1500-Slot Casino Planned for Port Huron if BMIC Vanderbilt Casino Succeeds

Here is the article.

An excerpt:

With little to lose and much to gain, the Bay Mills Indian Community has opened a mini-casino in Vanderbilt, a village on Interstate 75 north of Gaylord, without federal or state approval.

If the play in Vanderbilt succeeds, the tribe will convert the old Port Huron post office on Military Street into a temporary casino with 1,500 slot machines.

Eventually, Bay Mills intends to build a permanent casino and luxury hotel at Desmond Landing, where the tribe owns 16.5 acres. This parcel would become the first Indian reservation in Port Huron since the 1830s when federal troops forcibly removed the Blackwater band of the Chippewa to Kansas.

ICT Article on Bay Mills Vanderbilt Casino Controversy

From ICT:

By Gale Courey Toensing, Today staff

VANDERBILT, Mich. – In a move that astonished the gaming world in Michigan and outraged some of the state’s tribal nations, the Bay Mills Indian Community announced it has opened a new casino on off-reservation land without the usual state and federal approvals.

Bay Mills tribal leaders said Nov. 3 that the tribe’s newest gaming facility on 47 acres of land in Vanderbilt purchased in fee simple in August complies with all applicable gaming laws. The new casino has 38 slot machines.

The tribe operates two casinos in Michigan’s Upper Peninsula on reservation land. The Vanderbilt casino is in the northern part of the Lower Peninsula, about 170 miles north of Lansing.

“The new business venture was seen as positive by the residents of Vanderbilt, where the unemployment rate is one of the highest in the nation,” the tribe announced on its website – http://www.baymillsnews.com.

The new business venture was not viewed as positively by other tribes in the state.

The Grand Traverse Band of Ottawa and Chippewa Indians, Gun Lake Tribe of Pottawatomi Indians, Little Traverse Bay Bands of Odawa Indians, Nottawaseppi Huron Band of the Potawatomi, and Saginaw Chippewa Indian Tribe immediately issued a statement condemning the action.

“This attempt to conduct Indian gaming in the absence of trust land is a serious violation of the Indian Gaming Regulatory Act and long-held federal Indian gaming policy. Bay Mills has also violated the state gaming compacts, most notably Section 9 which clearly requires the consent of all Michigan tribes to pursue gaming on non-reservation lands,” the tribal leaders wrote.

The five-tribe coalition called on the National Indian Gaming Commission, the Justice and Interior departments to work quickly with state officials to close the new casino, “which threatens to undermine the significant public support for Indian gaming here within the State of Michigan and around the country.”

On Nov. 8 the Little Traverse Bay Band of Odawa Indians Chairman Ken Harrington announced that the Bay Mills casino violates the exclusivity zone provision of its gaming compact. The tribe will stop the six percent of net slot revenues to the state – a loss of millions of dollars to state’s coffers.

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Interlochen Public Radio Spot on BMIC’s Vanderbilt Casino

From IPR:

By Linda Stephan

There’s a new Indian-run casino in Vanderbilt north of Gaylord along I-75. It’s a small facility with just a few dozen slot machines.

Its opening came as a shock to the state, and to several Indian nations in northern Michigan who contend it’s illegal.

Quiet Open
The new casino opened so quietly early this month that its nearest competitor knew nothing of it.

“I heard 9&10 News was traveling over there to view the opening. So that’s how we found out,” says Ken Harrinton, chairman of the Little Traverse Bay Bands of Odawa Indians. His tribe owns a much larger casino, about 30 miles away in Petoskey, The Odawa Casino Resort.

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LTBB Letter to Michigan Gaming Control Board re: Bay Mills Vanderbilt Casino

Here: LTBB Letter to E Bush 110810

LTBB Suspends Economic Incentive Payments

Article here, from Uplivenorth.

TV coverage here, from channels 9 & 10.

Business Week Coverage of BMIC Vanderbilt Casino Controversy

From B.W.:

The opening of a casino in northern Michigan this week by the Bay Mills Indian Community is raising legal questions over where tribes are allowed to open new gaming locations.

Joy Yearout, a spokeswoman for Michigan Attorney General Mike Cox, said state officials will meet with Bay Mills officials next week to discuss the new casino in Vanderbilt.

Gov. Jennifer Granholm’s administration is “deeply concerned” about the casino opening, spokeswoman Liz Boyd said, in part because it isn’t on the tribe’s reservation.

“There are substantial questions about whether the tribe in fact can legally conduct gaming on this property,” Boyd said in an e-mail to The Associated Press. “We are dismayed that the tribe would open an off-reservation gaming facility without first resolving these substantial legal issues.”

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Mich. AG’s Office to Meet with BMIC Monday

News article here.

News Update on Bay Mills Vanderbilt Casino — John Wernet Comments

Here.

Update: YouTube has a video of the inside here.

MIRS: Casino Catches Officials Off Guard

From MIRS and Pechanga:

Without any of the standard federal or state approvals, the Bay Mills Tribe opened a new casino today near Vanderbilt off Interstate 75 in the Northern Lower Peninsula.

The 40-slot machine facility is located in a renovated Project Nature Welcome Center. Tribal members are familiar with the Vanderbilt area as they have been hunting elk in the region since 2007, exercising off-reservation treaty rights established with the 2007 Inland Consent Decree.

“This is something we’ve been working on for a long time,” said Bay Mills Chairman Jeff PARKER.

Apparently the tribe is testing a legal theory that, if it were to hold up, could open the floodgates for establishing tribal casinos without having to worry about the red tape that usually delays such projects for years. Some observers claim it could ultimately affect the status of an off-reservation site the Sault Ste. Marie Tribe of Chippewa Indians own at Pinnacle Racetrack in Romulus.

Bay Mills and the Soo tribe were once a single tribe.

The move came as a complete surprise to state and federal officials. The tribe jumped through none of the usual legal hoops involved with the federal Indian Gaming Regulatory Act (IGRA). In fact, its plan seems to involve specifically avoiding taking the land in trust, which is a key step in the IGRA process.

It usually takes years of working through the IGRA process to obtain the necessary sign-offs from the U.S. Department of Interior and the state to establish even an on-reservation casino.

The tribe’s reservation is located in the Upper Peninsula, centered at Brimley. However the casino Bay Mills opened today was on land far from the reservation. What’s more, the tribe bought the property less than three months ago.
President Ronald REAGAN signed IGRA in 1988. Ever since, IGRA guidelines have been an open target for almost any and every legal theory an attorney could convince a tribe to try out.

The theory Bay Mills seems to be pursuing is that because it purchased the land near Vanderbilt with money it had received in exchange for giving up its aboriginal lands, the land is therefore exempt from the usual impediments IGRA placed on off-reservation gaming.

The entire issue of off-reservation gaming, as it pertains to IGRA is currently being reviewed nationally (See “Minnesota Event <http://mirsnews.com/capsule.php?gid=3437%2325188%20&gt;  Could Affect Muskegon Casino,”10/20/10).

The Bay Mills decision to test the legal theory might have been timed to coincide with the national discussion. In addition, it might also have been timed to take place prior to Governor-elect Rick SNYDER taking office.
Snyder is believed to be less amenable to gaming expansion than Gov. Jennifer  <http://mirsnews.com/lob_bio.php?cid=532&gt; GRANHOLM has been. However, the Granholm administration quickly voiced opposition to Bay Mills opening the Vanderbilt casino today.

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Bay Mills Press Release on Vanderbilt Casino

Here: BMIC Casino Press Release