Five California gaming tribes are involved in a technical dispute with Governor Gavin Newsom that may delay the renewal of their tribal state gaming compacts. That, in turn, could force them to turn off their machines—and potentially lose millions.
The tribes are Robinson Rancheria, the Hopland Band of Pomo Indians, the Chicken Ranch Rancheria of Me-Wuk Indians, Blue Lake Rancheria and the Chemehuevi Indian Tribe. All the tribes are coming to the end of the original compacts they signed with the state in 1999 and were supposed to renew in 2020, but an automatic 18-month extension was added. The deadline to renew is now June 30.
These tribes object to several provisions the Newsom administration seeks to add to the compacts. Without compacts they can’t legally operate slots.
Most other tribes have renewed their compacts with the state. However, the five tribes are involved in a lawsuit Chicken Ranch Rancheria v. Gavin Newsom. The tribes argue that Newsom’s new provisions would violate the Indian Gaming Regulatory Act (IGRA.)
Some provisions they oppose including those on enforcing spousal and child support orders and the imposition of state law on the environment, minimum wage, and the labor code, among others. They say they violate tribal sovereignty.
Robinson Rancheria tribal Chairman Beniakem Cromwell told the Press-Democrat: “We closed ourselves for 125 days during the pandemic.” He added, “We know how devastating it is.”
He added, “This has nothing to do with revenue. It’s education for members in higher education or vocational school. It’s elders’ monthly social welfare. We use that revenue for after-school programs, sports teams. We fund employees at our elder center, our education center, our tutors.”
The attorney representing four of the tribes, Les Marston, explains that the tribes don’t oppose the goals of the provisions the governor insists on. He told the Press-Democrat: “Supporting children. Making sure spouses are adequately compensated. You really think tribes aren’t going to do that on their own?” He added, “How paternalistic is that? The issue here is the tribes’ right to govern themselves under their own laws, which is guaranteed to them by the Constitution of the United States.”
Last year federal judge Anthony Ishii ruled in favor of the tribes, writing, “The Tribal Plaintiffs have met their burden of producing evidence the State Defendants did not negotiate in good faith by raising topics in negotiations that were beyond the scope permitted by IGRA or which required some form of meaningful concession in return.”
But Nelson Rose, an expert on Indian gaming law, points out that on the rest of the issues raised in the lawsuit, the tribes didn’t win. The judge ruled that the governor didn’t have the authority to impose the provisions that they could also be the subject of negotiations.
Inevitably, the ultimate decision will be made by a higher court, where the state appeal is headed. However the case is decided could set precedent for gaming tribes throughout California. Several tribes have pending compact negotiations. If the five tribes win, some of them might demand to return to negotiations on some points that the state forced them to accept.
