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PICAYUNE RANCHERIA

OF THE

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Chukchansi Indians 46575 Road 417 Coarsegold, CA 93614 (559) 683-6633 FAX (559) 683-0599

RESOLUTION NO. 200 1-28

A Resolution to Adopt the Amended Picayune Rancheria of the Chukchansi Indians Class

II and III Gaming Ordinance of 2001 and Re-Submit to the NIGC

WHEREAS, the Picayune Rancheria of the Chukchansi Indians is a sovereign federally

recognized tribe as established pursuant to the Constitution of the Picayune

Reservation; and

WHEREAS, the Tribal Council of the Picayune Rancheria of the Chukchansi Indians is the

governing body of the Tribe pursuant to Article IV, Section 2 of the Tribal

Constitution; and

WHEREAS, the Tribal Council of the Picayune Rancheria of the Chukchansi Indians is

authorized by the Tribal Constitution, Article V, Section 4, to enact laws and

codes for the Tribe; and

WHEREAS, we the duly elected Tribal Council of the Picayune Rancheria of the

Chukchànsi Indians are entrusted with the preservation of our cultural values,

and promotion of the general welfare of the Picayune Rancheria; and

WHEREAS, the protection, safety and welfare of all persons, including, but not limited to,

the preservation of education, economic and employment opportunities, and

preservation of cultural and natural resources, within Tribal jurisdiction of the

Picayune Rancheria, are primary goals and objectives of the Tribal Council;

and

WHEREAS, the Picayune Rancheria of the Chukchansi Indians has previously considered,

at a duly called Tribal Council Meeting, the amended Picayune Rancheria of

the Chukchansi Indians Gaming Ordinance of 2001 and adopted the same by

Resolution 200 1-20; and

WHEREAS, the Tril~al Council has determined that it is in the best interest of the Tribe to

correct the numbering of certain sections and subsections, and revise Section

2.38 of the previously adopted Tribal Gaming Ordinance of 2001 (Resolution

No. 2001- 20); and,

WHEREAS, the Tribal Council has made those corrections in section and subsection

numbering, and revised Section 2.38 to read as follows:

c?j~so(uewn 2001-28 1
2.38 Indian Lands means:

2.38.1 Lands within the limits of the Tribes exterior boundaries, whereby the Tribe

exercises sovereign jurisdiction over such lands, notwithstanding the issuance of

any patent and including rights-of-way running through such lands; and

2.3 8.2 Lands~title to which is either held in trust by the United States for the benefit

of the Tribe or individual Indian or held by the Tribe subject to restriction by

the United States against alienation and over which the Tribe exercises

governmental powers; and

2.38.2 Lands~that may be acquired by the Tribe that meet the requirements of 25

U.S.C~Section 2719 et. seq.; and

WHEREAS, The Tribal Council has determined that it is in the best interest to replace in

its entir~ety the Gaming Ordinance previously adopted by Resolution 2001-20

with the Gaming Ordinance attached to this Resolution (final version dated

10-04-0 1) and to adopt such revised Tribal Gaming Ordinance, including each

Title as~ listed below:

Title I Regulation of Class II and Class III Gaming

Title LI Tribal Environmental Code for Class III Gaming

Title III Adoption of Federal Occupational Safety and Health Standards

For the Class III Gaming Facilities

Title IV Adoption of the Americans with Disabilities Act Relative to

Class III Gaming Facilities.

Title V Adoption of the FDA 1999 Food code for the Class III Gaming

Facility

Title VI Adoption of the Federal Safe Drinking Water Standards for the

Class Ill Gaming Facility.

Title VII Adoption of the Uniform Building Code, Uniform Mechanical

Code, Uniform Plumbing Code, Uniform Electrical Code and

other Relevant Building and Construction Standards for

Development of a Class III Gaming Facility

NOW THEREFORE, BE iT RESOLVED, that the Picayune Rancheria of the Chukchansi

Indians Tribal Council hereby adopts the amended Class II and Class Ill

TribaI~ Gaming Ordinance of 2001 (final version dated 10-04-01) attached

hereto, and the Tribal Chairperson is authorized to execute all documents

necessary to implement this Resolution.

BE IT FURTHER RESOLVED, that the Tribes attorneys, Monteau, Peebles & Crowell,

LLP, are directed to submit the attached Tribal Gaming Ordinance to the

National Indian Gaming Commission for approval.

R,çsoutwu 2001-28 2
C*E*R*T*I*F*I*C*A*T*I*O*N

This will certify that the foregoing resolution was considered at a meeting of the Tribal Council

of the Picayune Rancheria of the Chukchansi Indians, duly called on the 13th day of October,

2001, and was adopted by a vote of 4 for, ~against, and j~ abstentions. A quorum of

was present.

Dated this 13th day of October, 2001.

Dixie4ackso~~C1~airperson

Picayune Rancheria of the Chukchansi Indians

ATTEST:

(Q1i~~

Tribal Secretary

Tribal Council

cR.çsolut ion 2001-28 3
10-04-01

TRIBAL GAMiNG ORDINANCE

OF THE

PICAYUNE RANCHERL4 OF

CHUKCHANSI INDIANS

TITLE I

REGULATION OF CLASS II AND CLASS III GAMING

A law to authorize, license and regulate the conduct of Class II and Class III Gaming within the

jurisdiction of the PICA YUNE RANCHERIA OF THE CHUKCHANSI INDIANS.

SECTION 1. FDI~DINGS, Th~TENT AND POLICY

1.1 Findings The PICAYUNE RANCHERIA OF THE CHUKCHANSI INDIANS

(Tribe or Tribal) on behalf of the General Council finds that:

1.1.1 Tribal regulation and control of Gaming within the jurisdiction of the

Tribe is essential for the protection of public health and welfare of the

Tribe and visitors to the Tribal community.

1.1.2 The Tribe has the legal authority to license and regulate any Gaming

Activity within the jurisdiction of the Tribe.

1.1.3 Properly licensed and regulated Gaming are in conformance with

announced Federal policy promoting Indian self-government and Indian

Tribal economic self-sufficiency.

1.1.4 It is essential that the Tribal Council regulate Gaming in a manner

commensurate with applicable Federal, State and Tribal law and policy.

1.1.5 The present needs of the Tribe are not adequately addressed by State and

Federal programs including the need for increased employment, training,

housing, health care, nutrition, educational opportunities, preservation of

culture, social services and community and economic development.
1.1.6 Tribal operation and licensing of Gaming is a legitimate means of

generating revenue to address the aforementioned needs and pursuing the

Tribes goals of self-sufficiency and self-determination.

1.1.7 The State, in recognition of the Tribes sovereign right and need for

Gaming, has entered into the Compact pursuant to the terms and

conditions of the Indian Gaming Regulatory Act.

1.1.8 As a result of the foregoing, the adoption of a new and expanded Gaming

Ordinance is in the best interest of the Tribe and State.

1.2 Intent The Tribal Council, on behalf of the Tribe, declares that the intent of this

Code is to:

1.2.1 Regulate, control, and oversee Gaming within the jurisdiction of the Tribe.

1.2.2 State, declare and otherwise clarify that a License related to Gaming is a

revocable privilege, not a right.

1.2.3 Ensure that the operation of Tribally regulated Gaming can continue as a

means of generating Tribal revenue.

1.2.4 Ensure that Gaming is conducted fairly and honestly by both Licensees

and players, and that it remain free from corrupt, incompetent,

unconscionable and dishonest practices.

1.2.5 Encourage Tribal economic development and employment opportunities.

1.2.6 Ensure that all Gaming revenue is used for the benefit of the Tribe and its

community.

1.2.7 Ensure that the Tribe agree to resolution of gaming disputes in a fair and

impartial forum.

1.2.8 Ensure that Tribal Gaming laws are strictly and fairly enforced upon

Persons involved in Gaming Activity within the jurisdiction of the Tribe.

1.3 Policy

1.3.1 Tribal Policy of Self-Government The Tribe is firmly committed to the

principle of Tribal self-government. Consistent with Federal policy, Net

Revenues received by the Tribe shall be utilized and expended by the

Tribal Council by resolution and only for the following purposes:

(1) To fund Tribal government operations or programs.

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(2) To provide for the general welfare of the Tribe and its members.

(3) To promote Tribal economic development.

(4) To donate to charitable organizations.

(5) To help to fund operations of local government agencies, general

governmental services, the maintenance of peace and good order,

the establishment of educational systems and programs, and the

promotion and regulation of economic activities within the

sovereign jurisdiction of the Tribe.

1.3.2 Tribal Gaming Policy The establishment, promotion and operation of

Gaming is a desirable economic activity, provided that such Gaming is

regulated and controlled by the Tribe pursuant to the Tribal/State Compact

authorized by the Indian Gaming Regulatory Act, and that the Net

Revenues received by the Tribe from Gaming are used exclusively for the

benefit of the Tribe.

1.3.3 Tribal Ownership of Gaming Facility The Tribe shall have sole

proprietary interest in and responsibility for the conduct of Gaming

Facilities andlor Enterprises authorized by this Code.

1.3.4 Tribal Class II Gaining Authorized Class II Gaming is authorized as

defined in the IGRA, P.L. 100-447, 25 U.S.C. Section 2703(7)(A) and by

regulations promulgated by the NTGC.

1.3.5 Tribal Class III Gaming Authorized Class III Gaming is authorized and

permitted only with respect to the games identified pursuant to Section

4. 1 of the Tribal/State Compact as approved by the Secretary of the

Interior, and played in accordance within the definitions and scope of the

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

promulgated by the NIGC.

SECTION 2. DEFINITIONS

In this Code, except where otherwise specifically provided or the context otherwise

requires, the following terms and expressions shall have the following meanings:

2.1 Adjusted Gross Revenues means gross revenues less all cash prizes or the

aggregate price of merchandise prizes, except in the case of the games of draw

poker and stud poker. Regarding games of draw poker and stud poker, adjusted

gross revenues means the time buy-ins or tournament fees collected by the

Licensee.

2.2 Applicant means any Person or entity who has applied for a License under the

provisions of this Code.

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2.3 Application means a request for the issuance of a License for employment ata

Gaming Facility, or for approval of any act or transaction for which approval is

required or permitted under the provisions of this Code.

2.4 Association means representatives from California tribes, the California State

Division of Gaming Control and the California Gambling Control Commission as

established pursuant to Section 2.2 of the Compact.

2.5 Authority means the Chukchansi Economic Development Authority, a body

corporate and politic, and an agency and instrumentality of the Tribe.

2.6 Bingo 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

or other designations, in which the holder of each 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, tipjars, instant bingo and other games similar to bingo.

2.7 Breakage means the remainder by which the amount payable on each dollar

wagered exceeds a multiple often cents, and in a minus pool, five cents.

2.8 Capital Cost means any disbursement for personal property, the useful life of

which is expected to extend beyond one year.

2.9 Cash means any currency commonly accepted as legal tender, including but

not limited to currency, travelers checks, credit cards, and electronic debit cards.

2.10 Casino means an establishment in which several Gaming activities or

enterprises are operated.

2.11 Charitable Gaming Ticket means any game piece used in the play of a paper

pull tab game, or jar ticket game, or raffle.

2.12 Cheating means a Persons operating or playing in any game in a manner in

violation of the written or commonly understood rules of the game, with the intent

to create for himself or someone in privity with him an advantage over and above

the chance of the game.

2.13 Class II Gaming means those Gaming activities defined as Class II Gaming in

the IGRA.

4
2.14 Class Ill Gaming means those Gaming activities defined as Class III Gaming

in the IGRA.

2.15 Code means this Tribal Gaming Ordinance of the Picayune Rancheria of the

Chukchansi Indians, as amended.

2.16 Compact means the Gaming compact between the Tribe and the State, as

authorized by the Indian Gaming Regulatory Act.

2.17 Compensation means all wages salaries, perks, bonuses and all other forms of

remuneration for services rendered.

2.18 Contract means any legally binding agreement made between a Licensee and

another Person for the purpose of conducting any form of lawful Gaming

Activity, or providing goods or services to any lawful Gaming Activity or

operation.

2.19 Council or Tribal Council means the governing body of the Tribe.

2.20 Determination of Suitability means a formal finding by the Tribal

Commission or State Gaming Agency that the Applicant or Licensee is suitable to

obtain and/or maintain a License.

2.21 Employee means any person who (a) operates, maintains, repairs, assists in any

Gaming Activity, works in, or is in any way responsible for supervising such

Gaming Activities or persons who conduct, operate, account for, or supervise any

such Gaming Activity, (b) is in a category under federal or Tribal gaming law

requiring licensing, (c) is an employee of the Tribal Gaming Commission with

access to confidential information, or (d) is a person whose employment duties

require or authorize access to areas of the Gaming Facility that are not open to the

public.

2.22 Enrolled Tribal Member means a Person who is enrolled with the Tribe, and

whose name appears on the tribal membership roll.

2.23 Enterprise means the economic entity that is licensed by the Tribal

Commission, operates the games, receives the revenues, issues the prizes, and

pays the expenses. A gaming enterprise may be operated by the Tribe or a

Management Contractor.

2.24 Equipment for Games of Chance (see Gaming Device).

2.25 Exclusive License means a license, which precludes the Tribal Commission

from issuing to another a license for the same specific form of Gaming during the

life of the exclusive license. An Applicant must demonstrate and the Tribal

5
Commission must find that the issuance of an Exclusive License is in the

economic interest and welfare of the Tribe.

2.26 Financial Source as that term is used in 5.1.4 of the Compact and in this Code,

means every Person with whom the Tribe enters into an agreement or Contract for

the purpose of extending financing to the Tribe, the proceeds of which are used

either directly or indirectly to finance the Gaming Facility or Enterprise.

2.27 Games of Chance means any game or activity, which falls within the broad

definition of Gaming or Gaming Activity.

2.28 Gaming or Gaming Activity means any activity, operation or game of

chance in which any valuable consideration may be wagered upon the outcome

determined by chance, skill, speed, strength or endurance, and in which any

valuable prize is awarded to the player so wagering.

2.29 Gaming Device means a slot machine, including an electronic,

electromechanical, electrical, or video device that, for consideration permits:

individual play with or against that device or the participation in any electronic,

electromechanical, electrical, or video system to which that device is connected;

the playing of games thereon or therewith, including, but not limited to, the

playing of facsimiles of games of chance or skill; the possible delivery of, or

entitlement by the player to, a prize or something of value as a result of the

application of an element of chance; and a method for viewing the outcome, prize

won, and other information regarding the playing of games thereon or therewith.

2.30 Gaming Facility or Gaming Establishment means any building in which

Class III Gaming Activities or Gaming operations occur, or in which the business

records, receipts, or other funds of the Gaming operation are maintained (but

excluding offsite facilities primarily dedicated to storage of those records, and

financial institutions), and all rooms, buildings, and areas, including hotels,

ancillary businesses, parking lots and walkways, a principal purpose of which is

to serve the activities of the Gaming operation, provided that nothing herein

prevents the conduct of Class II Gaming (as defined under IGRA) therein.

2.31 Gaming Program means any Tribal program, which oversees one or more

parts of the operation of Gaming. The Gaming Program must be licensed by the

Tribal Commission.

2.32 Gaming Vendor means the same as a Gaming Resource Supplier as defined

by the Compact or any Person or entity who, directly or indirectly, manufactures,

distributes, supplies, vends, leases or otherwise purveys Class II Gaming or Class

III Gaming resources to the Gaming Facility, provided that the Tribal

Commission may interpret this definition to exclude a purveyor of equipment or

furniture that is not specifically designed for, and is distributed generally for use

other than in connection of Gaming

6
2.34 General Manager means the Person having management responsibilities for

the Gaming Activity, and which shall have access to all areas of the Gaming

Facility.

2.35 Gross Revenues means all gaming and non-gaming revenues collected or

received from the lawful Gaming Enterprise.

2.36 Immediate Family means, with respect to the Person under consideration, a

husband, wife, father, mother, son, daughter, brother, sister, father-in-law,

mother-in-law, son-in-law, daughter-in-law, brother-in-law, sister-in-law,

stepfather, stepmother, stepson, stepdaughter, stepbrother, stepsister, half brother

or half sister.

2.37 Indian Gaming Regulatory Act or IGRA means Public Law 100-497, 102

Stat. 2426,25 U.S.C. §~2701, et seq. (1988), as amended.

2.38 Indian Lands means:

2.38. 1 Lands within the limits of the Tribes exterior boundaries, whereby the

Tribe exercises sovereign jurisdiction over such lands, notwithstanding the

issuance of any patent and including rights-of-way running through such

lands; and

2.38.2 Lands title to which is either held in trust by the United States for the

benefit of the Tribe or individual Indian or held by the Tribe subject to

restriction by the United States against alienation and over which the Tribe

exercises governmental powers; and

2.38.3 Lands that may be acquired by the Tribe that meet the requirements of 25

U.S.C. Section 2719 et. seq.

2.39 In privity with means a relationship involving one who acts jointly with

another or as an accessory before the fact to an act committed by the other or as a

co-conspirator with the other.

2.40 IRS means the United States Internal Revenue Service.

2.41 Key Employee means:

2.41.1 A Person who performs one or more of the following functions:

(1) Bingo caller;

(2) Counting room supervisor and personnel;

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(3) Chief of security, or any Person who supervises or directs other

employees engaged in providing security or surveillance services;

(4) Custodian of Gaming supplies or cash;

(5) Floor manager, manager or General Manager;

(6) Pit boss;

(7) Dealer;

(8) Croupier;

(9) Approver of credit or whose recommendation in this regard are

ordinarily sought or followed; or

(10) Custodian of gambling devices including Persons with access to

cash and accounting records within such devices;

2.41.2 If not otherwise included, any other Person whose total cash compensation

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

2.4 1.3 If not otherwise included, any other Person who supervises or directs other

employees engaged in the control of Gaming assets and revenues and

record keeping, including the recording of cash and evidences in

indebtedness, and the maintenance, review, or control of the records,

accounts, and reports of transactions; or

2.41.4 If not otherwise included, the four most highly compensated Persons in the

Gaming Facility; or

2.41.5 Any Applicant or Person the Tribal Commission finds is important or

necessary to the operation of the Gaming Facility.

2.42 License means the official, legal and revocable permission granted by the

Tribal Commission to an Applicant to conduct Licensed Gaming Activities of

the Tribe.

2.43 Licensee means the Employee, Key Employee, Primary Management Official,

Vendor, Enterprise or Facility that has legitimately obtained a valid License.

2.44 Lotto means a form of Gaming in which the revenues derived from the sale of

tickets or chances are pooled and those revenues or parts thereof allotted by

chance to one or more chance takers or ticket purchasers. The amount of cash

prizes or winnings is determined by the Licensee conducting the lottery, and a

progressive pooi is permitted.

8
2.45 Management Contract means any Contract for the management of Class II or

Class Ill Gaming within the meaning of IGRA and any Contract entered between

the Tribe and a Vendor, which authorizes the Vendor to manage any Gaming or

Gaming Facility, including any Contract defined as a Management Contract under

IGRA by the NTGC.

2.46 Management Contractor means any Person or entity who has entered into a

Class II or Class III Gaming Management Contract or is a Vendor who is

authorized to manage Gaming or Gaming Facility, including any Person who is

regarded as a Management Contractor within the meaning of IGRA or the NIGC.

2.47 National Indian Gaming Commission or NIGC means the National Indian

Gaming Commission established by the IGRA.

2.48 Net Revenues means Gross Revenues less amounts paid out as prizes and less

total Gaming related operating expenses, excluding Management Contractor fees.

2.49 Participate in any Gaming means operating, directing, financing or in any way

assisting in the establishment of or operation of any class of Gaming or any site at

which such Gaming is being conducted, directly or indirectly, whether at the site

in Person or off the Reservation.

2.50 Person means any individual, partnership, joint venture, corporation, joint

stock company, company, firm, association, trust, estate, club, business trust,

municipal corporation, society, receiver, assignee, trustee in bankruptcy, political

entity and any owner, director, officer or employee of any such entity or any

group of individuals acting as a unit, whether mutual, cooperative, fraternal,

nonprofit, or otherwise, the government of the Tribe, any governmental entity of

the Tribe or any of the above listed forms of business entities that are wholly

owned or operated by the Tribe; provided, however, that the term does not include

the Federal Government and any agency thereof. The plural of Person is

people.

2.51 Player means a Person participating in a game with the hope of winning

money or other benefit, but does not include an Licensee or any assistant of an

Licensee.

2.52 Primary Management Official means:

2.52.1 The Person having management responsibility for the overall operation of

the Enterprise or Facility, or a management contract; or

2.52.2 Any Person who has authority to:

9
(1) Hire and fire employees; or

(2) Set up working policy for the Gaming Operation; or

(3) The Chief Financial Officer or other Person who has financial

management responsibility.

2.53 Progressive Gaming means any game in which a cash prize which, not being

won by any player during any game, is retained and further monetarily enhanced

by the Licensee or eligible organization, and offered as a prize to players in the

next game.

2.54 Pull-tabs, Punchboards and Tip Jars means a form of Gaming in which

preprinted cards utilizing symbols or numbers in random order which are

uncovered by random choice in expectation of cash prizes if prescribed

combinations of symbols and numbers are revealed.

2.55 Raffle means a form of Gaming in which each player buys a ticket for a chance

to win a prize with the winner determined by a random method. Raffle does not

include a slot machine.

2.56 Reservation means lands defined as Indian Lands herein.

2.57 State means the State of California.

2.58 State Gaming Agency means the entity of the State pursuant to the

Gambling Control Act, pursuant to Division 8 of the Business and Professions

Code, Chapter 5, Sec. 19800 et. seq.

2.59 State Gaming Facility Compliance Agent means the Person appointed

pursuant to Section 6.4.2(d) of the Compact.

2.60 Tribal Commission means the Tribes Gaming Commission described in

Section 4 of this Code.

2.61 Tribal Court means any Court created by the Tribe pursuant to the Tribes

Constitution.

2.62 Tribe means the Picayune Rancheria of the Chukchansi Indians, including the

Authority and any other political subdivision, agency or instrumentality of the

Tribe.

2.63 Wager means the initial bet made in any game.

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SECTION 3. GENERAL PROVISIONS

3.1 Authority This Code is enacted pursuant to the inherent sovereign powers of the

Tribe pursuant to Article IV, Section 2, of the Constitution, and pursuant to the

powers of the Tribal Council pursuant to Article V of the Constitution.

3.2 Title, Repeal of Prior Laws, and Effect of Repeal This Code may be cited as

the Picayune Rancheria of the Chukchansi Indians Gaming Code or Code.

3.2.1 All titles, chapters and sections of the Tribal Code which pertain to

Gaming and are in effect as of the date that this Code becomes operative,

are hereby repealed, and all other laws, or parts thereof~ inconsistent with

the provisions of this Code are hereby repealed.

3.2.2 Repeal of this Code, or any portion thereof, shall not have the effect of

reviving any prior Law, Ordinance, or Resolution theretofore repealed or

suspended.

3.3 Construction In construing the provisions of this Code, unless the context

otherwise requires, the following shall apply:

3.3.1 This Code shall be liberally construed to effect its purpose and to promote

substantial justice.

3.3.2 Words in the present tense include the future and past tenses.

3.3.3 Words in the singular number include the plural, and words in the plural

number include the singular.

3.3.4 Words of the masculine gender or neuter include masculine and feminine

genders and the neuter.

3.4 Severability If any section of this Code is invalidated by a court of competent

jurisdiction, the remaining sections shall not be affected thereby.

3.5 Effective Date The Code shall become effective upon the date of its approval by

the Chairman of the NIGC pursuant to the IGRA.

SECTION 4. TRIBAL GAMII~G COMMISSION

4.1 Establishment The Tribal Council hereby charters, creates and establishes the

Picayune Rancheria of the Chukchansi Indians Tribal Gaming Commission as a

governmental subdivision of the Tribe.

4.1.1 The Picayune Rancheria of the Chukchansi Indians Tribal Gaming

Commission shall be referred to throughout this Code as the Tribal

11
Commission.

4.2 Location and Place of Business

4.2.1 Gaming Facility The Tribal Commission shall maintain its

headquarters, principal place of business and office within the Gaming

Facility.

4.2.2 Other Locations The Tribal Commission may, however, with a majority

vote from the Tribal Council, establish other places of business in such

other locations as the Tribal Commission may from time to time determine

to be in the best interest of the Tribe.

4.3 Duration The Tribal Commission shall have perpetual existence and succession

in its own name, unless dissolved by the Tribal Council pursuant to Tribal law.

4.4 Attributes As a governmental subdivision of the Tribe, the Tribal Commission is

under the directive and control of the Tribal Council, but it is the purpose and

intent of the Tribal Council that the operations of the Tribal Commission be

conducted on behalf of the Tribe for the sole benefit and interests of the Tribe, its

members and the residents of the Reservation.

4.4.1 Arm of Tribe In carrying out its purposes under this Code, the Tribal

Commission shall function as an arm of the Tribe.

4.4.2 Tribal Actions Notwithstanding any authority delegated to the Tribal

Commission under this Code, the Tribe reserves to itself the right to bring

suit against any Person or entity in its own right, on behalf of the Tribe or

on behalf of the Tribal Commission, whenever the Tribe deems it

necessary to protect the sovereignty, rights and interests of the Tribe or the

Tribal Commission.

4.5 Recognition as a Political Subdivision of the Tribe The Tribe, on behalf of the

Tribal Commission, shall take all necessary steps to acquire recognition of the

Tribal Commission as a political subdivision of the Tribe, recognized by all

branches of the United States Government as having been delegated the right to

exercise one or more substantial governmental functions of the Tribe.

4.6 Sovereign Immunity of the Tribal Commission

4.6.1 Authority The Tribal Commission is clothed by Federal and Tribal law

with all the privileges and immunities of the Tribe, except as specifically

limited by this Code, including sovereign immunity from suit in the State,

Federal or Tribal Court.

4.6.2 No Waiver Nothing in this Code shall be deemed or construed to be a

12
waiver of sovereign immunity of the Tribal Commission from suit, which

shall only be waived pursuant to subsection 4.7 below.

4.6.3 No Consent to Jurisdiction Nothing in this Code shall be deemed or

construed to be a consent of the Tribal Commission to the jurisdiction of

the United States or of any state or of any other tribe with regard to the

business or affairs of the Tribal Commission.

4.7 Waiver of Sovereign Immunity of the Tribal Commission Except as specified

in Section 4.7.5 below, the sovereign immunity of the Tribal Commission may be

waived only by express resolutions of both the Tribal Commission and the Tribal

Council after consultation with its attorneys.

4.7.1 Resolution Effecting Waiver All waivers of sovereign immunity must be

preserved with the resolutions of the Tribal Commission and the Tribal

Council of continuing force arid effect.

4.7.2 Policy on Waiver Waivers of sovereign immunity are disfavored and shall

be granted only when necessary to secure a substantial advantage or

benefit to the Tribal Commission.

4.7.3 Limited Nature of Waiver Waivers of sovereign immunity shall not be

general but shall be specific and limited as to duration, grantee,

transaction, property or funds, if any, of the Tribal Commission subject

thereto, court having jurisdiction pursuant thereto and law applicable

thereto.

4.7.4 Limited Effect of Waiver Neither the power to sue and be sued provided

in subsection 4.7 herein, nor any express waiver of sovereign immunity by

resolution of the Tribal Commission, shall be deemed a consent to the levy

of any judgment, lien or attachment upon property of the Tribal

Commission other than property specifically pledged or assigned, or a

consent to suit in respect of any land within the exterior boundaries of the

Reservation or a consent to the alienation, attachment or encumbrance of

any such land. -

4.7.5 Limited Waiver for Arbitration Actions With the passage of this Code,

the Tribal Commission and Tribal Council hereby expressly waive the

sovereign immunity of the Tribal Gaming Commission from arbitration

actions, suit and judgment arising from Contracts entered into by the

Tribal Commission in connection with the financing, development,

management, and operation of Gaming.

4.8 Sovereign Immunity of the Tribe Except as expressly waived in this section

below, and in Title II, Section 16, all inherent sovereign rights of the Tribe as a

Federally-recognized Indian Tribe, with respect to the existence and activities of

13
the Tribal Council, are hereby expressly reserved, including sovereign immunity

from suit in any state, Federal or Tribal court. The Tribe, however, does waive its

sovereign immunity from arbitration actions, suit and judgment for disputes

arising out of Contracts entered into by the Tribe, the Authority andlor the Tribal

Council in connection with the financing, development, management, and

operation of gaming.

4.9 Assets of the Tribal Commission The Tribal Commission shall have only those

assets specifically assigned to it by the Tribal Council or acquired in its name by

the Tribe or by it on its own behalf. No activity of the Tribal Commission nor any

indebtedness incurred by it shall implicate or in any way involve any assets of

tribal members or the Tribe not assigned in writing to the Tribal Commission.

4.10 Membership

4.10.1 Number of Commissioners The Tribal Commission shall be comprised of

three (3) Tribal Gaming Commissioners.

4.10.2 Organization The Commission will consist of a Chairman and two (2)

Commissioners.

(1) The Chairman shall direct Tribal Commission meetings, be the

supervisor, and be responsible for the day-to-day operations of the

Tribal Commission.

(2) The Chairman shall be the agent for service of process.

(3) The Tribal Commission shall keep minutes of meetings and provide a

copy to the Tribal Council.

4.10.3 Qualifications for Tribal Commission Positions

(1) Preference shall be given to Enrolled Tribal Members.

(2) Must piss the scrutiny of a background check pursuant to 4.10.5

below.

(3) Tribal Commissioners shall have expertise, experience, education

or a combination thereof in the following areas: finance,

management, legal, business, governmental regulation, and Tribal

policy and law.

(4) Tribal Commissioners shall be at least twenty-five (25) years of

age.

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4.10.4 Date of Appointment The Tribal Council shall appoint initial Tribal

Commissioners as soon as practically possible following adoption of this

Code. All subsequent appointments shall be made annually thereafter at

the General Council Meeting held during the month of the anniversary

date of the initial appointment(s).

4.10.5 Background Check Prior to the time that any Tribal Commission member

takes office on the Tribal Commission, the Tribe shall perform or arrange

to have performed a comprehensive background check on each

prospective member. No Person shall serve as a Commissioner if:

(1) His/Her prior activities, criminal record, if any, or reputation,

habits or associations:

(i) Pose a threat to the public interest; or

(ii) Threaten the effective regulation and control of Gaming; or

(iii) Enhance the dangers of unsuitable, unfair, or illegal

practices, methods, or activities in the conduct of Gaming;

or

(2) He/She has been convicted of or entered a plea of nob contendere

to a felony of any jurisdiction or to a misdemeanor involving

dishonesty or moral turpitude in any jurisdiction; or

(3) He/She has a direct monetary or financial interest in the conduct

of any Gaming Enterprise or is in privity with a Management

Contractor; or

(4) He/She is presently a member of the Tribal Council.

4.11 Term of Office The Tribal Commission shall be appointed as follows: the

Chairman shall be appointed for three (3) years; a Commissioner appointed for

two (2) years; and a Commissioner appointed for one (1) year. Upon the

expiration of the first terms, each Commissioner thereafter shall be appointed for

three (3) year staggered terms.

4.12 Ex-Officio Members At the direction of the Tribal Council, any member of the

Tribal Council, Tribal or Bureau of Indian Affairs employee, or any other Person

may be designated to Participate, without vote, in Tribal Commission meetings.

4.13 Meetings

4.13.1 Regular Meetings The Tribal Commission shall meet formally each

Monday. Nothing in this Code shall prohibit the Commission from

authorizing telephone and off-site meetings.

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4. 13.2 Special Meetings Special meetings may be called at the request of the

Tribal Council or the Chairman of the Tribal Commission.

4.13.3 Quorum A quorum for all meetings shall consist of two (2) members.

4.13.4 Voting All questions arising in connection with the actions of the Tribal

Commission shall be decided by majority vote.

4.14 Compensation of Commissioners The compensation of Tribal Commissioners

shall be established by the Tribal Council.

4.15 Removal of Members or Vacancies

4.15.1 Removal A Commissioner may be removed by the Council for the

following reasons: serious inefficiency, neglect of duty, malfeasance,

misfeasance, nonfeasance, misconduct in office, or for any conduct which

threatens the honesty and integrity of the Tribal Commission or otherwise

violates the letter or intent of this Code.

4.15.2 Due Process Except as provided below, no Commissioner may be

removed without notice and an opportunity for a hearing before the

Council, and then only after the Commissioner has been given written

notice of the specific charges at least ten (10) days prior to such hearing.

At any such hearing, the Commissioner shall have the opportunity to be

heard in Person or by counsel and to present witnesses on his behalf

4.15.3 Temporary Suspension If the Council determines that immediate

suspension of a Commissioner is necessary to protect the interests of the

Tribe, the Council may hold a hearing with the Commissioner to suspend

the Commissioner temporarily, and the question of permanent removal

shall be determined thereafter pursuant to Tribal Commission hearing

procedures pursuant to 4.15.2 herein.

4.15.4 Written Record A written record of all removal proceedings together with

the charges and findings thereon shall be kept by the Tribal Secretary.

4.15.5 Removal Final The decision of the Tribal Council upon the removal of a

Commissioner shall be final.

4.15.6 Vacancies If any Commissioner shall die, resign, be removed or for any

reason be unable to serve as a Commissioner, the Council shall declare

his/her position vacant and shall appoint another Person to fill the position

within thirty (30) days of the vacancy. The terms of office of each Person

appointed to replace an initial Commissioner shall be for the balance of

any un-expired term for such position provided, however, that any

16
prospective appointee must meet the qualifications established by this

Code.

4.16 Conflict of Interest No Person shall serve as a Commissioner if he/she or any

member of his/her Immediate Family has an ownership, partnership or other

direct financial interest, other than a regular salary interest, in any Gaming

Enterprise, or if he/she has any other Personal or legal relationship which places

him/her in a conflict of interest.

4.17 Powers of the Tribal Commission In furtherance, but not in limitation, of the

Tribal Commissions purposes and responsibilities, and subject to any restrictions

contained in this Code or other applicable law, the Tribal Commission shall have,

and is authorized to exercise by majority vote, the following powers in addition to

all powers already conferred by this Code:

4.17.1 To reasonably inspect and regulate all Gaming within the jurisdiction of

the Tribe, provided that the Commission does not make management

decisions as to the day-to-day operations of the Gaming Enterprise.

4.17.2 To investigate any reported violations of this Code, the Compact, or any

other applicable law regarding Gaming within the jurisdiction of the Tribe.

4.17.3 To act as liaison with the NTGC, the California Division of Gambling

Control and the California Gaming Control Commission.

4.17.4 To publish and distribute copies of this Code and Tribal Commission rules

and any Tribal Council, Tribal Commission or Tribal Court decisions

regarding Gaming matters.

4.17.5 To prepare and submit for Tribal Council approval proposals, including

budget and monetary proposals related to the operation of the Tribal

Commission, which could enable the Tribe to better carry forth the

policies and intent of this Code.

4.17.6 To work directly, and only with the Tribal Council with regard to any

Gaming issues.

4.17.7 To make or cause to be made reasonable inspections or investigations as it

deems necessary to ensure compliance with this Code. In undertaking

such investigations, the Tribal Commission may request the assistance of

Tribal Gaming staff, Federal and local law enforcement officials, legal

counsel and other third parties.

4.17.8 To arrange for training of Tribal Commission members and employees in

areas relating to the regulation or operation of Gaming.

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4.17.9 Upon prior explicit resolution and approval of the Tribal Council, to

employ such advisors as it may deem necessary. Advisors may include,

but are not limited to, lawyers, accountants, law enforcement specialists

and Gaming professionals.

4.17.10 To promulgate rules and regulations to implement and further the

provisions of this Code; provided such rules or regulations are approved

by Tribal Council resolution or ordinance.

4.17.11 To accept, review, approve or disapprove any Application for a License.

4.17.12 To consult with and make recommendations to the Tribal Council

regarding changes in Tribal Gaming laws and policies.

4.17.13 To examine under oath, either orally or in writing, in hearings or

otherwise any Person or agent, officer or employee of any Person, or any

other witness with respect to any matters related to this Code, including

enforcement of tribal Gaming laws, regulations, and policies, and to

compel by subpoena the attendance of witnesses and the production of

any books, records, and papers with respect thereto.

4.17.14 To make, or cause to be made by its agents or employees, an examination

or investigation of the place of business, equipment, facilities, tangible

Personal property and the books, records, papers, vouchers, accounts,

documents and financial statements of any Gaming operating, or

suspected to be operating, within the jurisdiction of the Tribe.

4.17.15 To delegate to an individual member of the Tribal Commission, or to an

individual member of the Tribal Council, or Tribal staff, such of its

functions as may be necessary to administer these ordinances efficiently;

provided, that the Tribal Commission may not re-delegate its power to

exercise any of the substantial governmental functions of the Tribe or its

power to promulgate rules and regulations; and provided further that the

Tribal Gaming Commission may not delegate to any Person the power to

permanently revoke a License.

4.17.16 To issue fines and sanctions to the Gaming Facility if it is operating in

violation of this Code, and report significant violations of the Compact to

the State Gaming Agency.

4.17.17 To sue or be sued in courts of competent jurisdiction within the United

States and Canada, subject to Sections 4.6 and 4.7 herein; provided, that

no suit shall be brought by the Tribal Commission without the prior

explicit written approval of the Tribal Council.

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4.17.18 To use the seal of the Tribal Gaming Commission or the seal of the Tribe

with the approval of the Tribal Council.

4.17.19 To arbitrate, compromise, negotiate or settle any dispute to which it is a

party relating to the Tribal Commissions authorized activities.

4.17.20 To exercise the Tribal power to tax, authorized by the Tribal Constitution

in accordance with a Tribal Council resolution delegating such power to

the Tribal Commission solely for the purpose of allowing it to charge

administrative and License Application fees to Gaming License

Applicants which are reasonably related to the costs of operating the

Tribal Commission.

4.17.21 To purchase insurance from any stock or mutual company for any

property or against any risk or hazard.

4.17.22 With prior approval of the Tribal Council, to make application and accept

grants and other awards from private and governmental sources in

carrying out or furthering the purposes of the Tribal Commission or the

Tribe.

4.17.23 To establish and maintain such bank accounts as may be necessary or

convenient.

4.17.24 To require the filing of any records, forms, and reports and all other

information desired by the Tribal Council or required by this Code.

4.17.25 To provide for an internal system of record keeping with adequate

safeguards for preserving confidentiality as deemed necessary by the

Tribal Commission for retaining records, forms and reports at least three

(3) years.

4.17.26 To adopt a schedule of fees to be charged for Licenses.

4.17.27 To adopt a schedule of fees for services rendered relating to transcripts

and the furnishing or certifying of copies of proceedings, files, and

records.

4.17.28 To conduct or arrange for background investigations of all Applicants.

4.17.29 To discipline any Licensee or Person participating in Gaming by ordering

immediate compliance with this Code, and to issue an order of temporary

suspension of any License issued under this Code.

4.17.30 To issue an order of temporary closure of a Gaming Facility in the event

the Tribal Commission determines that immediate closure is necessary to

19
protect assets or interests of the Tribe pursuant to the due process and

hearings required by Section 4.22 herein.

4.17.31 To become self-regulating whenever the Tribe becomes eligible for a

certificate of self-regulation under the IGRA.

4.17.32 To file with the State Gaming Agency a request to be heard on any denial

of a Determination of Suitability.

4.17.33 To ask for the assistance of the State Gaming Agency to carry out the

Class III provisions of this Code and to reimburse the State Gaming

Agency for any costs that it occurs in the provision of this service.

4.17.34 To assist the Management Contractor in taking all steps necessary and

appropriate to insure the physical safety of all Tribal Gaming Enterprises,

their Licensees, patrons and employees.

4.17.35 Notwithstanding any authority granted herein, the Tribal Commission

shall endeavor to follow rules, regulations, standards, specification and

procedures which are consistent with the State Gaming Agencys rules,

regulations, standards, specifications and procedures adopted pursuant to

Sections 6.0 through 8.0 of the Compact.

4.17.36 To enact and adhere to its own internal controls including a Conflict of

Interest Policy governing Commissioners and Tribal Gaming

Commission staff.

4.18 Annual Budget The Tribal Commission shall prepare an annual operating

budget for all Tribal Commission activities and present it to the Tribal Council by

October 15 of each year.

4.19 Tribal Commission Regulations

4.19.1 Tribal Commission regulations necessary to carry out the orderly

performance oflts duties and powers shall include, but shall not be limited

to, the following:

(1) The Minimum Internal Control Standards (MIICS) as issued by

the NIGC;

(2) Interpretation and application of this Code, as may be necessary to

enforce the Tribal Commissions duties and exercise its powers;

(3) A regulatory system for overseeing Gaming, including accounting,

contracting, management and supervision;

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(4) The findings of any reports or other information required by or

necessary to implement this Code; and

(5) The conduct of inspections, investigations, hearings, enforcement

actions and other powers of the Tribal Commission authorized by

this Code.

4.19.2 No regulation of the Tribal Commission shall be of any force or effect

unless it is adopted by the Tribal Commission by written resolution and

subsequently approved by a resolution of the Tribal Council and both

resolutions filed for the record in the office of the Tribal Secretary.

4.20 Right of Entrance; Bi-Monthly Inspection. The Tribal Commission and duly

authorized officers and employees of the Tribal Commission, during regular

business hours, may reasonably enter upon any premises of any Licensee or

Gaming Facility for the purpose of making inspections and examining the

accounts, books, papers and documents of any such Gaming Facility.

4.20. 1 Aid to Entry The Gaming Facility staff shall facilitate such inspection or

examinations by giving every reasonable aid to the Tribal Commission

and to any properly authorized officer or employee.

4.20.2 Frequency of Inspection A Commissioner or a member of the Tribal

Commissions staff shall visit each Gaming Facility at least once every

two weeks during normal business hours for the purpose of monitoring its

operation. Such visits shall be unannounced.

4.21 Investigation The Tribal Commission, upon complaint or upon its own initiative

or whenever it may deem it necessary in the performance of its duties or the

exercise of its powers, may investigate and examine the operation and premises of

any Person or Licensee within its jurisdiction. In conducting such investigation,

the Tribal Commission shall make no order or final decisions without affording

any affected party notice and a hearing.

4.22 Due Process; Notice; Hearings; Examiner The Tribal Commission shall

provide due process and provide notice and a hearing if it is to utilize any of its

enforcement capabilities in the administration of its powers and duties hereunder.

4.22.1 No Hearing. Voluntary Resolution Whenever it shall appear to the

satisfaction of the Tribal Commission that all of the interested parties

involved in any proposed hearing have agreed concerning the matter at

hand, the Tribal Commission may dismiss the issue without a hearing.

4.22.2 Notice of Hearing The Tribal Commission shall, within 5 days after the

event giving rise to the concern, provide a written notice setting forth, with

specificity, the issues to be resolved.

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4.22.3 Hearing The Tribal Commission shall, within 5 days after the notice of

hearing pursuant to 4.22.2, provide the affected parties the right to present

oral or written testimony to all people interested therein as determined by

the Tribal Commission.

4.22.4 Examiner The Tribal Commission shall act as examiner for the purpose of

holding any hearing, or the Tribal Commission may appoint a Person

qualified in the law or possessing knowledge or expertise in the subject

matter of the hearing to act as examiner for the purpose of holding any

hearing. Any such appointment shall constitute a delegation to such

examiner of the powers of the Tribal Commission under this Code with

respect to any such hearing.

4.22.5 Decision The Examiner shall render a written opinion within 48 hours of

the hearing.

4.22.6 A decision of the Examiner shall be final; provided, however, that the

Tribe, the Authority, andlor the Tribal Commission may agree by Contract

that the rights of a party under a Contract for the financing, development,

operation and management of Gaming may be subject to arbitration and

other proceedings in accordance with such Contract.

4.23 Quarterly Report of Tribal General Manager Reports. The Tribal

Commission shall file a quarterly report to the Tribal Council summarizing

reports received from each of the Tribes Gaming Facilities and make such

comments as it deems necessary to keep the Tribal Council fully informed as to

the status of the Tribal Commissions activities.

SECTION 5. GAMD~G LICENSES

5.1 Applicability

5.1.1 Every Employee, Key Employee, Primary Management Official, Gaming

Enterprise, and~ Gaming Facility that aids, participates or is related to

Gaming is required to have a current and valid License as issued by the

Tribal Commission.

5.1.2 The Tribe will perform background investigations and issue licenses to

Key Employees and Primary Management Officials according to

requirements at least as stringent as those in 25 C.F.R. Parts 556 and 558.

5.1.3 Every Gaming Vendor that provides or receives, or is likely to provide or

receive at least Twenty-five Thousand Dollars in any twelve (12) month

period from the Enterprise is required to have a current and valid License

as issued by the Tribal Commission.

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5.1.4 Any Financial Source is required to have a current arid valid

License issued by the Tribal Commission, provided that any

Financial Source presently extending financing shall be Licensed

within Ninety (90) days of execution of this Code.

5.1.4.1 Exemptions: The following lenders, regardless of their

relationship to the Tribe, and regardless of whether they would

otherwise be considered a Financial Source, are exempt from the

Financial Source licensing requirements of this section: federally

or state regulated banks; federally or state regulated savings and

Joan institutions; any other federally or state regulated lending

institution including commercial lenders licensed under Division

9, Article 3, § 22000 et seq. of the California Finance Code; any

agency of the federal, State or local government; or any investor

who, extends financing, directly or indirectly, to the Tribe in an

amount less than 10% of the aggregate amount of outstanding

indebtedness (whether by loans, securities such as bonds or

otherwise) of the Tribe.

5.2 Application Procedure

5.2.1 Submission to Tribal Commission An Applicant seeking a License shall

submit an Application to the Tribal Commission on such form as the

Tribal Commission may require.

5.2.2. Privacy Act and False Statement The application form shall include the

following notices:

5.2.2.1. Privacy Act

In compliance with the Privacy Act of 1974, the solicitation

of 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

National Indian Gaming Commission members and staff

who have need for the information in the performance of

their official duties. The information may be disclosed to

appropriate Federal, Tribal, State, local, or foreign law

enforcement and regulatory agencies when relevant to civil,

criminal or regulatory investigations or prosecutions or

when pursuant to a requirement by a tribe or the National

Indian Gaming Commission in connection with the hiring

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

gaming license, or investigation of activities while

associated with a tribe or a gaming operation. Failure to

consent to the disclosures indicated in this notice will result

23
in a tribes 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 my result in

errors in processing your application.

5.2.2.2. False Statement

A false statement on any part of your application may be

grounds for not hiring you, or for firing you after you begin

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

(U.S. Code, title 18, section 1001).

5.2.3 Submission to State Gaming Agency The Applicant shall also submit an

application for a Determination of Suitability along with required releases

to the State Gaming Agency.

5.2.4 Application Contents At a minimum, and regardless of whether the

information is relevant for the type of License applied for, the Application

shall contain the following information:

(1) The full name (and other names ever used), address, telephone.

number, age, birth date and place, citizenship, gender, and social

security number or business identification number of the

Applicant.

(2) If the Applicant has resided at his current address for less than five v

years, his previous addresses.

(3) The name, address and telephone number of the Licensee for

whom he will work and the specific location at which he will be

employed. A description of the job, task, or service the Applicant

will provide.

(4) The names and addresses of the Applicants Immediate Family.

(5) The Applicants criminal and civil record, if any, and an

explanation of any crimes for which he has been convicted or civil

suits he has lost, or to which he has entered a plea of nob

coniendere.

(6) A disclosure of any judgment rendered against the Applicant.

(7) The names, addresses and telephone numbers of three references

who are not related to the Applicant.

24
(8) A list of the Applicants previous jobs over the preceding five (5)

years and his present business affiliations.

(9) The identity of any ownership interest in any past business

ventures.

(10) The disclosure of whether there is a previous contractual

relationship with an Indian tribe.

(11) A sworn statement whether the Applicant or any member of his/her

Immediate Family has a past or current financial interest in any

Gaming-related enterprise anywhere.

(12) A list of all Gaming-related licenses the Applicant has ever applied

for, whether or not they were granted such license.

(13) A list of all professional, occupational or business licenses the

Applicant has ever applied for, whether or not they were granted

such license.

(14) A statement of all languages written or spoken.

(15) Written permission giving the Tribal Commission, any authorized

State or local law enforcement agency, the State Gaming Agency

and NIGC or its designees the right to the Applicants background,

including his criminal record.

(16) A complete disclosure of any pending or anticipated civil or

criminal action against the Applicant.

(17) A sworn statement that if the License applied for is issued, the

Applicant will submit to the jurisdiction of the Tribe and the Tribal

Court.

(18) A sworn statement that the Applicant will abide by all applicable

Tribal and Federal laws, regulations and policies.

(19) A photograph of the Applicant taken within the past year.

(20) A written statement that the information contained in the

Application is true and correct to the best of Applicants

knowledge.

5.2.5 Business Entities In addition to the relevant information requested in

5.2.4, business entities shall also submit the following:

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(1) Each of its officers and directors;

(2) Each of its principle management employees, including any chief

executive officer, chief financial officer, chief operating officer,

and general manager;

(3) Each of its owners or partners, if an unincorporated business;

(4) Each of its members, if a limited liability company;

(5) Each of its shareholders who own more than 10 percent of the

shares of the corporation; and

(6) Each person or entity that, alone or in combination with others, has

provided financing in connection with Gaming authorized under

this Compact.

5.3 Review of License Application. The Tribal Gaming Commission shall

thoroughly review and conduct a background investigation for each Tribal

Gaming License Application sufficient to make a determination of eligibility as

required under this Code. The Tribal Gaming Commissions review and

background investigation shall include, but is not limited to the following:

5.3.1 The TribalGaming Commission shall enter into an agreement with the

Sheriffs Department of Madera County, State of California, to take each

Applicants fingerprints. Each Applicant shall submit the completed

fingerprint card along with his/her Application to the Tribal Gaming

Commission.

5.3.2 The Tribal Gaming Commission shall review diligently the information

provided in the Tribal Gaming License Application, including, but not

limited to, contacting and investigating all resources identified in the

Tribal Gaming License Application. An authorized Tribal official,

identified by the Tribal Gaming Commission, shall review an Applicants

prior activitie~, criminal record (if any), reputation, habits, and

associations in order to make an eligibility determination for Key

Employees and Primary Management Officials. For purposes of

conducting a criminal history check on each Key Employee and Primary

Management Official (in addition to the check of the criminal history

records information maintained by the Federal Bureau of Investigation, as

described below), the Tribal Gaming Commission shall enter into an

agreement with the Madera County Sheriffs Department for the

performance of criminal history checks by the Sheriffs department and

the processing, transmission and reporting of information and findings

relating to such criminal history checks.

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5.3.3 The Tribal Gaming Commission shall provide a written report as to

findings and conclusions of the foregoing background investigation,

including, but not limited to:

5.3.3.1 Steps taken in conducting diligence;

5.3.3.2 Results of the conducted diligence;

5.3.3.3 Conclusions from review of conducted diligence; and

5.3.3.4 The basis for those conclusions.

5.3.4 The Tribal Gaming Commission shall transmit the Applicants

Application, file, and eligibility determination report to the NIGC and the

State Gaming Agency.

5.3.5 The Tribal Gaming Commission shall maintain the Applicants file,

including applications, background investigation reports, and eligibility

determination reports, for inspection by the NIGC for no less than three

(3) years from the date of termination of employment.

5.3.6 The Tribal Gaming Commission, when it does not license an Applicant,

shall notify the NIGC and forward copies of the Tribal Gaming

Commissions eligibility determination report and the investigative report

(if any).

5.4 Authorized Entity for Fingerprint Cards. The Tribal Gaming Commission

may contract with any entity, with approval from the Tribal Council, and

authorize such entity to receive and process fingerprint cards for background

investigation purposes, so long as such background investigation shall, at a

minimum, include a check of criminal history records maintained by the Federal

Bureau of Investigation. The Tribal Gaming Commission, if it chooses not to

contract with any other entity, shall designate the NIGC as its authorized entity

for receiving and processing fingerprint cards for background investigation

purposes, so long as such background investigation ,

at a minimum, includes a

check of criminal history records information maintained by the Federal Bureau

of Investigation.

5.5 Notification and MOU with NIGC. If the Tribal Gaming Commission chooses

to utilize the NTGC pursuant to Section 5.4 above, the Tribal Gaming

Commission, with consent of the Tribal Council, shall notify the N1GC of the

forwarding of Tribal Gaming License applications to NTGC. Before obtaining

and processing fingerprint cards for background investigation purposes, the Tribal

Gaming Commission shall enter into a Memorandum Of Understanding (MOU)

with the NIGC providing that any and all criminal results obtained from the

27
fingerprint cards for background investigation purposes shall be viewed by Tribal

government officials only.

5.6 Scope and Types of License

5.6.1 Gaming Employee License Employee Gaming Licenses are for those

Employees that deal in an area of Gaming or Cash Handling within the

Gaming Facility or Enterprise. A License issued pursuant to this section

shall be effective for only the location, job and employer contained in the

Application; provided, however, nothing herein shall prohibit a Primary

Management Official or Key Employee from simultaneously performing

the duties and responsibilities of more than one position; provided further,

that the Primary Management Official or Key Employee is performing a

position that is directly in lineal descent below them in the organizational

structure of the Enterprise and that they are qualified and trained to

perform the duties of the positions so performed. Dealers may also be

permitted to deal various card games so long as they are qualified and

trained to perform the duties of the positions so performed and are

specifically licensed for those positions.

5.6.2 Non-Gaming Employee License A Non-Gaming Employee License is for

employees that are not permitted in areas of Gaming, for example, cooks,

kitchen staff, food servers, or hostess. A License issued pursuant to this

section shall be effective for only the location, job and employer contained

in the Application. These Licenses will not require the same level of

background scrutiny required for Gaming Licenses.

5.6.3 Part-Time or Full-Time Licenses The Employees License shall state

clearly whether the Employee is a part-time or full-time Employee.

5.6.4 Transferring Licenses A Licensee shall apply to have his/her license

transferred to a new location by requesting that transfer in writing to the

Tribal Commission in a mannerwhich details the new job and location.

5.7 Temporary Licensing Notwithstanding anything herein to the contrary, if the

Applicant has completed a License Application, the Tribal Commission may

immediately issue a temporary License if:

5.7.1 The Tribal Commission has conducted a preliminary, local, background

investigation; and

5.7.2 Based on the preliminary investigation, the information does not indicate

that the Applicant has a criminal history.

5.7.3 Temporary licenses may last no longer than 90 days.

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5.8 License Issuance, Term and Substance

5.8.1 Issuance Upon completion of the necessary background investigation, and

after the Tribe has complied with the 30-day NTGC review requirements

found in 25 C.F.R. §558.3 and §558.4, the Tribal Commission may issue a

License on a conditional or unconditional basis. If the NTGC objects to an

Applicant, the Tribe shall reconsider the Application, taking into account

the reasons for the objections noted by NTGC. However, the Tribe shall

have the final word on whether to license an Applicant. Nothing herein

creates a property right in the License.

5.8.2 Term Any License issued pursuant to this section shall be effective for a

period of two (2) years from the date of issuance.

5.8.3 License Substance The License shall state on its face the name of the

Applicant, the Tribal Logo, the Licensee who employs him, and the

license number. It shall also include a photograph of Licensee.

5.9 License Denial Any Application for a License shall be denied if the Tribal

Commission, after an adequate review, determines the Application is incomplete

or deficient, or that the employment of the Applicant poses a threat to the public

interest or the effective regulation of gaming, or creates or enhances the danger of

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

gaming,. If the foregoing determinations about the Applicant are made, no

management contractor or Tribal gaming operation shall employ the Applicant.

5.10 Renewals A Licensee shall petition to have the License renewed by applying to

the Tribal Commission for a renewal before the License expires. Applicants may

be required to provide updated material as requested.

5.11 Requirement to Produce License Upon Request Licensees must carry the

License and visibly display the License during working hours and must produce

the License upon the request of any Person.

5.12 License Suspension or Revocation of License

5.12.1 Temporary Suspension or Revocation The Tribal Commission may

suspend or revoke a License, after notice and an opportunity for a hearing

pursuant to Section 4.22 herein, for any of the following reasons:

(1) The Licensee withheld pertinent information on the Application;

(2) The Licensee made false statements on the Application;

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(3) The Licensee participated in Gaming that was not authorized by

any Gaming License or regulatory approvals, and therefore

deemed illegal;

(4) The Licensee attempted to bribe a Tribal Council member,

Commissioner or other Person, in an attempt to avoid or

circumvent Tribal law;

(5) The Licensee offered something of value to a Tribal Commission

member;

(6) The Licensee knowingly promoted, played or participated in any

Gaming operated in violation of Tribal or Federal law;

(7) The Licensee is knowingly involved in the falsification of books or

records which relate to a transaction connected with the operation

of Gaming;

(8) The Licensee violated this Code or the rules and regulations of the

Tribal Commission;

(9) The Licensee has been convicted or has entered a plea of nob

contendere to any crime involving Gaming, fraud, theft, or

embezzlement.

(10) The Licensee has refused to comply with any lawful order, inquiry

or directive of the Tribal Commission, the Tribal Council, the

Federal Government or any court of competent jurisdiction;

(11) The Licensee has been convicted of, or entered a plea of nob

contendere to, a crime involving the sale of illegal narcotics or

controlled substances;

5.12.2 Procedure for Suspension

(1) Upon reasonable cause that a violation of the Code has occurred, the

Tribal Commission or its designee may either undertake an

investigation of the Licensee, or serve upon such Licensee an order to

show cause why the Licensees License should not be revoked, or why

the Licensee should not be enjoined from conducting Gaming.

(2) Additionally, if the NIGC notifies the Tribe that it has received reliable

information indicating that a key employee or primary management

official is not eligible for employment under 25 C.F.R. §558.2, the

Tribal Commission or its designee shall suspend such license and

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notify the licensee in writing that his/her license has been suspended

and may be revoked.

(3) Such notice shall state the reason for the suspension andlor order, and

the time and place for the hearing before the Tribal Commission

pursuant to Section 4.22 herein.

(4) The Licensee shall have an opportunity to present testimony and crossexamine opposing witnesses, and to present any other evidence as to

why a revocation order or injunction should not be issued.

(5) The hearing shall be set for not less than two (2) days or more than

five (5) days from the date of the notice. The hearing shall be

governed in all respects in accordance with Tribal law and Tribal

Commission regulations. Any suspension decision of the Tribal

Commission after hearing shall be final. The Tribe shall notify NTGC

of its decision.

5.13 Enterprise License The Gaming Enterprise authorized by the Compact and this

Code shall be licensed by the Tribal Commission. The Tribal Commission shall

automatically issue a License if the following threshold criteria are met:

5.13.1 The Gaming is located on lands taken into trust after October 17, 1988, as

a settlement of a claim.

5.13.2 The Gaming is authorized pursuant to this Code, the Compact and the

IGRA.

5.13.3 The Gaming is authorized by a Tribal Council resolution.

5.13.4 The Tribe has the sole proprietary interest and the Management Contract

is consistent with Tribal and Federal law and is properly approved by the

Chairman of the NTGC.

5.14 Facility License The Gaming Facility authorized by the Compact and this Code

shall be licensed by the Tribal Gaming Commission.

5.14.1 A Facility License shall be issued if the following criteria are met:

(1) The Tribal Gaming Commission has determined, based on the

reports of qualified inspectors and a review by the Tribal Gaming

Commission of all relevant contracts and operational policies and

procedures, including safety manuals and intergovernmental

agreements relating to environmental protection, health, safety and

emergency services, that the Gaming Facility has been constructed

and shall be maintained and operated in a manner that adequately

protects the envoronment and the public health and safety.

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(2) The construction, expansion or modification of the Facility shall

meet the Building and Safety Code pursuant to Title VIII of this

Code.

(3) The construction, expansion or modification of the Facility shall

meet the standards of the federal American with Disabilities Act

pursuant to Title IV of this Code.

(4) Upon the inspection of the health and safety of the building, and

upon the inspection that all Gaming controls that are necessary to

insure the integrity of the Gaming are in place, the Tribal Gaming

Commission shall issue to the Facility a Certificate of Occupancy,

which shall be reissued upon similar inspections every two years.

5.14.2 Upon the issuance of a Facility License, the Tribal Gaming Commission

shall forward the License to the State Gaming Agency within ten (10) days

of issuance.

5.14.3 The Facility License shall be posted in a conspicuous and public place in

the Facility at all times.

5.15 State Gaming Agency Licensing

5.15.1 Except as provided in Sections 515.2 and 5.15.3 below, the Tribe will not

employ or affiliate with any Person whose application to the State Gaming

Agency for a determination of suitability has been denied.

5.15.2 Notwithstanding Section 5.15.1, the Tribe may employ a Person who has

been denied for a determination of suitability by the State Gaming Agency

if:

(1) The Person holds a valid and current Tribal License;

(2) The denial by the State Gaming Agency is based on reasons that

antedate the filing of the Persons initial application to the State

Gaming Agency;

(3) The Person is not an Employee of another Gaming Enterprise;

(4) The Person has been in continuous employ for at least three years by

the Tribe prior to the effective date of the Compact.

5.15.3 Notwithstanding Section 5.15.1, the Tribe may employ a Person who has

been denied for a determination of suitability by the State Gaming Agency

if:

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(1) The Person is an Enrolled Member of the Tribe;

(2) The Person holds a valid and current Tribal License;

(3) The denial by the State Gaming Agency is based on reasons that

antedate the filing of the Persons initial application to the State

Gaming Agency;

(4) The Person is not an Employee of another Gaming Enterprise;

5.16 Miscellaneous Licensing Provisions

5.16.1 No License shall be sold, lent, assigned or otherwise transferred.

5.16.2 Each Licensee shall have a copy of the Code and regulations readily

available for inspection by any Person at each authorized Gaming site.

5.16.3 The Tribe shall monthly provide the State Gaming Agency with the name,

badge identification number, and job descriptions of all non-key Gaming

Employees.

SECTION 6. BANK ACCOUNTS AND RECORDKEEPING

6.1 Bank Account The Tribe and/or the Authority, as applicable, shall open a

separate bank account for the Enterprise and all receipts of each Gaming Activity

shall be deposited in the account.

6.2 Record Keeping Accounting records of the Gaming, Enterprise, and Facility

shall be kept on a double entry system of accounting, maintaining detailed

supporting and subsidiary records. The Tribe shall maintain the following records

for not less than three (3) years:

6.2. 1 Revenues, expenses, assets, liabilities and equity for each location at

which Class II and Class III Gaming is conducted.

6.2.2 Daily cash transactions for Gaming, including but not limited to

transactions relating to each Gaming table, game drop box and game room

bank.

6.2.3 All markers, IOUs, returned checks, hold checks or other similar credit

instruments.

6.2.4 Individual and statistical game records to reflect statistical drop and

statistical win for electronic, computer, or other technologically assisted

games.

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6.2.5 Contracts, correspondence and other transaction documents relating to all

Gaming Vendors.

6.2.6 Records of all customer complaints and Tribal Gaming enforcement

activities.

6.2.7 All gaming related audits prepared by or on behalf of the Tribe or one of

its subdivisions.

6.3 Audit Requirements

6.3.1 The Enterprise shall provide a copy of an annual independent audit to the

Tribal Commission, the Tribal Council, the State Gaming Agency, and the

National Indian Gaming Commission.

6.3.2 Each contract between the Tribe and another Person for supplies, services

(other than legal and accounting services) or concessions for a contract

amount in excess of $25,000 annually shall be subject to an independent

audit. Such audit shall be solely limited to a monthly printout from the

accounts payable of the Gaming Operations of the checks rendered .

A

copy of such audit will be provided to the Tribal Gaming Commission, the

Tribal Council, State Gaming Agency and the National Indian Gaming

Commission.

6.4 Notices to the Public

6.4.1 The Gaming Facility shall have a copy of this Code readily available for

inspection by any Person at each Gaming Facility.

6.4.2 The Gaming Facility shall post in a conspicuous location near each game

an explanation of the rules of play of every game operated or shall

otherwise provide the public with such an explanation.

SECTION 7. GAMING ENTERPRISE RESTRICTIONS AND COMPLIANCE

7.1 Number of Facilities

7. 1. 1 The Tribe may establish and operate not more than two Gaming Facilities,

and only on those lands on which Gaming may lawfully be conducted

under IGRA.

7.1.2 The Tribe may combine and operate in each Gaming Facility any forms

and kinds of Gaming permitted under the Compact, IGRA and this Code.

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7.2 Gaming Device Restrictions

7.2.1 Number of Devices The Tribe may offer no more than Two Thousand

Gaming Devices combined for all Facilities.

7.2. 1 Transferability of Devices The Gaming Enterprise, or any Licensee, is

prohibited from selling, renting or lending Gaming Devices to any Person

without prior written approval of the Tribal Commission.

7.2.2 Transportation of Devices Transportation of a Gaming Device to or from

the Gaming Facility within California is permissible only if:

(1) The Tribal Commission has issued a permit to transport the

Device; and

(2) The Tribal Commission has provided at least ten (10) days notice

to the local County Sheriff; and

(3) The final destination of the Device is a gaming facility of any tribe

in California with a Tribal/State Compact; or

(4) The final destination is in a state or country whereby the Device is

otherwise legal; or

(5) The final destination is located in California for the purpose of

testing, repair or storage by a Person that is licensed by the State

Gaming Agency.

7.3 Gaming Device Technical Standards The technical standards for Gaming

Devices shall adhere to the Gaming Laboratories International, Incorporated

standards.

7.4 Age Restrictions

7.4.1 No Person under the age of Eighteen (18) shall be employed by the

Gaming Facility, Management Contractor or the Tribal Commission.

7.4.2 No Person under Twenty-one (21) years of age shall be employed in the

service of alcoholic beverages at the Gaming Facility.

7.4.3 No Person under the age of Twenty-one (21) shall be permitted in any area

where Gaming is occurring and alcoholic beverages are being consumed.

7.4.4 No Person under the age of Twenty-one shall be permitted to place any

wager, directly or indirectly, in any Gaming Activity.

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7.4.5 No Person under the age of Twenty-one shall be permitted in any room in

which Gaming is being conducted unless the person is en-route to a nongaming area of the Gaming Facility.

7.5 Methods of Payment

7.5.1 Gaming chips and other tokens of value may be sold and redeemed by the

Enterprise and only for thll value.

7.5.2 Consideration to participate in Gaming shall be cash only. No other form

of consideration shall be allowed unless the Tribal Commission gives prior

written approval.

7.6 Compliance requirements

7.6.1 Evidence of win or loss incurred by a Player must, upon request, be

provided in such form as will be acceptable to the Internal Revenue

Service.

7.6.2 The Enterprise shall pay all fees and file all reports required by law within

the time prescribed.

7.6.3 The Enterprise shall respond immediately to all inquiries, subpoenas, or

orders of the Tribal Commission, the State Gaming Agency, the Tribal

Council, or the NIGC.

7.6.4 The Enterprise shall make its premises and books and records available for

inspection during normal business hours by the Tribal Commission, the

State Gaming Agency, the National Indian Gaming Commission and

members of the Tribal Council or their designee.

7.7 Miscellaneous

7.7. 1 The Enterprise shall provide adequate security to protect the public before,

during, and after Gaming.

7.7.2 The Enterprise may not discriminate on the basis of sex, race, color, or

creed in its employment practices related to Gaming.

SECTION 8. ENFORCEMENT

8.1 Jurisdiction Except as provided in this Code or the Compact, the Tribal

Commission shall have jurisdiction over all violations of this Code.

8.2 Prohibited Acts In addition to other civil and criminal offenses provided for in

this Code, the following acts are prohibited by any Person and subject any

36
violator to the civil or criminal penalties specified herein:

8.2.1 Participating in any Gaming, which is not authorized by this Code.

8.2.2 Knowingly making a false statement in connection with any Contract to

participate in any Gaming Activity.

8.2.3 Attempting to bribe any Person participating in any Gaming Activity.

8.2.4 Offering or accepting a loan, financing or other thing of value between a

Tribal Commission member or employee and any Person participating in

any Gaming Activity.

8.2.5 Promoting or participating in any illegal Gaming Activity.

8.2.6 Failing to keep sufficient books and records to substantiate receipts,

disbursements and expenses incurred or paid from any Gaming Activity

authorized pursuant to this Code.

8.2.7 Falsifying any books or records that relate to any transaction connected

with any Gaming Activity pursuant to this Code.

8.2.8 Conducting or participating in any Gaming Activity, which results in

Cheating.

8.2.9 Allowing participation in Gaming Activity by or with an intoxicated or

disorderly Player.

8.2.10 Allowing or participating in the sale of liquor when such sale is prohibited

by Tribal law.

8.2. 11 Accepting consideration other than money, tokens or chips for

participation in any Gaming Activity.

8.2.12 Using bogus or counterfeit chips or Charitable Gaming Tickets, or to

substitute or use any cards, Charitable Gaming Tickets or Gaming

equipment that has been marked or tampered with.

8.2.13 Employing or possessing any Cheating device or to facilitate Cheating in

any Gaming Activity.

8.2. 14 Willfully using any fraudulent scheme or technique to change the odds of

any Game of Chance.

8.2. 15 Soliciting, directly or indirectly, or using inside information on the nature

or status of any Gaming Activity for the benefit of an individual.

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8.2.16 Tampering with a Gaming Device, attempting to conspire to manipulate

the outcome or the payoff of a Gaming Device, or otherwise unlawfully

tampering with or interfering with the proper functioning of the machine.

8.2.17 Alter or counterfeiting a Gaming license.

8.2.18 Aiding, abetting, or conspiring with another Person knowingly or

knowingly to cause any Person to violate any provision of this Code or

any rules and regulations adopted hereunder.

8.2.19 Operating, using or making available to the public any illegal Gaming

Device, apparatus, material or equipment.

8.2.20 Selling, holding out for sale or transporting into or out of the jurisdiction

of the Tribe any illegal Gaming Device, apparatus, material or equipment.

8.2.21 Assisting or allowing a Person who is under the age of Twenty-one (21) to

participate in a Gaming activity.

8.2.22 Possessing any illegal narcotics or controlled substances on any licensed

Gaming site.

8.2.23 Stealing or attempting to steal funds or other items of value from any

Gaming Facility or from the Tribal Commission.

8.2.24 Employing any Person at a licensed Gaming Facility whom the Licensee

knows has been convicted of a Gaming crime or a crime of fraud.

8.3 Criminal Violation Any Indian who violates or fails to comply with any

provision of this Code, or who fails or neglects to comply with any order, decision

of the Tribal Commission, shall be charged and given due process pursuant to

Section 4.22 herein. If such Indian is found to be guilty of a crime, he may be

required to pay a fine not to exceed Five Thousand Dollars ($5,000) or be

incarcerated for not t6 exceed two (2) years. Each day during which any such

violation or failure to comply continues shall constitute a separate violation of this

Code.

8.4 Civil Violation Any non-Indian who violates or fails to comply with any

provision of this Code, or who fails or neglects to comply with any final order of

the Tribal Commission, shall be charged and given due process pursuant to

Section 4.22 herein. If the non-Indian is found liable, he may pay a civil fine not

to exceed Five Thousand Dollars ($5,000) for each violation thereof. Each day

during which any such violation or failure to comply continues shall constitute a

separate violation of this Code. The amount of any such civil fine may be

recovered in a civil action in the Tribal Court.

38
8.5 Cumulative Fines All civil fines accruing under this Code shall be cumulative

and a suit for the recovery of one fine shall not bar or affect the recovery of any

other fine, or judgment, penalty, forfeiture or damages, nor bar the power of the

Tribal Court to punish for contempt, nor bar any criminal prosecution against any

officer, director, agent, or employee of any Licensee, or any other Person.

8.6 Purpose of Civil Penalties The civil fines imposed under this Code are intended

to be remedial and not punitive and are designed to compensate the Tribe for the

damage done to the peace, security, economy and general welfare of the Tribe and

the Reservation, and to compensate the Tribe for costs incurred by the Tribe in

enforcing this Code. The civil fines under this Code are also intended to coerce

all people into complying with this Code and Tribal Commission regulations and

not to punish such people for violation of such laws and regulations.

8.7 Clvii Action for Penalties In enforcing the civil infraction provisions of this

Code, the Tribal Commission shall proceed, in the name of the Tribe, against a

Person for violation of such provision by civil complaint in any court of

competent jurisdiction, or, if applicable, only in such other forums as the Tribe

has agreed to by Contract. The Tribal Commission in such action shall have the

burden of showing, by the preponderance of the evidence, that such Person

violated the applicable provision of this Code.

8.8 Seizure and Forfeiture of Property Property utilized in violation of this Code

shafl be subject to seizure and forfeiture by order of the Tribal Commission

pursuant to such procedures and rules as the Tribal Commission shall promulgate.

8.9 Reporting of Offenders The Tribal Commission, upon final conviction of any

Person under this subsection, shall report the name of the Person convicted to the

Tribal Council, State Gaming Board and NIGC.

SECTION 9. GAMDiG MANAGEMENT

9.1 Management by a Gaming Contractor

9. 1. 1 The Management Contractor, or if no Management Contractor the Tribe,

shall identify in writing a Person(s) who shall serve as General Manager of

the Gaming Enterprise. The General Manager appointed shall undergo a

background check by the Tribal Commission and shall obtain a License

before commencing work.

9.1.2 The General Manager shall have access to any area within the Gaming

Facility.

9. 1.3 The General Manager shall present a written monthly report to the Tribal

Commission which estimates the number of patrons served, the amount of

income generated, the numbers of employees working at the

39
establishment, a detailed description of any patron complaints and other

problems experienced at the establishment, a written statement of any

changes in Primary Management Officials and all bills which are thirty

(30) days or more past due.

9.2 Rules and Regulations for Management The Tribal Commission shall, with

the input and suggestions of Primary Management Officials, promulgate rules and

regulations or specifications governing the following subjects:

9.2. 1 The enforcement of all relevant laws and rules with respect to the Gaming

Operation and the Facility;

9.2.2 Ensuring the physical safety of Enterprise patrons and Employees;

9.2.3 The physical safeguarding of assets transported to, within, and from the

Gaming Facility;

9.2.4 The prevention of illegal activity from occurring within the Gaming

Facility including employee procedures and surveillance;

9.2.5 The recording of occurrences that deviate from normal operating policies

including the following procedure for reporting incidents:

(1) Specify that security personnel record all incidents, regardless of

immateriality;

(2) Require the assignment of a sequential number to each report;

(3) Provide for permanent reporting in indelible ink in a bound

notebook;

(4) Require that each report include the following:

(i) The record number.

(ii) The date.

(iii) The time.

(iv) The location of the incident.

(v) A detailed description of the incident.

(vi) The persons involved in the incident.

(vii) The security personnel assigned to the incident.

9.2.6 The establishment of employee procedures designed to permit detection of

any irregularities, theft, cheating, fraud, or the like;

9.2.7 Maintenance of a list of persons barred from the Gaming Facility;

40
9.2.8 In accordance with section 8.4.1 of the Compact, except as provided in

subdivision 8.4.1(d) of the Compact, no State Gaming Agency regulation

shall be effective with respect to the Enterprise unless it has first been

approved by the Association, and further, the Tribe has had an opportunity

to review and comment on the proposed regulations.

9.3 Insurance Requirements Pursuant to the Tribal/State Compact, the

Management Contractor shall ensure that the Enterprise shall carry a minimum of

Five Million Dollars ($5,000,000.00) liability insurance to protect the public in

the event of an accident.

9.4 IRS Requirements The General Manager shall be responsible for seeing that

Gaming Activity is managed in accordance with Tribal and Federal law and that

such Gaming Activity complies with all IRS reporting requirements.

9.5 Audit Requirements

9.5.1 Annual Enterprise Audit The Tribal Commission and the General

Manager of the Enterprise shall obtain an annual independent audit of

such Enterprise by a certified public accountant using the accounting

standards for audits of casinos of the American Institute of Certified

Public Accountants.

9.5.2 Contract Audits Each contract between the Management Contractor and

another Person for supplies, services (other than legal and accounting

services) or concessions for a contract amount in excess of Twenty-five

Thousand Dollars ($25,000) annually shall be subject to an independent

audit. For the purposes of the previous sentence, the term services does

not include contracts the purpose of which is to extend financing to the

Management Contractor, the Tribe, or the Enterprise.

9.5.3 Copies A copy of all such audits shall be provided to the Tribal

Commission, the Tribal Council, State Gaming Agency and the NIGC.

9.6 Annual Reports from Management Contractor. Management Contractors

must file an annual report with the Tribal Commission and the Tribal Council

between the 15th and the last day of the 12th month duration of each such License

period. The report include, at a minimum, the following information:

9.6.1 The name, address and telephone number of the Licensee;

9.6.2 The names, addresses and titles of all of its current managers of the

Licensee;

9.6.3 A description of the Gaming operated and Gross Revenue;

41
9.6.4 The name and address of the Person who will be designated as Primary

Management Official, or new Key Employees over the next License Term;

9.6.5 Written proof that the Licensee has paid to the National Indian Gaming

Commission such fees as Federal and Tribal law may require it to pay;

9.6.6 A sworn statement that the Licensee has complied with the IRS including

written notice of customer winning;

9.6.7 The number of full-time equivalent people, on an annualized basis,

employed by the operation during the past twelve (12) months, together

with a projection of the number of full-time equivalent people who are

expected to be employed during the next license period;

9.6.8 A sworn statement that the Licensee will continue to comply with all

Tribal and Federal laws applicable to Gaming;

9.6.9 The name, address and signature of the agent who will accept service of

process on behalf of the Licensee, who must reside on the Reservation;

9.6.10 If the Licensee is a corporation, a copy of any amendment to its articles of

incorporation, properly certified by the incorporating government, unless a

current copy has already been filed with the Tribal Commission;

9.6.11 If the Licensee is a limited liability company, a copy of any amendment to

its operating agreement or its articles of organization, properly certified by

the state in which the company is organized, unless a current copy has

previously been filed with the Tribal Commission.

9.7 Management Contracts

9.7.1 Each Management Contract is subject to the prior approval of the National

Indian Gaming Commission.

9.7.2 Each Management Contract shall be approved by the Tribal Council. In

make its selection, the Tribal Council shall review the following:

(1) Background information on the proposed Management Contractor

including: its name, its address, the names and addresses of each

Person or entity having a direct financial interest or management

responsibility for the proposed management contractor, and (i) in

the case of a corporation the names and addresses of each member

of its board of directors and all stockholders who hold directly or

indirectly ten percent (10%) or more of its issued or outstanding

stock; and (ii) in the case of a limited liability company, the names

and addresses of each member and each manager.

42
(2) A description of any previous experience that each Person listed in

subsection above has had with other Gaming contracts with Indian

Tribes or with the Gaming industry generally, including the name

and address of any tribal government or licensing agency with

which such Person has had a contract relating to Gaming.

(3) A complete financial statement of each Person listed in subsection

9.7.2(1).

(4) The Tribal Council shall undertake any additional steps it can to

determine the character and reputation of each proposed

management contractor.

(5) If the Tribal Council, after reviewing the above described

information, still desires to enter into a management contract with

the proposed management contractor, such management contract

shall be placed in writing and submitted to legal counsel for review

before the Council approves it.

9.7.3 Any Management Contract approved by the Council must contain at a

minimum the following with respect to the Gaming Enterprise to which

the contract is applicable:

(1) A provision requiring a monthly financial accounting of the

Gaming Enterprises income and expenses. Such reports shall be

prepared by an independent auditor who is mutually acceptable to

the Tribe and the Management Contractor.

(2) A provision guaranteeing the Tribe a minimum guaranteed

payment that shall always take precedence over the Management

Contractors right to recoup development and construction costs.

(3) An agreed upon ceiling for the Management Contractors

developthent and construction costs.

(4) A provision that the contract shall not exceed seven (7) years or

40% of Net Revenues.

(5) A provision for termination of the Contract and the grounds for

termination.

9.7.4 If the Council is satisfied with the information it receives it shall submit its

proposed contract along with all of the above-described information to the

Tribal Commission, State Gaming Agency and to the Chairman of the

National Indian Gaming Commission for Licensure approval.

43
SECTION 10. PROCEDURES FOR RESOLVING DISPUTES BETWEEN THE

GAMING PUBLIC AND GAMING MANAGEMENT

10.1 General Principles. The Tribe values its customers and intends, at all times, to

see that questions, concerns, issues, and/or disputes raised by the gaming public

are addressed in a fair and orderly manner.

10.2 Initial Dispute Resolution Procedure.

10.2.1 Members of the gaming public who, in the course of their otherwise

lawful and proper use of the Tribes gaming facilities, have questions or

concerns about the condition or operation of any part of the

GamingFacility, or who otherwise believe themselves to be aggrieved by

some aspect of the condition or operation of any part of the

GamingFacility, shall direct their questions, concerns, or disputes

(hereinafter collectively disputes) in the first instance to gaming

management at the Gaming Facility, either orally or in writing.

10.2.2 Concerns or disputes shall be raised as soon as reasonably possible after

the events giving rise to the dispute occur; however, no dispute may be

raised more than 10 calendar days after said events take place.

10.2.3 Gaming management shall develop formal written administrative

procedures for the processing of patron complaints and disputes, which

procedures shall be finalized only after Tribal review and approval. The

final procedures shall include the following minimal requirements: Upon

learning about a dispute, gaming management shall expediently and

informally gather sufficient facts to make an initial determination about

the dispute (i.e. whether the dispute has any merit, whether further

investigation is required, whether to take any corrective action, etc.).

Gaming management shall conduct an investigation, if appropriate and

inform the complainant, either orally or in writing, about its initial

determination as soon as is reasonably practicable. At that time, if the

complainant indicates that he or she has additional concerns or is not

satisfied, gaming management shall schedule an informal hearing, if

practical and appropriate, and thereafter inform the complainant of its final

determination and inform the complainant that if they are dissatisfied with

the final determination they may file an appeal with the Tribal Gaming

Commission.

10.3 Formal Dispute Resolution Procedure.

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10.3.1 Complainants who have followed the initial dispute resolution procedure,

and who are unsatisfied with gaming managements initial determination,

may appeal that determination in writing to the Tribal Gaming

Commission no later than 5 days after being informed about the initial

determination.

10.3.2 The Tribal Gaming Commission may investigate the dispute in any

manner it chooses. The Commission shall offer the complainant a fair

opportunity to be heard in person or through counsel about the dispute,

either before or after it makes its own inquiries. The complainants

opportunity to be heard shall take place within 30 days after the

Commission receives the complainants written appeal.

10.3.3 After investigating (if it chooses to do so), and within 30 days after

affording the complainant an opportunity to be heard, the Tribal Gaming

Commission shall issue a written opinion on the complainants appeal, and

shall mail a copy of the opinion to the complainant at his/her last known

address. The decision of the Gaming Commission shall be final.

45
TITLE II

REGULATION OF THE ENVIRONMENT

FOR CLASS III GAMING

Section 1. Compliance with Applicable Law To the extent the National Environmental

Policy Act (NEPA), the California Environmental Quality Act (CEQA), or other

environmental laws (collectively, Environmental Laws) apply to any Project (as that term is

defined in the Tribal-State Compact between the Tribe and the State of California), the Tribe

shall take all actions necessary to comply with such Environmental Laws.

Section 2. Environmental Impact Reirnrts All environmental reports prepared by or at the

request of the Tribe in conjunction with a Project shall be made available to Tribal members by

maintaining copies of the same at the administrative offices of the Tribe. If any Environmental

Laws apply to a Project, copies of all such reports shall be provided to the governmental entities

as required by such Environmental Laws.

Section 3. Intergovernmental Agreements To the extent that a Project or proposed Project

requires mitigation of off-Reservation impacts, the Tribe may, by Tribal Council resolution,

enter into applicable inter-governmental agreements pursuant to the authority set forth in the

Tribes Constitution.

Section 4. Incorporation of Policies and Purposes In the development and operation of any

Project, the Tribe shall use its best efforts, consistent with the Tribes governmental interests, to

conform to the policies and purposes of NEPA and CEQA, and shall at all times ensure that any

provisions of such laws or other Environmental Laws that apply to the Tribe or a Project are

strictly followed.

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TITLE III

ADOPTION OF FEDERAL OCCUPATIONAL SAFETY AND

HEALTH STANDARDS FOR

THE CLASS III GAMING FACILITY

The adoption of 29 C.F.R. part 1910 Occupational Safety and Health Standards and part 1926

Safety and Health Regulations for Construction, together will serve to regulate the safety and

inspection of retail sale, wholesale/commercial and light industrial labor practices, along with the

standard of tribal labor force protections from hazardous workforce environments and exposure

to potential contaminants within each of these areas, establishment of contract work hours and

other labor safety standards as deemed necessary by the tribal government, along with the

enforcement of these codes including the setting of penalties.

SECTION 1. ADOPTION BY REFERENCE.

1.1 Findings. The PICA{tJNE RANCHERIA OF THE CHUKCHANSI INDIANS

(Tribe or Tribal) Tribal Council on behalf of the General Council finds that:

1.1.1 A certain document, three copies of which are on file in the office of the

Tribal Secretary, being marked and designated as 29 C.F.R. part 1910

Occupational Safety and Health Standards and part 1926 Safety and

Health Regulations for Construction, published by the U.S. Department of

Labor, Occupational Safety and Health Administration, is hereby adopted

as the Tribal OSHA Standards, for regulating the safety and inspection of

retail sale, wholesale/commercial and light industrial labor practices, along

with the standard of tribal labor force protections from hazardous

workforce environments and exposure to potential contaminants within

each of these areas, establishment of contract work hours and other labor

safety standards as deemed necessary by the tribal government, along with

provisions for submission of labor contracts, building plans and hazardous

activity permits for tribal government approval, collection of fees, and

enforcement of these codes including the setting of penalties, where

necessary.

1.2 Inconsistent Codes Repealed. All other codes or portions of codes in conflict

herewith are hereby repealed in that respect only.

1.3 Certification of Adoption and Publishing. The Tribal Secretary shall certify the

adoption of this Tribal Ordinance and cause the same to be published as required

by law.

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1.4 Effective Date. This Tribal Ordinance and the rules, regulations, provisions,

requirements, orders, and matters established and adopted hereby shall take effect

and be in full force and effect from and after the date of its final passage and

approval.

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TITLE IV

ADOPTION OF AMERICANS WITH DISABILITIES ACT

STANDARDS FOR CLASS III GAMING FACILITY

The adoption of 28 C.F.R. part 35, the Nondiscrimination on the Basis of Disability in State and

Local Government Services, will serve to effectuate subtitle A of Title II of the Americans with

Disabilities Act f 1990 (104 Stat. 327, Pub. L. 101-336, as amended), which prohibits

discrimination on the basis of disability by public entities.

SECTION 1. ADOPTION BY REFERENCE.

1.1 Findings. The PICAYUNE RANCHERIA OF THE CHIJKCHANSI INDIANS

(Tribe or Tribal) Tribal Council on behalf of the General Council finds that:

1.1. 1 A certain document, three copies of which are on file in the office of the

Tribal Secretary, being marked and designated as 28 C.F.R. part 35

Nondiscrimination on the Basis of Disability in State and Local

Government Services, is hereby adopted as the Tribal ADA Standards,

which prohibits discrimination on the basis of handicap in tribally assisted

programs and activities.

1.2 Inconsistent Codes Repealed. All other codes or portions of codes in conflict

herewith are hereby repealed in that respect only.

1.3 Certification of Adoption and Publishing. The Tribal Secretary shall certify the

adoption of this Tribal Ordinance and cause the same to be published as required

by law.

1.4 Effective Date. This Tribal Ordinance and the rules, regulations, provisions,

requirements, orders, and matters established and adopted hereby shall take effect

and be in full force and effect from and after the date of its final passage and

approval.

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TITLE V

ADOPTION OF THE FDA 1999 FOOD CODE FOR

A CLASS III GAMING FACILITY

The adoption of the 1999 edition of the Food Code regulating the retail sale, commercial and

institutional service, and vending of food; defining permit holder, person in charge, employee,

food, potentially hazardous food, food establishment, safe material, sanitation, and other terms;

and providing standards for employee food safety knowledge, health, and practices; food

sources, preparation, holding temperatures, and protection; equipment design, construction,

installation, cleaning, and sanitation; water, and liquid and solid wastes; facilities construction

and maintenance, and storage and use of poisonous and toxic materials; requiring a permit to

operate a food establishment; and providing for the restriction or exclusion of employees, the

examination and condemnation of food, and the enforcement of this code including the setting of

penalties.

SECTION 1. ADOPTION BY REFERENCE.

1.1 Findings. The PICAYUNE RANCHERIA OF THE CHUKCHANSI iNDIANS

(Tribe or Tribal) Tribal Council on behalf of the General Council finds that:

11.1 A certain document, three copies of which are on file in the office of the

Tribal Secretary, being marked and designated as the Food Code, 1999

Recommendations of the United Stales Public Health Service/Food and

Drug Administration as published by the U.S. Department of Health and

Human Services, Public Health Service, Food and Drug Administration

be, and is hereby adopted as, the Food Code of the Tribe, located in the

State of California; for regulating the design, construction, management

and operation of food establishments, and providing for plans submission

and approval and the issuance of permits and collection of fees therefore.

1.2 Insertions and Changes. That the following provisions are hereby revised as

follows:

Paragraph 8-811.10(B) Insert (as provided by California law) Paragraph 8-

8 13.10(B) Insert (as provided by California law) Subparagraph 8-81 1.10(B)(2)

Insert (as provided by California law)

1.3 Inconsistent Codes Repealed. All other codes or portions of codes in conflict

herewith are hereby repealed in that respect only.

1.4 Certification of Adoption and Publishing. The Tribal Secretary shall certify the

adoption of this Tribal Ordinance and cause the same to be published as required

by law.

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1.5 Effective Date. This Tribal Ordinance and the rules, regulations, provisions,

requirements, orders, and matters established and adopted hereby shall take effect

and be in full force and effect for the period of 36 months from and after the date

of its final passage and approval.

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TITLE VI

ADOPTION OF FEDERAL SAFE DRINKING WATER

STANDARDS

The adoption of 40 C.F.R. part 141 National Primary Drinking Water Regulations and part 142

National Primary Drinking Water Regulations Implementation, together will serve to regulate

the safety and inspection of ground and surface water aquifers and public drinking water systems

on tribal lands.

SECTION 1. ADOPTION BY REFERENCE.

1.1 Findings. The PICAYUNE RANCHERIA OF THE CHUKCHANSI iNDIANS

(Tribe or Tribal) Tribal Council on behalf of the General Council finds that:

1.1.1 A certain document, three copies of which are on file in the office of the

Tribal Secretary, being marked and designated as 40 C.F.R. part 141

National Primary Drinking Water Regulations and part 142 National

Primary Drinking Water Regulations Implementation, published by the

U.S. Environmental Protection Agency, is hereby adopted as the Tribal

Safe Drinking Water Standards, for regulating the safety and inspection of

ground and surface water aquifers and public drinking water systems on

tribal lands.

1.2 Inconsistent Codes Repealed. All other codes or portions of codes in conflict

herewith are hereby repealed in that respect only.

1.3 Certification of Adoption and Publishing. The Tribal Secretary shall certify the

adoption of this Tribal Ordinance and cause the same to be published as required

bylaw. -

1.4 Effective Date. This Tribal Ordinance and the rules, regulations, provisions,

requirements, orders, and matters established and adopted hereby shall take effect

and be in full force and effect from and after the date of its final passage and

approval.

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TITLE VII

ADOPTION OF THE UNiFORM BUILDING CODE, UNIFORM MECHANICAL

CODE, UMFORM PLUMBING CODE, NATIONAL ELECTRICAL CODE AND

OTHER RELEVANT FEDERAL BUILDING AND CONSTRUCTION STANDARDS

The adoption of 24 C.F.R. part 200.925c -- Mode! Codes, including the Uniform Building Code,

Uniform Mechanical Code, Uniform Plumbing Code, National Electrical Code and others,

together will serve to regulate the operational safety and inspection of all relevant building and

construction activities conducted on tribal lands.

SECTION 1. ADOPTION BY REFERENCE.

1.1 Findings. The PICAYUNE RANCHERIA OF THE CHUKCHANSI INDIANS

(Tribe or Tribal) Tribal Council on behalf of the General Council finds that:

1.1.1 A certain document, three copies of which are on file in the office of the

Tribal Secretary, being marked and designated as 5 U.S.C. 552(a) and 1

CFR part 51 is hereby adopted as the Tribal Uniform Building Code,

Tribal Uniform Mechanical Code, Tribal Uniform Plumbing Code, Tribal

Electrical Code and Tribal Building and Construction Standards, for

regulating the construction of buildings on tribal lands. The

aforementioned documents are:

(A) Model Building Codes

(i) Uniform Building Code, 1997 Edition, including the

Accumulative Supplements, but excluding Part I--

Administrative, including the Appendix of the Code.

Uniform Plumbing Code, 1997 Edition, but excluding

Part I--Administration, but including the Appendices of

the Code. Uniform Mechanical Code, 1997 Edition,

but excluding Part I--Administrative, but including the

Appendices of the Code. All available from the

International Conference of Building Officials, 5360

South Workman Mill Road, Whittier, California 90601.

(B)National Electrical Code, 1999 Edition; NFPA 70, 1993 Edition,

including appendices. Available from the National Fire Protection

Association, Batterymarch Park, Quincy, Massachusetts 02269.

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1.1.2 Model Code Compliance Requirements

(A) When a multifamily or care-type property is to comply with one of the

model building codes set forth in paragraph 1.1.1 (A) of this section,

the following requirements of those model codes shall not apply to

those properties:

(i) Those provisions of the model codes that do not pertain

to residential or institutional buildings;

(ii) Those provisions of the model codes that establish energy

requirements for multifamily or care-type structures; and

(iii) Those provisions of the model codes that require or allow

the issuance of permits of any sort.

1.1.3 Where the model codes set forth in paragraph 1.1.1(A) of his section

designate a building, fire, mechanical, plumbing or other official, the

Secretarys designee in the HUD Field Office serving the jurisdiction in

which the property is to be constructed shall act as such official.

1.1.4 Designation of Model Codes When a multifamily or care-type property is

to comply with a model code, it shall comply with one of the model codes

designated in paragraphs 1.1.3 (A-C) of this section, and with any other

code or codes identified in the same paragraph. However, seismic design

is a mandatory requirement. In addition, the property shall comply with all

of the standards that are incorporated into the code or codes by reference.

By the time of application for insurance or other benefits, the developer or

other interested party shall notify the Department of the code or group of

codes to which the developer intends to comply.

(A) Uniform Building Code, Uniform Plumbing Code and Uniform

Mechanical Code, 1997 Editions, including the Accumulative

Supplements to the Building and Mechanical Codes, and the 1992

Code Changes to the Uniform Plumbing Code, and the National

Electrical Code 1999 Edition, NFPA 70, 1999 Edition.

(B) The National Electrical Code, NFPA 70, 1993 Edition.

1.2 Inconsistent Codes Repealed. All articles, titles, chapters, or other codes or

portions thereof, in conflict herewith are hereby repealed in that respect only.

1.3 Certification of Adoption and Publishing. The Tribal Secretary shall certify the

adoption of this Tribal Ordinance and cause the same to be published as required

by law.

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1.4 Effective Date. This Tribal Ordinance and the rules, regulations, provisions,

requirements, orders, and matters established and adopted hereby shall take effect

and be in full force and effect from and after the date of its final passage and

approval.

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