Nation counting gaming revenue
Council wrangles over how money will be distributed

By Karen Francis
Diné Bureau

WINDOW ROCK — The Navajo Nation Council passed the Navajo Nation Gaming Distribution Plan on Friday with a vote of 58-9.

With the Fire Rock Casino in Churchrock planned to open in November, the nation needed to develop a plan for revenues from Class II and III gaming that adheres to the Indian Gaming Regulatory Act, federal requirements and the state gaming compacts.

The plan, which was presented by Council Delegate Ernest Yazzie, Breadsprings/Churchrock, calls for gaming revenues to pay for authorized gaming activities of the Navajo Nation Gaming Enterprise and for the remaining net revenues to be deposited into a special revenue fund to be distributed in accordance with a fund management plan approved by the Council’s Budget and Finance Committee.

The legislation passed despite an attempt by Raymond Maxx, Coalmine Canyon/Toh Nanees Dizi, to table it to the fall session for the gaming enterprise to hold public hearings in the five agencies.

Ervin Keeswood, Tse Da Kaan, brought up a question of privilege saying that the Navajo Nation must follow federal guidelines in distributing the net gaming revenues.

“We can’t have public hearings out there not knowing what federal guidelines are ... You can’t go out there and have a public hearing and ask people, ‘What else should we spend it on?’” Keeswood said.

“These public hearings will bring out these issues. The public should know,” Maxx said. The tabling motion failed with a vote of 22-48.

Maxx also disagreed with an amendment motioned by Omer Begay, Cornfields/ Klagetoh/Greasewood Springs/Wide Ruins, to change language in the legislation that would allow for the plan to be amended by two-thirds vote of Council, instead of the 90 percent that was required by the legislation.
“I think anytime we deal with funds like this, the threshold should be high, rather than having easy access to it,” Maxx said.

Begay’s amendment passed 60-6.

An amendment was offered by Leonard Tsosie, Pueblo Pintado/Torreon/Whitehorse Lake, to distribute 10 percent of gaming revenues to the nation’s chapters.

“This way then, as I indicated, Mr. Speaker, the chapters at least are assured, after paying for the expenses and the authorized use, 10 percent of that revenue goes to the chapters,” he said.

Leonard Chee, Birdsprings/Leupp/Tolani Lake, said he did not support the amendment because it limited the chapters to receiving 10 percent. “Why not more?” he asked.

Tsosie said that the 10 percent was only a minimum.

“Now if Mr. Chee and Mr. (LoRenzo) Bates, as members of the Budget and Finance Committee, want to give more in the management plan, they’re welcome to do so,” Tsosie said. “My amendment is to try to get some money out to the chapters in pursuit of our promise that they would benefit from gaming.”

The attempted amendment failed by a vote of 28-37.

An amendment by Nelson Gorman, Chinle, was passed to insert language to include Class II along with the Class III gaming revenues listed in the legislation.

Another amendment motioned by Lorenzo Curley,

Houck/Lupton/Nahata Dzil, added language to include debt services and gaming facilities financing as part of the related gaming operating expenses.

Since Tse Da Kaan already has an agreement with the nation regarding gaming revenue sharing, Keeswood also successfully added language stating “unless otherwise approved by the Navajo Nation Council” to the section titled “Distributing” in the law.

The legislation — which adds language to the finance section of the Navajo Nation Code — cited the Indian Gaming Regulatory Act, stating that net gaming revenues must be expended for certain purposes which include to fund tribal government operations and/or program, provide for the general welfare of the tribe and its members, promote tribal economic development, donate to charitable organizations, and/or help fund operations of local government agencies.

The nation would not distribute per capita payments, according to the legislation.