Mississippi Casino News Source: http://www.clarionledger.com
Tribe's proposal to build a Jackson County gaming resort not likely to jell before 2010
By Nell Luter Floyd
nlfloyd@ clarionledger.com
The Mississippi Band of Choctaw Indians operates two casino resorts in Neshoba County and owns nearly 100 acres along Mississippi 57, near I-10 in Jackson County.
Mississippi Band of Choctaw Indians' proposed casino in Jackson County likely would open no earlier than 2010 - provided there is local support.
The Choctaws ran an advertisement this week in two Gulf coast newspapers that said "the tribe would not move the first shovel of dirt to build a resort unless a majority of Jackson County voters - through a 2008 referendum - embrace the proposal."
Jackson County residents have defeated dockside gambling twice.
Gov. Haley Barbour, who must sign an agreement with the Choctaws that would allow them to build and operate a casino, said Friday he believes it's unlikely Jackson County residents would pass a referendum in favor of gaming.
He said he opposes expanding casino gaming beyond counties that have already legalized it.
"I believe all counties that want gaming have it," he said.
The Choctaws' newspaper ad called the opening of a casino before 2010 unlikely and promised a casino resort would strengthen communities and create jobs and that the tribe would pay local governments.
"The Tribe is prohibited by federal law from paying taxes but we can pay revenue in lieu of taxes to local governments in exchange for services like police and fire protection, water and sewer, and impact on local roads," the ad read.
However, the Mashantucket Pequot Tribal Nation that has proposed a casino in Biloxi plans to enter the Coast Gaming market as a commercial gaming company, which means it would pay taxes and undergo investigations by the Mississippi Gaming Commission.
Tribal lands would not be involved in its venture.
Jackson County officials and lawmakers for the county could not be reached for comment Friday.
Unlike commercial gaming companies, the Choctaws would not have to pay 12 percent of its gross gambling revenues to state and local governments if it locates a casino on tribal land.
The tribe operates two casino resorts in Neshoba County and owns nearly 100 acres along Mississippi 57, near I-10 in Jackson County.
The Choctaws also operate First American Printing and Direct Mail and First American Plastics Enterprise on 40 acres of trust land in Jackson County.
The two businesses employ about 150 people.
Less than a month after Hurricane Katrina slammed the Gulf Coast and left two inches of water in those businesses, Chief Phillip Martin sent James Cason, associate deputy secretary of the U.S. Department of the Interior, a letter explaining First American Printing had lost 21 customers whose businesses were destroyed or heavily damaged, representing 10 percent of average monthly billing, and that First American Plastic's customer base also was impacted.
Martin asked in the Sept. 15 letter for permission to operate a Class II facility, which would include 1,500-2,000 bingo machines, on its 40 acres in Jackson County.
The chief asked in the letter that the department allow the tribe to establish the facility under its existing environmental assessment rather than wait for the completion of a full environmental impact statement.
"The Tribe has the potential to be a major contributor to rebuilding the Mississippi Gulf Coast's economy," Martin wrote, going on to say the tribe had determined a better use for the trust land would be as a full-service casino resort.
He proposed a bingo facility, which would generate an initial revenue stream for development purposes and leverage for a casino resort.
Cason, at the Department of Interior, responded to Martin in a letter dated Dec. 21, 2005, that compliance with the National Environmental Policy Act is necessary, "and that compliance must evaluate the proposed gaming use of the land."
Eddie Gibson, a member of the Choctaw Gaming Commission, said Friday that he knew nothing about the chief's interest in establishing bingo on the Gulf Coast after Hurricane Katrina.
"That's a new one on me," he said.
He said Martin handles economic development for the tribe.
The Sept. 15 letter also notes the governor "in the past has advised us that he cannot support any gaming in Jackson County until the County holds a referendum on approved gaming."
Jerry St. Pé, chairman of the Mississippi Gaming Commission, said the commission has no jurisdiction over Native American Indian gaming in the state.
"I believe we have a compelling obligation to make certain that expansion of Indian gaming in Mississippi doesn't place the private-sector gaming industry at any disadvantage," he said.
"We are fortunate in this state where private-sector gaming has billions of dollars invested and is among leaders in helping the Coast recover from the hurricane," St. Pé said.
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