Texas Threatens Naskila Gaming—Again

The Alabama-Coushatta tribe's Naskila Gaming in Livingston, Texas attracted 38,000 visitors since its June 2 opening. But it could be shut down for illegal gambling, like it was in 2001. State Attorney General Ken Paxton asked a federal court to decide. A trial is set for June 2017.

The Alabama-Coushatta Tribe of Texas announced between its June 2 opening through September, more than 38,000 people visited its Naskila Gaming, a Class II casino located on the tribe’s 10,200-acre reservation near Livingston. The 15,000 square foot, alcohol-free venue offers 365 slots and the Timber Grill restaurant. “It’s a quaint little spot and we’re proud of it,” said tribal spokesman Carlos Bullock.

However, despite Naskila’s initial success, Texas Attorney General Ken Paxton filed a petition with the United States District Court for the Eastern District of Texas, asking the court to overrule sections of the 1988 Indian Gaming Regulatory Act and close Naskila Gaming, Paxton spokeswoman Kayleigh Lovvorn said, “Their electronic bingo machines are an illegal lottery.” A trial date has been set for June.

The1,250-member Alabama-Coushatta tribe is one of three federally recognized tribes in Texas. It was granted recognition under the 1987 Restoration Act, which also prohibited the tribe from operating any forms of gaming that were prohibited under local state laws. But in 1988 Congress ratified the Indian Gaming Regulatory Act, which established three classes of gaming (Class III gaming with Las-Vegas-style slots and table games requires a state compact) and allowed the federal government to independently sanction lower classes of gaming, like Naskila’s offerings. Today the 493 Indian casinos in the U.S. mostly are Class II operations that offer electronic bingo, regulated by the National Indian Gaming Commission, generating $28 billion in annual revenue. The Kickapoo Tribe’s Lucky Eagle Casino Hotel is the only Class III casino allowed in Texas.

Fifteen years ago, to continue to provide police, fire and court services, manage 250 housing units and offer education and historic preservation programs, the Alabama-Coushatta opened its first casino. But after only nine profitable months, it was shut down by the Fifth Circuit Court of Appeals.

Naskila is the tribe’s second foray into gaming. Last year the membership passed a Class II gaming ordinance, which was submitted to NIGC in July and approved in September. Then the tribe renovated the former 10,000 square foot casino building and hired 210 employees out of 1,000 applicants.

Public relations specialist and assistant to the tribe Chuck McDonald said, “There are a lot of people going to be watching” the court case next year,

Including casinos in adjacent states, anti-gambling activists and charitable bingo operators who hope Naskila goes away. Council member Roland Poncho said the tribe intends to continue operating Naskila Gaming “24 hours a day, seven days a week until the court makes its final decision.”

Council member Clint Poncho added he would not expect a ruling on the case for at least 10 months after next year’s trial, adding he’s “confident we will be a winner in this fight.”

Council member Jo Ann Battise summed up, .Residents of deep east Texas who enjoy gaming and want to do it in a friendly alcohol-free environment are now able to do so on our reservation. As most of our neighbors know, our tribe has occupied our tribal lands in the Big Thicket region for more than 200 years. However, what many in the region may not realize is that our tribe is a fully functioning sovereign government with a full array of health and human services to support. Gaming offers a stable source of income to sustain and improve these vital tribal services while creating jobs for both tribal and non-tribal citizens.”