Walker’s Kenosha Casino Decision Coming

In just a few weeks, the world will know if Wisconsin Governor Scott Walker (l.) approved the Menominee Tribe's proposed $810 million off-reservation in Kenosha. Prior to the February 19 deadline, Walker must balance job creation with the possibility of the state owing millions to the Forest County Potawatomi tribe.

Thursday, February 19 is only a few weeks away—the deadline when Wisconsin Governor Scott Walker will announce if he will or will not allow the Menominee Nation to open an 0 million destination casino in Kenosha at the former Dairyland Greyhound Park. The federal government , bipartisan state legislators plus Kenosha officials support the casino, which will create thousands of jobs, tribal leaders said.

Under the state constitution, Walker has the final say on the Kenosha casino. His announcement may depend on an independent analysis of the casino’s economic impact. In addition, the Bureau of Indian Affairs must make a decision on an amendment to the state’s 2005 gaming compact with the Forest County Potawatomi, which operates the lucrative Potawatomi Hotel & Casino in Milwaukee. The compact requires the state to reimburse the tribe for any losses associated with the Kenosha casino. The Menominee have offered to reimburse the Potawatomi for losses—which analysts said could reach $100 million–if the Kenosha facility opens.

However, the proposed amendment would hold the state responsible for making sure the Potawatomi get paid. Recently the Potawatomi did not make a required $25 million annual payment to the state because it said it does not have faith that Wisconsin will be able to reimburse the tribe if Walker approves the Kenosha casino. An attorney hired by Walker’s administration said since the governor does not have the authority to create annual spending obligations, the compact amendment could be invalid.

The Potawatomi contend the Menominee have inflated the potential job-creation numbers at the Kenosha casino and also that Wisconsin gaming market is saturated. In addition, the Potawatomi said since the Menominee have contracted with the Florida-based Seminole Tribe’s Hard Rock International to run the casino, profits will end up flowing out of state.