The Lytton Band of Pomo Indians is willing to pay the state of California $25,000 a year for every slot machine at its Bay Area casino, The Santa Rosa Press Democrat reports.

The tribe has been negotiating with Gov. Arnold Schwarzenegger (R) for a compact. The tribe owns a card club but does not have approval to offer Class III gaming.

According to the paper, the proposed compact involves an annual slot machine fee plus a $1 billion bond initiative that willing tribes would finance. A total of six tribes have indicated they are near a deal with the state on these terms.

The Lytton Band is also willing to share up to $5 million a year with the city of San Pablo.

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Lytton Pomos offer state a slot deal (The Santa Rosa Press Democrat 4/2)