VIA FACSIMILE & REGULAR MAIL 

Sheldon Wolfchild, President 

Cower Sioux Indian Community 

RR. 1, Box 1 

Morton, Minnesota 56270 

Fa: (507) 697-6185 

Ms. Mbi Doder, Esq. 

Steven D. Sandven Law Offices 

General Counsel, LSIC 

300 North Dakota Avenue, Suite 106 

Sioux Falls, South Dakota 57104 

Fax: (605) 332-4408 

Re: Gaming Ordime of the hwer Sioux Indian Community 

Dear President Wolfchild and Ms. Doefler: 

This letter is in response to the your request for the National Indian Gaming Commission WGC) 

to review and approve the revised Gaming Ordinance for the Lower Sioux Indian Community, 

enacted pursuant to Resolution Number 06-39 on March 16,2006, and received by the NIGC on 

March 17, 2006. This letter constitutes such approval under the Indian Gaming Regulatory Act 

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

lands, asp IGRA, over which the Tribe has jurisdiction. 

e for review and approval. The NIGC staff and I look 

Sioux Indian Community on futwe gaming issues. 

NATIONAL ~EAOQWRTERS 1441 L St. NW, Suite 9100. Washington. DC 20005 Tel: 202.632.7003 Fax: 202.632.7066 WWW.Ntcc.GW 

REGIONAL OFFICES Podand. OR; Sacramento, CA; Phoenix, AZ; St. Paul, MN;Tulsa, OK 
HAR-16-2006 THU 02: 38 PI LOWER SIOUX INDIAN COH!, FAX NO, 507 637 4380 P, 02/10 

Lower Sioux Indian Community 

P.O. Box 308 39527 Res. Hwy. 1 

Morton, Minnesota 56270 

LOWER SIOUX.COMMUMTY COUNCIL 

RESOLUTION NO. - -, Ob-3q 

Submission of Revised Gaming Ordinance to 

National Indian Gaming Commirsinn 

WHEREAS, The Lower Sioux Indian Community is a duly organized nnd federallyrecognized Indian Tribe and bas Constitutiol~ and By-Laws as approved by 

the Secretary of the Interior; and, 

WHEREAS, The Constitution and By-laws of the Lower Sioux Indian Conlmunity in 

Minnesota ARTICLE V - POWERS Section 1 provides, that the Tribe 

shall be governed by the Community Co~~ncil pursuant to its enumerated 

authorities; and 

WHEREAS, On November 1 1, 1993, the Lower Sioux Community Council adopted, 

and the Chairman of the National Indian Gaming Commission, acting 

under the authority of the Indian Gaming Regulatory Act of 1988,25 

U.S.C. $271 O(b)(l)(S), subsequently approved thc Lower Sioux Indian 

Community Gaming Ordinance; and 

WHEREAS, The ailached l>roposecl Amended Gaming Ordina~~ce promotes safeguards 

in the following sections to prevent the misappropriation of gaming 

rcvtnucs: (I) Section V - use of gaming revenue; (2) Scction VI - 

minimum qualifications for the management board of directors; (3) 

Section VII - independence of the Tribal ganling commission and clearly 

delineated authorities; (4) VU[ - code of ethics that applies to both the 

Tribal gaming commission and the management board of directors; and 

(5) XI11 - clearly delineated iiccnsing criteria for key employees and 

primary management officials; and 

WHEREAS, On December 15,2005, pursuant to a Community Council directive 

General Counsel submitted a draft gaming ordinance to the National 

Indian Gaming Commission for an infonnal review; and 
HAR- 16-2006 THU 02 : 38 PI LOWER SIOUX INDIAN COII, FAX NO, 507 637 4380 

WHEREAS, The Community Council has rcvicwed the recommendations of thc 

National Indian Gaming Commission and 11s incorporated same into the 

anlendd gui~i~ig ordinance; and 

WHEREAS, On March 9,2006, the Comntunity Council passed Resolution No. 06-23 

authorizing submission of thc hmcndod Gaming Ordinance that 

incorporated the recommendations of the NIGC; and 

WI-IEREAS, On March 9,2006, the Amended Gaming Ordinance and Resolution No. 

06-23 were forwarded to the NlGC for approval; and 

WHEREAS, Aftcr furthcr rcvicw, tile NIGC has detemiined that an additional 

revision is required subsequent to their approval; and 

NOW, THEREFORE BE IT RESOLVED, The Community Council hereby authorizes 

submission of the attached proposed Amended Gaming Ordinance (incorporated herein) 

to the Natioilal Indian Gaming Commissio~~ for approval pursuant to the Indian Gaming 

Reg~ilatory Act. 25 U.S.C. 8 2701 ct scq. 

I certify that Resolution No.&&ms July adopted by the Lower Sioux Co1111nunity 

Council at a meeting held on the 16" day of March, 2006. a quorum being present by a 

vote of 5 in favor, _ODpposcd, and obtaining. 
Index 

I. Purpose 

11. Definitions 

111. Gaming Authorized 

IV. Ownership of Gaming 

V. Use of Gaming Revenue 

VI. Board of Directors 

VII. Gaming Commission 

VIII. Ethics 

IX. Complimentary Items 

X. Audit 

XI. Environment and Public Health and Safety 

XII. Dispute Resolution 

XIII. Licenses for Key Employees and Primary Management Oficials 

A. Scope 

B. Application Forms 

C. Background Investigations 

D. Eligibility Determination 

E. Procedures for Forwarding Applications and Reports for Key 

Employees and Primary Management Officials to the NIGC 

F. Report to the NIGC 

G. Granting a Gaming License 

H. License Suspension 

I. Board of Review for Disputes 

XIV. Licenses for Vendors 

XV. Minimum Internal Control Standards 

XVI. License Locations 

XVII. Agent for Service of Process 
XVIII. Compliance with Federal Law 

XIX. Repeal 
ORDINANCE NO. 

LOWER SIOUX INDIAN COMMUNITY GAMING ORDINANCE 

I. Purpose 

The Lower Sioux Indian Community empowered by Community's Constitution hereby enacts 

this ordinance in order to regulate gaming activities within the Community's jurisdiction. 

11. Definitions 

Unless a different meaning is clearly indicated in this Ordinance, the terms used herein shall 

have the same meaning as defined in the Indian Gaming Regulatory Act (IGRA), 25 U.S.C. 5 

2701 et seq., and its regulations, 25 C.F.R. 9 500 et seq. Specifically: 

A. Board of Directors means the Tribal Gaming Board of Directors, who shall serve as 

primary management officials who shall work closely with the General Manager in the 

development of policies governing the management aspects of the Tribally-owned 

gaming operation(s). 

B. Class I gaming means social games solely for prizes of minimal value or traditional 

forms of Indian gaming engaged in by individuals as a part of, or in connection with, 

tribal ceremonies or celebrations. 

C. Class I1 gaming has the same definition as laid out in 25 U.S.C. § 2703(7)(A) and means 

a. the game of chance commonly known as bingo (whether or not electronic, 

computer, or other technologic aids are used in connection therewith): 

1. which is played for prizes, including monetary prizes, with cards bearing 

numbers or other designations, 

. . 

11. in which the holder of the card covers such numbers or designations when 

objects, similarly numbered or designated, are drawn or electronically 

determined, and 

. . . 

111. in which the game is won by the first person covering a previously 

designated arrangement of numbers or designations on such cards, 

including (if played in the same location) pull-tabs, lotto, punch boards, tip 

jars, instant bingo, and other games similar to bingo, and 

b. card games that; 

1. are explicitly authorized by the laws of the State, or 

. . 

11. are not explicitly prohibited by the laws of the State and are played at any 

location in the State, but only if such card games are played in conformity 

with those laws and regulations (if any) of the State regarding hours or 

periods of operation of such card games or limitations on wagers or pot 

sizes in such card games. 
c. The term "class I1 gaming" does not include: 

1. any banking card games, including baccarat, chemin de fer, or blackjack 

(211, or 

. . 

11. electronic or electromechanical facsimiles of any game of chance or slot 

machines of any kind. 

Class I11 gaming means all forms of gaming that are not class I gaming or class I1 

gaming. 

Commission means the Tribal Gaming Commission established to perform regulatory 

oversight and to monitor compliance with Tribal, federal, and applicable State 

regulations. 

Commissioner means a Tribal Gaming Commissioner. 

Compact means a Tribal-State Compact concerning class I11 gaming approved pursuant 

to 25 U S.C. 8 2710(d). 

Complimentary means a service or item provided at no cost, or at a reduced cost, to a 

customer. 

Directly related to means a spouse, child, parent, grandparent, and grandchild. 

Director means a Member of the Tribal Gaming Board of Directors. 

Indian lands means 

a. all lands within the limits of any Indian reservation; and 

b. any lands title to which is either held in trust by the United States for the benefit 

of any Indian Tribe or individual or held by any Indian Tribe or individual subject 

to restriction by the United States against alienation and over which an Indian 

Tribe exercises governmental power. 

Indian Tribe means the Lower Sioux Indian Community. 

Key Employee means 

a. A person who performs one or more of the following functions: 

1. Bingo caller; 

. . 

11. Counting room supervisor; 

. . . 

111. Chief of security; 

iv. Custodian of gaming supplies or cash; 

v. Floor manager; 

vi. Pit boss; 
vii. Dealer; 

. . . viii. Croupier; 

ix. Approver of credit; or 

x. Custodian of gambling devices including persons with access to cash and 

accounting records within such devices; 

b. If not otherwise included, any other person whose total cash compensation is in 

excess of $50,000 per year; or 

c. If not otherwise included, the four most highly compensated persons in the 

gaming operation. 

N. Net Revenues means gross gaming revenues of an Indian gaming operation less 

a. Amounts paid out as, or paid for, prizes; and 

b. Total gaming-related operating expenses, excluding management fees. 

0. Per Capita Payment means the distribution of money or other thing of value to all 

members of the Community, or to identified groups of members, which is paid.directly 

from the net revenues of any tribal gaming activity. 

P. Primary Management Official means 

a. The person(s) having management responsibility for a management contract; 

b. Any person who has authority: 

1. To hire and fire employees; or 

. . 

11. To set up working policy for the gaming operation; or 

c. The chief financial officer or other person who has financial management 

responsibility. 

111. Gaming Authorized 

Class I1 and Class I11 gaming are hereby authorized. 

IV. Ownership 

The Tribe shall have the sole proprietary interest in and responsibility for the conduct of any 

gaming operation authorized by this ordinance. 

V. Use of Gaming Revenue 

A. Net revenues from tribal gaming shall be used only for the following purposes: 

a. to fund tribal government operations and programs; 

b. to provide for the general welfare of the Tribe 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. 

B. Any Community per capita payments to tribal members shall be in accordance with a 

plan submitted to and approved by the Secretary of the Interior under 25 U.S.C. Q; 

27 10(b)(3). 

C. The Community shall ensure that the interests of minors and other legally incompetent 

persons who are entitled to receive any per capita payments under a Tribal per capita 

payment plan are protected and preserved, and that the per capita payments are disbursed 

to the parents or legal guardian of such minors or legal incompetents in such amounts as 

may be necessary for the health, education, or welfare of the minor or other legally 

incompetent person, under a plan approved by the Community Council and the Secretary 

of the Interior. 

VI. Board of Directors 

A. In addition to the General Manager for the facility, there shall be established a Tribal 

Gaming Board of Directors which shall serve in policy oversight role over the nonregulatory operations of the gaming operation. In the event the Community enters into a 

management contract approved by the NIGC, the Board may delegate some or all duties 

to the approved management contractor. Regulation of the gaming operation shall be the 

sole responsibility of the Tribal Gaming Commission. 

B. The Board of Directors shall consist of three (3) members; a Chairperson, ViceChairperson, and Director. Terms of ofice for members of the Tribal Gaming Board of 

Directors shall be as follows: the Chairperson shall serve an initial term of one year, with 

subsequent Chairpersons serving three-year terms. The Vice-Chairperson and other 

Director(s) shall serve an initial term of two years, with subsequent Vice-Chairpersons 

and Directors serving three-year terms. The members of the Board shall be subject to the 

same background requirements as key employees and primary management officials, and 

must be licensed accordingly. The minimum requirements for appointment as a member 

of the Board of Directors are as follows: 

a. Oneofthefollowing: 

1. Degree in Business Administration, Accounting, Marketing, or an 

equivalent field; 

. . 

11. Minimum five (5) years experience in business management; 

... 

111. Minimum two (2) years experience in casino management; or 

iv. Demonstrated knowledge of federal Indian law, the Indian Gaming 

Regulatory Act, and related statutes and regulations. 

C. The Board of Directors shall perform the following duties: 
I. Approve non-regulatory policies of the gaming facility, whether managed by a 

tribal employee or by an approved management contractor; 

. . 

11. Inspect and examine on a periodic basis all books, records, and papers of the 

gaming facility; 

... 

111. Approve hours of operation for the gaming facility; 

iv. Approve wager limits; 

v. Approve marketing plans; 

vi. Approve policies regarding interviews, selection, and training of the gaming 

operation employees; 

vii. Approve employee policies, rate of pay, and hours of work; 

. . . viii. Approve an annual operating budget, subject to Community Council approval; 

ix. Any other duties necessary to monitor and oversee the policies of the gaming 

operation. 

D. Board of Director positions shall be filled through appointment by the Community 

Council. 

E. The Community recognizes the importance of an independent Tribal Gaming Board of 

Directors maintaining a well-managed gaming operation. To avoid potential conflicts of 

interest between the operation and regulation of the gaming facility, the Community 

hereby finds that, at a minimum: 

a. No more than one member of the Community Council may serve on the Board of 

Directors. No member of the Tribal Gaming Commission may serve on the Board 

of Directors; 

b. No person directly related to or living with a Tribal Gaming Commissioner may 

serve on the Board of Directors; 

c. Members of the Board of Directors are prohibited from gambling in the facility; 

and 

d. Members of the Board of Directors are prohibited from accepting complimentary 

items from the gaming operation. 

. Members of the Board of Directors may be removed from office by the Community 

Council prior to the expiration of their respective terms only for neglect of duty, 

misconduct, malfeasance, or other acts that would render the Director unqualified for the 

position. When the Community Council believes that removal is appropriate, it shall so 

notifj the Director(s) and hold a hearing on the matter. Directors may appeal their 

removal to the Community Council, and may provide evidence rebutting the grounds for 

their removal. A vote of the Community Council on the validity of the removal shall be 

final and not subject to further appeal. A wronghl removal shall entitle the affected 
Director to compensation for expenses incurred in appealing the wrongful removal, and 

shall entitle the Director to any pay withheld. 

H. Members of the Tribal Gaming Board of Directors shall be compensated at a level 

determined by the Community Council. 

VII. Gaming Commission 

A. The Community hereby establishes a Tribal Gaming Commission whose duty it is to 

regulate tribal gaming operations. The Tribal Gaming Commission shall consist of at 

least three (3) but not more than five (5) members. There shall be among them a 

Chairperson, Vice-Chairperson, and at least one additional Commissioner. 

B. The purpose of the Tribal Gaming Commission is regulatory, not managerial. The 

Commission will conduct oversight to ensure compliance with Tribal, Federal, and, if 

applicable, State laws and regulations. The Commission will serve as the licensing 

authority for individuals employed in the gaming operation and administer background 

investigations as part of the licensing process. The Commission will also have a role in 

monitoring compliance with the internal control standards for the gaming operation and 

in tracking revenues. In order to carry out its regulatory duties, the Commission shall 

have unrestricted access to all areas of the gaming operation and to all records. The 

Commission shall have authority to take enforcement actions, including suspension or 

revocation of an individual gaming license when appropriate. 

C. The Community recognizes the importance of an independent Tribal Gaming 

Commission in maintaining a well-regulated gaming operation. The Commission shall be 

and act independently and autonomously fiom the Community in all matters within its 

purview. No prior or subsequent review by the Community Council of any actions of the 

Commission shall be required or permitted except as otherwise explicitly provided in this 

Ordinance. To avoid potential conflicts of interest between the operation and regulation 

of the gaming facility, the Community hereby finds that, at a minimum: 

a. No member of the Community Council or Tribal Gaming Board of Directors may 

serve on the Gaming Commission; 

b. No member directly related to or living with any Community Council member or 

Tribal Gaming Board of Directors member may serve on the Gaming 

Commission; 

c. Members of the Gaming Commission are prohibited fiom gambling in the 

facility; and 

d. Members of the Gaming Commission are prohibited fiom accepting 

complimentary items fiom the gaming operation. 

D. Tribal Gaming Commissioner positions shall be filled through appointment by the 

Community Council. 

E. Nominees for positions of Tribal Gaming Commissioner must satis@ suitability standards 

set forth for key employees and primary management officials, found in Section XI11 of 
this Ordinance. Such background investigations shall be performed under the direction of 

the Community Council or designated official. 

F. The Tribal Gaming Commission shall: 

a. Conduct or cause background investigations to be conducted on, at a minimum, 

primary management officials and key employees; 

b. Review and approve all investigative work conducted; 

c. Report results of background investigations to the NIGC; 

d Obtain and process fingerprints, or designate a law enforcement agency to obtain 

and process fingerprints; 

e. Make suitability determinations, which shall be signed by the Chairperson of the 

Gaming Commission; 

f Issue gaming licenses to management officials and employees of the operation, 

consistent with the suitability determination; 

g. Inspect, examine and monitor all gaming activities, and have immediate access to 

review, inspect, examine, photocopy and audit all records of the gaming 

establishment; 

h. Ensure compliance with all Tribal, State, and Federal laws, rules, and regulations 

regarding Indian gaming; 

1. Investigate any suspicion of wrongdoing associated with any gaming activities; 

j. Hold hearings on patron and/or employee complaints, in compliance with 

procedures established in the gaming ordinance and other Tribal gaming 

regulations; 

k. Comply with any and all reporting requirements under the IGRA, Tribal-State 

compact to which the Community is a party, and any other applicable law; 

1. Promulgate and issue regulations necessary to comply with the Community and 

the NIGC's Minimum Internal Control Standards (MICS); 

m. Promulgate and issue regulations on the levying of fees and/or taxes associated 

with gaming license applications; 

n. Promulgate and issue regulations on the levying of fines and/or suspension or 

revocation of gaming licenses for violations of the gaming ordinance, or any other 

Tribal, Federal, or State, if applicable, gaming regulations; and 

o. Perform such other duties the Commission deems appropriate for the proper 

regulation of the Tribal gaming operation. 

G. The Gaming Commission shall ensure that all records and information obtained as a 

result of all employee background investigations shall remain confidential and shall not 

be disclosed to persons who are not directly involved in the licensing process. Under no 
circumstances shall information obtained during the course of an employee background 

investigation be disclosed to members of management, human resource personnel or 

others employed by the tribal gaming operation. 

This Section does not apply to requests for such information or records fiom any Tribal, 

Federal or State law enforcement or regulatory agency, or for the use of such information 

or records by the Commission and staff in the performance of their official duties. 

H. Terms of Office for Tribal Gaming Commissioners shall be as follows: the Chair shall 

serve an initial term of one year, with subsequent Chairs serving three-year terms. The 

Vice Chair and Commissioner(s) shall serve an initial term of two years, with subsequent 

Vice-Chairs and Commissioners serving three-year terms. 

I. The following persons are not eligible to serve as Tribal Gaming Commissioners: 

Community Council members, while serving as such; employees of the gaming 

operation, while serving as such; gaming contractors (including any principal of a 

management or other contracting company); persons directly related to or sharing a 

residence with any of the above; persons ineligible to be key employees or primary 

management officials. Tribal members previously convicted of a felony, of 

embezzlement, of theft, or of any other money-related crime or honesty-related crime 

(such as fiaud) will only be allowed if the Community Council specifically finds a 

significant amount of time has passed and that the person's character has been reformed. 

The Community Council shall require a criminal history check with appropriate law 

enforcement agencies and shall review this criminal history report and make an 

appropriate suitability determination before appointing an individual in a position as a 

Tribal Gaming Commissioner. 

J. The independence of the Tribal Gaming Commission is essential to a well-regulated 

gaming operation. For that reason, Commissioners may only be removed fi-om office by 

the Community Council prior to the expiration of their respective terms: for neglect of 

duty, misconduct, malfeasance, or other acts that would render a Commissioner 

unqualified for the position. Any allegations of neglect of duty, misconduct, malfeasance, 

or other acts that would render the Commissioner unqualified for the position must be 

substantiated by a preponderance of the evidence. Commissioners will be given an 

opportunity to provide evidence rebutting the grounds for their proposed removal before 

the removal is considered. A vote of the Community Council on the validity of the 

removal shall be final and not subject to Wher appeal. A wrongfiil removal shall entitle 

the affected Commissioner to compensation for expenses incurred in an appeal and any 

pay withheld. 

K A majority of the Commission shall constitute a quorum. The concurrence of a majority 

of the members appointed to the Commission shall be required for any final 

determination by the Commission. The Commission may act in its official capacity even 

if there are vacancies on the Commission. 

L. Tribal Gaming Commissioners shall be compensated at a level determined by the 

Community Council. This compensation shall be included in the gaming operation's 

annual estimated budget, and shall be approved by the Community Council. 

Commissioner compensation shall not be based on a percentage of gaming revenue to 

ensure the Commission is not improperly influenced. 
M. The Commission shall keep a written record of all its meetings. 

VIII. Ethics 

A. The Community recognizes that the duties of the Gaming Board of Directors and the 

Tribal Gaming Commission include making important decisions on highly sensitive 

issues. As such, the Community has determined that the Board of Directors and the 

Gaming Commission shall be held to extremely high ethical standards. Prior to taking 

their positions on the Board and the Commission (Members), the Members shall agree to 

be bound by the following principles: 

a. Members shall not hold financial interests that conflict with the conscientious 

performance of their duties as managers and regulators. 

b. Members shall not engage in financial transactions using nonpublic information 

or allow the improper use of such information by others on their behalf to fixther 

any private interest. 

c. Members shall not solicit or accept any gift or other item of monetary value, 

including complimentary items (see Section IX, below), fiom any person or entity 

seeking official action or inaction fiom, doing business with, or conducting 

activities regulated by the member's organization, or whose interests may 

be substantially affected by the performance or nonperformance of the Members' 

duties. 

d. Members shall make no unauthorized commitments or promises of any kind 

purporting to bind the Community. 

e. Members shall not use their positions for private gain. 

f. Members shall act impartially, in accordance with all relevant Tribal, Federal, 

and State laws (where applicable), and shall not give preferential treatment to any 

private organization or individual, including to any persons related to Members. 

g. Members shall ensure that Tribal property and gaming assets shall be properly 

segregated and safeguarded, and that such property and assets shall not be used 

for unauthorized activities. 

h Members shall not engage in outside employment or activities, including seeking 

or negotiating for hture employment, which conflict with their official duties and 

responsibilities. 

I. Members shall disclose waste, fiaud, abuse, and corruption to appropriate 

authorities. 

j. Members shall endeavor to avoid any actions creating the appearance that they are 

violating the law or the ethical standards listed herein. 

IX. Com~limentar~ Items 
A. The use of complimentary items shall be governed by regulations established by the 

Tribal Gaming Commission, which shall be in accord with the NIGC's Minimum Internal 

Control Standards, found at 25 C.F.R. 8 542.17. 

B. No Key Employee, Primary Management Official, Community Council member, member 

of the Gaming Board of Directors or Tribal Gaming Commission or any person directly 

related to or sharing a residence with the persons, shall be authorized to receive 

complimentary items. 

C. Complimentary Items shall be included in the annual budget for the gaming operation, 

with maximum limits specified, and shall be subject to approval by the Community 

Council. 

X. Audit 

A. The Community shall cause an annual outside independent audit of gaming operations to 

be conducted, and shall submit the resulting audit reports to the National Indian Gaming 

Commission. 

B. All gaming related contracts that result in the purchase of supplies, services, or 

concessions in excess of $25,000.00 annually, except contracts for professional legal and 

accounting services shall be specifically included within the scope of the audit that is 

described in subsection A above. 

XI. Environment and Public Health and Safety 

Gaming facilities shall be constructed, maintained and operated in a manner that adequately 

protects the environment and the public health and safety. [25 C F.R. tj 522.4(b)(7)] 

XII. Dispute Resolution 

Patrons who have complaints against the gaming establishment, a gaming employee, or a 

management contractor shall have as their sole remedy the right to file a petition for relief with 

the Tribal Gaming Commission. Complaints shall be submitted in writing, and at the discretion 

of the Commission, the petitioner may be allowed to present evidence. The Gaming Commission 

shall hold a hearing within thirty (30) days of receipt of petitioner's complaint. The Commission 

shall render a decision in a timely fashion and all such decisions will be final when issued. 

XIII. Licenses for Key Employees and Primary Management Officials 

A. Scope. 

The Tribe shall ensure that the policies and procedures set out in this section are 

implemented with respect to key employees and primary management officials 

employed at any gaming enterprise operated on Indian lands. 

B. Application Forms 

a. The following notice shall be placed on the application fbrm for a key employee 

or a primary management official: 
In compliance with the Privacy Act of 1974, the following information is 

provided: Solicitation of the information on this form is authorized by 25 U.S.C. 

2701 el sey. The purpose of the requested information is to determine the 

eligibility of individuals to be employed in a gaming operation. The information 

will be used by the Tribe and the National Indian Gaming Commission members 

and staff who have need for the information in the performance of their official 

duties. The information may be disclosed to appropriate Federal, Tribal, State, 

local, or foreign law enforcement and regulatory agencies when relevant to civil, 

criminal or regulatory investigations or prosecutions or when necessary pursuant 

to a requirement by a Tribe or the National Indian Gaming Commission in 

connection with the hiring or firing of an employee, the issuance or revocation of 

a gaming license, or investigation of activities while associated with a Tribe or a 

gaming operation. Failure to consent to the disclosures indicated in this notice 

will result in a Tribe being unable to hire you in a primary management official or 

key employee position. 

The disclosure of your Social Security Number (SSN) is voluntary. However, 

failure to supply a SSN may result in errors in processing your application. 

b. The following additional notice shall be placed on the application form for a key 

employee or a primary official: "A false statement on any part of your application 

may be grounds for not hiring you, or for firing you after you begin work. Also, 

you may be punished by fine or imprisonment. (U.S. Code, Title1 8, section 1001). 

c. The Commission shall notify in writing existing key employees and primary 

management officials who have not completed an application containing the 

notices set forth above that they shall either: 

1. Complete a new application form that contains both the Privacy Act and 

false statement notices; or 

. . 

11. Sign a statement that contains the Privacy Act and false statement notices 

and consent to the routine uses described in that notice. 

d. The Tribe may charge a license fee, to be set by the Tribal Gaming Commission 

to cover its expenses in investigating and licensing Key Employees and Primary 

Management Officials of the gaming operation. 

Background Investigations 

a. The Tribal Gaming Commission is responsible for conducting background 

investigations, collecting fingerprints, and making eligibility determinations. 

b. According to the terms of a Memorandum of Understanding currently in effect, 

the National Indian Gaming Commission shall run the fingerprints, generate 

reports and provide the results to the Tribal Gaming Commission. 

c. The Tribal Gaming Commission shall request from each primary management 

official and &om each key employee all of the following information: 
Full name, other names used (oral or written), social security number(s), 

birth date, place of birth, citizenship, gender, and languages (spoken or 

written); 

. . 

11. Currently and for the previous five (5) years: business and employment 

positions held, ownership interests in those businesses, business and 

residence addresses, and drivers' license numbers; 

. . . 

111. The names and current addresses of at least three personal references, 

including one personal reference that was acquainted with the applicant 

during each period of residence listed on the application; 

iv. Current business and residence telephone numbers; 

v. A description of any existing and previous business relationships with 

Indian Tribes, including ownership interests in those businesses; 

vi. A description of any existing and previous business relationships with the 

gaming industry generally, including ownership interest in those 

businesses; 

vii. The name and address of any licensing or regulatory agency with which 

the person has filed an application for a license or permit related to 

gaming, whether or not such license or permit was granted; 

. . . VIII. For each felony for which there was an ongoing prosecution or a 

conviction, the charge, the name and address of the court involved and the 

date and disposition if any; 

ix. For each misdemeanor conviction or ongoing misdemeanor prosecution 

(excluding minor traffic violations) within ten (10) years of the date of the 

application, the name and address of the court involved and the date and 

disposition; 

x. For each criminal charge (excluding minor traffic charges), whether or not 

there is a conviction, if such criminal charge is within ten (10) years of the 

date of the application and is not otherwise listed pursuant to paragraph 

(a)(viii) or (a)(ix) of this section, the criminal charge, the name and 

address of the court involved and the date and disposition; 

xi. The name and address of any licensing or regulatory agency with which 

the person has filed an application for an occupational license or permit, 

whether or not such license or permit was granted; 

xii. A photograph taken within the last year; and 

xiii. Any other information the Community deems relevant. 

d. Each applicant for a Key Employee or Primary Management official shall be 

required to have fingerprints taken by the Tribal Gaming Commission as part of 

the license application procedure. 
e. As part of its review procedure, the Tribal Gaming Commission or its authorized 

agent shall conduct a background investigation on each applicant sufficient to 

allow the Tribal Gaming Commission to make an eligibility determination under 

subsection D below. The investigator shall: 

I. VerifL the applicant's identity through items such as a social security card, 

driver's license, birth certificate or passport; 

. . 11. Contact each personal and business reference provided in the license 

application, when possible; 

... 

111. Obtain a personal credit check; 

iv. Conduct a civil history check; 

v. Conduct a criminal history check via the submission of the applicant's 

fingerprints to the NIGC which shall include a criminal check of the 

history and information maintained by the Federal Bureau of 

Investigation, and fbrther obtain information from the appropriate court 

regarding past felony andlor misdemeanor convictions and criminal 

charges; 

vi. Inquire into any previous or existing business relationships with the 

gaming industry and Indian tribes by contacting the entities or tribes; 

vii. Verify the applicant's history and status with any licensing agency by 

contacting the agency; and 

. . * viii. Take other appropriate steps to verify the accuracy of the information, 

focusing on problem areas noted. 

f The investigator shall create an investigative report noting the steps taken, 

information gained, potential problems areas, and disqualifying information. 

g. The Tribal Gaming Commission and its investigator shall promise to keep 

confidential the identity of each person interviewed in the course of the 

investigation, other than disclosure as required under Federal, Tribal, or State law. 

D. Eligibility Determination 

The Tribal Gaming Commission shall review a person's prior activities, criminal record, 

if any, reputation, habits and associations to make a finding concerning the eligibility of a 

key employee or primary management official for employment in a gaming operation. If 

the Tribal Gaming Commission determines that employment of the person poses a threat 

to the public interest or to the effective regulation of gaming, or creates or enhances 

dangers of unsuitable, unfair, or illegal practices and methods and activities in the 

conduct of gaming, a management contractor or a tribal gaming operation shall not 

employ that person in a key employee or primary management official position. 

E. Procedures for Forwarding Avplications and Reports for Key Employees and Primary 

Management Officials to the National Indian Gaming Commission 
a. When a key employee or primary management official is employed to work at a 

gaming operation authorized by this ordinance, the Commission shall forward to 

the National Indian Gaming Commission a completed application for 

employment and conduct the background investigation and make the 

determination referred to in subsection D of this section. 

b. The gaming operation shall not employ as a key employee or primary 

management official a person who does not have a license after ninety (90) days. 

F. Report to the National Indian Gaming Commission. 

a. The Tribal Gaming Commission shall prepare and forward a report on each 

background investigation to the National Indian Gaming Commission. An 

investigative report shall include all of the following: 

1. Steps taken in conducting a background investigation; 

. . 

11. Results obtained; 

iii Conclusions reached; and 

iv. The bases for those conclusions. 

b. The Commission shall forward the completed investigative report to the National 

Indian Gaming Commission within sixty (60) days after an employee begins work 

or within sixty (60) days of the approval of this ordinance by the Chairman of the 

National Indian Gaming Commission. 

c. The Commission shall submit, with the investigative report, a copy of the 

eligibility determination, unless the NlGC shall have advised the Community that 

the submission of the eligibility determination is not necessary. This 

determination shall include a Statement describing how the information submitted 

by the applicant was verified; a Statement of results following an inquiry into the 

applicant's prior activities, criminal record, if any, and reputation, habits and 

associations; a Statement showing the results of interviews of a sufficient number 

of knowledgeable people (such as former employers, personal references, and 

others referred to by the applicant) in order to provide a basis for the Community 

to make a finding concerning the eligibility for employment in a gaming 

operation; and a Statement documenting the disposition of all potential problem 

areas noted and disqualifying information obtained. 

d. If a license is not issued to an applicant, the Tribal Gaming Commission: 

1. Shall notify the NIGC; and 

. . 

11. Shall forward copies of its eligibility determination and investigative 

report (if any) to the NIGC for inclusion in the Indian Gaming Individuals 

Records System. 

e. With respect to all employees, and in particular Key Employees and primary 

management oficials, the Tribal Gaming Commission shall retain applications for 

employment and reports (if any) of background investigations for inspection by 
the Chairman of the NIGC or his or her designee for no less than three (3) years 

fiom the date of termination of employment. 

G. Granting, a Gaming, License 

a. If within a thirty (30) day period after the National Indian Gaming Commission 

receives a report, the National Indian Gaming Commission notifies the 

Community that it has no objection to the issuance of a license pursuant to a 

license application filed by a key employee or a primary management official for 

whom the Community has provided an application and investigative report to the 

National Indian Gaming Commission, the Tribal Gaming Commission, acting for 

the Community, may issue a license to such applicant. 

b. The Tribal Gaming Commission shall respond to a request for additional 

information fiom the Chairman of the National Indian Gaming Commission 

concerning a key employee or a primary management official who is the subject 

to a report. Such a request shall suspend the thirty (30) day period under 

paragraph G(a) of this section until the Chairman of the National Indian Gaming 

Commission receives the additional information. 

c. If, within the thirty (30) day period described above, the National Indian Gaming 

Commission provides the Community with a Statement itemizing objections to 

the issuance of a license to a key employee or a primary management official for 

whom the Tribal Gaming Commission has provided an application and 

investigative report to the National Indian Gaming Commission the Community 

shall reconsider the application taking into account the objections itemized by the 

National Indian Gaming Commission. The Community shall make the final 

decision whether to issue a license to such applicant. 

H. License Suspension 

a. If, after the issuance of a gaming license, the Tribal Gaming Commission 

receives fiom the National Indian Gaming Commission reliable information 

indicating that a key employee or a primary management official is not eligible 

for employment, the Tribal Gaming Commission shall suspend such 

license and shall notifl in writing the licensee of the suspension and the proposed 

revocation. 

b. The Tribal Gaming Commission shall notifl the licensee of a time and a place for 

a hearing on the proposed revocation of a license. 

c. After revocation hearing, the Tribal Gaming Commission shall decide to revoke 

or to reinstate a gaming license. The Commission shall noti@ the NIGC of its 

decision. 

I. Board of Review for Disputes 

a. The Community has determined that, in order to adhere to this Ordinance and all 

gaming regulations there shall be established a Tribal Gaming Board of Review 

(Board of Review). The Board of Review shall serve as the final review body for 

employee disputes. Employee disputes shall include disputes with management, 
terminations, fines or other internal employee disputes, not to include actions 

taken by the Commission. 

b. The Board of Review shall consist of five (5) members. The membership shall be 

comprised of one member of the Tribal Gaming Commission, one member fiom 

the Community Council, one primary management of'ficial or key employee, one 

enrolled Tribal member not employed by the gaming operation, and one employee 

of the gaming operation. The members shall be elected fiom their representative 

group and shall serve staggered terms. The two Tribal members shall serve threeyear terms. The primary management official or key employee shall serve a twoyear term. The members fiom the Tribal Gaming Commission and the 

Community Council shall serve one-year terms. Community Council shall 

determine the level of compensation. However, compensation shall never be tied 

to tribal gaming revenues. 

c. The Board Review members shall elect a Chairperson from among them, whose 

duty it shall be to preside over all meetings and hearings. In addition, the 

members shall elect a Vice-Chair who shall be the custodian of any evidence 

submitted, and who shall preside in the Chairperson's absence. The Board of 

Review shall meet as needed and shall keep official records of the meetings. No 

later than three (3) working days following a hearing on employer 

disputes, the Board of Review shall issue its findings. Findings of the Board shall 

be final when issued. 

d. No Board Review member shall be removed prior to the end of their term 

without cause. Removal shall be effectuated by a majority vote of the entire 

Board of Review, and shall be a final decision. Board of Review members shall 

not review any decisions affecting himselflherself or any person directly related to 

him or her. 

XIV. Licenses for Vendors 

A. Vendors of services or supplies with a value of $25,000 or more annually must have a 

vendor license from the Tribal Gaming Commission in order to transact business with the 

Tribal gaming operation. Contracts for professional legal and accounting services are 

excluded fiom this section. 

B. In order to obtain a vendor license, the business must complete a vendor application and 

submit to background checks of itself and its principals. Principals of a business include 

its officers, directors, management, owners, partners, non-institutional stockholders that 

either own 10% or more of the stock or are the ten (1 0) largest stockholders, and the onsite supervisor or manager under the agreement with the Community, if applicable. 

C. Applications for vendor licenses must include the following: 

a. Name of business, business address, business phone, federal tax ID 

Number (or SSN if a sole proprietorship), main office address if different 

fiom business address, any other names the applicant has done business 

under, type of service applicant will provide; 
b. Whether the applicant is a partnership, corporation, limited liability company, 

sole proprietorship, or other entity; 

c. If the applicant is a corporation, the state of incorporation, and the 

qualification to do business in the State of State of Minnesota if the gaming 

operation is in a different State than the State of incorporation; 

d. Trade name, other names ever used, names of any wholly owned 

subsidiaries or other businesses owned by the vendor or its principals; 

e. General description of the business and its activities; 

f Whether the applicant will be investing in or loaning money to the gaming 

operation and, if so, how much; 

g. A description of any existing and previous business relationships with the 

gaming industry generally, including ownership interests in those 

businesses; 

h. A description of any existing and previous business relationships with 

Indian tribes, including ownership, financial, management interests in 

non-gaming activities; 

1. Names, addresses, and phone numbers of three business references with 

whom the company had regularly done business for the last five years; 

J- The name and address of any licensing or regulatory agency with which 

the business has filed an application for a license or permit related to 

gaming, whether or not such license or permit was granted; 

k. If the business has ever had a license revoked for any reason, the 

circumstances involved; 

1. A list of lawsuits to which the business has been a defendant, including the 

name and address of the court involved, and the date and disposition if any; 

m List the business fbnding sources and any liabilities of $50,000 or more; 

n. A list of the principals of the business, their social security numbers, 

addresses and telephone numbers, title, and percentage of ownership in the 

company; and 

o. Any fiu-ther information the Community deems relevant. 

B. The following notice shall be placed on the application form for a vendor and its 

principals: 

a. Inclusion of false or misleading information on the vendor application 

may be grounds for denial or revocation of the Community's vendor license. 

C. The C:ommunity may charge a license fee, to be: set by the Tribal earning Commission, to 

cover its expenses in investigating and licensing vendors of the gaming operation. 
XV. Minimal Internal Control Standards 

The Community acknowledges its obligation to adopt and implement Minimum Internal Control 

Standards (MICS) for the operation of its Tribal gaming operation no less stringent than those 

found in the regulations of the NIGC at 25 C.F.R. Part 542. The Community's MICS shall be set 

out in separate regulations to be reviewed and approved by the Community Council. 

XVI. License Locations 

The Tribal Gaming Commission shall issue a separate license to each place, facility, or location 

on Indian lands where gaming is conducted under this ordinance. 

XVII. Agent for Service of Process 

The Community hereby designates the Community's President as agent for service of process, 

who may be contacted at: 

President 

Lower Sioux Indian Community 

R.R. 1, Box 1 

Morton MN 56270 

XVIII. Compliance with Federal Law 

The Community will comply with all applicable federal law, including the Bank Secrecy Act, 3 1 

U.S.C. $53 1 1 et seq. 

XIX. Repeal 

To the extent that they are inconsistent with this ordinance, all prior gaming ordinances are 

hereby repealed.