Update 11:31 a.m. June 22, 2009: I shoulda updated over the weekend. By now you’ll have read my follow-up piece about what hurdles this casino effort would face.
What I didn’t mention in the story is a lot of the political speculation:
- Most Grand Forks City Council members I talked to can’t fathom how any of this could happen at the state level because they can’t fathom why Gov. John Hoeven would ever agree to another off-reservation casino.
His stated reason in the past — and now — was he didn’t want to see a significant expansion of gambling in the state. Council member Eliot Glassheim, who didn’t get my message early enough to get into the story, said if the governor did it for Grand Forks, he would then feel pressured to do it for Fargo, Bismarck, Minot and so on. So “significant expansion” probably has a secondary meaning.
- Grand Forks has worked really well with the state. We’ve gotten money for dikes, roads, centers for excellence at UND, police and fire equipment, to name a few things. As Council President Hal Gershman and Doug Christensen said, why would the city want to put political pressure on the governor for this casino?
They’re interpreting a call from a casino developer to the mayor — there was no call to the governor — as a reversion to the old strategy, which was to win support in Grand Forks and use that to win support at the state level, which would then win support at the federal level. If voters in one community says the casino will be good for them, it’d be hard for an official higher up to deny it.
- There maybe two relatively controversial public votes coming up in the next election in June, according to Doug. That’s enough for voters to chew on, he said.
A third controversial public vote would only overwhelm voters and lead them to vote “no” on everything.
The first vote would be a vote on amending the home rule charter so that the Alerus Center could use some of the 3/4-percent sales tax for operations. Council members have been mulling that a while and they know it’d be hard sell, even though it would actually reduce the center’s dependence on subsidies, in a fashion. The 3/4-percent sales tax is already dedicated to the center’s debt and building improvements, but can’t be used for operation, which must now come out of the city’s 1-percent sale stax.
The second vote would be a vote on the Park District’s new fitness center in the far south end. In the past, some park commissioners have wanted to avoid a public vote, but there’s a lot of pressure to let the public decide for itself if it wants to spend so much money.
- I mentioned briefly how a casino south of the city could divert attention from commercial and residential development on the 42nd Street corridor around the Alerus Center. The assumption is that the number of shoppers and diners is finite and the number of investors interested in commercial and residential developments is also finite.
Naturally, there’s some flexibility here because a new development would tend to draw a certain number of new people — let’s say Canadians that are now going to the Seven Clans Casino near Thief River Falls. But there aren’t enough such new people for two new developments that are far apart.
So, if a casino development were to draw all the new shoppers and diners and all the investment dollars, it’ll take much longer to develop the property around the Alerus Center. City leaders have a much greater incentive to focus development around the Alerus Center because the center represents an $80 million investment by the public. The $45 million Canad Inns complex is another public investment of a kind because the city essentially let the company use the land for free in hopes of getting lots of property taxes.
It may be that the city could annex the casino development — minus the casino, of course, as that would have to be Indian land — but that would represent a more speculative investment far from the city core compared to the 42nd Street corridor. In his state of the city address earlier this year, the mayor himself talked about his desire to turn that whole street into a “Destination Corridor.”
To the City Beat‘s surprise, the effort by the Turtle Mountain Band of Chippewa to build a casino in Grand Forks is still on. We got wind of it after tribal member Delvin Cree sent a letter to the Turtle Mountain Star and to us, mostly because he would rather have a casino on or near the reservation to create jobs.
Delvin said the Tribal Council talked about the matter recently at a public meeting, though members didn’t say much. I called Council member Ted Henry, who Delvin said thinks as he does, but Ted said he really couldn’t say a whole lot.
Mayor Mike Brown, though, said, yes, his office did get a call from Guy Useldinger, on whose land the casino would go, and Guy wanted to know if the mayor is still open to the project. The mayor said “sure,” so I guess that’s one reason the tribe’s talking about it again.
In case you’ve forgotten, the story is that the tribe wants an off-reservation casino, which would bolster its revenue a lot better than the casino it now has on the reservation in Belcourt. Look where Belcourt is and you’ll see why that casino’s not getting a lot of traffic.
But there are lots of hurdles, the biggest being governmental. An off-reservation casino has to have the support of:
- The local community, which likely means a majority of voters in Grand Forks have to give the OK;
- The state government, which means the governor or the Legislature would have to act;
- And the federal government, which means the Bureau of Indian Affairs would have to act.
In Grand Forks, there’s been a lot of skepticism, if not hostility, to a tribal casino. The mayor thinks that attitude may have changed recently. I’m not so sure because it’s only been two years since this was really a big public issue.
The economy is leaner, but I don’t think casino jobs get a lot of respect from residents in the context of economic development. For what it’s worth, here’s what I wrote about the economic impact study that casino developers released in June 2006:
Specifically, the study said the community would gain 446 jobs, 1.1 million visitors a year and $18 million in revenues for government entities within the county. With 700 slot machines planned, the Grand Forks casino would be the second largest one in the state, just behind the Dakota Magic Casino in Hankinson.
Annual wages at the complex would total about $10.5 million, according to the study, an average of $27,500 per job.
Note that the assumption then was the casino would have slot machines. Developers have since suggested they might do video bingo instead, which leads us to the hurdles at the state government level.
Here’s my story later in June 2006:
Bad news for the Turtle Mountain Band of Chippewa’s proposed Grand Forks casino came out of Gov. John Hoeven’s office Tuesday in the form of a letter explicitly denying that the tribe had the right to open electronic bingo parlors.
Bingo is the tribe’s fallback position if it fails to get permission from the Legislature to build a new casino with 700 slot machines. The tribe is convinced that existing state law allows it to install electronic bingo machines because bingo is not restricted in the same way as slot machines.
Having heard the tribe’s explanation in May, Hoeven said he didn’t think so, according to his legal counsel Duane Houdek. Hoeven was traveling Wednesday and could not be reached for comment.
The governor’s position is that any expansion of gambling in North Dakota must go to the Legislature, Houdek said. “If you’re trying to simulate a casino, to make it look and feel like a casino, it is still an expansion of gambling in the state.”
In other words, bingo really isn’t bingo if it’s electronic bingo, which has computer graphics like slot machines.
I wonder how much has changed since then. We still have the same governor, whose term won’t be up until 2012. The Legislature might be different by 2010, but how different really in its sentiment toward gambling?
Back in 2006, the tribal chairman was Ken Davis. Now, it’s Richard Marcellais, who’s also a Democratic state senator. I called him, but he wasn’t home, so I don’t know where he stands.
(If he did support a casino, you might wonder if he’d do better with the issue if he were Republican. I think not because, as I understand it, half the Republican party in this state thinks the other half is too liberal.)
The last is the federal hurdle. In the past, the feds went along with whatever states said about casinos. That might have changed with stricter federal guidelines that came out last year. I wrote about those here.
So if the feds are now scrutinizing the effects of an off-reservation casino on tribal employment, that might suggest the direction for casino developers.
When I talked to Delvin, he said he would rather see a casino in Dunseith, where he lives, because that’s where the unemployed tribal members are, not Grand Forks.
Currently, he said, the tribe puts casino profits into tribal programs, and there’s a lot of dispute about how that’s working.
It’s possible the Tribal Council would promise to put Grand Forks casino profits into an economic development program to fulfill the federal requirement.
Well Gov Hoeven will veto any gambling expansion in North Dakota. It is a joke to think the electronic bingo/slot machines will pass muster. I just went through their area with a fleet of 40 trucks (Belcourt and Dunseith) it is a vast wasteland will little population. A tribal casino or off reservation in GF will not fly, because of the down turn in the economy. Just farm the land.
Singledad’s drive-by wasn’t enough for him to know what he’s talking about. The vast majority of the res is not farm-able (what part of “Turtle Mountains” doesn’t he understand?) Also, the res is quite densely populated, in fact Rolette County is one of only one or two counties in ND that has an increase in population as a result.
That being said, Delvin Cree is being a bit stupid with his desire to put a casino in Dunseith instead of GF. The whole point of having one in GF is to have a population center(s) to draw from that the current Skydancer casino doesn’t have. A casino in Dunseith would be in exactly the same situation as the Skydancer with the same remoteness and lack of a population center to draw from. Not only that, but it would have to draw from the same customers as the Skydancer. Finally, there are lots of folks from Dunseith who work at the current casino.
Richard Marcellais was the assistant manager at the Skydancer before he got elected. Since being elected, he’s retaliated at all those at the Skydancer who he feels wronged him. He’s gotten his former boss fired, he’s used the drug policy to harass the other employees there who he doesn’t like. Not only that, but he’s been quite heavy-handed in the hiring process for a new GM at the Skydancer. He’s thwarted highly qualified candidates in order to put his cronies (puppets) in place there, most likely so that he can take over once his term is done and is voted out of office after just one term (which is what usually happens up there.) When the council interviewed and made a selection for the new Skydancer GM, Marcellais vetoed the decision. When the council over-rode his veto, Marcellais VETOED THE OVER-RIDE! (Doesn’t say much for his understanding of their own constitution which doesn’t allow this.) He even “suspended” a couple of councilpersons despite the fact that it is unconstitutional for him to do this as well.
If the Useldingers are smart, they won’t waste any more of their money or effort on the Turtle Mountain Tribe. As they should see by now, it doesn’t matter what happens now, in two years the entire government will change. Each of their council positions and the chairman position are up for re-election every two years and the TM has traditionally ousted most of the office holders every election. Anything agreed to or promised to the Useldingers is up in the air after two years.
But hey, it’s their money to waste.
Hey RezKid,
The idea of having a casino in Dunseith is a very good idea. Do a little research on the Mini Casino located in Belcourt and you will find that our tribal council is wasting more money on expanding this small casino location. Now why are they spending more money on expanding on a casino that is not making any profits at the Belcourt location. Ask any tribal member and they will tell you, no one is spending thier money at this casino.
What I am asking for. is that our tribal council move this mini casino to the Dunseith area. Why?
We have the second most traffic in the state that travels through Dunseith in and out of Canada. We have a golf course already in place for patrons who want to play golf, we have lake shutte that could serve as a water park and we could host jet ski races in the summer and snowmobile races in the winter. We have Dunseith Days and at the same time our annual pow-wow takes place. Our pow-wow has attracted quite a few people from around the country and Canada An annual rodeo takes place on the july 4th weekend. In our close vacinity, we have the International Peace Garden, Lake Metigoshe, scenic highway 43, we have many traditional ceremonial areas where we have sun dances, sweats, shakky dances etc. Our aboriginal people from different areas can come and participate in our traditional events.I can go on and on and tell you of the many assets we have here.
If you paid any attention in the news articles in the Grand Forks Herald, San Haven, just a mile north of Dunseith, is the only location where our tribe can expand tribal gaming. This location would better suit a casino in this area and region. If you been to the San Haven site, you can see the prairie for miles to the south. San haven sits high up in elevation. There are several buildings there that can be remodeled. A 5 story building can serve as a hotel, other buildings cans serve as specialty shops. Near by is a natural spring that the tribe can use to bottle and sell water…a tribe in Hinkley Mn. already does this kind of thing.
Some of our tribal members who live in Duseith and work at the current Sky Dancer Casino favor the Dunseith location. Originally, the Sky Dancer casino was to be build at the San Haven site.
We need the jobs here in Dunseith. We have a much higher poverty rate than the reservation itself. Many of our people are very well educated and we have a great workforce.
I personally think the Belcourt population does not want Dunseith to succeed in the gaming industry. Eventhough the tribe is not generating profits like they would from the two casinos located on the reservation, they will fight tooth and nail against the idea of Dunseith having a casino.
I know we could generate more money for the tribe and employ more tribal members in need of employment…It could be done if our tribal leaders would make a good sound decision and consider Dunseith as the next casino site to expand our Indian gaming.
Delvin, I’m from the TM res, I know all about it. I live here.
My point was the opposite of the point of your letter to the editor. You wrote that the tribe should place a new casino in Dunseith INSTEAD of Grand Forks. My point is that having a casino in Dunseith instead of Grand Forks doesn’t make sense.
Move the Belcourt mini-casino to Dunseith? Sure, why not. We both know the tribe doesn’t make decisions based on economic sense, but on short-term job creation (since Councilmen/Chairmen will be gone in two years.) District 4 often gets the shaft in tribal economic development plans, so moving the mini-casino there from Belcourt might address that.
The main point, though, that despite your glowing hype of the traffic through Dunseith (which if it was as good as you claim would have meant that Dunseith should have been economically booming), a new casino there instead of Dunseith would not result in anything near that of one in Grand Forks. Grand Forks is a major ND metro area, Dunseith is not. A casino in GF would also draw from Winnipeg, Fargo, and eastern Minnesota. The Skydancer doesn’t, neither would a Dunseith casino.
As far as San Haven, what a joke! Nothing can be built there until the (asbestos/PCB/other-nastiness) hazardous material there is taken care of. Yes, I HAVE been there. It is in horrific shape. Looters have stripped the ruins of anything of value. Nothing has been maintained there in nearly twenty years. Even if the toxic stuff can be miraculously removed, the building isn’t in any condition to be rebuilt, it would have to be completely torn down and a new one constructed.
A Grand Forks casino would be built with funds from both the tribe AND other financial backers like the Useldingers. A Dunseith casino would fall squarely on the tribe, and we ain’t exactly rolling in the dough right now.
The current tribal gaming pact with the state does limit any new tribal casino to the San Haven site, but pact can be renegotiated if the tribe has the will to do so.
Bottom line…move mini-casino from Belcourt to Dunseith…sure. Build a new casino in Dunseith INSTEAD of Grand Forks…an economically foolish move. Then again, foolish economic moves are things the tribe excels at.
RezKid,
I appreciate your response. I guess, if anything, I would like to see the Mini Casino be transferred to the Dunseith area.
I think our tribal council members jaws will drop and their eyeballs will bulge out of their eye sockets when they see the revenue this little casino will make. Like I said, the current mini casino has emptied the tribes pockets even-more and to expand at the same location is a laughable decision made by our tribal leaders.
I would propose the mini casino be located in Dunseith as a pilot project at first, and after the first year of operation, I know there will be need for expansion. This is when the new development of an additional casino will take place. With a lot of advertising and working with the media, I know this project will work.
If a development of a new casino were to happen, I would suggest to the council that we not build another “Barn” , instead build something nice that would attract people.
No allowem to callem Fighting Sioux!
No allowem Casino!
Simple!
Grandson of Crazy Horse:
You are a dumbass. The casino that might be built in GF would be built by the Chippewa, not the Sioux.
I’m actually in favor of the Fighting Sioux nickname. Unfortunately, racist idiots like you and your asinine, bigoted comments, have made it pretty much impossible for the nickname to be kept. You and your ilk are a major reason why all the anti-nickname whiners have support.
YOU are to blame for losing the nickname, fool.
RezKid, take it easy with the cursing, please. This blog is linked to a family paper. Also, I had to delete your first post as it makes accusations that could be libelous, which would get me in trouble.
However, I agree with you on who’s ultimately to blame for this nickname mess. I would otherwise delete his post, but it’s such a fine example of stupidity that I’ll leave it as an example to all.
The same day GF gets a Tribal Casino, Fargo will have a NFL team, Bismarck will have an NHL team and newspapers will start making money.
Since when is “dumbass” cursing? If it were, you would not hear it on prime time national network TV.
Red Forman on “That 70s Show” used it all the time…no one protested. It’s not one of Carlin’s “Seven Words” you can’t hear on radio/TV.
Sheesh, you’ve called people worse. Never took you for a prude.
As far as deleting my first post, you are a coward. None of what I said was libelous, all of what I said can be easily verified by a trip to the tribal office and a request for tribal council meeting notes.
Marcellais tried to VETO a VETO-OVERRIDE. He tried to SUSPEND a few councilpersons. A simple look at the tribal constitution would confirm that. What’s keeping you? Is it just so much easier to delete my post.
As for the rest, since when is speculation the same as libel? If I speculate the reason the TM chairman is acting unconstitutionally is to set himself and his cronies up in the future, how exactly is that libel?
Far worse has been said about US Presidents, any libel lawsuits there? Or, do you not give the offic of the chairman of the TM tribe the same respect due to any government’s chief excecutive?
Instead of being so quick with the delete key (which is oh so easy,) why don’t you do your job and actually do some investigative reporting?
Man up.
I am curious if our tribal council has a comprehensive plan in place currently as to how they are going to spend revenue profited from a new development of a casino in the Grand Forks area. Right now, the tribe operates on a yearly 20 million dollar budget and we are continuesly in the red.
If some profits are going to be used for social service programs, I would like to know, which programs will be selected.
I am for employment for our tribal members. If money earned from this new casino, funds projects that will continue to keep our tribal membership dependable on social services, then this is the kind of profitable monies we do not want for Turtle Mountain.
You know Delvin, kudos for wanting to stimulate and develop economic business for our tribal members, but after all the money invested and lack of upkeep (thanks to lack of traffic) at the current SkyDancer Casino. (though I do think some employees sincerely do their best) I just don’t think they’d put a casino up 10-12 miles away from the current Casino. What is the sense in that? Or what would they do with another vacant building? I think moving, or adding a mini-Casino is a brilliant idea if that is the direction the Tribe wants to go when adding to the current economy. However, has the tribe ever looked into taking the Manufacturing plant and using it for business that are booming, say in the Eco-Friendly or “green” area? There’s so much focusing on grants, incentives, etc to produce Wind energy, etc. We have that plant not really doing anything thanks to everything going overseas, while we have the resources at home… And ND is a great place to start wind farms. And since much of the tribal land is hard to farm, because of the soil conditions, wind farming would be the way to go. Also, I think a mall to entice Canadian shoppers would be ideal. Tax free is always a bonus to any shopper, so I would check into that also. We have so many talented artists, I don’t see why we don’t have a larger gift shop with more of our locally produced jewelry, basketry, etc. And maybe we can take inspiration from Native Harvest out of Minnesota and start something like that?
AND I agree with RezKid, ignorant comments and continually bringing up the Fighting Sioux logo when it has nothing to do with the Turtle Mountain Chippewa’s agenda on a Chippewa owned Casino probably only shoots the Fighting Sioux fans in the foot. It shows how much RESPECT and ADMIRATION you really have for your Native people, especially the Lakota that you claim to honor and yet know nothing about.