The Seminole Tribe of Florida and the state of Florida are trying to resolve the details of a proposed Class III gaming compact before the legislative session ends on May 3, according to observers. A draft deal would allow sports betting at tribal casinos and at non-tribal facilities where the Seminoles would serve as a “hub” for those wagers at the state’s pari-mutuels and at professional sports arenas. State Senator Wilton Simpson, next in line to be Senate president, and representatives of the Seminole Tribe have been negotiating a new compact for several weeks.
Governor Ron DeSantis said, “There’s a lot of stuff to go through. I’d like to get a deal, but at the same time I’ve got to make sure that what we’re doing is right for Florida. We’re going to meet with people from the Seminole Tribe. I want to meet with the parimutuels that are obviously affected by it and talk to folks to see what their deal is with all this. But this is a major, major deal. When you talk about a 31-year deal, that’s not something to be entered into lightly.”
Allowing the tribe to serve as a “hub” for sports betting would bypass Amendment 1, approved by voters in November, requiring statewide votes on any expanded gambling. However, voter approval is not required for gambling on tribal lands, which is regulated under federal law.
Under the compact originally signed in 2010, the Seminoles agreed to pay the state $1 billion over five years in exchange for exclusivity over banked card games, such as blackjack. That provision expired in 2015, but the Seminoles sued the state over designated player games, alleging those card games breached the exclusivity agreement. A federal judge agreed with the tribe; as a result, former Governor Rick Scott and the tribe entered into a settlement in which the state promised to aggressively enforce the games and the Seminoles agreed to keep making annual payments of $350 million. That agreement will expire at the end of May. As a result, the House and the Senate did not include the revenue from the tribe in their budget proposals.
Senate President Bill Galvano noted, “What you have is a very high-level negotiation between sovereigns. If I hear back from the governor that he feels like they start making progress, then we’ll look at where we are procedurally and then take what steps are necessary, if we still have adequate time to be able to secure those funds.”
Under the proposed agreement, the Seminoles also could offer craps and roulette. The tribe would agree to pay the state $400 million a year which could gradually increase to $500 million a year.