ORDINANCE FOR THE REGULATION

OF GAMING ACTIVITIES WITHIN THE

TOHONO OODHAM NATION
CERTIFICATE OF CUSTODIAN OF RECORDS

1. I, Teresa M. Choyguha, am the Secretary of the Tohono Oodham

Legislative Council.

2. I am the custodian of the Tohono Oodham Legislative Council

Resolutions and Ordinances which are kept as part of the

normal, everyday business procedures of the Legislative

Council.

3. The attached Resolution Number 93-296 is a true and accurate

copy of the Tohono Oodham Legislative Councils Resolution

enacting the Ordinance for the Regulation of Gaming Activities

Within the Tohono Oodham Nation (Gaming Ordinance), passed

by the Tohono Oodham Legislative Council on August 16, 1993

and approved by the Chairman of the Tohono Oodhain Nation on

August 17, 1993. The attached G~ning Ordinance is a true and

accurate copy of the ordinanc by Resolution No. 93

296.

Sworn to and subscribed before me this cQ7 day of September 1993.

Notary Public

My commission expires

Teresa M. Choy

Legislative Secretary

Tohono Oodham Legislative Council

~v~ QJvi~iiSS~ L)~li1L~ 4I~.)I~3
RESOLUTION OF THE TOHONO OODHAM LEGISLATIVE COUNCIL

(Enacting an Ordinance for the Regulation of

1 Gaming Activities Within the Tohono OOdham Nation)

2 RESOLUTION NO. 93-296

3

WHEREAS, Article VI, Section 1(c) of the Nations Constitution authorizes

4

5 the Legislative Council to enact ordinances as an exercise of the

6 inherent sovereign powers of the Nation; and

7

8

WHEREAS, it is in the Nations best interests to adopt a comprehensive

9 ordinance for the regulation and operation of gaming activities

10 conducted within the Nation.

11

NOW, THEREFORE, BE IT RESOLVED THAT:

12

13 1. The Ordinance for the Regulation of Gaming Activities

141 Within the Tohono OOdham Nation (the Gaming

15

Ordinance), in the form attached hereto, is hereby enacted

16

17 as an ordinance of the Tohono OOdham Nation.

18 2. Ordinance 12-82 (commonly referred to as the Bingo

19

OrdInance), as amended by Resolutions 06-85 and 92-006,

20

21 and any other Resolutions or Ordinances of the Nation which

are inconsistent with the terms and provisions of the Gaming

23

Ordinance, are hereby repealed.

24

3. The Nations Chairman is authorized and directed to submit

26 the Gaming Ordinance to the National Indian Gaming

27

28

Commission for approval, and to take all other reasonable

and necessary steps for implementation of this Resolution
RESOLUTION NO. 93-296

(Enacting an Ordinance for the Regulation of

1 Gaming Activities Within the Tohono OOdham Nation)

Page 2 of 3

2

3

The foregoing Resolution was passed by the Tohono OOdham Legislative

4 Council on the 11TH day of AUGUST, 1993 at a meeting at which a quorum

was present with a vote of 1,628.0 FOR; 135.0 AGAINST; - NOT

VOTING; and j~ ABSENT, pursuant to the powers vested in the Council by

6 Section iLcI of Article VI of the Constitution of the Tohono OOdham Nation,

~ adopted by the Tohono OOdham Nation on January is, 1986; and approved

by the Acting Deputy Assistant Secretary - Indian Affairs (Operations) on

8 March 6, 1986, pursuant to Section 16 of the Act of June 18, 1934 (48 Stat.

~ 984).

10

11 TOHONO OODHAM LEGISLATIVE COUNCIL

~ ~

Alex J. Ramo~i, Legisla~ve Chairman

15 day of . 19 ~

ATrES3~ /1

19 ~4~~~

20

Teresa M. Choyguha~t~gislative Secretary

21 , ~day of ________________, 19 ~3

~ Said Resolution was submitted for approval to the office of the Chairman of

~ the Tohono OOdham Nation on the ~ ~day of ~ , 19~~at

2~- ~\2~i oclock, .M., pursuant to the provisiŁns of Section 5 of

24 Article VII of the Constitution and will become effective upon his approval or

~ upon his failure to either approve or disapprove it within 48 hours of

submittal.

26

27 TOHONO O1ODHAM LEGISLATIVE COUNCIL

22 ________________

Alex J. Ramon, Legislative Chairman
RESOLUTION NO. 93-296

(Enacting an Ordinance for the Regulation of

Gaming Activities Within the Tohono OOdham Nation)

Page 3 of 3

2~ ___________

_____

SYLVES ER LISTO, Chairman

TOHONO OODHAM NATION

Returned to the Legislative Secretary on the /2~~ of ______________

12 ______

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

1

APPROVED

] DISAPPROVED)

on the _____

day of ____________

at

3

4

51

6

7

S

9

10

11

oclock, 4. .M.

19~3

oclock, _____.M.

Teresa M. Choyguha, Secretary

28
ORDINANCE FOR THE REGULATION OF

GAMING ACTIVITIES WITHIN THE TOHONO OODHAM NATION

Chapter 1: Findings and Purposes

101 Legislative Findings 1

102 Purposes 2

Chapter 2: Definitions

201 Definitions 3

Chapter 3: Tribal Ownership and Use of Net Revenues

301 Tribal Ownership of Gaming Activities 10

302 Use of Net Revenues 11

Chapter 4: Tohono Oodham Gaming Office

401 - Establishment of the Gaming Office 11

402 Personnel 12

403 - Powers and Duties of the Gaming Office . . . 14

404 - Issuance of Regulations 18

405 -Petition for SelfRegulation 21

Chapter 5: Gaming Facility Operators License

501 Requirement of License 22

502 Standards of Suitability 22

Chapter 6: Gaming Managers License

601 Requirement of License 24

602 Standards of Suitability 24

1
Chapter 7: Manufacturers/Supoliers License

701 -

Requirement of License 27

702 Standards of Suitability 28

Chapter 8: Gaming Employees License

801 Requirement of License 31

802 Standards of Suitability 31

Chapter 9: License Application Procedure

901 Application Requirements; Processing 32

902 Fees 36

903 License Terms; Renewal 38

904 State Certification 39

Chapter 10: Background Investigations; Notifications

1001 Background Investigations 40

1002 Notification to the National Indian

Gaming Commission 42

Chapter 11: Gaming Facility License

1101 Requirement of License 43

1102 Standards for Issuance of License 44

1103 -

Application for a New or Amended Gaming

Facility License; Procedure 45

1104 Fees .50

1105 License Terms; Renewal 51

ii
Facility Inspection; Notice of Violation;

Complaints; Judicial Review

Facility Inspection

Notice of Violation

Investigation of Complaints

Judicial Review

Chapter 13

1301

1302

1303

1304

1305

1306

1307

1308

1309

1310

Gaming Operation

Scope of Permissible Gaming

Hours, Days, Other Standards

Employee and Player Age Limit

Management; Security .

Internal Controls

Annual Independent Audit

Public Disclosure of Payoffs

Patron Disputes

Play by Employees

Small Bingo Games and Raffles

57

58

58

58

59

62

64

64

66

66

Chapter 14

1401

1402

1403

Violations and Remedies

Violations 68

Civil Penalties 69

Civil Remedies 69

Chapter 15

1501

1502

Transition Provisions

Existing Games Lawful 70

Repeal of Prior Ordinances and Resolutions. . . 70

Chapter 12:

1201

1202

1203

1204

. . 51

. 51

. 55

56

iii
Chapter 16: Amendments

1601 - Amendments 71

Chapter 17: Compliance with the Compact and the Act

1701 -

Compliance with the Compact and the Act . . . . 71

iv
ORDINANCE FOR THE REGULATION OF GAMING ACTIVITIES

WITHIN THE TOHONO OODHAM NATION

Chapter 1. Findings and Purposes.

Section 101. Legislative Findings The Legislative Council

of the Tohono Oodham Nation hereby finds:

(a) that the orderly and honest conduct of garning

activities within the Tohono Oodham Nation has been and will

continue to be of vital importance to the economy of the

Nation, and to the general welfare of its members;

(b) that the continued growth and success of gaming

within the Tohono Oodham Nation is dependent upon public

confidence and trust that such activities are conducted

honestly and that they are free from criminal and corrupt

elements, and that the facilities in which such activities are

conducted are designed and maintained to assure the safety and

comfort of patrons of the gaming activities;

(c) that such public confidence and trust can only be

maintained by the comprehensive regulation of all persons,

practices, and activities related to the operation of the

Nations gaming facilities; and

1
(d) all of the Nations establishments where gaming is

conducted, and all persons holding positions of responsibility

with respect to any such activity, must therefore be licensed,

and their activities monitored, to assure that the public

health, safety and general welfare of the inhabitants of the

Nation and the patrons of its gaming facilities are fully

protected, and so as to assure the economic success of gaming

activities within the Nation.

Section 102. Purposes This Ordinance is therefore enacted,

and shall be interpreted, so as to accomplish the following

purposes:

(a) the maintenance of the highest standards of honesty

and integrity in the operation of any and all gaming

activities within the Tohono Oodham Nation;

(b) the maintenance of public confidence and trust in

the honesty and integrity of such gaming activities, and in

the persons engaged in such activities;

(c) the maximum reasonable economic return to the Tohono

Oodham Nation as the owner of gaming facilities within the

Nation consistent with the fair and reasonable expectations of

patrons of such activities and the assurance of their safety

and comfort in participating in gaming activities; and

2
(ci) compliance with all applicable laws of the Tohono

Oodham Nation and the United States of America, including but

not limited to the Indian Gaming Regulatory Act of 1988.

Chapter 2. Definitions.

Section 201. Definitions For purposes of this Ordinance:

(a) Act means the Indian Gaming Regulatory Act of

1988, Public Law 100497, 25 U.S.C. §S270l2721 and 18 U.S.C.

§~1l661168, and all regulations promulgated pursuant thereto.

(b) Class I Gaming means all forms of gaming defined

as Class I in section 4(6) of the Act, 25 U.S.C. §2703(6).

(C) Class II Gaming means all forms of gaming defined

as Class II in section 4(7) of the Act, 25 U.S.C. §2703(7).

(ci) Class III Gaming means all forms of gaming as

defined in section 4(8) of the Act, 25 U.S.C. § 2703(8).

(e) Commission means the National Indian Gaming

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

3
(f) Compact means the TribalState Compact entered

into between the Tohono Oodham Nation and the State of

Arizona pursuant to section 11(d) of the Act, 25 U.S.C.

S27l0(d), as approved by the Secretary of Interior on July 30,

1993, for purposes of regulating Class III gaming activities

conducted within the Nation, and all amendments and

modifications thereto.

(g) Constitution means the Constitution of the Nation

adopted by the Oodham people and approved by the Secretary of

Interior on March 6, 1986 pursuant to section 16 of the Act of

June 18, 1934 (48 Stat. 987, 25 U.S.C. § 476).

(h) Distributor means a person who distributes Class

III Gaming Devices and/or component parts thereof.

(i) District means any of the eleven Districts of the

Tohono Oodham Nation established under in Article IX of the

Constitution of the Tohono Oodham Nation.

(j) Gaming Activity means all forms of Class II and

Class III Gaming owned and operated by the Nation and

conducted within the territorial jurisdiction of the Nation.

(k) Gaming Device or Electronic Game of Chance means

a microprocessorcontrolled electronic device which allows a

4
player to play games of chance, some of which are affected by

skill, which device is activated by the insertion of a coin,

currency, tokens or by the use of a credit, and which awards

game credits, cash, tokens, or replays, or a receipt that can

be redeemed by the player for any of the foregoing. Game play

may be displayed by:

(i) Video facsimile; or

(ii) Mechanical rotating reels whereby the software

of the device predetermines the stop positions

and the presence, or lack thereof, of a

winning combination and pay out, if any.

(1) Gaming Employee~ means any person employed as a

Primary Management Official or Key Employee of a Gaming

Operation of the Nation and any person employed in the

operation or management of a Gaming Operation, including, but

not limited to, any person whose employment duties require or

authorize access to restricted areas of a Gaming Facility not

otherwise open to the public.

(m) Gaming Facility means the buildings or structures

licensed and approved by the Nation in which Gaming Activities

are conducted.

5
(n) Gaming Faci1i~y Operator means the Nation, a

wholly owned Tribal Enterprise, or such other entity of the

Nation as the Nation may from time to time designate as ~he

wholly-owned tribal entity having full authority and

responsibility for the operation and management of Class II or

Class III Gaming Activities.

(o) Gaming Operation means any Gaming Activity

conducted within a Gaming Facility.

(p) Gaming Ordinance means this Ordinance which

governs the conduct of Gaming Activities within the Tohono

Oodham Nation, all amendments thereto, and all regulations

promulgated thereunder.

(q) Gaming Services means the providing of any goods or

services, except for legal services, to a Gaming Facility

Operator in connection with the operation of Class II or Class

III gaming in a Gaming Facility, including but not limited to,

equipment, transportation, food, linens, janitorial supplies,

maintenance, or security services for the Gaming Facility, in

an amount in excess of $10,000 in any single month.

(r) Indian Lands means land as defined in 25 U.S.C.

§2703(4) (A) and (B), subject to the provisions of 25 U.S.C.

§2719.

6
(s) Key Employee means a Gaming Employee who performs

one or more of the following functions:

1. Bingo caller;.

2. Counting room supervisor;

3. Chief of security;

4. Custodian of gaming supplies or cash;

5. Floor manager; or

6. Custodian of Gaming Devices including persons

with access to cash and accounting records

within such devices; or

if not otherwise included, any other person whose total cash

compensation from the Gaming Operation is in excess of $50,000

per year; or, if not otherwise included, the four most highly

compensated persons in the Gaming ~Dperation.

(t) Legislative Council means the Legislative Council

of the Tohono Oodham Nation as established and empowered

under Articles IV, V and VI of the Constitution of the Tohono

Oodham Nation.

(U) Management Contract means a management contract

within the meaning of 25 U.S.C. S~27l0(d)(9) and 2711.

7
(v) Management Cor~tractor means a natural person or

entity that has entered intc a Management Contract with the

Nation or a Gaming Facility Operator which has been approved

pursuant to 25 U.S.C. §~ 2713(d) (9) and 2711.

(w) Manufacturer means a natural person or entity that

manufactures Gaming Devices and/or component parts thereof as

defined by this Ordinance for use or play in the Gaming

Facilities.

(x) Nation means the Tohono Oodham Nation organized

under the Constitution.

(y) Net Revenue means the gross revenues of any gaming

activity less amounts paid out as, or paid for, prizes and

total operating expenses.

(z) Office of Attorney General means the Office of the

Attorney General of the Tohono Oodham Nation.

(aa) Person includes a corporation, company,

partnership, firm, association or society as well as a natural

person. When person is used to designate the violator or

offender of any law, it includes a corporation, partnership or

any association of persons.

8
(bb) Primary Management Official means the person

having management responsibilities under a Management

Contract; or any person who has authority to hire and fire

employees or to set up working policy for a Gaming Operation;

or the chief financial officer or other person who has

financial management responsibility for a Gaming Operation.

(cc) Principal means with respect to any entity:

(i) Each of its officers and directors;

(ii) Each of its principal management employees,

including any chief executive officer, c1-~.ief

financial officer, chief operating officer, or

general manager;

(iii) Each of its owners or partners, if an

unincorporated business;

(iv) Each of its shareholders who own more than ten

(10) 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 entity

constituting more than ten (10) percent of the

total financing of the entity; and

(vi) Each of the beneficiaries, or trustees of a

trust.

9
(dd) Privacy Act means the Privacy Act of 1974, as

amended (P.L. 93-579, as amended; 5 U.S.C. § 552a), and the

obligations and responsibilities placed on the United States

government under the PrivacyAct as applied to the Commission

pursuant to the Indian Gaming Regulatory Act.

(ee) State means the State of Arizona, and its

authorized officials, agents and representatives.

(ff) Tribal Enterprise means the Nation, an enterprise

of the Nation authorized and chartered pursuant to Article VI,

Section 1(e) of the Nations Constitution, or such other

entity of the Nation designated by the Legislative Council to

conduct a Gaming Operation.

Chapter 3. Tribal Ownership ~nd Use of Net Revenues.

Section 301. Tribal Ownership of Gaming Activities All

Gaming Activities within the Nation shall be owned entirely by the

Nation and conducted and operated by a Tribal Enterprise, with the

following exceptions:

(a) Class I Gaming; and

(b) small bingo games and raffles as provided in Section

1310 of this Ordinance.

10
Section 302. Use of Net Revenues The net revenues received

by the Nation from all Gaming Activities shall be utilized

exclusively for one or more of the following purposes:

(a) to fund government operations or programs of the

Nation or Districts;

(b) to provide for the general welfare of the Nation and

its members;

(C) to promote the Nat.:~.un~s economic development;

(d) to benefit charitable organizations providing

services within the Nation.

Chapter 4. Tohono Oodham Gaming Office.

Section 401. Establishment of the Gaming Office There is

hereby established the Tohono Oodham Gaming Office, as a

department within the Executive Branch of the Nation, which shall

have overall civil regulatory authority over Gaming Activities

within the Nation as specifically provided herein.

11
Section 402. Personnel

(a) The Tohono Oodham Gaming Office (hereinafter the

Gaming Office), shall cons~ist of an Executive Director,

Inspectors and such assistants and other staff as the

Executive Director shall determine are required from time to

time, subject to funding provided by the Legislative Council.

No employee of the Gaming Office shall be employed by a Gaming

Facility Operator. No employee of the Gaming Office shall be

employed by or hold, directly or indirectly, a financial

interest in an organization or entity which (i) has entered

into a Management Contract with the Nation or a Gaming

Facility Operator; (ii) is a Distributor; (iii) provides

Gaming Services; or (iv) provides financing to the Nation or

a Gaming Facility Operator for purposes of conducting Gaming

Operations within the Nation.

(b) The Executive Director of the Gaming Office shall be

appointed by the Chairperson of the Nation and shall serve at

the pleasure of the Chairperson. The appointment shall be

subject to approval by a majority vote of the Legislative

Council. The job performance of the Executive Director shall

be reviewed periodically by the Nations Chairperson who shall

submit a written report of each such review to the Chairperson

of the Legislative Council.

12
(c) The Executive Director shall be a person of the

utmost honesty and integrity, shall not have been convicted of

a felony or a misdemeanor involving theft, embezzlement or a

crime involving moral turpitude, whose prior activities,

reputation, habits and associations shall not pose a threat to

the public interest or to the effective regulation of gaming.

(d) The Executive Director shall be the Nations

designated agent for service of any official determination,

order or notice of the Commission.

(e) Inspectors shall act under the authority and

supervision of the Executive Director. Inspectors shall have

the right to inspect any Gaming Facility at any time and shall

have immediate and unrestricted access to any and all areas of

a Gaming Facility. An Inspector shall be present in each

Gaming Facility during all hours of Gaming Operation.

(f) Every employee, every Inspector, and the Executive

Director of the Gaming Office shall be licensed by the

Nation~s Personnel Department. The Nations Personnel

Department shall conduct the necessary background

investigations required by the Act and the Compact to ensure

qualification for a license. Any employee, Inspector or

Executive Director of the Gaming Office who is a nonmember of

the Nation shall also be certified by the State Gaming Agency

13
pursuant to the Compact and prior to commencement of

employment. No person shall be employed by the Gaming Office

if the Nations Personnel Department determines that such

person:

1. has been convicted of any felony or gaming

offense;

2. has knowingly and willfully provided

materially important false statements or

information on his or her license application;

or

3. has been determined to be a person whose prior

activities, criminal record, if any, or

reputation, habits 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, methods and

activities in the conduct of gaming or the

carrying on of the business and financial

arrangements incidental thereto.

Section 403. Powers and Duties of the Gaming Office Subject

to all of the provisions of this Ordinance, the Gaming Office shall

14
have the following powers and duties, which it may exercise

directly or through such agents or employees as it deems

appropriate:

(a) to have and to exercise full responsibility for the

regulation of Gaming Activiies within the Nation, as provided

in this Ordinance, the Act, and the provisions of any Compact

under which the Nation has regulatory authority;

(b) to enter at any time any Gaming Facility within the

Nation for the purpose of inspecting the facility, its

employees and operations, its equipment and supplies, and its

business records, books of account, and any and all other

financial records or documents pertaining to the business

operations of the facility, and to make such summaries or

copies of any and all such documents or other records for the

purpose of ensuring compliance with the provisions of this

Ordinance, the Compact or the Act;

(c) to issue subpoenas and compel the attendance of

witnesses at any place within the Nation, to administer oaths

and to require testimony under oath;

(d) to summarily seize and remove from any Gaming

Facility and impound any equipment, supplies, documents or

records for the purpose of examination;

15
(e) to review for compliance with all applicable laws

and regulations and to make recommendations thereon to the

Nations Chairperson the terms of any and all proposed

contracts between the Natior~ or a Tribal Enterprise and any

person or entity which provide for the management or operation

of any Gaming Facility within the Nation, as well as the terms

of any lease of land which is the site or proposed site of

such Gaming Facility;

(f) to investigate any aspect of Gaming Activities

within the Nation in order to protect the public interest in

the integrity of such Gaming Activities and to prevent

improper or unlawful conduct in the course of such Gaming

Activities, and to investigate any report of a failure of any

Gaming Operation within the Nation to comply with the

provisions of this Ordinance, the Compact or the Act and to

require such Gaming Operation to take any corrective action

deemed necessary by the Gaming Office upon such terms and

conditions as the Gaming Office may determine appropriate;

(g) to establish a list of persons who, because of their

criminal history or association with career offenders or

career offender organizations pose a threat to the integrity

of the Gaming Activities of the Nation, or are barred from any

Gaming Operation within the Nation pursuant to Section

1401(f) of this Ordinance;

16
(h) toapprove the rules of each game of chance operated

by the Nation pursuant to Section 301 of this Ordinance;

(i) to require that all contracts for supplies,

services, or concessions in an amount in excess of $25,000

annually (except contracts for professional legal or

accounting services) relating to such gaming be subject to

annual audits by an independent certified public accountant

licensed in the State of Arizona;

(j) to perform backgrow~d investigations on every

applicant for a Gaming Facility Operators License, a Gaming

Managers License, a Manufacturers/Suppliers License, a Gaming

Employees License and every applicant for a position of

employment with a Gaming Facility Operator;

(k) to approve or deny applications for licenses or to

limit, condition, restrict, revoke or suspend any license

which it has granted;

(1) to issue licenses -ind employee identification cards

on such forms as may be designated by the Gaming Office;

(in) to issue a notice of violation to, or impose a civil

penalty upon, any person or entity for violation(s) of any

provision(s) of this Ordina~ce, the Compact or the Act;

17
(n) to detain persons who may be involved in illegal

activities, for purposes of notifying and summoning

appropriate law enforcement authorities; and

(a) to do all other things reasonably necessary for the

proper and efficient fulfillment of the powers and

responsibilities of the Gaming Office under this Ordinance,

the Compact or the Act.

Section 404. Issuance of Regulations

(a) The Gaming Office shall from time to time promulgate

and issue regulations governing any aspect of its

responsibilities under this Ordinance, which, so long as they

are in furtherance of and not in conflict with any provision

of this Ordinance, shall have the force of law. Without

limitation, the matters to be addressed by such regulations

may include the following:

1. the time and manner for applying for a Gaming

Operators License under this Ordinance, and

the specific information to be provided in

connection with such application, including

information necessary for adequate assessment

of the applicants background, and the manner

in which such applications will be processed;

18
2.~ the procedure by which applicants for licenses

under this Ordinance shall apply f or such

licenses, including the information to be

provided by the applicant necessary for

adequate assessment of the applicants

background, and the manner in which such

applications will be processed; and

3. the specific types of accounting, security,

recordkeeping and reporting measures required

by this Ordinance, the Compact or the Act to

be in place and functioning at any Gaming

Facility licensed under this Ordinance.

(b) Except in emergency situations addressed in

subsection (~c) below, prior to promulgating a final regulation

the Gaming Office shall publish the regulation in proposed

form. The proposed regulation shall be provided directly to

the Chairperson of the Nation, the Chairperson of the

Legislative Council, the Chairperson and each member of the

Commerce Committee of the Legislative Council, the Office of

the Attorney General, the office of each District Chairperson,

and to any other interested person or interested office or

agency of the Nation. The proposed regulation shall be

accompaniedby a notice stating that the Gaming Office will

accept written comments for no less than thirty (30) days

19
following the date of pubication. As provided in this

section, publisht shall mean publication in newspaper(s) of

general circulation within the Nation and posting in each of

the Nations District offices. In the event of significant

public interest with respect to any regulation, the Gaming

Office may hold a public hearing prior to issuing a final

regulation. Notice of such hearing shall be given as set

forth above, and in addition shall be mailed directly to any

person submitting comments on the proposed regulation. Except

as provided in subsection (C) of this section, no final

regulation shall be issued until the Gaming Office has

reviewed all comments received by the close of the comment

period, as well as all presentations made at any hearing held

pursuant to this subsection.

(c) In the event the Gaming Office determines that an

immediate rulemaking is necessary to avoid serious jeopardy

to the integrity of any Gaming Activity within the Nation, or

otherwise to deal with an emergency situation affecting the

responsibilities of the Gaming Office, the Gaming Office may,

upon making an express written finding as to such emergency,

issue a final regulation to take effect immediately; provided,

that the Gaming Office shall publish notice and request

comments on such regulation in the same manner as is provided

above, and upon consideration of any comments received, shall

20
make such amendments to such final regulation as the ~aming

Office deems appropriate.

(d) All final regulations adopted by the Gaming Office

shall be officially filed with the Secretary of the

Legislative Council, the Office of the Chairperson, and the

Office of the Attorney General.

(e) The following regulations are adopted as final

regulations of the Gaming Office and are exempt from the

provisions of subsections (o) and (c) of this Section:

1. Minimum Internal Control Standards -

Electronic ~3ames of Chance. Attached hereto

as Appendix 1.

2. Minimum Internal Control Standards Keno

(Computerized). Attached hereto as Appendix

2.

3. Minimum Internal Control Standards -- Cage.

Attached hereto as Appendix 3.

4. Minimum Internal Control Standards Internal

Audit. Attached hereto as Appendix 4.

Section 4O5~ Petition for Self-Regulation As soon as the

Gaming Office determines that the Nation is eligible therefor, the

Gaming Office shall submit to the Commission an application for a

21
Certificate of SelfRegulation, under the provisions of 25 U.S.C.

§2710(c)(4). The Gaming Office shall do everything necessary and

appropriate to obtain such Certificate and to maintain the

Certificate in good standing.

Chapter 5. Gaming Facility Operators License.

Section 501. Requirement of License Each Tribal Enterprise

established by the Legislative Council to conduct a Gaming

Operation within the territorial jurisdiction of the Nation shall

obtain a Gaming Facility Operators License from the Gaming Office

before the Tribal Enterprise may commence operation of a Gaming

Activity. Each appointee for the position of member of the Board

of Directors of such Tribal Enterprise shall also obtain a Gaming

Facility Operators License :~rom the Gaming Office before

submission of the appointment to the Legislative Council f or

approval.

Section 502. Standards of Suitability

(a) Tribal Enterprise. No Tribal Enterprise shall be

issued a Gaming Facility Operators License by the Gaming

Office unless the Gaming Office is satisfied that the Tribal

Enterprise is established and organized pursuant to a plan of

operation adopted by the Legislative Council.

22
(b) Board of Directors. No member of the Board of

Directors of a Tribal Enterprise established by the

Legislative Council to conduct a Gaming Operation shall be

issued a Gaming Facility Operators License by the Gaming

Office if the Gaming Office determines that such person:

1. has been convicted of any felony or gaming

offense;

2. has knowingly and willfully provided

materially important false statements or

information on his license application; or

3. has been determined to be a person whose prior

activities, criminal record, if any, or

reputation, habits 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, methods and

activities in the conduct of gaming or the

carrying on of the business and financial

arrangements incidental thereto.

23
Chapter 6. Gaming Managers License.

Section 601. Requirement of License No person, corporation,

partnership, or other entity shall manage any Gaming Operation as

the general manager of a Tribal Enterprise without first obtaining

a Gaming Managers License from the Gaming Office. In the case of

a corporation, partnership or other entity, each Principal of the

corporation, partnership or other entity must also obtain a Gaming

Managers License from the Gaming Office.

Section 602. Standards of Suitability

(a) Individuals. No person shall be issued a Gaming

Managers License under this Chapter if the Gaming Office

determines that such person:

1. has been convicted of any felony or gaming

offense;

2. has knowingly and willfully provided

materially important false statements or

information on his license application; or

3. has been determined to be a person whose prior

activities, criminal record if any, or

reputation, habits, and associations pose a

24
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, methods, arid

activities in the conduct of gaming or the

carrying on of the business and financial

arrangements incidental thereto.

(b) Corporations, Partnerships, and Other Entiti.es~

1. No corporation, partnership, or other ~ntity

shall be issued a Gaming Managers License by

the Gaming Office unless the Gaming Office is

satisfied that such corporation, partnership

or other entity:

(A) is organized and in good standing under

the laws of the jurisdiction where it was

established, and is qualified to do

business within the Nation and the State

of Arizona;

(B) is in sound financial condition, as shown

by a financial statement certified by a

certified public accountant to be a

25
current, complete and accurate depiction

of the organizations financial status;

(C) is not now and has not been in the past

five years the subject of any criminal

investigation by any federal or state law

enforcement authority, as shown by an

affidavit of Principals of the

organization having personal knowledge

thereof;

(D) has established a reputation for

financial integrity and sound business

practices, or, if the organization was

recently formed, that all persons having

any role in its formation, including

persons supplying financing, are persons

qualified to be licensed individually

under the terms of this Chapter; and

(E) in all other respects will be reliable

and trustworthy, and whose involvement

in Gaming Activities within the Nation

will be in the best interests of the

Nation.

26
2. As a condition of any such license, the Gaming

Office shall require that any licensed

corporation, partnership or other entity:

(A) maintain an office within the Nation; and

(B) give notice to the Gaming Office within

10 days of any material change in any

information disclosed in the application

for which prior notir.e was not feasible,

including but not limited to, any change

in its principals.

Chapter 7. Manufacturers/Suppliers License.

Section 701. Requirement of License Each Manufacturer and

each Distributor of Gaming Devices, and each supplier of Gaming

Services shall be licensed by the Gaming Office prior to the sale

or lease of any Gaming Devices or Gaming Services to a Gaming

Facility Operator licensed under this Ordinance. In addition, any

person, corporation, partnership or other entity extending or

guarantying financing for the Gaming Operation or the Gaming

Facilities shall be licensed by the Gaming Office, unless such

person, corporation, partnership or entity is an agency of the

27
United States or a lending institution licensed and regulated by

the State or the United States.

Section 702. Standards of Suitability

(a) Individuals. No person shall be issued a license

under this Chapter if the Gaming Office determines that such

person:

1. has been convicted of any felony or gaming

offense;

2. has knowingly and willfully provided

materially important false statements or

information on his license application; or

3. has been determined to be a person whose prior

activities, criminal record if any, or

reputation, habits, and 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, methods, and

activities in the conduct of gaming or the

carrying on of the business and financial

arrangements incidental thereto.

28
(b) Corporations, Partnerships, and Other Entities.

1. No corporation, partnership, or other entity

shall be issi~ed a license under this Chapter

unless the Gaming Office is satisfied that

such corporation, partnership or other entity:

(A) is organized and in good standing under

the laws of the jurisdiction where it was

established, and is qualified to do

business within the Nation and the State

of Arizona;

(B) is in sound financial condition, as shown

by a financial statement certified by a

certified public accountant to be a

current, complete and accurate depiction

of the organizations financial status;

(C) is not now and has not been in the past

five years the subject of any criminal

investigation by any federal or state law

enforcement authorities, as shown by an

affidavit of Principals of the

29
organization having personal knowledge

thereof;

(D) has established a reputation for

financial integrity and sound business

practices, or, if the organization was

recently formed, that all persons having

any role in its formation, including

persons supplying financing, are persons

qualified to be licensed individually

under the terms of this Chapter; and

(E) is in all other respects reliable and

trustworthy, and whose involvement in

Gaming Activities within the Nation will

be in the best interests of the Nation as

set forth in this Ordinance.

2. As a condition of any such license, the Gaming

Office shall require that any licensed

corporation, partnership or other entity give

notice to the Gaming Office within 10 days of

any material change in any information

disclosed in the application for which prior

notice was not feasible, including but not

limited to, any change in its Principals.

30
Chapter 8. Gaining Employees License.

Section 8Ol.~ Requirement of License Every Gaming Employee

of a Gaming Facility Operator ~hal1 be licensed by the Gaming

Office prior to commencement of employment.

Section 802. Standards of Suitability . No person shall be

issued a Gaming Employees License under this Chapter if the Gaming

Office determines that such person:

(a) has been convicted of any felony or gaming offense;

(b) has knowingly and willfully prrvided materially

important false statements or information on his or her

license or employment application; or

(c) has been determined to be a person whose prior

activities, criminal record if any, or reputation, habits, and

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, methods, and activities in the conduct of gaming or

the carrying on of the business and financial arrangements

incidental thereto.

31
Chapter 9. License Application Procedure.

Section 901. Applicaticn Requirements; Processing

(a) Each application for a license under Chapters 5, 6,

7 or 8 of this Ordinance must be submitted to the Gaming

Office on forms prescribed by the Gaming Office, and must be

accompanied by the required fee and such supporting

information as the Gaming Office prescribes by regulation

which shall include:

1. In the case of individual persons:

(A) Full name, including any aliases by which

applicant has ever been known;

(B) Social security number;

(C) Date and place of birth, gender, current

citizenship, and all languages spoken or

written;

(D) Currently and f or the previous 5 years:

business and employment positions held,

ownership interests in those businesses,

business and residence addresses, and

drivers license numbers;

(E) The names and current addresses of at

least three personal references,

32
including one personal reference who was

acquainted with the applicant during each

period of residence listed under

paragraph 1(D) of this subsection (a);

(F) Education history;

(G) Current business and residence telephone

numbers;

(H) A description of any existing and

previous business relationships with

Indian tribes, including ownership

interests in those businesses;

(I) A description of any existing and

previous business relationships with the

gaming industry generally, including

ownership interests in those businesses;

(J) The name and address of any licensing or

regulatory agency with which the person

has filed an application for a license or

permit related to gaming, whether or not

such license or permit was granted;

(K) 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;

33
(L) All criminal proceedings, except for

minor traffic offenses, to which the

applicant has been a party including

description of the charge, the name and

address of the court involved and the

date and disposition;

(M) A set of fingerprints;

(N) A current photograph; and

(0) A complete and current financial

disclosure statement.

2. In the case of corporations, partnerships or

other entities applying for a license under

Chapters 5, 6, 7 or 8 of this Ordinance:

(A) The name, address, and other additional

pertinent background information on each

of its Principals;

(B) The name, address, and other additional

pertinent background information on each

of its related, associated, affiliated,

parent or subsidiary corporations,

partnerships, entities or individuals;

34
(C) A description of any previous experience

that each Principal has had with other

Indian tribes involving gaming, any

management contract, or with the gaming

industry generally, including

specifically the name and address of any

licensing or regulatory agency with which

such person has had contact relating to

gaming; and

(D) A complete financial statement of each

Principal.

(b) The Gaming Office and its staff may assist any

applicant in assembling all information required for

processing of the application, but no application will be

processed until it is complete. The Gaming Office staff may

at any time after an application is submitted request the

applicant in writing to supply additional information to

enable the Gaming Office to complete the processing of the

application, which request must be complied with forthwith.

(c) The application forms utilized by the Gaming Office

shall contain the Privacy Act notice under the Privacy Act and

the notice regarding false statements, and in the form

required by the Commission, pursuant to 25 C.F.R. Part 556,

35
and each applicant shall consent in writing to the release of

any information that may be relevant to the Gaming Offices

inquiry into the applicants background from any person or

entity. Any and all information obtained by the Gaming Office

in the course of reviewing an application will remain

confidential, and will not be released by the Gaming Office to

any other person or agency (other than the State Gaming Agency

of the State of Arizona if disclosure is required under the

Compact and the Commission if disclosure is required under the

Act) without the applicants consent, or pursuant to an order

of court or other body of competent jurisdiction.

(d) The Gaming Office shall issue a decision on the

application in writing. The written decision of the Gaming

office shall constitute final action of the Gaming Office on

such application. In the event any application for a license

is denied, the decision shall specify the reason for such

denial.

Section 902. Fees The Gaming Office shall collect the

following fees in connection with the processing of applications

and the issuance of licenses:

36
(a) Gaming Facility Operators License:

1. Initial application fee:

(A) Tribal Enterprise: $50,000.

(B) Member, Board of Directors: $200.00.

2. Annual renewal fee:

(A) Tribal Enterprise: $10,000.

(B) Member, Board of Directors: $100.00.

(b) Gaining Managers License:

1. Initial application fee of $1,000.00.

2. Annual renewal fee of $500.00.

(c) Manufacturers/Suppliers License:

1. Initial application fee:

(A) Manufacturer/Distributor of Gaining

Devices: $1,000.00.

(B) Supplier of Gaming

Services: $100.00.

(C) Third Party Financer: $1,000.00.

37
2. Annual renewal fee:

(A) Manufacturer/Distributor of Gaming

Devices: $500.00.

(B) Supplier of Gaming

Services: $50.00.

(C) Third Party Financer: $500.00.,

(d) Gaming Employees License:

1. Initial application fee of $25.00.

2. Annual renewal fee of $10.00.

(e) Other Fees. The Gaming Office may by regulation

prescribe such other fees as it deems appropriate.

Section 903. License Terms; Renewal

(a) Each Gaming Facility Operators License, Gaming

Managers License, Manufacturers/ Suppliers License and Gaming

Employees License issued by the Gaming Office hereunder shall

have a primary term of one year. Such license may be renewed

for subsequent oneyear periods upon proper application

therefor, on forms specified by the Gaming Office, but no

licensee shall have any vested right to renewal of any license

issued hereunder.

38
(b) Th~e Gaming Office shall issue a temporary license

within 20 days of the receipt of a completed application for

licensing pursuant to Chapters 5, 6, 7 or 8 of this Ordinance

unless the background investigation undertaken by the Gaming

Office discloses that the applicant has a criminal history, or

unless other grounds sufficient to disqualify the applicant

pursuant to this Ordinance are apparent on the face of the

application. The temporary license shall become void and be

of no effect upon either the issuance of a license or upon the

issuance of notice of denial of the license in accordance with

the provisions of this Ordinance.

Section 904. State Certification Every person or entity

required to be licensed under this Ordinance shall also comply with

the state certification requirements of the Compact. Within the

time requirements established by the Compact, the Gaming Office

shall forward to the State Gaming Agency a report of final

disposition of the licensing actions of the Gaming Office. The

Gaming Office shall afford the State an opportunity for a hearing,

pursuant to Sections 5(q) (2) and 5(q) (3) of the Compact, to contest

a licensing decision of the Gaming Office or to recommend

suspension or revocation of a license issued by the Gaming Office,

provided that, following the hearing, the decision of the Gaming

Office shall be the final action of the Gaming Office.

39
Chapter 10. Background Investigations; Notifications.

Section 1001. Background Investigations

(a) The Gaming Office shall at all times have in place,

and shall regularly update and improve, a system for

conducting background investigations of every applicant for

licensing under this Ordinance. Such system shall comply with

the requirements of this Ordinance, the Compact and the Act,

and shall include, at a minimum, utilization of records of all

available, tribal, state and federal law enforcement agencies,

resources of the Commission, communications with other Indian

tribes engaged in gaming activities, and any and all other

sources of information accessible to the Gaming Office for

this purpose. Such system shall ensure that all applicants

are notified of their rights under the Privacy Act as

specified in 25 C.F.R. Part 556.

(b) Every applicant for licensing under this Ordinance

shall be subjected to a thorough background investigation, and

such investigations shall be updated upon application for

renewal of a license, and at such other times as the Gaming

Office may determine appropriate.

40
(c) The Gaming Office shall prepare a background

investigation report on every applicant for licensing under

this Ordinance which shall include all of the following:

1. Steps taken in conducting a background

investigation;

2. Results obtained;

3. Conclusions reached; and

4. The bases for those conclusions.

(d) The cost of performing the background investigations

on Gaming Employees shall be an expense of the Gaming Facility

Operator who has hired or proposes to hire the employee.

(e) The Gaming Office shall at all times maintain files

containing the results of any background investigations

conducted by it. Such files shall be retained for no less

than three years from the date of termination of employment or

expiration of the license. Such files shall contain systems

designed to safeguard the identities of confidential

informants from inadvertent disclosure.

41
Section 1002. Notification to the National Indian

Gaming Commission

(a) Within the time requirements established by the

Commission the Gaming Office shall transmit to the Commission

a complete copy of license applications or such other

information as may be required by the Commission. After

completion of the background check of the applicant, and

within the time requirements established by the Commission,

the Gaming Office shall provide to the Commission a complete

report on the results of the background investigation. In the

event the Gaming Office receives any information from the

Commission concerning the applicant, such information shall be

taken into account by the Gaming Office in its action on the

application. The Gaming Office shall notify the Commission if

the Gaming Office does not license an applicant.

(b) Upon issuance of a license under this Ordinance, the

Gaming Office shall give notice thereof to the Commission.

Should the Gaming Office receive information from the

Commission indicating that a Primary Management Official or

Key Employee does not meet the standards established in this

Ordinance or in the Act for issuance of such a license, the

Gaming Office shall immediately suspend such license and give

written notice thereof to the licensee. The Gaming Office

shall also notify the licensee that the licensee has 15 days

42
following receipt of the notice of suspension to request that

the Gaming Of~fice reconsider the notice of suspension. Upon

such request for reconsideration, the Gaming Office shall

consider such oral statement(s) or written documentation as

the licensee may present to the Gaming Office at the time and

place designated by the Gaming Office. Within 15 days of

receipt of such statement(s) or documentation, or the

licensees request for reconsideration, whichever is latter,

the Gaming Office shall issue a written decision. The written

decision of the Gaming Office shall constitute final action of

the Gaming Office. The Gaming Office shall notify the

Commission of its decision.

Chapter 11. Gaming Facility License.

Section 1101. Requirement of License No person or entity

may commence any Gaming Activities subject to regulation hereunder

at any facility or location within the Nation until such facility

or location has received a Gaming Facility License under the

provisions of this Chapter, nor shall any person or entity offer

any new or different Gaming Activities, as defined by regulations

to be issued by the Gaming Office, at any facility or location that

is already licensed, without first obtaining an amended license for

such new and different Gaming Activities from the Gaming Office.

43
Section 1102. Standards for Issuance of License The Gaming

Office shall not issue a Gaining Facility license for any facility

or location at which Gaming Activities are to be offered within the

Nation unless the Gaming Facility meets the following requirements:

(a) the physical facility within which the Gaming

Activities are to be conducted is designed and constructed in

compliance with the laws of the Nation, the requirements of

the Compact and the requirements of the Act, so as to ensure

the health and safety of all employees and patrons of such

activities, and the protection of the natural environment from

any contamination due to discharge of waste or unreasonable

disturbance of the land surface;

(b) the Gaming Activities to be conducted within the

facility will lawfully be carried on by the Nation within the

State under the Act, and that the facilities are appropriate

to the carrying on of such activities;

(c) the Gaining Facility Operator will adequately staff

and equip the facility to ensure the safety, comfort and

convenience of the patrons thereof, and that the Gaming

Facility Operator has taken adequate measures to provide for

traffic, emergency service accessibility, food, drink and

sanitary needs for patrons and employees, security, law

enforcement and other concerns raised by the type of Gaming

44
Activities proposed to be undertaken in compliance with this

Ordinance, the Compact and the Act;

(d) the Nation or Tribal Enterprise has agreed to a

Management Contract or has made provision for management of

the facility under terms and provisions that ensure that the

activities will be carried out in a manner consistent with the

requirements of this Ordinance, that the contracting party or

parties have received appropriate licenses issued under the

provisions of this Ordinance, and that all employees hold

Gaming Employees Licenses issued under the provisions of this

Ordinance; and

(e) in all other relevant respects, the facility will be

operated in a way that is fully consistent with the provisions

of this Ordinance, and that its operation will further the

interests of the Nation with respect to its operation of

Gaining Activities.

Section 1103. Application for a New or Amended Gaming

Facility License; Procedure

(a) An application for a new or amended Gaming Facility

License shall be submitted by the Tribal Enterprise prior to

the commencement of operations at the facility or the

45
commencement of the new activity at the facility for which an

amended license is required.

(b) The Gaming Office shall prescribe the information

required to be submitted with such applications, but at a

minimum, such application for licensing a new facility shall

include the following:

1. the name, specific position and job

description of all persons to be employed

as Primary Management Officials or Key

Employees at the facility;

2. job descriptions for every other position

in which persons will be employed at the

facility;

3. a detailed description of each Gaming

Activity to be engaged in at the

facility, together with expected payouts

to winners;

4. a description of the internal controls,

plan of organization and all coordinate

methods and measures for the safeguarding

of assets, ensuring the accuracy and

46
reliability of its accounting data,

promoting operational efficiency and

encouraging adherence to prescribed

managerial policies;

5. detailed plans for the facility,

including landscaping, traffic controls,

parking, food and drink services, and

other physical aspects of the building;

6. a detailed description of how security

will be maintained at the facility,

identifying the persons, agencies or

entities that will provide such security;

7. a detailed description of how gaming

proceeds will be accounted for and

disposed of on a daily basis;

8. a copy of any proposed Management

Contract or other contractual arrangement

by which the activities at the facility

are to be managed;

47
9. a description of provisions for dealing

with fire or other potential emergencies

at the facility;

10. a detailed description of how sewage and

other waste products from the facility

will be handled and disposed of; and

11. any other information relevant to the

proposed operation of the facility or

requested by the Gaming Office as part of

the application.

(C) An application for an amended license to conduct new

or different Gaming Activities at a licensed location or to

otherwise alter the terms or conditions of an existing

license, shall, at a minimum, include the following

information:

1. any change in information previously

provided in the original license

application or any previous application

for an amended license for the facility;

2. a detailed description of the changes in

the facility or in the activities to be

48
carried on therein for which the amended

license is required, together with a

statement of the reasons for such change;

3. if a proposed change will require any

change in the existing Management

Contract with respect to the facility, a

copy of the proposed amendment to such

contract or new contract; and

4. any other information relevant to the

changes or new activities requiring the

amendment.

(d) In its decision to license any facility, or to amend

any existing license to permit the conduct of new or different

Gaming Activities at a licensed facility, the Gaming Office

may specify, consistent with the provisions of this Ordinance,

terms or conditions it believes necessary or appropriate to

ensure the health and safety of patrons ar1d employees of any

such facility, the integrity of the Gaming Activities carried

on at such facility, and the security of gaming proceeds. If

dissatisfied with any such condition, the applicant may

request that the Gaming Office reconsider its determination.

Upon such request for reconsideration, the Gaming Office shall

issue a written decision within 15 days of its receipt of the

49
request for reconsideration. The written decision of the

Gaming Office shall constitute final action of the Gaming

Office.

S~ction 1104. Fees

The Gaming Office shall collect the following fees in

connection with the processing of applications and the issuance of

licenses:

(a) Gaming Facility License:

1. Annual fee of $300,000.00.

2. Application for amendment of an axisting

Gaming Facility License: $150,000.00.

(b) The annual fee shall be payable in equal quarterly

installments, the first of which shall be payable within 15

days of receipt of notice of approval of the Gaming Facility

License. The remaining installments shall be paid on the

first day of each succeeding calendar quarter.

(c) The Gaming Office may by regulation prescribe such

other fees as it deems appropriate.

50
Section 1105. License Terms; Renewal

Each Gaming Facility License issued by the Gaming Office shall

be for a term of one year. Such license may be renewed for

subsequent oneyear terms upon proper application on forms

specified by the Gaming Office.

Chapter 12: Facility Inspec~ion; Notice of Violatic~n;

Complaints; Judicial Review.

Section 1201. Facility Inspection

The Gaming Office shall, no less than monthly and at such

other times as it believes are warranted, cause detailed

inspections to be made of each Gaming Facility licensed under the

provisions of this Ordinance, to ~ssure that such facility is being

operated in accordance with the terms of the license and of the

provisions of this Ordinance, the Compact and the Act.

Section 1202. Notice of Violation

(a) The Executive Director of the Gaming Office shall

issue a notice of violation to any person or entity determined

by the Gaming Office to be in violation of any provision of

this Ordinance, the Compact or the Act.

51
(b) A notice of violation shall contain:

1. a citation to the Ordinance, regulation,

Compact provision or federal law that has been

or is being violated;

2. a description of the circumstances surrounding

the violation, set forth in common and concise

language;

3. the action which must be taken to correct the

violation;

4. notice that the violation must be corrected

within 15 days from receipt of the notice of

violation;

5. notice of a civil fine or other enforcement

action that will or may be imposed if the

violation is not corrected;

6. notice that a written response to the notic2

of violation must be submitted to, and

received by, the Gaming Office within 15 days

of the receipt of the notice of violation; and

52
7. notice that the cited violation shall be the

written decision of the Gaining Office if no

written response to the notice of violation is

submitted to the Gaming Office within the time

prescribed in Section 1202(b) (6).

(c) In the event the violation is not corrected, or a

written response to the notice of violation is not made within

15 days following receipt ~f the notice of violation, the

Gaming Office may take one or more of the following actions:

1. suspend or revoke the license of the person or

entity to whom the notice of violation was

directed;

2. assess a civil penalty in accordance with the

provisions of this Ordinance;

3. forcibly eject the violator from the premises

of the Gaming Facility;

4. seize the Gaming Facility and all equipment,

records, and proceeds of Gaming Activities

located within the Gaming Facility; or

53
5. upon consultation with the Nations Attorney

General, initiate in the Judicial Court of the

Tohono Oodham Nation a civil action or

criminal complaint to enforce the Ordinance,

regulations of the Gaming Office, the Compact

or the Act.

(d) Each person or entity to whom a notice of violation

is issued shall submit a written response to the Gaming Office

together with any additional written information the person

believes the Gaming Office should consider. Such response and

supporting documentation must be received by the Gaming Office

within 15 days of the receipt of the notice of violation.

Upon receipt of the written response, the Gaming Office shall

issue a written decision within 15 days. Such written

decision shall constitute final action of the Gaming Office

with respect to such notice of violation. No action to

enforce the notice of violation shall be taken by the Gaming

Office until the Gaming Office issues its written decision;

provided that, the Gaming Office may summarily suspend any

license issued under this Ordinance or take such other

immediate action if the continued licensing of, or conduct by,

a person or entity constitutes an immediate threat to the

public health, safety or welfare. The notice of violation is

the final action of the Gaming Office if no written response

54
to the notice of violation is submitted to the Gaming Office

within the time prescribed in Section 1202(b) (6).

Section 1203. Investigation of Complaints

(a) The Gaming Office shall investigate all sworn

complaints that are filed with the Gaming Office alleging that

a licensee is acting in violation of the terms of any license,

or a Gaming Facility is not being maintained in accordance

with the terms of any license or does not adequately protect

the health, safety and welfare of the employees or patrons.

(b) The Gaming Office shall give written notice of and

provide a copy of the swor~i complaint to the licens~e. The

licensee shall file with the Gaming Office a written reply to

the complaint within 15 days of receipt of the notice and

complaint.

(c) Following receipt of the licensees response to the

complaint, the Gaming Office shall cause a full investigation

to be made of the allegations. If the Gaming Office

determines that a violation of the Ordinance, the Compact or

the Act has~ occurred or is occurring, the Executive Director

shall issue a notice of violation in accordance with the

provisions of this Chapter.

55
Section i.204. Judicial Review

(a) Any person or entity who has been issued a notice o:~

violation by the Executive Director of the Gaming Office and

who has submitted a written response to the Gaming Office in

compliance with the provisions of Section 1202(d) of this

Chapter, may apply to the Judicial Court of the Tohono Oodham

Nation for review of such notice of violation. Any applicant

for a license under this Ordinance, any person or entity

licensed pursuant to this Ordinance, and any patron of a

Gaming Operation may apply to the Judicial Court of the Tohono

Oodham Nation for review of a final action of the Gaming

Office.

(b) Any such application for court review must be made

within 15 days of receipt of notice of the final action of the

Gaming Office. The person or entity requesting judicial

review shall be the moving party and shall have the burden of

proof by clear and convincing evidence.

(C) The reviewing court shall decide all relevant

questions of law presented, interpret constitutional and

statutory provisions, and determine the basis for the action

of the Gaming Office. The reviewing court shall uphold the

action of the Gaming Office unless the court determines that

such action was:

56
arbitrary, capricious, an abuse of discretion,

or otherwise not in accordance with law;

2. contrary to constitutional right, power,

privilege, or inununity;

3. in excess of statutory jurisdiction,

authority, or limitations, or in violation of

statutory right;

4. without obs~~rvance of procedure required by

law; or

5. unsupported by substantial evidence.

Chapter 13: Gaming Operation.

Section 1301. Scope of Permissible Gaming The Gaming

Activities permitted to be conducted in a licensed Gaming Facility

are those which may lawfully be carried on by the Nation within the

State under applicable provisions of federal law including, but not

limited to, the Act, subject to any limitations which may be

imposed by the Compact and this Ordinance.

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Section 1302. Hours, Days~ Other Standards Consistent with

the provisions of the Compact, the Gaming Office may by regulation

establish the permissible hours and days of operation of Gaming

Activities. The regulations may authorize a licensed Gaining

Facility to remain open and conduct Gaming Activities twentyfour

hours a day, seven days a week. The Gaining Office may also, by

regulation, establish other standards of operation for such

facilities, as the Gaming Office deems appropriate.

Section 1303. Employee and Player Age Limit No person under

18 years of age shall be permitted to place any wager, directly or

indirectly, in any Gaming Activity. No person under 18 years of

age shall be employed by a Gaming Facility Operator or by the

Gaming Office. No person under 21 years of age shall be employed

in the service of alcoholic beverages at any Gaming Facility,

unless otherwise permitted under State law. The Gaming Office

shall by regulation establish measures by which licensees shall

enforce the provisions of this section.

Section 1304. Management; Security

(a) The Gaming Facility Operator shall have the

responsibility for the onsite operation, management and

security of the Gaming Facility, and shall comply with all

requirements of this Ordinance, the Compact and the Act. The

Gaming Facility Operator shall adopt reasonable procedures,

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consistent with this Ordinance, the Compact and the Act,

designed to provide for the following: the physical safety of

its employees; the physical safety of patrons in the Gaming

Facility; the physical safeguarding of assets transported to

and from the Gaming Facility and cashiers cage department;

and the protection of the patrons and the Gaining Operations

property from illegal activity.

(b) The Gaming Facility Operator shall pay to the State

Gaming Agency the Gaming Device assessment required under the

Compact.

(C) The Gaming Facility Operator shall designate an

agent for service of any official determination, order or

notice of the Commission.

Section 1305. Internal Controls

(a) The Gaming Office shall by regulation establish

minimum standards of interiAal controls to be in place at each

licensed Gaming Facility, which shall include systems of

accounting and administrative controls. Internal controls

include the plan of organization and all of the coordinate

methods and measures adopted within a Gaming Operation to

safeguard its assets, check the accuracy and reliability of

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its accounting data, promote operational efficiency and

encourage adherence to prescribed managerial policies.

(b) The system of accounting controls shall provide a

plan of organization and a description of procedures and

records that will permit reasonable assurance that the

following objectives will be maintained:

1. safeguarding of assets;

2. reliability of financial records;

3. execution of transactions in accordance

with managements general or specific

authorization;

4. recording of transactions as necessary to

permit recording of gaming revenue and to

maintain accountability for assets;

5. access to assets only in accordance with

managements authorization;

6. comparison of records of assets with

existing assets at reasonable intervals

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with provision for appropriate action

with respect to any differences.

(c) The system of administrative controls shall include

a complete plan of organization that will provide appropriate

segregation of functional responsibilities and sound practices

to be followed in the performance of those duties by competent

and qualified personnel. The plan of organization shall be

diagrammatic and narrative describing the interrelationship of

functions and the division of responsibilities upon which the

system of internal control relative to gaming operations is

based.

(d) Upon written notice to the Gaming Office, the

licensee may effectuate any material change in the internal

control system it determines appropriate, but if the Gaming

Office notifies the licensee in writing that such change is

rejected, within thirty days ~f receiving such notice of

rejection, the licensee shall return to the previous system.

The written decision of the Gaming Office shall constitute

final action of the Gaming Office.

(e) The system of accounting controls shall include a

detailed system for counting cash receipts at least daily, and

shall be appropriate to the types of Gaming Activities carried

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on at the facility and the physical characteristics of the

system utilized for collecting cash.

(f) The Gaining Office shall require that all bank

accounts maintained by the operators of the Gaming Facility

shall be identified by bank and account number and that all

signatories to such accounts be identified by name.

Section 1306. Annual Independent Audit

(a) Each licensed Gaming Facility Operator shall provide

at its own expense an audited financial statement for its

licensed Gaming Facilities to the Gaining Office at least

annually, on a date to be established by the Gaming Office,

and at such other times as the Gaming Office may require.

(b) The audit shall be conducted by an independent

certified public accountant licensed in the State of Arizona,

who shall submit an audit report expressing an unqualified or

qualified opinion or, if appropriate, disclaim an opinion on

the statement taken as a whole in accordance with generally

accepted auditing standards of the accounting profession. The

examination and audit shall disclose whether the accounts,

records, and internal controls and accounting procedures

maintained by the licensed Gaming Facility are in compliance

with this Ordinance, the Compact, and the Act. To facilitate

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the completion of such audits, each licensed Gaming Facility

Operator shall make and maintain complete, accurate and

legible records of all transactions pertaining to any Gaming

Activities and any other revenue producing activities

conducted by the licensee at or in conjunction with any

licensed Gaming Facility. Such records as well as all

original entry transaction records shall be maintained for at

least five years from the date on which they are made, and

throughout the term of the Compact, during the pendency of any

litigation arising under the Compact, and for one year

following the termination of the Compact. Such records shall

be maintained on the licensed premises or at a location

approved by: the Gaming Office.

(c) Each licensed Gaming Facility Operator shall

maintain general accounting records on a double entry system

of accounting with detailed, supporting subsidiary records

sufficient to furnish the information required for the

standard financial reports to adequately reflect gross income

and expenses related to gaming and subsidiary operations.

(d) The Gaming Office shall from time to time prescribe

a uniform chart of accounts and accounting classifications in

order to assure consistent and effective disclosure of

financial information.

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(e) The Gaming Office, when it deems necessary, may

request additional information from either the licensee, or

its independent accountant through the licensee, regarding

either the financial statements, the audit or both. The

licensee shall provide to the Gaming Office copies of all

letters from the independent accountant to the licensee

regarding internal control matters within thirty days after

receipt by the licensee.

(f) The Gaming Office shall provide copies of all annual

audits of Gaming Activities and licensees to the Commission as

required under the Act, within the time requirements

established by the Commission, and shall cooperate with the

Commission with respect to any additional information

required.

Section 1307. Public Disclosure of Payoffs A schedule of

payoff information as to all Gaming Activities carried on within a

licensed Gaming Facility shall be displayed at all times within the

facility at a location clearly visible to patrons, and shall be

updated regularly.

Section 1308. Patron Disputes

(a) Refusal to Pay Winnings. Whenever the Gaming

Facility Operator refuses payment of alleged winnings to a

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patron, and the Gaming Facility Operator and the patron are

unable to resolve the dispute to the satisfaction of the

patron and if the dispute involves:

1. At least five hundred dollars ($500), the

Gaming Facility Operator shall immediately

notify the Gaming Office; or

2. Less than five hundred dollars ($500), the

Gaming Facility Operator shall inform the

patron of his or her right to request that the

Gaming Office conduct an investigation.

The Gaming Office shall conduct whatever investigation it

deems necessary and shall determine whether payment should be

made.

(b) Notice to Patrons. The Gaming Office shall mail

written notice by certified mail, return receipt requested, to

the Gaming Facility Operator and the patron of its decision

resolving the dispute within 30 days after the date that the

Gaming Office first receives notification from the Gaming

Facility Operator or a request to conduct an investigation

from the patron.

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(c) Effective Date of Decision. The decision of the

Gaming Office is effective on the date it is received by the

aggrieved party as reflected on the return receipt.

(d) Review of Decision. Within 30 days after the date

of receipt of the written decision, the aggrieved party may

file a petition with the Gaming Office requesting a review of

the decision. The Gaming Office may set a hearing on the

matter or may make a decision based solely upon the prior

decision and other documentation provided to it by the patron

and the Gaming Facility Operator. The Gaming Office shall

then issue a written decision and mail it to the parties

pursuant to the procedures set forth in Section 1308(b). The

written decision of the Gaming Office shall be the final

decision of the Gaming Office.

Section 1309. Play by Employees No Primary Management

Official, Key Employee, member or staff of the board of directors

of a Tribal Enterprise, Management Contractor, and no employee of

the Gaming Office shall play or be permitted to play either in

person or through an agent in any Gaming Activity carried on in any

licensed Gaming Facility.

Section 1310. Small Bingo Games and Raffles Any nonprofit

organization, upon proper application to the Gaming Office, may

conduct or operate a small bingo game or raffle within the

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territorial jurisdiction of the Nation, in accordance with

regulations issued by the Gaming Office specifying the manner in

which such games may be conducted, provided that such games shall

at a minimum comply with the following:

(a) the organization conducting the game shall provide

satisfactory evidence to the Gaming Office of its non-profit

status, and no member, director, officer, employee or agent of

the organization shall receive any direct or indirect

pecuniary benefit from the small bingo games or raffles, other

than being able to participate in the games on a basis equal

to that of all other participants;

(b) the organization shall have been in existence

continuously and conducting activities within the Nation for

a period of no less than two years immediately prior to

conducting the games;

(c) the gross receipts from the small bingo game or

raffle shall not exceed $5,000.00 in the aggregate on any

single occasion.

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Chapter 14. Violations and Remedies.

Section 1401. Violations It shall be a violation of this

Ordinance for any person to:

(a) conduct or operate any Gaming Activities within ~he

Nation except as provided in this Ordinance;

(b) receive, distribute, apply or direct any property,

funds, proceeds or other asset of any Gaming Activity to the

benefit of any individual or other person except as authorized

by this Ordinance or by any duly enacted Resolution ~f the

Legislative Council;

(C) tamper with any equipment used in the conduct of

Gaming Activities with the intent to cause any person to win

or lose any wager other than in accordance with the publicly

announced rules of such Gaming Activities;

(d) do any other act in connection with the conduct of

any Gaming Activities with the intent to affect the outcome of

any wager other than in accordance with the publicly announced

rules of such Gaming Activities;

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(e) participate as a player in any Gaming Activities if

such person is prohibited under Section 1309 from

participating in such Gaming Activities; or

(f) participate as a player in any Gaming Activities

while such person is listed as a person barred from the

Nations Gaming Facilities as provided in Section 403(g).

Section 1402. Civil Penaltie~ Any person who violates any

provision of this Ordinance, the Compact, or the Act shall be

subject to civil penalties including exclusion from employment by

a Gaming Faci1ity~ Operator, exclusion from attendance at any Gaming

Facility, exclusion from the Nation if the person is a nonmenther

of the Nation, or a civil fine of not more than $10,000.00 for each

such violation.

Section 1403. Civil Remedi~ The Gaming Office may in the

name of the Nation bring any civil action in the courts of the

Nation to enforce the provisions of this Ordinance, the Compact, or

the Act or to enjoin or otherwise prevent any violation of this

Ordinance, the Compact, or the Act occurring within the territorial

jurisdiction of the Nation.

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Chapter 15: Transition Provisions.

Section 1501. Existing Games Lawful Subject to the

provisions of the Compact and no~withstanding any other provision

of this Ordinance, any Gaming Facilities otherwise legally situated

within the Nation, and Gaming Activities carried on at such

facilities as of the date on which this Ordinance becomes

effective, shall be lawful until the day that is 120 days after the

date on which applications for licenses of such facilities and

personnel are due to be submitted to the Gaming Office established

hereunder; provided, that the Gaming Office may, upon application

by a Gaming Facility Operator, extend such period to permit proper

processing of any duly filed application.

Section 2.502. Repeal of Prior Ordinances and Resolutions

Upon enactment of this Ordinance, Ordinance 12-82 (referred to as

the Bingo Ordinance), as amended by Resolutions 06-85 and 92006,

and any other Resolutions or Ordinances of the Nation which are

inconsistent with this Ordinance, are hereby repealed. Resolution

92-007 (Amending Chapter 15 of the Nations Criminal Code) shall be

amended consistent with the provisions of this Ordinance.

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Chapter 16. Amendments.

Section 16O1.~ Amendments This Ordinance may be amended by

action of the Legislative Council.

Chapter 17. Compliance with the Compact and the Act.

Section 1701. Compliance with the Compact and the Act All

Gaming Activities conducted pursuant to this Ordinance shall comply

with the terms and conditions of the Compact and the Act.

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