(i) The Tribal Chairperson shall execute the
Memorandum of Understanding ("MOU") furnished by
the Commission governing the treatment of
fingerprints.

(ii) The Tribal Gaming Commission shall notify
the National Indian Gaming Commission that the Del
Norte County Sheriff’s Department ("Department")
will be taking the fingerprints for the Tribe and
shall notify the National Indian Gaming Commission
of the currently designated contact person at the
Department.

(i111) The Tribal Gaming Commission shall provide
the National Indian Gaming Commission with current
and periodically update lists of individuals whose
fingerprint cards the National Indian Gaming
Commission will be receiving from the Department
and shall pay the National Indian Gaming
Commission’s established fees for processing the
cards. The lists should also contain the Social
Security Number and the date of birth of each
listed individual and the name of the law
enforcement agency/office taking the fingerprints.

(iv) Once fingerprints have been taken, the
agency taking the prints should forward the
completed cards directly to the National Indian
Gaming Commission. The National Indian Gaming
Commission will process only those cards received
directly from a law enforcement agency.

(v) Upon receipt of the FBI report forward by
the National Indian Gaming Commission, the Tribe
will complete the background investigation.

3. Eligibility Determination.

The Tribal Gaming Committee shall review a person’s
prior activities, criminal record, if any, reputation,
habits and associations to make a finding concerning the
eligibility of a key employee or primary management
official for employment in a gaming facility. If the
Tribal Gaming Committee determines that employment of
the person poses a threat to the public interest or to
the effective regulation of gaming, or creates or
enhances dangers of unsuitable, unfair, or illegal
practices and methods and activities in the conduct of
gaming, a tribal gaming facility shall not employ that
person in a key employee or primary management official
position, or issue a license to that employee.

10


ORDINANCE NO. 94-101

ORDINANCE OF THE SMITH RIVER RANCHERTA
ADOPTING GAMING ORDINANCE FOR THE RANCHERIA

Findings.

1. The Smith River Rancheria of California ("Tribe") is
federally recognized, exercising jurisdiction over all lands
owned by the Tribe or the United States for the benefit of the
Tribe.

2. The Council of the Smith River Rancheria ("Tribal
Council") is the Rancheria’s governing body, (Art. III, Sec. 1,
Constitution, Smith River Rancheria).

3. Through the adoption of ordinances, the Tribal Council
has the authority to administer all Smith River assets and
economic affairs pursuant to Article IV, Section 1 (J) of the
Smith River Rancheria Constitution.

4. Gaming as authorized by the Indian Gaming Regulatory
Act will provide funds for essential governmental services and
jobs for tribal members. It may also produce capital which the
Tribe can use to further develop its reservation based economy.

5. In order to permit gaming subject to the necessary
controls and promote the health, safety and welfare of its
members, the Tribal Council adopts this ordinance.

NOW, THEREFORE, the Tribal Council of the Smith River
Rancheria hereby ordains as follows:

Section 1. Purpose.

The purpose of this Ordinance is to regulate all Class 2 and
3 gaming activity that occurs within the boundaries of the Smith
River Rancheria.

Section 2. Definitions.

a. “Tribe” means the federally recognized entity known as
the Smith River Rancheria of California as cited in Federal
Register, Volume 53, No. 250, December 29, 1988.

b. "Tribal Council" means the governing body of the Smith
River Rancheria as established by Article III of the Constitution
of the Smith River Rancheria, adopted on December 14, 1993, as
last amended.


customer, the manager and any involved employees. The
Tribal Gaming Commission shall issue a written decision
to the customer within five (5) working days of
receiving the customer’s appeal. The Tribal Gaming
Commission’s written decision shall include a notice
that the customer may appeal the Tribal Gaming
Commission’s decision to the hearing panel appointed by
the Tribal Council in conjunction with the Tribal Gaming
Commission. The written appeal must include all
information the customer wants the hearing panel to
consider in acting on the appeal. The appeal must be
filed within sever (7) days of the date on the Tribal
Gaming Commission’s decision.

Step 4. The hearing panel shall conduct such hearing
on the appeal as it deems appropriate. It may limit its
review to the written appeal and the written decision of
the Tribal Gaming Commission or it may invite the
customer to present written testimony and it may receive
testimony from the involved employees. Tribal Gaming
Commission, based on the recommendation of the hearing
panel, shall issue a written decision which shall be
final.

All written notices and decisions shall be sent by
regular first class mail to the customer at the address
furnished by the customer. The time limits for
complainants shall be calculated from the date appearing
on the notices or decisions, provided these items are
mailed on that date. The time limits for tribal
officials shall be calculated from the postmarks
appearing on the envelops containing the appeals.

Section 14. Designation of Agent for Service of Process.

The Smith River Rancheria hereby designates its
Chairperson as its agent for service of any official
determination, order, or notice of violation by the
National Indian Gaming Commission. The Rancheria shall
notify the Commission of the name, address and phone and
fax numbers of the current Chairperson.

14


Section 13. Tribal Gaming Commission.

The purpose of the Tribal Gaming Commission shall be to
oversee and regulate the gaming facility under the guidance
and direction of the Tribal council.

The Tribal Gaming Commission shall remain in full force and
effect for the duration of the Gaming facility.

The Tribal Gaming Commission shall be responsible for the

following:
1. Licenses for Key Employees and Primary

Management Officials.
a. Licensing requirement. The Tribal Gaming Commission

shall cause to be licensed all key employees and primary
management officials working in a gaming facility. No
person shall hold a position as a key employee or
management official for more than ninety (90) days
without having been issued a license under this Section.

b. Application forms.

(1) All key employees and management officials employed
by the gaming facility on the effective date of this
Ordinance or seeking employment with or hired to work in
the gaming facility after the effective date of this
Ordinance must complete an application for a license
within thirty (30) days of the effective date of this
Ordinance or the date they submit an application for
employment, whichever is later.

(a) The Tribal Gaming Commission may establish a
standard application form which will elicit all of
the information required by Section 13, 2(a).

(bp) The Tribal Gaming commission May establish a
fee for the cost of processing an application for
employment and/or a license which may include the
cost of processing fingerprints (including the
Commission’s charges for processing fingerprints)
and conducting a background investigation.

(11) The following notice shall be Placed on the
application form for a key employee or a primary
management official before that form is filled out by
an applicant:


i. "Tribal Gaming Commission" shall be a committee
consisting of three (3) or five (5) tribal members appointed by
the Tribal Council.

Jj. "Key Employee” means:

(1) A person who performs one or more of the following
functions:

(a) Bingo Caller;

(b) Money Room Supervisor;

(c) Security Supervisor;

(d) Floor Supervisor /Manager;

(e) Custodian of Gaming Supplies or Cash;
(£) Card Table Supervisor /Manager ;

(g) Pit Boss;

(h) Dealer;

(1) Croupier;

(J) Approver of Credit; or

(k) Custodian of gambling devices including
persons with access to cash and records
within devices;

(2) If not otherwise included, the four most highly
compensated persons in the gaming operation; or

(3) If not otherwise included, any other person
employed in the gaming facility whose total
compensation is in excess of $50,000 per year;

k. “Primary Management Official" means:

(1) The person having management responsibility for a
management contract; and

(2) Any person who has authority:

(a) To hire and fire employees;
(b) To set up working policy for the gaming
operation.

(3) The chief financial officer or other person who
has financial management responsibility.

Section 3. Consistency.

All provisions of this Ordinance shall be interpreted,
whenever possible, to be consistent with the Indian Gaming
Regulatory Act. ("IGA"; 25 U.S.C. Sec. 2701-2721.)


c. “Gaming” means Class 2 Gaming and Class 3 Gaming (but
only if Class 3 Gaming is authorized by a compact between the
Tribe and the State of California).

dad. “Class 1 Gaming” means social games solely for prizes of
minimal value or traditional forms of Indian gaming as part of
Tribal ceremonies or celebrations.

e. "Class 2 Gaming” means:

(1) The games of chance known as bingo or lotto
whether or not electronic, computer, or other
technological aids are used in connection therewith,
which are played for prizes, including monetary prizes,
with cards bearing numbered or designated, are drawn or
electronically determined and the game is won by the
first person covering a previously designated
arrangement of numbers or designations on such cards;

(2) If played in the same location as bingo, pull-
tabs, punch board, tip jars, instant bingo, and other
games similar to bingo;

(3) Non-banking card games that are:

1. Explicitly authorized by the laws of the
State; or

ii. Not explicitly prohibited by the laws of the
State and played at any location in the State, but
only if such card games are played in conformity
with laws and regulations of the State regarding
hours or periods of operation of such card games
or limitation on wagers or pot sizes in such card
games;

(4) Class 2 gaming does not include baccarat,
blackjack, or electronic or electromechanical facsimiles
of any game of chance or slot machines of any kind.

f. “Class 3 Gaming” means all forms of gaming that are not
class 1 gaming or Class 2 gaming.

g. “Gaming facility” means a facility owned by the Tribe
for the purpose of conducting gaming, and any other such facility
Operated or licensed by the Tribe and located on the Smith River
Rancheria.

h. "Commission" means the National Indian Gaming
Commission.


CERTIFICATION

We, the undersigned duly elected officials of the Smith
River Rancheria, do hereby certify that the foregoing Ordinance
was adopted on September 8, 1994, at a duly called meeting of the
Tribal council for the Smith River Rancheria with a quorum
present by a vote of (6) For, (@) Against, (1) Abstaining and (0)
Absent.

THIS ORDINANCE WAS REVISED AND AMENDED MAY 30, 1995.

> Kemmn L—~ May 30, 1995

ren Bommelyn Date
Tribal Chairman

May _ 30, 1995

Barbara J. Ful Date

Tribal Secretary

LB: BUF :m1t

15


Section 9. Enforcement and Public Safety.

The Tribal council shall adopt such additional rules and
regulations and take or authorize such enforcement actions as it
deems necessary to ensure full compliance with the provisions of
this Ordinance. The Tribal Council is hereby authorized to
cooperate with local, state, and federal law enforcement
officials to the extent deemed necessary by the Tribal Council to
ensure that Class 2 or Class 3 gaming complies with all
applicable laws and that persons engaged in gaming do not commit
any illegal acts that could endanger persons or property.

Section 10. Investment and Management Contract.

a. The terms of any gaming management contract shall not
contravene any provision of the IGRA.

No gaming management contract may be assigned without the
prior written approval of the Tribal Council. Such approval may
be withheld without any reason given.

b. A Management Agreement and any amendments to a
Management Agreement must be approved by the Tribal council
in accordance with its authority under Article Iv, Sec. 1
(b) of the Constitution of the Smith River Rancheria.

Section 11. Preference.

Any management and investment gaming contracts must make
provision for the preferential hiring of Smith river Rancheria
members, followed by a preference of tribal member non-member
married spouses, followed by American Indian people from the
Smith River and surrounding areas for jobs in the construction
and operation of any gaming facilities or activities.

Section 12. Scope and Licensing.

Class 2 and Class 3 gaming are covered by the provisions of
this Ordinance.

(1) A separate license for each gaming place, facility
or location on Smith River Rancheria lands is required
where Class 2 or Class 3 gaming is conducted or occurs.

(2) Class 3 gaming will only be authorized, if it is
conducted in accordance with an approved Class 3 gaming
compact between the Tribe and the State of California.


> NATIONAL
_ INDIAN
-GAMING

Commission
AUG 25 1995

Loren Bommelyn, Chairman
Smith River Rancheria

P.O. Box 239

Smith River, CA 95567-0239

Dear Chairman Bommelyn:
.

This letter responds to your request to review and approve
the tribal gaming ordinance, Ordinance No. 94-101, adopted on May
30, 1995, by the Smith River Rancheria (Tribe). This letter
constitutes such approval under the Indian Gaming Regulatory Act
(IGRA) .

Under the IGRA and the regulations of the National Indian
Gaming Commission (NIGC), the Chairman is directed to review
ordinances with respect to the requirements of the IGRA and the
implementing regulations. Thus, the scope of the Chairman's
review and approval is limited to the requirements of the IGRA
and the NIGC regulations. Provisions other than those required
under the IGRA or the NIGC regulations that may be included in a
tribal ordinance are not subject to review and approval. Also,
such approval does not constitute approval of specific games. It
is important to note that the gaming ordinance is approved for
gaming only on Indian lands as defined in the IGRA.

With the Chairman’s approval of the Tribe’s gaming
ordinance, the Tribe is now required to conduct background
investigations on its key employees and primary management
officials. The NIGC expects to receive a completed application
for each key employee and primary management official pursuant to
25 C.F.R. § 556.5(a) and an investigative report on each
background investigation before issuing a license to a key
employee or primary management official pursuant to 25 C.F.R.

§ 556.5(b).

Thank you for submitting the ordinance of the Smith River
Rancheria for review and approval. The NIGC staff and I look
forward to working with you and the Tribe in implementing the
IGRA.

Sincerely yours,

Chairman

CURSO M STRIDE FW SUITE 0 Sue. EIUGTOR.

aT



(v)

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.)

The Tribal Gaming Commission shall notify in

writing existing key employees and primary management
officials that they shall either:

(a) Complete a new application form that contains
a notice regarding false statements; or

(b) Sign a statement that contains the notice
regarding false statements.

Background Investigations.

(a)

The Tribal Gaming Commission shall request from

each primary management official and from each key
employee all of 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);

(11) Currently and for the previous five (5) years:
business and employment positions held, ownership
interests in those businesses, business and
residence addresses, and drivers license numbers;

(141) 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 under
paragraph (a) (ii) of this Section;

{iv) Current business and residence telephone
numbers ;

(v) A description of any existing and previous
business relationships with Indian Tribes,
including ownership interests in those businesses;

(vi) A description of any existing and previous
business relationships with the gaming industry

generally, including ownership interest in those
businesses;


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. Sec. 2701 et 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 Commission members and staff who have
need for the information in the
performance of their official duties.
The information may be disclosed to
appropriate Federal, Tribal, State,
Local, or foreign law enforcement and
regulatory agencies when relevant to
civil, criminal or regulatory
investigations or prosecutions or when
pursuant to a requirement by a Tribe or
the Commission in connection with the
hiring or firing of an employee, the
issuance or revocation of a gaming
license, or investigations of activities
while associated with a Tribe or a
gaming operation. Failure to consent to
the disclosures indicated in this notice
will result in a Tribe’s being unable to
hire you in a primary management
official or key employee position.

The disclosure of your Social Security Number (SSN) is
voluntary. However, failure to supply a SSN may result
in errors in processing your application.

(iii) Existing key employees and primary management
officials shall be notified in writing that they shall
either:

(a) Complete a new application form that contains
a Privacy Act notice; or

(b) Sign a statement that contains the Privacy
Act notice and consent to the routine uses
described in that notice.

(iv) The following notice shall be place on the
application form for a key employee or a primary
official before that form is filled out by an
applicant:


Section 4. Objectives.

The objective of gaming activities on the Smith River
Rancheria is to create employment and to generate income that
promotes self-sufficiency, self-determination and the general
well being of the membership of the Smith River Rancheria.

Section 5. Permissible Use of Net Revenues.

a. To fund Rancheria government operations or programs;
b. To provide for the general welfare and the
enhancement of the Smith River Rancheria and its
members;

¢c. To promote Smith River Rancheria economic
development;

d. To give to charitable organizations.

Section 6. Proprietary Interest.

The Smith River Rancheria shall have the sole proprietary
interest and responsibility for the conduct of all gaming
activities.

It shall be unlawful for any person, organization or other
legal entity, other than the tribe itself, to conduct gaming
activities on the Rancheria.

Section 7. Audits.

The Tribal council shall contract with a qualified Certified
Public Accountant ("CPA") or firm of CPAs to conduct annual
independent audits of all Class 2 or 3 gaming conducted on tribal
lands. -It will furnish a copy of the audit to the Commission and
also to any Smith River Rancheria member who requests a copy.

All contracts for service, supplies or concessions to gaming
facilities for a contract amount in excess of $25,000 annually
(except contracts for professional legal or accounting services),
shall be subject annually to independent audit by a CPA or firm
of CPAs engaged by the Tribal Council.

Section 8. Construction and Maintenance of Gaming
Facility.

a. The construction, maintenance and operation of the
gaming facility will be conducted in a manner which
adequately protects the environment, public health and
safety.


Section 11.

Section 12.

Section 13.

Preference. . . .

Scope and Licensing . .

Tribal Gaming Commissio

1. Licenses for Key Employees an
ment Officials. ......,

a.
b.

Licensing Requirements. .
Application Forms ...

2. Background Investigations ..

3. Eligibility Determination . .

4. Report to the National Indian

5. Granting a Gaming License . .

6. License Suspension. . ....,

7.  Public/Patron Disputes. . ..

Section 14.

Designation of Agent for Service of

Process ......,.,

n

Gaming Commission

CERTIFICATION

dq Primary Manage-

. 5
6 - 13

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oe 6
+ 6-8
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- + .10
ee ll
- + .ll
+ 212

. 13
- + - 14
15


4.

Report to the National Indian Gaming Commission.

(a) Within sixty (60) days after an employee begins
work for the gaming facility or within sixty (60) days
of the effective date of this Ordinance, whichever is
later, the Tribal Gaming Committee shall prepare and
forward to the National indian Gaming Commission an
investigative report on each background investigation.
An investigative report shall include all of the
following:

(i) Steps taken in conducting a background
investigation;

(ii) Results obtained;
(i111) Conclusions reached; and
(iv) The basis for those conclusions.

(bp) The Tribal Gaming committee shall submit, with the
report, a copy of the eligibility determination made
under subsection 3. of this section.

(c) If a license is not insured to an applicant, the
Tribal Gaming Commission:

(1) Shall notify the National Indian Gaming
Commission; and

(11) May forward copies of its eligibility
determination and investigative report (if any) to
the National Indian Gaming Commission for inclusion
in the Indian Gaming Individuals Records System.

With respect to key employees and primary management
officials, the Tribal Gaming Commission shall retain
applications for employment and reports (if any) of
background investigations for inspection by the Chairman
of the National Indian Gaming Commission on his or her
designee for no less than three (3) years from the date
of termination of employment.

Granting a Gaming License.

(a) If, within a thirty (30) day period after the
National Indian Gaming Commission receives a report, the
National Indian Gaming Commission notifies the Tribal
Gaming Committee that it has no objection to issuance of
a license pursuant to a license application filed by a
key employee or a primary management official for whom

11


and may cross-examine any other witnesses testifying at
the hearing. The hearing panel shall base its decision
exclusively on the evidence presented at the hearing and
may uphold, modify or reverse the proposed revocation.
The Tribal Gaming Commission shall issue a written
decision, based on the recommendation of the hearing
panel, and serve a copy on the licensee.

Public/Patron Disputes.

If any customer or member of the general public has a

dispute with the manager of a gaming facility or the Tribe,
it shall be resolved using the following procedure.

Any gaming facility manager and the Tribal Gaming

Commission must endeavor to resolve disputes at the lowest
level of management possible. Toward that end, any dispute
involving gaming must be presented using a multi step
process.

Step 1. If a patron has a complaint involving the
conduct of a game or his or her treatment at the
facility, he or she must discuss the matter with the
employee involved in the incident. The employee must
listen carefully and courteously to the patron’s
complaint. All employees shall receive training in
customer relations. If the employee fails to resolve
the complaint to the customer’s satisfaction or lacks
the authority to remedy the complaint, he or she shall
immediately contact his or her immediate supervisor, if
available, or the floor manager.

Step 2. If the supervisor or floor manager fails to
resolve the dispute to the customer’s satisfaction or
lacks the authority to remedy the complaint, he or she
shall refer the complaint to the gaming facility
manager. The supervisor or floor manager shall also
notify security. If a customer is referred to the
gaming facility manager, the gaming facility manager
shall interview the customer and, if necessary, the
involved employee (s) and shall make a decision within a
reasonable time, not to exceed, five (5) days. The
manager shall obtain the customer’s name, address and
telephone number. The manager shall notify the
customer that if her or she remains dissatisfied, he or
she can request in writing review by the Tribal Gaming
Commission within seven (7) days of the manager’s
decision.

Step 3. The Tribal Gaming Commission shall review the
customer’s written appeal and may interview the

13


Section

Section

Section

Section

Section

Section

Section

Section

Section

Section

1.

5.

6.

7.

10.

SMITH RIVER RANCHERIA

GAMING ORDINANCE

ORDINANCE NO. 94-101

TABLE OF CONTENTS
Findings
Purpose... ....., ry
Definitions .......,,, eee ee
Consistency... .....,, soe ee ee
Objectives. i
Permissible Use of Net Revenues... ..
Proprietary Interest. .... ce ee ee
Audits... 2... LL, soe ee we

Construction and Maintenance of Gaming
Facility... 2... 2... coe ee

Enforcement and Public Safety...

Investment and Management Contract.


SMITH RIVER RANCHERIA-

GAMING ORDINANCE

ORDINANCE NO.

94-101


(b)

(vil) The name and address of any licensing or
regulatory agency with which the person has filed
an application for a license or permit related to
gaming, whether or not such license or permit was
granted;

(viii) For each felony for which there is an on
going prosecution or a conviction, the charge, the
name and address of the court involved, the date
and disposition, if any;

(ix) For each misdemeanor conviction or ongoing
misdemeanor prosecution (excluding minor traffic
violations), within 1@ years of the date of the
application, the name and address of the court
involved and the date and disposition;

(xX) For each criminal charge (excluding minor
traffic charges), whether or not there is a
conviction, if such criminal charge is within 10
years of the date of the application and is not
otherwise listed pursuant to paragraph (a) (viii)
or (a) (ix) of this section, the criminal charge,
the name and address of the court involved and the
date and disposition.

(x1) The name and address of any licensing or
regulatory agency with which the person has filed
an application for an occupational license or
permit, whether or not such license or permit was
granted;

(xii) A current photograph;

(xiii) Any other information the Tribe deems
relevant; and

(xiv) Fingerprints consistent with procedures
adopted by the Tribe according to 25 C.F.R. Sec
522.2 (h).

The Tribal Gaming Commission shall conduct an

investigation sufficient to make a determination under
subsection (iv) below. in conducting a background
investigation, the Tribe or its agent shall promise to
keep confidential the identity of each person
interviewed in the course of the investigation.

(c)

In conducting its investigation, the Tribe shall

take the following steps to process fingerprint cards of
applicants for employment in a gaming facility and for a
license as a key employee or management official:


the Tribal Gaming Committee has provided an application
and investigative report to the National Indian Gaming
Commission, the Tribe may issue a license to such
applicant.

(b) The Tribal Gaming Commission shall respond to a
request for additional information from the Chairman of
the National Indian Gaming Commission concerning a key
employee or a primary management official who is the
subject of a report. Such a request shall suspend the
30-day period under paragraph (a) of this section until
the Chairman of the National Indian Gaming Commission
receives the additional information.

(c) If, within the (30) day period described above, the
National Indian Gaming Commission provides the Tribal
Gaming Commission with a statement itemizing objections
to the issuance of a license to a key employee or to a
primary management official for whom the Tribe has
provided an application and investigative report to the
National Indian Gaming Commission, the Tribal Gaming
Commission shall reconsider the application, taking into
account the objections itemized by the National Indian
Gaming Commission. The Tribal Gaming Commission shall
make the final decision whether to issue a license to
such applicant.

License Suspension.

(a) If, after the issuance of a gaming license, the
Tribal Gaming Commission receives from the National
Indian Gaming Commission reliable information indicating
that a key employee or a primary management official is
not eligible for employment under Section 13, 3 above,
the Tribal Gaming Commission shall suspend such license
and shall notify in writing the licensee of the
suspension and the proposed revocation.

(bo) The Tribal Gaming Commission shall notify the
licensee of a time and a place for a hearing on the
proposed revocation of a license. The hearing shall be
conducted by a hearing panel of three persons appointed
by the Tribal Council in conjunction with the Tribal
Gaming Commission. The licensee shall be given not less
than ten (10) days prior notice of the date, time and
location of the hearing. The licensee shall have the
right to be represented at the hearing. The technical
rules of evidence shall not apply and any evidence of
the type relied upon by reasonable men in the conduct of
serious affairs may be considered by the hearing panel.
The licensee may present testimony and other evidence

12