September 13, 1999 

Craig J. Dorsay 

Attorney At Law 

2121 S.W. Broadway, Suite 100 

Portland, OR 97201 

Dear Mr. Dorsay : 

This letter responds to YO& request to review and approve the tribal gaming ordiice, adopted 

on July 28, 1999, by the Confederated Tribes of Siletz Indians of Oregon (Tni). This letter 

constitutes approval of the ordiice under the Indian Gaming Regulatory Act VGM). 

Under the IGRA and the regulations of the National Indian Gaming Commission (MGC), the 

Chair is directed to review ordinances with respect to the requirements of the IGRA and 

the implementing regulations. Thus, the scope of the Chair's review and approval is limited to 

the requirements of the IGRA and the MGC regulations. Provisions other than those required 

under the IGRA or the NIGC regublions that may be included in a tribal ordinance are not subject 

to review and approval. Also, such approval does not constitute approval of specific games. It 

is important to note that the gaming ordinance is approved for gaming only on Indian lands as 

defined in the IGRA. 

Thank you 'for submitting the ordinance of the Confederated Tni of Sileb Indians of Oregon 

for review and approval. The NIGC.staff and I look forward to working with you and the Tribe 

in implementing the IGRA. If you have any questions, please contact our office at (202) 632- 

7003. 

Sincerely yours, 

Montie R. Deer 

Chairman 

cc: Siletz Tribd Council 

Siletz Tribal Gaming Commission 

,441 L -E=, N.W. g~ WASHINGTON. D.C. 2flX TEL: 2OSX2-70W FAX. 202-632-7066 
Resolution No. 9 9 - 2 2 4 

Date Approved: Julv 6,1999 

Subject: Distribution of Net Revenues 

Ordinance 

SILETZ TRIBAL COUNCIL 

AUG , 

Resolution ?/999 

WHEREAS, the Siletz Tribal Council is empowered to exercise the legislative and executive authority 

of the Confederated Tribes of Siletz Indians of Oregon pursuant to Mcle IV, Section 1 

of the Siletz Constitution approved June 13,1979 by the Acting Deputy Comxnissimer of 

Indian Affairs; and 

WHEREAS, the Siletz Tri%al Council has received, reviewed, published and read the proposed 

Distribution of Net Revenues Ordinance; now 

THEREFORE BE IT RESOLVED that the Siletz Tribal Council hereby approves waiving the second 

reading and adopt the Distribution of Net Revenues Ordinance. 

Confederated Tribes of Siletz Indians Tribal Council 

CERTIFICATION 

This Resolution was adopted at a Special Tribal Council Meeting held on %-- 6 1999 which a quonun of 

the Tribal Council was present, and the Resolution was adopted by a vote of FOR, 

- 0 AGAINST, and 0 ABSTAINING, the Chairman or Vice Chairman being authorized to sign the 

Resolution. 

Bonnie Petersen, Tribal Council Vice-Chainnan 

bal Council Executive Secretary, 

respon~iblo for preparation and 

,, roaolutions enacted by the Siletz 

Tribal Counc;l, and that this resolutio 

and corroc;l copy of Resolution No. 

passed by tho Siletz Tribal Council at 

Tribal Coupcilpeetlnp on 7/(./99, hald in 
Confederated Tribes of Siletz Indians of Oregon 

Distribution of Net Revenues Ordinance 

5 6.80 

8 6.80 Authority. The Confederated Tribes of Siletz Indians of Oregon ("Siletz Tribe") operates a 

gaming enterprise, established by tribal charter, on reservation trust land, pursuant to the Indian Gaming 

Regulatory Act ("IGRA"), 25 U.S.C. 5 2701 et seq. The gaming enterprise operates a gaming facility 

known as Chinook Winds Casino and Convention Center. IGRA provides a statutory basis for the 

operation of gaming by Indian tribes as a means of promoting tribal economic development, selfsufficiency and strong tribal government, and requires that net revenues from any tribal gaming operation 

must be used only for the following purposes: 

(a) to fund tribal government operations or programs; 

(b) to provide for the general welfare of the Indian tnbe and its members; 

(c) to promote tribal economic development; 

(d) to donate to charitable organizations; or 

(e) to help fund operations of local government agencies. 

See 25 U.S.C. 5 2710(b)(2)(B); 25 U.S.C. 4 2710(d)(2)(A); 25 U.S.C. 5 2702. This requirement is also 

set out in federal regulations at 25 CFR 8 522.4 and 25 CFR § 522.6. The Siletz Tribal Council, pursuant 

to its delegated ~uthority set forth at Al?ic!e N, Secticn 1 of the Siletz Constitution, has authority to carry 

out the purposes of the Siletz Constitution, one of which is to "acquire, develop and conserve resources to 

achieve economic and social self-sufficiency for our tribe." 

8 6.81 Puruose. 

The Siletz Tribe established its gaming enterprise and operates Chinook Winds Casino to 

generate revenues to provide services to tribal members and their families, to hd tribal government 

operations, and for other purposes specified by IGR4. The purpose of this Ordinance is to establish a 

plan and procedure for the disbursement and use of net revenues from the Siletz Tribe's gaming operation 

Distribution of Net Revenues Ordinance 

Page 1 of 8 

Adopted July 6, 1999 

Resolution #99-224 
consistent with IGRA, with the Siletz Constitution and with tribal law. 

5 6.82 Definitions. 

Except as specifically defined herein, the terms used in this ordinance shall have the meaning 

given them in the Indian Gaming Regulatory Act, or in federal regulations and policies implementing said 

Act. 

(a) "Charitable contributions" shall mean grants to charitable organizations or local 

governments within the Siletz Tribe's Service Area for any of the following purposes: education; 

health; public safety; gambling addiction education, prevention, and treatment; housing; the arts; 

the environment and natural resource preservation; cultural activities; historic preservation; and 

other charitable purposes. See 8 6.87(a), for further clarification of these terms. 

@) "Excess tribal net revenues" shall mean those net revenues of the Siletz Tribe's gaming 

operation less amortized payment of the gaming operation's capital, construction, and equipment 

costs. 

(c) "Gaming Operation" shall mean the Siletz Tribe's gaming enterprise conducted in the 

Gaming Facility known as the "Chinook Winds Casino and Convention Center" or the "Chinook 

Winds Casino" ("Chinook Winds"), located on trust land within the Siletz Tribe's reservation in 

Lincoln City, Oregon. Both gaming and non-gaming activities take place within Chinook Winds. 

Chinook Winds Casino is the subject of a Tribal-State Compact negotiated with the State of 

Oregon and approved by the Secretary of the interior, pursuant to IGM, as amended. 

The Siletz Tribe operates a non-profit bingo operation on trust lands of the Siletz 

Reservation in Siletz, Oregon. 

To the extent additional gaming operations are authorized by the Siletz Tribe pursuant to 

IGRA, such gaming operations shall be included within the defmition of Gaming Operation under 

this Ordinance. 

(d) "Net revenuesv' shall mean gross revenues of an Indian gaming operation less - 

(1) amounts paid out as, or paid for, as prizes; and 

Distribution of Net Revenues Ordinance 

Page 2 of 8 

Adopted July 6, 1999 

Resolution #99-224 
(2) total operating expenses of the Indian gaming operation, excluding management 

fees. See 25 U.S.C. 8 2703(9). 

(e) "Service Area" shall mean the eleven county geographic territory which the Siletz 

Restoration Act, 25 U.S.C. 4 71 1 et seq., its legislative history and technical amendments define 

as the territory which is deemed equivalent to a reservation for the Siletz Tribe, for purposes of 

federal services and benefits. 

Part I 

Distribution of Net Revenues; Repayment of 

Capital, Construction, and Equipment Costs 

§ 6.83 Prioritv for Distribution of Net Revenues. 

Net revenues from the Siletz Tribe's Gaming Operation shall be dedicated exclusively, as a first 

priority, to repayment of capital, construction, and equipment costs (repayment of principal) of the 

Gaming Operation known as Chinook Winds and which are the subject of written contracts or 

agreements. To the extent such costs are amortized or other arrangements exist for repayment of 

principal amounts over time or pursuant to a formula, the priority established in this Section for use of 

Net revenues shall be satisfied when monthly principal payments specified in the contracts or agreements 

have been made and sufficient operating reserves, according to prudent business standards or set forth in 

such contracts or agreements, are in place to make future operational and principal payments. 

Part 11 

Distribution of Net Revenues; Distribution of 

Excess Tribal Net Revenues 

§ 6.84 Procedure for Distribution of Excess Tribal Net Revenues. 

(a) Priority for Distribution of Excess Tribal Net Revenues. Excess tribal net revenues 

shall be disbursed after disbursement of Net revenues as set out in 4 6.83 has been satisfied. 

Distribution of Net Revenues Ordinance 

Page 3 of 8 

Adopted July 6,1999 

Resolution #99-224 
(b) Categories and Formula for Distribution of Excess Tribal Net Revenues. Excess 

tribal net revenues shall be distributed by the Tribal Council as specifically authorized by IGRA 

and as set forth in Tribal Council Resolution No. 95-238, passed on July 16, 1995, as modified in 

this Ordinance, in the following categories and amounts: 

Fiscal Year Net Revenues 

Categorv 

1998 1999 2001 

Government 20% 20% 20% 20% 

Operations 

General 25% 25% 25% 40% 

Welfare 

Economic 20% 20% 20% 15% 

Development 

Investments 30% 30% 30% 20% 

Charitable 05% 05% 05% 05% 

Purposes 

(c) General Procedure for Distribution of Excess Tribal Net Revenues. Excess tribal net 

revenues for a particular fiscal year for the Gaming Operation shall be cerhfied to the Tribal 

Council by an independent auditor within ninety (90) days after the end of each fiscal year, as 

part of the independent annual audit conducted of the Gaming Operation pursuant to the Compact 

and IGRA. lhs amount shall then be allocated into the categories as set forth in subsection (b), 

and expenditure of those funds, except for funds allocated pursuant to fjfj 6.85 and 6.87, shall be 

accomplished pursuant to the Siletz Budget Ordinance. Except for the category of charitable 

purposes, addressed in tj 6.87, the Tribal Council may establish procedures or advisory bodies, as 

necessary and appropriate, to recommend how and for what purposes excess tribal net revenues 

should be expended in the various categories. 

5 6.85 Procedure for Distribution of Revenues Distributed to the Investments Cate~ory. 

(a) Policy. It shall be the policy of the Siletz Tribe to invest a percentage of excess tribal net 

Distribution of Net Revenues Ordinance 

Page 4 of 8 

Adopted July 6, 1999 

Resolution #99-224 
revenues, as set out in 4 6.84(b), to meet the long term needs of the Tribe in Government 

Operations, General Welfare, and Economic Development. The principal accumulated under this 

investment category shall be preserved, and only the earnings fi-om principal shall be available 

for annual expenditure, pursuant to the procedures of the Budget Ordinance of the Tribe. 

@) Procedure. Excess tribal net revenues distributed to the Investments category pursuant 

to 6.84 shall be invested pursuant to the formal investment policy of the Tribe. Each year the 

Tribe shall, in its budget procedure, allocate the earnings earned in the previous year from said 

investments to the three IGRA categories set out in this Section (Government Operations, 

General Welfare, and Economic Development), in percentage amounts approved by the Tribal 

Council. The Tribe shall authorize use of funds from the investment fund principal only on an 

extraordinary basis, only for a specific stated purpose, and only by a two-thirds (213) vote of the 

seated members of the Tribal Council. 

Part 111 

Distribution of Excess Tribal Net Revenues; 

Charitable Contributions 

fj 6.86 Policv. 

The Siletz Tribe is a permanent and important component of the local community. The Tribe is 

an active participant in local governmental and community affairs. The Tribe has affmed its 

participation as a member of the community in part through its long-standing financial commitment to 

and support of local governments and charitable causes. The Siletz Tribe hereby reaffirms that its 

support of local government and the local community is of an on-going and permanent nature. 

5 6.87 Procedure for Disbursement of Funds from the Charitable Puruoses Cate~ory of Excess 

Tribal Net Revenues. 

(a) Disbursements to Local Governments; Tribal Expenditures. The Siletz Tribe may 

Distribution of Net Revenues Ordinance 

Page 5 of 8 

Adopted July 6, 1999 

Resolution #99-224 
enter into inter-governmental agreements with local governments to fund costs associated with 

the presence of the Gaming Operation in the community, or to fund requests from local 

governments. Inter-governmental agreements involving the funding of infrastructure costs 

associated with the presence of the Gaming Operation in the community shall be funded as an 

operating cost of the Gaming Operation. Charitable activities sponsored by or operated by local 

governments shall be fimded pursuant to this Part. 

The Tribe funds tribal programs which include the charitable purposes defined at 8 

6.82(a). Regular tribal programs shall not be funded from the Charitable Purposes Category of 

Excess Tribal Net Revenues. 

(b) Disbursements for Charitable Purposes. The Siletz Tribe has allocated a percentage 

of excess tribal net revenues of the Gaming Operation to the Charitable Purposes Category for 

distribution for charitable purposes. The Tribal Council shall make grants of funds fkom this 

account to entities who request fbnding from the Tribe for charitable purposes, after review and 

upon the recommendation of an Advisory Board. 

(c) Establishment of the Advisory Board. An Advisory Board shall be established by the 

Tribal Council, whose responsibility shall be to solicit and review charitable grant requests made 

to the Tribe pursuant to this Section, and to recommend funding of specific requests to the Tribal 

Council. The Advisory Board established by this Section shall not be a Committee as set out in 5 

2.21 of the Tribal Council Rules of Procedure or pursuant to the Tribe's Standing Committee 

Ordinance. The Advisory Board shall consist of seven (7) persons, appointed to the Board as 

follows: 

(1) one member of the Siletz Tribal Council, to be appointed by the Tribal Chairman, 

with approval of the Tribal Council; 

(2) three tribal members of the Siletz Tribe, to be recommended by the Tribal 

Chairman and approved by the Tribal Council; 

Distribution of Net Revenues Ordinance Adopted July 6, 1999 

Resolution #99-224 

Page 6 of 8 
(3) two non-tribal members from a list of candidates mutually agreeable to the 

Governor of the State of Oregon and the Tribal Chairman and comprised of residents of 

Lincoln County, to be selected by the Tribal Chairman and approved by the Tribal 

Council; and 

(4) one member of the public, to be selected by the Tribal Chairman from a list of 

candidates submitted by the Governor of the State of Oregon comprised of residents of 

the Tribe's Service Area, and approved by the Tribal Council. 

(d) Advisory Board Procedure. The Advisory Board may adopt bylaws or rules of 

procedure as necessary to conduct its business. Costs of conducting the business of the Advisory 

Board and reimbursement of expenses of Advisory Board members and staff, if any, shall be 

made from the funds allocated to the Charitable Purposes Category. The Advisory Board shall 

issue an annual report each year setting out charitable activities funded, Charitable Purposes 

Category assets, operating costs and expenses, and grant awards made during the past year. The 

Tribal Council may modify or alter the structure of the Advisory Board as conditions warrant, by 

a 213 vote of the full Tribal Council. 

(e) Role of the Advisory Board. The Advisory Board shall establish criteria for the award 

of funds each year from the Charitable Purposes Category. The Board shall solicit and review on 

a quarterly basis charitable grant requests submitted to the Tribe or to Chinook Winds, or more 

often as necessary. Funding requests shall be limited to entities and activities located in the Siletz 

Service Area, or to Native American entities or activities located anywhere in the United States. 

Charitable Purposes Category funds may be reserved for or allocated to multi-year grant 

distributions. The Advisory Board shall rank grant requests and shall recommend a list of grant 

requests to the Tribal Council for approval, with supporting documentation. The Tribal Council 

shall make final grant awards by Tribal Council Resolution, after review and discussion of the 

Advisory Board's recommendations. 

Distribution of Net Revenues Ordinance Adopted July 6,1999 

Resolution #99-224 

Page 7 of 8 
(0 Structure of the Advisory Board. Members of the Advisory Board shall be removed 

only for cause, in a hearing before the Tribal Council at which the accused Advisory Board 

member shall be provided the opportunity to appear and present evidence on his or her own 

behalf. The term of office of Advisory Board members shall be three (3) years. Vacancies on 

the Advisory Board shall be filled according to the requirements for Board members set out in 

subsection (c) of this Section. 

(g) Other Charitable Requests. The requirements of this Section shall apply to charitable 

requests funded from Net revenues as defined by this Ordinance. The Tribal Council may choose 

by Resolution to apply the procedures of this Section to charitable funding requests involving 

other tribal funding sources. 

5 6.88 Amendment. 

This Ordinance shall not be amended or revoked except by a two-thirds vote of seated members 

of the Tribal Council. 

CERTIFICATION 

The foregoing ordinance was amended by the Siletz Tribal Council at a Special Council meeting held on July 

6,1999 at which a quorum was present, and the ordinance was adopted by a vote of FOR, -0- AGAINST, 

and ABSTAINING. 

SILETZ TRlBAL COUNCIL 

Tribal cou&ilchairman 

ATTEST: 

Tribal @$ma1 SecretarytTreasurer 

Distribution of Net Revenues Ordinance 

Tribal Council Executive Secretary, 

rm respoii,. :!? for preparation and 

Page 8 of 8