Sunday, October 03, 2004

Shawnee Announce $250 Million Casino

With long-term goals for wide investment and economic development in Ohio, the Eastern Shawnee Tribe of Oklahoma has announced plans to purchase land and build a casino and resort adjacent to Interstate 75 between the metropolitan areas of Dayton and Cincinnati. The 150-acre site is expected to take two years to develop while the tribe coordinates with neighboring landowners regarding new hotel, retail, and entertainment businesses. Total investment by the tribe is calculated to be $250 million.

Interestingly, the Shawnee Tribe's property will not be the typical 'Indian casino' enterprise since it will not be on land governed by the tribe. The land is subject to the laws of Ohio and, consequently, the tribe may only conduct Class II gambling operations. Class II gambling only includes bingo gambling machines, pull-tabs, and card games against other players. It excludes slot machines, blackjack, craps, roulette, and other traditional casino games. Notably, Class II gambling receipts also do not provide a revenue stream for the State of Ohio.

Gov. Bob Taft has stated he is opposed to any expansion of gambling in Ohio, however, there may be some pressure for him to change his mind. With Congress passing the Indian Gaming Regulatory Act in 1988, the governor has the power to approve Class III gambling by the Shawnee Tribe. Class III provisions allow for slots, blackjack, and other moneymaking games which would add jobs and increase business in the Ohio economy. And the state would gets its cut in tax revenue. From a political standpoint, Gov. Taft will be tested on the issue.

On a related issue, the Eastern Shawnee Tribe of Oklahoma is continuing in its effort to reclaim 'lost' tribal lands in Ohio. They expect to submit an application to the U.S. Department of the Interior's Bureau of Indian Affairs reflecting their historic ownership of some lands prior to being forced to Oklahoma in the 1800s.

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