Journal Record, The (Oklahoma City): Osage Nation supports legislation authorizing gambling contract

Another Oklahoma tribal government threw its support behind a ballot question to allow the state to enter compacts with tribes on casino gambling issues, reducing regulatory hassles for the casinos while giving the state a share of the profit.

Officials with the Osage Nation announced Monday that they would support passage of State Question 712, which authorizes gambling compacts.

Osage Principal Chief Jim Gray said the proposed compacts would end legal hassles currently facing tribal casinos.

For years we've been in courts trying to fight over what kind of machines that gaming casinos could have here in the state, Gray said. As a result, we've spent millions on litigation and this compact would help clarify what's legal in Oklahoma by state and tribal compacts.

He noted that similar agreements have been conducted in states across the United States.

Gray said the fact that state officials have promised to use the money to fund education also made the proposal attractive to tribal officials.

We have kids in the public school system, too, he said.

Officials have estimated that up to $71 million will be generated by passage of State Question 712, although critics suggest that number may be inflated and does not take into account lower sales tax collections that occur when money is diverted to casinos.

Officials in several tribal governments have voiced concern that the proposed compacts would erode tribal sovereignty and give the state government control of tribal affairs, but Gray said Osage officials do not believe they will lose control of their own operations.

When you look at the other states in the country that have compacts, those tribes that are successfully operating those facilities, their sovereignty is not diminished any way at all by entering in these compacts with the state, Gray said.

He said state government officials will be allowed to review accounting related to the revenue generated by machines covered by the compacts.

The Osage opened the Million Dollar Elm Casino in Sand Springs last July and have scheduled the groundbreaking on another Tulsa casino this week.

The Sand Springs casino cost $6.5 million and is a 25,000-square- foot facility with 500 electronic gaming devices, a food court, bar, an entertainment venue, gift shop and parking for 500 vehicles. The casino, situated on 20 acres, is open 24 hours a day.

The Osage operate two other casinos, one in Hominy and another in Pawhuska

Officials with the Choctaw Nation, Cherokee Nation, Comanche Nation, and the Absentee Shawnee Tribe of Indians of Oklahoma have also endorsed State Question 712.