P.O. BOX 1099

SAN JUAN PUEBLO, NEW MEXICO 87566

PHONE (505) 852-4400

ORDINANCE OF THE TRIBAL COUNCIL

PUEBLO OF SAN JUAN

ORDINANCE NO. 95-13

WHEREAS, the Tribal Council of the Pueblo of San Juan (Pueblo) is the

governing body of the Pueblo; and

WHEREAS, Congress has enacted the Indian Gaming Regulatory Act of 1988,

25 U.S.C. secs. 2701-2721 and 18 U.S. C. secs. 1166-1168 (IGRA), to

regulate Class I Gaming and Class II Gaming on Indian lands subject to

oversight by the National Indian Gaming Commission (Commission) and to

authorize Class Ill Gaming on Indian lands by Indian tribes and states pursuant

to tribal-state compacts; and

WHEREAS, the Tribal Council enacted the Pueblo of San Juan Class II Gaming

Ordinance No. 94-27 (June 15, 1994) (Class II Gaming Ordinance), and the

Pueblo of San Juan Class Ill Gaming Ordinance No. 95-06 (January 22, 1995)

(Class Ill Gaming Ordinance); and

WHEREAS, the Pueblo and the State of New Mexico entered into a Tribal-State

Compact on February 13, 1995 (Compact) for the conduct of Class Ill Gaming

on lands subject to the jurisdiction of the Pueblo (Pueblo Lands); and

WHEREAS, the Commission disapproved the Class ill Gaming Ordinance on

March 8, 1995 for failure to include various provisions required by the IGRA and

such disapproval threatens to impair the Pueblos ability to conduct Class Ill

Gaming on Pueblo Lands pursuant to the Compact; and

WHEREAS, the Tribal Council finds that it is the best interest of the Pueblo to

submit a new ordinance to be known as the Pueblo of San Juan Class Ill

Gaming Ordinance to regulate all Class III Gaming on Pueblo Lands for the

purpose of generating governmental revenue, promoting tribal economic

development, tribal self-sufficiency, and a strong tribal government.

NOW, THEREFORE, BE IT ORDAINED by the Tribal Council hereby enacts the

Pueblo of San Juan Class Ill Gaming Ordinance, attached hereto as Exhibit A.

BE IT FURTHER ORDAINED that the Tribal Council that the Governor of the

Pueblo is hereby authorized to resubmit the Pueblo of San Juan Class Ill
Gaming Ordinance for review and approval by the Commission and to do all

things necessary and proper to accomplish the purpose of this Ordinance.

CERTIFICATION

The foregoing Ordinance was considered by the Tribal Council of the Pueblo of

San Juan at a duly called meeting and as adopted and enacted by the Tribal

Council with a quorum being present at such meeting on the 17th day of March,

1995.

Go or, Jo . arcia

________

ft

2nd Lt. Governor

~zJ~ ~ _____

Pete~6vijua

&?~ ~~

nc~j~ Co cii Member 1.

Co

Council

~

Menther

~

C~rWMember

Council Member

(

l~vernorJ

Tribal Sheriff, Louis Cata
Gaming Ordinance for review and approval by the Commission and to do all

things necessary and proper to accomplish the purpose of this Ordinance.

CERTIFICATION

The foregoing Ordinance was considered by the Tribal Council of the Pueblo of

San Juan at a duly called meeting and as adopted and enacted by the Tribal

Council with a quorum being present at such meeting on the 17th day of March,

1995.

Go or, Jo . arcia

2nd Lt. Governor

~zJ7-~ ~ _____

Pete~,9bviJua

fl/~~ ~

Council Member (.

Co ~

Council Menther

&),~E (

Tribal Sheriff, Louis Cata

~~er

Council Member
P.O. BOX 1099

SAN JUAN PUEBLO, NEW MEXICO 87566

PHONE (505) 852-4400

PUEBLO OF SAN JUAN CLASS III GAMING ORDINANCE NO. 95- /3

SECTION 1. PURPOSE. This Ordinance is enacted and shall be interpreted to

accomplish the following purposes:

(a) to legalize and regulate the conduct of Class III Gaming on Pueblo Lands;

(b) to maintain the highest standard of integrity in the conduct of Class III

Gaming on Pueblo Lands.

(c) to produce revenue to fund tribal governmental operations and programs:

(d) to promote the health, education, and welfare of the Pueblo and its

members: and

(e) to promote tribal economic development.

SECTION 2. DEFINITIONS. For purposes of this Ordinance:

(a) Act means the Indian Gaming Regulatory Act of 1988, Pub.L. No. 100-

497, 25 U.S.C. §~ 2701-2721 and 18 U.S.C. § § 1166-1168, and all regulations

promulgated thereunder.

(b) Board means the Pueblo of San Juan Gaming Board established by this

Ordinance.

(c) Class II Gaming means Class II Gaming as defined in the Act.

(d) Class III Gaming means Class III Gaming as defined in the Act.

(e) Commission means the National Indian Gaming Commission.

(f) Compact means any Tribal-State Compact between the Pueblo and the

State governing the conduct of Class III Gaming, which is approved by the Secretary

pursuant to the Act.
Council means the Tribal Council of the Pueblo.

Key Employee means a Person employed by a Gaming Operation or

Contractor and

(I) who

(A)

(B)

(C)

(D)

performs one or more of the following functions:

bingo caller;

counting room supervisor;

chief of security

custodian of gaming supplies or cash;

floor manager;

pit boss;

(k) Gaming Employee means any person, other than a Key Employee or

Primary Management Official, employed by a Gaming Operation or Management

Contractor.

(g)

(h)

Management

compensation is in

(E)

(F)

(G) dealer:

(H) croupier;

(I) custodian of gambling devices, including Persons with

access to cash and accounting records within such devices;

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

excess of $50,000 per year; or

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

Persons in a Gaming Operation or Management Contractor.

(i) Gaming Activity means all forms of Class 1! Gaming and Class Ill

Gaming conducted by a Gaming Operation on Pueblo Lands.

U) Gaming Device means any gambling device as defined in 15 U.S.C.

§ 1171(a).

2
(I) Gaming Equipment means any equipment, device, or contrivance used

to conduct Class III gaming.

(m) Gaming Facility means the building, room, or location at which Class

III Gaming is conducted on Pueblo Lands.

(n) Gaming Operation means the enterprise, corporation or other entity

owned by the Pueblo for the conduct of Class III Gaming in any Gaming Facility.

(o) Gaming-Related Contract means a contract or agreement providing of

any goods, services or concessions to the Pueblo, a Gaming Operation, or Management

Contractor in connection with the conduct of Class III Gaming in a Gaming Facility in

an amount in excess of $25,000 annually, except for professional, legal or accounting

services. No Gaming-Related Contract may be broken up into parts for the purpose of

avoiding this definition and any requirement of licensure or certification.

(p) Management Contract means any contract, subcontract, or collateral

agreement between the Pueblo and a Management Contractor or between a Management

Contractor and a subcontractor if such contract or agreement provides for the

management of all or part of a Gaming Operation.

(q) Management Contractor means any Person who enters into a

Management Contract with the Pueblo.

(r) Net Revenues means gross revenues of any Gaming Activity less

amounts paid out as. or paid for, prizes and total operating expenses, but excluding

management fees paid to a Management Contractor.

(s) Ordinance means the Pueblo of San Juan Class III Gaming Ordinance.

(t) Person means any individual, partnership, corporation, company or other

legal entity.

(u) Primary Management Official means

(1) The Person having management responsibility for a Management

Contract;

(2) Any Person who has authority:

(A) To hire and fire employees;

3
(B) To set up working policy for a Gaming Operation; or

(C) The chief financial officer or other Person who has financial

management responsibility.

(v) Pueblo means the Pueblo of San Juan, a federally recognized Indian

Pueblo, its authorized officials, agents and representatives.

(w) Pueblo Lands means (a) land within the exterior boundaries of the San

Juan Reservation or (b) land over which the Pueblo exercises governmental power and

that is either (i) held in trust by the United States for the benefit of the Pueblo or its

members or (ii) held by the Pueblo or its members subject to restriction by the United

States against alienation.

(x) Secretary means the Secretary of the Interior or his duly authorized

representative.

(y) State means the State of New Mexico. its authorized officials, agents

and representatives.

SECTION 3. NATURE AND SCOPE OF GAMING ACTIVITIES.

(a) Authorized Gaming A Gaming Operation may conduct all forms of

Class Ill Gaming in any Gaming Facility, subject to the provisions of the Compact and

applicable law.

(b) Forms of Payment All payment for wagers made in any Class III

Gaming conducted by a Gaming Operation shall be made by cash, chips. or tokens. A

Gaming Operation shall not extend credit. Unless otherwise prohibited by applicable

law or the Compact, chips or tokens may be purchased using cash, checks or credit

card.

(c) Wagering Limitations The Board may set by regulation the maximum

wager for Class III Gaming.

(d) Hours of Operation A Gaming Operation may conduct any Class III

Gaming on the hours and days approved by the Board.

(e) Prohibition on Minors No person under the age of 18 shall participate

in any Class III Gaming. However, a person under age 18 may be employed by a

Gaming Operation or Management Contractor in food, non-alcoholic beverage, and

maintenance service.

4
SECTION 4. COMPLIANCE WITH THE ACT. This Ordinance shall be construed

in a marmer that conforms to the Act in all respects, and, if the Ordinance is

inconsistent with the Act in any manner, the provisions of the Act shall govern.

(a) Proprietary Interest The Pueblo shall have the sole proprietary interest

in and responsibility for the conduct of any Class III Gaming on Pueblo Lands;

however, nothing in this Ordinance shall prevent the Pueblo from entering into a

Management Contract.

(b) Use of Net Revenues The Net Revenues from any Class III Gaming

shall be used for the following purposes:

(1) to fund the Pueblos government operations or programs;

(2) to provide for the general welfare of the Pueblo and its members;

(3) to promote the Pueblos economic development;

(4) to donate to charitable organizations:

(5) to help fund operations of local government agencies: or.

(6) any other purposes permitted under the Act.

(c) Annual Audit A Gaming Operation shall be subject to an annual audit

by independent certified public accountants approved by the Board. Copies of the

annual audit shall be sent to the Board and the Commission. All Gaming-Related

Contracts, except contracts for professional legal or accounting services, shall be subject

to the annual audit.

(d) Public Safety Standards Each Gaming Facility shall be constructed and

maintained in a mariner that adequately protects the environment and public health and

safety.

SECTION 5. LICENSING.

(a) Class III Gaming Licensing Requirements

(1) Key Employees and Primary Management Officials The Board

shall license each Primary Management Official and Key Employee of a Gaming

Operation and Management Contractor.

5
(2) Gaming Employees The Board shall license each Gaming

Employee.

(3) Gaming Facility The Board shall license each Gaming Facility.

(4) Management Contractor Pursuant to the Act, the Commission

shall license a Management Contractor and any Person having a direct or indirect

financial interest in a Management Contract. The Board shall license such contractor

or person if the Commission is prohibited by the Act from doing so.

(5) Gaming Device and Gaming Equipment The Board shall license

each Gaming Device and Gaming Equipment.

(6) Gaming-Related Contractors The Board shall license each Person

proposing to enter into a Gaming-Related Contract.

(7) Other Persons The Board may license such other Persons as it

deems necessary to carry out the purposes of this Ordinance.

(b) Applications tbr Class III Gaming Licenses

(I) An applicant applying for a license shall provide all the

intbrrnation required by Section 6(b) of this Ordinance and the Act on an application

forms adopted by the Board tbr that purpose. The applicant shall pay any f~es required

by the Board and the Commission.

(A) The Board shall require each applicant to sign and submit

a Privacy Act notice on an application form as required by the Act (Privacy Act

Notice):

In compliance with the Privacy Act of 1974, the following information is provided:

Solicitation of the information on this form is authorized by 25 U.S.C. 2701 et seq.

The purpose of the requested information is to determine the eligibility of

individuals to be employed in a gaming operation. The information will be used

by 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 a tribe or the National Indian

Gaming Commission in connection with the hiring or tiring of an employee, the

issuance of revocation of a gaming license, or investigations of activities while

associated with a tribe or a gaming operation. Failure to consent to the disclosures

indicated in this notice will result in a tribes being unable to hire you in a primary

management official or key employee position.

6
The disclosure of your Social Security Number (SSN) is voluntary. However,

failure to supply a SSN may result in errors in processing your application.

(B) The Board shall require each applicant to sign and submit

a notice regarding false statements on an application form as required by the Act (False

Statements Notice):

A false statement on any part of your application may be grounds for not hiring

you, or for tiring you after you begin work. Also, you may be punished by fine

or imprisonment.

(C) The Board shall notify in writing each Person, who is

required to be licensed pursuant to Section 5(a) of this Ordinance, but who has not

signed and submitted an application form containing the Privacy Act Notice and False

Statements Notice, to either complete a new application form that contains the Privacy

Act Notice and False Statements Notice or sign a statement that contains the False

Statements Notice and Privacy Act Notice.

(2) On its application, a Gaming Operation or Management Contractor

shall designate an agent to accept service on its behalf of any official determination.

order or notice of violation that may be served by the Board or Commission pursuant

to the Act.

(c) Granting a Class II Gaming License

(I) If the Commission notifies the Board that it has no objection to the

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

may issue a license to such applicant.

(2) If the Commission provides the Board with a statement itemizing

objections to the issuance of a license to a Key Employee or Primary Management

Official, the Board shall reconsider the application by taking into account the objections

itemized by the Commission. The Board shall make the final decision whether to issue

a license to such applicant.

(d) Suspension and Revocation of Class III Gaming License

(1) If, after the issuance of a license, the Board obtains reliable

information from the Commission or other source indicting that a licensee is not eligible

for a license under the standard set forth in Section 6(h) of this Ordinance, the Board

shall suspend the license and shall notify the licensee in writing of the suspension and

the proposed revocation of the license.

7
(2) The Board shall also notify the licensee of the time and place for

a hearing on the proposed revocation of the license.

(3) After the revocation hearing, the Board shall decide to revoke or

to reinstate the license. The Board shall notify the Commission of its decision.

(e) Duration and Renewal of Licenses Any license issued by the Board to

shall be effective for one year from the date of issuance. Any license for a

Management Contractor shall be renewed automatically each year during the term of

the Management Contract unless the Board determines that the Management Contractor

is in violation of applicable law. A licensee who has submitted the required application

for renewal and any other information required by the Board at least 30 days before the

expiration of his license may continue to be employed under the expired license or until

final action is taken on the renewal application by the Board or, if required by the Act,

the Commission. Such licensee shall provide updated material and information as

requested on the appropriate renewal application, but shall not be required to resubmit

historical data already provided or otherwise is available to the Board.

(1) Identification Cards The Board shall require all employees ota Gaming

Operation or Management Contractor to wear identification cards issued by the Board

which shall include such employees photograph, first and last name, employee number,

signature. and a date of expiration.

(g) Fees for Licenses The fees for licenses shall be set by the Board. If the

actual costs incurred by the Board for a background investigation exceed the amount

deposited by the applicant, those costs may be assessed to the applicant in the discretion

of the Board. In such cases, the Board shall submit a detailed billing of the costs and

an explanation as to why the excess costs were incurred. Payment in full of any

required fee is required before a license is issued.

SECTION 6. BACKGROUND INVESTIGATIONS

(a) Board Authority The Board shall conduct a background investigation of

each Person required to be licensed pursuant to Section 5(a) of this Ordinance.

(b) Required Information Each Person required to be licensed pursuant to

Section 5(a) of this Ordinance shall provide to the Board the following information on

an application form for that purpose:

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

number(s), birth date, place of birth, citizenship, gender, all

languages (spoken or written);

8
(2) Cun-ently and for the previous 5 years: business and employment

positions held, ownership interests in those businesses, business

and residence addresses, and drivers license numbers;

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

references, including one personal reference who was acquainted

with the applicant during each period of residence, listed under

Section 6(b)(2) of this Ordinance;

(4) Current business and residence telephone numbers;

(5) A description of any existing and previous business relationships

with Indian tribes including ownership interests in those

businesses;

(6) A description of any existing and previous business relationships

with the gaming industry generally. including ownership interests

in those businesses;

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

which the person has tiled an application for a license or permit

related to gaming, whether or not such license or permit was

granted;

(8) For each felony for which there is an ongoing prosecution or a

Conviction, the charge, the name and address of the court

involved, and the date and disposition, if any;

(9) For each misdemeanor conviction of ongoing misdemeanor

prosecution (excluding minor traffic violations), within 10 years

of the date of the application, the name and address of the court

involved and the date and disposition;

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

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

within 10 years of the date of the application and is not otherwise

listed pursuant to Section 6(b)(8) or (9) of this Ordinance, the

criminal charge, the name and address of the court involved, and

the date and disposition;

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

which the person has filed an application for an occupational

9
license or permit, whether or not such license or permit was

granted:

(12) A current photograph;

(13) Any other information the Board deems relevant; and

(14) Fingerprints consistent with the procedures set forth in this

Ordinance.

(c) Release Form The Board shall obtain from each applicant a release form

signed by the applicant authorizing the Board and Commission to obtain any

information related to the applicants activities, including schools, property interests

(real and personal), employment, criminal justice agencies. regulatory agencies,

businesses, financial institutions, lending institutions, medical institutions, hospitals. and

health care professionals.

(d) Procedures for Conducting Background Investigations The Board shall

conduct a background investigation of each Person required to be licensed pursuant to

Section 5(a) of this Ordinance sufficient to enable the Board to make a determination

of suitability pursuant to Section 6(h) of this Ordinance (Suitability Determination).

(I) An applicant tbr a license shall provide to the Board all the

information required pursuant to Section 6(b) of this Ordinance and copies of the

applicants birth certificate, social security card. drivers license, passport and other

documents deemed necessary by the Board to conduct a background investigation of the

applicant.

(2) The Board shall confirm, verify, and investigate the intormation

provided by the app~ant ~i~in any additional information pursuant to th~T~rT~d

~~ase form In conducting a background investig ,the Boardshall keep

confidential the identity of each person interviewed in the course of the background

investigation.

(3) Once the Board has satisfied itself of the accuracy of the

information provided by the applicant and other information obtained pursuant to a

signed release form, the Board shall analyze such information to make the Suitability

Determination. The Board may conduct any further background investigation should

the circumstances warrant.

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(e) Fingerprint Check

(1) The chairman of the Board is authorized to negotiate and enter into

an agreement with the Commission or a State or federal law enforcement agency for the

purpose of processing fingerprint cards to obtain criminal history record information

(CHRI) of Persons required to be licensed pursuant to Section 5(a) of this Ordinance.

(2) The San Juan Pueblo Police Department is hereby designated as the

law enforcement agency responsible for taking fingerprints of applicants for licenses.

The chairman of the Board is also authorized to negotiate and enter into an agreement

with a State or federal law enforcement agency to take such fingerprints. Such law

enforcement agency shall designate an individual for the purpose of communicating with

the Board and the Commission regarding the taking of the fingerprints.

(3) The Board shall impose a fee sufficient to cover the cost of

processing the fingerprint cards.

(f) Procedure for Processing Fingerprint Cards

(I) Upon receipt of a completed application for a license and the

payment of any required fees, the Board shall direct the applicant to the law

enforcement agency authorized to take fingerprints. The law enforcement agency shall

take the applicants fingerprints on cards provided by the Commission for that purpose.

The fingerprint cards shall be printed by a certified print technician and shall be of a

quality as to be classifiable. The fingerprint cards shall be signed by the person taking

the prints and the applicant. After taking the applicants fingerprints, the law

enfbrcement agency shall forward the fingerprint cards directly to the Commission tbr

an FBI fingerprint check.

(2) The Board shall also send to the Commission a check in an amount

sufficient to cover the cost of processing each applicants fingerprint card and a list

containing the following information:

(A) the names of each applicant whose fingerprint cards will be

sent to the Commission by the law enforcement agency.

(B) the social security number for each applicant;

(C) the date of birth of each applicant; and

(D) the name of the law enforcement agency taking the

fingerprints.

11
(g) Criminal History Record Information The Board may use the CHRI fur

the purpose of making a Suitability Determination and any other lawful purpose

permitted by an agreement with the Commission or a State or federal law enforcement

agency. The Board shall abide by all conditions or limitations imposed by such

agreement on the release, dissemination or use of the CHRI. The Board shall further

ensure that the CHRI is restricted to the personnel directly involved in the licensing

deliberations. The Board shall maintain records of the identities of all personnel

receiving access to the CHRI and shall furnish such records to the Commission upon

request.

(h) Suitability Determination The Board shall teiirw ~n ~pplicants--pcier

activities, criminal recor

.

d associations to make atinding

for submission to the Commission concerning the eligibi ity oT~th~ applicant (ori

license. The Board shall not issue a license to, nor shall a Gaming Operation or

Management Contractor employ, any Person whom the Board determines poses a threat

to the public interest or to the effective regulation of any Gaming Activity or creates

or enhances the dangers of unsuitable, unfair, or illegal practices and methods and

activities in the conduct of any Gaming Activity.

(i) Procedures for Forwarding Applications and Reports to the Commission

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

work at a Gaming Operation, the Board shall send the completed application to the

Commission.

(2) Upon completion ofa background investigation conducted pursuant

to this Ordinance, the Board shall send the Investigative Report and the Suitability

Determination to the Commission within 60 days after a Key Employee or Primary

Management Official begins work at a Gaming Operation or within 60 days of the

approval of this Ordinance by the Commission. A Gaming Operation or Management

Contractor shall not employ any Key Employee or Primary Management Official, or

any other Person who does not have a license after 90 days unless that period is

suspended by action of the Commission pursuant to the Act.

(j) Investigative Report to Commission

(1) The Board shall prepare a report on each background investigation

conducted pursuant to this Ordinance (Investigative Report). An Investigative Report

shall include the following information:

12
(A) A description of the steps taken in conducting a background

investigation;

(B) An explanation of results obtained;

(C) A statement as to the conclusions reached; and

(D) The bases or justifications for each of the conclusions.

(2) If a license is not issued to an applicant, the Board:

(A) Shall notify the Commission, and

(B) May forward copies of its Suitability Determination and

Investigative Report to the Commission for inclusion in the Indian Gaming Individuals

Records System.

(3) The Board shall retain all applications for license. Envestigative

Reports. Suitability Determinations, and other records and information for inspection

by the Commission for no less than three years from the date of termination of

employment.

(k) Fees for Background Investigation The fees for background investigations

shall be set by the Board. It the actual costs incurred by the Board for a background

investigation exceed the amount deposited by the applicant, those costs may be assessed

to the applicant at the discretion of the Board. In such cases, the Board shall submit

to the applicant a detailed billing of the costs and an explanation as to why the excess

costs were incurred.

SECTION 7. MANAGEMENT CONTRACTS.

(a) Requirement for Review and Approval The Pueblo may enter into a

Management Contract subject to approval of the Commission.

(b) Required provisions

(1) Governmental Authority A Management Contract shall provide

that all Class III Gaming conducted by a Management Contractor be conducted in

accordance with this Ordinance, the Compact, and the Act.

13
(2) Assignment of Responsibilities A Management Contract shall

identify the responsibilities of each party for each identifiable function set forth in the

Act.

(3) Accounting A Management Contract shall provide for the

establishment and maintenance of satisfactory accounting systems and procedures that

shall include an adequate system of internal accounting controls and permit the

preparation of financial statements in accordance with generally accepted accounting

principles.

(4) Reporting A Management Contract shall require the Management

Contractor, at its own cost and expense, to provide monthly verifiable financial reports

to the Pueblo. the Board, and if required by the Act, the Commission.

(5) Access A Management Contract shall require a Management

Contractor to allow immediate access to a Gaming Operation, including its books and

records, by authorized officials of the Pueblo, Board, or Commission. who shall have

the right to verify the daily gross revenues and income from the Gaming Operation and

access to any other gaming-related information that such authorized officials deem

appropriate.

(6) Guaranteed Payment A Management Contract shall provide for

a minimum guaranteed monthly payment in a sum certain to the Gaming Operation that

has preference over the retirement of any development and construction costs.

(7) Development and Construction Costs A Management Contract

shall provide tbr an agreed upon maximum dollar amount per month of revenues for

the recoupment of development and construction costs.

(8) Term Pursuant to the Act, a Management Contract shall not be

for a term exceeding five (5) years unless, upon request of the Pueblo, the Commission

authorizes a longer contract term not to exceed seven (7) years.

(9) Compensation Pursuant to the Act, a Management Contract shall

not provide for more than thirty percent (30%) of the Net Revenues of a Gaming

Operation to be paid to a Management Contractor unless, upon request of the Pueblo,

the Commission authorizes a higher percentage not to exceed forty percent (40%). The

balance of any Net Revenues shall be paid to the Treasurer of the Pueblo or other

Pueblo entity as set forth in a Management Contract.

(10) Termination; Disputes A Management Contract shall provide the

grounds and mechanisms for modifying or terminating such contract and include a

14
mechanism to resolve disputes between a Gaming Operation and Management

Contractor, Management Contractor and patrons, and Management Contractor and its

employees.

(II) Assignments and Subcontracting A Management Contract shall

provide to what extent contract assignments and subcontracting are permissible.

(12) Ownership Interest A Management Contract shall provide that

changes in the ownership interest in such contract shall require the advance approval of

the Pueblo and the Board, and if required by the Act, the Commission.

(13) Prohibited provisions A Management Contract shall not transfer

or convey any interest in Pueblo Lands unless authorized by federal law.

SECTION 8. DISPUTE RESOLUTION.

(a) Dispute Resolution Procedures If a Gaming Operation or Management

Contractor refuses to pay alleged winnings to a patron engaged in Class III Gaming and

a Gaming Operation or Management Contractor and the patron are unable to resolve the

dispute and the dispute involves:

(1) At least $250, the Gaming Operation or Management Contractor

shall notify the Board in writing of the dispute within five calendar days otthe date the

dispute arises, or the date of the written complaint, which ever is later (Notice of

Dispute), or

(2) Less than $250, the Gaming Operation or Management Contractor

shall inform the patron that the patron has the right within five calendar days of the date

the dispute arises to make a written request to the Board to conduct an investigation

(Request for Investigation).

(3) The failure the give a Notice of Dispute or make a Request for

Investigation within the five-day period shall bar the claim to any money in dispute.

(b) Investigation and Hearing Upon receipt of Notice of Dispute or Request

for Investigation, the Board shall conduct whatever investigation it deems necessary to

resolve the dispute. The Board shall hold a hearing on the matter within ten days after

concluding the investigation of the dispute. At the hearing, the Gaming Operation or

Management Contractor and patron may submit any documentation or other written

evidence to the Board to support their respective positions.

15
(c) Decision Within ten days after the hearing, the Board shall issue a

written decision resolving the dispute and shall mail the written decision, by certified

mail, return receipt requested, to the patron and the Gaming Operation or Management

Contractor. The effective date of a decision of the Board made under this Section is

the date the decision is received by the aggrieved party as reflected on the return receipt

(Effective Date).

(d) Review of Decision The decision of the Board shall be final and subject

to review by the Tribal Court, if the aggrieved party files a petition for review with the

Tribal Court within ten calendar days of the Effective Date.

SECTION 9. GAMING BOARD.

(a) Establishment of the Board, Appointment~ Term There is hereby

established a Board to be known as the Pueblo of San Juan Gaming Board. The Board

shall consist of three members who shall be appointed by the Council to serve staggered

terms of three years commencing on the date of their appointment.

(b) Compensation The Council shall establish the compensation, if any. for

the members of the Board..

(c) Removal The Council may remove any member of the Board for any

reason at any time.

(d) Vacancies The Council may till any vacancies in the Board.

(e) Designation as Agent The Board is hereby appointed as the agent for the

Pueblo to accept on behalf of the Pueblo service of any official determination, order,

or notice of violation that may be served by the Commission pursuant to the Act.

(1) Powers and Duties The Board shall have the following powers:

(I) To monitor and regulate any Gaming Activity conducted on Pueblo

Lands, except as provided by applicable law or the Compact.

(2) To inspect and examine all premises on Pueblo Lands on which

any Gaming Activity is conducted.

(3) To conduct background investigations as may be necessary and

to conduct such other investigations to protect the public interest in the integrity of any

Gaming Activity and to prevent improper or unlawful conduct in the course of any

Gaming Activity.

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(4) To demand access to, inspect, examine, photocopy, or audit or to

cause an audit to be conducted on all papers, books, and records of any Gaming

Operation or Management Contractor relating to any Gaming Activity conducted on

Pueblo Lands and any matters necessary to carry out its duties pursuant to this

Ordinance, the Compact, and applicable law.

(5) To compel any Person to appear before it and provide such

information, documents or other materials as may be in such persons possession and

to administer oaths or affirmations to witnesses appearing before it.

(6) To promulgate such regulations and guidelines as it deems

appropriate to implement the provisions of this Ordinance, the Compact, or other

applicable law.

(7) To issue, suspend and revoke licenses in accordance with this

Ordinance.

(8) To enforce the health and safety standards applicable to any

Gaming Facility.

(9) To levy and collect fees and to impose any penalties and tines for

violations of this Ordinance.

(10) To bring in the name of the Pueblo any action in a court of

competent jurisdiction, including the Tribal Court, to enforce this Ordinance, the

Compact or applicable law, or to enjoin or othenvise prevent any violation of this

Ordinance, the Compact or applicable law.

(11) To adopt an annual operating budget subject to the approval of the

Council and, in accordance with such budget, to employ a staff as it deems necessary

to fulfill its responsibilities under this Ordinance, and to retain legal counsel, consultants

and other professional services, including investigative services, to assist it in carrying

out its powers.

(12) To issue any order or make any decision which the Board has the

power to issue or make pursuant to applicable law and to take any action as may be

required to protect to the public interest in any Gaming Activity.

(13) To conduct any hearing, take testimony, and receive any evidence

and to compel the production of any information or documents,

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(14) To enter into such contracts and agreements with State, federal and

private entities for activities necessary to the discharge of its duties.

(15) To take any other action necessary and proper to carry out its

powers set forth in this Ordinance.

(g) Executive Director The Board may appoint and retain an individual to

serve as executive director of the Board to administer and execute its duties and

responsibilities hereunder and other staff as the Board may deem necessary to carry out

such duties and responsibilities. The executive director shall be responsible for

coordination of the functions with the Commission and other federal, state, and local

agencies as necessary.

(h) Certificate of Self Regulation As provided in the Act, the Board on

behalf of the Pueblo may petition the Commission for a certificate of self regulation.

(i) Procedures of the Board

(I) Regular meetings Regular meetings of the Board may be held

upon such notice, or without notice, and at such time and place as shall from time to

time be tixed by the Board. Unless otherwise specified by the Board, no notice of such

regular meetings shall be necessary.

(2) Special meetings Special meetings of the Board may be called

by the chairman of the Board or may be held by teleconference or by polling. The

chairman of the Board shall fix the time and place of the special meeting. Neither the

business to be transacted at, nor the purposes of~ any regular or special meeting of the

Board need to be specified in the notice of the meeting.

(3) Quorum At any meeting of the Board, a majority of the Board

members shall constitute a quorum for the transaction of business. The vote of a

majority of the members present at a meeting at which a quorum is present shall be the

act of the Board. The chairman of the Board shall preside at all meetings of the Board

unless the chairman of the Board designates another member to preside in his absence.

Approval of action telephonically or by polling is also authorized.

(4) Notice of Board Action: Hearings No action of the Board taken

pursuant to this Ordinance shall be valid unless the Person affected is given notice of

the proposed action and the opportunity to appear and to be heard before the Board and

to submit such evidence as the Board deems relevant to the matter at issue. Any

hearing conducted may at the direction of the Board be conducted by the executive

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director or by one or more members of the Board designated by the Board for that

purpose.

(5) Rules and Procedures The Board may adopt such additional

procedures and rules as it deems necessary or convenient to govern its affairs consistent

with applicable law.

SECTION 10. PROHIBITED ACTS. It shall be a violation of this Ordinance for any

person:

(a) To conduct or participate in any Gaming Activity on Pueblo Lands other

than at a licensed Gaming Facility.

(b) To receive, distribute, apply or divert any property. funds, proceeds, or

other assets of a Gaming Operation to the benefit of any Person except as authorized

by this Ordinance, the Compact, or applicable law.

(c) To tamper with any Gaming Device or Gaming Equipment used in the

conduct of any Gaming Activity with the intent to cause any Person to win or lose any

wager other than in accordance with the publicly-announced and approved rules of a

Gaming Operation.

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

Activity with the intent to affect the outcome of any wager other than in accordance

with the publicly-announced and approved rules of a Gaming Operation.

(e) To alter or misrepresent the outcome of other event on which wagers have

been made after the outcome is made sure but before it is revealed to the players.

(0 To place, increase or decease a bet or to determine the course of play

after acquiring knowledge, not available to all players, of the outcome of the game or

any event that affects the outcome of the game or which is the subject of the bet or to

aid anyone in acquiring such knowledge for the purpose of placing, increasing or

decreasing a bet or determining the course of play contingent upon that event or

outcome.

(g) To claim, collect or take, or attempt to claim, collect or take, money or

anything of value in or from a Gaming Device or Gaming Equipment, with intent to

defraud, without having made a wager thereon, or to claim, collect or take an amount

greater than the amount won.

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(h) To place or increase a wager or bet after acquiring knowledge of the

outcome of the game or other event which is the subject of the bet, including pastposting and pressing bets.

(i) To reduce the amount wagered or cancel the bet after acquiring

knowledge of the outcome of the game or other event which is the subject of the bet,

including pinching bets.

(j) To manipulate, with the intent to cheat, any Gaming Device or Gaming

Equipment, including, but not limited to manipulating a Gaming Device or Gaming

Equipment with knowledge that the manipulation affects the outcome of such device or

equipment.

(k) To Knowingly use other than coins or tokens approved by the Board or

other lawful coin, legal tender of the United States of America, or to use a coin not of

the same denomination as the coin intended to be used in the Gaming Device or

Gaming Equipment.

(I) To possess. with the intent to use, any device to assist in projecting the

outcome of the game. in keeping track of the cards played. in analyzing the probability

of the occurrence of an event relating to Gaming Activity, or in analyzing the strategy

for playing or bening to be used in the Gaming Activity.

(m) To use any device or means to cheat, or to possess any such device or

means while at a Gaming Facility.

(n) To knowingly entice or induce another to go to any place where Gaming

Activity is being conducted or operated in violation of the provisions of this Ordinance,

the Act, the Compact, or other applicable law with the intent that the other person play

or participate in that Gaming Activity.

SECTION 11. PENALTIES. Any person who violates any provision of this

Ordinance shall be subject to civil penalties, termination of employment by the Gaming

Operation or Management Contractor, denial, suspension or revocation of a license,

exclusion from any Gaming Facility, or exclusion from Pueblo Lands. The Board may

impose a fine of not more than $5,000.00 for each violation. The Board shall have the

jurisdiction to impose any penalties on any Person within the jurisdiction of the Pueblo.

SECTION 12. SEVERABILITY. In the event any section or provision of this

Ordinance or its application to any particular activity is held to be invalid, the remaining

sections and provisions of this Ordinance and the remaining applications of such section

or provision shall continue in full force and effect.

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SECTION 13. SOVEREIGN IMMUNITY. The Pueblo does not in any way waive

its sovereign immunity from suit in any court. However, decisions of the Board may

be appealed to and shall be subject to final appellate review only in the Tribal Court.

No decision of the Board shall be reversed unless the Tribal Court finds that the

Boards action was arbitrary, capricious, or not in accordance with the law. No

compensatory, punitive, monetary, or exemplary damages may be awarded against the

Board for any action taken or decision made by the Board.

SECTION 14. REPEAL. To the extent inconsistent with this Ordinance, all prior

ordinances, or parts thereof, are hereby repealed.

SECTION 15. AMENDMENTS. This Ordinance may be amended by the Council.

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