Oklahoma Gambling Faces Serious Problems; Tribes Not Satisfied with Treatment

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December 28th, 2019
Back Oklahoma Gambling Faces Serious Problems; Tribes Not Satisfied with Treatment

Oklahoma betting industry used to be one of the strongest points of the state. However, the present situation is not perfect and betting space could become a potential battlefield. As expected, Gaming compacts with native Indian tribes are to expire on January 1 and there is an ongoing discussion about possible prolongation.

More About Oklahoma Betting Scene

Oklahoma governor, Kevin Stitt, looks to extend compacts with native Indian tribes but he wants to introduce different cooperation terms. Tribes, on the other hand, consider that the compacts should automatically be extended without any additional signature. If the Oklahoma governor tries to change the current deal by introducing harsher financial conditions, tribes will probably utilize their federal connections to overturn his decision. Problems are soon to appear and no one expects the rapid solution...

Position of the Tribes

Governor Stitt is not satisfied with current deal with tribes. He looks to secure more revenues for the state in the future. At the moment, tribes contribute with 4-6% of total revenues to Oklahoma state and 10% on particular games. As far as the governor is concerned, tribes should pay at least 25%.

According to the information for the last year, the tribe contributed to the state with $138.6 million. However, the governor looks to obtain about $2.3 billion in revenues. Kevin Stitt has already requested from tribes to ratify the new deal and asserted that tribes will break the law in the opposite case.

He said:

“To protect all the hard-working Oklahomans and the tribal members who are employed at more than 100 casinos across our great state, I am announcing today that the state of Oklahoma will be requesting tribal leaders to join me in signing an extension to the gaming compact. The language in this extension will allow each side who signs the extension to retain their legal position… The state will make a generous offer with this extension and not ask for anything in return.”

Meanwhile, compacts deny the possibility to sign a new deal with the state. They believe the new deal will cause additional issues and legal actions. However, compacts are ready to negotiate on a new revenue deal if the governor confirms that the current compacts will be auto-renewed after expiration.

Source:

“Oklahoma’s casino scene close to becoming a battlefield“, Erik Gibbs, calvinayre.com, December 20, 2019.

“to expire on January 1”

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