ORDINANCE NO. 162

BE IT RESOLVED, that the Code of Justice of the Standing Rock Sioux Tnbe, TITLE

XXIII /UCENSING AND REGULATION OF BINGO AND OTHER GAMES OF CHANCE, be and

the same is hereby amended to read as follows:

(SEE ATTACHED TITLE XXIII)

RESOLUTION NO. 218-95

BE iT RESOLVED, that pursuant to the power vested in the Standing Rock Sioux Tribal Council under

the Constitution of the Standing Rock Sioux Tribe, foregoing Ordinance No. 162 , amending TITLE

XXIII /LICENSING REGULATION OF BINGO AND OTHER GAMES OF CHANCE, be and the

same is hereby enacted.

BE IT RESOLVED, that the Chairman and Secretary of the Tribal Council authorized and instructed

to sign this resolution for and on behalf of the Standing Rock Sioux Tribe.

CERTIFICATION

We, the undersigned Chairman and Secretary of the Tribal Council of the Standing Rock Sioux Tribe,

hereby certif~ that the Tribal Council is composed of 17 members of wiiom 12 constituting a

quorum, were present at the meeting thereof, duly and regularly called, noticed, convened and held on

the 19th day of APRIL, 1995, that the foregoing resolution was duly adopted by the affirmative vote

of 11 members, ~th 0 opposing, and with I not voting. THE CHAIRMANS VOTE IS

NOT REQUIRED EXCEPT IN CASE OF A TIE.

Dated this day of 19th day of APRIL, 1995. ~ ~~ esse Taken Alive, Chairman.

Standing Rock Sioux Ttib)ç~_~~~

ATTEST: (.~1

~.

Elaine Mclaughlin, Secretary~

Standing Rock Sioux Tribe

(OFFICIAL SEAL)
Ordinance No. 162

Title XXIII, Licensing and Regulation of Bingo and Other Games of Chance, of the Tribal

Code of Justice is amended to read as follows:

Chapter 1: Findings

Section 23-10 1 The Tribal Council finds

(a) That operation of bingo and other games of chance by the Tribe and tribal

subdivisions is a valid means of promoting tribal economic development and the health and welfare

of tribal members;

(b) That, under the principles established by the United States Supreme Court in

California v. Cabazpn Band of Mission Indians 94 L.Ed.2d 244 (1987), Indian tribes have the

exclusive right to regulate gaming activity on Indian lands if the activity is not specifically

prohibited by federal law and is conducted within a state which does not criminally prohibit the

activity;

(c) That the United States Congress has enacted the Indian Gaming Regulatory

Act, 25 U.S.C. §270 1 ~ ~providing for certain federal regulation of Indian gaming;

(d) That tribal regulation of gaming activity on the Reservation is vital to the

protection of trust lands on the Reservation and to the protection of the interests of the Tribe and its

members;

(e) That the Tribe has entered into tribal-state compacts with the State of North

Dakota and the State of South Dakota which provide for the operation of Class III gaming.

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Chapter 2: Definitions

Section 23-20 1 Class I gaming

Class I gaming means:

(a) Social games played solely for prizes of minimal value.

(b) Traditional forms of Indian gaming engaged in as a part of tribal ceremonies,

celebrations, or pow-wows.

Section 23-202 Class II gaining

The term Class II gaming means:

(a) Bingo

The game of chance 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.

Electronic, computer or technological aides -- such as computer-generated number sequences

-- can be used in connection with Class II bingo, so long as all players are playing against each other

to achieve the same sequences.

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(b) Other games of chance

Games similar to bingo, including, if played at the same location as bingo, pull-tabs, lotto,

punch boards, tip jars of a designated winning number or numbers, color or colors, symbol or

symbols determined by chance, and non-banking card games.

Section 23-203 Class III gaming

Class III gaming means all forms of gaming that are not Class I or Class II gaming,

including:

(a) Electronic or electromechanical facsimiles of any game of chance or slot

machines of any kind.

(b) All banking card games; that is, card games played against the house,

including baccarat, chemin de fer, and blackjack.

Section 23-204 Traditional forms of Indian gaming

Traditional forms of Indian gaming means:

(a) Gaming activities such as stick or bone games played as part of tribal

ceremonies, celebrations, or pow-wows.

(b) Games such as rodeos or horse races, including those for which purses or

prizes are awarded, that are played as part of tribal ceremonies, celebrations, or pow-wows. This

does not include games operated prior to a ceremony, celebration, or pow-wow for the purpose of

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raising funds for the ceremony, celebration, or pow-wow; these are considered Class II games unless

they meet the definition set forth in Section 205, below.

Section 23-205 Social games for prizes of minimal value

Social games for prizes of minimal value means games in which he total value of prizes

awarded during the calendar year does not exceed $10,000.

Section 23-206 Tribal subdivision

Tribal subdivision means:

(a) The districts, as set forth in Article III, Section 2 of the Constitution of the

Standing Rock Sioux Tribe.

(b) Nonprofit entities organized to raise funds and operate programs to promote

the health and welfare of tribal members andlor to organize and operate ceremonies, celebrations,

and pow-wows.

(c) Tribal school boards.

Section 23-207 Net revenues

Net revenues means gross revenues of a gaining activity less (i)amounts paid out as, or paid

for, prizes and (ii) total operating expenses, except that management fees shall not be deducted to

determine net revenues.

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Section 23-208 Primary management official

Primary management official means (1) any person having management responsibility for

a management contract; (2) any person who has authority to hire and fire employees or to set up

working policy for a gaming operation, or (3) the chief financial officer or other person who has

financial management responsibility.

Section 23-209 Key employee

Key employee means (1) a person who performs one or more of the following functions:

bingo caller, counting room supervisor, chief of security, custodian of gaming supplies or cash, floor

manager, pit boss, dealer, croupier, approver of credit or custodian of gambling devices including

persons with access to cash and accounting records within such devices; or (2) if not otherwise

included, any other person whose total cash compensation is in excess of $50,000 per year, or (3)

if not otherwise included, the four most highly compensated persons in a gaming operation.

Section 23-2 10 North Dakota Compact

North Dakota Compact means the document entitled Tribal State Compact for Control

of Class III Games of Chance, Standing Rock Sioux in North Dakota, entered into between the

Standing Rock Sioux Tribe and the State of North Dakota.

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Section 23-2 1 1 South Dakota Compact

South Dakota Compact means the document entitled Gaming Compact Between the

Standing Rock Sioux Tribe and the State of South Dakota, entered into between the Standing Rock

Sioux Tribe and the State of South Dakota.

Section 23-2 12

Act means the Indian Gaming Regulatory Act, 25 U.S.C. §2701 ~i

Section 23-2 13 North Dakota portion of the Reservation

North Dakota portion of the Reservation means that portion of the Standing Rock Sioux

Reservation which lies within the boundaries of the State of North Dakota.

Section 23-2 14 South Dakota portion of the Reservation

South Dakota portion of the Reservation means that portion of the Standing Rock Sioux

Reservation which lies within the boundaries of the State of South Dakota.

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Section 23-2 15 Commission

Commission means the Standing Rock Gaming Commission established pursuant to

Chapter 3 of this Ordinance.

Section 23-2 16 National Indian Gaming Commission

National Indian Gaming Commission means the National Indian Gaming Commission

established pursuant to 25 U.S.C. §2704.

Section 23-217 Tribe

Tribe means the Standing Rock Sioux Tribe.

Chapter 3: Tribal Gaming Commission and Tribal Gaming Department

Section 23-301 Establishment

There is hereby established the Standing Rock Gaming Commission (Commission), an

agency of the Tribe, consisting of a Chairman and eight other members.

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Section 23-302 Function

The Commission shall have the following powers and duties:

(a) The Commission shall have primary responsibility for regulatory functions

relating to tribal gaming operations authorized under this Ordinance;

(b) The Commission shall review all license applications and determine whether

the application is complete and in compliance with the Ordinance, and whether such license should

be issued, and shall further determine if any license so issued shall be revoked, suspended or

renewed, as appropriate;

(c) The Commission shall collect any fees required to be paid under this

Ordinance. Such fees shall become tribal gaming revenues, shall be subject to tribal financial

policies and procedures, and shall be disbursed as directed by the Tribal Council;

(d) The Commission may bring any civil action or criminal complaint in any

court of competent jurisdiction to enforce the provisions of this Ordinance or to enjoin or otherwise

prevent any violation of this Ordinance, the Act, the North Dakota Compact or South Dakota

Compact, occurring or threatened to occur;

(e) The Commission shall propose an annual operating budget which shall be

subject to review by the Gaming Director and to the approval of the Standing Rock Sioux Tribal

Council. The Commission may in accordance with such budget employ such staff from time to time

as it deems necessary to fulfill its responsibilities under this Ordinance, and may retain professional

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services including investigative services to assist the Commission with respect to any issues over

which the Commission exercises jurisdiction;

(f) The Commission shall, subject to approval by the Tribal Council, promulgate

such regulations as it deems necessary in order to implement and enforce the provisions of this

Ordinance.

Section 23-303 Appointment of members

One Commission member must be a resident of each District of the Reservation. Each

District shall recommend persons to serve as Commission member from that District. The Chairman

and members of the Commission shall each be appointed by majority vote of the Tribal Council.

The Chairman of the Commission may reside anywhere on the Reservation.

Section 23-304 Terms

The initial members of the Commission shall serve as follows:

(a) Four members shall serve through January 1, 1995.

(b) Four members shall serve through January 1, 1996.

(c) The Chairman shall serve through January 1, 1997.

Thereafter all terms shall be for three years and until a successor is appointed and qualified. If a

vacancy occurs during a term, the Council may appoint a successor for the unexpired portion of the

term, with recommendations from the District in which the vacancy arose.

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Section 23-305 Qualifications

To be eligible to serve as Chairman or a member of the Commission, a person shall:

(a) Be of high moral character and reputation to promote public confidence in

gaming by the Tribe;

(b) Have sufficient education and work experience to be able to fulfill the

functions of the Commission;

(c) Have no financial stake in any gaming operated under the Ordinance nor

participate as a player in any gaming operated under this Ordinance. A person has a financial stake

in any gaming operated under the Ordinance if that person, or that persons spouse, brother, sister,

mother, father, grandmother, grandfather, son, daughter, grandson, granddaughter or first cousin has

invested in, has a direct or indirect financial interest in, has a management contract in, or has any

other pecuniary interest whatever in gaming operated under this Ordinance. Membership in the

Tribe does not, in itself, create a financial stake in any gaming operated under this Ordinance.

Employment at a tribally licensed gaming facility, other than as a primary management official, by

a persons spouse, brother, sister, mother, father, grandmother, grandfather, son, daughter, grandson,

granddaughter or first cousin does not create in such person a financial stake in any gaming

operated under this Ordinance;

(d) Never have been convicted of a tribal, federal or state felony, or any crime

involving fraud, misrepresentation, moral turpitude or gambling;

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(e) Submit to a background investigation under the same procedures applicable

to prospective Class III primary management officials or key employees in the State in which the

prospective Commissioner resides under Section 23-502. The Tribal Gaming Director shall

determine whether the prospective Commission member meets the licensing standard set forth in

Section 23-503;

(0 Not be a member of the Tribal Council, or a local District officer.

(g) Not be delinquent on a debt to the Tribe, any agency of the Tribe, or

corporation owned or controlled by the Tribe.

Section 23-306 Removal and vacancies

Members, including the Chairman, may be removed by a two-thirds vote of the Tribal

Council, at a meeting at which a quorum is present. Members, including the Chairman, may be

removed for cause, including malfeasance, neglect of duty, unexcused failure to attend three

successive Commission meetings, conviction of a felony, or failure to comply with the Constitution

or laws of the Tribe. Any Commissioner being considered for removal shall be provided with notice

from the Tribal Chairman or Tribal Secretary stating the grounds for removal, specifying a date,

time, and place for a hearing to be held by the Tribal Council within 20 days of receipt of such

notice. At the hearing, the Commissioner shall be entitled to appear, present testimony and other

evidence, and be represented by an attorney at the Commissioners own expense. Vacancies shall

be filled by majority vote of the Council, with recommendations provided by the Districts from

which the vacancies arose.

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Section 23-307 Meetings

The Commission shall meet as necessary to fulfill its duties and obligations under this

Ordinance, but in no event less frequently than once per month. Meetings may be called by the

Chairman, or by any three members of the Commission, upon at least three days written notice to

all members. If the Chairman or any three members certify in writing that a meeting must be held

on less than three days notice, a meeting may be held as necessary, provided that best efforts must

be made to provide the Chairman and all members with as much advance notice of such meeting as

possible. Five members, or four members and the Chairman, shall constitute a quorum for the

transaction of business. The vote of a majority of the members present at a meeting at which a

quorum is present shall be the act of the Commission.

Section 23-3 08 Compensation

Members of the Commission shall be compensated for performing Commission duties in

accordance with a budget approved by the Tribal Council. Notwithstanding any other provision of

this Ordinance, the effective date of this section shall be December 1, 1993.

Section 23-309 Monthly reports

The Commission shall make a report to the Tribal Council at least once each month, or more

as requested. Each report shall include a summary of all licensing and enforcement activities, a

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summary of meeting and travel activities and dates, and any additional information requested by the

Tribal Council or the Judicial Committee. Compensation of Commission members may be withheld

in the event reports are unreasonably delayed.

Section 23-310 Hearing examiner

Notwithstanding any other provision of this Ordinance, upon the Commissions own motion

or the motion of any party, any hearing authorized to be held by the Commission may be assigned

to a hearing examiner. The hearing examiner shall be impartial, and shall be a licensed attorney.

The hearing examiner shall conduct hearings assigned in accordance with the provisions of the

applicable sections of this Ordinance, and shall issue written proposed findings of fact and

conclusions of law within 30 days of such hearing. Any party may file with the Commission, within

15 days of notice of the hearing examiners recommended findings, exceptions or objections to those

findings. The Commission shall accept the recommended findings of fact of the hearing examiner

unless they are arbitrary and capricious, or unsupported by the record. The Commission shall have

the authority to decide all questions of law de novo.

Section 23-3 11 Notice of Commission decisions

The Commission shall provide written notice to any applicant and any other interested party

of any decision or order. Notice shall be by personal service, or certified mail, to the persons last

known address, or to such persons registered agent or attorney.

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Section 23-3 12 Appeals

(a) An applicant for a license, or any other aggrieved party, may appeal from any

final order or decision of the Tribal Gaming Commission by filing a notice of appeal with the Tribal

Gaming Commission within 30 days of receipt of notice of the final order or decision.

(b) If a motion for reconsideration of a Tribal Gaming Commission final order

or decision is filed with the Commission within 20 days of issuance of such order, the time for

appeal shall not begin to run until the motion for reconsideration is ruled upon by the Commission.

(c) The Commission shall certify the hearing record within 30 days of receipt of

a notice of appeal.

(d) Review by the Tribal Court shall be based on the record. A decision or order

of the Commission shall be affirmed unless arbitrary and capricious, or contrary to law.

(e) The Tribal Court shall have no jurisdiction to award money damages against

the Commission or any member of the Commission for any action appealed under this section.

(0 The Tribal Court shall require parties to exhaust administrative remedies

provided by this Ordinance prior to judicial review, absent an express finding of futility or other

good cause to the contrary.

Section 23-313 Law Trained Judges

Any party to an appeal taken under section 23-312, including the Commission, shall have

a right, upon timely request, to have a licensed attorney serve as Tribal Judge with respect to such

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appeal. A request for a licensed attorney to serve as Judge shall be timely under this section if the

party submits such a request to the Tribal Court at the time of the filing of the notice of appeal, or,

in the event an order is issued without notice against a party by a Judge who is not a licensed

attorney, within 10 days of notice of such order.

If no licensed attorney Chief Judge or Associate Judge of the Tribal Court is available to hear

the case, because of disqualification or otherwise, the Chief Judge shall appoint a Special Judge to

hear such case, upon timely request of a party. The Clerk of Court shall maintain a list of qualified

persons who can serve as Special Judge for such cases.

Section 23-314 Tribal Gaming Department

(a) There is hereby created a Tribal Gaming Department which shall be

responsible for oversight of gaming activities, as set forth in this Ordinance.

(b) The Director of the Tribal Gaming Department shall have primary

responsibility for the functions of the Department, and shall supervise all Department employees.

(c) The Director shall be a full-time employee, shall be subject to the Tribes

personnel policies and procedures, and shall be under the supervision of the Tribal Chairman.

(d) To be eligible for the position of Director, an individual must have a

bachelors degree. Experience in administration, business, gaming or related fields is preferred. The

Director shall not be a Tribal Gaming Commission member, Tribal Council member, or District

Officer.

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(e) The Director shall develop an annual budget for the Gaming Department,

subject to approval by the Tribal Council.

(f) The Tribal Gaming Department shall have the following duties:

(i) To oversee all functions relating to the Tribes ownership of gaming

operations, including all financial aspects of such gaming

(ii) To assist in fulfilling the Tribes duties under any Class III

management agreement;

(iii) To secure public input and to recommend through the Judicial

Committee to the Tribal Council a budget regarding the expenditure of tribal gaming revenues;

(iv) To provide supervision on personnel matters to tribal gaming

inspectors;

(v) To determine whether prospective Tribal Gaming Commission

members meet the background investigation requirements set forth in section 23-305;

(vi) To secure audits as required by this Ordinance; and

(vii) To fulfill such other duties as may be delegated by the Tribal Council.

Section 23-3 15 Gaming Inspectors

(a) The Tribe shall employ tribal gaming inspectors who shall have primary

responsibility for monitoring ongoing Class II and Class III gaming operations authorized by this

Ordinance.

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(b) Tribal gaming inspectors shall be full time tribal employees and shall be

subject to tribal personnel policies and procedures. The Tribal Gaming Director shall supervise the

tribal gaming inspectors with respect to compliance with personnel policies and procedures. The

budget for the Tribal Gaming Department shall include the costs associated with tribal gaming

inspectors.

(c) Tribal gaming inspectors shall report any violations ofthis Ordinance, the Act,

the North Dakota Compact or South Dakota Compact to the Tribal Gaming Commission.

Section 23-3 16 Tribal Immunity

Nothing in this Ordinance shall be construed to waive the immunity from suit of the Tribe,

the Tribal Gaming Commission or Tribal Gaming Department; provided that judicial review of

actions of the Tribal Gaming Commission shall be available as set forth in this Ordinance. In no

event shall this Ordinance be construed as consent to any money judgment, lien or attachment of any

property of the Tribe, Commission or Department. No money damages shall be awarded against a

Commission member, Department official, or other Tribal official acting in good faith within the

scope of their official duties under this Ordinance.

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Chapter 4: Compliance with the Act

Section 23-401 Applicability

All gaming on the Reservation shall be conducted according to the provisions of this

Ordinance and in compliance with the Indian Gaming Regulatory Act.

Section 23-402 Sole proprietary interest

In compliance with 25 U.S.C. 2710(b)(2)(A), the Tribe or a tribal subdivision shall have the

sole proprietary interest and responsibility for the conduct of any gaming activity on the Reservation.

Ownership of any Class II or III game by any other entity or individual is prohibited.

Section 23-403 Use of revenues

In compliance with 25 U.S.C. §2710(b)(2)(B), net revenues from any gaming activity are not

to be used for any purposes other than:

(a) to fund tribal government operations or programs;

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

(c) to promote tribal economic development;

(d) to donate to charitable organizations; or

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(e) to help fund operations of local government agencies of the State and its

political subdivisions.

Section 23-404 Audits

In compliance with 25 U.S.C. §2710(b)(2)(C) and (D), all gaming activities shall be subject

to an audit by independent certified accountants, not less than annually. The audit shall include all

contracts for supplies, services or concessions for a contract amount in excess of $25,000 annually

(except contracts for professional legal or accounting services) relating to Class II or Class III

gaming. The audit shall be arranged by the licensee conducting the gaming, who shall provide a

copy of the audit to the Tribal Gaming Department upon completion. The Department shall

thereafter forward the audit report to the Tribal Council, Tribal Gaming Commission, and the

National Indian Gaming Commission.

Section 23-405 Environmental and public health and safety standards

In compliance with 25 U.S.C. §2710(b)(2)(E), the construction and maintenance of any

gaming facility, and the operation of gaming activities, shall be conducted in a manner which

adequately protects the environment and the public health and safety, and for that purpose shall

comply with all applicable health, safety and environmental standards enacted by the Tribe. Those

standards generally imposed by the laws and regulations of the State of North Dakota relating to

public facilities with regard to building, sanitary, and health standards and fire safety shall be

19
deemed to be incorporated by this Ordinance as the laws of the Tribe applicable to gaming facilities

of the Tribe on the North Dakota portion of the Reservation, provided however that such state laws

have no force or effect on the Reservation other than by incorporation into this Ordinance, and

provided further that if an approved management agreement stipulates that national building, electric

and fire codes apply, then those standards shall be used. Those standards generally imposed by the

laws and regulations of the State of South Dakota relating to public facilities with regard to building,

sanitary, and health standards and fire safety shall be deemed to be incorporated by this Ordinance

as the laws of the Tribe applicable to gaming facilities of the Tribe on the South Dakota portion of

the Reservation, provided however, that such state laws have no force or effect on the Reservation

other than by incorporation into this Ordinance.

Section 23-406 Status as a tribal subdivision

Each entity seeking designation as a tribal subdivision for the purpose of this Ordinance shall

file an application with the Commission. The application shall provide information on the nature and

purpose of the entity and the programs it operates, and shall demonstrate that the uses to which it

puts its funds conJorm to Section 23-403. This requirement is waived for the Districts; these entities

shall be designated as tribal subdivisions effective on enactment of this Ordinance by the Council,

provide that any district seeking a license under this Code must specify, in writing, the members of

the District entity responsible for gaming by that District. The decision of the Council on any

application shall be final. Tribal subdivisions shall be eligible for Class II gaming only.

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Section 23-407 Licenses for gaming activities

The Commission shall issue a license for each place, facility, or location where gaming is

conducted. For each location licensed, a sworn application must be filed by the Tribe or the

sponsoring organization that contains a full and complete showing of the following:

(a) Satisfactory proof that the sponsoring organization (if other than the Tribe)

is of good character and reputation among the people of the Reservation, with particular reference

to the Indian people, and that it is financially responsible.

(b) A description of the premises in which the game is to be held, and proof that

the applicant is the owner of such premises, or lessee of such premises, for at least the term of the

license.

(c) Agreement by the applicant to accept and abide by all applicable provisions

of this Ordinance and all conditions of the tribal license.

(d) Satisfactory proof that no employees of the applicant has ever been convicted

of a felony.

(e) Satisfactory proof that notice of the application has been posted in a

prominent, noticeable place in the Tribal Office and on the premises where the game is to be held

for at least 30 days prior to consideration by the Commission, and published at least twice in a local

newspaper serving the Reservation. The notice shall state the date, time and place when the

application shall be considered by the Tribal Gaming Commission.

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Section 23-408 License fees and duration of license

(a) Each application for a license under this Section shall be accompanied by an

application fee of $50, provided however that the Tribe shall not be required to pay any such fee.

In addition, each licensee, other than the Tribe, shall pay to the Tribal Gaming Commission a fee

according to the following schedule:

- 5% of the first $100,000 of net revenues;

- 2% of the net revenues between $100,000 and $250,000; and

- 1% of the net revenues above $250,000.

Such fees shall be paid to the Commission by the last day of each month for the previous months

net revenues.

(b) Where the Tribe is the licensee, and the Tribe retains a management contractor

pursuant to Chapter 6 of this Ordinance, the management contractor shall pay an annual license fee

of $10,000.00. The first such license fee shall be due prior to the contractor operating any Class III

games. Thereafter, such license fees shall be due on December 3 1 of each year for the following

calendar year.

(c) Each license shall expire on December 31 of the calendar year in which it is

issued, and may be renewed by the Commission upon proper application.

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Section 23-409 Hearing on application for a license

(a) All applications for a gaming license shall be considered by the Gaming

Commission in open session at which the applicant, his attorney and any person protesting the

application shall have the right to be present, and to offer sworn oral or documentary evidence

relevant to the application. After the hearing, the Commission shall determine whether to grant or

deny the application, based on the Commissions determination of the best interests of the Tribe.

The decision of the Gaming Commission shall be final.

(b) Existing licensees shall have no vested right to have their licenses renewed

or extended, and compliance with this Ordinance does not guarantee an existing licensee a renewal

or extension. In each case, the Commission shall, in the exercise of its discretion, make its

determination based on all the evidence presented to it, provided that, with respect to Class III

gaming operated under a management contract, the Commission shall not revise or fail to renew a

license except on grounds permissible under such management contract.

Section 23-4 10 Conditions of the tribal license

Any tribal license issued under this Ordinance shall be subject to such reasonable conditions

as the Gaming Commission shall fix, including, but not limited to the following:

(a) The licensee shall at all times maintain an orderly, clean, and neat

establishment, both inside and outside the licensed premises.

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(b) The licensed premises shall be subject to patrol by the tribal and BIA police

force, for the purpose of enforcing tribal law, and the licensees shall cooperate at all times with such

police and law officers.

(c) The licensed premises shall be open to inspection by duly authorized tribal

officials and officials of the National Indian Gaining Commission at all times during the regular

business hours.

(d) There shall be no discrimination in the operations under a tribal license by

reason of race, color or creed, age, sex, or national origin, provided, however, that a licensee shall

give a preference in employment to Indians.

(e) No operator shall allow a person who manages or receives any compensation,

directly or indirectly, for the operation of any Class II game of chance conducted by the operator to

play in that game or other game of chance while on duty. No operator shall allow any person who,

without payment, assists in the operation of any Class II or Class III game of chance conducted by

the operator, to play in any game conducted by the operator within 24 hours after the time said

person did so assist. No operator shall allow any person who receives any compensation, directly

or indirectly, for the operation of a Class III game, to play any Class III game conducted by the

operator.

(f) No beverage containing alcohol, including but not limited to, beer or liquor,

shall be offered or awarded as a prize or in lieu of a prize for winning at any of the activities

authorized by this Ordinance.

(g) No firearms, air guns which are capable of discharging dangerous projectiles,

including but not limited to b.b.s or C02 guns, rifles, shotguns, pistols, or revolvers; shall be offered

24
or awarded as a prize or in lieu of a prize for winning at any of the activities authorized by this

Ordinance.

(h) No person involved in the operation of any activity authorized by this

Ordinance shall, directly or indirectly, in the course of such operation, employ any device, scheme,

or artifice to defraud, make any untrue statement of a fact, or omit to state a consideration of the

circumstances under which such statement was made, or engage in any act, practice, or course of

operation as would operate as a fraud or deceit upon any person.

(i) All licensees shall comply with all applicable requirements of the federal

Internal Revenue Code.

Section 23-411 Assignment or transfer

No license issued under this Ordinance shall be assigned or transferred without the written

approval of the Commission and the Tribal Council, both expressed by formal resolution.

Section 23-4 12 Cancellation and suspension

The licensee must have, and exercise, complete control over the premises being used for

gaming at all times said games are being played. The licensee, the manager, and the employees shall

be legally responsible for any violation of the Ordinance. Any license issued hereunder may be

canceled by the Commission for the breach of any of the provisions of this Ordinance or of the tribal

license, upon hearing before the Commission, after 10 days notice of the claimed breach to the

25
licensee. If the Tribe is the licensee, notice shall be served on the manager of the tribal operation.

The time and place of the hearing shall be posted in the Tribal Office, and if time permits, in a local

newspaper serving the Reservation. The licensee, manager, their attorney and any person affected

by the license shall have the right to be present and to offer sworn oral or documentary evidence

relevant to the breach charged. A license may be suspended during the 10 day period by a threequarters vote of the Commission at a meeting at which a quorum is present. The decision of the

Commission shall be final.

Section 23-4 13 Report to the Department

Each licensee shall submit to the Tribal Gaming Department, on a quarterly basis, a financial

report for the previous quarters operations. Such reports shall be signed, under oath, by an official

or representative of the licensee, who in the case of a tribal operation shall be the operations

manager. The reports shall document:

(a) Gross receipts for each month.

(b) Names of each employee and the salary or other compensation paid to each.

(c;) All expenses in the operation of the facility, specif~iing all payments to

vendors and contractors.

(d) The amount paid in prizes each month.

(e) All bank deposits made from proceeds ofthe facility operations, including any

interest received on such deposits.

(f) All bank withdrawals, and the purpose of each.

26
(g) All expenditures of net proceeds including the amount, person or organization

paid, date, and purpose of such expenditures.

(h) That each licensee will submit copies of all IRS required forms.

Chapter 5: Background investigations and licensing of

key employees and primary management personnel

Section 23-501 License required

All primary management officials and key employees of any gaming facility on the

Reservation or licensed under this Ordinance shall be required to obtain a gaming employment

license from the Commission prior to the commencement of employment.

Section 23-502 Background investigation

As part of the licensing process, each prospective primary management official and key

employee shall be subject to a background investigation prior to hiring. For Class III gaming

conducted in North Dakota, the investigation shall be conducted by the State of North Dakota. For

Class III gaming conducted in South Dakota, the investigation shall be conducted by the State of

South Dakota. Any costs of such investigations shall be paid by the applicant. In addition, the

Commission may conduct its own investigation on any applicant for such license, with the costs paid

by the applicant. For Class II gaming conducted on the Reservation, the investigation shall be

27
conducted by the licensee or, at its discretion, by the Commission. Each applicant for a license

regarding Class II or Class III employment shall execute a release permitting the appropriate State

or the Commission to conduct such investigation, and shall provide his or her full name, address and

social security number.

Section 23-503 Licensing standard

No one shall be issued a license to serve as a primary management official or key employee

if he or she (1) has been convicted of a federal, state or tribal felony or released from parole or

probation or incarcerated within five years of the commencement of his or her employment with the

Tribe, (2) has been convicted of a felony or misdemeanor involving fraud, misrepresentation or

gambling, (3) has been found to be not a person of good character, honesty and integrity or a person

whose prior activities, criminal record, reputation, habits, and associations pose a threat to the public

interest of the Tribe or the State of North Dakota or the State of South Dakota or to the effective

regulation and control of gaming, or create or enhance the dangers of unsuitable, unfair or illegal

practices, methods, and activities in the conduct of gaming or the carrying on of the business and

financial arrangements incidental to the conduct of gaming, or (4) has been found to have

participated in organized crime or unlawful gambling.

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Section 23-504 Application for license

(a) Each primary management official and key employee shall, at the time of their hiring

but prior to commencing employment, fill out an application for a tribal license to be provided by

the Commission. Each such application shall have printed on it the following notices:

Privacy 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 ~ seq The purpose of the requested information is to

determine the eligibility of individuals to be employed in a gaming operation.

The information will be used by 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

investigations and prosecutions or when pursuant to a requirement by a tribe

or the National Indian Gaming Commission in connection with the hiring and

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 tribes being unable to hire you in a primary management official

or key employee position.

29
The disclosure of your Social Security Number (SSN) is voluntary.

However, failure to supply a SSN may result in errors in processing your

application.

2. Notice regarding false statements:

A false statement on any part of your application may be grounds for not

hiring you or for firing you after you begin work. Also, you may be punished

by fine or imprisonment (U.S. Code, title 18, section 1001).

(b) The applicant will provide the following information:

1. Full name, other names used (oral or written),social security number(s), birth

date, place of birth, citizenship, gender, all languages (spoken or written);

2. For the previous five years: business and employment positions held,

ownership interests in those businesses, business and residence addresses, and driver license

numbers;

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

including one personal reference who was acquainted with the applicant during each period of

residence listed in subparagraph 2;

4. Current business and residence telephone numbers;

5. A description of any current or previous business relationships with Indian

tribes, including ownership interests in those businesses;

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6. A description of any current or previous business relationships with the

gaming industry generally, including ownership interests in those businesses;

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

applicant has filed an application for a license or permit related to gaming, whether or not such

license or permit was granted;

8. For each felony for which there is an ongoing prosecution or a conviction, the

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

9. For each misdemeanor conviction or ongoing misdemeanor prosecution

(excluding minor traffic violations) within 10 years from the date of the application, the name and

address of the court involved and the date and disposition;

10. For each criminal charge (excluding minor traffic charge) within 10 years of

the date of application, other than those listed in response to Sections 23-504(b)(8) or (b)(9) of this

Ordinance, the charge, the name and address of the Court involved, and the date and disposition of

the charge.

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

person has filed an application for an occupational license or permit, whether or not such license or

permit was granted;

12. A photograph;

13. Fingerprints; and

14. Any other information which, in a particular case, the Commission deems

relevant.

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Section 23-505 Determination of Eligibility

On the basis of the information received under subparagraph (b) of Section 23-504, and the

background investigation conducted by the appropriate State, the Commission shall consider the

applicant for a license. Upon a vote of a majority of its members, including the Chairman, the

Commission shall make a determination of the applicants eligibility for a license, pursuant to the

standards set forth in Section 23-503. The Commission shall make its determination of eligibility

within 30 days of receipt of the information under Section 23-504(b), the result of the background

investigation of the appropriate state, and the results of the additional background investigation, if

any, conducted by the Commission. Notwithstanding any other provision, any person who supplies

materially false or misleading information, or who has omitted material information in connection

with the requirement of this Chapter, shall be denied a license.

Section 23-506 Issuance of license

When the Commission determines that an applicant is eligible for a license, it shall promptly

forward its determination and the results of its investigation to the National Indian Gaming

Commission. The information forwarded to the Commission shall include the notices set forth in

Section 23-504(a)(I) and (a)(2), the information provided under 23-504(b), and a report of the

background investigation under 23-502. If, at the conclusion of the 30-day period beginning when

the National Indian Gaming Commission receives the report submitted pursuant to this

subparagraph, the National Indian Gaming Commission has not notified the Tribal Commission that

32
it has any objections, the Tribal Commission may issue the license to the applicant. If the National

Indian Gaining Commission informs the Tribal Commission that it objects to issuance of the license,

the Tribal Commission shall reconsider the application in light of the National Indian Gaming

Conimissions objections. The Tribal Commission shall make the final decision on whether to issue

such license.

Section 23-507 Duration of license

Each license shall be effective for a period of one year. Prior to expiration of the license, the

licensee shall update the information produced during the original investigation. The Commission

shall conduct a review to determine that each licensee continues to meet the standards of Section 23-

503. If the Commission finds that the licensee continues to meet the standards, it shall renew the

license for an additional year. Notice of any such renewals shall be forwarded to the National Indian

Gaming Commission.

Section 23-508 Effect of license denial

No person denied a license under this Chapter shall be employed in any capacity at a tribally

authorized gaming facility, provided that such person shall be eligible to reapply for a license one

year or more after the license denial.

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Section 23-509 Hearings

Any person who applies for a license under this Chapter may request a hearing before the

Commission on its license application. The Commission may grant such a request for a hearing in

its sole discretion, provided that, if the hearing is requested by a person or entity whose application

under this Chapter has been denied by the Commission and such request is made in writing within

30 days of the denial, such request for a hearing shall be granted. At any hearing under this section,

the applicant shall have the right to be present, be represented by counsel at the applicants own

expense, to review all evidence before the Commission on the application, and to present additional

oral or documentary evidence in support of the application. The decision of the Commission shall

be in writing, and shall be rendered within three days of the hearing.

Section 23-5 10 License Suspension

(a) If, after issuance of a license under this Chapter, the Commission receives reliable

information that a key employee or primary management official is not eligible for employment

under this Chapter, the Commission shall suspend the license and notify the licensee in writing of

the suspension and proposed revocation. Such suspension shall not extend beyond 7 days without

a hearing.

(b) The Commission shall notify the licensee of the time and place of the hearing. At the

hearing, the licensee shall be entitled to the rights specified in Section 23-509.

34
(c) After a revocation hearing, the Commission shall determine, based on the evidence

presented at the hearing, whether to revoke or reinstate the license. If the licensee continues to meet

the standards of Section 23-503, the license shall be reinstated. If not, the license shall be revoked.

Chapter 6: Management contractors

Section 23-601 Management contracts allowed

Subject to the approval of the Tribal Commission and the National Indian Gaming

Commission, a licensee may enter a management contract for the operation and management of

gaming activities.

Section 23-602 Standard for approval

The Commission shall not approve any management contract unless its terms include:

(a) Adequate accounting procedures to be maintained by the contractor and

verifiable financial reports submitted to the licensee and the Commission on a monthly basis.

(b) Access to the daily operation of the gaming for appropriate officials of the

licensee and the Commission, who shall also have the right to verify the daily gross revenues and

income made from the gaming activity.

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(c) A minimum guaranteed payment to the licensee that has preference over the

retirement of development and construction costs.

(d) A contract term not to exceed seven years.

(e) A management fee not to exceed 40 percent of the net revenues of the gaming

activity.

(f) Grounds and mechanisms for terminating the contract.

Section 23-603 Submission to the National Indian Gaining Commission

The Tribe shall submit to the National Indian Gaming Commission for approval any

management contract for the operation of a Class II or Class III game. The Tribe shall submit with

the contract all information required by the National Indian Gaming Commission for its review of

the contract.

Section 23-604 Licenses required

All persons or entities 1) with a financial interest in or having a management responsibility

for a Class III management contract, or 2) which are vendors to a Class III gaming operation under

this Ordinance shall be required to obtain a license from the Commission. For each person or entity

with a financial interest in or having a management responsibility for a Class III management

contract, the initial license fee shall be $1,000, and the renewal license fee shall be $500. For each

vendor to a Class III gaming operation, the annual license fee shall be $2,500.

36
Section 23-605 Background investigation

As part of the licensing process, each person or entity having a financial interest in or having

a management responsibility for a management contract and each vendor shall be subject to a

background investigation. For Class III gaming conducted in North Dakota, the investigation shall

be conducted by the State of North Dakota. For Class III gaming conducted in South Dakota, the

investigation shall be conducted in South Dakota. Any costs of such investigation shall be paid by

the applicant. In addition, the Commission may conduct its own investigation on any such person

or entity, with the costs paid by the applicant. Each applicant for a license shall execute a release

permitting the appropriate State or the Commission to conduct such investigation, and shall provide

his or her full name, address and social security number.

Section 23-606 Licensing standard

No person or entity shall be issued a license under this Chapter if that person or entity (or a

principal of such entity) (I) has been convicted of a federal, state or tribal felony or released from

parole or probation or incarcerated within five years of the application date, (2) has been convicted

of a felony or misdemeanor involving fraud, misrepresentation or gambling, (3) has been found to

be not a person of good character, honesty and integrity or a person or entity whose prior activities,

criminal record, reputation, habits, and association pose a threat to the public interest of the Tribe

or the State of North Dakota or the State of South Dakota or to the effective regulation and control

of gaming, or create or enhance the dangers of unsuitable, unfair or illegal practices, methods, and

37
activities in the conduct:of gaming or the carrying on of the business and financial arrangements

incidental to the conduct of gaming, or (4) has been found to have participated in organized crime

or unlawful gambling.

Section 23-607 Application for license

(a) Each applicant with a financial interest in or having a management msponsibility for

a Class III management agreement shall fill out an application for a tribal license to be provided by

the Commission. Each such applicant sign and submit the following statements:

1. Privacy notice:

Solicitation of the information in this section is authorized by 25 U.S.C.

§2701 ~ ~q. The purpose of the requested information is to determine the suitability of individuals

with a financial interest in, or having management responsibility for, a management contract. The

information will be used by the National Indian Gaming Commission members and staff and Indian

tribal officials who have need for the information in the performance of their official duties. The

information may be disclosed to appropriate federal, tribal, state, or foreign law enforcement and

regulatory agencies in connection with a background investigation or when relevant to civil, criminal

or regulatory investigations or prosecutions or investigations of activities while associated with a

gaming operation. Failure to consent to the disclosures indicated in this statement will mean that

the Chairman of the National Indian Gaming Commission will be unable to approve the contract in

which the person has a financial interest or management responsibility.

38
The disclosure of a personal Social Security Number (SSN) is voluntary. However, failure

to supply a SSN may result in errors in processing the information provided.

2. Notice regarding false statements:

a. Applicant shall sign and submit the following statement:

A false statement knowingly and willfully provided in any of the information pursuant to this

section may be grounds for not approving the contract in which I have a financial interest

or management responsibility, or for the disapproving or voiding such contract after it is

approved by the Chairman of the National Indian Gaming Commission. Also, I may be

punished by fine or imprisonment (U.S. Code, title 18, section 1001).

(b) Each person seeking a license under this Chapter shall provide the following

information:

1. Full name, other names used (oral or written), social security number(s), birth

date, place of birth, citizenship, and gender;

2. A current photograph, drivers license number, and a list of all languages

spoken or written;

3. For the previous ten years: business and employment positions held,

ownership interests in those businesses, business and residence addresses, and driver license

numbers, and the city, state and country of residence from age 18 to the present;

39
4. The names and current addresses of at least three personal references,

including one personal reference who was acquainted with the applicant at each different residence

location over the past five years;

5. Current business and residence telephone numbers;

6. A description of any previous business relationships with Indian tribes,

including ownership interests in those businesses;

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

applicant has filed an application for a license or permit related to gaming, whether or not such

license or permit was granted;

8. For each gaming offense and each felony for which there is an ongoing

prosecution or a conviction, the charge, the name and address of the court involved, and the date of

the charge and of the disposition;

9. For each misdemeanor or other conviction or ongoing misdemeanor or other

prosecution (excluding minor traffic violations) within 10 years from the date of the application, the

name and address of the court involved and the dates of prosecution and of the disposition;

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

person has filed an application for an occupational license or permit, whether or not such license of

permit was granted;

11. A photograph;

12. Fingerprints;

13. A complete and current fmancial statement showing all sources of income for

the previous three (3) years, and costs, liabilities, and net worth as of the date of the submission;

40
14. Any other information which, in a particular case, the Commission deems

relevant.

Section 23-608 Determination of Eligibility

On the basis of the information received under subparagraph (b) of Section 23-607, and the

background investigation conducted by the appropriate State, the Commission shall consider the

application for a license. Upon a vote of a majority of its members, including the Chairman, the

Commission shall make a determination of the applicants eligibility for a license, pursuant to the

standards set forth in Section 23-606. Notwithstanding any other provision, any person or entity

which supplies materially false or misleading information, or who has omitted material information

in connection with the requirements of this Chapter, shall be denied a license.

Section 23-609 Issuance of license

When the Commission determines that a person or entity with a financial interest in or having

a management responsibility for a Class III management agreement is eligible for a license, it shall

promptly forward its determination and the results of its investigation to the National Indian Gaming

Commission. If, at the conclusion of the 30-day period beginning when the National Indian Gaming

Commission receives the report submitted pursuant to this subparagraph, the National Indian

Gaming Commission has not notified the Tribal Commission that it has any objections, the Tribal

Commission may issue the license to the applicant.

41
Section 23-6 10 Duration of license

Each license under this Chapter shall be effective for a period of one year. Prior to the

expiration of he license, the license shall update the information produced during the original

investigation. The Commission shall conduct a review to determine that each license continues to

meet the standards of Section 23-606. If the Commission finds that the licensee continues to meet

the standards, it shall renew the license for an additional year. Notice of any such renewals shall be

forwarded to the National Indian Gaming Commission.

Section 23-611 Hearings

Any person or entity which applies for a license under this Chapter may request a hearing

before the Commission on its license application. The Commission may grant such a request for a

hearing in its sole discretion, provided that, if the hearing is requested by a person or entity whose

application under this Chapter has been denied by the Commission and such request is made in

writing within 30 days of the denial, such request for a hearing shall be granted. At any hearing

under this section, the applicant shall have the right to be present, be represented by counsel at the

applicants own expense, to review all evidence before the Commission on the application, and to

present additional oral or documentary evidence in support of the application. The decision of the

Commission shall be in writing, and shall be rendered within three days of the hearing.

42
Section 23-612 License Suspension

(a) If, after issuance of a license under this Chapter, the Commission receives reliable

information that such person or entity is not eligible for a license under this Chapter, the Tribe shall

suspend the license and notify the licensee in writing of the suspension and proposed revocation.

Such suspension shall not extend beyond 7 days without a hearing.

(b) The Tribe shall notify the licensee of the time and place of the hearing. At the

hearing, the licensee shall be entitled to the rights specified in Section 23-611.

(c) After a revocation hearing, the Commission shall determine, based on the evidence

presented at the hearing, whether to revoke or reinstate the license. If the licensee continues to meet

the standards of Section 23-609, the license shall be reinstated. If not, the license shall be revoked.

Section 23-613 Definitions

(a) For purposes of this Chapter, the term persons or entities with a financial interest

in, or having management responsibility for, a management contract means:

(1) Each person with management responsibility for a management contract;

(2) Each person who is a director of a corporation that is a party to a management

contract;

43
(3) The ten (10) persons who have the greatest direct or indirect financial interest

in a management contract;

(4) Any entity with a financial interest in a management contract;

(5) Any other person with a direct or indirect fmancial interest in a management

contract.

(b) For purposes of this Chapter vendor means: i) any person or entity providing Class

III gaming equipment to a gaming operator under this Ordinance in a total amount exceeding

$50,000.00 in a twelve-month period, or ii) any other person or entity which provides goods or

services (other than accounting or legal services) to a gaming operator, provided that,

notwithstanding any other provision of this Ordinance, a vendor as defined under this subsection ii)

shall be required to obtain a license under Section 23-604 only if the Commission, in its discretion,

specifically so requires.

Chapter 7: Class II Gaming

Section 23-701 Conditions

The following conditions and restrictions shall apply to the conduct of Class II gaming,

including bingo:

44
(a) No person who is under the age of 16 shall participate or play in any Class

II game of chance. No person under the age of 16 shall be allowed on premises where Class II

games are being conducted unless that person is accompanied by a member of his immediate family

or guardian who is not younger than 18 years of age. It shall be the responsibility of the licensee and

of those persons physically operating the games to determine that no unauthorized person is allowed

to play in or participate in any manner in the operation of any bingo game.

(b) All Class II licensees shall impose a uniform charge on all players for the

bingo cards to be used in each bingo game. The rate to be charged players for cards shall be fixed

by each licensee and posted conspicuously on the premises. No person shall be allowed to play in

a game without first paying this uniform charge. Each person paying for the opportunity to

participate in a bingo game shall be given a bingo card which shall be numbered and can be readily

identified as belonging to that licensee. Each card issued shall represent a specific amount of money

which has been paid to the licensee. The amount of prize money represented by each card issued

shall be clearly made known to all players prior to anyone paying to participate in the activity.

(c) Bingo cards shall be sold and paid for, only in advance for use in a specified

game or games. All sales of bingo cards shall take place upon the premises and upon the occasion

that the bingo games for which the card is being sold are conducted. No cards may be sold on credit

or as a gift or loan of any kind whatever.

(d) Each numbered ball, or other device, used in a bingo game for the selection

of numbers to be called in play shall be the same weight as each of the other balls or devices used

for the purpose in that game. Immediately following the calling of each number in a bingo game,

the caller shall turn the portion of the ball or other device used to determine which number is called

45
which shows the number and letter to the participants in the game so that participants may know that

the proper number has been called out. Nothing in this section shall prohibit the use of electronic,

computer or other technological aids in games of bingo or other games of chance provided that such

aids are used properly and fairly.

Chapter 8: Class III Gaming

Section 23-801 Applicability

In addition to the forms of Class II gaming authorized pursuant to Chapter 7, the Tribe shall

be authorized to conduct certain specified forms of Class III gaming. This chapter imposes

conditions and regulations on Class III gaming in addition to the conditions in Chapter 4 which are

applicable to all gaming on the Reservation.

Subchapter A: Gaming in North Dakota

Section 23-802 Applicability

This subchapter applies to Class III gaming, as defined in Section 23-203 of this Ordinance

and in the Indian Gaming Regulatory Act at 25 U.S.C. §2703(8), that occurs on lands within the

State of North Dakota which are on the Standing Rock Sioux Reservation, held in trust by the United

46
States for the Tribe or individual Indians or are otherwise subject to the jurisdiction of the Standing

Rock Sioux Tribe.

Section 23-803 Governing law

Class III gaming under this subchapter shall be governed by and conducted in conformity

with the laws of the Standing Rock Sioux Tribe, the North Dakota Compact and the laws of the

United States.

Section 23-804 Adoption of compact

The North Dakota Compact is hereby incorporated within and enacted as an integral part of

this Ordinance with respect to all forms of Class III gaming, and the Compact is appended to and

made a part of this Ordinance as if set forth in full herein; provided however, that nothing in the

adoption of the North Dakota Compact herein shall be deemed to affect the operation by the Tribe

of Class III gaming on the South Dakota portion of the Reservation, or the operation by the Tribe

of Class II gaming on any portion of the Reservation, or to confer upon the State of North Dakota

any jurisdiction over Class II gaming conducted by the Tribe on the Reservation.

47
Section 23-805 Types of Class III Games Authorized

The following Class III games are authorized to be operated and played on the North Dakota

portion of the Reservation;

a. video games of chance and electronic slot machines utilizing a central

computer system.

b. paddle wheel

c. blackjack

d. poker, including pai gai poker and Caribbean poker

e. keno

f. sports and calcutta pools as defined under North Dakota law

g. parimutuel and simulcast betting if an agreement governing such betting is

reached between the Tribe and North Dakota.

Section 23-806 Bet limits

The following bet limits shall apply to the following games:

Blackjack $50.00 maximum

Any machine 5.00 maximum

Poker 25.00 maximum (single bet)

50.00 maximum (overall bet)

48
Paddle wheel 25.00 maximum (single bet)

50.00 maximum (overall bet)

Section 23-807 Minimum age requirement

No person under the age of 18 shall be allowed to play any Class II gaming on the North

Dakota portion of the Reservation. If any person below the age of 18 plays and qualifies to win any

Class III game, the prize shall not be paid, and the amount wagered during the course of the game

shall be forfeited by the minor.

Section 23-808 Record keeping requirement

Each location which contains video games of chance shall have an interconnected one-way

reporting system which shall provide, for each machine, periodic analytic reports that record coins

in and coins out, calculate actual hold, and compare actual hold to theoretical percentages. Reports

shall be prepared on at least a monthly basis and shall be made available for inspection by agents of

the State of North Dakota. The reports shall be maintained by the Tribe for a minimum of three

years.

49
Section 23-809 Inspection

Agents of the Commission or the State of North Dakota shall have the right to gain access,

without notice during normal hours of operation, to all premises used for the operation of Class III

games of chance on the North Dakota portion of the Reservation, or for the storage of such games

and equipment related thereto, and may inspect all premises, equipment, daily records, documents

or items related to the operation of Class III games of chance.

Section 23-8 10 Technical standards

The provisions of Section 6 of the North Dakota Compact, Technical Standards for Class

III Video Games of Chance, are hereby adopted and incorporated into this Ordinance.

Subchapter B: Gaming in South Dakota

Section 23-811 Applicability

This subchapter applies to Class III gaming, as defined in Section 23-203 of this Ordinance

and in the Indian Gaming Regulatory Act at 25 U.S.C. §2703(8), that occurs on lands within the

State of South Dakota which are on the Standing Rock Sioux Reservation, held in trust by the United

States for the Tribe or individual Indians or are otherwise subject to the jurisdiction of the Standing

Rock Sioux Tribe.

50
Section 23-8 12 Governing law

Class III gaming under this subchapter shall be governed by and conducted in conformity

with the laws of the Standing Rock Sioux Tribe, the South Dakota Compact and the laws of the

United States.

Section 23-8 13 Adoption of compact

The South Dakota Compact is hereby incorporated within and enacted as an integral part of

this Ordinance with respect to all forms of Class III gaming, and the Compact is appended to and

make a part of this Ordinance as if set forth in full herein; provided however, that nothing in the

adoption of the South Dakota Compact herein shall be deemed to affect the operation by the Tribe

of Class III gaming on the North Dakota portion of the Reservation, or the operation by the Tribe

of Class II gaming on any portion of the Reservation, or to confer upon the State of South Dakota

any jurisdiction over Class II gaming conducted by the Tribe on the Reservation.

Section 23-8 14 Types of Class III Games Authorized

The following Class III games are authorized to be operated and played on the South Dakota

portion of the Reservation;

a. blackjack, as that term is defined in South Dakota Codified Laws 42-7B-4(3);

b. poker, as that term is defined in South Dakota Codified Laws 42-7B-4(18);

51
c. slot machines, as that term is defined in South Dakota Codified Laws 42-7B4(21).

Section 23-8 15 Bet limits

Class III gaming operations on the South Dakota portion of the Reservation may offer the

highest bet limits on any game consistent with the laws of the State of South Dakota and the

regulations of the South Dakota Gaming Commission.

Section 23-816 Accounting standards

The accounting standards of Chapter 20:18:22 of the South Dakota Rules and Regulations

for Limited Gaming are hereby adopted and incorporated into this Ordinance.

Section 23-8 17 Minimum age requirement

No person under the age of2l shall play or be allowed to play any Class III gaming device

in the South Dakota portion of the Reservation. If any person below the age of 21 plays and

qualifies to win any Class III game, the prize shall not be paid, and the amount wagered during the

course of the game shall be forfeited by the minor.

52
Section 23-8 18 Technical standards for gaming machines

The hardware and software specifications set forth by the South Dakota Gaming Commission

and SDCL 42-7B-43 are hereby adopted and incorporated into this Ordinance. All Class III gaming

machines on the South Dakota portion of the Reservation shall meet or exceed these standards.

Section 23-8 19 Number of gaming devices

The Tribe shall be authorized to operate up to 180 gaming devices on the South Dakota

portion the Reservation, or such greater amount as may be authorized under the South Dakota

compact, provided however, that any increase or decrease in the gaming device limitation contained

in the laws of the State of South Dakota will result in a proportional increase or decrease in the limit

of 180 devices permitted under this Ordinance.

Chapter 9: No Credit Extended

Section 23-90 1 No Credit Extended

All Class III gaming shall be conducted on a cash basis. No person shall be extended credit

for gaming and no licensee shall be permitted to offer credit for gaming for a fee; provided however

that this section shall not apply to credits won by players who activate play after inserting coins or

currency into the game, and provided further that this section shall not restrict the right of the Tribe

53
or any other person to offer check cashing or to install or accept bank or credit card transactions in

the same manner as would be normally permitted at a retail business.

Chapter 10: Jurisdiction Over Class III Gaming

Section 23-1001 Civil Jurisdiction in South Dakota

The Standing Rock Tribal Court shall have civil jurisdiction exclusive of the State of South

Dakota over all transactions or disputes related to or arising from gaming conducted on the South

Dakota portion of the Reservation, and all disputes related to or arising from this Ordinance on the

South Dakota portion of the Reservation, provided however, that any such case involving one or

more persons who are not tribal members shall be heard in the courts of the State of South Dakota,

unless all parties stipulate the action may be heard in Tribal Court. This provision shall not be

construed as a waiver of sovereign immunity by the Tribe.

Section 23-1102 Civil jurisdiction in North Dakota

The Standing Rock Sioux Tribal Court shall have civil jurisdiction exclusive of the State of

North Dakota over all transactions or disputes related to or arising from gaming conducted on the

Reservation or in North Dakota under this Ordinance.

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Section 23-1003 Criminal jurisdiction in South Dakota

The Standing Rock Sioux Tribal Court shall have criminal jurisdiction exclusive of the State

of South Dakota over all persons who are members of the Tribe in any criminal proceeding related

to or arising from gaming conducted on the Reservation in South Dakota. The courts of the State

of South Dakota shall have jurisdiction over persons who are non-members of the Tribe in a criminal

proceeding related to or arising from gaming conducted on the South Dakota portion of the

Reservation, to the extent set forth in the South Dakota Compact.

Section 23-1004 Criminal jurisdiction in North Dakota

The Standing Rock Sioux Tribal Court shall have criminal jurisdiction exclusive of the State

of North Dakota over all persons as to whom the Tribe has criminal jurisdiction generally, in any

criminal proceeding related to or arising from gaming conducted on the Reservation in North

Dakota. The courts of the State of North Dakota shall have jurisdiction over persons who are non

Indians in a criminal proceeding related to or arising from gaming in North Dakota.

Section 23-1005 Federal jurisdiction

Nothing herein shall be construed to limit or deprive the federal courts of any civil or

criminal jurisdiction which they might otherwise have.

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Chapter 11: Penalties

Section 23-1 101 Criminal penalties

Violation of this Ordinance shall constitute a Class A misdemeanor.

Section 23-1 102 Civil penalties

Notwithstanding criminal penalties which may be imposed, any individual who violates any

provision of this Ordinance shall be subject to civil penalties including exclusion from employment

by any Tribal gaming enterprise, exclusion from attendance at any Tribal gaming facility, or

exclusion from the Reservation if a non-member of the Tribe. The Tribal Court shall have the

jurisdiction to impose any such civil penalty on any person within the jurisdiction of the Tribe to

impose such penalty.

Chapter 12: Customer Disputes

Section 23-1201 Customer Disputes

Any person who has any dispute, disagreement or other grievance that involves currency,

tokens, coins or any other thing of value and is between the customer or player and a tribally licensed

gaming facility, may raise such dispute with the following persons and in the following order: a)

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a member of the staff of the facility, b) the supervisor in the area in which the dispute arose, c) a

managerial level supervisor of the facility and d) the Tribal Gaming Commission.

Section 23-1202 Customer rights regarding disputes

At each level, the complainant has the right to explain his side of the dispute, and to present

witnesses in connection with any factual allegation. At each level, if the dispute remains unresolved,

the complainant shall be informed of this right to take the dispute to the next higher level as set forth

in Section 23-1201. Resolution of any dispute by staff of the facility shall always involve two or

more staff members. All disputes, whether resolved or not, shall be the subject of a detailed report

by all staff involved to their supervisors, or, in the case of the senior staff member handling a

dispute, to the Tribal Gaming Commission.

Section 23-1203 Commission action on customer disputes

All disputes which are submitted to the Tribal Gaming Commission shall be decided by the

Commission based on information provided by the complainant, any witnesses for or documents

provided by the complainant, or by the licensee or manager of the facility or any other person who

has relevant information to provide. The decision of the Commission shall be in writing, shall be

issued within 14 days of submission of the matter to the Commission, and shall be provided to the

licensee or manager of the facility and the complainant.

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Chapter 13: Miscellaneous

Section 23-1301 Severability

In the event that any section or provision of this Ordinance is held invalid, the remaining

sections or provisions shall continue in full force and effect.

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