The Florida Revenue Estimating Conference—including the forecasters from the legislature, Governor’s office and other agencies—recently confirmed the Seminole Tribe of Florida has been making monthly payments to the state of a share of its casino gambling revenue. The tribe deposits about $19.5 million each month, with a projected annual income for the state in the high $300 million range for this and future fiscal years. The tribe also paid another lump sum of $35 million last August, and it makes a balloon payment at the end of the fiscal year, July 1-June 30. Chief Legislative Economist Amy Baker said, “We don’t know if they’re taking a discount, but we still have strong growth.”
The tribe paid $290 million in 2017 under a provision of its 2010 compact guaranteeing exclusivity to offer banked card games like blackjack. In 2016 the sued the state, claiming regulators had allowed certain designated player games like poker, breaking the promise of exclusivity. A federal judge agreed and ruled the Seminoles could continue to offer blackjack at its Hard Rock casinos until 2030, even though the 5-year blackjack provision in the compact had expired.
The tribe continues to target games it believes violate its exclusivity and has filed civil lawsuits against slot-style pre-reveal games and Jacksonville-area electronic gambling parlors. The continued payments to the state depend on regulators providing “aggressive enforcement” against games that threaten the Seminoles’ exclusivity to offer blackjack. Both sides had been in a “forbearance period” but it ended March 31, freeing the tribe to stop the monthly payments.
Tribal Counsel Barry Richard said the Seminoles will “re-evaluate” whether to continue good faith payments by the end of the 2019 legislative session. He said that will depend on whether they believe regulators have provided aggressive enforcement as promised.
