TESUQUE PUEBLO

ROUTE 11, BOX I

SANTA FE, NEW MEXICO 87501

PUEBLO OF TESUQUE TRIBAL COUNCIL

RESOLUTION NO. 1994-~-J_

Amending Pueblo of Tesuque Gaining Ordinance; Appointing

Agent for Service of Process

WHEREAS:

1. On or about December 16, 1989, the Tribal Council of the Pueblo of

Tesuque adopted a Gaming Ordinance for the Pueblo of Tesuque; and

2. Expansion of gaming activities by the Pueblo of Tesuque, and the

imposition of new requirements by the National Indian Commission, have necessitated

various amendments to the ordinance to provide for proper authorization and regulation

of new and different gaming activities than were contemplated under the original

ordinance, and to add other provisions required by regulations of the Commission; and

3. The Pueblos counsel has drafted amendments to accomplish these

purposes and the Tribal Council has reviewed the proposed amendments and determined

that they should be adopted as part of the Pueblos Gaming Ordinance; and

4. The Pueblo is also required to designate an agent for service of official

communications from the Commission;

NOW, THEREFORE, BE IT RESOLVED, by the Tribal Council of the Pueblo

of Tesuque, that the attached Amendments to the Pueblo of Tesuque Gaming

Ordinance, amending Sections 2, 3, 5, 7, 8, 10 and 11 of that ordinance and adding a new

Section 13, is hereby adopted, and the Gaming Ordinance is hereby amended as set forth

in that Amendment.

AND BE IT FURTHER RESOLVED, that in accordance with the provisions of

25 C.F.R. § 519.1, the Tribal Council hereby formally designates the Governor of the

OFFICE OF THE GOVERNOR

PHONE 983-2667
Pueblo, who at the present time is Paul Swazo, as agent for service of any official

determination, order or notice of violation on the Pueblo by the National Indian Gaming

Commission.

CERTIFICATION

I, the undersigned, as Governor of the Pueblo of Tesuque, hereby certify that the

foregoing Resolution was passed at a duly called meeting held at Tesuque Pueblo, on the

24th day of August, 1994, a quorum being present, and that ____

voted for the

Resolution and that 0 opposed it.

Governor

ATTEST:

Council Member

JRWH8944
AMENDMENTS TO PUEBLO OF TESUOUE GAM1I~G ORDINANCE

The Gaming Ordinance of the Pueblo of Tesuque, adopted on or about December

16, 1989, is hereby amended as follows:

1. Section 2 of the Ordinance, Definitions, is hereby amended by adding

the following additional paragraphs (t), (u) and (v):

(t) Class II gaming means those games described in 25 C.F.R. §

502.3.

(u) Key employee means:

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

functions:

A. Bingo caller;

B. Counting room supervisor;

C. Chief of Security;

D. Custodian of gaming supplies or cash;

E. Floor manager;

F. Pit boss;

G. Dealer;

H. Croupier;

I. Approver of credit; or
J. Custodian of gambling devices including persons with

access to cash and accounting records within such

devices;

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

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

(3) If not otherwise included, the four most highly compensated

persons in the gaming operation.

(v) Primary management official means

(1) The person having management responsibility for a

management contract;

(2) Any person who has authority:

A. To hire and fire employees; or

B. To set up working policy for the gaming operation; or

(3) The chief financial officer or other person who has fmancial

management responsibility.

2. Section 3 of the Ordinance, Purposes, is hereby amended to read as

follows:

SECTION 3. PURPOSES The purposes of this Gaming

Ordinance are to make lawful and to regulate the operation, conduct, and

playing of games of chance on the Reservation so that such games are

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conducted in a fair and honest manner, affording patrons a fair chance to

win in accordance with the nature of the games, and so that revenue may

be generated by such games to fund tribal governmental operations and

programs that promote the health, education and welfare of the Pueblo of

Tesuque and its members and that promote tribal economic development.

3. Section 5 of the Ordinance, Gaming Policy, paragraph (c), is hereby

amended to read as follows:

SECTION 5. GAMING POLICY

(c) Protection of Environment; Integrity of Gaming; Public Health

and Safety The construction and maintenance of any gaming facility, and

the operation and conduct of any and all games of chance under the

provisions of this Ordinance, shall be done in a manner that adequately

protects the environment, protects and enhances the confidence of the

gaming public in the integrity and honesty of the games, and protects the

public health and safety.

4. Section 7 of the Ordinance, License for Operating and Conducting Games

of Chance, is deleted in its entirety and the following is inserted in its place:

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SECTION 5. LICENSES FOR OPERATING AND CONDUCTING

GAMES OF CHANCE

(a) License Required Every Key Employee and Primary Management

Official of the Gaming Enterprise, the Principals of the Management Contractor,

(if the Enterprise is managed under a management contract), Manufacturer or

Supplier of Gaming Devices, and each person providing Gaming Services within

or without a Gaming Facility shall apply for and receive a license from the

Monitor, as required by the provisions of this Section. A separate license shall

be required for each location of a Gaming Facility.

(b) Licens~ Application Each Applicant for a license shall file with

the Monitor a written application in the form prescribed by the Monitor, along

with the Applicants fmgerprint card, current photograph, and the fee required by

the Monitor.

(1) The following notice shall be placed on the application form for a

Key Employee and 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. §~27O1, 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 members and

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staff of the Tesuque Gaming Monitor and the National

Indian Gaming Commission 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

investigation or prosecutions or when, pursuant to a

requirement by a tribe or the National Indian Gaming

Commission, the information is relevant to 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 tribes being unable to hire you in a primary

management official or key employee position with a tribal

gaming enterprise.

The disclosure of your Social Security Number (SSN) is

voluntary. However, failure to supply an SSN may result in

errors in processing your application.

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(2) Existing Key Employees and Primary Management Officials shall

be notified in writing that they shall either:

(A) Complete a new application form that contains the Privacy

Act notice; or

(B) Sign a statement that contains the Privacy Act notice and

consent to the routine uses described in that notice.

(3) The following notice shall be placed on the application form for a

K. y Employee and Primary Management 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 you, or for firing you after you begin

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

See 18 U.S.C. §1001.

(4) The Monitor shall notify existing Key Employees and Primary

Management Officials in writing 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.

(5) Each Applicant shall provide in his or her Application all of the

following information:

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(A) Full name, other names used (oral or written), social security

number(s), birth date, place of birth, citizenship, gender, and all languages spoken or

written;

(B) Current 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; provided that all Applicants for

positions as Primary Management Official, Key Employee, Management Contractor,

Manufacturer and Supplier of Gaming Devices, andlor a person providing Gaming

Services, must provide such information currently and from the age of eighteen;

(C) The names and current addresses of at least three personal

references, including one personal reference who was acquired with the Applicant

during each period of residence listed under paragraph 2(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, and a

description of any potential or actual conflict of interest between such businesses and

Indian tribes;

(F) A description of any existing and previous business

relationships in the gaming industry, including ownership interests in those businesses;

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(G) The name and address of any licensing or regulatory agency

with which the person has filed an application for a license or permit relating to

gaming, whether or not such license or permit was granted;

(H) For each felony charge for which there is an ongoing

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

the court involved, and the disposition, if any;

(I) For each misdemeanor charge for which there is an ongoing

prosecution or a conviction (excluding minor traffic violations), the charge, the date of

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

(J) For each criminal charge (excluding minor traffic charges),

whether or not there is a conviction, if such criminal charge is not otherwise listed

pursuant to paragraph 2(h) or 2(i) of this Section, the criminal charge, the name and

address of the court involved, and the disposition, if any;

(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, as

a Primary Management Official or Key Employee, and whether or not such license or

permit was granted; . -

(L) a current photograph;

(M) Any other information the Monitor deems relevant;

(N) Fingerprints taken by the Tesuque Police Department or the

Bureau of Indian Affairs Law Enforcement Agency; and

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(0) The fee required by the Monitor.

(c) Background Investigations

(1) Upon receipt of a completed Application and the required fee for

licensing, the Monitor shall conduct or cause to be conducted a background

investigation to ensure that the Applicant is qualified for licensing.

(2) The background investigation shall be at least as stringent as is

required by 25 C.F.R. Pt. 556, and shall provide the Monitor with all available

information necessary to the determination required under 25 C.F.R. §558.2. In

particular, the Monitor shall cause a thorough criminal history check to be made of each

Applicant, by having the National Indian Gaming Commission process the Applicants

fmgerprint card through the Federal Bureau of Investigation.

(3) In conducting a background investigation, the Monitor and its

agents shall promise to keep confidential the identity of each person interviewed in the

course of the investigation.

(d) Temporary License Within twenty (20) days of the receipt of a

completed Application for licensing, and upon request of an Applicant, the Monitor may

issue a temporary license to the Applicant unless the background investigation

undertaken discloses that the Applicant has a criminal history, or unless other grounds

sufficient to disqualify the Applicant are apparent on the face of the Application. The

temporary license shall become void and be of no effect upon either (1) the issuance of

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the license; (2) the issuance of a notice of denial; or (3) ninety days after the Licensee

has begun working.

(e) Eligibility Determination The Monitor shall review a persons

prior activities, criminal record, if any, and reputation, habit, and associations to make a

fmding concerning the eligibility of an Applicant, Key Employee or Primary

Management Official of an Applicant, for employment or involvement in a Gaming

Operation. Upon completion of the investigation, the Monitor shall either issue a

license or deny the Application. If the Monitor determines that employment or

involvement of the person or Applicant poses a threat to the public interest or to the

effective regulation of a Gaming Activity, or creates or enhances dangers of unsuitable,

unfair, or illegal practices and methods and activities in the conduct of Gaming

Activities, the Monitor shall deny the Application.

(f) Additional Background Investigations The Monitor retains the

right to conduct additional background investigations of any person required to be

licensed at any time while the license is valid.

(g) Procedures for Forwarding Applications and Reports for Key

Employees and Primary Management Officials to the National Indian Gaming

Commission

(1) When a Key Employee or Primary Management Official begins

work at the Gaming Enterprise, the Monitor shall forward to the National Indian

Gaming Commission a completed application for employment and conduct the

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background investigation and make the determination referred to in subsection (e) of

this Section.

(2) The Monitor shall forward the report referred in subsection (h) of

this Section to the National Indian Gaming Commission within sixty (60) days after an

employee begins work or within sixty (60) days of the approval of this Gaming

Ordinance by the Chairman of the National Indian Gaming Commission.

(3) The Gaming Enterprise shall not employ as a Key Employee or

Primary Management Official a person who does to have a license after ninety (90)

days.

(h) Report to the National Indian Gaming Commission -

(1) Pursuant to the procedures set out in subsection (g) of this Section,

the Monitor 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:

(A) steps taken in conducting the background investigation;

(B) results obtained;

-

(C) conclusions reached; and

(D) the bases for those conclusions.

(2) The Monitor shall submit with the report a copy of the eligibility

determination made under subsection (e) of this Section.

(3) If a license is not issued to an Applicant the Monitor:

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(A) shall notify the National Indian Gaming Commission;

(B) 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.

(4) With respect to the Key Employees or Primary Management

Officials, the Monitor shall retain applications for employment (if any) of background

investigations for inspection by the Chairman of the National Indian Gaming

Commission or his or her designee for no less than three (3) years from the date of

termination of employment.

(i) Granting of a Gaming License

(1) If, within a thirty (30) day period after the National Indian Gaming

Commission receives a report, the National Indian Gaming Commission notified the

Monitor that it has not objection to the issuance of a License pursuant to a license

application and investigative report to the National Indian Gaming Commission, the

Monitor may issue a License to such Applicant.

(2) The Monitor shall respond to a request for additional information

from the Chairman of the National Indian Gaming Commission concerning a Key

Employee or Primary Management Official who is the subject of a report. Such a

request shall suspend the 30-day period under paragraph (i)1 of this Section until the

Chairman of the National Indian Gaming Commission receives the additional

information.

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

Indian Gaming Commission provides the Monitor with a statement itemizing objections

to the issuance of a license to a Key Employee or Primary Management Official for

whom the Commission has provided an application and investigative report to the

National Indian Gaming Commission, the Monitor shall reconsider the Application,

taking into account the objections itemized by the National Indian Gaming Commission

and make a final decision whether to issue a License to such Applicant.

5.(a) Section 8 of the Ordinance, Management Contract, paragraph (a), is

hereby amended to read as follows:

(a) Hiring of Manager The Council may hire and employ a Manager

to manage and direct the day-to-day business affairs of the Gaming Enterprise

established by this Ordinance. The Manager may be hired directly as an

employee of the Tribe, or pursuant to a written contract, but any such contract

must be approved by the Council in accordance with the provisions of this

Section, and must further be approved by the Chairman of the National Indian

Gaming Commission in accordance with the provisions of 25 C.F.R. §53 3.

5.(b) Section 8 of the Ordinance is further amended by adding to paragraph (c)

a new subparagraph (7) that reads as follows:

(7) All other provisions required by 25 C.F.R. §53 1.1.

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6. Section 10 of the Ordinance, Bingo is hereby amended by deleting the

text of that section in its entirety, and inserting the following in its place:

SECTION 10. TESUOUE GAMING ENTERPRISE

(a) Establishment of the Enterprise There is hereby established,

as a wholly owned enterprise of the Pueblo of Tesuque, the Tesuque

Gaming Enterprise, which enterprise shall have the authority to establish,

equip, operate, and maintain gaining operations on premises located at

such places on the reservation as the Council may designate. The Tesuque

Gaming Enterprise shall have the following powers and duties:

(1) To acquire, construct, lease, modify, furnish,

equip and maintain such facilities and premises as the

Enterprise determines are necessary or appropriate for the

operation and conduct of gaming operations in accordance

with this Gaming Ordinance.

(2) To employ, direct, supervise, manage, control,

promote, demote, discharge, fix the compensation of and -

define the powers and duties of such officers and other

employees as the Enterprise determines are required for the

operation and conduct of gaming activities in accordance

with this Gaming Ordinance.

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(3) To operate and conduct gaming activities in

accordance with this Gaming Ordinance, provided that the

Enterprise may conduct any Class II gaming activities it

chooses, but only such Class ifi Gaming activities as are

authorized by a Class ifi Gaming Compact entered into by

and between the Pueblo and the State of New Mexico and

approved by the Secretary of the Interior.

(4) Without in any way limiting or being limited

by the foregoing, to do all other lawful things and perform

all other lawful acts as the Enterprise determines are -

necessary or appropriate for the purpose of operating and

conducting gaming activities, and all other activities

reasonably related thereto, in accordance with this Gaming

Ordinance.

(b) Supervision of Gaming Activities. The Enterprise shall be

under the overall direction of the Council, which shall act as the Board of

Directors of the Enterprise. The day-to-day operations of the Enterprise

shall be under the direction of the Manager, who shall be hired by the

Council in accordance with the provisions of Section 8 of this Ordinance.

The Manager shall hire and supervise the other employees of the

Enterprise, and subject to the guidance and direction of the Council (acting

15
as Board of the Enterprise), shall have and perform all of the powers arid

duties of the Enterprise.

(c) Officer in Charge The Manager shall designate an

employee of the Enterprise to be the Officer in Charge on each day during

which any gaming activities are being conducted by the Enterprise,

provided that no person shall be designated Officer in Charge unless such

person has held a valid gaming license issued by the Monitor under the

provisions of this Ordinance for no fewer than ten (10) days prior to the

date on which such person is designated Officer in Charge. The Officer in

Charge shall have direct responsibility for the operation and conduct of all

gaming activities on that day. The Officer in Charge shall supervise all

activities and shall be present on the premises continuously throughout the

period during which gaming activities are being conducted and for a

period of at least one hour after such activities have been concluded for

the day.

(d) Premises Open to Monitor The premises where any gaming

- -

activities are being conducted or operated hereunder, or where it is

intended that such activities will be operated or conducted, shall at all

times be open to inspection by the Monitor and the Council, and their

agents specifically appointed for any such inspection.

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(e) Provisions Applicable to Bingo The following provisions

shall apply to the conduct of Bingo games at any gaming facility operated

by the Enterprise:

(1) Merchandise Prizes. When any merchandise is

awarded as a prize in a Bingo game, the value of such

merchandise shall be its current retail price. Merchandise

awarded as a prize shall not be redeemable or convertible

into cash, directly or indirectly.

(2) Usual Prices. Equipment, prizes and supplies

for games of chance shall not be purchased or sold at prices

in excess of the usual price thereof.

(3) No Limit on Prizes. There shall be no limit on

the size of the prize offered or given in any Bingo game.

(4) Rules of Play. The equipment used in playing

Bingo and the method of play shall be such that each card

shall have an equal opportunity to win. The objects or baIls

to be drawn shall be essentially the same as to size, shape,

weight, balance and all other characteristics that may

influence their selection. All objects or balls shall be present

in the receptacle before each game has begun. All numbers

or designations drawn shall be announced plainly and

17
clearly, and shall be audible or visible to all the players

present including, where more than one room is used for any

Bingo game, all players present in each room. The

receptacle, the caller, and the person removing the objects or

balls from the receptacle must be visible to all the players at

all times, except that where more than one room is used for

any Bingo game, the receptacle and the caller must be

present in the room where the greatest number of players is

present. The cards or sheets of the players shall be part of a

deck, group, or series of cards, no two of which shall be

alike, and which deck, group, or series shall not be so

prepared or arranged as to prefer any card. The particular

arrangement of numbers or designations required to be

covered in order to win the game and the amount of the

prize shall be plainly and clearly described, and audibly or

visibly announced to the players immediately before each

game has begun.

(5) Players Entitled to Verification. Any player

shall be entitled to call for a verification of all numbers or

designations drawn at the time a winner is determined, and

for a verification of the objects or balls remaining in the

18
receptacle and not yet drawn. The verification shall be made

in the immediate presence of the officer in charge on the

occasion.

(6) Players Required to be Present. Only persons

physically present on the premises where a Bingo game is

actually operated and conducted may participate as players in

the game.

(7) Additional Rules. The Monitor shall have the

authority to promulgate additional rules, not inconsistent

with this Gaming Ordinance, governing Bingo games

conducted hereunder, to protect the players and assure the

fairness of such games.

(f) Provisions Applicable to Class ff1 Gaming Activities The

following provisions shall apply to the conduct of any Class ifi Gaming

activities operated by the Enterprise.

(1) Gaming to be Conducted in Accordance With

Compact. Any and all Class Ill Gaming activities to be

conducted by the Enterprise shall be conducted in

accordance with a Compact entered into between the Pueblo

and the State of New Mexico and approved by the Secretary

of Interior pursuant to the Indian Gaming Regulatory Act, 25

19
U.S.C. §~27O1 et seq., and in the event of any inconsistency

between this Ordinance and such Compact, the Compact

shall control.

(2) Vendor Licensing. Any person, corporation or

other entity that has supplied or proposes to supply any

gaming equipment or devices to the Enterprise for use in

conjunction with any Class III Gaming activity must be

licensed by the Monitor and shall be subject to a full

background investigation in accordance with the provisions

of Section 7 of this Ordinance, and the Monitor shall

prescribe appropriate forms, procedures and standards for

such licensing.

(3) Class III Gaming Rules. The Monitor shall

have the authority to prescribe such rules and procedures to

govern any Class III Gaming authorized to be conducted

under the terms of an approved Tribal/State Class III

Gaming Compact and this Ordinance, and not inconsistent

with the provisions of the Compact or with this Ordinance,

as the Monitor deems reasonable and appropriate.

(g) Employees; Prohibition Against Employees Engaging in

Gaming Any and all persons who operate or conduct or assist in

20
operating or conducting any gaming activity hereunder shall be employees

of the Enterprise and shall wear legible identification tags, issued by the

Monitor, showing their names, and photographs and the name of the

Enterprise. No employee of the Enterprise or the Manager may engage in

any gaming activity conducted by the Enterprise or win any prize or thing

of value from the Enterprise during his or her employment and for a

period of 90 days after the termination of such employment.

(h) Qualifications for Employment Employees of the Enterprise

shall be of good moral character, shall not have been convicted of any

felony or gaining offense, and, as a condition of their contract of

employment, shall agree to any lawful means of testing for truthfulness,

including but not limited to polygraph testing, at any time and without

prior notice, concerning the handling, collection, and/or disbursement of

gross receipts. No person shall be employed by the Enterprise or the

Manager whose prior activities, criminal record (if any), reputation, habits

or associations pose a threat to the public interest or to the effective

regulation and control of gaming, or create -

or enhance any danger of

unsuitable, unfair, or illegal practices, methods, or activities in the

operation or conduct of gaming by the Enterprise or the canying on of any

business or financial arrangements incidental thereto.

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(i) Preference in Employment Members of the Pueblo of

Tesuque and their spouses and children shall receive preference in

employment and advancement if they meet the qualifications for

employment with the Enterprise and the Manager. If there are not

qualified persons from among the members of the Pueblo of Tesuque and

their spouses and children to fill any available positions, the Enterprise

shall hire such qualified persons as are available, but it shall give

preference to qualified members of other Indian tribes.

(j) Advertisement of Positions Notice of the availability of any

positions with the Gaming Enterprise shall be posted on the premises of

the gaming facility where such vacancy exists, and at least two other

locations selected by the Council, for at least fifteen (15) days prior to the

filling of the position, unless special circumstances exist as determined by

the Council that warrant dispensing with such notice or posting for a

shorter period. The notice shall contain a description of the minimum job

qualifications, duties, hours of work, compensation, and the application

procedure, including the application deadline. -

(k) Personnel Policies The Manager shall adopt written

personnel policies for the Enterprise, which shall be provided to each

employee and which shall be subject to the approval of the Council. The

policies shall include an informal grievance procedure and shall provide

22
for an employees right to receive a written statement of reasons for

dismissal in the event such employee is dismissed.

(I) Hiring arid Training of Employees The Enterprise and the

Manager shall provide sufficient training to all employees to enable them

to perform their jobs properly, and shall provide employees who are

members of the Pueblo of Tesuque with training specifically designed to

enable such employees to acquire the experience and skills necessary to

advance within the Enterprise.

(m) Expenses of Training Employees The expense of providing

training to members of the Pueblo of Tesuque and of their spouses and

children shall be an allowable operating expense of the Enterprise.

7. Section 11(a) is amended to delete the following phrase: if the Council

receives reliable information from the National Indian Gaming Commission or any other

source that the licensee doe snot meet the standard established in subsection C(4) of

Section 7 and to insert the following phrase in its place: if the Council or Monitor

receives reliable information from the National Indian Gaming Commission or any other

source that the licensee does not meet the standard established in subsection Section

7(e).

8. A new Section 13, Patron Disputes, is hereby added to the Ordinance,

which shall read as follows:

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SECTION 13. PATRON DISPUTES

(a) Procedures for Resolving Patron Disputes Whenever any patron of

any gaming activity being conducted by the Enterprise under the provisions of this

Ordinance believes that he or she has lost any money unfairly, or has not received any

winnings to which the patron believes he or she was entitled, or in any other respect

was treated wrongly or unfairly, any employee to whom the patron communicates the

complaint shall refer the patron to the Manager. The Manager shall investigate the

matter thoroughly, and shall attempt to resolve the complaint amicably and promptly

and in keeping with the spirit of this Ordinance. The Managers proposed action shall

be communicated to the patron in writing, no less than ten (10) days after the complaint

is brought to the Manager. If the patron is dissatisfied with the resolution proposed by

the Manager, the patron may, within ten (10) days of receipt of the Managers decision,

appeal to the Monitor. The Monitor shall investigate the facts underlying the complaint

and the actions of the Mariag thereon, and shall make a fmal decision, in writing,

either to affirm the Managers proposed resolution, or to take some different action (but

in no case shall the Monitors decision be less favorable to the patron than the

Managers proposal). If the patron is still dissatisfied, he or she may request that the

dispute be referred to binding arbitration, either by a single arbitrator (if the parties

agree on one) or by a panel of three arbitrators, one appointed by the patron, one

appointed by the Manager, and a third appointed by the other two; provided, that if the

arbitration results in a decision that is no more favorable to the patron than the decision

24
of the Monitor, the patron shall bear one-half of the costs of the arbitration. The

arbitration shall proceed in accordance with the rules of the American Arbitration

Association, unless the patron and the Enterprise agree to follow different procedures.

(b) Posting of Notice The Enterprise shall prominently post a notice,

bearing the title, PATRON DISPUTE PROCEDURES, informing patrons of the

remedies set forth in this section, and setting forth the language of paragraph (a) of this

section, in every room of every facility where gaming is conducted under the provisions

of this Ordinance.

RRWHI 060

25
OCT071994 16:12 TESUQUE PUEBLO 505 9822331 P.02

TESUQUE PUEBLO

ROUTE ii, OOX 1

SANTA FE, NEW MEXICO B7501

TESUQUE PUEBLO BINGO ORDINAF~CE

WHEREAS: 1. The Pueblo of Tesuque ~Tribal Council (Council) IS the governing

body of the Pueblo of Tesuque and is responsible for the development and

operation of business enterprises on the Tesuque Indian Reservation

(Reservation); and

2. The Council enacted a Bingo Ordinance on May 10, 1984, to govern the conduct

and operation of bingo games on the Reservation, under which Bingo Ordinance

the Pueblo has operated a bingo enterprise since 1984; and

3. The Pueblo wishes to continue to operate bingo games on the Reservation; and

4. The Indian Gaming Regulatory Act, Public Law 100-497 (Act), was enacted

by the Congress of the United States and signed into law on October 17, 1988;

and

5. The Bingo Ordinance does not comply with the requirements of Act, and the

Council wishes to enact a new ordinance that complies with the Act and that

clarifies the rights, duties, and responsibilities of persons changed with

operating and regulJting games of chance on the Reservation; and

6. At the Councirs direction, the Tribal Attorneys have prepared a revised Gaming

Ordinance of the Pueblo of Tesuque (Ordinance), a copy of which is attached to

this Resolution, to govern the conduct of all games of chance within the exterior

boundaries of the Reservatibn and to establish the Pueblo of Tesuque Gaming

Monitor; and

7. The proposed Ordinance provides, among other things, that-

(1) the Pueblo shall have the sole proprietary interest and responsibility for

the conduct of gaming activities on the Reservation: and

(2) net revenues from gaming activities on the Reservation are to be used to

fund tribal governmental operations and programs that promote the

health, education, and welfare of the Puebio.and its members and that

promote economic development; and

(3) annual outside audits of the gaming wilt be provided to the NatiOnal Indian

Gaming Commission; and

RESOLUTION #1 989- 12.04

OFFICE OF THE GOVERNOR

PNONE 983.2d67
OCT071994 16:12 TESUQUE PUEBLO 505 9822331 P.03

(4) all contracts for services, supplies, and concessions for a contract amount

in excess of $25,000.00 annually--except contracts for professional

legal or accounting services--relating to such gaming shall be subject to

Independent audits; and

(5) the Construction and maintenance of gaming facilities and the operation of

gaming activities shatJ be conducted in a manner that adequately protects

the environment and the public health and safety; and

(6) background investigations are conducted on the primary management

officials and key employees of gaming enterprises and that oversight of

such officials and their management iS conducted on an ongoing basis; and

(7) a system be established to provide for mandatory tribal licenses for key

employees of gaming enterprises, a standard whereby unsuitable persons

are not eligible for employement at gaming enterprises, and mandatory

advance notice to the National Indian Gaming Commission of the results of

background checks and of licenses issued; and

8. The Council finds that the proposed Ordinance is in the best interests of the

Pueblo and will help ensure the sate, fair, and honest operation of games of

chance on the Reservation.

NOW THEREFORE BE IT RESOLVED:

That the Council hereby approved, adopts, an enacts the Gaming Ordinance of the

Pueblo of Tesuque.

CERTIFICATION

I, the undersign, as Governor of the Pueblo of Tesuque hereby cerf that I e Tesuque Pueblo

Council, at a duly called meeting, which was convened and held on -

198$, at Tesuque Pueblo, approved this Resolution1 a quorum being present, and 9 voted

for and _ opposed. -

Governor

AUEST:

Council

~

ember

TOTR~L P.03
GSWW/DRAFP

Deceniber 18, 1989

BK~1\2 1GNIING ORD

GANING ORDINANCE OF ThE LUEBLO OF TESUQ(JE

I~ceiiiber ____, 1989
TABLE OF OffENTS

Page

Section 1. Name 1

Section 2. Definitions 1

Section 3. Purposes 4

Section 4. Interpretation 4

Section 5. Gaming Policy 4

(a) Games~ of Chance Prohibited 4

(b) Ownership of Gaming Enterprise 4

(c) Protection of Environment; Public Health and Safety 4

Section 6. Pueblo of Tesuque Gaming Monitor 5

(a) Establishment of Monitor 5

(b) Powers and Duties 5

(c) Term 7

(d) Qualification of Monitor 7

(e) Resignations 8

(f) Cooperation with Law Enforcement Agencies 8

(g) Compensation 8

Section 7. License for Operating and Conducting Games of Chance 8

(a) License Required 8

(b) License Application 9

(c) Background Investigation; Issuance of License 11

(d) Notice to National Indian Gaming Commission 12

Section 8. Management Contract 12

(a) Hiring of Manager 12

(b) License Required for Approval of Management Contract 13

(c) Standards for Approval 13

(d) Management Contract Fees 14

(e) Grounds for Disapproval 14

(f) Modification and Revocation of Management Contract 14

(g) No ~ransfer of Real Property 14

(h) Management Contract Binding Upon Approval 15

Section 9. Financial Practices and Reporting 15

(a) Monthly Reports 15

(b) Maintenance of Books and Records; Commission Access 15

(c) Allowable Operating Expenses 16

(d) Deposit of Gross Receipts; Payment of Operating Expenses 16

(e) Annual Audit 16

(f) Audit of Contracts 17

(g) Disposition of Net Revenues 17

(h) Compliance with Internal Revenue Code 17

Section 10. Bingo 17
(a) General Authority of the Monitor 17

(b) Designation of Officer in charge 18

(c) Premises Open to Monitor 19

(d) Merchandise prizes 19

(e) Usual Prizes 19

(f) No Limit on Prizes 19

(g) Rules of Play 19

(h) Players Entitled to Verification 20

(1) Players Required to be Present 20

(j) Employees; Prohibition Against Employees Playing

Bingo 20

(k) Qualification for Employment; Testing 21

(1) Preference in Employment 21

(m) Advertisement of Positions 22

(n) Personnel Policies 22

(0) Hiring and of Training Employees 22

(p) Expenses of Training Employees 22

Section 11. Suspension or Revocation of License 23

(a) Grounds for Suspension and Revocation 23

(b) Notice; limitediate Suspension 23

(c) Contents of Complaint; Service 24

(d) Answer; Written Orders 24

(e) Hearing; Written Decision 24

(f) Surrender of License 24

(g) Additional Sanctions 25

Section 12. Violations; Jurisdiction; Enforcement of Subpoenas 25

(a) Criminal Penalties 25

(b) Civil Sanction 25

(c) Tribal Court Jurisdiction 25

(d) Enforcement of Council and Monitor Orders 26
GAMING ORDINANCE OF ThE HJEBIL) OF TRSUQtJE

Ordinance No.

BE IT ENAC~ED BY THE OJUNCIL OF ThE LUEBID OF TE.SIJQUE:

An Ordinance to Govern, Regulate, and Control Gaming Activities on the

Pueblo of Tesuque Indian Reservation.

SECTION 1. NAI4E The name of this Ordinance shall be the Gaming

Ordinance of the Pueblo of Tesuque.

SECPION 2. DEFINITIONS In this Ordinance, unless the context

otherwise requires:

(a) Bingo game means the game of chance commonly known as

bingo (whether or not electronic, computer, or other technologic aids are

used in connection therewith) which is played for prizes, including

monetary prizes, with cards bearing numbers and other designations in which

the holder of the card covers such numbers or designations when objects,

similarly numbered or designated, are drawn or electronically determined,

and in which the game is won by the first person covering a previously

designated arrangement of numbers or designations on such cards, including

(if played in the same location) pull-tabs, lotto, punch boards, tip jars,

instant bingo, and other games similar to bingo.

(b) Class III Gaming means all forms of gaming that may be

operated or conducted only in conformity with a Tribal-State Compact

negotiated and entered into pursuant to Section 11(d) of the Indian Gaming

Regulatory Act, 25 U.S.C. §~ 270121, 18 U.S.C. §~ 116668.
(C) Council means the Pueblo of Tesuque Council, the

governing body of the Pueblo of Tesuque.

(d) Equipment includes, with respect to bingo games, the

receptacle and numbered objects drawn from it; the master board upon which

such objects are placed as drawn; the cards or sheets bearing numbers or

other designations to be covered and the objects used to cover them; the

board or signs, however operated, used to announce or display the numbers

or designations as they are drawn; the public address system; and all other

articles essential to the operation, conduct, and playing of bingo games.

(e) Gaming Ordinance means this Gaming Ordinance of the

Pueblo of Tesuque.

(f) Gross receipts means receipts from the sale of shares,

tickets, or rights in any manner connected with participation or the right

to participate in any game of chance, including but not limited to any

admission fee or charge, the sale of merchandise, refreshments, souvenirs,

services, equipment, or supplies, interest earned on deposits, and all

other miscellaneous receipts.

(g) License means a license duly issued to primary

management officials and key employees of any gaming enterprise conducted

on the Reservation by the Monitor pursuant to this Gaming Ordinance.

(h) Licensee means any person who has been duly licensed by

the Monitor.

(i) Manager means the Manager of the Pueblo of Tesuque Bingo

Enterprise hired pursuant to Section 8 of this Gaming Ordinance.

(j) Member of the Pueblo of Tesuque means an enrolled member

of the Pueblo of Tesuque.

2
(k) Monitor means the Pueblo of Tesuque Gaming Monitor

established by this Ordinance.

(1) National Indian Gaming Commission means the National

Indian Gaming Commission established by the Indian Gaming Regulatory Act,

25 U.S.C. §~ 270121, 18 U.S.C. §~ 116668.

(m) Net revenues means the gross receipts less the operating

expenses, which expenses include but are not limited to wages, prizes,

utilities costs, insurance costs, advertising costs, repair costs,

maintenance costs, costs of supplies, security services costs, janitorial

services costs, trash removal costs, taxes, rent, lawyers and accountants

fees, and such other deductions or charges as may be specifically

authorized hereunder.

(n) Occasion means a gathering at which a game of chance is

played.

(o) Person means a natural person, firm, association,

partnership, joint venture, corporation, or other legal entity.

(p) Premises means any room, hail, building, enclosure, or

outdoor or other area used for the purpose of playing a game of chance.

(q) Reservation means the Pueblo of Tesuque Indian

Reservation and any lands title to which is held in trust by the United

States for the benefit of the Pueblo of Tesuque or a member thereof or held

by the Pueblo of Tesuque subject to a restriction by the United States

against alienation, and over which lands the Pueblo of Tesuque exercises

governmental power.

(r) Treasurer means the Treasurer of the Pueblo of Tesuque.

(s) Tribal Court meai-is the Pueblo of Tesuque Tribal Court.

3
SECIION 3. JJRPOSES The purposes of this Gaming Ordinance are to

make lawful and to regulate the operation, conduct, and playing of games of

chance on the Reservation so that revenue may be produced to fund tribal

governmental operations and programs which promote the health, education,

and welfare of the Pueblo of Tesuque arid its members and which promote

tribal economic development.

SECPION 4. INTERPRETATION This Gaming Ordinance is an exercise of

the sovereign- power of the Pueblo of Tesuque and shall be liberally

construed for the accomplishment of its purposes and to comply with the

Indian Gaming Regulatory Act.

SECTION 5. GAMING LOLICY

(a) Games of thance Prohibited No person may operate or

conduct any games of chance, including but not limited to any bingo game or

any Class III gaming, within the boundaries of the Reservation except in

accordance with the provisions of this Gaming Ordinance. For purposes of

this Gaming Ordinance, games of chance shall not include social games

played solely for prizes of minimal value, or traditional forms of Indian

gaming engaged in by individuals as a part of, or in connection with, tribal

ceremonies or celebrations.

(b) Ownership of Gaming Enterprise The Pueblo of Tesuque,

acting through the Council, shall have the sole proprietary interest in and

responsibility for the operation and conduct of any game of chance operated

or conducted on the Reservation.

(c) Protection of Environment; Public Health and Safety The

construction and maintenance of any gaming facility, and the operation and

4
conduct of any and all games of chance, shall be done in a mariner which

adequately protects the environment and the public health and safety.

SECPION 6. IUEBLO OF TF~UQtJE GAMING MONIPIOR

(a) Establishment of Monitor The Tribal Administrator hereby

is appointed as the Pueblo of Tesuque Gaming Monitor for the purpose of

monitoring all games of chance within the exterior boundaries of the

Reservation.

(b) Powers and Ikities The Monitor shall have the following

powers and duties:

(1) To permit or refuse to permit the operation or

conduct of any games of chance within the exterior

boundaries of the Reservation and to specify the

conditions therefor, provided, that the operation or

conduct of any games of chance must be approved by a

Resolution of the Council.

(2) Subject to approval of the Council, to grant,

suspend, or revoke licenses to primary management

officials and key employees of the Pueblo of Tesuque

Bingo Enterprise in accordance with this Gaming

Ordinance.

(3) To monitor and oversee the operation and conduct of

all games of chance within the exterior boundaries

of the Reservation on a continuing basis, including

but not limited to ongoing monitoring arid oversight

of licensees engaged in the operation and conduct of

such games.

5
(4) To inspect and examine all premises within the

exterior boundaries of the Reservation at which

games of chance are played.

(5) To conduct or cause to be conducted background

investigations of persons involved, directly or

indirectly, in the operation or conduct of games of

chance within the exterior boundaries of the

Reservation.

(6) To inspect, examine, photocopy, and audit all papers,

books, and records respecting gross receipts of

gaming activities operated or conducted within the

exterior boundaries of the Reservation and any other

matters necessary to carry out the duties of the

Monitor under this Gaming Ordinance.

(7) Subject to the approval of the Council, to enter into

contracts with tribal, federal, state, and private

entities for activities necessary to the discharge

of the duties of the Monitor and to contract with the

National Indian Gaming Commission for the

enforcement of federal regulations governing gaming

on Indian reservations.

(8) Subject to the approval of the Council, to establish

fees for applications for licenses and fees for

licensees based on a percentage of the gross receipts

of games of chance operated or conducted by such

licensees.

6
(9) To require by written order the attendance and

testimony of witnesses and the production of all

books, papers, and documents relating to any matter

under consideration or investigation by the Monitor,

and, subject to approval of the Council, to bring

actions in the Tribal Court for the enforcement of

such order.

(10) To administer oaths and affirmations to witnesses

appearing before the Monitor.

(11) To keep minutes, records, and books in which shall

be kept a true, faithful, and correct record of all

proceedings before the Monitor.

(12) To recorrut~end amendments to this Gaming Ordinance to

the Council.

(13) To submit an annual report to the Council on the

activities of the Monitor.

(c) Term The Monitor shall serve until a successor has been

appointed.

(d) Qualification of Monitor No person shall be eligible or

qualified to serve or continue to serve as the Monitor who:

(1) Has been convicted of a felony or gaming offense;

(2) Has any financial interest in, or management

responsibility for, any gaming activity; or

(3) Has a financial interest in, or management

responsibility for, any bingo management contract

submitted to the Council for review or approval.

7
(e) Resiqnations The Monitor may resign at any time by giving

written notice of such to the Secretary of the Commission and to the

Council. The resignation shall become effective at the time specified in

such notice, and the acceptance of such resignation shall not be necessary

to make it effective. Any vacancy, howsoever caused, shall be filled by a

qual if led person appointed by the Governor with the consent of the Council.

(f) Cooperation With law Enforcement Agencies The Monitor

may cooperate with law enforcement officials of the State of New Mexico, the

Bureau of Indian Affairs, the Federal Bureau of Investigation, and other

law enforcement agencies, when such cooperation is in the best interests

of the Pueblo of Tesuque and will assist in assuring that fair, honest, and

efficient games of chance are operated and conducted within the

Reservation.

(g) Compensation The Monitor shall be compensated as

determined by the Council.

SECPION 7. LICENSE FOR OPERATING AND CDNtXJCflNG GAMES OF CHANCE

(a) License Reciuired The Manager, all primary management

officials and key employees of the Manager, and any person having any

interest in or duty to perform with respect to any game of chance operated

or conducted within the exterior boundaries of the Reservation, whether

that interest or duty is direct or indirect, shall apply for and receive a

license from the Monitor prior to their participation in any way in the

operation or conduct of any game of chance within the exterior boundaries

of the Reservation. Persons engaged in such activities as of December ~,

1989, shall apply for and receive from the Monitor on or before February 28,

8
1990. A separate license shall be required for each location at which ganies

of chance are operated or conducted.

(b) License Application Each applicant for a license shall

file with the Monitor a written application in the form prescribed by the

Monitor, duly executed arid verified, in which he shall certify:

(1) The name and address of the applicant, the address

of each principal residence and each place of

business of the applicant since 1975, and the names

and addresses of all employers of the applicant since

1975;

(2) If the applicant is not a natural person, sufficient

facts relating to the applicants business form and

organization to enable the Monitor to determine the

identity of all primary management officials and

key employees of the applicant;

(3) If the applicant is not a natural person, the names

arid addresses of its primary management officials,

key employees, persons having a direct financial

interest in or management responsibility for the

applicant, and, if applicable, each person who serves

on the board of directors and each of its

stockholders who holds ten percent (10%) or more of

its issued arid outstanding stock, whether such stock

is held directly or indirectly;

9
(4) A complete financial statement of the applicant and,

if applicable, each person listed pursuant to

Paragraph (3) of this Subsection;

(5) A complete description of any previous experience or

involvement of the applicant and, if applicable, of

each person listed pursuant to Paragraph (3) of this

Subsection, with gaming contracts or with the gaming

industry in general, including specifically the name

and address of any party with which such person has

had a contract related to gaming, and any licensing

or regulatory agency to which such person has applied

for a license or permit to perform any activity

associated in any way with games of chance, whether

or not such license or permit was granted.

(6) The specific kinds of games of chance to be operated

and conducted by the applicant;

(7) The place where the games of chance will be operated

and conducted by the applicant under the license

applied for;

(8) The items of expense intended to be incurred or paid

in connection with the operation and conduct of such

games of chance, the names and addresses of the

persons to whom payments will be made, if known, and

the purposes for which payments will be made;

(9) A sworn statement that no commission, salary,

compensation, reward, or recompense of any kind

10
shall be paid to any person for operating or

conducting such games of chance or for assisting

therein, except as provided in this Gaming Ordinance;

(10) A sworn statement from the applicant and, if the

applicant is not a natural person, from each person

listed pursuant to Paragraph (3) of this Subsection,

that he or they will be responsible for the operation

and conduct of games of chance in accordance with the

terms of their licenses and the provisions of this

Gaming Ordinance; and

(11) All such other information determined by the Monitor

to be relevant to ensuring that the applicant

qualifies as a licensee.

(c) Backqround Investigation; Issuance of License The

Monitor shall conduct or cause to be conducted a thorough investigation

of the background of the applicant including, if applicable, the

backgrounds of all persons listed in the application pursuant to Paragraph

(b) (3) of this Section. The Commission may issue a license to any person

who:

(1) Has provided a complete and accurate application and

complied fully with any and all requests by the

Monitor for information concerning the background

and activities of the applicant;

(2) If a natural person, has attained the age of twenty

one (21)years;

(3) If a natural person, is not a member of the Council;

11
(4) Has not been convicted of any felony or gaming

offense;

(5) Is not a person whose prior activities, criminal

record if any, habits, or associations pose a threat

to the public interest or to the effective regulation

arid 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; and

(6) Has not attempted to interfere or to influence, and

has not interfered or influenced, unduly for its gain

or advantage, any decision or process relating to

gaming of the government of the Pueblo of Tesuque.

(d) Notice to National Indian Gaming Commission If the

National Indian Gaming Commission is organized and has issued regulations

at the time a license is to be issued by the Monitor, the Monitor shall

notify the National Indian Gaming Commission of the results of the

background check of the applicant at least thirty (30) days prior to the

issuance of a license.

SECPION 8. MANAGE7.IENT aNTRACr

(a) Hiring of Manager The Council may hire and employ a

Manager to manage its day-to-day business affairs. A Manager may be hired

and employed only pursuant to a written contract approved by the Council in

accordance with this Section.

12
(b) License Required for Approval of Management Contract

Upon approval of any management contract, the Council shall require that

all primary management officials and key employees of the Manager be

licensed by the Monitor within sixty (60) days.

(c) Standax~ for Approval The Council may approve a gaming

management contract only if the contract provides:

(1) For the adoption and maintenance of adequate

accounting procedures and for verifiable financial

reports to be prepared and submitted to the Council

on a monthly basis;

(2) For access of the Monitor to the daily operations of

the gaming and for pen-aission for the Monitor to

verify the daily gross revenues and income made from

the licensed gaming activity.

(3) For a minimum guaranteed payment to the Pueblo of

Tesuque, which payment must be made prior to

retirement of any development and construction

costs;

(4) For an agreed ceiling for the repayment of

development and construction costs;

(5) For a contract term not to exceed five (5) years,

except that the Council may authorize a contract term

that exceeds five (5) years but does not exceed seven

(7) years if the Council is satisfied that the

capital investment required and the income

13
projections for the particular gaming activity

require the additional time; and

(6) For grounds and procedures for terminating such

contract.

(d) Management Contract Fees The Council may approve a

management contract providing for a fee based upon a percentage of the net

revenues. Such fee shall not exceed thirty percent (30%) of the net

revenues, except that the Council may approve a management contract

providing for a fee that exceeds thirty percent (30%) but not forty percent

(40%) of the net revenues of a gaming activity if the Council is satisfied

that the capital investment required and the income projections for, such

gaming activity require the additional fee.

(e) Grounds for Disapproval The Council shall not approve

any management contract if the Council determines that:

(1) The Manager or any primary management official or key

employee of the Manager is not licensed or is

ineligible to be licensed; or

(2) A trustee, exercising the skill and diligence that

a trustee is conuitonly held to, would not approve the

contract.

(f) Modification and Revocation of Management Contract The

Council shall have the authority to require appropriate contract

modifications and may void any management contract if it determines that

this Gaming Ordinance or the management contract has been violated.

(g) No Pransfer of Real Property No management contract for

the operation and management of a gaming activity regulated by this Gaming

14
Ordinance shall transfer or in any other manner convey any interest in land

or other real property, unless specific statutory authority exists therefor

and unless clearly specified in writing in said management contract.

(h) Management Contract Binding Upon Approval No management

contract, and no modification, revision, or amendment thereto, shall be

binding upon the Pueblo unless and until approved by the Council.

SECPION 9. FINANCIAL PRACPICES AND REFORIING

(a)- Monthly Reports On or before the twentieth day of each

month, the Manager shall file with the Monitor and the Council a certified

financial report for the preceding calendar month showing the amount of

gross receipts derived from games of chance, the operating expenses

incurred or paid, the specific classifications of such expenses, and the

net revenues derived from games of chance. It is the duty of the Manager to

maintain and keep such books and records as may be necessary to substantiate

the particulars of each report. If the Manager fails to file a report

within the time allowed, or if a report is not properly certified or not

fully, accurately, and truthfully completed, the license of the Manager may

be suspended until such time as the deficiency has been corrected.

(b) Maintenance of Books and Records; Monitor Access Full

and accurate books of account shall be kept at the Premises showing the

condition of the business and all transactions relating to games of chance

on the Reservation. The Monitor and the Council shall have access to such

books of account and shall be entitled to examine them without notice at any

time during ordinary business hours or during games of chance either in

person or by an agent. All records of games of chance in whatever medium

shall be maintained for seven (7) years.

15
(c) Allowable operatinq Expenses No item of expense shall be

incurred or paid in connection with operating or conducting any game of

chance except a bona fide expense in a reasonable amount. Expenses may be

incurred only for the following purposes:

(1) For the purchase of goods, wares, and merchandise

furnished;

(2) For services rendered by the Manager (including

-

repayment of development fees and construction

costs, if any) for maintenance or repairs of gaming

and related equipment, and for operating or

conducting a game of chance;

(3) For rent, janitorial, and security services;

(4) For legal and accounting fees;

(5) For taxes and license fees;

(6) For utilities;

(7) For advertising;

(8) For vehicle expenses;

(9) For insurance; and

(10) For prizes for winners of games of chance.

(d) Deposit of Gross Receipts; Payment of Operatinq Expenses

All gross receipts shall be deposited in a separate Bingo General Operating

Account of the Pueblo of Tesuque which shall contain only gross receipts.

All operating expenses shall be withdrawn from such account by

consecutively numbered checks duly signed by the Manager or an official or

officials thereof designated by the Manager payable to a specific person

or organization.

16
(e) Annual Audit The Manager shall cause to be produced an

annual outside independent certified audit of all gaming activities and

shall deliver the same to the Council, the Monitor, and the National Indian

Gaming Commission in accordance with all applicable regulations.

(f) Audit of Contracts Any contract for supplies, services,

or merchandise, in an amount greater than $25,000 annually, except

contracts for professional legal or accounting services, which contract

relates to gaming activities, shall be subject to annual outside

independent certified audits on the order of the Council or the Monitor.

(g) Disposition of Net Revenues The net revenues derived from

games of chance shall be deposited into the general fund of the Pueblo of

Tesuque and shall not be used for purposes other than:

(1) To fund Pueblo of Tesuque governmental operations and

programs;

(2) To provide for the general welfare of the Pueblo of

Tesuque and its members;

(3) To promote tribal economic development;

(4) To help fund local Pueblo of Tesuque governmental

operations.

(h) Compliance with Internal Revenue Code The Manager shall

maintain a permanent record containing the name and address of each player

who receives a prize if and as required by, arid in accordance with, the

Internal Revenue Code.

SECTION 10. BINGO

(a) General Authority of the Monitor Upon the Council S

approval of a management contract, the Pueblo shall have authority to

17
establish, equip, operate, and maintain a bingo operation on premises

located at such places on the Reservation as the Council may designate.

The Pueblo of Tesuque Bingo Enterprise shall have the following powers and

duties:

(1) To acquire, lease furnish, equip, and maintain such

premises as shall be required for the operation and

conduct of bingo games in accordance with this Gaming

Ordinance.

(2) To employ, direct, supervise, manage, control,

promote, demote, discharge, fix the compensation,

and define the power and duties of such officers,

clerks, card sellers, callers, security guards, and

other employees as shall be required for the

operation and conduct of bingo in accordance with

this Gaming Ordinance.

(3) To operate and conduct bingo games in accordance with

this Gaming Ordinance.

(4) Without in any way limiting or being limited by the

foregoing, to do all such things and perfonn all such

lawful acts as are necessary or advisable for the

purpose of operating and conducting bingo games in

accordance with this Gaming Ordinance.

(b) Desiqnation of Officer In tharge The Manager shall

designate a person to be the officer in charge for each occasion. The

officer in charge shall be primarily responsible for the operation and

conduct of games of chance on that occasion. The officer in charge must

18
S

have obtained a license from the Monitor at least ten (10) days prior to

the occasion. The officer in charge shall supervise all activities on the

occasion and shall be present on the premises continuously during the

playing of games of chance and for a period of at least one (1) hour after

the last bingo game of the occasion has been completed.

(c) Premises Open to Monitor Premises where any bingo game

is being operated or conducted, or where it is intended that a bingo game

will be operated or conducted, shall at all times be open to inspection by

the Monitor and the Council, their agents, and their employees.

(d) Merchandise Prizes When any merchandise is awarded as a

prize in a bingo game, the value of such merchandise shall be its current

retail price. Merchandise awarded as a prize shall not be redeemable or

convertible into cash, directly or indirectly.

(e) Usual Prices Equipment, prizes, and supplies for games

of chance shall not be purchased or sold at prices in excess of the usual

price thereof.

(f) ~Eo Limit on Prizes There shall be no limit on the size of

the prize offered or given in any bingo game or on any occasion.

(g) Rules of Play The equipment used in playing games of

chance and the method of play shall be such that each card shall have an

equal opportunity to win. The objects or balls to be drawn shall be

essentially the same as to size, shape, weight, balance, and all other

characteristics that may influence their selection. All objects or balls

shall be present in the receptacle before each game is begun. All numbers

or designations drawn shall be announced plainly and clearly, and shall be

audible or visible to all the players present including, where more than one

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room is used for any bingo game, all players present in each room. The

receptacle, the caller, and the person removing the objects or balls from

the receptacle must be visible to all the players at all times, except that

where more than one room is used for any bingo game, the receptacle and the

caller must be present in the room where the greatest number of players are

present. The cards or sheets of the players shall be part of a deck, group,

or series of cards, no two of which shall be alike, and which deck, group,

or series shall not be so prepared or arranged as to prefer any card. The

particular arrangement of numbers or designations required to be covered

in order to win the game and the amount of the prize shall be plainly and

clearly described, and audibly or visibly announced to the players

immediately before each game is begun.

(h) Players Entitled to Verification Any player shall be

entitled to call for a verification of all numbers or designations drawn at

the time a winner is determined, and for a verification of the objects or

balls remaining in the receptacle and not yet drawn. The verification shall

be made in the irrnnediate presence of the officer in charge on the occasion.

(i) Players Required To Be Present Only persons physically

present on the premises where a bingo game is actually operated and

conducted may participate as players in the game.

(j) E~loyees; Prohibition Aqainst F~ployees Playing Binqo

All persons who operate or conduct, or assist in operating or conducting,

a bingo game shall be employees of the Pueblo of Tesuque Bingo Enterprise

or the Manager and shall wear legible tags evidencing their names and the

legend of the Pueblo of Tesuque. No employee of the Pueblo of Tesuque Bingo

Enterprise or the Manager may play any bingo game or win any prize or thing

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of value during his or her employment and for ninety (90) days after

termination of such employment.

(k) Qualification for Employment; Testing Employees of the

Pueblo of Tesuque Bingo Enterprise and the Manager shall be of good moral

character, shall not have been convicted of any felony or gaming offense,

and, as a condition of their contract of employment, shall agree to any

lawful means of testing for truthfulness, including but not limited to

polygraph testing, at any time and without prior notice, concerning the

handling, collection, and/or disbursement of gross receipts. No person

shall be employed by the Pueblo of Tesuque Bingo Enterprise or the Manager

whose prior activities, criminal record if any, 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

operation or conduct of gaming or the carrying on of the business and

financial arrangements incidental thereto.

(1) Preference in Employment Members of the Pueblo of Tesuque

and their spouses and children shall receive preference in employment and

advancement if they meet the qualifications for employment with the Pueblo

of Tesuque Bingo Enterprise and the Manager. If sufficient numbers of

qualified members of the Pueblo of Tesuque and their spouses and children

are not available to fill all available positions, the Pueblo of Tesuque

Bingo Enterprise shall hire members of other Indian tribes whenever

possible.

(m) Advertisement of Positions All positions and vacancies

with the Pueblo of Tesuque Bingo Enterprise and the Manager shall be posted

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on the Premises and at least two (2) other locations selected by the Council

for at least fifteen days prior to filling the position or vacancy, if

reasonably practicable. The notices shall contain a description of the

minimum job qualifications, job duties, hours of work, compensation, and

the application procedure, including the application deadline.

(n) Personnel Policies The Manager shall adopt written

personnel policies which shall be provided to each employee and which shall

be subject to approval of the Council. The personnel policies shall provide

an informal grievance procedure and shall provide for an employees right

to receive a written statement of reasons for dismissal in the event such

employee is dismissed.

(o) Hirinq and Traininq of Employees The Pueblo of Tesuque

Bingo Enterprise and the Manager shall provide sufficient training to all

employees, and shall provide for employees who are members of the Pueblo of

Tesuque training programs with specified timelines which will enable

members of the Pueblo of Tesuque to acquire the experience and skills

necessary to become managers and supervisors of Bingo games operated by the

Pueblo of Tesuque Bingo Enterprise.

(p) Expenses of Training Employees The expense of providing

training to members of the Pueblo of Tesuque and to their spouses and

children shall be an allowable operating expense of the Pueblo of Tesuque

Bingo Enterprise and the Manager.

SECTION 11. SUSPENSION OR REVOCATION OF LICENSE

(a) Grounds for Suspension and Revocation If a licensee makes

a false statement in any application for a license, in any statement annexed

thereto, or in any response to a request by the Monitor or the Council for

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information; fails to keep sufficient books arid records to substantiate the

reports required by this Gaining Ordinance; falsifies any books or records

relating to any transaction connected with the operation or conduct of any

game of chance; is convicted of any felony or gaming offense; interferes

with or unduly influences or attempts to interfere or unduly to influence

any decision or process of the government of the Pueblo of Tesuque relating

to gaming; or deliberately or substantially fails to provide information

to or answer relevant questions of the Monitor or the Council or otherwise

fails to comply with this Gaming Ordinance or the terms of any license

granted pursuant hereto; or if the Council receives reliable information

from the National Indian Gaming Commission or any other source that the

licensee does not meet the standard established in Subsection (c) (4) of

Section 7; his license may be suspended and, after notice and a hearing

before the Council pursuant to this Section, such license may be revoked.

This sanction is in addition to any other sanction which may be imposed

under this Gaming Ordinance.

(b) Notice; Inanediate Suspension Proceedings to suspend or

revoke a license shall be initiated by the Council by serving a complaint

upon the licensee. If, in the Councils judgment, the public interest;

the effective regulation and control of gaming; or the safe, fair, and

honest operation and conduct of games of chance so requires, the Council

may suspend a license immediately pending the holding of a hearing. Such

an immediate suspension shall take effect upon service of the complaint

upon the licensee.

(c) Contents of complaint; Service The complaint shall set

forth the violations of this Gaming Ordinance which the Council has

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reasonable cause to believe the licensee has committed. The Council shall

cause the complaint and notice of hearing to be served personally upon the

licensee or any agent of the licensee, or to be sent by certified mail to

the licensee at the address shown upon the license. The complaint shall

notify the licensee of the place and date of a hearing, such date to be not

less than twenty (20) days after the licensee receives a copy of the

complaint.

(d)- Answer; Written Orders Upon receipt of a complaint and

notice of hearing, the licensee shall answer the complaint and shall inform

the Council whether the licensee desires to present evidence. At the

request of the licensee for good cause shown, or on its own motion, the

Council shall issue written orders for the attendance of witnesses and for

the production of papers, books, records, and documents.

(e) Hearing; Written Decision The hearing shall be held and

concluded without unreasonable delay. The Council shall hear the matter

and make a decision in writing, including findings of fact in support of its

decision. The Council shall issue its decision within thirty (30) days of

the hearing. The licensee shall be informed immediately of the decision

and, in the event of a suspension or revocation of his or her license, of

the effective date of the suspension or revocation.

(f) Surrender of License When the Council suspends or revokes

a license, the licensee shall surrender the license to the Monitor on or

before the effective date of the suspension or revocation. No license shall

be valid as of the effective date of the suspension or revocation, whether

surrendered or not.

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(g) Additional Sanctions Upon its determination to suspend

or revoke a license, the Council, in addition to any other penalties which

may be imposed, may declare the licensee ineligible to operate or conduct

games of chance, to participate, directly or indirectly, in the operation

or conduct of games of chance, or to apply for a license for a period not

exceeding twelve (12) months. Such declaration of ineligibility may be

extended to include any primary management officials, key employees,

owners, officers, or directors of the licensee, and any of its subsidiary

organizations, parent organizations, or affiliates.

SECTION 12. VIOLATIONS; JURISDICrION; ENPORCEIIENT OF UBOENAS

(a) Criminal Penalties Any person who violates any provision

of this Gaming Ordinance shall be guilty of a criminal offense punishable

by a fine, or by imprisonment, or both, the amount of such fine and the

length of such imprisonment to be up to the maximum amount and length that

federal law allows Indian tribes to impose.

(b) Civil Sanction Any person who violates any provision of

this Gaming Ordinance shall be liable for civil monetary sanctions equal

to the actual damages. Any person who commits an intentional or wilful

violation may be liable for punitive damages, which shall be assessed in an

amount not to exceed three times the actual damages or one thousand dollars

($1,000), whichever is greater.

(c) Tribal Court Jurisdiction The Tribal Court shall have

jurisdiction over all violations of this Gaming Ordinance and over all

persons who are parties to a management contract entered pursuant thereto,

including agents, employees, owners, directors, and officers of such

parties, and may, in addition to the penalties prescribed in Subsections

25
.~

(a) and (b) of this Section, grant such other legal and equitable relief as

is necessary arid proper for the enforcement of this Gaining Ordinance and of

the provisions of any management contract entered pursuant thereto,

including but not limited to injunctive relief against acts in violation

thereof. Nothing in this Gaming Ordinance, however, shall be constmed to

authorize or require the exercise of criminal jurisdiction over nonIndians

except to the extent allowed by any applicable present or future Act of

Congress or any applicable federal court decision.

(d) Enforcement of Council and Monithr Orders If a person

is ordered by the Monitor or the Council to attend or to produce books,

accounts, records, or other documents in any investigation or hearing

conducted by the Monitor or the Council fails to obey the corranand of the

subpoena without reasonable cause, or if a person in attendance at any

hearing or investigation refuses, without lawful cause, to be examined, to

answer a legal and pertinent question, or to exhibit any book, account,

record, or other document when ordered to do so by the Monitor or the

Council, the Monitor or the Council may apply to the Tribal Court for an

order returnable in not less than five (5) nor more than ten (10) days

directing the person to show cause why he should not comply with such order.

For purposes of this Gaming Ordinance, no person shall be excused from

testifying or producing any books, accounts, records, or other documents

in any investigation or hearing on the ground that such testimony or

documentary evidence may tend to incriminate him, if the Council or the

Tribal Court agree in writing that such person shall not be prosecuted,

punished, or subjected to any penalty or forfeiture resulting from such

testimony or production, provided that no person shall be exempt from

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prosecution or punishment for any act of perjury coimmitted by him under a

grant of immunity under this Subsection.

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