In Madison, Wisconsin, supporters of the Menominee Tribe’s proposed 0 million, off-reservation casino in Kenosha held a demonstration, calling on Republican Governor Scott Walker to immediately approve the project, which proponents said would create 1,400 construction jobs, 3,300 direct permanent jobs and 1,800 indirect jobs. Democratic lawmakers at the event said Walker is far from meeting his promise of creating 250,000 private sector jobs over his first term and therefore ought to approve the casino. State Rep. Peter Barca of Kenosha said, “I can’t think of any other project out there than can create 5,000 permanent jobs and 3,000 construction jobs.” State Senator Robert Wirch, also of Kenosha, added, “I think this can only be characterized as a failure of leadership by our governor.”
The same day, the Marquette University Law School released a poll showing 49 percent of respondents throughout the state support the casino, while 35 percent are opposed. In the Milwaukee area, 60 percent favored the casino with 25 percent against it.
The federal Bureau of Indian Affairs approved the Menominee casino, which would be located at the former Dairyland racetrack site, more than a year ago. Walker has the final approval on it, which has been extended to February 19. He said, “We’re going to take as long as we can legally take, assuming it takes that long to ensure we’re not creating a big hole in the state budget.”
But there already is a “big hole” due to the Forest County Potawatomi Tribe withholding a scheduled $25 million payment to the state in June. The Potawatomi’s gambling compact states if the governor approves a Kenosha casino the Potawatomi could seek to reduce its payments to offset losses and could ask for a refund of past payments, which the Walker administration has estimated at $100 million because of the agreements negotiated by former Governor Jim Doyle. The Potawatomi said they have placed the $25 million in a reserve account because tribal leaders are worried the state won’t be able to make the refund payments.
The Potawatomi fiercely oppose new competition from the Menominee casino, even though the Menominee have offered to compensate the state for any reductions in the Potawatomi’s payments.
Walker’s administration is negotiating with the Potawatomi regarding how to offset losses. “Needless to say, we are moving forward with legitimate caution as we cannot risk putting that size of a hole in the current and future State budgets. Therefore, we will take the appropriate time necessary to insure that we appropriately manage the finances of the State of Wisconsin,” Walker said. ‘What we’re trying to do is walk through the landmines that Jim Doyle’s compacts put in place.”
Menominee spokesman Michael Beightol said the situation could have been avoided if the Potawatomi would agree to the revenue-sharing proposal offered by the Menominee. “The Menominee are willing to address any shortfalls from other tribes. The state will be made whole,” Beightol said.
Walker’s Democratic opponent, Mary Burke, has not made the casino an issue in the race yet. However, she said if she’s elected she would make a quick decision based on whether the casino would create a significant number of jobs. “As governor, I would have had an impartial study done immediately. That should have been in a time frame of three to six months and then been able to get that decision made, so the people of Kenosha would know how to proceed,” Burke said.
Menominee Tribal Legislator Gary Besaw stated, “I think Burke and Walker are being cautious in seeing how this plays out.”
Besides the Potawatomi and Ho-Chunk tribes, the anti-casino group Enough Already! WI contends Wisconsin’s gambling market is shrinking and can’t support another casino. The state has 18 full casinos with table games and slot machines and seven smaller gaming sites. Ho-Chunk has the most casinos with six including one in Madison. The Oneida Indian Nation has five, all located on their reservation near Green Bay. The Potawatomi have two but their off-reservation Milwaukee casino places the tribe among the top three wealthiest in the state.
Since Walker’s clock started running, the Menominee announced the casino would be a Hard Rock, affiliated with the Seminole Tribe of Florida. Potawatomi spokesman George Ermert said, “The Potawatomi remain confident the governor will ultimately find it is not in the best interest of the state to send hundreds of millions of dollars to Florida. This is a project that will be developed and managed by a Florida Indian tribe.” Gary Besaw, chair of Menominee-Kenosha Gaming Authority, disagreed. He said, “We are targeting the Chicagoland market. We will be bringing people to southeast Wisconsin and building that area’s tourism market. We know in the long run the city, the state, the tribes and the surrounding community will all benefit positively from a Hard Rock Casino.”
A spokesman said the proposed 400,000 square foot Kenosha development would offer 2,700 slot machines, 100 table games and 24 poker games, plus an entertainment venue and retail. Four years later, phase two would bring a hotel, spa and pool. A temporary casino would open while the new casino is under construction.