Header image alt text

Joyce Clark Unfiltered

For "the rest of the story"

Steel is rising for the Tohono O’odham (TO) self-billed “temporary casino.” This casino’s history and future are rife with technicalities.  The TO secretly purchased a piece of land, a county island within Glendale, that technically is not Glendale. The TO claimed it could do so because their interpretation of the State Gaming Compact allowed it…yet another technicality. There are many, many county islands within the Valley and the TO believe they technically have the right to plant more casinos on them. They should be extremely careful. Technicalities can come back to bite one in the butt.

There are a few “technicalities” that the TO have yet to face. They have not received gaming approval from the federal Bureau of Indian Affairs to date. I suppose the TO consider that as just a minor technicality. The Arizona Department of Gaming has not approved a gaming license for the TO’s new casino. It could take quite some time for the department to clear the Tohono O’odham for that precious state gaming license. Technically, all tees have to be crossed and all eyes dotted and the state will not grant a license until every stipulation is satisfied. This action is not a mere technicality. In the meantime there is still federal legislation introduced by Senators McCain and Flake. This is another action that cannot be considered a mere technicality. The bill will come to a vote and the expectation is that it will be approved.

This temporary casino could become a ghostly, unused testament to The Tohono O’odham’s overreaching use of technicalities. Don’t be surprised if this casino never opens…due to a technicality.

© Joyce Clark, 2015

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

Councilmember Gary Sherwood took office representing the Sahuaro district in Glendale in January of 2013. He has served two years of his four year term. In his first six months in office he:

  • He flip flopped on his anti-casino campaign pledge claiming he had learned “new information” from Councilmember Chavira (which neither have ever publicly disclosed) and was the deciding vote on a 4-3 council vote supporting it.
  • He and Councilmember Chavira became very close. Coincidentally Chavira flip flopped on his election pledge of opposing exorbitant arena management deals and was the deciding vote on a 4-3 council vote approving the IceArizona deal.
  • He publicly acknowledged that he independently and privately interviewed Brenda Fischer and then publicly advocated for her hire. To this day he remains squarely in her camp and his latest district E Newsletter praises her tenure.
  • At a meeting I attended several years ago at a local restaurant in north Glendale Sherwood was present. After the meeting some of us were standing out in the parking lot. Sherwood was there and at a one point he bragged about having a “cop card.” I never forgot that. To this day, I don’t know exactly what that is but I assume it’s to be used when pulled over for a moving violation.

The next year and a half haven’t been pretty either:

  • He was the leader of the Becker billboard proposal and voted for it. His recent support for Councilmember Tolmachoff’s request for a Scenic Corridor in north Glendale is no more than a smoke screen that will be used to bring back the Becker billboard proposal. Wait for it…the Becker billboard issue will arise again.
  • He allegedly violated Arizona’s Open Meeting Law. The allegations are still under investigation by the Attorney General’s Office.
  • He purportedly attended citizen Planning and Zoning meetings and was reputed to have made hand signals to some of the commissioners as well as visibly associating himself in front of the P&Z commissioners with various applicants that he supported.
  • He was seen having frequent lunch meetings with City Manager Fischer and assorted senior staff at an out-of-the-way Asian restaurant in Peoria.
  • He apparently has a close working relationship with Assistant City Manager Julie Frisoni as evidenced by Frisoni’s emails on the arena management deal that were sent exclusively to Sherwood and the other 3 Councilmembers supporting the deal.
  • He seems to support the sale of the Foothills Library as evidenced by his lack of notification to his constituency (those most affected by its closing and relocation). In his latest district E Newsletter he announced the library meetings dates after the fact. He could have issued a special E Newsletter announcing the dates prior to their being held…but he didn’t.
  • Purportedly he was heard to remark on more than one occasion that he did more than the mayor.
  • He not only supports light rail in Glendale but continues to advocate for its placement on Glendale Avenue in clear contradiction of the 2001 voter approved transportation plan.

Councilmember Sherwood seemed to fancy himself as the ‘real’ mayor of Glendale. His frequent lunches with Fischer, et.al, apparently were for the purpose of trading information and working together on agenda items that would come before the full council. From all appearances he had created a virtual shadow government. He used Council Items of Special Interest, not for initiatives for the good of his constituency but to denigrate the mayor. He publicly disparaged his constituents’ concerns. His constituents believe that instead of representing their interests he has consistently represented his own.

Events are still in play. Apparently the Attorney General’s Office investigation into alleged Open Meeting Law violations is being actively pursued. The major allegation centers around Sherwood’s secret and private coordination of three other councilmember votes on the IceArizona deal. Of course, Sherwood will deny any wrong doing but the infamous email sent to former Councilmember Manny Martinez with the tag line of “please destroy this email after reading” is pretty damning. It purports to say that he, former Councilmember Yvonne Knaack and Councilmember Chavira are all on board after a private meeting with IceArizona’s attorney Nick Wood during which executive session information was shared.

The first attempt to recall Sherwood as councilmember representing the Sahuaro district failed due to technical errors committed by an inexperienced group of citizens. It was a learning experience for the Sherwood recall committee. One of those learned lessons is that the city will do whatever it can to protect sitting elected officials and that one must be very, very precise in dealing with the city. Expect the Sherwood recall committee to soon, very soon, annouce a new petition signature drive. This time expect success.

Sherwood, in an attempt to aggrandize power, has done much to destroy his viability and credibility as an elected official. Should the Attorney General’s Office investigation lead to a finding of wrong doing and/or the second recall attempt be successful Sherwood could end up being removed from office or at the very least, his effectiveness to accomplish anything will have been severely minimalized. It’s politics at its very worst. It would be sad if it weren’t for the fact that his actions have had real and lasting repercussions for every resident of Glendale.

© Joyce Clark, 2015

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

Recently a blog reader sent me the following study produced for Fort Wayne, Indiana as it considered allowing casinos in 2009. Here is the link: http://www.ipfw.edu/dotAsset/174199.pdf . He said he believed the study to be reasonable and objective. It was commissioned by the City of Fort Wayne and written by the Community Research Institute of Indiana University/Purdue University. Apparently the 38 pages of information produced did not deter the officials in Fort Wayne and two non tribal casinos are now in operation: the Fraternal Order of Eagles 3512 casino and the Canterbury casino. There are several major differences between Fort Wayne’s casinos and the proposed Glendale casino. No reservation land was created as these are not tribal casinos; local, county and state taxes are paid and revenue sharing deals were implemented. Here are a few highlights of the study.

  • “When fiscal costs were included as well a multiplier effects, most of the options which were calculated results in costs exceeding benefits.”
  • “However, the averages wages are less for casino employees compared to the overall average wage.”
  • “For 5-10 miles, there was an average loss of $195 for all industries…businesses located 10-30 miles away lost $243.”
  • “…casino ‘undercut’ local bars, restaurants, and lodging by subsidizing their on-site casino facilities.”
  • “In 2007, gambling industries (the majority of which are casino employment) had an average wage of $28,148 while the average national wage was $44,458.”
  • “Wichita State (2007) states that 50 percent of new jobs will come through substitution of existing jobs.”
  • “…one negative would be more traffic, more accidents, and more DUI arrests.”
  • “Rose (1998) identifies sewer and road maintenance as a drain on communities, as well as costs of increased crime and crime prevention.”
  • “…approximately 41 percent of the patrons lived within 20 miles, approximately 27% within 20-60 miles, and approximately 32 percent traveled more than 60 miles.”
  • From Wichita State (2007) annual spending per person living 0-10 miles from a casino is $528; 10-25 miles from a casino is $234; and 25-50 miles away is $115.”
  • “Research shows that proximity to a casino increases the likelihood of problem gambling…and most pathological and problem gamblers lives within 50 miles of a casino.”
  • “Strong evidence is produced that there is a correlation between crime and casinos…It has been suggested that after time, the pathological and problem gamblers may resort to crime to cover gambling related debts (bad check, check forgery, theft from employers, tax evasion, tax fraud, loan fraud, embezzlement, larceny, bookmaking, hustling, fencing stolen goods, confidence games, pimping, prostitution, selling drugs, and others.)”
  • “In a 2004 study done b the Department of Justice pathological or problem gamblers were arrested a rate 3-5 times higher than that of the general population.”
  • “Different studies have found ranges which are substantially higher for problem gambling in adolescents.”
  • “Substance abusers appear to be particularly vulnerable to gambling problems.”
  • “Studies indicate that casino employees may also be at higher risk for pathological gambling.”

The Community Research Institute made clear that it had no dog in the fight and was merely compiling research from a vast amount of available material. Their bibliography is extensive. Even an seemingly non-biased study such as this one raises red flags about the long term effects of casinos – tribal or non tribal.

Two of the major reasons supporters advocate for the Tohono O’odham casino in Glendale are: 1. historically we have treated Indians poorly, subjugating and placing them on reservations and therefore we, the United States, owe them; and 2. Glendale will benefit financially from a casino in its community. Questions arise. How far back does this nation have to recall history in paying for past sins? 50 years? 100 years? 150 years? The U.S. government has acknowledged its historical ill treatment of indigenous Indian people and has paid and continues to pay vast amounts of money in reparation.

 Glendale, despite the monies being offered by the Tohono O’odham, will suffer financially. It will be tasked with installing new and upgraded infrastructure to serve the casino and its associated development. It will strain an already strained public safety system and the casino will remove sales tax dollars from nearby businesses through unfair, untaxed, subsidized competition.

The action taken by the Glendale city council to bend over on the casino issue will, in the future, be just as detrimental financially to the city as the infamous arena management deal and the Camelback Ranch Spring Training Facility. It will become just another sink hole draining dollars that could be used to provide amenities that enhance the quality of life of Glendale’s residents.

There is still hope that the casino can be defeated. The General Election of November 4, 2014 produced a Republican majority in the Senate. I suspect that now it may be far easier to get a bill passed that stops the Tohono O’odham in their tracks. Perhaps that is why, even though they had a major ground breaking event a month or so ago, not one shovel full of dirt has moved on the TO site. This may signal the most prudent decision they have made to date. Actually starting a multimillion dollar development while congressional legislation remains a threat would be fool hardy indeed.

I never have and do not now bear any ill will to the people of the Tohono O’odham Nation. The Tohono O’odham people have suffered financially for many years. Where do the annual millions of dollars earned by the Tohono O’odham’s three current casinos go? Apparently not to the people of the Nation. However, I do believe that the actions of Ned Norris, Jr. and the Tohono O’odham Legislative council with respect to violating the State Gaming Compact and attempting to plant a casino in Glendale have been incredibly imprudent, greedy, selfish and self-serving. I do not wish them well in this endeavor.

 © Joyce Clark, 2014

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

Sadly, real life should not be played like a Monopoly game although it often is, especially in politics. Horse trading deals seem to be a way of life for many politicians.  Councilmember Gary Sherwood penned a My Turn article entitled, Barrett is wrong, Franks is right: Casino means trouble for the Arizona Republic on April 20, 2013. Eighteen months ago he said:

    •  “Tohono O’odham’s massive casino is too close to residences and schools.”
    • “It denies tens of million (sic) of dollars of future development, construction and sales-tax revenues to our state and local community.”
    • “The casino will have a massive impact on Glendale’s already overwhelmed infrastructure – our police and fire departments and our roads — forever.”
    • “Crime is already up. Does anyone believe that putting a mega-casino in a neighborhood will improve the situation?”
    • “Franks is doing the right thing, and he is not alone.”
    • “The tribe has disregarded our city’s well-being and wishes for years. Now we should simply trust them?”
    • “Sadly, the Tohono O’odham Nation deliberately misled the public and even other tribal nations about this project and their casino-expansion plans for years. What kind of community leaders would willingly welcome such an unwelcome kind of neighbor?”                           

What caused Sherwood to do his flip-flop? Eighteen months ago Gary Sherwood was opposed to the Tohono O’odham casino. Sherwood has been asked repeatedly why he changed from anti-casino to pro-casino. His answers have been all over the place from, I was misinformed by others to Glendale staffers didn’t do their homework.

On September 17, 2014 Gary Sherwood testified at the Senate Committee on Indian Affairs. In his testimony he said, “I was stunned to learn that the prior Glendale administration had failed to make any effort to learn more about this proposal before it rushed to oppose it.” When questioned further by Senator McCain on his change of stance he said, “Umm, when I campaigned I had campaigned against this proposed based on information I had and I had read deal…quite a bit of information on it. Umm, the thing that was distressing to me though, that in the very beginning there was a half hour conversation when the city first found out about it in April of 2009 and that was the only conversation the previous administration had and I was, was always quite upset by the fact that we didn’t have the dialogue.” His reasons for changing his position are not only weak but mainly fantasy.

The city first learned of the casino project in January of 2009 when the TO simultaneously issued a press release and appeared at City Hall to reveal their plans. City staffers tried mightily at several subsequent meetings to get meaningful information from the Tohono O’odham about their plans. The TO repeatedly offered their conceptual plans but offered no concrete facts about their proposed project.  They were arrogant and their position was that they were coming and there was nothing the city could do. If Sherwood couldn’t get the date correct about Glendale’s learning of the TO’s plans, how many other statements of his that day played fast and loose with the facts?

His reasons for doing a 180 on his casino position should not be considered as satisfactory. Sherwood’s position remained opposed until the fall of 2013 when at several city council workshops he suddenly supported Alvarez, Hugh and Chavira in their call for “dialogue” with the Tohono O’odham. What other dynamic could have occurred?

Gary Sherwood and Sammy Chavira took office as councilmembers in January of 2013. Sammy ran on his opposition to the casino deals that had been presented to the city prior to his taking office. He said in an October, 2013 campaign mailing, ““Too many sweetheart arena deals for out-of-state corporations have left us deeply in debt.” Sammy outdid himself in supporting not just an out-of-state corporation sweetheart arena deal but out-of-country owners (mostly Canadian) sweetheart deal. He was opposed to any proposed casino deal. He went on to say publicly and repeatedly, “The city needs to be a tough negotiator, making smart planning decisions that preserve Glendale’s future.” Sammy, while running, was in no mood to accept any Coyotes deal. Inexplicably, after 6 months in office he becomes the 4th (and majority) vote to accept the IceArizona deal. Sherwood becomes the 4th councilmember (a majority) to support a dialogue with the TO after 8 months into his term. Coincidence? You must decide for yourselves. Did these councilmembers play a game of Monopoly?

© Joyce Clark, 2014

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

From the Associated Press by Sundin Thanawala and reprinted by the Arizona Republic on October 12, 2014. This article was too relevant to ignore and so it is offered below with a few interspersed comments: The article, California tribe’s casino plan to go before voters, is from San Francisco.

 “A Native American tribe’s plan for a Las Vegas-style casino in Central Valley (make that Glendale) nearly 40 miles (change that to 100 miles) from its reservation has drawn opposition from other casino-owning tribes in the state.

“The voters now will weigh in on whether the North Fork Rancheria Band of Mono Indians (insert Tohono O’odham) are ‘reservation shopping,’ as their critics contend, or taking land that was part of their historical territory, as the tribes maintains.

“A referendum on the November ballot asks voters to approve or reject a deal signed by the governor and passed by the state Legislature that would allow the North Fork Rancheria to build a casino with up to 2,000 slot machines ( change to nearly 1,100 slot machines), on a 305-acre (132 acres) plot of land along a major highway (the Loop 101 Freeway) about 30 miles (5 miles) northwest of Fresno (Phoenix).

“With a yes vote, the project would clear its last major hurdle to entering the state’s Indian gambling market, where 58 tribes (21 tribes) are currently running 59 (28) casinos, according to the Legislative Analyst’s Office.

“Critics of the proposal say the tribes is trying to get closer to an urban market that can bring in more gamblers.”

“ ‘This move by North Fork, if it goes forward, will incentivize tribes in rural areas to move to more-lucrative locations,’ said Cheryl Schmit, director of the group Stand Up For California.

“Representatives of the 2,000-member North Fork tribe counter that their existing land is for housing and does not allow gambling and that they went through a lengthy vetting process to get approval for the new land.

“ ‘We’re getting back to the historical land that serves as a reservation for our tribes in the 1850’s,’ said Charles Banks-Altekruse, a spokesman for the tribe, which is being supported by Las Vegas-based Station Casinos.

“Additionally, tribal officials say, the project would create more than 4,500 (change to 6,000) jobs and pump tens of millions of dollars into the local economy.

“Opposition to North Fork’s proposal is coming from other casino-owning tribes, including Table Mountain Rancheria (Gila River Indian Community and the Salt River-Pima-Maricopa Indian Community) whose casino is about 25 miles (20 miles) from the proposed site of the North Fork facility (Tohono O’odham’s Glendale site).

“The campaign against the project is also being funded by New York-based Brigade Capital Management, an investment firm that backs the Chukchansi Gold Resort & Casino, another Indian casino near the site of the proposed North Fork casino.

“Under the federal Indian Gaming Regulatory Act, tribes can build casinos on reservations that existed before Oct. 17, 1988, but not on lands taken into trust after that date (except in Arizona). The law allows the Interior secretary to make an exception in cases where the off-reservations acquisition is in the tribe’s best interest (not proven for Tohono O’odham) and does not hurt the surrounding community (which it will).”

These situations are eerily similar with one major exception. The referendum was not blocked in California and so the voters will have the final say. Not so in Glendale. Glendale has blocked the referendum petitions and the matter is now a court case and a judge will decide whether Glendale voters can determine their own fate.

© Joyce Clark,

2014 FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

Councilmember Gary Sherwood has done it again. On September 17, 2014 he appeared before the Senate Committee on Indian Affairs hearing on Senate Bill 2670. The bill, if approved by the Senate, would have the effect of stopping the Tohono O’odham from building a casino in Glendale.

Please note that the panel members were not sworn in. It is the usual practice in any Congressional hearing and one wonders why it was not done this time. In his oral testimony Sherwood said, “We have talked to many business leaders in this area including leaders of two professional sports teams and major hospitality developments and they all support this West Valley project.”

It appears that his statement is not true. In fact, the Cardinals have sent a letter to the Chair of the Committee, Senator Jon Tester, as well as the Vice Chair Senator Barrasso, Senator John McCain, Senator Jeff Flake, Mayor Jerry Weiers and all members of the Glendale City Council, categorically stating that they do not support the casino project.  The Arizona Coyotes released a public statement indicating that they have never expressed support for the casino project.

Looks like Sherwood was shooting from the hip…err…his lips…again. Sherwood is on a personal path of self destruction with a history of public statements that have all but destroyed his credibility. No wonder the people of the Sahuaro district, which he represents, seem all too willing to sign a recall petition against him.

On a separate but another questionable note, a blog reader contacted me and asked if Jamie Aldama has the home he owns in the Yucca district registered as a rental property with the City of Glendale and if he is paying monthly rental property tax to the city. I have no answer and the city maintains no online listing of rental properties. I suggest the Ocotillo voters go to the source and ask Mr. Aldama. It begs yet another question. Why is Jamie Aldama still sitting on the citizen’s Planning and Zoning Commission representing the Yucca district if he doesn’t live there and is running as a candidate for the Ocotillo council seat? Councilmember Chavira (Yucca district) should have replaced him when Aldama announced for Ocotillo. Why didn’t he? Perhaps he was just lazy and didn’t want to deal with the hassle of finding a replacement or perhaps he thought he was giving Aldama greater credibility as an Ocotillo district candidate with Planning and Zoning credentials. There’s no love lost between Chavira and Alvarez. She supported him a lot…I mean tons… in his run for his council seat only to be double crossed by him when Chavira voted for the arena management agreement. Alvarez was counting on him to be the fourth vote that would kill the deal. This kind of politics is certainly not for the faint hearted.

© Joyce Clark, 2014

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

Can’t find it

Posted by Joyce Clark on October 2, 2014
Posted in Casino  | Tagged With: , , | 1 Comment

One of my readers shared that all Arizona tribes with casinos are audited by the Arizona Department of Gaming. I went online to see if the tribal audits are posted and public. Answer…of course not…you can’t find it. I am going to do a FOIA request but I suspect I will be told the information I seek is confidential. However other interesting information appeared.

Total contributions from all Arizona gaming tribes in Fiscal Year 2013 were $97,581, 815. That’s a lot of money. How is it distributed? Here’s the list:

  • 12% goes directly to cities, towns and counties. In FY 2013 that amount was $11,054,208
  • The rest, 88% goes into an Arizona Benefits fund and is divided thusly:
  •         9% or $8 million, whichever is greater, goes to the Arizona Department of Gaming for expenses. The FY 2013 total was $8 million
  •         8% goes to the state’s Tourism Fund. In FY 2013 it was $6,143,764
  •         8% goes to the Wildlife Conservation Fund. In FY 2013 it was $6,143,764
  •         2% goes to the Office of Problem Gambling. In FY 2013 it was $1,730,552
  •         28% goes to the Trauma & Emergency Services Fund. In FY 2013 it was $21,503,176
  •         56% goes to the Instructional Improvement Fund. In FY2013 it was $43,006,351

Without knowing revenues earned collectively or individually by the gaming tribes it is impossible to figure out how much money is being earned annually. The formula for each gaming tribe’s contribution to the state is as follows:

  1. (b) Tribal Contributions. In consideration for the substantial exclusivity covenants by the State in Section 3(h), the Tribe shall contribute for the benefit of the public a percentage of the Tribe’s Class III Net Win for each fiscal year of the Gaming Facility Operator as follows:
  2. (1) One percent (1%) of the first twenty-five million dollars ($25,000,000.00);                                                                          (2) Three percent (3%) of the next fifty million dollars ($50,000,000.00);                                                                          (3) Six percent (6%) of the next twenty-five million dollars ($25,000,000.00); and                                                                    (4) Eight percent (8%) of Class III Net Win in excess of one hundred million dollars ($100,000,000.00).

There is another factor that all of us should consider. A best guesstimate is that gaming tribes in Arizona collectively take in a billion dollars a year. That is a billion discretionary dollars diverted from expenditures on food, clothes, housing etc. That is a billion discretionary dollars earning no sales tax locally or statewide.

Did you know it was reported in October of 2013 that “Federal programs operated by the Hopi Tribe are in danger of being taken over by the Bureau of Indian Affairs (BIA) and Indian Health Service (IHS) because the Hopi Tribe is seriously delinquent in submitting audits for Fiscal Years 2010, 2011 and 2012? Because of the severity of the problem, the BIA has designated the Hopi Tribe as a “High Risk” tribe and imposed a Level III sanction on the tribe. The BIA Hopi Agency, by federal law, must now take steps to take over these programs and stop all funding to the tribe. Other federal agencies may also pull their funding.” (http://indigenouspeoplesissues.com/index.php?option=com_content&view=article&id=18261:arizona-hopi-tribe-faces-danger-of-losing-federal-programs&catid=22&Itemid=55 ). Or in July of 2014 it was reported that “The White Mountain Apache Housing Authority misspent millions of federal dollars on entertainment, gift certificates and other improper items, and is so badly managed it should be considered for receivership, according to a U.S. Department of Housing and Urban Development audit released this week. A HUD Office of Inspector General report issued Tuesday also says the agency’s Southwest Office of Native American Programs should order the tribal housing agency to reimburse $2.3 million and acknowledge the unsupported spending of an additional $8.2 million.”(http://www.azcentral.com/story/news/arizona/2014/07/12/audit-millions-misspent-apache-housing-agency/12563303/ ).

When incredible amounts of money are involved, whether as a federal grant or gaming revenue, the possibility of graft and corruption increase dramatically for any group not just tribes. True, the state audits the gaming tribes but 99% of the general public is not aware of that fact much less knows the results of these audits. Again, I ask how the Tohono O’odham that allegedly earns $68 million a year spends it. Chairman Norris, in his Sept. 17, 2014 testimony before the Senate Committee on Indian Affairs, testified that many in his Nation live in substandard housing without water or electricity. Why?

© Joyce Clark, 2014

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

September 17, 2014 the Senate Committee on Indian Affairs held a hearing on Senate Bill 2670 introduced by Senators McCain and Flake. I have offered the direct testimonies of the  panelists, Assistant Secretary Kevin Washburn; Governor of the Gila River Indian Community Gregory Mendoza; Glendale Mayor Jerry Weiers; Glendale Councilmember Gary Sherwood and Tohono O’odham Nation Chairman Ned Norris, Jr. Each of the panelists was asked questions by Senators McCain and Tester.

I have never heard so many non-responsive answers in my life. It’s as if the questioner and the person answering were on parallel universes. Isn’t that the mark of a true politician? If so, they all passed the test. The only person to answer a question directly was the Attorney for the Gila River Indian Community, Allison Benney (my apology if I have slaughtered her name).

Sherwood, in his answers to Senators McCain and Tester, pumps out a great deal of misinformation. His reference to one 30 minute conversation between Glendale staff and the TO…wrong. His estimate of jobs created…wrong. There was one very telling revelation however. The city’s position on the referendum petitions submitted in opposition to the TO/Glendale Settlement Agreement et. al., relies exclusively on the argument that council votes were administrative not legislative. Gary Sherwood, went off script (which he does quite frequently). At the 43 minute, 46 second mark of the hearing he refers to the council votes as legislation (in a convoluted way). In his mind, he recognized that those council votes were legislative… Oh Oh. I hope the attorneys take note.

I also stand corrected on the amount of annual revenue the Tohono O’odham (TO) earn from their 3 casinos. I had used $38 million. Well, you can nearly double that. The figure that Senator McCain used was $68.2 million. No matter the number…no matter whether that is net revenue or gross revenue that is still a lot of money. Again, what have the TO been spending all of that revenue on? Too bad no one is allowed to audit their books…they are a sovereign nation, you know.

Chairman Norris downright refused to verify or disqualify the annual revenue figure Senator McCain used. He kinda, sorta answered Chairman Tester’s question. The only relevant fact he could come up with was the $5 million dollar scholarship fund before he began ranting about the use of the Border Patrol agents’ use of TO roads.

Miss Binney, on the other hand, offered some startling testimony when she said they had hand written notes in their possession describing discussion of a possible closure of the 3 TO casinos in Southern Arizona and a move to rebuild and reopen them in the Phoenix area.

The last portion of testimony from the hearing is below:

Chairman Tester: “Thank you, Chairman Norris, for your testimony. Thank you all for your testimonies. Senator McCain.”

Senator McCain: “Thank you, Chairman. Ah, Chairman Norris, would you like to, for the record, supply the, ah, the amount of money, the revenue that your casinos have gained for the tribe on an annual basis?”

Chairman Norris: “I’ll be happy to give that some consideration but I will not do that without the express umm, umm, authorization of my legislative council.”

Senator McCain: “So, what ah, tell us how impoverished you are. I will provide for the record, Mr. Chairman, hearings that Senator Inouye and I had, including that with Attorneys General, especially in states that came and testified before our committee, where their great concerns were what would happen, is happening exactly now. That was one of the reasons why we had great difficulty getting the support of Governors and Attorneys General because they said, ‘if we don’t look out we’re going to have Indian gaming operations in the middle of our towns and cities.’ So, I would be glad to provide the record of hearings and the conclusions and statements that Senator Inouye and I made at the time of the passage of the Indian Gaming Regulatory Act, um, which clearly was designed to prevent a non-contiguous, middle-of-a-metropolitan area, Indian gaming operation for which the people have, ah, maybe their elected representatives have, maybe some like Mr. Sherwood who changed their mind over time. Umm, but they have not been able to make their will known as far as a very significant impact in not only Glendale but in the entire West Side. So, Mr. Sherwood, out of curiosity I think you used to be very much opposed. You even wrote articles in opposition to this. What changed your mind?

Councilmember Sherwood: “Ah, thank you for the question, ah, Chair and Senator McCain. Umm, when I campaigned I had campaigned against this proposed based on information I had and I had read deal…quite a bit of information on it. Umm, the thing that was distressing to me though, that in the very beginning there was a half hour conversation when the city first found out about it in April of 2009 and that was the only conversation the previous administration had and I was, was always quite upset by the fact that we didn’t have the dialogue. We weren’t very doin’ very good in the courts. So when umm, we ah, after the new council got seated in January ’13 and we, ah, took care of the hockey situation we turned our attention to the casino issue which again, had been laboring for five years and started havin’ that informal dialogue and learned quite a bit more about the project from the fact that it could benefit us umm, in many more ways than what the gaming compact even called out for. So, those informal discussions led into, ah, formal fact finding in the November time frame which led to negotiations in March. Umm, and, and having gone through that and having voted on this a couple months ago to approve the project and to ah, equivocally set ourselves against this legislation (43:46) umm, and the benefits, certainly after talkin’ to other developers, I mean we’ve had several developers come to us uh, since this casino project was announced wanting to develop on Glendale, on land in Glendale city proper.”

Senator McCain: Well, thank you. Chairman Norris, I have before me information that, ah, I’m not sure where it came from but it alleges that your annual revenue from gaming is  $68,200,000. Is that in the ballpark?”

Chairman Norris: “Chairman, Senator McCain, as I stated before without the authorization of my legislative council I’m not at this point, ah, able to disclose, to agree or disagree with your information.”

Senator McCain: “So you refuse to tell this committee who is expected to support your effort to establish a casino and you won’t even tell me whether this is a correct or incorrect number, $68,200,000?

Chairman Norris: “Mr. Chairman, Senator McCain, the courts have already made that determination on whether or not the Nation is within its legal right to be able to establish…and our current compact also authorizes it as well.”

Senator McCain: “I asked…that’s not in response to the question I asked Mr. Chairman. You refuse to give, to authenticate or disagree with roughly $68,200,000 in revenue for a year, ah, for your Nation?”

Chairman Norris: “Mr. Chairman…”

Senator McCain: “Is that correct? You do not wish to give that information? Either agree or disagree. “

Chairman Norris: “Mr. Chairman, Senator McCain, I am not agreeing or disagreeing. What I’m saying…”

Senator McCain: “Actually what you’ve done is refuse to answer questions before this committee. I’m not sure why you came. Ah, Mr. Mendoza, is there a concern, Chairman Mendoza, President Mendoza, is there a concern that there may be other loopholes such as this exploited and using this precedent to other casinos that would be established in the Valley?”

Governor Mendoza: “Mr. Chairman, Senator McCain, uh, thank you for that question. You know, umm, I’ve been hearing about this particular bill and it would create that particular precedence and in my mind, no. The act has been very consistent with Congressional precedents and umm, if you’ll allow me, I will allow my attorney here to offer some specifics. Miss Benney.”

Miss Benney: “Yes, thank you Senator McCain. So the concern that you have is a legitimate concern in that Tohono O’odham if they’re able to build this Glendale casino can actually shut down their other three casinos in the Tucson area and move them up to the Phoenix area basically using the same legal theory. That’s why the East Valley mayors are so concerned because they think the same thing that is happening in Glendale can happen in the East Valley and I think it was Congressman Gossar last time brought it back that showed 200 county islands in other parts of the Phoenix Valley where the same thing can happen. But more importantly, in the negotiations and during litigation, umm, hand written notes have come out from Tohono O’odham’s representatives basically indicating that they would do such a thing. They’re aware that they have that legal ability if they’re successful in Glendale to shut down the other three casinos and move them up to the Phoenix area. That’s one of the biggest concerns of the East Valley mayors.”

Senator McCain: “Well, Mayor Weiers, you find yourself in the minority here. Maybe you can tell us how that happened going from the majority to the minority on this issue. I’m sure it didn’t have anything to do with a $26 million dollar commitment over several years.”

Mayor Weiers: “Chairman, Senator McCain, I don’t actually know how I find myself in that position. I, you know, I’ve been ah, on one line of one thought, ah, ever since this issue came up when I was a state legislator. I know in our campaign, ah, that people have ran their campaigns, ah, stating certain views and certain beliefs and I guess I never really expected people to change their opinion but, ah, I don’t know exactly how we find ourselves here. You know the same facts, the same truths that were there two years ago are the same facts and truths today. Nothing’s changed. People’s opinions have changed and how they’ve changed their minds because of those truths and facts I don’t know. Sir, I really don’t know if that’s the question that maybe I should be asked but I’m not exactly sure how we came to that position.”

Senator McCain: “Thank you. Mr. Chairman, it bears repeating to all the witnesses in response to some of the statements. The Constitution calls for the Congress to have a special responsibility as far as Native Americans are concerned. It’s written in the Constitution. So although some may view this hearing and our action as being unwarranted interference it is a specific Constitutional responsibility of the Congress of the United States. Umm, so Mr. Chairman, this is a very busy week. We’ll be leaving tomorrow for quite awhile and you were kind enough to hold this hearing for me and I take that as a very special favor that you granted me and I wanted to express openly and repeatedly my appreciation for you doing this. I thank you, Mr. Chairman.”

Chairman Tester: “Well, thank you for those kind words, Senator McCain. We always appreciate your commitment to the Senate and to this committee and we thank you for your leadership on a number of issues including this one. I, um, have a few questions here. I’ll start with Governor Mendoza. Ah, Governor, when it comes to tribal gaming in Arizona being successful, could you talk about the kinda success Gila River has enjoyed, ah, because of gaming.

Governor Mendoza: “Thank you for that question, ah, Senator. You know Gila River does enjoy the benefits from our casinos. Ah, we’ve been able to fully fund for our students to go to college, any college in the world. We’ve been able to provide funding for our public safety, police, fire, umm, our emergency management program. We’ve been able to provide programs for our elders, our youth, housing, you name it. We’ve been able to do a lot for our community and again, we’re very thankful and blessed.”

Chairman Tester: “Well, I commend you on your commitment to your people and education, ah, is one of my priorities. You reference, when it comes to the expansion of gaming, you reference a commitment made by the Tribes in 2002 that there be no additional gaming facilities in the Phoenix area. In the current gaming compacts there’s specific limitation on the Tohono O’odhams from building a fourth facility in the Tucson area. If the parties thought enough to put a Tucson limitation expressly in the compact why wouldn’t the state include such a limitation around Phoenix? Any insight into that?”

Governor Mendoza: “Thank you Senator Tester. You know, Senator Tester, I’m not an attorney. I’ll allow my attorney to answer that.”

Chairman Tester: “Well Allison, I think it’s a good point that you’re not an attorney. I’m not either. So, Allison, since you are, have at it.”

Miss Binney: “So, I think there’s some, there’s a little bit of confusion. So in Arizona it’s different than in most other states. Most other states the governors can go and just negotiate a compact directly with the Tribes and enter into it. In Arizona that’s not the case. The governor had to get authority from the voters to enter into compacts and so the voters voted on a model compact that I actually have the Proposition that the voters had here. So Tohono O’odham does say here, like nowhere in the model compact or the compact does it say Tohono O’odham can’t go into Phoenix. I mean, number one there was no need to say that in the compact because no one ever thought that would happen; but two, in all the negotiations which are a key part of what this bill is trying to address Tohono O’odham specifically said their fourth casino would be in the Tucson area or in a rural area. They never once indicated that they would somehow go a hundred miles up to the Phoenix area. But I will say the Proposition that has the model compact that the voters actually saw when they voted to give the governor authority, there’s a chart in there and in the chart it shows the number of casinos that the Tribes in Arizona were authorized to build under the old compact and the number of casinos that the Tribes would be authorized to build under the new compact, the model compact that the voters were voting on. In the Phoenix area Tribes, all are shown as giving up a right to an additional facility that they had under the old compact. Tohono O’odham, because they’re not a Phoenix area Tribe, kept the same number of casinos, the right to build the same number of casinos. So Gila River is shown as giving up an additional casino, right to an additional casino. Salt River gave up the right to an additional casino. Ak Chin gave up the right to an additional casino. Fort McDowell gave up a right to an additional casino and so did Pasqua Yaqui. Tohono O’odham didn’t have to give up the right to an additional casino ‘cause they weren’t in the Phoenix area. So in our view, it is in the compact. Why else would these charts be in here showing that the Phoenix Tribes gave up rights to casinos and Tohono O’odham didn’t if it wasn’t intended that the whole goal of the compact was to limit the number of facilities in the Phoenix area?”

Chairman Tester: “Okay. Umm, if you don’t mind Allison, I wanna ask you another question. Umm, since you are an attorney and since you know the law and I say this in the most friendly way. When I talk to Chairman Norris and I think was referenced in one of your testimonies. Maybe it might have been Washburn’s testimony about breaking ground on a facility already. So ground has been broken. If we are to pass this bill would there be a takings issue?”

Miss Binney: “No and I thought it was interesting that Assistant Secretary Washburn didn’t address this issue at all. Because he was aware of it and Senator McCain asked him about it last time. And the fundamental reason why is because this bill just provides a temporary restriction on gaming activities on certain lands. That’s what IGRA does. The Indian Regulatory Gaming Act was passed to restrict gaming on Tribal lands. So, if this bill is a taking so is the Indian Regulatory Gaming Act and that’s been around for 25 years and that’s been upheld again and again and again.”

Chairman Tester: “So, in one point you’re talking about policy that prevents gaming activities to happen with IGRA. This is an actual, physical construction. You don’t see that there’s any difference there? And I ask this because I don’t know.”

Miss Binney: “Yeah, no. We, actually, when it came up in the last hearing, Senator McCain asked it, we actually went and did a thorough analysis because I will say, last Congress there was some legitimate concerns raised by Tohono O’odham and we addressed them in this new bill. But we looked at it and the other reason it’s not a takings is ‘cause Congress does these types of bills fairly frequently actually restricting gaming on lands and they can build a resort; they can build a new sports stadium. They can do economic activity…”

Chairman Tester: “Thank you. That’s fine. Thank you, Allison. Uh, Chairman Norris, ah, you’ve got a similar question that I just asked Governor Mendoza. You’ve got gaming facilities, umm, can you discuss what benefits you’ve got from these gaming facilities and while you’re in that vein could you also discuss unmet needs that are still out there by your Tribe?”

Chairman Norris: “Mr. Chairman, ah, I, too, am not an attorney. I am the elected chairman of my Nation and have an obligation to speak for my people.”

Chairman Tester: “Yes.”

Chairman Norris: “So I will do so. There are still third world conditions that exist in my tribal community and many tribal communities nationwide. The Nation has had an enormous amount of benefit in comparison to where we were at prior to gaming. We have been able to construct different facilities that were only dreams facilities, that we were needing within our communities to be able to provide the necessary services. We have been able to create a government of employees that are, that are able to provide the necessary services that many of our Nation’s members require. We have been able to provide scholarships to our, to our members. Prior to gaming we had probably less than 300 members that acquired masters, associates and doctors degrees and some law degrees. Today we have graduated more Tohono O’odham with those types of degrees this many years later and my council continues to allocate some $5 million dollars towards scholarship programs to our Nation. So we have had an enormous amount of benefit from the results of gaming but we still have those third world conditions that continue to exist. As far as unmet needs, Mr. Chairman, we know today that we have 500 families that are homeless on the Nation. We know today that there are many people within our communities that do need housing. We know today that much of the roads that are within our Tribal communities are being used and misused by the U.S. Border Patrol because of the influx of Border agents on our Nation, have really done wear and tear on our roads, and primarily BIA are on our roads. And so there’s a need for us to work hand in hand with the Department of Interior and Bureau of Indian Affairs to try and address the roads conditions that are so needing to be addressed, to be able to deliver the services, to be able to enter and to exit our Tribal communities nationwide. We have a reservation that is 2.1 million acres square. We have some 2.9 million acres in size. We have some 80 villages within that geographical area. The reservation is vast. The villages are remote. We’ve got homes that do not have running water. We’ve got homes that do not have electricity. So there’s a serious amount of unmet needs on my Tribal community.”

Chairman Tester: “Ah, thank you, Chairman. Mayor Weiers, umm, you’re a former state legislator. You’ve worked with city government as mayor and I think you understand the actual text of laws and contracts and the weight that carries with the weight that carries with those contracts and that text. In this case there was a specific limitation, correct me if I’m wrong, on TO developments around Tucson but not Phoenix. Umm, with that said, if this limitation on gaming around the Phoenix area was important, why was it not included in the contract or Prop 202?

Mayor Weiers: “Chairman Tester, all I can tell you is, is, is the knowledge that I have of talking to one of the authors, Senator McCain, and he had told me, point blank, that, uh, there was never, ever any intention in their mind that this would ever be an issue. And I don’t believe personally, quite honestly, that the average person, a non attorney person, would ever thought something like this. You know, uh, I guess that’s why we have attorneys to sit around and think of ways to get around stuff. But ah, I don’t believe anybody ever believed that this was going to be an issue and, and it is an issue. And, and quite honestly all this bill is trying to is just, let’s do what everybody said and thought we were gonna do and then when that compact’s over, renegotiate. Chances are we’ll probably end up with more casinos in the Valley. Most certainly.”

Chairman Tester: “Thanks, Mayor. Ah, Councilman Sherwood, ah, your testimony discusses the impacts that the agreement with TO would have on the city of Glendale. Ah, positive impacts. Umm, could you talk about those benefits of this development and while you’re on that, if there’s downside that comes to mind, could you talk about that too?”

Councilmember Sherwood: “Ah, thank you, Chair. Well, right off the bat, I can’t see of any downside in the negotiations, ah, in the settlement agreement that we concluded with the Tohono O’odhams in August. Ah, they’re covering existing infrastructure, new infrastructure, umm, water, umm, it’s not costin’ the city a penny. I mean, how often do you get a development where you don’t have to give in to anything? Umm, in terms of the development, we were hurt pretty hard with the down turn of our sports and entertainment. There was 8 funded projects that were to occur, south of the University of Phoenix Stadium where our Arizona Cardinals play. Umm, one of ‘em, umm, was Mr. Bidwill’s, ah, CB 101 Project before he started building. Those either went into litigation afterwards or the developers pulled back. Those are slowly comin’ back but not nearly the pace that was expected. So, our sports and entertainment area which has two professional sports teams, large entertainment area along with some retail, umm, was hurt vastly by that. And so when we have the mega events, like when we have the Super Bowl next February, umm, we don’t have anything to keep people in the area. So they go off into Scottsdale and Phoenix. Umm, a project like this resort will, umm, entice other development. In fact within, within weeks of us signing that agreement we had two major developers; one that had done a large scale project in Phoenix come through and they were only interested in us now because of this project and they were lookin’ at land within the city of Glendale to develop that would, ah, be real close to the sports and entertainment area. So, yes, we’re lookin’ at a lot of, ah, development activity that will directly benefit our city coffers and then again, on the deal that was referenced earlier about the $26 million or so, umm, that we get directly into the General Fund from the Tohono O’odhams. In fact we’ve already received a check for $500,000, ten days after the agreement was signed. Umm, that helps the city that has struggled as has been widely reported, umm, because of our past deals with some of the sporting facilities we have. It’s sorely helped our community.”

Chairman Tester: “Okay. Talk about jobs. How many jobs?”

Councilmember Sherwood: “The jobs, in terms of the operations, you’re gonna see 3,000 jobs, 1,500 of ‘em probably indirect. Ah, 15 direct in terms of construction jobs. It’s right now scheduled for three phases, the casino and then the attached resort and then probably year later, another resort based on how things are movin’ along. So you’re talkin’ thousands of construction jobs, ah, over this project that’s gonna take place over the next four years. But in terms of actual jobs, umm, in the West Valley, I’d say about 3,000.”

Chairman Tester: “Well, once again, I want to thank all of you for, ah, makin’ the trek to Washington, D.C. I know it’s not easy and some of you made it twice and I thank you for that. And I mean that. This is obviously an emotional issue it’s ah, it’s ah, an important issue. Umm, note that the hearing will remain open for two weeks and I encourage all stakeholders to submit written statements for the record. I’m gonna’ say that again. Ah, this hearing record will remain open for two weeks and, ah, if you’re a stakeholder on this issue I would encourage you to write written statements, ah, for the record. With that thank you all and this hearing is closed.”

© Joyce Clark, 2014

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

On September 17, 2014 the Senate Committee on Indian Affairs took testimony on Senate Bill 2670 introduced by Senators McCain and Flake. In previous blogs, Part I and Part II, I offered verbatim transcripts of the testimonies of Department of the Interior Assistant Secretary for Indian Affairs Kevin Washburn, Gila River Governor Gregory Mendoza and Glendale Mayor Jerry Weiers. Today the verbatim testimony is that of Glendale Councilmember Gary Sherwood and Tohono O’odham Chairman Ned Norris, Jr.

Actually Councilmember Sammy Chavira was slated to testify. Why didn’t that happen? Have you ever noticed that the Sherwood-Chavira pairing is eerily similar to Mutt and Jeff? I’ll leave you to figure out who is Mutt and who is Jeff. At the last minute, at the hearing table in fact, Sammy was bumped and Sherwood took over as self proclaimed representative of Glendale’s majority council position on the issue.

Many have asked who pays for these trips to Washington, D.C. The answer is easy. You do – the taxpayers of Glendale. Each councilmember has 2 budgets: one for “communication” and one for “infrastructure.” These budgets total an annual $30,000. It is from these budgets that a councilmember’s trips are paid.

Sherwood’s testimony was a combination of rhetoric and fantasy. He delivered facts that can only be characterized as misinformation. He said, “…88% of the wage earners who live in our community must travel elsewhere to work.” According to http://www.citydata.com/city/Glendale-Arizona.html#ixzz3Ej8KFaU3 workers who live and work in Glendale number 25,039 (23.6%). He went on to say, “I was stunned to learn that the prior Glendale administration had failed to make any effort to learn more about this proposal before it rushed to oppose it.” Wrong again. City administrative personnel were directed by council in 2009 to meet with the Tohono O’odham (TO). That meeting as well as subsequent meetings did not go well. The TO were arrogant telling city staffers that the casino was coming and there was nothing the city could do about it. The only information they were willing to share were the same conceptuals of the project they had released publicly. So much for the TO’s willingness to share specific information with the city. Sherwood then went on to say,“ We have talked to many business leaders in this area including leaders of two professional sports teams and major hospitality developments and they all support this West Valley project.” Who is this ‘we’? Despite his rhetoric the businesses, especially the sports teams, are not supportive of the casino. Why should they be? The casino will siphon off discretionary dollars from those who usually attend their games. Councilmember Sherwood, show us the money, or rather some letters from these businesses attesting to their support of direct, unfair competition. We’d all like to see those.

Tohono O’odham Chairman Ned Norris used a combination of sheer arrogance and threat in his testimony. He admonished all entities but most specifically sister Tribes in Arizona by saying, “…we ask these tribes to carefully consider the damage their efforts are causing…” He, once again, made reference to the Nation’s poverty status, “…our population is one of the poorest in the United States with average, individual incomes just over $8,000.” What are the Nation’s leaders doing with the $36 million earned by its existent 3 casinos annually? He referred to their back room deals as misinformation and said they had been litigated. How? The TO has consistently refused to waive “sovereign immunity” in court proceedings.  He also verbally stamped his feet and said if they didn’t get their casino it would be a “profound injustice.” What about the “profound injustice” the TO have caused to Glendale, its sister Tribes and the state of Arizona?

The last blog in this series will wrap up with questions posed to the panel by Chairman Tester and Senator McCain. It is certainly interesting. Below is the verbatim testimony of Councilmember Sherwood and Chairman Norris:

Chairman Tester: “Councilman Sherwood.”

Councilmember Sherwood: “Good afternoon Chairman Tester and members of Senate Indian Affairs Committee. My name is Gary Sherwood and I am the councilmember of the city of Glendale, Arizona. On behalf of Glendale I am here today with my fellow councilmember and colleague, Sammy Chavira. We are pleased to have given the opportunity to present Glendale’s official position on S. 2670, the so-called Keep the Promise Act.

“Let me be absolutely clear. The city of Glendale strongly opposes enactment of this legislation. The city, twice, has adopted official resolutions clearly expressing this opposition and these resolutions have been provided to the committee. In this opposition to 2670 and House Bill 1410 we have been joined our sister cities, Peoria, Tolleson and Surprise all of which have long opposed this legislation. It is important to understand that collectively our cities represent the vast majority of the population of Phoenix’s West Valley.

“Our communities desperately need this economic development and employment opportunities which the Nation’s casino and resort project bring to our area. In Glendale alone, nearly 80,000 of the nearly 90,000 workers who live in Glendale must leave the city for their employment. In other words, 88% of the wage earners who live in our community must travel elsewhere to work. Obviously, this job situation is a significant problem in our community. In the next twenty years 65% of the growth of the Phoenix Metropolitan area will occur in the West Valley.

“Existing casinos in the Phoenix area are over whelmingly concentrated in the East Valley and the West Valley Resort will be over twenty miles away from the nearest of these existing casinos. There is no doubt that these successful facilities will continue to prosper.

“When I was first elected to council in 2012, I knew we had to do our homework on a project like this. I was stunned to learn that the prior Glendale administration had failed to make any effort to learn more about this proposal before it rushed to oppose it. It was time to make decisions based on the facts. At the direction of my colleagues, Councilman Chavira, whose district borders the Nation’s reservation, Councilman Ian Hugh, Councilwoman Norma Alvarez and myself, city staff spent months carefully examining every aspect of the Nation’s proposed development.

“A minority of Glendale City Council including Mayor Weiers continue to maintain that there’s no opposition to this project. But as President Reagan once said, ‘facts are stubborn things.’ Facts show that we have been misled, not by the Nation, but by the interests seeking to protect their overwhelming casino market share. Based on this misinformation the city clearly on rebuffed the Nation’s efforts to forge a mutually beneficial relationship.

“I am glad that now the city has opened a new chapter with the Nation and has entered into an agreement that will bring thousands of jobs and millions of dollars of direct benefits to the city. Today the City of Glendale and the Tohono O’odham Nation are bound by ties of friendship. I recently had the honor of participating in a historic ground breaking ceremony with Chairman Norris, members of the legislative council, local and business leaders and hundreds of supporters. Construction of the project is now underway. This facility will be located next to our vibrant sports and entertainment district, an area that is represented by Councilman Chavira. We have talked to many business leaders in this area including leaders of two professional sports teams and major hospitality developments and they all support this West Valley project.

“I am sorry to report to the committee that despite these benefits and the unequivocal support of Glendale residents who in poll after poll expressed overwhelming support for this West Valley Resort the East Valley casino interests are again trying to interfere. Over the last several days these casino interests have been using paid signature gatherers to mislead Glendale residents into signing a petition to challenge the city’s agreement with the Nation. As been widely reported to the press these paid signature gatherers have been caught on tape lying to Glendale voters suggesting that the petitions are in favor of the West Valley Resort. Thankfully, even Mayor Weiers has acknowledged that this dishonest publicity stunt will not in any way affect the city’s agreement. I share the sentiments of a long time Glendale business owner who told me this bill is more properly titled ‘keeping the profits after 2014.’

“For the broadest reasons the city respectfully urges that the federal government should not interfere in our efforts to improve the lives of our citizens. Do not destroy this valuable partnership between the Tohono O’odham Nation and our community.

“Umm, Senator McCain, you did bring up a point, umm, about what this would do to other Phoenix area casinos. Again, a good share of the growth in the Valley of the Sun is gonna take place in the West Valley over the next twenty years and currently there are, of the seven casinos that are considered in the Phoenix Metro area six of ‘em are in the far East Valley with the one being a little over twenty miles away. So I really don’t think that’s gonna be a concern.

“Thank you for this opportunity to testify in this matter. I, and Councilman Chavira, will be pleased to answer any questions that you may have.”

Chairman Tester: “Thank you Councilman Sherwood. Ah, Chairman Norris.”

Chairman Norris: “Chairman Tester, Senator McCain, and honorable members of the committee, Good Afternoon. This is now the fourth time that I’ve had, that I’ve come before Congress to testify about this legislation.  If enacted it would commit a profound injustice against the Tohono O’odham Nation and set a terrible precedent for Indian country.

“Although I do very much appreciate the opportunity to provide our views on this bill the Nation is profoundly disappointed that Congress continues to entertain the cynically named Keep the Promise Act. This legislation shows no respect for the clear terms of the 1986 settlement agreement between the Nation and the United States; no respect for the contractual agreement between the Nation and the state of Arizona in our 2003 gaming compact; no respect for the federal court and the administrative agencies which in sixteen decisions have reviewed the settlement, the compact, the law and found in favor of the Nation; and no respect for the United States’ trust responsibility to the Tohono O’odham Nation.  

“At the heart of this matter, as I have testified previously, is the fact that the Corps of Engineers destroyed nearly 10,000 acres of the Nation’s Gila Bend Reservation in Maricopa County. In 1986 Congress enacted the Gila Bend Indian Reservation Lands Replacement Act to compensate the Nation for the loss of its land and valuable water rights. An important part of this settlement is the right to acquire replacement land that has the same legal status as the destroyed land. Most of our reservation land is located in remote, isolated areas and our population is one of the poorest in the United States with average, individual incomes just over $8,000. As Congress clearly provided in 1986 the Nation will develop its replacement reservation land to generate revenue for public services and employment for our people.

“ In deciding to use our land for gaming we relied on the plain language of the Gila Bend Act which promises that we can use our replacement land as a federal reservation for all purposes; the Indian Regulatory Gaming Act which explicitly allows settlement lands to be used for gaming and our tribal state gaming which the state and all Arizona gaming tribes negotiated and signed and which explicitly allows gaming on new lands consistent with the requirements of IGRA.

“The Nation has had it with the constant misinformation and rhetoric about the backroom deals and secret plans. These arguments have been litigated and rejected by the courts. Here are the facts. Not only is the Gila Bend Act a public law that was the subject of extensive hearings in the 1980s. This land acquisition authority was explicitly preserved in the 2004 Arizona Water Settlements Act by which Gila River Indian Community secured its enormously valuable water rights settlement. Further not only does the tribal state compact clearly allow the Nation to game on its settlement land in Maricopa County it also explicitly prohibits outside agreements which would change the compact terms. Our sister tribes have long benefitted from the advice of numerous experienced attorneys. The idea that these tribes had no understanding of the Nation’s rights under the plain language of the Gila Bend Act, IGRA and the tribal state compact is, as the United States courts declared, entirely unreasonable.

“The Gila River Indian Community, the Salt River Indian Community and the Tohono O’odham Nation are relatives and friends and our shared history is vitally important to the Nation but these tribes continued assaults has taken a toll and we ask these tribes to carefully consider the damage their efforts are causing both in Arizona and in Indian country, generally.

“Honorable members of the committee, the Nation respectfully urges that you put an end to this misguided, cynical legislation. Embrace the promises made by the United States and the Indian Water Rights Settlement. It unilaterally amends the negotiated terms of federally approved tribal state gaming compact. Most of all it is a return to a dishonorable era of federal Indian policy and will leave a black mark on this committee and this Congress’ legacy. Thank you. I would be pleased to answer any questions the committee may have.”

Chairman Tester: “Thank you, Chairman Norris, for your testimony. Thank you all for your testimonies. Senator McCain.”

© Joyce Clark, 2014

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

On September 17, 2014 the Senate Committee on Indian Affairs took testimony on S. 2670, a bill introduced by Senators McCain and Flake. It is designed to prevent the Tohono O’odham from building a casino in Glendale until 2027 when the current state-Indian gaming compact expires.

Because there is a lot of testimony I have broken it into segments. This portion is the testimony of Governor Gregory Mendoza, Chairman of the Gila River Indian Community and Mayor of Glendale Jerry Weiers. It is evident from Mendoza’s testimony that the 16 other tribes that are part of the gaming compact feel betrayed and are very bitter about the actions of the Tohono O’odham (TO). The reason that Governor Mendoza of the Gila River Indian Community and President Diane Enos of the Salt River-Pima-Maricopa Indian Community have taken the lead in opposing the TO’s project is that these two tribes have the resources to do so. They have the support of the other Arizona tribes.

Mayor Jerry Weiers highlighted Proposition 202, the Arizona Gaming Compact, and distributed to members of the committee copies of the original publicity pamphlet distributed to voters in 2002. What is ironical is that the pamphlet used, that promised no new casinos in the Phoenix Metropolitan area was paid for by the Tohono O’odham.

Both men spoke of possible consequences should the TO prevail. Governor Mendoza spoke of the harm that will befall rural tribes and Mayor Weiers spoke of action that could be taken by the Arizona legislature to open up the entire state to non-Indian gaming.

The actions of the Tohono O’odham stink on so many levels:

  • They don’t care that they have destroyed the deep-seated, long-term trust they enjoyed with their sister Arizona tribes.
  • They don’t care that they broke their word and their commitment to keep new casinos out of the Phoenix Metropolitan area.
  • They don’t care if they destroy, single-handedly, the voter approved state gaming compact.
  • They don’t care if their casino is across the street from a high school and becomes a magnet for curious teenagers.
  • They don’t care if they destroy the fabric of neighborhoods with greater 24/7 traffic and spill over crime.
  • They don’t care if the state legislature opens the state up to non-Indian gaming.
  • They don’t care if rural Indian tribes suffer.

Their actions are nothing short of Machiavellian, “the ends justify the means.” Their only concern appears to be enriching themselves at the expense of all around them. They have 3 casinos in the Tucson area estimated to earn $36 million annually. I guess that’s just not enough for them. If they succeed in building the casino the unintended consequences will be felt for many years to come. But that’s OK – as long as they get what they want.

Below is the verbatim transcript of the testimonies of Governor Mendoza and Mayor Weiers:

Governor Mendoza: “Good afternoon Chairman Tester, members of the committee. Thank you for holding this hearing and inviting me to speak in support of the Keep the Promise Act. I want to start by saying that it pains me to advocate against a sister tribe. But this is not a dispute with the Tohono O’odham people, only with the leadership of the Tohono O’odham Nation whose actions jeopardize every tribe in Arizona. Contrary to what Tohono O’odham claims, this is not a fight about market share. It’s about preventing fraud upon tribes, local governments and voters. Tohono O’odham likes to talk about the promises made between their tribe and the federal government in 1986 but this bill is about protecting the promise made to my community and to other tribal governments.

“Our tribes relied upon the actions of Tohono O’odham when we gave up our rights in 2002. While we agreed the Tohono O’odham should get replacement lands under the 1986 law we also strongly believed that Tohono O’odham must abide by the promise and commitments they made to us. In 2002 Arizona tribes had to get approval for our compact from the voters. In order to get this approval we promised the voters that the number of casinos in the Phoenix metro area would not increase until 2027.

“At the same time that Tohono O’odham helped us to win voter approval they also were secretly plotting to build a casino in Phoenix. That casino will be located right across the street from a high school and it’s near homes and churches. This is exactly what we promised the voters would not happen. Tribes like mine gave up rights to build additional casinos. We also agreed to limit on the number of gaming machines allocated to us. We did this in order to get voter approval and to preserve the tribal monopoly on gaming in Arizona and assure that rural tribes benefit from gaming.

“Tohono O’odham doesn’t deny making promises nor do they deny knowing that their sister tribes gave up rights in order to limit the number of casinos in Phoenix. They don’t deny that the compact negotiations would have been vastly different if everyone knew of their plans. Instead they say they’re winning in the courts. There remains a dispute because they refuse to waive their sovereign immunity for claims of fraud. We do not want to attack another tribe’s immunity. That is why the bill merely provides for a temporary restriction on additional casinos in the Phoenix area until the end of the existing compacts. At that point all parties can come together at the table and bargain in good faith. Hopefully my community will be able to regain the rights we gave away.

“The Gila River Indian Community will weather the storm but most tribes in Arizona are not as fortunate. Rural tribes will suffer the most from Tohono O’odham’s fraud. There are six rural tribes that utilize gaming compacts to lease gaming machines to urban tribes. Leasing these machines allows them to benefit from gaming even though their markets can’t support a casino. Each year these tribes receive more than $30 million dollars to provide basic services to their members and the structure of the gaming compacts create markets for a few rural tribes to operate small casinos.

“If gaming happens in Glendale the state legislature will likely eliminate that tribal monopoly. If this happens urban tribes will have no reason to lease gaming machines from rural tribes. Patrons will stop traveling to reservations for gaming and instead visit non-tribal casinos in cities. We have come to Congress because you’re the only entity that can provide swift action to preserve the promises made in 2002. Interior indicates it cannot resolve this matter because Congress through the 1986 law mandates that they take the land into trust for the Tohono O’odham.

“This bill does not set bad precedent. It is common for Congress to pass bills that limit tribal gaming. In this Congress alone, two bills have been enacted placing land into trust for a tribe but prohibiting gaming on those lands. The bill narrowly restricts gaming on the land until 2027 but does not eliminate the uses of the land and there are a number of non-gaming activities that Tohono O’odham could conduct. For all of these reasons I ask that you pass this bill. Thank you.”

Chairman Tester: “Thank you, Governor. Uh, Welcome Mayor Weiers and I would ask you to try to keep it to five minutes because the Senator has another meeting to get to and I want to get to him for questions.”

Mayor Weiers: “I’ll do the best that I can, Sir. Thank you very much. Good afternoon, Chairman Tester, Vice Chairman Brasher and members of the Committee. My name is Jerry Weiers. I am the Mayor of Glendale, a city of 232,000 and the 72nd largest city in the country.

“Before becoming mayor I served eight years in the Arizona legislature. I am here today to discuss my personal views on a casino proposed to be built in my city. I am required to state that my views today do not represent the majority of the body of the council and my views are not the official position of the council.

“Like Senator McCain I supported Arizona Proposition 202, the ballot initiative which gave tribes the exclusive right to conduct gaming. One key aspect of that campaign was the clear promise, repeatedly made to voters by tribes and state officials, that there would be no additional casinos in the Phoenix metro area. When Governor Hull concluded compact negotiations in 2002 with the seventeen tribes she publicly announced that under the compact that there would be, and I quote, ‘no additional casinos in the metropolitan Phoenix area.’ Now here’s a voter pamphlet from the 2002 initiative campaign. It was widely distributed by the seventeen tribes. The pamphlet told voters that under the compact and I quote, ‘There will be no facilities in Phoenix.’ If you look at page six, which I’ve got highlighted here, ah, major funding for this pamphlet was provided by the Tohono O’odham Nation, that I will respectfully refer to as the TO.

“Understandably the public was blind sided when the TO announced in January of 2009 that it was going to open a Las Vegas style casino on a 54 acre parcel within our city. At that time I was serving in the Arizona legislature and I met with TO Chairman Norris and I expressed my grave concerns with gambling within our city. The council immediately passed a resolution opposing the casino because it would harm our residents and our way of life.

“Recently the city council voted 4 to 3 repeal the 2009 resolution opposing that casino. But this was done only after the Interior Department had already decided to grant a casino reservation on that parcel. We had no real choice. We could continue to fight and hope for action from this body or give up. It’s frustrating to be a city of our size and have no voice on gambling pushed by a tribal government that’s more than a hundred miles away. The public has no right to object to gambling because of the narrow exception in the 1988 Indian Regulatory Gaming Act the TO is using, and gives Interior absolutely no authority to stop gambling even if it knows the adverse impact to nearby neighborhoods, churches and a public school across the street.

“Since the Interior has no authority to stop gambling it has no reason to ask the public for comments or investigate adverse impacts. This is the polar opposite to the two part exception in IGRA which is typically used for off reservation casinos. It requires that the Interior prepare for an environmental impact statement and investigate in great detail adverse impacts that a casino may cause. What’s more, for gambling to be allowed, the Secretary must determine on the record, and I quote, ‘would not be detrimental to the surrounding community.’ And most importantly, the state’s governor has the right to veto any casino project regardless of the Secretary’s decision.

“But in our case, the public has no say. The state legislature has no say. Our governor has no say and the Interior has no authority to stop it. For us this means the largest tribal casino in the history of the state may operate on a 54 acre island in the middle of the Phoenix metro area without anyone investigating and addressing the adverse environmental and social impacts it will cause and without any federal, state or local official deciding that it can safely operate in the public’s interest.

“What’s more, my city may not be the last. Our sister cities realize that unless Congress acts, they may be next. Under the 1986 Gila Bend Act, TO claims that it can create new reservation land on more than 6,000 acres. They also claim the right to operate a total of four new casinos in the Phoenix metro area. If Congress does not act the entire Phoenix metropolitan area must be prepared for more off reservation casinos. That is why many mayors and city councilmembers have signed a letter asking the Congress to enact the Keep the Promise Act.

“As a former state legislator I know that if gambling happens in Glendale there will be a strong effort in the state legislature to authorize non-Indian gaming in all of Arizona and that will have a devastating effect on all the tribes. I urge this committee to move the Keep the Promise Act. The bill is about preserving the promises made by tribes to voters protecting Phoenix metro cities from having unwanted gambling within their borders. Thank you, Mr. Tester. I’ll be happy to answer any questions.”

Chairman Tester: “Thank you Mayor Weiers.

© Joyce Clark, 2014

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.