The state of Indiana and the Pokagon Band of Indians, which will open a Four Winds Casino in South Bend, have come to an agreement under which the state will not allow any casinos in 16 northern counties. Indiana Gaming Commissioner Sara Tait said under the deal, the state will receive 8 percent of the casino’s income and the city of South Bend will receive 2 percent The state also committed to disallow any competing casinos within a 50-mile radius of Four Winds. In addition, Indiana will direct $1 million of its share to job training for Pokagon Band members.
The existing casinos in Hammond and Michigan City will be allowed to expand on their existing property, but they can’t relocate inland like Gary’s casino, which previously was authorized by the state legislature.
Tait estimated the arrangement will generate $12 million a year for Indiana; however, she said about half of that total could be offset by less business at other casinos.
The Pokagon Band plans to add table games at its Four Winds Casino. State approval isn’t required for that, however under federal, the tribe must negotiate a compact with the state to agree on terms for the operation.
The state still could authorize a new northern Indiana casino or a Hammond or Michigan City expansion. But that would void the revenue-sharing agreement and the tribe and the state would have to restart negotiations. Tait noted without a compact, the tribe could pursue federal approval; however, the state would receive nothing–the same amount it currently receives from Four Winds’ slot machine operation.
Tait stated in addition to revenue sharing, under the contract the Pokagon Band also would agree to abide by other state gambling regulations, such as banning chronic gamblers and not serving free drinks.
The Senate already has voted to ratify the agreement and the House is expected to follow in the near future, tribal officials said.
