Business
Unanimous board gives no specific reason
By Levi J. Long
ARIZONA DAILY STAR
Tucson, Arizona | Published: 05.17.2006
advertisementAfter less than three months on the job, Jon Gregory is no longer overseeing the Tohono O'odham Gaming Enterprise's three casinos.
Gregory was hired in mid-February to oversee the tribe's two Desert Diamond Casinos and Golden Ha:san Casino near Why. His tenure as CEO ended after members of the O'odham Gaming Enterprise voted unanimously to terminate his contract, said John Fendenheim, chairman of the six-member board.
"They were personnel reasons. We voted to find someone else to oversee the casinos," Fendenheim said, noting that Gregory's last day was Monday. Calls to Gregory were not returned.
"This was not a resignation," Fendenheim said. "We're looking for a CEO who is a strong leader, with a strong construction background, and is sensitive of tribal issues."
Fendenheim said the Gaming Enterprise's other board members are George Steele, Larry Fox, Mary Narcho, Ed Brown and Ed Francisco. The board oversees the management of the casinos, and the CEO is required to meet with board members on a regular basis.
Gregory was hired to replace former CEO Joe Calabrese, who resigned in late November 2005.
The O'odham Gaming Enterprise said Calabrese left without notice and did not give a specific reason.
After Calabrese left, Elizabeth "Libby" Francisco, director of gaming operations, served as interim head for the casinos. Fendenheim said Francisco will once again serve as the interim CEO while a nationwide search is conducted. The board said it wants to fill the position within 30 days.
Gregory's termination comes at a critical time for the Tohono O'odham casinos.
In April, the tribe broke ground on a $120 million casino-hotel complex projected to open by fall 2007. The 320,000-square-foot complex will replace the older Desert Diamond Casino at 7350 S. Nogales Highway.
"We're going forward with construction," Fendenheim said. "This won't affect anything with the schedule. We understand this is a critical time and that it's important to get a leader in there as soon as possible."
When he was hired as CEO, Gregory, a member of the Bad River Band of Lake Superior Tribe of Chippewa Indians, was serving as the general manager of the Chumash Casino Resort in Santa Ynez, Calif.
When Gregory was hired, Fendenheim said the enterprise had found a CEO with experience in all levels of casino operations. One reason Gregory was hired was that he had experience in overseeing the construction of a $150 million expansion project of the Chumash Casino Resort.
"We have a strong organization and a strong management team," he said. "Changes in management happen in any business. We have all the confidence to carry on."
Sheila Morago, executive director of the Arizona Indian Gaming Association, said the job of CEO at a tribal casino differs from that of chief executive of corporate-owned casinos.
"It's not a Vegas-type situation where the most important thing is making money for the bottom line and the stockholders," Morago said.
Tribal casinos may focus more on creating jobs for tribe members and funding the community's needs, she said.
"A lot of it is finding the right fit, both on the business end and how they fit with the tribe," Morago said.
● Contact reporter Levi J. Long at 573-4179 or llong@azstarnet.com. ● Star reporter Scott Simonson contributed to this report.
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