Oregon Governor Pressures Commissioners on Proposed Resort

Oregon Governor Kate Brown (l.) is hinting she’d like the Oregon Racing Commission to apply the brakes to its license application for a new destination resort, in consultation with the state’s tribes.

Oregon Governor Pressures Commissioners on Proposed Resort

Oregon Governor Kate Brown is urging state racing commissioners to address tribal concerns about expanded gambling before licensing a new destination resort at Grants Pass Downs.

Brown advised them to “meaningfully consult with tribal governments” as they consider the Flying Lark resort, which coffee magnate Travis Boersma would build by adding 225 historical wagering terminals to the Southern Oregon racetrack.

The Flying Lark proposal includes dining, bars, live entertainment and RV parking. Boersma, founder of the Dutch Brothers coffee company and a recent billionaire, says he hopes the development will be the “epicenter of the horse industry in Oregon.”

On November 9, the governor sent a letter to commission Chairman Diego Conde and Executive Director Jack McGrail that began, “Thank you for your work on behalf of Oregonians to carry out the statutory responsibilities of the Oregon Racing Commission. I write today to emphasize the importance of one of those responsibilities, the statutory obligation to meaningfully consult with tribes on issues that may significantly impact them.”

The letter came after six gaming tribes asked why the Flying Lark is going ahead without discussion about its potential threat to their economies. There are nine gaming tribes in the state.

The opposition is led by the Cow Creek Band of Umpqua Indians, which operates the Seven Feathers Casino, and the Confederated Tribes of the Grand Ronde, operators of Spirit Mountain Casino.

Dan Courtney, chairman of the Cow Creek Band, declared, “If approved, I absolutely would consider it a casino—and the Oregon constitution bans private casinos.

“The primary purpose of the Flying Lark would be gambling. It markets itself as a gaming destination, which is code for casino.”

They point out that the state constitution doesn’t allow off-reservation casinos. However, the Flying Lark cites a 2013 law that permits racetracks to offer historical racing machines (HHR). Such machines aren’t considered gambling in many jurisdictions, although the tribes insist they don’t meet the legal definition of parimutuel betting.

Erin Patterson, a spokeswoman for the project, counters, “The Flying Lark, as part of Grants Pass Downs, is permitted to operate historical horse racing machines under Oregon law, which exempts HHR machines from the definition of ‘casinos.’” She continued, “Just like offering gambling on horse racing at a racetrack does not turn a racetrack into a casino and offering lottery terminals at a restaurant or bar does not turn those locations into a casino, offering HHR machines on racetrack premises does not turn that racetrack into a casino.”

The commission has announced it will postpone the item, which had been scheduled for consideration November 18.

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