4.14.2 Special Meetings. Special meetings may be called at the request of the
Tribal Council, the Chairperson of the Tribal Commission or 4 or more members of
the Tribal Commission.

4.14.3 Compensation of Commissioners. Commissioners shall be
compensated at a full-time salary commensurate with their job responsibilities and
duties.

4.14.4 Quorum. A quorum for all meetings shall consist of four members,
one of whom must be the Chairperson of the Commission. If the Chairperson is
unavailable due to unexpected or special circumstances, the Executive Council shall
select from the remaining Commissioners an Acting Chairperson to perform the
duties of the Chairperson in the absence of the Chairperson. Upon the Executive
Council’s determination that the Chairperson is able to resume the Chairperson’s
duties, the Commissioner’s selection as Acting Chairperson shall terminate.

4.14.5 Voting. All questions arising in connection with the action of the Tribal
Commission shall be decided by majority vote. The Chairperson of the Tribal
Commission shall only be entitled to vote to break a tie.

415 Organization.

4.15.1 The Tribal Council shall appoint from among the members of
the Commission a Chairperson. Such Chairperson may be appointed at any time
during his or her Commission term and shall serve as Chairperson during the
remaining length of his or her remaining Commission term, at which time the
Chairpersonship shall end. However, Commissioners may be reappointed to
successive Chairperson terms.

4.15.2 The Tribal Commission Chairperson shall perform all of the
duties of a Gaming Commissioner, and in addition shall assume the following duties:
conduct Commission meetings; direct work assignments among the Commissioners
and Commission employees; establish Commission work priorities; implement and
ensure compliance with all Commission operating policies, procedures and
regulations; and, generally, manage all daily Commission activities, provided that in
no event shall the Chairperson have the authority to take disciplinary actions against
the remaining Commissioners, other than issuing reprimands. All other disciplinary
actions concerning Commissioners shall be decided by the Tribal Council.

4.15.3 The Tribal Commission shall develop its own operating procedures and
shall assign a Commission staff person as a reporter to be responsible for keeping
Tribal Commission minutes and transmitting to the Tribal Council a copy of those
minutes, handling correspondence and reporting Tribal Commission decisions, and
such other officers as the Tribal Council deems advisable.

15


issued. The hearing shall be set for not less than ten days nor more than 14 days
from the date of notice. The hearing shall be governed in all respects in accordance
with tribal law and Tribal Commission regulations.

6.10 Temporary Suspension of Employee Gaming License.
6.10.1 Grounds for Temporary Suspension. The Tribal Commission may

temporarily suspend an employee gaming license for not more than thirty days for
any of the following reasons:

6.10.1.1 The employee has been charged with a violation of any
gaming law;
6.10.1.2 The employee’s continued employment as a primary

management official or key employee of a game or gaming activity poses a
threat to the general public;

6.10.1.3 The employee has made a material false statement in his
license application;

6.10.1.4 The employee has participated in gaming activity
unauthorized by his tribal gaming license;

6.10.1.5 The employee has refused to comply with any lawful
order of the Tribal Commission, the Tribal Council, the Tribal Court, or the
National Indian Gaming Commission arising from or relating to gaming.

6.10.2 Immediate Temporary Suspension. The Tribal Commission shall
immediately temporarily suspend an employee gaming license for not more than
thirty days upon receipt of notification from the National Indian Gaming Commission
pursuant to 25 C.F.R. § 558.5 that reliable information exists that such gaming
employee is not eligible for employment. Upon receipt of such notification, the
Commission shall notify the gaming employee of the suspension and proposed
revocation and the time and place for hearing under section 6.10.3 below.

6.10.3 Procedure for Temporary Suspension. Whenever the Tribal
Commission has reasonable cause to believe that a person has violated any of the
conditions in subsections 6.10.1, or has failed to comply with any condition of his
employee gaming license or of this Code constituting a direct and immediate threat
to the peace, safety, morals, or health or welfare of the community, or whenever the
Tribal Commission receives the notification referred to in section 6.10.2, the Tribal
Commission or its Designee shall issue a notice of temporary suspension of such
person’s employee gaming license, which shall be served upon the employee. The
notice shall state the grounds upon which such temporary suspension is ordered and

36


6.2.5 Each application shall be accompanied by a sworn statement that the
applicant will abide by this Code and all other applicable laws.

6.2.6 Each application shall be accompanied by a written statement that the
applicant has read, understands and approves of the following Privacy Act notice:

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 et seq. The purpose of the requested information is to determine
the eligibility of individuals to be employed in gaming activities. The
information will be used by 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
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 investigations 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’s being unable to hire
you in a primary management official or key employee position.

6.2.7. Each application for a gaming employee license shall be accompanied
by a non-refundable application fee of $20.00.

6.2.8 The disclosure of an applicant’s social security number (SSN) is
voluntary. However, failure to supply a SSN may result in errors in processing the
application.

6.3. Review Procedure for Gaming Employee License Application. Before issuing
a gaming employee license, the Tribal Commission shall:

6.3.1 Perform or arrange to have performed the necessary background
investigation of the applicant required by this Code. Such investigation shall include
contacting each reference provided in the application and taking all appropriate steps
to verify the accuracy of information contained in the application. Arrange for a law
enforcement agency to take the applicant’s fingerprints and forward them directly to
the National Indian Gaming Commission to be forwarded to the Federal Bureau of
Investigation, National Criminal Information Center, for a criminal records search.
There shall be a written report of the findings and conclusions of the investigation.
The Tribal Commission shall then review the findings and conclusions and either
grant or deny the license. The applicant shall be notified in writing of the
Commission’s decision. If the Tribal Commission votes to deny the license, it shall
include in such notice the specific reasons for its decision.

32


7.24.1.7 The following provision:

The (grantor/lessor) hereby agrees that neither (he),
(his) spouse, nor any employee or agent of the
(grantor/lessor) shall participate in the selling,
distributing, conducting, assisting, or participating in
gaming activity at the site herein (granted/leased)
without the prior written approval of the Tribal
Commission.

7.24.2. Any rent or lease provision of such agreement shall include a fixed
monthly rental dollar amount, unless otherwise approved in writing by the Tribal
Commission.

7.24.3 A graduated lease rate for use of the site is prohibited unless approved
in writing by the Tribal Commission.

7.24.4 Other remuneration in lieu of money for use of the site is prohibited
unless approved in writing by the Tribal Commission.

7.24.5 A percentage lease rate for use of the site is prohibited unless approved
in writing by the Tribal Commission.

7.24.6 No game of chance shall be operated in conjunction with the conduct
of the grantor’s business operation unless approved in writing by the Tribal
Commission.

7.24.7 Any renegotiated agreement shall be submitted to the Tribal
Commission for approval prior to its effective date.

7.25 There shall be no sale of liquor at any gaming site without the prior approval
of the Tribal Council.

7.26 Consideration for the chance to play in any gaming activity shall only be cash
or, if allowed by the gaming operator, personal check and shall be presented at the time the
game is played. No other form of consideration shall be allowed unless the Tribal
Commission gives prior written approval.

7.27 Evidence of any win or loss incurred by a player must, upon request, be
provided to such player in such form as will be acceptable to the IRS.

All Class II] gaming must comply with the applicable provisions of the Bank
Secrecy Act, P.L. 91-508, October 26, 1970, 31 U.S.C. §§ 5312-5314.

41


2.37. "State" means the State of Michigan.

2.38 "Tribal Commission" means the Saginaw Chippewa Gaming Commission
described in Section 4 of this Code.

2.39 "Tribe" means and "Tribal" refers to the Saginaw Chippewa Indian Tribe of
Michigan, a federally recognized Indian tribe acting through the duly elected Tribal Council
pursuant to the tribal constitution and bylaws, unless the context clearly indicates a general
meaning.

2.40 "Twenty-one", also known as "blackjack," means a card game played by a
maximum of seven players and one dealer where each player plays his hand against the
dealer’s hand with the object of obtaining a higher total card value than the dealer by
reaching 21 or as close to 21 as possible without exceeding that count. The cards have the
following value:

2.40.1 Aces count either one or 11, at the player’s option.
2.40.2 Kings, queens, and jacks each have a count of ten.
2.40.3 All other cards are counted at their face value.

2.41 "Wager" means the bet made or consideration or value given by a player in
any game.

Section 3. General Provisions.

3.1 Authority and Sovereign Powers and Responsibilities. This Code is enacted
pursuant to the inherent sovereign powers of the Tribe and the powers expressly delegated
to the Tribal Council by Article VI of the Tribal Constitution.

3.2. Application of Federal Policy . In 1970 President Nixon announced the policy
of the United States government to promote self-determination for Indian tribes. At the
heart of this policy is a commitment by the federal government to foster and encourage
tribal self-government, economic development, and self-sufficiency. That commitment was
signed into law in 1975 as the Indian Self-Determination and Education Assistance Act,
Public Law 93-638, 88 Stat. 2203, 25 U.S.C. §§450-450n. In 1983 President Reagan
reaffirmed that commitment in his Indian policy statement, encouraged tribes to reduce
their dependence on federal funds by generating more of their own revenues, and pledged
to assist tribes in that endeavor.

In 1988 the federal commitment to promote tribal economic development, tribal
self-sufficiency, and strong tribal government was expressly legislated in the Indian Gaming

Regulatory Act ("IGRA"), Public Law 100-497, 102 Stat. 2426, 25 U.S.C. §§ 2701, et seq.

9


ENACTED OCTOBER 5, 1993, COUNCIL RESOLUTION 94-001;
AMENDED DECEMBER 14, 1993, COUNCIL RESOLUTION 94-036.
AMENDED AUGUST 14, 1996, COUNCIL RESOLUTION 96-073.

51


stockholders who hold directly or indirectly 10 percent or more of its issued
or outstanding stock.

9.5.2.2 A description of any previous experience that each
person listed in subsection 9.5.2.1 above has had with other gaming contracts
with Indian tribes or with any gaming activity or operation wherever located,
including the name and address of any tribal government or licensing agency
with which such person has had a contract, license, or other agreement or
permit relating to gaming.

9.5.2.3 A complete financial statement of each person listed in
subsection 9.5.2.1 above.

9.5.2.4 The Tribal Commission shall contact each of the tribal
governments and licensing agencies in subsection 9.5.2.2 to determine the
performance history of the proposed management contractor.

9.5.2.5 The Tribal Commission shall arrange to have each
proposed management contractor investigated to learn of his personal
attributes and to determine whether he has a prior criminal record or any
pending criminal charges.

9.5.2.6 The Tribal Commission shall obtain an independent
verification of the completed financial statements of the proposed
management contractor.

9.5.2.7 The Tribal Commission shall undertake any additional
steps it can to determine the character and reputation of the proposed
management contractor and each person listed in subsection 9.5.2.1.

9.5.2.8 * If the Tribal Council, after reviewing the above described
information, still desires to enter into a management contract with the
proposed management contractor, such management contract shall be made
in writing and submitted to the Tribe’s attorneys for review.

9.5.3. Any management contract approved by the Council must include at a

minimum with respect to the gaming activity to which the contract is applicable, all

of the required provisions contained in 25 C.F.R. § 53.1, as amended, incorporated
herein by this reference.

9.5.4 All persons who possess an ownership interest or management position

in the proposed management contract shall apply for a gaming employee license
under this Code. No management contract shall be approved by the Council until

49


9.1.5 The General Manager shall be personally responsible for seeing that
all gaming activities are managed in accordance with tribal and federal law and that
all gaming activities comply with all IRS reporting requirements.

9.2 Use of Net Proceeds of Tribally Owned or Tribally Operated Gaming
Activities.

9.2.1 All net proceeds of a tribally owned or tribally operated gaming activity
shall be held in the name of the Tribe. Such net proceeds may only be expended by
the Tribal Council by resolution and only for the following purposes:

9.2.1.1 To fund tribal government operations or programs.

9.2.1.2 To provide for the general welfare of the Tribe and its
members.

9.2.1.3 To promote tribal economic development.

9.2.1.4 To donate to charitable organizations.

9.2.1.5 To help to fund operations of local government agencies.

9.3. Maintenance of Records. The Tribal Gaming Commission shall insure that
all accounting records of each tribally licensed gaming facility is kept on a double entry
system of accounting, maintaining detailed, supporting, subsidiary records. The Tribal
Gaming Commission shall also insure that both the operator and the Tribal Gaming
Commission maintain the following records for not less than three (3) years:

9.3.1 Revenues, expenses, assets, liabilities and equity for each location at
which Class II and Class III gaming is conducted;

9.3.2. Daily cash transactions for each Class II and Class III game at each
location at which gaming is conducted, including but not limited to
transactions relating to each gaming table bank, game drop box, and gaming
room bank;

9.3.3 All markers, IOU’s, returned checks, hold checks or other similar
credit instruments;

9.3.4 Individual and statistical game records (except card games) to reflect
statistical drop and statistical win; for electronic, computer, or other
technologically assisted games, analytic reports which show the total amount
of cash wagered and the total amount of prizes won;

47


4.18.23 To use the seal of the Tribe with the approval of the Tribal
Council.

4.18.24 To purchase, lease, take by gift, devise or bequest, or otherwise
acquire, own, hold, improve, and use property and assets of every description, real
and personal, tangible or intangible, including money, securities, or any interests
therein, rights and services of any kind and description or any interest therein;
provided that the Tribal Commission shall have authority to purchase any interest in
real property, whether located on or off the Reservation, only with the express, prior
written consent of the Tribal Council as to each such action, and that title to such
real property and property which is to become a fixture or permanent improvement
or part of the real property shall be taken in the name of the Tribe or in the name
of the United States in trust for the Tribe, and title to all trust and restricted real
property shall remain in trust or restricted status.

4.18.25 To sell, convey, mortgage, pledge, lease, exchange, transfer, and
otherwise dispose of all or any part of its personal property and assets.

4.18.26 To deal in inventions, copyrights, and trademarks; to acquire by
application, assignment, purchase, exchange, lease, hire, or otherwise; and to hold,
own, use, license, lease and sell, either alone or in conjunction with others, the
absolute or any partial or qualified interest in and to inventions, improvement, letters
patent and applications therefor, licenses, formulas, privileges, processes, copyrights
and applications therefor, trademarks and applications therefor, and trade names,
provided that title to all such interests shall be taken in the name of the Tribe.

4.18.27 With the prior permission of the Tribal Council, to borrow
money and to make, accept, endorse, execute and issue bonds, debentures,
promissory notes, guarantees, and other obligations of the Tribal Commission for
moneys borrowed, or in payment for property acquired or for any of the purposes of
the Tribal Commission and to secure payment of any obligations by secured interest,
mortgage, pledge, deed, indenture, agreement, or other instrument of trust or by
other lien upon, assignment of, or agreement in regard to all or any part of the
property, rights, or privileges of the Tribal Commission.

4.18.28 To arbitrate, compromise, negotiate, or settle any dispute to
which it is a party relating to the Tribal Commission’s authorized activities.

4.18.29 To enter into, make, perform, and carry out any agreement,
partnership, joint venture contract, or other undertaking with any federal, state, or
local governmental agency, tribe, person, partnership, corporation, or other
association or entity for any lawful purpose pertaining to the business of the Tribal
Commission or which is necessary or incidental to the accomplishment of the
purposes of the Tribal Commission.

19


that the employee shall have an opportunity to present testimony and to cross-
examine opposing witnesses, and to present any other evidence as to why suspension
should not issue. The employee shall immediately cease and desist operating in his
management position or in his capacity as a key employee upon receipt of the order,
but such person may file a notice of appeal with the Tribal Commission within five
days of such receipt. Upon receipt of such notice of appeal, the Tribal Commission
shall hold a hearing on the order within fourteen calendar days of its receipt of the
appeal. At the hearing, the employee shall have the opportunity to present testimony
and cross-examine witnesses, and present any other evidence as to why temporary
suspension order should not be issued. Such hearing shall be governed in all respects
by tribal law and Tribal Commission regulations.

Section 7. Provisions of General Applicability to All Gaming Operators.
7.1 Each Class II or Class HI gaming activity within the jurisdiction of the Tribe
shall be conducted only by a gaming operator who possesses a current and valid tribal

gaming license.

7.2 Each tribal gaming license shall be applicable only to one gaming site and the
gaming operator named on such license.

7.3 No tribal gaming license shall be sold, lent, assigned or otherwise transferred.

7.4 Each management and key employee of a licensed gaming activity shall possess
a current and valid tribal gaming employee license.

7.5 A tribal gaming license shall be issued only to a person who qualifies therefor
under this Code, or to the Tribe or a tribal subdivision.

7.6 Each gaming operator shall have a copy of this Code and regulations readily
available for inspection by any person at each authorized gaming facility or activity.

7.7 Each gaming facility shall post the following in a prominent place in each
room where gaming is conducted a sign stating the following:

This facility is regulated by one or more of the following: The National Indian
Gaming Commission, the Bureau of Indian Affairs of the United States Department
of the Interior and the Government of the Saginaw Chippewa Indian Tribe of
Michigan.

This facility is not regulated by the State of Michigan.

37


6.5
6.6
6.7
6.8
6.9

6.10

Section 7.

Section 8.
8.1
8.2
8.3
8.4
8.5
8.6
8.7
8.8
8.9

Section 9.
91
9.2

9.3

Scope of Gaming Employee License ................0 00000000 34
Licensing Period ... 1... 0.6... eee tee 34
Renewals 2... 6... eee eee 34
Requirement to Produce License Upon Request ................. 34
Permanent License Revocation of Employee Gaming License ....... 34

6.9.1 Grounds for Permanent Revocation
6.9.2 Procedure for Permanent Revocation

Temporary Suspension of Employee Gaming License ............. 36
6.10.1 Grounds for Temporary Suspension. ....................0. 36
6.10.2 Immediate Temporary Suspension

6.10.3 Procedure for Temporary Suspension. ................... 36
Provisions of General Applicability to All Gaming Operators ....... . 37
Enforcement ... 20... 0.6 ee eee

Jurisdiction
Prohibited Acts... 0.6... ce cts
Criminal Violation ... 2.0.0.0... 00. c cece eee eee
Civil Violation
Cumulative Fines
Purpose of Civil Penalties»... 0.0... eee ee eee
Civil Action for Penalties ................000.

Seizure and Forfeiture of Property
Reporting of Offenders... 02... 0.0... ec

Operation of Tribally Owned or Tribally Operated Games .......... 46
Management by a General Manager...................000000- 46
Use of Net Proceeds of Tribally Owned or Tribally Operated Gaming
Activities 2.0... eee eee

9.4 Audit Requirements ...........-......-.005

9.5
9.6

Section 10.

Section 11.

Management Contracts
Additional Requirements for Operation of Tribally Owned or Tribally
Operated Games. .. 0.2... eee 50
Authorized Games... 1.0... ee eee 50

Severability... 06... eee eee 50


as well as the address of his personal residences over the past five years. If
the applicant has resided at his current address for less than two years, his
previous address.

6.2.2.2 The name, address, and telephone number of the gaming
facility and of the gaming operator for whom the applicant intends to work
and the specific location in which the applicant will be employed.

6.2.2.3 The name and job description of the applicant’s position.

6.2.2.4 The names and addresses of the applicant’s living parents,
grandparents, spouse, children, brothers, and sisters.

6.2.2.5 A statement as to whether or not the applicant has ever
been charged with a crime, and if so, the charge, the name and address of the
court involved, and the applicant’s explanation of the outcome of the case,
including the date of final disposition.

6.2.2.6 The names, current addresses, and telephone numbers of
three references who are not related to the applicant and who were
acquainted with the applicant when the applicant was residing at each of the
addresses listed in subsection 6.2.2.1.

6.2.2.7 A list of the applicant’s previous jobs over the preceding
five years, including the name, address and telephone number of his employer,
and the position held.

6.2.2.8 The names and addresses and a brief description of all
businesses in which the applicant currently holds, or has within the last five
years held, an ownership interest.

6.2.2.9 A description of any previous employment relationship
with an Indian tribe, including the employee position held, name of the tribe
involved and the name and address of a person who can attest to the accuracy
of the information provided.

6.2.2.10 A description of any current or past non-employee
business arrangement which the applicant has had with an Indian tribe,
including the name of the tribe involved and the name and address of a
person who can attest to the accuracy of the information provided.

6.2.2.11 A statement as to whether the applicant has had any past

employment with, or ownership interest in, any gaming business. If so, the
applicant shall provide a written statement describing his position, the dates

30


4.16 Removal of Members or Vacancies.

4.16.1 Removal. A Commissioner may be removed by the Council for serious
inefficiency, neglect of duty, malfeasance, misfeasance, nonfeasance, misconduct in
office, or for any conduct which threatens the honesty or integrity of the Tribal
Commission or otherwise violates the letter or intent of this Code. Except as
provided below, no Commissioner may be removed without notice and an
opportunity for a hearing before the Council, and then only after the Commissioner
has been given written notice of the specific charges at least ten days prior to such
hearing. At any such hearing, the Commissioner shall have the opportunity to be
heard in person or by counsel and to present witnesses on his behalf. If the Council
determines that immediate removal of a Commissioner is necessary to protect the
interests of the Tribe, the Council may immediately remove the Commissioner
temporarily, and the question of permanent removal shall be determined thereafter
pursuant to Tribal Commission hearing procedures. A written record of all removal
proceedings together with the charges and findings thereon shall be kept by the
Tribal Secretary. The decision of the Council upon the removal of a Commissioner
shall be final.

4.16.2 Vacancies. If any Commissioner shall die, resign, be removed, or for
any reason be unable to serve as a Commissioner, the Council shall declare his
position vacant and shall appoint another person to fill the position. The terms of
office of each person appointed to replace an initial Commissioner shall be for the
balance of any unexpired term for such position, provided, however, that any
prospective appointee must meet the qualifications established by this Code.

4.17 Conflict of Interest. No person shall be appointed or continue serving as a

Commissioner if he has any personal, business, or legal relationship that creates a conflict
of interest with his duties and responsibilities as a Commissioner.

4.18 Powers of the Tribal Commission. In furtherance, but not in limitation, of the

Tribal Commission’s purposes and responsibilities, and subject to any restrictions contained
in this Code or other applicable law, the Tribal Commission shall have and is authorized to
exercise by majority vote the following powers in addition to all powers already conferred
by this Code:

4.18.1 To oversee the day-to-day operation of and to supervise, inspect and
regulate all gaming activities within the jurisdiction of the Tribe.

4.18.2 To promote the full and proper enforcement of this Code and other
applicable law regarding gaming activities within the jurisdiction of the Tribe.

16


4.20.1.1 Internal operational procedures of the Tribal Commission
and its staff;

4.20.1.2 Interpretation and application of this Code as may be
necessary to carry out the Tribal Commission’s duties and exercise its powers;

4.20.1.3 A regulatory system for all gaming activity, including
accounting, contracting, management, and supervision;

4.20.1.4 The findings of any reports or other information required
by or necessary to implement this Code; and

4.20.15 The conduct of inspections, investigations, hearings,
enforcement actions, and other powers of the Tribal Commission authorized
by this Code.

4.20.2 No regulation of the Tribal Commission shall be of any force or effect
unless it is adopted by the Tribal Commission by written resolution and subsequently
approved by a resolution of the Tribal Council and filed for record both in the office
of the Tribal Secretary and in the Office of the Clerk of the Tribal Court.

4.20.3 The Tribal Court and any other court of competent jurisdiction shall
take judicial notice of all Tribal Commission regulations adopted pursuant to this
Code.

4.21 Right of Entrance; Monthly Inspection. The Tribal Commission and duly
authorized officers and employees of the Tribal Commission, during regular business hours,
may enter upon any premises of any gaming operator or gaming facility for the purpose of
making inspections and examining the accounts, books, papers, and documents of any such
gaming operator or gaming facility. Such gaming operator shall facilitate such inspection
or examinations by giving every reasonable aid to the Tribal Commission and to any
properly authorized officer or employee.

A Commissioner or a member of the Tribal Commission’s staff shall visit each tribally
owned or tribally operated gaming facility at least once every two weeks during normal
business hours for the purpose of monitoring its operation. Such visits shall be
unannounced.

4.22 Investigations. The Tribal Commission, upon complaint or upon its own
initiative or whenever it may deem it necessary in the performance of its duties or the
exercise of its powers, may investigate and examine the operation and premises of any
person who is subject to the provisions of this Code. In conducting such investigation, the
Tribal Commission may proceed either with or without a hearing as it may deem best, but

22


limited to, law enforcement specialists and gaming professionals, the Tribe’s general
or special counsel, and the Tribe’s accountants.

4.18.14 To make recommendations to the Council on the hiring of all
supervisory gaming employees.

4.18.15 To promulgate rules and regulations to implement and further
the provisions of this Code.

4.18.16 To approve or disapprove any application for a tribal gaming
license.

4.18.17 To consult with and make recommendations to the Tribal
Council regarding changes in tribal gaming laws and policies.

4.18.18 To examine under oath, either orally or in writing, in hearings
or otherwise, any person or agent, officer or employee of any person, or any other
witness, with respect to any matters related to this Code, including enforcement of
tribal gaming laws, regulations, and policies, and to compel by subpoena the
attendance of witnesses and the production of any books, records, and papers with
respect thereto.

4.18.19 When necessary or appropriate, to request the assistance and
utilize the services of the courts, law enforcement and government officials and
agencies, and private parties in exercising its powers and carrying out its
responsibilities.

4.18.20 To delegate to an individual member or members of the Tribal
Commission, or, with the approval of the Tribal Council, to Tribal Commission staff,
such of its functions as may be necessary to administer this Code efficiently; provided
that the Tribal Commission may not re-delegate its power to exercise any substantial
governmental function of the Tribe or its power to promulgate rules and regulations;
and provided further that the Tribal Commission may not delegate to anyone the
power to permanently revoke a tribal gaming license.

4.18.21 To permanently close, after notice and hearing, any game or
games which are operating in violation of tribal law.

4.18.22 To sue or be sued in courts of competent jurisdiction within the
United States and Canada, subject to the provisions of this Code and other tribal
laws relating to sovereign immunity; provided that no suit shall be brought by the
Tribal Commission without the prior explicit written approval of the Tribal Council.

18


during which that position was held, a description of the applicant’s ownership
interest or job responsibilities, the name, address, and phone number of the
business, and the name of a person who can attest to the accuracy of the
information provided.

6.2.2.12 A list of all gaming-related licenses the individual has
ever applied for, whether or not those licenses were granted, and the name,
address, and phone number of the regulatory agency involved.

6.2.2.13 A list of all professional or business licenses the applicant
has applied for, whether or not those licenses were granted, and the name,
address, and phone number of the regulatory agency involved.

6.2.2.14 A statement of all languages written or spoken.

6.2.2.15 A sworn statement that neither the applicant nor any
member of his immediate family has a past or current financial interest, other
than a salary interest, in any gaming-related enterprise anywhere. If the
applicant has any relative who has such a relationship, the applicant shall fully
disclose that relative’s name and the nature of the relationship.

6.2.2.16 Written permission giving the Tribal Commission or its
Designee the right to investigate the applicant’s background, including his
criminal record, civil and criminal judgments, and credit history.

6.2.2.17 Acomplete disclosure of any pending or anticipated civil
or criminal action against the applicant, including the name and address of the
police department and court involved.

6.2.2.18 A disclosure of any civil or criminal judgments rendered
against the applicant, including the case number, a description of the
judgment, and the name and address of the court involved.

6.2.2.19 Any other information which might bring into question
his fitness to serve as a primary management official or key employee of a
licensed gaming operation.

6.2.3 Each application shall be accompanied by a sworn statement that if the
license is issued, the applicant will submit to the jurisdiction of the Tribe and the
Tribal Court.

6.2.4 Each application shall be accompanied by a photograph of the
applicant taken within the last year.

31


Indian land, or to be a consent to the alienation, attachment, or encumbrance of any such
land.

4.8 Waiver of Sovereign Immunity of the Tribal Commission. Sovereign immunity
of the Tribal Commission may be waived only by express resolutions of both the Tribal
Commission and the Tribal Council after consultation with the Tribe’s attorneys. All
waivers of sovereign immunity must be preserved by resolution of the Tribal Commission
and the Tribal Council of continuing force and effect. Waivers of sovereign immunity are
disfavored and shall be granted only when necessary to secure a substantial advantage or
benefit to the Tribal Commission. Waivers of sovereign immunity shall not be general but
shall be specific and limited as to duration, grantee, transaction, property, or funds, if any,
of the Tribal Commission subject thereto, court having jurisdiction pursuant thereto, and law
applicable thereto. Neither the power to sue and be sued provided in subsection 4.18.22 nor
any express waiver of sovereign immunity by resolution of the Tribal Commission shall be
deemed a consent to the levy of any judgment, lien, or attachment upon property of the
Tribal Commission other than property specifically pledged or assigned, or a consent to suit
in respect of any land within the exterior boundaries of the Reservation or a consent to the
alienation, attachment, or encumbrance of any such land.

4.9 Credit of the Tribe or Tribal Commission. Nothing in this Code nor any
activity of the Tribal Commission shall implicate or any way involve the credit of the Tribe
or the Tribal Commission.

4.10 Assets of the Tribal Commission. The Tribal Commission shall have only
those assets specifically assigned to it by the Council or acquired in its name by the Tribe
or by the Tribal Commission on its own behalf. No activity of the Tribal Commission nor
any indebtedness incurred by it shall implicate or in any way involve or effect any assets of
tribal members or the Tribe not assigned in writing to the Tribal Commission.

4.11 Membership.

4.11.1. Number of Commissioners. The Tribal Commission shall be comprised
of six Commissioners appointed by the Tribal Council.

4.11.2 Qualification of Commissioners. Each Commissioner must be a
member of the Tribe.

4.11.3 Background Check. Prior to the time that any Tribal Commission
member takes office on the Tribal Commission, the Tribe shall perform or arrange
to have performed a comprehensive background check on each prospective member.
No person shall serve as a Commissioner if:

13


limited to, gaming operation managers and assistant managers; accounting personnel;
surveillance personnel; cashier supervisors; dealers or croupiers; box men; floormen; pit
bosses; shift bosses; cage personnel; collection personnel, gaming consultants, management
companies and their principals; and any other natural person whose employment duties
require or authorize access to restricted areas of each gaming activity or operation not
otherwise open to the public.

2.15 "Gaming" or "gaming activity" means any activity, operation or game in which
valuable consideration is wagered upon the outcome determined in whole or in part by
chance, skill, speed, strength, or endurance or any combination of strength or endurance,
and in which something of value is awarded to a person or persons so wagering, and any
activity in furtherance thereof, including owning, financing, managing, participating in,
conducting, or assisting in any way in any such activity at the site at which it is being
conducted, directly or indirectly, whether at the site in person or off the Reservation.

2.16 “Gaming apparatus" or “gaming equipment" means any device, machine,
paraphernalia, or equipment that is used or usable in the playing phases of any gaming
activity, whether or not specifically designed for the purpose, but excluding tables and chairs
normally used in the occupancy of any gaming facility.

2.17 "Gaming facility" means any location or structure, stationary or movable, where
gaming is permitted, promoted, performed, conducted, or operated. Gaming facility does
not include the site of a fair, carnival, exposition, or similar occasion.

2.18 "Gaming Operator" means a person who has obtained a gaming license under
this Code or who is otherwise permitted by this Code to perform, promote, conduct, or
operate any gaming activity on Indian lands.

2.19 "Gross proceeds" means any money collected or received from any gaming
activity.

2.20 "Indian Gaming Regulatory Act" or "IGRA" means Public Law 100-497, 102
Stat. 2426, 25 U.S.C. §§2701-2721 (1988), as amended.

2.21 "Immediate Family" means, with respect to the person under consideration,
a husband, wife, father, mother, son, daughter, brother, sister, father-in-law, mother-in-law,
son-in-law, daughter-in-law, brother-in-law, sister-in-law, stepfather, stepmother, stepson,
stepdaughter, stepbrother, stepsister, half brother, or half sister.

2.22 "Indian lands" means:

2.22.1 all lands within the limits of the Isabella Reservation, notwithstanding
the issuance of any patent and including rights-of-way running through such lands; and


5.14.3 A description of each gaming activity that it is operated and the total
gross proceeds of each;

5.14.4 A written copy of any changes the gaming operator proposes to initiate
in its rules;

5.14.5 A statement of the specific dates and times during which the gaming
activity will be operated during the next license period;

5.14.6 The name and address of the person who will be the general manager
and the names and addresses of all persons who will be the primary management
officials during the next license period;

5.14.7 A statement of any changes in the general manager or in the primary
management officials or key employees who will operate the gaming activity over the
next license period;

5.14.8 The names and addresses of any employees who the Tribal Commission
may determine to be key employees during review of the application;

5.14.9 Written proof that the gaming operator has paid to the National Indian
Gaming Commission such fees as federal and tribal law may require it to pay, and
will continue to do so;

5.14.10 A sworn statement that the gaming operator has complied with
the Internal Revenue Code and regulations, including written notice of customer
winnings, and a statement that the gaming operator shall continue to obey all tribal
and federal laws and shall hold the Tribal Commission and the Tribe harmless for
failure to do so;

5.14.11 The description of any location at which the gaming activity has
been conducted and any new location which is expected to be established during the
next license period;

5.14.12 The number of full-time equivalent persons, on an annualized
basis, employed by the operation during the past 12 months, together with a
projection of the number of full-time equivalent persons who are expected to be
employed during the next license period;

5.14.13 The total gross proceeds of the gaming operator attributable
directly or indirectly to tribally licensed gaming activity over the proceeding 12
months;

28


5.5.2.4 Take any additional steps necessary to ensure the
integrity of such gaming activity.

5.5.3. Tribally Owned and Tribally Operated Class III. Before issuing a
license to a tribally owned or operated Class III gaming activity the Tribal
Commission shall:

5.5.3.1 Review the proposed gaming activity to ensure that all
criteria required by this Code shall be met.

5.5.3.2 Perform the necessary background checks on
management contractors, primary management officials, and key employees
required by this Code.

5.5.3.3 Review and approve the accounting procedures to be
used in such gaming activity.

5.5.3.4 Take any additional steps necessary to ensure the
integrity of such gaming activity.

5.5.3.5 Review all aspects of the proposed gaming operation to
ensure that it will be in compliance with the provisions of the applicable
tribal-state gaming compact.

5.6 Criteria Which a Potential Gaming Operator Must Meet. The Tribal
Commission shall issue the above license to any tribally owned or tribally operated Class II
or Class III proposed gaming activity only if all of the following criteria are met:

5.6.1 The proposed gaming activity is to be conducted on "Indian lands,"
as the term is defined under Section 2703(4) of the Indian Gaming Regulatory Act
(25 USC §§ 2701-2721) and Section 2 (B) of the Tribal-State Compact between the
Tribe and the State of Michigan.

5.6.2 The proposed gaming activity is to be played as Class Il gaming as
defined by this Code and the IGRA or as Class III gaming authorized by a tribal-
state gaming compact.

5.6.3 The proposed gaming activity is authorized by a Tribal Council
resolution.

5.6.4 The Tribe will have the sole proprietary interest and the exclusive

responsibility for the conduct of the proposed gaming activity, or if the Tribe does
not have the sole proprietary interest, the management contract for such gaming is

25


business development to raise the funds necessary to expand its social, health, and
education programs, increase employment and improve its on-reservation economy.
This effort has recently become increasingly important as a result of cutbacks in
federal and state funding and the increased costs of self-government. It is therefore
essential that the Tribe develop new and expanded sources of revenue to support its
ever-increasing governmental needs and to provide much needed employment and
training for tribal members.

1.1.8 As a result, the adoption of the following new and expanded gaming
law is in the best interest of the Saginaw Chippewa Indian Tribe.

1.2. Purposes. The purposes of this Code are to:

1.2.1 Regulate, control, and license the operation of all gaming within the
jurisdiction of the Tribe.

1.2.2 Make clear and explicit that a tribal license to operate a gaming
activity is a revocable privilege, not a right or property interest.

1.2.3. Ensure that the operation of tribally regulated gaming will continue as
a means of generating tribal revenue.

1.2.4_ Ensure that tribally regulated gaming is conducted fairly and honestly
by both gaming operators and players and that it remain free from corrupt,
incompetent, unconscionable and dishonest persons and practices.

1.2.5 Promote and strengthen tribal economic development and self-
determination and enhance employment opportunities for its members.

1.2.6 Generate revenue to strengthen and improve tribal self-government and
the provision of tribal governmental services.

1.2.7. Ensure that all gaming revenue is used for the benefit of the Tribe and
the Reservation community.

1.2.8 Ensure that tribal gaming laws are strictly and fairly enforced against
all persons involved in gaming activities within the jurisdiction of the Tribe.

1.2.9 Ensure that the Tribe provide a fair and impartial forum for the
resolution of gaming disputes.

13. Tribal Policy of Self-Government. The Tribe is firmly committed to the
principle of tribal self-government. Consistent with federal policy, tribal government
provides a wide range of public services on the Reservation, including general governmental


GAMING CODE
OF THE
SAGINAW CHIPPEWA INDIAN TRIBE OF MICHIGAN DEC -2 .--

A law to authorize, license and regulate certain forms of gaming within the
jurisdiction of the Saginaw Chippewa Indian Tribe of Michigan.

Section 1. _ Findings, Purposes and Policy.

1.1 Findings. The Saginaw Chippewa Tribal Council on behalf of the Saginaw
Chippewa Tribe finds that:

1.1.1 Tribal regulation and control of gaming activity within the jurisdiction
of the Saginaw Chippewa Indian Tribe is essential for the protection of public health
and welfare, and the interests of the Tribe and the residents of and visitors to the
tribal community.

1.1.2. The Tribe has the legal authority to license and regulate all gaming
activity not specifically prohibited by federal law, within the jurisdiction of the Tribe.

1.1.3 Properly licensed and regulated gaming activities conform with
announced federal policy promoting Indian self-government and Indian tribal
economic self-sufficiency.

1.1.4 It is essential that the Tribe, through the Saginaw Chippewa Gaming
Commission regulate gaming in a manner commensurate with applicable federal and
tribal law and policy.

1.1.5 The present needs of the Tribe include increased employment, job and
skills training, housing, quality health care, improved nutrition, educational
opportunities, social services, law and order, public safety and judiciary, and
community and economic development; needs that are not adequately addressed by
present tribal, federal and state programs.

1.1.6 Tribal operation and licensing of gaming activities on the Reservation
are appropriate means of generating revenue to address the needs of the Tribe.

1.1.7 The Tribe is vigorously pursuing its goal of self-sufficiency and
self-determination through the development of tribal businesses and enterprises.
Because the Isabella Reservation lacks income-generating natural resources and
because the Tribe’s tax base is almost non-existent, the Tribe must rely on tribal


4.13.1 His prior activities, criminal record, if any, or reputation,
habits or associations:

4113.11 Pose a threat to the public interest; or

4.11.3.1.2 Threaten the effective regulation and control of
gaming; or

4.113.1.3 Enhance the dangers of unsuitable, unfair, or
illegal practices, methods, or activities in the conduct of gaming; or

4.11.3.2 He has been convicted of or entered a plea of nolo
contendere to a felony or any gaming offense in any jurisdiction or to a
misdemeanor involving dishonesty or moral turpitude; or

4.11.33 He or any member of his immediate family has a
financial interest in any gaming activity or facility; or

4.11.3.4 A member of his immediate family is employed as an
employee in any tribal gaming activity.

4.11.4 Date of Appointment. Each member of the Tribal Commission shall

take office no later than one week after said member is appointed and licensed by
the Tribal Council.

4.12 Term of Office. Each Commissioner shall serve a term of four years. The

initial terms for appointment of the Commissioners shall be staggered terms, with two
Commissioners appointed for two-year terms, two Commissioners appointed for three-year
terms, and two Commissioners appointed for four-year terms. Commissioners may be
reappointed to additional four year terms at the discretion of the Tribal Council.

4.13 Tribal Council Representation. The Tribal Chief or a designated member of

the Tribal Council may attend meetings of the Tribal Commission, but shall not be a
member of the Commission or vote in any decision of the Commission. No member of the
Tribal Council shall be appointed as a member of the Tribal Commission.

4.14 Meetings.

4.14.1 Regular Meetings. The Tribal Commission shall hold at least one
regular monthly meeting which shall take place on the first Monday of each month,
or as otherwise determined by the Tribal Commission.

14


2.7 "Compensation" means all wages, salaries, bonuses, and all other forms of
remuneration for services rendered.

2.8 "Council" or "Tribal Council" means the governing body of the Saginaw
Chippewa Indian Tribe.

2.9 "Educational, charitable, patriotic, veteran’s, fraternal, religious, civic, or
public-spirited uses" are:

2.9.1 Uses benefiting an indefinite number of people by bringing them under
the influence of educational or cultural programs.

2.9.2 Uses otherwise lessening the burden of tribal government.

2.9.3. Uses benefiting one or more persons suffering from a seriously
disabling disease or injury causing severe loss of income or incurring extraordinary
medical expense that is uncompensated by insurance.

2.9.4. Uses for community service projects that promote the common good,
enhance the social and economic welfare of the community, and benefit an indefinite
number of people.

2.10 "Electronic games of chance" means electronic games featuring coin drop and
payout as well as printed tabulations, whereby the software of the device predetermined the
presence or lack of a wining combination and payout. Electronic games of chance are
microprocessor controlled electronic devices which allow a player to play games of chance,
which may be affected by an element of skill, activated by the insertion of a coin or
currency, or by the use of a credit, and awards game credits, cash, tokens, or replays, or a
written statement of the player’s accumulated credits, which written statements are
redeemable for cash.

2.11 "Eligible organization" means any nonprofit organization operated for
educational, charitable, patriotic, veteran’s, fraternal, religious, civic, or public-spirited uses,
or for the relief of poverty, distress, or other condition on the Isabella Reservation.

2.12 “Equipment for games of chance". See "Gaming Apparatus."

2.13 "Game" or "game of chance" means any activity which falls within the broad
definition of gaming or gaming activity.

2.14 "Gaming employee" means any natural person employed in the operation or
management of each gaming activity or operation, whether employed by or contracted to
the Tribe or by any person or enterprise providing on or off-site services to the Tribe within
or without the gaming facility regarding any gaming activity or operation, including, but not


4.18.30 To invest and reinvest its funds in such mortgages, bonds, notes,
debentures, share of preferred and common stock, and any other securities of any
kind whatsoever, and property, real, personal or mixed, tangible or intangible, as the
Tribal Commission shall deem advisable and as may be permitted under applicable
law, provided that the Tribal Commission shall have authority to invest or reinvest
in real property, whether located on or off the Reservation, subject to the restrictions
set forth in subsection 4.18.27 above.

4.18.31 To exercise the tribal power to tax authorized by the Saginaw
Chippewa Tribal Constitution in accordance with a Council resolution delegating
such power to the Tribal Commission and in accordance with this Code and other
applicable law.

4.18.32 To purchase insurance from any stock or mutual company for
any property, or against any risk or hazard.

4.18.33 To engage in any and all activities which directly or indirectly
carry out the purposes of the Tribe as set forth in this Code.

4.18.34 With prior approval of the Tribal Council, to make application
and accept grants and other awards from private and governmental sources in
carrying out or furthering the purposes of the Tribal Commission or the Tribe.

4.18.35 To exercise all authority delegated to it or conferred upon it by
law and to take all action which shall be reasonably necessary and proper for carrying
into execution the foregoing powers and all of the powers vested in this Code as
permitted by the purposes and powers herein stated and which are deemed to be in
the best interests of the Tribe, exercising prudent management and good business
judgment, all in compliance with applicable law.

4.18.36 To establish and maintain such bank accounts as may be
necessary or convenient.

4.18.37 To require by regulation the filing of any records, forms, and
reports and all other information desired by the Council for implementation of this
Code relating to any gaming activity or operation or any investigation as required by
tribal law and the IGRA.

4.18.38 To provide for an internal system of record keeping with
adequate safeguards for preserving confidentiality as deemed necessary by the Tribal
Commission. All applications, background investigations and Tribal Commission
decisions shall be retained in Tribal Commission files for a period of at least 10
years.

20


NATIONAL
INDIAN

= GAMING
Commission

JAN 28 JOQ7

Honorable Ronald Jackson

Interim Tribal Chief, Saginaw Chippewa
Indian Tribe of Michigan

7070 East Broadway

Mount Pleasant, Michigan 48858

Dear Chief Jackson:

This letter responds to your request to review and approve the amendment to the
Saginaw Chippewa Indian Tribe of Michigan's tribal gaming ordinance submitted
on November 27, 1996. The amendment was adopted by Resolution No. 96-073 on
August 14, 1996. The ordinance was approved by the Chairman of the National Indian
Gaming Commission (NIGC) on January 18, 1994. The amendment does not require
approval by the NIGC because the amendment addresses issues not raised in the
Indian Gaming Regulatory Act (IGRA) or the NIGC’s regulations.

Under the IGRA and the regulations of the NIGC, the Chairman is directed to review
ordinances and amendments with respect to the requirements of the IGRA and the
implementing regulations. Thus, the scope of the Chairman’s review and approval is
limited to the requirements of the IGRA and the NIGC regulations. Provisions other
than those required under the IGRA or the NIGC regulations that may be included in
a tribal ordinance are not subject to review and approval.

Thank you for submitting the Saginaw Chippewa Indian Tribe of Michigan’s amendment
for review. If you have questions or require further assistance, please contact
Ms. Frances Fragua at (202) 632-7003.

Sincerely yours,
oT C_ Oe

Thomas J. Foley
Commissioner

- 1441 STREET, N.W. STHFLOOR WASHINGTON, D.C. 20005 TEL.: 202-632-7003 _ FAX: 202-632-7066



also immediately notify the Tribal Commission in writing of the name of the person and the
pending charge and advise the Tribal Commission of the outcome of the case. If the
employee is convicted or pleads nolo contendere to the charge, the employee’s employment
shall be terminated.

Section 8. Enforcement.

8.1 Jurisdiction. Except as provided in this Code or in any tribal-state gaming
compact under the IGRA, the Tribal Court shall have jurisdiction over all violations of this
Code.

8.2 Prohibited Acts. In addition to other civil and criminal offenses provided for
in this Code or under other applicable law, the following acts are prohibited and subject any
violator to the civil or criminal penalties specified herein:

8.2.1 Knowingly making a false statement in an application for employment
with any gaming operator or with the Tribal Commission.

8.2.2. Knowingly making a false statement in connection with any contract to
participate in any gaming activity.

8.2.3 Attempting to bribe any person participating in any gaming activity.

8.2.4 Offering or accepting a loan, financing, or other thing of value between
a Tribal Commission member or employee and any person participating in any
gaming activity.

8.2.5 Failing to keep sufficient books and records to substantiate receipts,
disbursements, and expenses incurred or paid from any gaming activity authorized
pursuant to this Code.

8.2.6 Falsifying any books or records which relate to any transaction
connected with any gaming activity pursuant to this Code.

8.2.7 Conducting or participating in any gaming activity which in any manner
results in cheating or misrepresentation or which allows any other disreputable tactics
that detract from the fair nature and equal chance of participation between gaming
players, or which otherwise creates an advantage over and above the chance of such
gaming activity and which affects its outcome.

8.2.8 To conduct a gaming activity with or to allow participation in a gaming
activity by an intoxicated or disorderly player.

43


2.24.2 If not otherwise included, any other person whose total cash
compensation derived from gaming subject to this Code is in excess of $50,000 per
year; or,

2.24.3 If not otherwise included, the four most highly compensated persons
in any gaming activity subject to this Code; or

2.24.4 any employee whom the Tribal Commission may by written notice
classify as a key employee.

2.25 "License" means any official, legal, and revocable permission granted by the
Tribal Commission pursuant to this Code to an applicant to conduct any gaming activity on
Indian lands.

2.26 "Lotto" means a form of gaming in which all or a part of the proceeds derived
from the sale of tickets or chances are pooled and such proceeds are allotted by chance to
one or more chance takers or ticket purchasers. The amount of cash prizes or winnings are
determined by the gaming operator conducting the "lottery" and a progressive pool is
permitted.

2.27. "Net revenues" means gross gaming revenues of the tribal gaming operation
less amounts paid out as, or paid for prizes; and total gaming related operating expenses,
excluding management fees.

2.28 "Participate" in any gaming activity means to operate, direct, finance, or in any
way assist in the establishment or operation of any class of gaming or any site at which such
gaming is being conducted, directly or indirectly, whether at the site in person or off the
Reservation.

2.29 "Person" means any individual, partnership, joint venture, corporation, joint
stock company, company, firm, association, trust, estate, club, business trust, municipal
corporation, society, receiver, assignee, trustee in bankruptcy, political entity, and any owner,
director, officer, or employee of any such entity, or any group of individuals acting as a unit,
whether mutual, cooperative, fraternal, nonprofit, or otherwise, the government of the Tribe,
any governmental entity of the Tribe, or any of the above listed forms of business entities
that are wholly owned or operated by the Tribe; provided, however, that the term does not
include the federal government and any agency thereof.

2.30 "Player" means a person participating in any game, but does not include a
gaming operator.

2.31 “Primary Management Official" means

2.31.1 The person having management responsibility for a management
contract approved by the National Indian Gaming Commission; or


2.22.2 all lands title to which is either held in trust by the United States for
the benefit of the Tribe or individual member of the Tribe or held by the Tribe or individual
member of the Tribe subject to restriction by the United States against alienation and over
which the Tribe possesses governmental powers; and

2.22.3 all lands within the State of Michigan which may be acquired by the
Tribe and which meet the requirements of Section 20 of the IGRA, 25 U.S.C. § 2719.

2.23 "IRS" means the United States Internal Revenue Service.
2.24 "Key employee" means:

2.24.1 Any person involved in gaming under this Code and who comes under
one or more of the following descriptions:

2.24.11 Bingo caller;

2.24.1.2 Counting room supervisor;

2.24.13 Chief of security;

2.24.1.4 Custodian of gaming supplies or cash;
2.24.1.5 Floor manager;

2.24.1.6 Pit boss;

2.24.1.7 Dealer;

2.24.1.8 Croupier;

2.24.1.9 Approver of credit;

2.24.1.10 Custodian of gambling devices including persons with
access to cash and accounting records within such devices;

2.24.1.11 Employee or any other person with access to finance or
accounting offices; or

2.24,.1.12 Any person authorized to make on-site repairs,
adjustments or alterations to any piece of gaming equipment.


7.13.2 Daily cash transactions for each Class II and Class III game at each
location at which gaming is conducted, including but not limited to
transactions relating to each gaming table bank, game drop box, and gaming
room bank;

7.13.3 All markers, IOU’s, returned checks, hold checks or other similar
credit instruments;

7.13.4 Individual and statistical game records (except card games) to reflect
statistical drop and statistical win; for electronic, computer, or other
technologically assisted games, analytic reports which show the total amount
of cash wagered and the total amount of prizes won;

7.13.5 Contracts, correspondence and other transaction documents relating to
all vendors and contractor’s;

7.13.6 Records of all tribal gaming enforcement activities;

713.7 All gaming related audits prepared by or on behalf of the Tribe
or one of its subdivisions.

7.13.8 Personnel information on all Class IJ and Class III gaming employees
or agents including rotation sheets, hours worked, employee profiles and
background checks.

7.14 No person under the age of 18 shall be employed as a key employee or
primary management official of any class II] game.

7.15 No person under the age of 21 years shall be permitted to conduct, assist in,
or play any gaming activity conducted at any location having an alcoholic beverage license
of any type or class.

7.16 No person under the age of 14 years shall be permitted to enter the area of
any building in which a gaming activity is being conducted.

7.17 A person under the age of 14 years may participate in gaming activity in
private homes, purchase raffle tickets, attend sporting contests or ticket drawings, stick
game, and other traditional gaming tournaments.

7.18 Each gaming operator shall post in a conspicuous location near where each

gaming activity is being played or shall otherwise provide the public with an explanation of
the rules of play of every game he operates.

39


5.8 License Tax. No annual license tax shall be required for a tribally owned or
tribally operated Class II or Class III gaming operation.

5.9 Form of Gaming License. Every gaming license issued by the Tribal
Commission shall include the name and address of the authorized licensee and the signature
of an authorized officer of the Tribal Commission.

5.10 Scope of Gaming License. A gaming license issued by the Tribal Commission
shall be effective only for the gaming activity and location specified in the application. Such
license may be transferred only upon prior approval of the Tribal Commission upon written
request that details the proposed new gaming activity, its location, and proposed gaming
operator.

5.11 Terms of License. A tribally owned and tribally operated Class II and Class
III gaming license shall be valid for a period of one year from the date of issuance.

5.12 Posting of Licenses. Each gaming operator shall post its tribal gaming license
in a conspicuous location at the gaming operator’s gaming facility. If a gaming operator has
more than one gaming facility, the gaming operator must obtain and post a separate license
for each gaming facility. A gaming operator licensed to sell raffle tickets outside a gaming
facility shall carry a copy of the gaming license under which such person is employed.

5.13 Gaming License Renewals. Each tribal gaming license must be renewed
annually. No renewal fee shall be required for a tribally owned or tribally operated Class
II or Class III license. In order to obtain a renewal of a license, the gaming operator shall
submit a written renewal application to the Tribal Commission on the form provided by the
Tribal Commission. No renewal application shall be approved until the annual report
required by subsection 5.14 has been properly filed. All renewal applications submitted by
a tribally owned Class II or Class III gaming activity shall be approved within a reasonable
time unless the Commission determines, based on reasonable grounds, that the enterprise
has been or will be operated in violation of tribal, federal, or other applicable law or the
terms of the tribal-state gaming compact.

5.14 Annual Reports. Each gaming operator who possesses a Class II or Class III
tribal gaming license must file an annual report with the Tribal Commission and the Tribal
Council between the 15th day and the last day of the 12th month of the duration of each
such license. The report shall be submitted to the Tribal Commission on the annual report
form provided by the Tribal Commission and shall include the following information:

5.14.1 The name, address, and telephone number of the gaming operator;

5.14.2 The names, addresses, and titles of its current general manager and all
submanagers;

27


8.2.9 To allow or participate in the sale of liquor at gaming sites when such
sale is prohibited by tribal law.

8.2.10 To accept consideration other than money, personal checks, or other
approved consideration for the chance to play or participate in any gaming activity.

8.2.11 To solicit, directly or indirectly, or to use inside information on the
nature or status of any gaming activity for the benefit of any person.

8.2.12 To tamper with a gaming device or conspire to tamper or manipulate
the outcome or the payoff of a gaming device, or otherwise interfere with the proper
functioning of the machine.

8.2.13 To alter or counterfeit a gaming license.
8.2.14 To aid, abet, or conspire with another person knowingly or knowingly
to cause any person to violate any provision of this Code or any rules and regulations

adopted hereunder.

8.2.15 To operate, use, or make available to the public any illegal gaming
device, apparatus, material, or equipment.

8.2.16 To sell or hold out for sale or transport into or out of the jurisdiction
of the Tribe any illegal gaming device, apparatus, material, or equipment.

8.2.17 To assist or allow a person who is under age to participate in any
gaming activity.

8.2.18 To possess any illegal narcotics or controlled substances on any licensed
gaming site.

8.2.19 To steal or attempt to steal funds or other items of value from any
gaming facility or from the Tribal Commission.

8.2.20 To employ any person at a licensed gaming facility whom the gaming
operator knows has been convicted of a gaming crime or a crime of fraud.

8.2.21 To conspire with or induce any person to violate any of the provisions
of this Code or any tribal or federal law.

8.2.22 No gaming operator or any of his employees or agents shall engage in

any act, practice, or course of operation which could result in a fraud or deceit upon
any person.

44


consistent with this Code, tribal or federal law and is properly approved by the
National Indian Gaming Commission.

5.6.5 The resolution authorizing the proposed gaming activity provides that:

5.6.5.1 The revenues of the proposed gaming activity shall be
audited annually and copies of those audits will be provided to the Tribal
Commission and the National Indian Gaming Commission.

5.6.5.2 The proposed gaming activity shall comply with all IRS
reporting and filing requirements.

5.6.5.3 All of the net proceeds of the proposed gaming activity
shall be used for the purposes stated in subsection 9.2.

5.6.5.4 All contracts for supplies, services, or concessions for an
amount in excess of $25,000 annually (except contracts for legal and consulting
services) shall be subject to an annual independent audit.

5.6.5.5 The construction or maintenance of the gaming facility
and the operation of the proposed gaming activity shall be conducted in a
manner which the Tribal Commission finds will adequately protect the
environment and the public health and safety.

5.6.5.6 The general manager, all primary management officials,
and all key employees have passed the background investigations and obtained
the tribal gaming employee licenses required by this Code. Each application
must state in writing that all future management officials and key employees
will be required to pass background investigations and obtain tribal gaming
employee licenses.

5.6.5.7 The Tribal Commission shall have the authority to
regulate the proposed gaming activity.

5.6.5.8 The proposed gaming activity shall pay to the National
Indian Gaming Commission such fees as federal law may require to be paid.

5.6.5.9 If the gaming activity is Class II] gaming, such gaming
activity meets all other criteria established by the tribal-state gaming compact.

5.7 License Application Fees. No application fee shall be required for a tribally
owned or tribally operated Class II or Class III gaming activity.

26


services, maintenance of peace and good order, establishment of educational systems and
programs, and promotion and regulation of economic activities within the sovereign
jurisdiction of the Tribe.

14 Tribal Gaming Policy. The establishment, promotion, and operation of
gaming is necessary and desirable, provided that such gaming is regulated and controlled by
the Tribe pursuant to tribal and federal law and any tribal-state gaming compact entered
into pursuant to the Indian Gaming Regulatory Act, and that all proceeds of such gaming
are used for the benefit of the Tribe as required by the Indian Gaming Regulatory Act and
tribal law. When operated in accordance with the provisions of this Code, such gaming will
be conducive to the general welfare of all residents of the Reservation.

Section 2. Definitions.

In this Code, except where otherwise specifically provided or where the context
otherwise requires, the following terms and expressions shall have the following meanings:

2.1 "Adjusted gross proceeds" means gross proceeds less all cash prizes or the
aggregate price of merchandise prizes, except in the case of the games of draw poker and
stud poker. Regarding games of draw poker and stud poker, "adjusted gross proceeds"
means the time buy-ins or tournament fees collected by the gaming operator.

2.2. "Bingo" means the game of chance commonly known as bingo (whether or not
electronic, computer, or other technologic aids are used in connection therewith) which is
played for prizes, including monetary prizes, with cards bearing numbers or other
designations, in which the holder of each card covers such numbers or designations when
objects similarly numbered or designated are drawn or electronically determined, and 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.

2.3. “Charitable gaming ticket" means any game piece used in the play of a paper
pull tab game, or jar ticket game, or raffle.

2.4 "Cheating" means operating or playing in any game in a manner in violation
of the written or commonly understood rules of the game, with the intent to create for
oneself or someone in privity with one an advantage over and above the chance of the game.

2.5 "Code" means this Code, the Saginaw Chippewa Gaming Code, as now or
hereafter amended.

2.6 "Compact" means a gaming compact between the Tribe and the State of
Michigan as authorized by the Indian Gaming Regulatory Act (IGRA), or by tribal or state
law.


4.18.3 To enact and enforce such rules and regulations regarding its activities
and governing its internal affairs as the Tribal Commission may deem necessary and
proper to effectuate the powers granted by this Code and the powers granted and
duties imposed by applicable law.

4.18.4 To publish and distribute copies of this Code and Tribal Commission
rules and any Council, Tribal Commission, or Tribal Court decisions regarding
gaming matters.

4.18.5 To prepare and submit for Council approval proposals, including
budget and monetary proposals, which could enable the Tribe to better carry forth
the policies and intent of this Code.

4.18.6 To work with the staff of any tribal department, program, project, or
operation and to cooperate with the Tribal Council or any Council Committee in
regard to gaming issues.

4.18.7 To make or cause to be made by its agents or employees, an
examination or investigation of the place of business, equipment, facilities, tangible
personal property, and the books, records, papers, vouchers, accounts, documents,
and financial statements of any game or gaming activity operating, or suspected of
operating, within the jurisdiction of the Tribe. In undertaking such examination or
investigation, the Tribal Commission may request the assistance of tribal gaming
staff, federal and local law officials, legal counsel, and other third parties.

4.18.8 To maintain and keep current a record of new developments in the
area of Indian gaming.

4.18.9 To request the assistance of the Tribal Court or Tribal Appellate Court
in conducting gaming hearings, defining terms used in this Code or other tribal laws,
or in any other matter in which the Tribal Commission deems such assistance to be
necessary or proper.

4.18.10 To consider any gaming matter brought before it by any person,
organization or business, and all matters referred to it by the Tribal Council.

4.18.11 To obtain and publish a summary of federal revenue laws
relating to gaming and to insure compliance with the same.

4.18.12 To arrange for training of Tribal Commission members, tribal
employees and others in areas relating to the regulation or operation of gaming.

4.18.13 Upon prior explicit written approval of the Council, to employ
such advisors as it may deem necessary. Advisors may include, but shall not be

17


6.5 Scope of Gaming Employee License. A gaming employee license shall be
effective only for the person to whom it is issued and only with respect to the gaming facility
specified in the application. Any such license may be transferred to a new gaming facility
only upon prior approval of the Tribal Commission, upon written request of the licensee
identifying the proposed new gaming facility, its location, and the proposed gaming operator
thereof.

6.6 Licensing Period. An employee gaming license issued pursuant to this Code
shall be effective for a period of one year from the date of issuance and shall state on its
face the date that the license became effective and the date that it expires.

6.7 Renewals. A holder of an employee gaming license shall apply to the Tribal
Commission for a renewal before his original license has expired, updating all information
contained in the original application.

6.8 Requirement to Produce License Upon Request. Any person receiving a
employee gaming license must carry that license upon his person during all working hours
and must produce that license upon the request of any law enforcement official with
jurisdiction over the gaming activity or any agent of the Tribe, the Tribal Commission, or
the National Indian Gaming Commission.

6.9 Permanent License Revocation of Employee Gaming License.
6.9.1 Grounds for Permanent Revocation. The Tribal Commission may

permanently revoke an employee gaming license, after notice and an opportunity for
a hearing, for any of the following reasons:

6.9.1.1 The employee has withheld pertinent information on his
application;

6.9.1.2 The employee has made false statements on the
application;

6.9.1.3 The employee has participated in gaming activity which

was not authorized by any tribal gaming license;

6.9.1.4 The employee has attempted to bribe a tribal council
member, Tribal Commissioner, or other person in an attempt to avoid or
circumvent this Code or any other applicable law;

6.9.1.5 The employee has offered something of value or accepted

a loan, financing, or other thing of value from a Tribal Commission member
a subordinate employee or any person participating in any gaming activity;

34


6.9.1.6 The employee has knowingly promoted, played, or
participated in any gaming activity operated in violation of this Code or any
other applicable law;

6.9.1.7 The employee has been knowingly involved in the
falsification of books or records which relate to a transaction connected with
the operation of gaming activity;

6.9.1.8 The employee has violated any provision of this Code or
the rules and regulations of the Tribal Commission;

6.9.1.9 The employee has been convicted of, or has entered a
plea of nolo contendere to, any crime involving gaming, fraud, theft,
embezzlement, or other activity which, if perpetrated at his gaming operator’s
place of employment, would injure or pose a threat to the public interest, or
the integrity of the gaming activity, or the effective regulation of gaming or
enhance the dangers of unfair, unsuitable, or illegal gaming practices;

6.9.1.10 The employee has been convicted of, or entered a plea
of nolo contendere to, a crime involving the sale of illegal narcotics or
controlled substances;

6.91.11 The employee has failed to comply with any lawful order,
inquiry or directive of the Tribal Commission, the Tribal Council, or any
administrative or judicial body of competent jurisdiction, arising from any
gaming activity whether or not subject to this Code; or

6.9.1.12 The employee is determined to have present or prior
activities, including criminal record, or reputation, habits or associations which
pose a threat to the public interest or to the effective regulation of gaming,
or create or enhance the dangers of unsuitable, unfair, or illegal practices and
methods and activities in the conduct of gaming.

6.9.2 Procedure for Permanent Revocation. Procedure for Permanent
Revocation. Whenever, the Tribal Commission has reasonable cause to believe that
an employee has violated any of the conditions in section 6.9.1. or has failed to
comply with any condition of his tribal gaming license, or has failed to obtain a
license, the Tribal Commission or its Designee may either undertake an investigation,
or serve upon such employee an order to show cause why the employee’s license
should not be revoked, or why the employee should not be enjoined from conducting
gaming activities within the jurisdiction of the Tribe. The order shall state the
grounds for which such revocation or injunction is sought and that the employee shall
have an opportunity to present testimony and to cross examine opposing witnesses,
and to present any other evidence as to why revocation or injunction should not be

35


all gaming employee license applications have been reviewed and the Tribal
Commission has submitted written findings on such application to the Council.

9.5.5 If the Council is satisfied with the information it receives it shall submit
the proposed contract along with all of the above described information to the
Chairperson of the National Indian Gaming Commission for approval.

9.6 Additional Requirements for Operation of Tribally Owned or Tribally
Operated Games.

9.6.1 Any cash winning of an amount under $500.00 shall be paid in cash or
check and shall be paid on the date it is won. Each patron’s winnings of an amount
over $500.00 shall be paid by check and shall be paid within 72 hours after it is won.

9.6.2 Each tribally owned or tribally operated gaming facility shall carry
sufficient liability insurance to protect the public in the event of an accident. The
Tribal Commission shall determine the amount of liability insurance required for
each gaming facility.

9.6.3 Each tribally owned or tribally operated gaming activity shall post the
rules of play of each game in a conspicuous place where gaming is conducted and
shall make written copies of such rules available to any member of the general public
upon request.

Section 10. Authorized Games.

Consistent with applicable law, the Tribe authorizes the licensing of the
following games of chance:

10.0.1 Bingo.
10.0.2 Twenty-one or Blackjack.
10.0.3 Poker.

10.0.4 All other games of chance authorized under a tribal-state gaming
compact with the State of Michigan pursuant to the IGRA.

Section 11. Severability.
In the event that any section or provision of this Code is held invalid, it is the intent

of the Tribal Council that the remaining sections or provisions of this Code shall continue
in full force and effect.

50


it shall make no order without affording any affected party notice and an opportunity for
a hearing pursuant to Tribal Commission regulations.

4.23 Hearings; Examiner. Pursuant to regulations, the Tribal Commission may
hold any hearing it deems to be reasonably required in administration of its powers and
duties under this Code. Whenever it shall appear to the satisfaction of the Tribal
Commission that all of the interested parties involved in any proposed hearing have agreed
concerning the matter at hand, the Tribal Commission may issue its order without a hearing.

The Tribal Commission may designate one of its members to act as examiner for the
purpose of holding any such hearing or the Tribal Commission may appoint another person
to act as examiner under subsection 4.24 below. The Tribal Commission shall provide
reasonable notice and the right to present oral or written testimony to all people interested
therein as determined by the Tribal Commission.

4.24 Appointment of Examiner; Power of Examiner. The Tribal Commission may
appoint any person qualified in the law or possessing knowledge or expertise in the subject
matter of the hearing to act as examiner for the purpose of holding any hearing which the
Tribal Commission or any member thereof has power or authority to hold. Any such
appointment shall constitute a delegation to such examiner of all powers of a Commissioner
under this Code with respect to any such hearing.

4.25 Bank Account for Tribally Owned or Tribally Managed Gaming Facility. The
Tribal Commission shall ensure that the Tribe opens a separate bank account for each
tribally owned or tribally managed gaming activity, and all money of such facility shall be
deposited in that account. The Tribal Commission shall determine who shall have check
writing authority from such account.

4.26 Quarterly Report of Tribal General Manager Reports. The Tribal
Commission shall file a quarterly report with the Council summarizing reports received from
each manager of any tribally owned or managed gaming activity and make such comments
as it deems necessary to keep the Council fully informed as to the status of its various
gaming activities.

Section 5. | Gaming Licenses.

5.1 Applicability. This Code applies to all persons engaged in gaming within the
jurisdiction of the Tribe. Any application for license pursuant to this Code and participation
in any gaming activity within the jurisdiction of the Tribe shall be deemed to be a consent
to the jurisdiction of the Tribe and Tribal Court in all matters arising from the conduct of
such gaming and all matters arising under any of the provisions of this Code or other tribal
laws, PROVIDED, that the provisions of this section are not and shall not be deemed or
construed to be a waiver of the Tribe’s sovereign immunity from suit in any federal, state
or tribal court.

23


4.15
4.16

4.17
4.18
4.19
4.20
4.21
4.22
4.23
4.24
4.25

4.26

Section 5.
5.1
5.2
5.3

5.4
5.5

5.6
5.7
5.8
5.9
5.10
5.11
5.12
5.13
5.14
5.15

Section 6.
6.1
6.2
6.3
6.4

4.14.5 Voting ©... 0... ee eee ee 15
Organization... 20... eee ee 15
Removal of Members or Vacancies ..............-0 0000000005 16

Annual Budget ... 20... .. 00... cece eee
Tribal Commission Regulations ................. 00.00 .00000.
Right of Entrance; Monthly Inspection . .
Investigations ©... 6... eee teens

Hearings; Examiner.... 2.0... 0.0... cece eee eee
Appointment of Examiner; Power of Examiner .................. 23
Bank Account for Tribally Owned or Tribally Managed Gaming Facility
SR 23
Quarterly Report of Tribal General Manager Reports ............. 23
Gaming Licenses ..... 0.2... 00 000. ee eee 23
Applicability
License Required ....... 0.000.000... ec 24
Types of Licenses .... 6... eee 24
5.3.1 Tribally Owned or Tribally Operated Class I .............. 24
5.3.2 Tribally Owned or Tribally Operated Class I] ............. 24
No License Requirement for Class I Gaming. ................... 24

Application Procedures ................
§.5.1_ Application for Gaming License.

5.5.2 Tribally Owned and Tribally Operated Class TW ............. 24
§.5.3 Tribally Owned and Tribally Operated Class HI ............ 25
Criteria Which a Potential Gaming Operator Must Meet .......... 25
License Application Fees.......... 00.00.0000 eee eee eee ee 26
License Tax ..... 0.0.0.0 00 eee eee .. 27
Form of Gaming License. 27
Scope of Gaming License. ...... 06.6... cece eee 27
Terms of License . 27
Posting of Licenses 27
Gaming License Renewals 27
Annual Reports 20.0.0... 2... cece eee ee ... 27
Procedure to Remedy Gaming License Violation. ................ 29
Gaming Employee Licenses ............. 0.00000 eee eee eens 29
Current and Valid Gaming Employee License Required ........... 29
Application for Gaming Employee License ..................... 29
Review Procedure ... 6.0... cece eee 32

Standards For Denial of A Key Employee or Primary Management Official
License 2... eee eee 33


7.28 Each gaming operator shall pay all fees and file all reports required by law
within the time prescribed.

7.29 Each gaming operator shall respond immediately to and obey all inquiries,
subpoenas, or orders of the Tribal Commission, the Tribal Council, the Tribal Court, or the
National Indian Gaming Commission.

7.30 Each gaming operator shall prominently display at each gaming site a current,
valid tribal gaming license.

7.31 Each gaming operator shall at all times maintain an orderly, clean, and neat
gaming facility, inside and out.

7.32 Each gaming operator shal) provide adequate security to protect the public
before, during, and after any gaming activity.

7.33 Each licensed gaming activity shall be subject to patrol by the tribal police
force for the purpose of enforcing tribal law, and each gaming operator shall cooperate at
all times with the tribal police force.

7.34 Each gaming operator shall make its premises and books and records available
for inspection during normal business hours by the Tribal Commission and members of the
Tribal Council or their Designee.

7.35 No gaming shall be conducted on tribal election days, or on any day on which
any tribal referendum is held, or on special days of observance designated by the Tribal
Council or by the Tribal Commission.

7.36 No gaming operator may discriminate on the basis of sex, race, color, or creed
in the conduct of any licensed gaming activity.

7.37 Each gaming operator shall keep accurate books and records of all moneys
received and paid out and provide the Tribal Commission or its Designee with copies of or
access to the same upon request.

7.38 All net proceeds of any gaming activity shall be used only in a manner
prescribed by this Code.

7.39 Every gaming operator shall comply with all applicable tribal and federal
revenue reporting laws.

7.40 Each gaming operator shall immediately suspend any employee who is charged

with a crime of theft, embezzlement, fraud or other gaming crime, or any offense related
to the sale, possession, manufacture, or transport of illegal drugs. The gaming operator shall

42


7.19 A gaming operator is prohibited from renting or lending gaming equipment
to any person without the prior written approval of the Tribal Commission.

7.20 A gaming operator is prohibited from exchanging pull-tabs, punch-boards,
sports pools, and twenty-one boxes (shoes) without the approval of the Tribal Commission.
All other gaming equipment may be exchanged without prior approval. Any request for
approval shall be made to the Tribal Commission at least 5 days prior to the exchange.

7.21 Each gaming operator who anticipates the printing, manufacture, or
construction of any equipment for gaming activity shall first notify the Tribal Commission
of his intention and shall have the finished product approved by the Tribal Commission
before it is placed in service.

7.22 Gaming chips and other tokens of value may be sold and redeemed only by
the gaming operator and only for full value.

7.23, Every licensed gaming operation shall maintain and keep for not less than 10
years permanent books of accounts and records, including inventory records of gaming
supplies, sufficient to establish the gross and net income, deductions, expenses, receipts, and
disbursements of the enterprise.

7.24 A gaming operator who conducts a gaming activity at a site in which the
operator does not have a legal ownership interest shall file with the Tribal Commission,
prior to conducting any gaming activity at such site, a written agreement, attested to by both
the gaming operator and the owner of such site, setting forth the terms under which the
operator is permitted the use of such site.

7.24.1 Such agreement shall contain all of the following information:
7.24.11 The name of the legal owner of the site. If the gaming
operator is to be a sub-lessee, then the name of the lessee must also be
included.
7.24.1.2 The name and gaming license number of the gaming operator.

7.24.1.3 The term of such use of the site.

7.24.1.4 The monetary consideration to be paid for such use of the
site, if any.

7.24.1.5 A precise description of the location or premises.

7.24.1.6 A prohibition of advertising of the gaming activity by the
owner.

40


(1988), which recognized the inherent sovereign right of tribes to operate and their exclusive
right to regulate on Indian lands gaming which is not specifically prohibited by federal law
and is conducted within a state which does not, as a matter of criminal law and public
policy, prohibit such gaming, and provided a federal statutory basis for operation and
regulation of Indian gaming.

3.3. Saginaw Tribal Policy of Self-Government. The Tribe is firmly committed to
the principal of tribal self-government. Consistent with federal policy, tribal government
provides a wide range of public services on the Reservation, including general governmental
services, the maintenance of peace and good order, the establishment of educational systems
and programs, and the promotion and regulation of economic activities within the sovereign
jurisdiction of the Tribe.

3.4 Title, Repeal of Prior Laws, and Effect of Repeal. This Code may be cited as
the Saginaw Chippewa Gaming Code. The Code shall be appropriately inserted in the
Saginaw Chippewa Tribal Code.

All ordinances of the Tribe and all titles, chapters, and sections of the Tribal Code
that pertain to gaming and are in effect as of the effective date of this Code are hereby
repealed, and all other tribal laws or parts thereof inconsistent with the provisions of this
Code are hereby repealed.

Repeal of this Code or any portion thereof shall not have the effect of reviving any
prior tribal law theretofore repealed or suspended.

3.5. Classes of Gaming. There are three classes of gaming on Indian lands under
this Code:

3.5.1 "Class I Gaming" means social gaming 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 celebration.

3.5.2. "Class II Gaming" means

3.5.2.1 The game of chance commonly known as bingo (whether
or not electronic, computer, or other technologic aids are used in connection
therewith), which is played for prizes, including monetary prizes, with cards
bearing numbers or other designations, in which the holder of the card covers
such numbers or designations when objects similarly numbered or designated
are drawn or electronically determined, and 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 at the same location) pull-tabs,
lotto, punch boards, tip jars, instant bingo, and other games similar to bingo;
and

10


4.4 Attributes. As a governmental subdivision of the Tribe, the Tribal
Commission has been delegated the right to exercise one or more of the substantial
governmental functions of the Tribe, including regulation of tribal gaming pursuant to the
IGRA and tribal law. It is the purpose and intent of the Tribe in creating the Tribal
Commission that the operations of the Tribal Commission be conducted on behalf of the
Tribe for the sole benefit and interests of the Tribe, its members, and the residents of the
Reservation. In carrying out its purposes under this Code, the Tribal Commission shall
function as an arm of the Tribe. Notwithstanding any authority delegated to the Tribal
Commission under this Code, the Tribe reserves to itself the right to bring suit against any
person or entity in its own right, on behalf of the Tribe or on behalf of the Tribal
Commission, whenever the Tribe deems it necessary to protect the sovereignty, rights, and
interests of the Tribe or the Tribal Commission.

4.5 Recognition as a Political Subdivision of the Tribe. The Tribe, on behalf of
the Tribal Commission, shall take all necessary steps to acquire recognition of the Tribal
Commission as a political subdivision of the Tribe, recognized by all branches of the United
States Government as having been delegated the right to exercise one or more substantial
governmental functions of the Tribe.

4.6 Sovereign Immunity of the Tribal Commission. The Tribal Commission is
hereby clothed with all the privileges and immunities of the Tribe, except as specifically
limited by this Title or other tribal law, including sovereign immunity from suit in any tribal,
federal, or state court. Except as provided in this section, nothing in this Code nor any
action of the Tribe or the Tribal Commission shall be deemed or construed to be a waiver
of sovereign immunity from suit of the Tribal Commission, or to be a consent of the Tribe
or the Tribal Commission to the jurisdiction of the United States or of any state or any
other tribe with regard to the business or affairs of the Tribe or the Tribal Commission to
any cause of action, case, or controversy, or to the levy of any judgment, lien or attachment
upon any property of the Tribe of the Tribal Commission, or to be a consent of the Tribe
or the Tribal Commission to suit in respect to any Indian land, or to be a consent of the
Tribe or the Tribal Commission to the alienation, attachment, or encumbrance of any such
land.

47 Sovereign Immunity of the Tribe. All inherent sovereign rights of the Tribe
as a federally recognized Indian tribe with respect to the existence and activities of the
Tribal Commission are hereby expressly reserved, including sovereign immunity from suit
in any tribal, federal or state court. Except as provided in section 4.8 below, nothing in this
Code nor any action of the Tribal Commission shall be deemed or construed to be a waiver
of sovereign immunity from suit of the Tribe, or to be a consent of the Tribe to the
jurisdiction of the United States or of any state or of any other tribe with regard to the
business or affairs of the Tribal Commission or the Tribe, or to be a consent of the Tribe
to any cause of action, case, or controversy, or to the levy of any judgment, lien, or
attachment upon any property of the Tribe, or to be a consent to suit in respect to any

12


2.33 "Progressive gaming" ... 62.2.0... eee eee eee
2.34  “Pull-tabs, punchboards, and tip jars"
2.35 “Raffleé ... 20... eee eee eee
2.36 "Reservation" .
2.37 "State" oo... eee
2.38 "Tribal Commission" .................
2.39 "Tribe"
2.40 "Twenty-one"
2AL "Wager" 0...
Section 3. General Provisions ............... 00-0000 0 cee eee eee 9
3.1. Authority and Sovereign Powers and Responsibilities............... 9
3.2 Application of Federal Policy ............. 0.000.000. eee ee eee 9
3.3. Saginaw Tribal Policy of Self-Government. ................0.20. 10
3.4 Title, Repeal of Prior Laws, and Effect of Repeal
3.5 Classes of Gaming «1.1... 0... cece eee
3.5.1 "Class I Gaming"
3.5.2 "Class II Gaming"
3.5.3 "Class I] Gaming” 2... 0.0.0...
3.6 Construction... 2... eee eee
3.7 Savings Clause «6... ee eee
Section 4. Tribal Gaming Commission .................0 0.0000 c eee eaee

4.2
43
44
45
4.6
4.7
48
49
4.10
4.11

4.12
4.13
4.14

Location and Place of Business
Duration 2.2... cee ee eee

Attributes 2.00.
Recognition as a Political Subdivision of the Tribe ............... 12
Sovereign Immunity of the Tribal Commission. .................. 12
Sovereign Immunity of the Tribe ..................000 000000. 12
Waiver of Sovereign Immunity of the Tribal Commission ........... 13
Credit of the Tribe or Tribal Commission .................0.005 13
Assets of the Tribal Commission

Membership .................00.

4.11.1 Number of Commissioners

4.11.2 Qualification of Commissioners .......... 00.00 c eevee 13
4.11.3 Background Check .. 13
4.11.4 Date of Appointment. ........... 0.000000... eee eee 14
Term of Office 2.2... eee eee 14
Tribal Council Representation .... .. 14
Meetings ©0602... 2. eee teen eee 14
4.14.1 Regular Meetings ............ 0.00.00... 000 e eee eee 14
4.14.2 Special Meetings 2. 1S
4.14.3 Compensation of Commissioners ........... 00.0000. 15

4.14.4 Quorum ...... 00... ee eee eee eee 15


6.3.2. Forward to the National Indian Gaming Commission a copy of the

application, the results of the background checks performed, and the Tribal
Commission’s findings and decision.

6.3.3 All applications, background checks, and Tribal Commission decisions

shall be retained in the Tribal Commission files for a period of at least 10 years.

6.4

Standards For Denial of A Key Employee or Primary Management Official
License. The Commission shall not license, hire, or employ as a key employee
or primary management official in connection with Class II or Class III
gaming, any person who:

6.4.1 Is under the age of 18; provided, however, that if liquor is sold on the
premises that age limitation is raised to 21.

6.4.2. Has been convicted of or entered a plea of no contest to a gambling
offense, fraud or misrepresentation; or

6.4.3 Has been convicted of or entered a plea of guilty or no contest to any
offense not specified in subparagraph (6.4.2) within the immediately preceding
five years; this provision shall not apply if that person has been pardoned by
the Governor of the State where the conviction occurred or, if a tribal
member, has been determined by the Tribe to be a person who is not likely
again to engage in any offensive or criminal course of conduct and the public
good does not require that the applicant be denied a license as a key
employee or primary management official; or

6.4.4 Ifthe Tribal Gaming Commission determines, after notice and hearing,
that the person has participated in organized crime or unlawful gambling or
is a person whose prior activities criminal record, reputation, habits, and/or
associations pose a threat to the public interest or to the effective regulation
and control of gaming, or create or enhance the dangers of unsuitable, unfair,
or illegal practices and methods and activities in the conduct of gaming or to
the carrying on of the business and financial arrangements incidental to the
conduct of gaming.

6.4.5 If the applicant is found to have supplied false or misleading
information or has omitted material information on his license application.

6.4.6 Provided further that the Tribal Gaming Commission may , by

regulations, add additional limitations and conditions for denial of said
license.

33


4.18.39 To adopt a schedule of fees to be charged for gaming licenses
issued pursuant to this Code.

4.18.40 To adopt a schedule of fees and charges for services rendered
relating to transcripts and the furnishing or certifying of copies of proceedings, files,
and records.

4.18.41 To conduct background investigations of all persons who
propose to participate in any gaming activity or operation.

4.18.42 To compel obedience of its lawful orders by proceedings of
mandamus or injunction or other proper proceedings in the name of the Tribe in
Tribal Court or in any other court having jurisdiction of the parties and of the subject
matter; provided that no suit shall be brought by the Tribal Commission without the
prior explicit written approval of the Tribal Council after consultation with the Tribal
attorneys.

4.18.43 To discipline any licensee or other person participating in any
gaming activity by ordering immediate compliance with this Code or Tribal
Commission regulations and to issue an order of temporary suspension of any license
issued under this Code, whenever the Tribal Commission is notified of a violation by
any such person of this Code or any other applicable law.

4.18.44 To issue an order of temporary closure of any gaming activity
or operation in the event the Tribal Commission determines that immediate closure
is necessary to protect assets or interests of the Tribe, pursuant to Tribal Commission
regulations, or whenever the Tribal Commission shall receive information from the
National Indian Gaming Commission that a primary management official or key
employee of an licensee does not meet the standards for being licensed under the
IGRA.

4.18.45 To become self-regulating whenever the Tribe becomes eligible
for a certificate of self-regulation under the IGRA.

4.19 Annual Budget. The Tribal Commission shall prepare an annual operating
budget for all Tribal Commission activities and present it to the Council by August 15th of
each year.

4.20 Tribal Commission Regulations.

4.20.1 Tribal Commission regulations necessary to carry out the orderly
performance of its duties and powers shall include, but shall not be limited to:

21


Section 1.
11
1.2
13
14

Section 2.
21
2.2
2.3
2.4
2.5
2.6
2.7
2.8
2.9

2.10
2.11
2.12
2.13
2.14
2.15
2.16
2.17
2.18
2.19
2.20
2.21
2.22
2.23
2.24
2.25
2.26
2.27
2.28
2.29
2.30
231
2.32

GAMING CODE
OF THE
SAGINAW CHIPPEWA INDIAN TRIBE OF MICHIGAN

Findings, Purposes and Policy ................. 00.20 e ee eens 1
Findings «6.06... 6c cee eee 1
PUrpOSes .. 0... eee eee 2
Tribal Policy of Self-Government

Definitions ©... 6.0.0.2. eee
“Adjusted gross proceeds”... 1.2... cece
"BINQO" ee eee eee eee
"Charitable gaming ticket" Lee
"Cheating" 2.0... eee eee eee
"Code" oe ee eee
"Compact" .. 0... 6. eee eee eee

"Compensation" ...............-..

"Council" or "Tribal Council"
"Educational, charitable, patriotic, veteran’s, fraternal, religious, civic, or

public-spirited uses"... 1... eee 4
"Electronic games of chance"... 2.6.06... eee eee eee 4
"Eligible organization" 4
"Equipment for games of chance" ..... 02.2.0... 00.000 c eee eee 4
"Game" or "game of chance" .. 00... 00... eee eee 4
"Gaming employee" 4
"Gaming" or "gaming activity"... 0... eee eee 5
“Gaming apparatus" or "gaming equipment" ..................... 5

"Gaming facility"
"Gaming Operator"
"Gross proceeds"
"Indian Gaming Regulatory Act" or "IGRA"
"Immediate Family"... 0... eee
"Indian lands" 2.0... ee eee eee
"IRS"
"Key employee"
“License” oe eee teen tenes
“Lotto” oo... cee ee eee

"Net revenues"
"Participate"
"Person"
"Player"
"Primary Management Official”... 2.20... eee eee
"Principal"... eee teens


8.2.23 To use bogus or counterfeit chips or charitable gaming tickets, or to
substitute or use any game, cards, charitable gaming tickets, or gaming equipment
that have been marked or tampered with.

8.2.24 To employ or have on the Reservation any device to facilitate cheating
in any game of chance.

8.2.25 To knowingly use any fraudulent scheme or technique, or to solicit,
provide, or receive inside information about any gaming activity with the intent of
benefiting any person.

8.2.26 To take, solicit, or encourage any action which undermines the integrity
of any game of chance.

8.2.27 No gaming operator shall knowingly employ any person who has been
convicted of or entered a plea of nolo contendere to a crime of theft, embezzlement,
fraud, or other gaming crime.

8.3 Criminal Violation. Any Indian who violates or fails to comply with any
provision of this Code, or who fails to comply with any order or decision of the Tribal
Commission, shall be guilty of a crime and shall be required to pay a maximum fine of
$5,000 or 1 year imprisonment, or both. Each day during which such violation of failure to
comply continues shall constitute a separate violation of this Code.

8.4 Civil Violation. Any person who violates or fails to comply with any provision
of this Code, or who fails or neglects to comply with any order of the Tribal Commission,
shall be liable for a civil fine not to exceed $5,000 for each violation thereof. Each day
during which such violation or failure to comply continues shall constitute a separate
violation of this Code. The amount of any such civil fine may be recovered in a civil action
in the Tribal Court.

8.5 Cumulative Fines. All civil fines accruing under this Code shall be cumulative
and a suit for the recovery of one fine shall not bar or affect the recovery of any other fine,
judgment, penalty, forfeiture, or damages, nor bar the power of the Tribal Court to punish
for contempt, nor bar any criminal prosecution.

8.6 Purpose of Civil Penalties. The civil fines imposed under this Code are
intended to be remedial and not punitive, and are designed to compensate the Tribe for the
damage done to the peace, security, economy, and general welfare of the Tribe and the
Reservation, and to compensate the Tribe for costs incurred by the Tribe in enforcing this
Code. The civil fines under this Code are also intended to coerce persons into complying
with this Code and Tribal Commission regulations and not to punish such persons for
violation of such laws and regulations.

45


5.14.14 A sworn statement that the gaming operator will continue to
comply with all tribal and federal laws applicable to the gaming operator’s gaming
operation;

5.14.15 A sworn statement that the gaming operator and all of its key
employees and management contractors continue to consent to Tribal Court
jurisdiction and service of process in all matters arising from the conduct of tribally
licensed gaming activity;

5.14.16 The name, address, and signature of the agent who will accept
service of process on behalf of the gaming operator, who must reside on the
Reservation; and

5.14.17 If the gaming operator is a corporation, a copy of any
amendment to its articles of incorporation, properly certified by the incorporating
government, unless a current copy has already been filed with the Tribal Commission.

5.15 Procedure to Remedy Gaming License Violation. If the Tribal Commission
finds that a tribally owned or operated gaming activity is being operated in violation of this
Code or otherwise presents a threat to the Tribe or to the public, the Tribal Commission
shall immediately take all necessary steps to bring such activity into compliance, including,
but not limited to, closing down such activity temporarily or permanently pursuant to
enforcement procedures and regulations duly promulgated by the Tribal Commission under
this Code. Nothing contained in this Section or in this Code shall be construed as limiting,
restraining or effecting a waiver of the Tribe or the Tribal Council’s right and authority to
take appropriate action to remedy any gaming violation pursuant to tribal and federal law.

Section 6. | Gaming Employee Licenses.

6.1 Current and Valid Gaming Employee License Required. Every primary
management official and every key employee of any Class II or Class WI gaming activity
subject to this Code shall possess a current, valid gaming employee license.

6.2 Application for Gaming Employee License.

6.2.1 A person seeking a tribal gaming employee license must be at least 18
years of age. All applicants shall submit an application to the Tribal Commission on
such form and in such manner as the Tribal Commission may require.

6.2.2. Such application shall include the following information:

6.2.2.1 The applicant’s name, including all other names used,

current home and work addresses and telephone numbers, social security
number, place of birth, date of birth, citizenship, and driver’s license number,

29


7.8 Each facility that houses one or more card games shall post, in a prominent
place in each card room, the rules of each card game played. These rules shall notify the
public of the following:

7.8.1 The maximum rake-off percentage, time buy-in and other fees charged;
7.8.2 The number of raises allowed;

78.3 The monetary limit of each raise

7.8.4 The amount of ante; and

7.8.5 Other rules as may be necessary.

7.9 All persons employed in conjunction with the operation of any Class III
gaming activity shall be provided with such benefits to which the employee would be eligible
to by virtue of Michigan Public Act No. 1 of 1936, as amended (being MCL 421.1 et. seq.),
and Michigan Public Act No. 317 of 1969, as amended (being MCL 481.101 et. seq.) as if
his or her employment services were provided to an employer engaged in a business
enterprise which is subject to, and covered by, the respective Acts.

7.10 No Class III gaming equipment or supplies shall be operated, purchased,
leased or otherwise acquired by the Tribe unless that Class III equipment or supplies meet
the technical equipment standards of either the State of Nevada or the State of New Jersey.

7.11 The Tribe hereby adopts and applies as tribal law to all tribal Class III gaming
facilities those state laws, as amended, relating to the sale and regulation of alcoholic
beverages in the following areas: sale to a minor; sale to a visibly intoxicated individual; sale
of adulterated or misbranded liquor; hours of liquor sales; and such other laws prohibiting
the sale of alcoholic beverages to certain categories of individuals.

7.12 All tribally licensed Class III gaming facilities shall purchase all liquor sold in
those facilities from the Michigan Liquor Control Commission, and shall purchase all beer
and wine from distributors licensed by the Michigan Liquor Control Commission, at the
same price and on the same basis that such beverages are purchased by Michigan Class C
licensees.

7.13 AJl accounting records of each tribally licensed gaming facility shall be kept
on a double entry system of accounting, maintaining detailed, supporting, subsidiary records.
The operator and the Tribe shall maintain the following records for not less than three (3)
years:

7.13.1 Revenues, expenses, assets, liabilities and equity for each location at
which Class II and Class III] gaming is conducted;

38


5.2 License Required. No person shall operate Class II or Class II] gaming within
the jurisdiction of the Tribe unless such gaming is licensed by the Tribe. A separate tribal
gaming license shall be obtained for each game authorized by Section 10.

5.3. Types of Licenses. The Tribe shall issue each of the following types of gaming
licenses:

5.3.1 Tribally Owned or Tribally Operated Class II. This license shall be
required of all tribally owned or tribally operated gaming activity operating one or
more Class II games of chance.

5.3.2 Tribally Owned or Tribally Operated Class III. This license shall be
required for all tribally owned or operated gaming activity operating any games of
chance other than Class I or Class II gaming.

5.4 No License Requirement for Class I Gaming. A tribal license shall not be
required for any Class I gaming activity or operation provided, however, that each Class |
gaming activity or operation must have written permission of the Tribal Commission, and
such permission must be on file with the Tribal Secretary before any such Class I gaming
is conducted.

5.5 Application Procedures.

5.5.1 Application for Gaming License. For any proposed Class II or Class
III gaming activity, the Council shall file with the Tribal Commission an application for a
tribally owned or tribally operated Class IJ or Class HII gaming license, whichever is
appropriate, which shall contain the name of the proposed enterprise, its location, and all
other pertinent information required by this Code and Tribal Commission regulations.

5.5.2 Tribally Owned and Tribally Operated Class II. Before issuing a
license to a tribally owned or operated Class II gaming activity the Tribal
Commission shall:

5.5.2.1 Review the proposed gaming activity to ensure that all
criteria required by this Code shall be met.

5.5.2.2 Perform the necessary background checks on
management contractors, primary management officials, and key employees

required by this Code.

5.5.2.3 Review and approve the accounting procedures to be
used in such gaming activity.

24


2.31.2 Any person who has authority:
2.31.21 To hire and fire gaming employees; or
2.31.2.2 To set up working policy for a gaming enterprise; or

2.31.3 The chief financial officer or other person who has _ financial
management responsibility for a gaming activity.

2.32 "Principal" means with respect to any management contractor: (i) each of its
officers and directors; (ii) each of its principal management employees, including any chief
executive officer, chief financial officer, chief operating officer, or general manager; (iii)
each of its owners or partners, if it is an unincorporated business; (iv) each of its
shareholders who owns more than ten percent of the shares of the corporation, if a
corporation; and (v) each person other than a banking institution who has provided
financing for the enterprise constituting more than ten percent of the total financing of the
enterprise.

2.33 “Progressive gaming" means any game in which a cash prize not being won by
any player during any game is retained and further monetarily enhanced by the gaming
operator or eligible organization, and offered as a prize to players in the next game.

2.34  "Pull-tabs, punchboards, and tip jars" means any disposable card, board, ticket,
or display which accords the player an opportunity to win something of value by opening,
pulling, detaching, or otherwise removing or uncovering tabs or covers from the card, board,
ticket, or display to reveal a set of numbers, letters, symbols, configurations, or combinations
thereof which have been previously specified as a winning combination.

2.35 "Raffle" means any gaming in which each player buys a ticket for a chance to
win a prize, with the winner determined by a random method. “Raffle" does not include slot
machines.

2.36 "Reservation" means the Isabella Reservation, including all lands lying within
the outer boundaries of the six townships set aside for the Saginaw Chippewa Indian Tribe
under the Treaty of August 2, 1855 and confirmed by the Treaty of October 18, 1864,
notwithstanding the issuance of any patent and including rights-of-way running through such
lands, and all other lands added thereto by Executive Order, Act of Congress, or otherwise
under federal law.

For purposes of Class III gaming only, the term "Reservation" shall have the meaning
contained in Section (2)(E) of the Class II] compact between the Saginaw Chippewa Tribe
and the State of Michigan for so long as that subsection is legally applicable by its own
terms or under applicable law.


8.7 _ Civil Action for Penalties. In enforcing the civil infraction provisions of this
Code, the Tribal Commission shall proceed, in the name of the Tribe, by civil complaint
pursuant to the provisions of this Code. The Tribal Commission in such action shall have
the burden of showing, by the preponderance of the evidence, that such person violated the
applicable provision of this Code.

8.8 Seizure and Forfeiture of Property. All property utilized in violation of this
Code shall be subject to seizure and forfeiture by order of the Tribal Court pursuant to Title
I of the Tribal Code.

8.9 Reporting of Offenders. Upon final order of the Tribal Court in any action
for criminal or civil violation under this Section, the Clerk of the Tribal Court shall notify
the Tribal Commission in writing of the final court disposition.

Section 9. | Operation of Tribally Owned or Tribally Operated Games.
9.1 Management by a General Manager.

9.1.1 The Tribal Council may appoint one person to serve as General
Manager of each tribally owned or tribally operated gaming facility. Each General
Manager shall undergo a background check by the Tribal Commission and shall
obtain an employee gaming license before commencing work. The Tribal
Commission shall be the direct supervisor of the General Manager. However, the
Tribal Council shall retain the authority to suspend or dismiss the General Manager
as it deems necessary.

9.1.2 The General Manager shall be responsible for managing and overseeing
the day-to-day operations of the gaming operation. The General Manager shall have
such authority as the Tribal Commission may delegate.

9.1.3 The General Manager shall provide a written monthly report to the
Tribal Commission which details the number of patrons served, the amount of
income generated, the numbers of employees working at the facility, a detailed
description of any patron complaints and other problems experienced at the facility,
and a written statement of any changes in key employees or primary management
officials and all bills which are 30 days or more past due.

9.1.4 The General Manager shall propose and the Tribal Commission shall
approve a patron’s complaint process. Each tribally owned and tribally operated
gaming facility shall post at least one sign in each gaming room informing patrons
that they may file complaints directly with the Tribal Commission, and advising them
of the Tribal Commission’s address and phone number.

46


9.3.5 Contracts, correspondence and other transaction documents relating to
all vendors and contractor’s;

9.3.6 Records of all tribal gaming enforcement activities;

9.3.7 All gaming related audits prepared by or on behalf of the Tribe or one
of its subdivisions.

9.3.8 Personnel information on all Class II and Class III gaming employees
or agents including rotation sheets, hours worked, employee profiles and
background checks.

9.4 Audit Requirements.

9.4.1 The Tribal Commission and the General Manager of each tribally
owned or tribally operated gaming activity shall obtain an annual independent audit
of such gaming activity. A copy of such audit shall be provided to the Tribal
Commission, the Tribal Council, and the National Indian Gaming Commission.

9.4.2 Each contract for supplies, services (other than legal and accounting
services) or concessions for a contract amount in excess of $25,000.00 annually shall
be subject to an independent audit. A copy of such audit will be provided to the
Tribal Commission, the Tribal Council, and the National Indian Gaming
Commission.

9.5 Management Contracts.

9.5.1 Each management contract shall fully comply with and is subject to the
prior approval of the National Indian Gaming Commission.

9.5.2 Before submission to the National Indian Gaming Commission, each
management contract shall be approved by the Council with the advice and comment
of the Tribal Commission. Before giving final consideration to any proposed
management contract, the Council shall direct the Tribal Commission to conduct a
complete background investigation of persons and entities with a financial interest
in, or having management responsibility for, the management contract, including
requiring the submission of all information required under 25 C.F.R. § 537.1, as
amended, incorporated herein by this reference.

9.5.2.1 Background information on the proposed management
contractor including: its name, its address, the names and addresses of each
person or entity having a direct financial interest or management responsibility
for the proposed management contractor, and in the case of a corporation the
names and addresses of each member of its board of directors and all

48


3.5.2.2 All card games operated by the Tribe prior to May 1,
1988.

3.5.2.3 All other card games explicitly authorized or not explicitly
prohibited by the laws of the State and which are played at any location in the
State, if played in conformity with State laws and regulations regarding hours
or periods of operation of such card games or limitations on wagers or pot
size in such card games.

3.5.3 "Class II] Gaming" means all forms of gaming that are not Class [ or
Class II gaming.

3.6 Construction. In construing the provisions of this Code, unless the context
otherwise requires, the following rules shall apply:

3.6.1 This Code shall be liberally construed to effect its purpose and to
promote substantial justice.

3.6.2 Words in the present tense include the future and past tenses.

3.6.3. Words in the singular number include the plural, and words in the
plural number include the singular.

3.6.4 Words of the masculine gender or neuter include masculine and
feminine genders and the neuter.

3.7. Savings Clause. If any section of this Code is invalidated by a court of
competent jurisdiction, the remaining sections shall not be affected thereby.

Section 4. Tribal Gaming Commission.

4.1 Establishment. The Tribe hereby charters, creates and establishes the Saginaw
Chippewa Gaming Commission as a governmental subdivision of the Tribe.

4.2 Location and Place of Business. The Tribal Commission shall be a resident
of and maintain its headquarters, principal place of business, and offices on the Isabella
Reservation. The Tribal Commission may, however, establish other places of business in
such other locations as the Tribal Commission may from time to time determine to be in
the best interest of the Tribe.

4.3. Duration. The Tribal Commission shall have perpetual existence and
succession in its own name, unless dissolved by the Tribe pursuant to Tribal law.

11