NATIONAL INDIAN GAMING COMMISSION 

NOTICE OF VIOLATION 

TO: Port Gamble S'Klallam Tribe 

Attn: Ron Charles, Chairman 

(AGENT FOR SERVICE OF PROCESS) 

3 19 12 Little Boston Road NE 

Kingston, WA 98346 

FAX: (360)297-7097 

Rose E. Purser, Chairperson 

Port Gamble S'WaElam Gaming Board 

7989 Salish Lane NE 

Kingston, WA 98346 

FAX: (3GO) 297- 129 1 

I. Notification of Violation 

The Chairman of the National Indian Gaming Commission (NIGC) hereby gives 

notice that the Port Gamble S'Klallam Tribe (Respondent or Tribe), located in 

Kingston, Washington, has violated NIGC regulations by failing to submit timely 

quasterly statements and fee payments for the Point No Point casino for the 

quarters ending June 30, September 30, and December 31 of calendar year 2008. 

2. Authority 

Under the Indian Gaming Regulatory Act (IGRA) and NTGC regulations, the 

Chairman of the NiGC (Chairman) may issue a Notice of Violation (NOV) to any 

person for violation of any provision of the ICRA, NIGC regulations, or any 

provision of a tribal gaming ordinance or resolution approved by the Chairman. 

25 U.S.C. (i 2713; 25 C.F.R. 5 573.3. 

3. AppIicable Federal Laws 

-4. IGRA requires the NlGC to establish a schedule of fees to be paid to the 

Commission annually by each gaming opmtion that conducts a class I1 or 

class III gaming activity. 25 U.S.C. tj 271 7. 
R. NIGC regulations require that each gaming operation under the 

Jurisdiction of the Commission shall pay to the Commission annual fees as 

estabIished by the Commission. 25 C.F.R. 5 5 14.1 (a). 

C. Each gaming operation subject to the jurisdiction of the Commission and 

not exempt from paying fees pursuant to the seIf-regulation provisions 

shall file with the Commission a quarterly statement showing its 

assessable gross revenues for the previous calendar year. 25 C.F.R. 5 

514.1(c). 

D. The quarterly statements are due March 3 1, June 30, September 30, and 

December 3 1 of each calendar year the gaming operation is subject to the 

jurisdiction of the NIGC. 25 C.F.R. 8 5 14.1 (c)(2). The quarterly 

- statements shall be transmitted to the Commission and arrive no later than 

the due date. 25 C.F.R. $ 5 14.1 (c)(4). 

E. NIGC regulations require each gaming operation to remit to the 

Commission the fees due each quarter with the quarterly statement. 25 

C.F.R. 5 5 14.1 (c)(5). 

F. The NIGC may assess a penalty for failme to file timely a quarterly 

statement. 25 C.F.R. fi 5 14. I (c)(9$. 

G. NIGC regulations define "gming operation" as "each economic entity 

that is licensed by a tribe, operates the games, receives the revenues, 

issues the prizes and pays the expenses." A gaming operation may be 

operated by a tribe directly: by a management contractor: or. under certain 

conditions, by another person or other entity. 25 C,F.R. 9 502.10. 

4. Role of Quarterlv Fees and Quarterly Statements 

The annual fees collected by the NIGC are necessary in order to fund the agency's 

oversight and regulation of Indian gaming and are based upon the quarterIy 

statements 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 quarterly statements 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 Kingston, Washington. 
B. Tl~e Tribe operated its gaming operation. Point No Point Casino. during all 

or part of 2007 and 2008. 

C. The NIGC received untimely quarterly statements and fee payments for 

the Point No Point Casino as foIlows: 

For the quarter ending June 30,2008, on July 10,2008, 10 days 

late. 

For the quarter ending September 30.2008, on October 1 7,2008. 

17 days late. 

For the quarter ending December 3 1,2008, on January 26,2009, 

26 days late. 

D. The Tribe's failure to submit timely quarterIy statements and fcc payments 

violates NIGC regulations. 

6. Measures Required to Correct the Violation 

While there is no remedial action that can correct the untimely submission of 

quarterly statements and fces, improved controls to ensure timely srrbrnission of 

future quarterly statements and fees should be put in place. 

Within thirty (30) days after senrice of this Notice of Violation, Respondent may 

appeal to the fuII 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 (1 0) days afier filing a notice of appeal, Respondent must file with the 

Cammission a supplemental statement that states with particularity the relief 

desired and the ~~ounds therefore and that includes, when available, supporting 

evidence in the form oiaffidavits. If Respondent wishes to present oral testimony 

or witnesses at the hearing. Respondent must indude 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 genera1 nature of their expected 

testimony, whether a closed hearing is requested and why. Respondent may 

waives its right to an oral hearing and instead elect to have the matter determined 

by the Commission solely on the basis of written submissions. 

8. Finc-Submission of Information 

The violation cited above may result in the assessment of a civil fine against 

Respondent in an amount not to exceed $25,000 per violation per day. Under 25 
C.F.R. $ 575.5(a), Respondent may submit written information about the violation 

to the Chainnan within fifteen (1 5) days after service of this notice of vioIation 

(or such longer period as the Chairman may grant for good cause). The Chairman 

shall consider any information submitted in determining the facts surrounding the 

violation and the amount of the civil fine, if any. 

9. Assessment of Interest 

Interest may be assessed at rates set by the Secretary of the Trea~ury on amounts 

remaining unpaid after their due date. 3 1 U.S.C.. 5 371 7 and 25 C.F.R. $ 

514 .l (cS(10). 

Dated this-Zof~~ri1.2009 

/' 

Chairman 

Staff Attorney 
Certificate of Service 

I cedi fy that this Notice of Violation was sent by facsimile transmission and certified 

U.S. mail, return receipt requested, on this znd day of April, 2009 to: