Dated/this 4 of Bébruary, 2!

PRL. HOGENTM
Chaifman

National Indian Gaming Commission

Lf, ZZ
NBEREA LORD

Staff Attorney



National Indian Gaming Commission

To:

NOTICE OF VIOLATION

NOV-05-05

Barry E. Snyder, Sr., President (Agent for Service of Process)
Seneca Nation of Indians

G.R. Plummer Bldg.

P.O. Box 231

Salamanca, NY 14779

FAX: (716) 945-1565

Michael L. Green, Chairman
Seneca Gaming Authority
P.O. Box 845

Niagara Falls, NY 14302
FAX: (716) 299-1247

Jim Gildersleeve
Department of Justice
Seneca Nation of Indians
GR. Plummer Bldg.
P.O. Box 231
Salamanca, NY 14779

Notification of Violation

The Chairman of the National Indian Gaming Commission (NIGC) hereby gives notice that
the Seneca Nation of Indians (Respondent or Tribe), located in Salamanca, New York, is in
violation of NIGC regulations for failure to submit timely quarterly fee statements and fee
payments.

thorly
Under regulations of the National Indian Gaming Cominission, the Chairman of the NIGC
(Chairman) may issue a Notice of Violation (NOV) to any person for violation of any

provision of the Indian Gaming Regulatory Act (IGRA), NIGC regulations, or any provision
of a tribal gaming ordinance or resolution approved by the Chairman. 25 C.F.R. § 573.3.

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3. Applicable Federal and Tribal Laws

AL

25 U.S.C. § 2717(a) — IGRA mandates that the Commission shall establish a
schedule of annual fees to be paid to the Commission annually by each Indian
gaming operation that conducts class II or class [II gaming, and that such fees
shall be payable to the Commission on a quarterly basis. Failure to pay the
scheduled fees may be grounds for revocation of the approval of the Chairman
of any license, ordinance, or resolution required for the operation of gaming.

25 C.F.R. § 514.1(c) — NIGC regulations require that each gaming operation on
Indian lands compute quarterly statements determining the amount of fees owed
to the Commission.

25 C.F.R. §§ 514.1(€)(2) — Quarterly statements are due on March 31, June 30,
September 30, and December 31 of each calendar year the gaming operation is
subject to the jurisdiction of the NIGC.

25 C.F.R. §§ 514.1(¢)(4) — Quarterly statements shall be transmitted to the
Commission to arrive no later than the due date.

25 C.F.R. § 514.1(c)(5) requires each gaming operation to remit to the
Commission the fees due each quarter with the quarterly statement.

4. Role of Quarterly Fees and Quarterly Statements

The annual fees collected by the NIGC in order to fund the agency’s work are based upon
the quarterly worksheets submitted by Indian gaming operations. NIGC must set a fee rate
sufficient to fund its annual budget, yet may not exceed the fee cap set by Congress.

Thus, it is imperative that the NIGC receive worksheets from the gaming operations in a
timely manner so that the NIGC is able to set accurate preliminary and final fee rates.

5. Circumstances of the Violation

A.

Respondent is a federally recognized Indian Tribe with tribal headquarters in
Salamanca, New York.

Respondent operated its gaming facilities, Allegany Bingo Hall, and
Cattaraugus Bingo Hall, during all or part of the following year: 2003 &

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The MIGC received an uncincly quarterly statement and fee payment for the
quarter ending December 31, 2004. ‘the quarterly statement and fee payment
were received by the NIGC on January 27, 2005.


D. Respondent’s quarterly statement and fee payment for the quarter ending
December 31, 2004, for Cattaraugus Bingo Hall have not been submitted to
the NIGC.

E. Pursuant to NIGC regulations, the final quarterly statement and fee payment
for 2004 were due on December 31, 2004. 25 C.F.R. § 514.1(¢)(2). Quarterly
statements and fee payments must arrive at the NIGC on or before the
quarter ending date. 25 C.F.R. § 514.1(c)(4). Respondent is therefore in
violation of these regulations for failure to submit a timely quarterly
statement and fee payment.

Measures Required to Correct these Violations

There is no way to rectify the late submission of the December 31, 2004 quarterly statement
and fee payment. The regulations require that the quarterly statement and fee payment be
transmitted to the Commission to arrive no later than the due date.

Appeal

Within 30 (thirty) days after service of this Notice of Violation, Respondent may appeal to
the full Commission under 25 C.F.R. Part 577 by submitting a notice of appeal and, if
desired, request for hearing to the National Indian Gaming Commission, 1441 L Street, NW,
Ninth Floor, Washington, DC 20005. Respondent has a right to assistance of counsel in
such an appeal. A notice of appeal must reference this Notice of Violation.

Within ten (10) days after filing a notice of appeal, Respondent must file with the
Commission a supplemental statement that states with particularity the relief desired and the
grounds therefore and that includes, when available, supporting evidence in the form of
affidavits. If Respondent wishes to present oral testimony or witnesses at the hearing,
Respondent must include a request to do so with the supplemental statement. The request
to present oral testimony or witnesses must specify the names of proposed witnesses and the
general nature of their expected testimony, whether a closed hearing is requested and why.
Respondent may waive its right to an oral hearing and instead elect to have the matter
determined by the Commission solely on the basis of written submissions.

Fine--Submission of Information

The violation cited above may result in the assessment of a civil fine against Respondent in
or omit not to exceed $25,000 per violation per day. Under 25 C. PR. S 575.5(a),
“st may submit written information about the viclation to + van within 15
ster ccvice of this notice of violation (or such longer perio
(Cot snis\toa may grant for good cause). The Chairman shall conside
submutted in determining the facts surrounding the violation and the amount of the civil
fine, if any.

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