The Confederated Tribes of Siletz Indians of Oregon last week announced a challenge to the just opened 0 million ilani Casino Resort just across the river from Portland: a proposed 0 million, 140,000 square-foot casino in Salem, the state capital.
They call it “Oregon’s first inter-tribal casino project” and say they hope to involve all the state’s tribes.
“We looked at the money that is going to the state of Washington with the new casino,” said Siletz tribal chairman Delores Pigsley, making the announcement. “With this opportunity, we can give money to Oregon tribes and keep the money in Oregon.”
“As a tribal community, we have a responsibility to preserve and grow jobs and revenue in Oregon,” she said. “These funds directly support family wage jobs and healthcare, education, environmental, housing and transportation programs throughout the state.”
A major roadblock is that they would probably have to corral support from the Confederated Tribes of the Grand Ronde and Governor Kate Brown. The Grand Ronde tribes oppose a Salem casino and sued to try to stop the Ilani Casino, which they project will cost them 40 percent of their market.
A Salem casino would have similarly “devastating” effect on the Spirit Mountain Casino, said a spokesman for the tribe. The Spirit Mountain is located about 30 minutes west of Salem.
A spokesman for the Grand Ronde, lobbyist Justin Martin, suggested that all the tribes work together to find a casino solution that would allow them to compete against the iLani but which is amenable to all of them.
The newly proposed casino would open in 2021 along Interstate 5 at Portland Road. It would employ an estimated 1,500 workers.
To sweeten the deal for the stated, the Siletz offer to pay 25 percent of net revenues to state and local government. They would take 25 percent and give 50 percent to other tribes to split, said a spokesman. The tribe projects the casino would make up to $185 million gross the first year.
The state lottery stands to lose an estimated $110 million from the Ilani. The Siletz hope this will make their proposed casino more palatable to the state.
To make their casino on a par with other Oregon tribal casinos they would need to have amenities, like a hotel, RV park, restaurants or golf course, which so far they have not announced. Pigsley said the tribe is considering a hotel and possibly a cinema.
This is the second time the tribe has proposed a casino. In the 1990s then Governor John Kitzhaber won a ruling from the 9th Circuit Court of Appeals upholding his ability to prevent the tribe from opening a casino in an urban area off the reservation.
The tribe’s attorney, Craig Dorsey, said it is beginning at stage one of the process, with what happened 20 years ago in the past. He noted that since that time the Bureau of Indian Affairs has adopted the two-part determination for tribes that want to build off-reservation casinos. However, that process requires assent by the governor.
Governor Brown would not oppose a casino that was unanimously endorsed by the nine Oregon tribes, said her office.
“Should Governor Brown receive such a proposal, the discussion would focus on whether the proposed casino would be in the best interest of the tribes, and of the people of Oregon,” said a spokesman.
“We know that when tribes come together with a shared mission, we achieve more for our community,” said Pigsley.
The Siletz have one casino, the Chinook Winds Resort in Lincoln City, which is on the reservation. Oregon has a longstanding one casino, one tribe policy.
Close Poker Rooms
In a related but separate development, the Oregon legislature is moving to drive poker room operators out of business.
The House last week passed HB 2190 by a vote of 41-14 that would amend the state constitution to remove an exemption to a law that only allows “social” poker games to be operated by non-profits. The exemption has created a loophole that led to the existence of poker rooms that make a profit.
The bill would also make it illegal for poker dealers to be paid in tips, a method that casinos have used to get around state regulations that prevent dealers from being paid an hourly wage.
If the bill is adopted the 20 or so poker rooms operating in Portland could close. Several such bills have been debated in the legislature in the past, but none eventually were adopted by both houses.
This bill is now headed for the Senate.
The bill is supported by the state’s tribal casinos.
