Compact is further evidence of bias toward tribe, developer argues
The state's compact with the Mashpee Wampanoag to operate a $500 million casino in Taunton is further evidence that the state process is illegally tilted to assist the tribe, KG Urban Enterprises argued in its latest filing with the Court of Appeals for the First Circuit.
The New York-based developer, which hopes to turn an abandoned power plant in New Bedford into its own $500 million casino, claimed, "The details of the approved compact ... further illustrate the legal defects of the (Expanded Gaming) Act's tribal set-asides."
The compact, negotiated by Gov. Deval Patrick and approved by the Legislature this week, gives the tribe exclusive rights to operate a casino in Southeastern Massachusetts in exchange for payments of 21.5 percent of gross gaming revenue.
KG filed suit immediately after the governor signed the Expanded Gaming Act in November, claiming the preference given to federally recognized tribes for the Southeastern Massachusetts casino license was a "race-based set-aside" that violated the Equal Protection Clause of the Constitution.
On Feb. 17, U.S. District Court Judge Nathaniel M. Gorton ruled that, "Unfortunately, governing case law is to the contrary," and dismissed the case. KG appealed and arguments were heard by a three-judge panel in the Court of Appeals of the First Circuit in Boston on June 7.
In his most recent court filing, KG lead attorney Paul Clement contends that the regional monopoly cannot be justified by federal law; that the statute and compact conspire to thwart competitors and steer a commercial license to the tribe should it fail to get its land taken into trust; and that the tribal preference "is simply a means for allowing the Mashpee to negotiate a real estate deal anywhere in the Southeast without competition."
The state had argued that KG's lawsuit was not relevant because the firm had suffered no actual damages. But in his most recent court filing, assistant Attorney General Kenneth Salinger wrote: "The claims raised in this appeal ... are ripe now that the Legislature has approved this compact."
http://www.southcoasttoday.com/apps/pbcs.dll/article?AID=/20120728/NEWS/207280325/-1/NEWS10
Mashpee Wampanoag Tribe's compact anticipates casino delays
Monday, July 23, 2012Filed Under: Compacts
Officials in Massachusetts plan to give the Mashpee Wampanoag Tribe plenty of time to complete the land-into-trust process but the Class III gaming compact anticipates that might not happen any time soon.
The tribe agreed to share 21.5 percent of gross gaming revenues for the exclusive right to operate a casino in the southeastern part of the state. But the rate drops to 15 percent if a commercial casino opens up first in the region, The New Bedford Standard-Times reports.
The Bureau of Indian Affairs is processing the tribe's land-into-trust application but it could take years before a decision is made. Litigation could delay a casino even longer.
Get the Story:
With finish line in sight, casino express sidetracked to await signals from D.C. (The New Bedford Standard-Times 7/22)
PARTY LINES: Casino compact gets through House, delayed in Senate (The Taunton Daily Gazette 7/22)
Rep. Frost Sees Opportunity For Central Mass. To Host Gaming Facility (The Auburn Daily Voice 7/22)
Related Stories:
Mashpee Wampanoag Tribe Class III compact vote put on hold (7/20)
http://64.38.12.138/IndianGaming/2012/025195.asp
PARTY LINES: Governor prepares to sign casino compact
Taunton Daily Gazette
The tribal casino compact, an agreement that would see the state reap 21.5 percent of gross gaming revenue from a Mashpee Wampanoag casino in Taunton, cleared the Senate Thursday and now awaits Gov. Deval Patrick's signature. The governor is ...
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