respect for one another.”

Looking ahead, Arizona tribes are excited about Super Bowl XLIX, which will be played February 1at University of Phoenix Stadium in Glendale, Arizona, home of the Arizona Cardinals of the National Football League.

Melody Hudson, public relations manager at Gila River casinos, said, “Hosting the Super Bowl is important not only to Gila River casinos but to so many businesses and to the state as well. It’s a great economic driver.”

The Gila Valley is home to seven tribal casinos: the Gila River Indian Community’s Wildhorse Pass and Lone Butte near Chandler and Vee Quiva in Laveen; the Salt River Pima-Maricopa Indian Community’s  two Casino Arizona locations near Scottsdale; the Fort McDowell Yavapai Nation’s Fort McDowell Casino near Fountain Hills’ and Harrah’s Ak-Chin Casino Resort in Maricopa.