The Grand Traverse Band of Ottawa has filed a lawsuit against the National Indian Gaming Commission (NIGC) in an effort to stop the agency from closing its Crystal Shores Casino in Benzie County, Michigan.
Why Does NICG Want to Close the Casino?
The Grand Traverse Band opened the Benzie casino last year, but the NIGC, a federal agency within the Department of the Interior, claims the casino is illegal due to a regulatory provision known as the “one-bite rule.” According to this rule, a restored tribe tribe is generally forbidden from opening a gaming facility on certain restored lands if it already operates casinos elsewhere. The Grand Traverse Band contends that the restriction is unlawful because it is not found in the Indian Gaming Regulatory Act (IGRA) or any other federal law.
IGRA generally prohibits gaming on lands acquired in trust after 1988. However, it provides a “restored lands” exception for tribes whose federal recognition has been reinstated. Under the so-called “one-bite rule,” a restored tribe seeking to conduct gaming must demonstrate that the property was included in its first trust-land acquisition following restoration. Alternatively, it should be proven that the land was acquired within 25 years of restoration and that the tribe does not already operate gaming facilities on other lands.
What Does the Grand Traverse Band Claim?
According to the Grand Traverse Band, it qualifies as a restored tribe, and the Benzie County property was acquired as part of the restoration of its ancestral lands. The tribe lost its federal recognition and much of its land during the 19th century. In 1980, the tribe regained federal recognition, after which the federal government placed several parcels of land back into trust for it.
The tribe’s attorneys argued in the lawsuit that the “one-bite rule” is invalid on multiple grounds, claiming it conflicts with the text and intent of the IGRA restored lands exception, the statute’s broader objectives, and the Indian canon of construction. They also contended that the requirement that “the tribe is not gaming on other lands” is not supported by the language of the restored lands provision.
When the tribe opened the Turtle Creek Casino in 1996, the tribe’s attorneys claimed that both courts and federal regulators determined that it qualified under the restored lands exception. The Grand Traverse Band is seeking a court ruling declaring the one-bite rule unlawful, overturning the NIGC’s Notice of Violation and disapproval of its gaming ordinance, and barring regulators from taking further enforcement action against Crystal Shores Casino.
In other news from Michigan, the state’s lottery recently introduced important changes to its Daily Spin to Win Game, which would have a big impact on how the game is played.