30 Global Gaming Business FEBRUARY 2019“We are always trying to be on our toes in anticipating expanded gaming
in the state that will somehow diminish our own operations,” Fox says. “We
are very much concerned about how (the state) will approach the issue.”South Dakota
The small and mid-sized tribal casinos in neighboring South Dakota are faced
with a similar situation as the state legislature considers putting legalized
sports betting for 22 commercial casinos in Deadwood on the 2020 ballot.
If passed, tribes would also be allowed to bet on sports.
Many of the seven tribes operating 11 casinos are not interested in getting
into the business. Most are limited to a few blackjack tables and 250 slot ma-
chines or less.
“The tribal operations are pretty small,” says one casino general manager
who requested anonymity. “It’s not really a priority for us.”
“I think we’re going to let it be,” says another casino manager.
The Flandreau Santee Sioux Tribe, whose 17,000-square-foot Royal River
Hotel & Casino has 500 slots and 120 rooms, supports the Deadwood initia-
tive.
“We have been actively monitoring the legalization of wagering on sport-
ing events,” tribal attorney Seth Pearman told South Dakota News Watch.
“Sports wagering at the Royal River Casino would diversify the gaming op-
portunities for patrons, would positively impact their experience overall, and
would keep them from leaving the area to legally place wagers.”
Chairman Troy “Scott” Weston of the Oglala Sioux Tribe warns that
South Dakota and other states could use ballot initiatives on sports wagering
as a means of expanding legal commercial gambling throughout the various
states with tribal operations.
“Indian casinos are never going to survive,” he quips.Navajo Nation
The Navajo Nation Gaming Enterprise operates four casinos on the tribe’s
sprawling reservation, one casino hotel in Arizona and three stand-alone casi-
nos in Gallup, Farmington and Shiprock, New Mexico.
The enterprise has a strategy in place to proceed with sports wagering in
both New Mexico and Arizona, which is in the midst of tribal-state compact
negotiations.
“We see it as a great opportunity to create promotions and events to at-
tract new players to the property,” says NNGE CEO Brian Parrish. “Then
there’s always crossover play, which is a major benefit.”
Unlike Pueblo of Santa Ana, operators of the Santa Ana Star Casino,
Navajo is not moving forward with sports betting in New Mexico until state
regulators have established a regulatory structure.North Dakota
Legislation is being floated in North Dakota to add sports wagering to the lim-
ited-stakes blackjack and pull tabs already allowed by some 50 charities and
nonprofits in many of the bars, restaurants and hotels. State legislators also
may pursue a constitutional amendment, which would require a ballot meas-
ure.
Wagering on sports is already permitted on tribal lands in North Dakota
with the repeal of PASPA. But it’s not clear how many of the seven mainly
small tribal casinos will pursue sports betting, particularly if tribal-state com-
pacts limit mobile gambling to tribal lands.
“That’s how the compact reads, within tribal boundaries,” says Collette
Brown, director of Spirit Lake’s gaming commission. “But we have customers
asking if we will be doing it,” she says, and the tribe is in discussions with
William Hill US to operate the wagering in connection with a sports bar.
Chairman Mark Fox of the Three Affiliated Tribes of the Fort Berthold
Reservation, owners of the 4 Bears Casino & Lodge in New Town, anticipates
his tribe also will get into sports betting. The tribal operation has 600 slots, 10
tables and a 122-room motel.
Oil and gas generate the bulk of Fort Berthold tribal government revenues.
But the casino accounts for 350 to 400 jobs.
“You’re going to find with most of the tribal casinos in the upper Midwest
and Northern Great Plains, jobs are most important,” Fox says. “Casino rev-
enues are not that significant. It’s the jobs.”
The lottery, charitable gambling outlets and other vendors pose significant
competition for 4 Bears Casino & Lodge.“Our feeling is rather than jumping in
and pushing the situation, creating
ambiguity or volatility in the situation,
we want to work with the state to create
the regulatory infrastructure that will
help the state and help the tribes.”
—Navajo Nation Gaming Enterprise CEO Brian ParrishThe Royal River Hotel & Casino owned by the Flandreau Santee
Sioux Tribe supports a South Dakota initiative that would allow
sports books in Deadwood—and at tribal casinos within the statep. 26 tribalsportsbetting:Layout 1 1/10/19 1:07 PM Page 30