Deal would give Ho-Chunk a break

Tribe's payment to state would be lowered if another casino opened nearby

By STEVE SCHULTZE sschultze@journalsentinel.com, Journal Sentinel

Thursday, June 19, 2003

A revision to the new Ho-Chunk tribal gambling compact approved by federal officials calls for a reduction in the Ho-Chunk's payments to the state if another tribe gets approval for an off-reservation casino that would cut into Ho-Chunk profits.

The change was made to what some competing tribes have called a "profit-protection" plan that was written into an earlier version of the Ho-Chunk compact. That version said a competing tribe opening a new casino had to directly compensate the Ho-Chunk for losses resulting from the new competition.

The change was made at the request of the U.S. Bureau of Indian Affairs following formal complaints from other tribes hoping to get approval for off-reservation casinos, state Administration Secretary Marc Marotta said Wednesday.

The new Ho-Chunk compact was among six new gambling deals for Wisconsin tribes that were approved by the BIA this week and last week. The new open-ended deals were signed by Gov. Jim Doyle and tribal leaders in April.

The bureau allowed new gambling pacts for the Ho-Chunk, Oneida and Menominee tribes, and the Lac Courtes Oreilles, Sokagoan (Mole Lake), Bad River Chippewa bands, to go into effect without comment, following a 45-day review period. The compacts become effective when published in the Federal Register in the next few weeks.

Like the previously approved gambling compact for the Forest County Potawatomi tribe, the new deals lift most restrictions on casino games and hours, and will remain in force indefinitely. The previous gambling compacts had set terms of five years.

The biggest change for the public will likely be the introduction of craps and roulette at Wisconsin casinos, games that weren't allowed until now. Potawatomi Bingo Casino in Milwaukee started craps and roulette games last week.

Marotta said the revision in the Ho-Chunk pact would have the effect of triggering several rounds of negotiations, if an off- reservation deal was objected to by the Ho-Chunk. The St. Croix and Bad River Chippewa bands hope to get approval for an off-reservation casino in Beloit, something Ho-Chunk might object to as hindering their operations in Wisconsin Dells or a possible new Ho-Chunk casino in Madison.

The Lac du Flambeau Chippewa hope to open an off-reservation casino near Shullsburg, in southwestern Wisconsin, which also could potentially trigger a complaint from the Ho-Chunk, Marotta said.

Ho-Chunk spokesman Mark Butterfield said Wednesday that the provision wouldn't be an issue unless a new casino were approved "within a short radius" of an existing Ho-Chunk gambling hall.

But Butterfield noted the proposed Beloit casino site was on traditional Ho-Chunk land, and "from a historical and emotional point of view, that's still our territory."

Ho-Chunk agreed to pay the state $60 million over the next two years as part of its new compact. It is one of the "Big Three" casino tribes in Wisconsin, along with Potawatomi and Oneida tribes. Together, they account for about three-fourths of the $1 billion annual casino revenue in Wisconsin, according to state figures.

New compacts for the St. Croix and Red Cliff Chippewa are still under review by the BIA. Negotiations on new compacts for the Lac du Flambeau and for the Stockbridge-Munsee tribe are continuing, Marotta said.

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