Litigation

Mayor again threatens to shut down Fond du Lac Band casino

Friday, January 6, 2012

Mayor Don Ness in Duluth, Minnesota, is again threatening to shut down the casino owned by the Fond du Lac Band of Lake Superior Chippewa Indians.

Ness said the tribe has violated a 1994 agreement that required revenue sharing at the Fond-du-Luth Casino. He said the city's only recourse is to cease gaming at the site.

"We believe the language is very clear. If the city can't participate...and no agreement can be found, we become a lease holder," Ness said at a press conference, WDIO-TV reported.

A federal judge ruled that the revenue sharing provisions of the 1994 agreement violated the Indian Gaming Regulatory Act. The tribe paid 19 percent of gross revenues to the city for 25 years, an amount that came to about $80 million.

Both the tribe and the city are appealing the decision. The tribe wants to clarify whether it should make back payments between 2009 and 2011.

Get the Story:
Duluth mayor threatens to close casino over money spat (MPR 1/5)
City Outlines Casino Options (WDIO-TV 1/5)
The City of Duluth has its Day in Court to Appeal Casino Decision (Northland News Center 1/6)
Mayor threatens to halt gambling at downtown Duluth casino (The Duluth News Tribune 1/6)
Pushing for a State-Operated Casino in Duluth (Northland News Center 1/6)

Court Documents:
City of Duluth v. Fond du Lac Band of Lake Superior Chippewa Indians (Turtle Talk)