Alabama Tribe Pitches State $1B Deal to Obtain Exclusive Gaming Rights
An Alabama tribe that operates three Native American casinos in the state is on the defensive from a group arguing it should be required to pay taxes on its gaming revenue. Now, the Poarch Band of Creek Indians (PBCI) is moving all-in with a plan to obtain exclusive rights to all forms of gambling other than the lottery. An Alabama tribe says the state has one billion reasons to grant it gaming exclusivity.
PBCI pays no tax on its gross gaming revenue won at its three casinos – Wind Creek Wetumpka, Wind Creek Atmore, and Wind Creek Montgomery. The tribe has been attacked by a group called Poarch Creek Accountability Now (PCAN). Led by former Alabama Sen. Gerald Dial, PCAN has refused to disclose who’s funding its campaign.
Dial says the problem isn’t who is funding it, but the fact that the tribe is taking money from the Cotton State and investing in gambling facilities elsewhere. Wind Creek Hospitality, the tribe’s gaming unit, recently bought the Sands casino resort in Pennsylvania for $1.3 billion.
Wind Creek’s three locations in Alabama are Class II gaming facilities, meaning they have no slot machines and house-banked table games, such as blackjack and craps. Since the casinos are on sovereign land, the tribe isn’t required to share gaming proceeds with the state.
The Creek Indians released its “Winning for Alabama” plan this week. The tribe says it supports legislation that would authorize a “clean, traditional lottery. What’s the tribe want? Authorization to build two new gaming resorts with blackjack, craps, and a sportsbook. In exchange, the tribe is willing to share 25 percent of its gaming revenue with the state.
In addition, if the state is willing to issue PBCI gaming exclusivity and enter into a Class III compact for slots and table games at all of its properties, the tribe will hand over $225 million to the government.