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SAN FELIP~ PUEBLO CLASS II AND CLASS III GANING ORDINANCE

Ordinance No. 94-

TABLE OF CONTENTS

I. SHORT TITLE 1

II. PURPOSE 1

III. GAMING AUTHORIZED 1

IV. OWNERSHIP OF GAMING 1

V. USE OF GAMING REVENUE 2

VI. AUDIT 2

VII. PROTECTION OF THE ENVIRONMENT, PUBLIC HEALTH & SAFETY . 2

VIII.MANAGEMENT 2

IX. LICENSES FOR KEY EMPLOYEES AND PRIMARY ~1ANAGEMENT

OFFICIALS 3

A. Definitions 3

B. Application Forms 4

C. Background Investigations/Fingerprint Processing . 4

D. Eligibility Determination 6

E. Procedures for Forwarding ADp1ica~ions to NIGC . .

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F. Report to NIGC 7

G. Granting a Gaming License 8

H. License Suspension 8

X. LICENSE LOCATIONS 9

XI. REPEAL 9
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PUEBLO OF SAN FELIPE

ORDINANCE NO. 94-

WHEREAS, the Pueblo of San Felipe wishes to enter the gaming business in

order to provide revenue for the people and government of the San Felipe

Pueblo;

NOW THEREFORE BE IT RESOLVED BY THE GENERAL COtJNCIL OF SAN FELIPE

PUEBLO:

I. SHORT TITLE

This Act shall be cited as the San Felipe Pueblo Class II and

Class III Gaming Ordinance.

II. PURPOSE

The General Council of Sari Felipe Pueblo (hereinafter called the

Council), empowered by San Felipe Pueblo (sometimes referred to as

Pueblo of San Felipe) traditional law to enact ordinances, hereby

enacts this Ordinance to set the terms for Class II and Class III gaming

c~erations on San Felipe Pueblo lands.

III. GAMING AUTHORIZED

Class II gaming as defined in the Indian Gaming Regulatory Act,

P.L. 100-447, 25 U.S.C. Section 2703 (7) (A) and 2703 (8) (IGRA) and

by the regulations promulgated by the National Indian Gaming Commission

(NIGC) at 25 C.F.R. 502.3 (as published in the Federal Register at 57

C.F.R. 12382-12393, April 9, 1992) and Class III gaming as defined in

IGRA, 25 U.S.C. Section 2703 (8) and by the regulations promulgated by

the NIGC at 25 C.F.R. 502.4 are hereby authorized, provided that the

authority for Class III gaming is subject to the execution of a compact

by the Pueblo and the State of New Mexico and approval of such compact

by the Secretary of the Interior or, if the State of New Mexico refuses

to enter into such a compact, the adoction by the U.S. Government of

rules permitting and regulating Class III gaming on Indian lands within

New Mexico.

IV. OWNERSHIP OF GAMING

The Pueblo of San Felipe (which term includes the San Felipe Gaming

Enterprise, an entity wholly-owned by the Pueblo of San Felipe which is

authorized by the General Council to conduct aspects of gaming) shall
have the sole proprietary interest in and responsibility for the conduct

of any gaming operation authorized by this ordinance.

v. USE OF GAMING REVENUE

A. Net revenues from Class II and Class III gaming shall be used

only for the following purposes: 1) to fund San Felipe Pueblo

government operations and programs in accordance with the budge:s

aeproved by the San Felipe Pueblo Council; 2) to provide for the general

welfare of the Pueblo of San Felipe and its members; 3) to promote San

Felice Pueblo economic development; and 4) to protect and preserve the

traditions and culture of San Felipe Pueblo.

B. Net revenues shall not be used to make per capita payments to

San Felipe Pueblo members except in accordance with a plan to allocate

revenues to the purposes permitted by this section V and provided that

such a plan is approved by.the Secretary of the Interior under 25 U.S.C.

2710 (b) (3)

VI. AUDIT

A. The Pueblo of San Felipe shall cause to be conducted annua.iv

an independent audit of gaming operations and shall submit the resulting

audit reports to the NIGC.

B. All gaming-related contracts that result in the purchase of

supplies, services or concessions in excess of $25,000.00 annuaLv,

excect contracts for professional legal and accounting services, s~ail

be scecifically included within the scope of the audit that is described

in subsection A above.

VII. PROTECTION OF THE ENVIRONMENT, PUBLIC HEALTH AND SAFETY

Class II and Class III gaming facilities shall be constructed,

maintained and operated in a manner that adequately protects ~he

environment and the public health and safety.

VIII. MANAGEMENT

A. The Pueblo of San Felipe may enter into a management. contract

with a~ua1ified entity to provide assistance in operating and manacing,

Class II and Class III gaming authorized by this ordinance for a fee in

accordance with 25 U.S.C. 2711.

B. No member of the San Felipe Pueblo government shall be

eligible to participate in any such management contract for a fee either

as a party to the contract or as an employee of the contractor.

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IX. LICENSES FOR KEY EMPLOYEES AND PRIMARY MANAGEMENT OFFICIALS

The Pueblo of San Felipe shall ensure that the policies and

procedures set out in this section are implemented with respect to key

employees and primary management officials employed at any Class II or

Class III gaming enterprise operated on San Felipe Pueblo lands:

A. Definitions

For the purpose of this section, the following definitions apply:

1. Key Employee means:

(a) A person who performs one or more of the following

functions:

(1) Bingo caller;

(2) Counting room supervisor;

(3) Ch-ief of security;

(4) Custodian of gaming supplies or cash;

(5) Floor manager;

(G) Pit boss;

(7) Dealer;

(8) Croupier;

(9) Approver of credit; or

(10) Custcdian of gambling devices including ~ersons

with access to cash and accounting records wi:hin

such devices;

(b) If not otherwise included, any other person whose total

cash compensation is in excess of $50,000 per year; or

(c) If. not otherwise included, the four (4) most highly

compensated persons in the gaming operation.

2. Primary Management Official means:

(a) The person having management responsibility for any

management contract;

(b) Any person who has authority:

(1) To hire and fire employees; or

(2) To set up working policy for the gaming oceraticn

or

(c) The chief financial officer or other person who has

financial management responsibility.

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B. A~olication Forms

1. 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:

In compliance with the Privacy Act of 1974, the following

information is provided: Solicitation of the information on

this form is authorized by 25 U.S.C. 2701 et seq. The purpose

of the requested information is to determine the eligibility

of individuals to be employed in a gaming operation. The

information will be used by the National Indian Gaming

Commission (NIGC) mern.bers and staff who have need for the

information in 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 by the NIGC in connection with the

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

a gaming license, or investigations of activities whi1~

associated with a tribe or a gaming operation. Failure t~

consent to the disclcsures indicated in this notice will

result in the Pueblos 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.

2. The following notice shall be placed on the application form

for a key employee or a primary official before that form is filled out

by an applicant:

A false statement on any part of your application may be

grounds for not hiring ycu, or for firing you after you becin

work. Also, you may be punished by fine or imprisonment.

(U.S. Code, Tit1e~18, section 1001)

C. Backarcund Investiaations/Fince~rint Processinc

1. The Pueblo of San Felipe shall request from each primary

management official and from each key employee all of the fcllowing

information:

a. Full name, other names used (oral or written), social

security number(s), birth date, place of birth,

citizenship, gender, all languages (spoken or written);

b. Currently and for the previcus 5 years: busirie~ and

employment positions held, owrership interests in those

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businesses, business and residence addresses, and

drivers license numbers;

c. The names and current addresses of at least three

personal references, including one personal reference who

was acauainted with the applicant during each period of

residence listed under paragraph (1) (b) of this section;

d. Current business and residence telephone numbers;

e. A description of any existing and previous business

relationships with Indian tribes, including ownership

interests in those businesses;

f. A description of any existing and previous business

relationships with the gaming industry generally,

including ownership interests in those businesses;

g. 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;

h. For each felony for which there is an ongoing prosecution

or a convic:ion, the charge, the name and address of the

court involved, and the date and disposition, if any;

i. For each misdemeanor convictiOn or ongoing misdemeanor

prosecution (excluding minor traffic violations), within

10 years of the date of the application, the name and

address of the court involved and the date and

disposition;

j. 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 1 (h) or 1 (1) of this section, the criminal

charge, the name and address of the court involved and

the date and disposition;

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;

1. A current photograph;

m. Any other information which the Pueblo of Sari Felipe

deems relevant; and

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n. Fingerprints consistent with procedures adopted by the

Pueblo of San Felipe according to 25 C.F.R. 522.2(h).

2. The Pueblo of San Felipe shall conduct an investigation

sufficient to make a determination under subsection D below. In

conducting a background investigation, the Pueblo of San Felipe or its

agent shall promise to keep confidential the identity of each person

interviewed in the course of the investigation.

D. Elicibilitv Determination

1. The Pueblo of San Felipe shall review a persons prior

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

associations to make a finding concerning the eligibility of a key

employee or primary management official for employment in a gaming

operation. If the Pueblo of San Felipe determines that employment of

the person poses a threat to the public interest or 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 San Felipe Pueblo gaming operation shall not employ that

person in a key employee or primary management official position.

2. The San Felioe Gaming Enterprise shall appoint a Director of

Security to conduct the necessary background investigations.

3. The Director of Security shall appoint one or more

investigators to conduct the background investigations. The

investigators shall verify by written or oral communication information

submitted by each applicant. The investigators shall inquire into the

applicants prior activities, criminal record, if any, and reputation,

habits and associations and shall interview a sufficient number of

knowledgeable people such as former employers, personal references, and

others to whom reference may be made in such inquiry in order to provide

a basis for the Director of Security to make a finding concerning the

eligibility for employment in the gaming operation. The investigators

shall document and make notes of the disposition of all potential

problems noted and qualifying information obtained.

4. The Director of Security shall supervise, review and approve

or disapprove the investigative work done by the investigator.

5. The Director of Security shall report the results of the

background investigation to the Governor of San Felipe Pueblo.

6. The Governor of San Felipe Pueblo shall make the final

eligibility determinations. He shall then notify the Board of the

Gaming Enterprise of his decision.

7. The Board of the San Felipe Gaming Enterprise shall .report to

the National Indian Gaming Commission the results of the background

investigation on an Investigaticri Report form setting forth: a) the

steps taken in conducting the background investigation, b) the results

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obtained, c) the conclusions reached, and d) the basis for these

conclusions.

8. The Director of Security shall refer all applicants to the

Governor of the San Felipe Pueblo, who shall be responsible for

obtaining fingerprints. The Governor shall return completed fingerprint

cards directly to the NIGC. Any completed fingerprint cards returned to

the NIGC via any subdivision of the tribe, the San Felipe Gaming

Enterprise or any party other than the Governor shall be invalid for

purposes of determining compliance with the Indian Gaming Regulatory Act

and the NIGC regulations. San Felipe Pueblo appoints the NIGC as the

agency responsible for submitting the fingerprint cards for processing

through the Federal Bureau of Investigation.

9. The Director of Security and any Assistant shall be subject to

the supervision of the Board of the San Felipe Gaming Enterprise.

E. Procedures for ~Forwardinc ADolications and Reoorts for Key

Emolovees and Primary Manacement Officials to the National

Indian Gamma Commission

1. When a key employee or primary management official begins work

at a gaming oceration authorized by this ordinance, the Pueblo of San

Felipe shall forward to the NIGC a completed application for employment

and conduct the background investigation and make the determinadon

referred to in subsection D of this section.

2. The Pueblo of San Felipe shall forward the report referred to

in subsection F of this section to the NIGC within 60 days after an

employee begins work or within 60 days of the approval of this ordinance

by the Chairman of the NIGC.

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

primary rnanagement.official a person who does not have a license after

90 days.

F. Re~ort to the NIGC

1. Pursuant to the procedures set out in subsection E of this

section, the Pueblo of San Felipe shall prepare and forward to the NIGC

an investigative report on each background investigation. An

investigative report shall include all of the following:

a. Steps taken in conducting a background investigation;

b. Results obtained;

c. Conclusions reached; and

d. The bases for those conclusions.

2. The Pueblo of San Felipe shall submit, with the report, a copy

of the eligibility determination made under subsection D of this

section.

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3. If a license is not issued to an applicant, the Pueblo of San

Felipe:

a. Shall notify the NIGC; and

b. May forward copies of its eligibility determination and

investigative report (if any) to the NIGC for inclusion

in the Indian Gaming Individuals Records System.

4. With respect to key employees and primary management

officials, the Pueblo of San Felipe shall retain applications for

employment and reports (if any) of background investigations for

inspection by the Chairman of the NIGC or his or her designee for no

less than three (3) years from the date of termination of employment.

G. Grantina a Gamma License

1. If, within a thirty (30) day period after the NIGC receives a

report, the NIGC notifies the Pueblo of San Felipe that it has no

objection to the issuance of a license pursuant to a license application

filed by a key employee or a primary management official for whom the

Pueblo of San Felipe has provided an application and investigative

report to the ~IGC, the Pueblo of San Felipe may issue a license to such

applicant.

2. The Pueblo of San Felipe shall respond to a reaues~ for

additional information from the Chairman of the NIc-C concerning a key

employee or a primary management official who is the subjec: of a

report. Such a reauest shall suspend the 30-day period under paragraph

G.l of this section until the Chairman of the NIGC receives the

additional information.

3. If, within the thirty (30) day period described above, the

NIGC provides the Pueblo of San Felipe with a statement itemizing

objections to the issuance of a license to a key employee or to a

primary management official for whom the Pueblo of San Felipe has

provided an acclication and investigative report to the NIGC, the Pueblo

of San Felipe shall reconsider the application, taking into acccunt the

objections itemized by the NIGC. The~ Pueblo of San Felipe shall make

the final decision whether to issue a license to such applicant.

H. License Suspension

1. If, after the issuance of a gaming license, the Pueblo of San

Felipe receives from the NIGC reliable information indicating that a key

employee or a primary management official is not eligible for employment

under subsection D above, the Pueblo of San Felipe shall suspend such

license and shall notify in writing the licensee of the susoension and

the proposed revocation.

2. The Pueblo of San Felipe shall notify the licensee of a time

and a place for a hearing on the proposed revocation of a license.

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3. After a revocation hearing, the Pueblo of San Felipe shall

decide to revoke or to reinstate a gaming license. The Pueblo of San

Felipe shall notify the NIGC of its decision.

X. LICENSE LOCATIONS

The Pueblo of San Felipe shall issue a separate license to each

place, facility, or location on San Felipe Pueblo lands where Class II

or Class III gaming is conducted under this ordinance.

XI. REPEAL

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

prior gaming ordinances are hereby repealed, and all of Ordinance No.

93-02 is hereby repealed.

CERTIFICATION

THE FOREGOING SAN FELIPE PUEBLO ORDINANCE NO. 94-22, ENTITLED SAN

FELIPE PUEBLO CLASS II AND CLASS III GAMING ORDINANCE WAS UNANIMOUSLY

ADOPTED AT A DULY CALLED MEETING OF THE SAN FELIPE PUEBLO TRIBAL COUNCIL

HELD ON THE 21 DAY OF July , 1994, AT WHICH A QUORUM WAS PRESENT.

SAN FELIPE PUEBLO TRIBAL COUNCIL

ATTEST:

~ __________

(I ~SE~-~ V. ANCHEZ, ~bVERNOR

r~-. ~ ~6/j e,-~Ø ~

aAYMO)b SANDOVAL, LT. GOVERNOR
I, Joseph V. Sanchez, Governor of the Pueblo of San Felipe,

hereby certify that the attached SAN FELIPE PUEBLO CLASS II GAMING

ORDINANCE is a true and correct copy of the original.

DATED this I I day of August, 1994.

~s2eØ~i V. Safichez, Gover~r

~,Pueblo of San Felipe

/7 SUBSCRIBED AND SWORN to before me this _____

day of

_________________

1994.

Notary Public

My Commission Expires:

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