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'Reservation shopping' deserves a hard look to protect tribes, towns
06/12/2005
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With the increase in Indian casino gaming in the United States has come a new phrase, ''reservation shopping,'' and it doesn't mean buying souvenirs at the casino gift shop.

It refers to the practice of ''shopping'' for a new casino location outside the tribal reservation, even in another state. Behind the Indians one may find non-Indian investors and developers who hope to cash in by building and operating a casino for the tribe on the land the tribe acquires. Tribal land is ''sovereign'' territory, outside the reach of some aspects of local government, including taxes. Currently, at least 33 tribes are trying to start casinos outside their reservation states.

At its most cynical, ''reservation shopping'' can look like an investor hooking up with a ''rent-a-tribe'' to build and manage a casino, riding the fast lane to casino riches by exploiting the Indians to bypass some of the government regulations, red tape and taxes a non-Indian casino would face.

Reservation shopping has sparked opposition in Congress. The federal Indian Gaming Regulatory Act of 1988 allows tribes to operate casinos on their own reservations. Such casinos can help to overcome poverty and the lack of other economic opportunities on Indian reservations.

But the push for tribal casinos outside of reservations is another matter. Some tribes with casinos on their reservations fear that off-reservation casinos could lead to states fighting to impose taxes on all types of Indian casinos.

One longtime casino gambling opponent, Rep. Frank Wolf, R-Virginia, has asked President Bush to impose a two-year moratorium on the opening of any off-reservation tribal casinos to provide time for reviewing the issue. Rep. Richard Pombo, R-California, plans to introduce a bill that would ban off-reservation casinos entirely.

The Eastern Shawnee tribe of Oklahoma is proposing a $100 million casino resort complex in Lorain. The Eastern Shawnee also want to build casinos elsewhere in Ohio. We don't view the Eastern Shawnee plan as reservation shopping because Lorain Mayor Craig Foltin invited the tribe here to boost Lorain's economic future.

The Eastern Shawnee and Mayor Foltin have our appreciation for thinking outside of the box and trying to get an Indian casino built in Lorain. The tribe's casino-resort plan appears well-intentioned, desirable and able to bring new life to Lorain's lakefront.

Still, despite the potential local effect of a federal ban or moratorium on off-reservation casinos, Congress would be wise to review the overall issue of reservation shopping in the United States.

Examine how it relates to the intent of the Indian Gaming Regulatory Act, and provide protection against tribes and towns being abused by greedy investors.


©The Morning Journal 2010

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