Seneca Nation and New York State Governor Kathy Hochul extend tribal gaming compact
The Seneca Tribe of western New York and Gov. Kathy Hochul (D) have agreed to extend the tribe’s Class III gaming contract, which is set to expire on Dec. 9.
The tribe and the governor extended the casino revenue-sharing agreement through March 31, the same day the New York State Legislature plans to send Hochul the state's fiscal 2025 budget.
The Title III gaming treaty expansion allows Seneca Nation to continue operating its three casino resorts: Seneca Niagara Resort & Casino, Seneca Allegheny Resort & Casino, and Seneca Buffalo Creek Casino.
The Indian Gaming Regulation Act (IGRA) allows federally recognized tribes to operate Class I and Class II games within their territories, including pull tabs, scratch cards, bingo games and electronic bingo machines. In order for Indian casinos to offer Las Vegas-style slot machines and self-operated table games such as blackjack and roulette, a Level 3 gaming contract is required with the host government.
Adjourned to continue negotiations
Until recently, Hochul had shied away from participating in Seneca Nation compact negotiations because her husband, William Hochul, served as Delaware Northern's executive vice president and general counsel. The company is a direct competitor of Seneca Nation as it operates the Finger Lakes Gaming & Racetrack property.
Mr. Hochul no longer works at Delaware North, so the governor is back in charge of tribal casino discussions. In order for the new compact to take effect, the governor or his designated advisor must first agree to the new terms. The contract must then be approved by the state Legislature.
Seneca President Rickey L. Armstrong Sr. and Hochul met on Friday to sign the contract extension. Armstrong said the postponement was a temporary solution to address key issues.
"This short-term extension will give our administration more time to complete treaty negotiations and obtain all necessary approvals consistent with Seneca Nation, New York State and federal law," Armstrong said in a statement. "Under the extension, we Our three gaming venues will continue to operate without interruption, alleviating concerns about the potential impact on our thousands of casino employees, which has always been a national priority."
Hochul said the increase in expiration times provides additional time "to work toward a long-term solution."
Bargaining Chip
Under the tribe's current agreement, the Seneca Nation retains exclusive rights to operate slot machines and dealer table games west of State Highway 14.
New York State benefits from this agreement as the state receives 25% of the total tribal gaming revenue generated by these slot machines. In recent years, this has equated to about $100 million per year.
The tribe is demanding a new deal as casinos continue to encroach on their territory. Upstate New York is now home to four commercial brick-and-mortar casinos that also offer slot and table games as well as sports betting. The closest town to the Seneca Casino territory border is del Lago, less than 7 miles east of State Highway 14 in Waterloo.
The tribe is trying to reduce its share of slot machines from 25 percent. Previous tight negotiations also included the possibility of allowing the Seneca family to build a fourth full-fledged casino resort, with Rochester being the tribe's preferred market.
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Source: www.casino.org
