Oklahoma Tribes Impose Condition on Negotiations

While Oklahoma Governor Kevin Stitt was less confrontational in his second letter to state tribes regarding reopening the gaming compacts to negotiations, the tribes have responded that they will not being talking until the governor stipulates to one thing: The compacts automatically renew, according to Oklahoma Indian Gaming Association Chairman Matthew Morgan (l.).

Oklahoma Tribes Impose Condition on Negotiations

The showdown between the Oklahoma tribes and Governor Kevin Stitt over renegotiation of the state’s gaming compacts took a new turn last week. The Oklahoma Indian Gaming Association responded to Stitt’s second letter to the tribe. In that letter, Stitt was more circumspect about his demands for raising the gaming fees charged to the tribes. While he didn’t back down completely, he did suggest putting the most controversial subject to the side—the issue of whether the compacts renewed automatically or not.

In his first letter, Stitt proclaimed that the compacts would expire on January 1, 2020 and not renew. The tribes believe the opposite and in response to Stitt’s second letter, they have thrown down the gauntlet.

“Many tribes have received Governor Stitt’s most recent letter. While we appreciate his modified tone, and are pleased to see his inclusion of Attorney General Mike Hunter and the legislature, the original issues still remain, first and foremost of which is that the present Gaming Compact will automatically renew on January 1, 2020,” said Oklahoma Indian Gaming Association Chairman Matthew L. Morgan. “Governor Stitt’s position is at odds with the leaders of 34 tribal nations, who also agree that the rates under the present gaming compact should not change. We recognize that Governor Stitt has the right under the present gaming compact to request a renegotiation of rates paid under the gaming compact, however a month has a passed and our request for a proposal from the Governor Stitt has gone unanswered.”

The original letter from Stitt was issued in July but a second letter on August 13 was a bit more conciliatory. The tribes contribute over $140 million to the state budget via gaming fees that range between 4 percent and 10 percent. Stitt insists those fees are lower than most tribal gaming jurisdictions in the country and wants them raised. The tribes contend that their contributions in jobs, community involvement and charitable efforts more than make up for increased fees.

When questioned about the tribes’ response to his second letter by TV station KFOR in Oklahoma City, Stitt’s office issued this response:

“Oklahoma is comprised of 39 federally-recognized tribes and roughly 4 million people, and I was elected to give a fresh eye to all agreements, laws, and actions by state government and to make the hard decisions that consider every individual who calls this great state home. Dating back to the campaign, I was transparent and clear that, as governor, I would seek a fair-market deal regarding the state’s tribal gaming compacts that expire on January 1, 2020. This 15-year-old compact established some of the lowest gaming fees in the nation, and the tribes have been fantastic, successful business leaders in our state, turning their gaming industry in Oklahoma into the third-largest in the nation today. I am committed to open discussions with all tribal partners and to achieving an outcome that spurs more funding for public education, grows opportunity for the tribes, and is a successful partnership for the state and future generations of Oklahomans.”

As a result of this impasse, talks between the state and the tribes will not begin on September 3 as the governor had requested.