S eca Nation of In?~ns

President. Barry E. Snyder. Sr. Treasurer- Rae 1. Snyder

Clerk . Barbara A. Hemlock

1490 ROUTE 43* P.O. BOX 231

IRVINC, NEW YORK 140S1 SAI.AMANCA, NEW YORK 14779

Tel. (716) 532-4900

Tel. (716) 532-4907 Tel. (716) 945-1790

FAX (716) 532.9132 FAX (716) 945-3917

Regular Session of Council

Seneca Nation of Indians,

March 19, 1994, at the G.R.

Building on the Allegany

Reservation, Salamanca, NY

EXECUTIVES PRESENT: PRESIDENT - BARRY E. SNYDER, SR.

CLERK -

BARBARA A. HEMLOCK

TREASURER - RAE L. SNYDER

GAMING I.~11 ENACTMENT/CLASS U

MOTION: by Ross John, seconded by Charles Ballagh, that Tribal

Council adopts the Gaming Law Resolution as follows:

WHEREAS, pursuant to the Indian Gaming Regulatory Act (IGRA), the

National Indian Gaming Commission Chairman has officially

notified the Seneca Nation on December 10, 1993 that the

Nation must adopt a tribal gaming ordinance for Class II

gaming. Such ordinance must be submitted within sixty (60)

days and reviewed and approved by the Chairman of the Na

tional Gaming Commission (25 USC Section 2712, 25 CFR Part

523); and,

WHEREAS, federal law requires the Nation to inform the National

Indian Gaming Commission of a description of the procedures

for conducting background investigations, for resolving

disputes between the customers and the gaming operation, and

financial statements for the previous fiscal year and the

most recent audit and management letter (25 CFR Sections

522.2 and 523.2); and,

WHEREAS, the Seneca Nation operates various Class II gaming

facilities and the revenues from such facilities enables the

Nation to provide vital services to its people; and,

WHEREAS, the Nation deems it appropriate and necessary to comply

with federal law by enacting a law governing Class II gam

At the

of the

held on

Plummer

Indian

14779

ing;
GAMING LAW ENACTMENT/CLASS II

REGULAR COUNCIL SESSION

MARCH 19, 1994

PAGE 2

NOW, THEREFORE, BE Li RESOLVED, that the Council hereby adopts

and enacts the attached law to be known as the Seneca Nation

Class II Gaming Law.

BE IT FURTHER RESOLVED, that __________________________________

is designatee of Council to oversee the implementation -of

this law and report to Council every thirty (30) days until

fully implemented or otherwise directed by Council.

BE IT FURTHER RESOLVED, that gaming license fees as established

in Section 10 of the Gaming Law are as follows:

Primary management official & key employees $ .00

All other employees $ .00

ROLL CALL VOTE: 13-YES; 1-NO; 2-ABSENT.

MOTION CARRIED

CERTIFICATION

I hereby certify that the foregoing extract is a true and correct

copy from the Minutes of the Regular Session of Council of the

Seneca Nation of Indians held on March ~ 1994 original of

which is on file in the Clerks Office of the Seneca Nation of

Indians.

IN TESTIMONY WHEREOF, I have hereunto subscribed my name and

cause the seal to be affixed at the William Seneca Administration

Building on the Cattaraugus Indian Reservation, Irving, New York,

on the 21st day Q.~. March, 1994

ATTEST:

R ç~j~j~ ~ ( S E A

BARBARA A. HEMLOCK, CLERK

THE SENECA NATION OF INDIANS
SENECA NATION OF INDIANS

CLASS II GAMING LAW

OF ______

199~ 21 9~8

~
Section Title

SENECA NATION GAMING LAW

TABLE OF CONTENTS

Short Title

Tribal Policy

Findings

Definitions

Authority of Tribal Council

Games Authorized

Licenses Required

8 Application for Gaming License

9 Qualifications for Gaming Licenses...

Gaming License Fees

I3~ckg~ound Investigations -

ii~It~nance of Gaming Facility

Use of Net Revenues

Records & Reports

Annual Audit

Gross Gaming Revenues

Violations

Notice of Violation

Violation Penalties

Enforcement

Hearings & Appeals.

22 Service

Resolution of Disputes

Applicable Law

Savings Provision

Page

1

1

1

2

6

7

7

11

12

17

17

18

19

20

21

22

1

2

3

4

5

6

7

7

(~

(

10

12

13

14

15

16

17

18

19

20

21

13

15

15

15

16

23

24

25

26

27

22

23

23

Effective Date/Repeal 23

Management Contractor/Contract Provisions 23

1
SENECA NATION

GAMING LAW

TRIBAL LANDS

GENERAL PROVISIONS

SECTION 1 - SHORT TITLE

This Law may be cited as the Seneca Nation Tribal Gaming Laws.

SECTION 2 - DECLARATION OF TRIBAL POLICY

§2-1 It is the policy of the Seneca Nation, hereinafter referred to as Nation or

Thbe~:

(a) That the Nation shall have the sole proprietary interest in

any gaming operation;

b) That all gaming operations on tribal lands shall be

conducted by the Nation, through employees of the Tribal

Council or its management contractors only;

(ci That it is the objective of this Law to provide revenue to

promote (i) Tribal economic development and self-sufficiency

and (ii) the health, education, and welfare of Tribal

members; and

(di That the gaming activities provided for by this Law within

lands of the Nation shall be conducted in conformance with

the requirements of this Law, the Indian Gaming Regulatory

Act, 102 Stat. 2467, 25 U.S.C. § 2701, et seq., as

implemented by the regulations promulgated by the

National Indian Gaming Commission.

SECTION 3- FINDINGS

§3-1 The Tribal Council finds that -

(a) Class II gaming may be conducted on Tribal lands of the Nation by

reason of the fact that the State of New York permits bingo.

1.
SECTION 4- DEFINITIONS

§4-1 For the purpose of this Law, the foUowing definitions shall apply: (

(a) Act means the Indian Gaming Regulatory Act, Public Law 100-

497, 102 Stat. 2466, codified as 25 U.S.C. §~ 2701, et seq.

(bi wApplicant means any person who completes an application with

the Nation for a gaming license.

(ci ~Assessable gross revenues means the annual total amount of

money wagered and admission fees, less any amounts paid out as

prizes or paid for prizes awarded, and less an allowance for

amortization of capital expenditures for structures.

(di wBthgoR means that game of chance (whether or not electronic,

computer, or other technologic aids are used in connection

therewith):

(i) which is played for prizes, including monetary prizes, with

cards bearing numbers or other designations;

(ii) in which the holder of the cards covers such numbers or

designations when objects, similarly numbered or

designated, are drawn or electronically determined; and

(ill) in which the game is won by the first person covering a (

previously designated arrangement of numbers or

designations on such cards.

(e) NChairmanw means Chairman of the National Indian Gaming

Commission or his or her designee.

(f) Cheating means operating or playing in a game in a manner in

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

with the intent to create for himself/herself or someone in privity

with him/her an advantage over and above the chance of the game.

(g) TMClass II gamingN means that gaming defined in 25 C.F.R. § 502.3.

(hi 0Collateral agreement means any contract, whether or not in

writing, that is related, either directly or indirectly, to a

management contract, or to any rights, duties, or obligations

created between the Nation (or any of its members, entities, or

organizations) and a management contractor or subcontractor (or

any person or entity related to a management contractor or

subcontractor).

-2-
(i) Commission means the National Indian Uaming Commission.

U) Council means the Tribal Council as described in Section 1 of the

Constitution of the Seneca Nation of Indians or its delegated

committee, agency, office or tribal corporation.

(k) Employee manager is a manager other than a management

contractor employed by the Nation to manage a tribal gaming

establishment.

(1) Gaining means risking any money or other thing of value for

gain, contingent, wholly or partially, upon lot, chance, the

operation of gaming apparatus, or the happening or outcome of an

event over which the person taking the risk has no control.

(ml Gaming establishment means any location or structure, wherein

gaming is licensed, promoted, performed, conducted, or operated.

(n) Gaining License means the permit granted by the Nation to an

applicant for employment with a gaming operation.

(o) Gaming operation means each economic entity that is licensed by

the Nation, operates the games, receives the revenues, issues the

prizes, and pays the expenses. A gaming operation may be

operated by the Nation directly or by a management contractor.

(p) Gross gaming revenues means the annual total amount of money

wagered and admission fees.

(q) In privity with means 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.

fri Key employee means:

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

functions:

(1) Bingo caller;

(2) Counting room supervisor;

(3) Chief of security;

(4) Custodian of gaming supplies or cash;

(5) Floor manager;

(6) Approver of credit;

(7) Custodian ofgambling devices including persons with

access to cash and accounting records within such

devices; or

(8) Croupier

.3-
(ii) If not otherwise included, any other person whose total cash

compensation is in excess of Fifty Thousand $50,000 Dollars (

per year; or

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

persons in the gaming operation.

(si Management contract means any contract, subcontract, or

collateral agreement between the Nation and a contractor or

between a contractor and a subcontractor if such contract or

agreement provides for the management of all or part of a gaming

operation.

It) Management contractor means the person or entity holding a

contract entered into pursuant to 25 U.S.C. § 2711.

(u) Minor means a person less than eighteen (18) years of age.

(vi Net revenues means gross gaming revenues of a Tribal gaming

operation less -

(1) Amounts paid out as, or paid for, prizes; and

(2) Total gaming-related operating expenses, excluding

management fees.

(w) Operating expenses means total gaming-related expenses

excluding management fees.

(x) Person means any individual, firm, partnership, corporation,

company, or association.

(y) Person having a direct or indirect financial interest in a

management contract means:

(1) When a person who Is a party to a management contract,

any person having a direct financial interest in such

management contract;

(2) When a trust is a party to a management contract, any

beneficiary or trustee;

(3) When a partnership is a party to a management contract,

any partner;

(4) When a corporation is a party to a management contract,

any person who is a director or who holds at least ten

-4-
percent (10%) of the issued and outstanding stock alone or

in combination with another stockholder who is a spouse,

parent, child or sibling; or

(5) When an entity other than a natural person has an interest

in a trust, partnership, or corporation that has an interest in

a management contract, all parties of that entity are deemed

to be persons having a direct financial interest in a

management contract.

(aa) Person having management responsibility for a management

contract0 means the person designated in the management contract

as having engagement responsibility for the gaming operation, or

a portion thereof.

(bb) Player0 means a person participating in a game with the hope of

winning money or other benefit, but does not include a licensee,

any assistant of a licensee, or their immediate family.

(cc) President means the President of the Seneca as provided for In

Section III of the Constitution of the Seneca Nation of Indians.

(dd) Primary management official means:

(1) The person having management responsibility for a

management contract;

(2) Any person who has authority;

(A) To hire and fire employees; or

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

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

management responsibility.

fee) Secretary means the Secretary of the Interior.

ff1) Tribal lands means all lands which are held in trust by the

United States of America for the Nation and all lands owned by the

Nation which are subject to restriction against alienation imposed

by the United States.

(ggj Nation means the Seneca Nation.

-5-
SECTION 5- AUTHORITY OF TRIBAL COUNCIL

§5-1 The Council shall have the power and responsibility to: (

(a) enforce and administer the provisions of this Law;

(bi issue and renew gaming licenses as provided in this Law and in

any regulation which may be promulgated by the Council;

Ic) revoke, suspend, or condition a gaming license or deny an

application for a license for violation of applicable law or Law

regulating gaming, or conviction of any offense involving a gaining -

related crime or moral turpitude;

(dJ collect fees and interest as provided for in this Law;

(eJ assess and collect penalties provided for in this Law;

((1 adjust the respective amounts of the annual license fees, provided

that such fees shall not be increased retroactively;

(g) audit or cause to be audited expenditures, receipts, and reports of

a licensee responsible for managing a Tribal gaming enterprise;

(hi review, on demand, such books and records and inspect the

premises and operations of licensees as it deems necessary for the

enforcement of this Law;

(i) draw up such forms as it deems necessary;

U) institute such legal proceedings in the name of the Nation in a

court of competent jurisdiction as it deems necessary for the

enforcement of this Law;

(k) conduct hearings provided for in this Law;

(1) deposit all fees, penalties, and interest collected under authority of

this Law into an account to the credit of the Nation;

(m) maintain a correct and full accounting of all fees, penalties, and

interest received under authority of this Law, and provide a

monthly record of that accounting; and

(n) take such other actions and issue such orders and promulgate such

regulations as the Council may deem necessary to properly and

fully perform its duties and responsibilities under this Law.

-6-
§5-2 The Council may delegate to an appropriate committee, agency, office, or

tribal corporation any or all of the powers and responsibilities set forth in

§ 5-I above.

SECTION 6 - GAMES AUTHORIZED

.. §6-1 The Nation shall have the sole proprietary interest in and responsibility

for the conduct of any gaming operation.

§6-2 Class II games as follows may be licensed for conduct on Tribal lands:

(a) bingo, pull-tabs, lotto, punch boards, tip jars, instant bingo, and

other games similar to bingo as defined under 25 C.F.R. § 502.9.

(bi non-banking card games defined as class II gaming under 25 C.F.R.

§ 502.3(c).

(c) any game determined to be a class II game by Congressional

amendment of the Act, by regulation, or by decision of the

Commission or the federal courts.

SECTION 7- GAMING LICENSES REQUIRED

§7-1 A separate gaming license is required for

(a) (1) each person having a management contract;

(2) each primary management official and each key employee

whether employed by the management contractor or directly

by the Nation; and

(3) all other employees

(b) each place, facility, or location on Tribal lands at which class II

gaming is conducted.

SECTION 8- APPLICATION FOR GAMING LICENSES

§8-1 Each person having a management contract, each primary management

official and each key employee whether employed by the management

contractor or directly by the Nation, and all other employees shall

complete an application for an initial gaining license or renewal of an

existing gaming license for each gaming establishment on an application

form prescribed by the Council. The application shall set forth:

.7.
(al the name under which the applicant transacts or intends to react

business on Tribal lands; and

(b) the location of the gaming establishment for which the gaming

license is sought; and

(ci the application shall be signed by the applicant ifa natural person,

or, in the case of an association or partnership, by a member or

partner thereof, or in the case of a corporation, by executive officer

thereof, or by some other person specifically authorized by the

corporation to sign the application, in which case written evidence

of the signatorys authority shall be attached. The applicant shall

provide evidence of authority of the signatory or any other

representative to act for and bind the applicant. If any change is

made in that authority, the Council shall be immediately informed

in writing and, until that information is filed with the Council, any

action of the representative shall be presumed to be that of the

applicant.

§8-2 Each application shall be accompanied by payment of the appropriate

annual license fee, and an appropriate fee to cover the cost of the

background investigation conducted pursuant to Section 11 below.

§8-3 The management contractor shall file along with the application an

organizational chart of its management organization andjob descriptions

of the employees of the gaming operation. The chart shall identify which

employees are or will be the primary management officials and the key

employees of the gaming operation.

§8-4 An application for a gaming license shall include:

(a) a description of the place, facility, or location on Tribal lands where

the applicant will operate a gaming operation or where the

applicant will be employed.

(b) the following privacy notice prescribed by 25 C.F.R. § 556.2:

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

-8-
regulatory investigations or prosecutions or when pursuant

to a requirement by a Nation 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

investigations of activities while associated with a Nation or

a gaming operation. Failure to consent to the disclosures

indicated in this notice will result in a Nations being unable

to hire you in a primary management official or key

employee position. The disclosure of your Social Security

Number (SSN) is voluntary. However, failure to supply a

SSN may result in errors in processing your application.

(ci the following notice regarding false statements are prescribed by 25

C.F.R. § 556.3:

0A 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 lOOl).

(d) the following background investigation information from each

primary management official and each key employee:

(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);

(2) currently and for the previous ten (10) 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 five (5) personal

references, including one personal reference who was

acquainted with the applicant during each period of

residence listed under paragraph (di (2) of this Section;

(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;

.9-
(7) the name and address of any licensing or regulatory agency

with which the person has flied 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 or on-going misdemeanor

prosecution (excluding minor traffic violations), within ten

(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 ten (10) years of the date of the application and is

not otherwise listed pursuant to paragraph (d) (8) or (d) (9) of

this Section, 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 applicant has filed application for an

occupational license or permit, whether or not such license

or permit was granted;

(12) a current photograph;

(13) a complete history of the applicants educational

background, including the names of any colleges,

universities, trade or vocational schools, and high schools

attended;

(14) fingerprints of the applicant to be taken by the Seneca

Nation department of law enforcement for a criminal history

check. A criminal history check will include a check of

criminal history records information maintained by the

Federal Bureau of Investigation pursuant to 25 C.F.R. §

522.2(h);

(15) a statement authorizing law enforcement agencies and prior

employers to release information and respond to questions

relating to the applicants records.

(16) all applicants are required to submit to a drug screening test

and, if employed, random screening tests thereafter; and

(17) any other information the Council deems relevant.

- 10-
§8-5 Each applicant for a gaming license who has or will have a contract with

the Nation to manage a Tribal gaming operation shall state whether or not

he/she already has a management contract to operate any Indian or non

Indian gaming operation and, if so, a description of the location of each

such operation.

§8-6 A management contractors application shall include information required

by 25 U.S.C. § 2711 and 25 C.F.R. § 537.1.

§8-7 Existing key employees arid primary management officials shall be

notified in writing that they shall either:

(a) complete a new application form that contains the Privacy Act

notice described in Section 8-4(b) above; or

(bi sign a statement that contains the Privacy Act notice described in

Section 8-4 (b) above and consent to the routine uses described in

that notice.

§8.8 Existing key employees and primary management officials shall be

notified in writing that they shall either:

(a) complete a new application form that contains the notice regarding

false statements described in Section 8-4(c) above; or

(bi sign a statement that contains the notice regarding false statements

described in Section 8-4(c) above.

§8-9 When a key employee or a primary management official begins work at

a gaming operation the Council shall forward a copy of the persons

completed application for a gaining license to the Commission.

SECTION 9- QUALIFICATIONS FOR GAMING LICENSES

§9-1 The Council may issue or renew a gaming license to an applicant who

submits a proper and completed application and pays the appropriate

annual license fee, provided that the Council determines that the

applicant:

(a) is not minor;

(b) is a person of good character, honesty, and integrity;

(c) has no prior activities, criminal record, reputation, habits, and

associations which pose a threat to the public interest or the

interest of the Nation or to the effective regulation and control of

gaming, or create or enhance the dangers of unsuitable, unfair, or

illegal practices, methods, and activities in the conduct or gaming

11
or the~ carrying on of the business and tiriancial arrangements

incidental to the conduct of gaming;

(d) has not supplied false and/or misleading information or who has

not omitted material information required under this Law, the Act,

and 25 C.F.R. Chapter 111;

(eJ has not had, or is not in privity with anyone who has had, a

gaming license revoked for cause in any jurisdiction since the

effective date of the Act;

(fi has complied with this Law or any resolution adopted by the

Council;

(gi does not occupy a competing position in the employ of another

Nation within a five hundred (500) mile radius of any Tribal

gaming operation; and

(14 does not violate any of the requirements set forth in 25 U.S.C. §

2711(a) and (e).

§9-2 Subject to the requirement of payment of annual license fees, each

gaming license shall be valid for the three (3) fiscal years commencing

July 1 and ending June 30 of a respective year, provided that, in the

direction of the Council, a gaining license may be granted for a term to

run concurrently with the term of a management contract.

§9-3 A gaming license may not be assigned or transferred and is valid only for

use by the person in whose name it is issued and at the gaming

establishment for which it is issued. A gaming license shall be

conspicuously displayed at all times at the gaming establishment for

which issued.

§9-4 The Council shall make the fmal decision as to whether a gaming license

shall be issued, suspended, or revoked.

SECTION 10- GAMiNG LiCENSE FEES

§ 10-1 The annual fee for each gaming license issued pursuant to this Law to the

holder of a valid management contract shall be one thousand dollars; and

for each primary management official and key employee it shall be

seventy-five dollars. The annual fee for all other employees shall be fortyfive dollars. The Council may waive the annual fee on a case-by-case

basis.

§ 10-2 The Council may annually adjust, not exceeding ten percent (10%), the

amount of the annual fee, provided that any increase shall take effect only

- 12 -
on the ensuing July 1.

§ 10-3 The initial annual license fee shall be paid with the submission of the

applicants completed application.

§ 10-4 The annual license fee shall be prorated in the case of each initially issued

gaming license. Licenses issued after December 31 each year shall be one

half (1/2) the annual fee.

§ 10-5 All moneys collected or received at a gaming establishment, except any

individual winnings or prizes of Ten Thousand ($10,000) dollars or less

paid in cash immediately, shall be deposited by the licensee in bank -

accounts approved by the Council, which accounts shall contain only such

moneys. Other cash prizes, the purchase prices of non-cash prizes, and

all expenses for such gaming activities shall be withdrawn from such

accounts approved by the Council by consecutively numbered checks duly

signed by a specified officer or officers of the licensee and payable to a

specific person or organization. There shall also be documentation for

each check designating the nature of the expense or prize for which the

check is drawn. No check shall be drawn to wcash~ or a fictitious payee.

Wire transfers shall be allowed with proper supporting documentation.

SECTION 11 - BACKGROUND INVESTIGATIONS

§11-1 The Council shall conduct, or cause to be conducted, a background

investigation of each applicant for a position which is designated as a key

employee or primary management official sufficient to make a

qualification determination under Section 9 above. In conducting the

investigation, the Council shall keep confidential the identity of each

person interviewed in the course of the investigation.

§ 11-2 Investigative Reports.

(a) The Council shall prepare and forward to the Commission an

investigative report summarizing each background investigation of

a key employee or primary management official that the Council

intends to employ.

(b) The Council shall forward an investigative report to the

Commission within sixty (60) days after a key employee or primary

management official begins work or within sixty (60) days of the

approval of this Law by the Commission.

(c) Each investigative report shall include the following:

(1) the steps taken in conducting the background investigation;

- 13 -
(2) the results obtained;

(3) the conclusions reached; and

(4) the basis for those conclusions.

(dl The Council shall submit to the Commission, along with the

investigative report, a summary of the Councils qualification

determination made under Section 9 above.

(e) If a gaming license is not issued to an applicant, the Council:

(ii shall notify the Commission; and

(2) may forward copies of its qualification detennination and

investigative report (if any) to the Commission for inclusion

in the Indian Gaming Individuals Records System.

(1) With respect to key employees arid primary management officials,

the Council shall retain applications for gaming licenses and

reports (if any) of background investigations for inspection by the

Chairman or his or her designees for no less than three (3) years

from the date of termination of employment.

(g) A gaming operation shall not employ as a key employee or primary

management official a person who does not have a gaming license

ninety (90) days after a license application has been submitted.

§11-3 Granting a Gaming License.

(a) If, within a thirty (30) day period after the Commission notifies the

Council that it has no objection to the issuance of a gaming license

pursuant to a license application riled by a key employee or a

primary management official, the Council may issue a license to

such applicant.

(b) The Council shall respond to a request for additional information

from the Chairman concerning a key employee or a primary

management official who is the subject of an investigative report.

Such a request shall suspend the thirty (30) day period under

Subsection (a) above until the Chairman receives the additional

information.

(c) If, within the thirty (30) day period described in Subsection (a)

above, the Commission provides the Council with a statement

itemizing objections to the issuance of a gaming license to a key

employee or to a primary management official application, the

Council shall reconsider the application, taking into account the

14.
objections itemized by the Commission. 1 ~ Council shall make

the final decision whether to issue a gaming license to such

applicant.

§ 11-4 Gaming License Suspension.

If, after the issuance of a gaming license, the Nation receives from the

Commission reliable information indicating that a key employee or a

primary management official is not eligible for employment under Section

9 of this Law, the Nation shall suspend such license and shall notif~j in

writing the licensee of the suspension and the proposed renovation.

SECTION 12- MAINTENANCE OF GAMING FACILITY

§ 12-1 The Council shall establish standards and procedures for inspection and

enforcement by which a gaining facility licensed under this Law shall be

constructed, maintained and operated in a manner which adequately

protects the environment and public health and safety.

SECTION 13- USE OF NET REVENUES

§ 13-1 Net revenues from gaming permitted under this Law shall only be

expended for one or more of the following purposes:

(a) to fund Tribal government operations or programs;

(b) to provide for the general welfare of the Nation and its members;

(c) to promote Tribal economic development;

(d) to donate to charitable organization; or

(e) to support operations of local governmental agencies.

§ 13-2 If the Council elects to make per capita payments to tribal members, it

shall authorize such payments only upon approval of a plan submitted to

the Secretary pursuant to 25 U.S.C. § 2710 (B) (3).

SECTION 14- RECORDS AND REPORTS

§ 14-1 A gaming operation shall keep permanent books of account or records,

including inventory records of gaming supplies, sufficient to establish the

amount of gross and net income, deductions and expenses, receipts and

disbursements, and other information required in any financial statement,

report, or other accounting prepared pursuant to the Act or Chapter III in

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Title 25C.F.R.

§ 14-2 No later than the fifteenth (15th) day of each month, each gaming Operator (

shall provide, in a report form prescribed by the Council, a statement of

gross revenues, assemble gross revenue and net revenues received or

collected at each gaming establishment during the immediate preceding

month.

§ 14-3 All papers, books, and records including computer records of the gaming

operation relating to licensed gaming activities shall be subject to

Inspection, examination, photocopying, and auditing by the Council and

the Commissions authorized representatives at any time during

reasonable hours. All such papers, books, and records shall be retained

not less than six (6) years.

SECTION 15- ANNUAL AUDiT

§15-1 (a) The Council shall cause to be conducted, at least annually, an

independent audit of the books and records of each gaming

operation.

(b) Audit Standards. The Nation shall engage an independent certified

public accountant, licensed in New York to provide an annual audit

of the financial statements of each gaming operation on Tribal

lands. Such financial statements shall be prepared in accordance

with generally accepted accounting principles and the audit(s) shall (

be conducted in accordance with generally accepted auditing

standards. Audit(s) of the gaming operation required under this

Section may be conducted in conjunction with any other

independent audit of the Nation, provided that the requirements of

Chapter 111 in Title 25 C.F.R. are met.

(c) Copies of Audit Reports. The Nation shall submit to the

Commission a copy of the audit report(s) and management letter(s)

setting forth the results of each annual audit within one hundred

twenty (120) days after the end of each fiscal year of the gaming

operation(s) resulting from the audit(s) conducted pursuant to

Subsection (a) above.

(d) Relationship of Audited Financial Statements to Fee Assessment

Reports. The Nation shall reconcile its quarterly fee assessment

reports, submitted under 25 C.F.R. Part 514, with its audited

financial statements and make available such reconciliation upon

request by the Commissions authorized representative.

§ 15-2 All gaming related contracts that result in purchases of supplies, services,

or concessions for more than Twenty Five Thousand ($25,000) Dollars in

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any year (exc~t contracts for professional legal accounting services)

shall be specifically included within the scope of the audit conducted

pursuant to this Section.

SECTION 16 - GROSS GAMING REVENUES

§ 16-1 The gross gaming revenues derived from gaming operations are Tribal

funds and are to be expended as authorized by Council or by Management

contract, if any.

SECTION 17- VIOLATIONS

§ 17-1 No person shall operate or conduct any gaming activity in a gaining

operation within the exterior boundaries of Tribal lands without a gaming

license issued by the Council as required by this Law.

§ 17-2 No person shall knowingly submit false or misleading information to the

Commission or the Nation in response to any provision of the Act, Chapter

iii in Title 25 C.F.R., or a Tribal Law or resolution that the Chairman has

approved under parts 522 or 523 in Title 25 C.F.R.

§ 17-3 (a) No management contractor shall fail to account fully for all moneys

received or collected in connection with gaming activities or to fIle

any report required by the management contract.

(b) A gaming operation shall not refuse to allow an authorized

representative of the Commission or an authorized Tribal official to

enter or inspect a gaming operation in violation of 25 C.F.R. §

571.5 or 571.6, or of Tribal Law or resolution approved by

Chairman under parts 522 or 523 in Title 25 C.F.R.

§ 17-4 No person under the age of eighteen (18) years shall be employed by a

gaining operation or shall otherwise be permitted to participate in any

gaming activities.

§ 17-5 No person shall engage in cheating (as that term is defined in § 4-1 (0 of

this Law) in any gaming activity or engage in any fraudulent conduct

affecting either the nation or a customer of a gaming operation.

§ 17-6 No person, other than an officer of the Seneca Nation department of law

enforcement, may enter or remain in a gaming establishment licensed

under this Law while in the possession of a firearm or other weapon.

§ 17-7 any person who is in privity with a person who violates this Law shall be

deemed to be in violation of this Law to the same extent as the violator,

and shall be treated accordingly.

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§ 17-8 The management contractor is responsible for ei~uring that all primary

management officials and key employees assisting in the operation of any

gaming activity on the management Contractors behalf comply with this

Law. A violation by any such officials or employees, unless otherwise

provided in an approved management contract, shall be deemed a

violation by the management contractor and shall subject the contractor

to civil enforcement action. It shall not be a defense that the management

contractor was unaware of the violation.

§ 17-9 No person, whether playing in or conducting any gaming activity

authorized under this Law, shall:

(a) use bogus or counterfeit cards, or substitute or use any game cards

that have been tampered with;

(bJ employ or have on ones person any cheating device to facilitate

cheating in any gaming activity; or

(c) knowingly cause, aid, abet, or conspire with another person or

cause any person to violate any provision of this Law or any rule

adopted under this Law.

§ 17-10 A gaming operations facility shall be constructed, maintained, and

operated in a manner that does not threaten the environment or the

public health and safety.

§ 17-12 If the management contractor fails to correct violations within the time (

permitted in a notice of violation Issued by the Chairman or within fifteen

(15) calendar days after the nation provides notice of a violation, such

failure shall be deemed a further violation by the management contractor.

SECTION 18- NOTICE OF VIOLATION

§ 18-1 The Council may issue a notice of violation to any person for violation of

any provision of this Law.

§ 18-2 A notice of violation shall contain:

(a) a citation to the Law provision that has been or is being violated;

(b) a description of the circumstances surrounding the violation, set

forth in common and concise language;

(c) measures required to correct the violation;

(d) a statement that the violation must be corrected within five (5)

calendar days from the date the notice was issued;

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(e) a statement of the alleged violators rights appeal; and

(fl the amount of civil fines that the alleged violator must pay

pursuant to Section 19, below.

SECTION 19- VIOLATION PENALTIES

§ 19-1 In issuing a notice of violation under Section 18 of this Law, the Council

may:

(a) impose a civil fine not to exceed Five Hundred ($500) Dollars for

each violation and, if such violation is a continuing one, for each

day, that the violation occurs; and/or

(b) impose a penalty of One Hundred ($100) Dollars per day for failure

to submit to the Council any report required under this Law when

it is due, and One Thousand ($1,000) Dollars per day for failure to

file any such report after three-day notice and demand.

§ 19-2 How assessments are made.

The Council shall review each notice of violation to determine whether a

civil fine will be assessed, the amount of the fine, and in the case of a

continuing violation, whether such daily violation will be deemed a

separate violation for purposes of the total civil fIne assessed.

§ 19-3 Procedure for assessment of a civil fine:

(a) within five (5) calendar days after service of a notice of violation,

the alleged violator shall submit written information about the

violation and any corrective measures undertaken to Council. The

Council shall consider any information so submitted in determining

the facts surrounding the violation and the amount of the civil fine;

(bi the Council shall serve a copy of the proposed assessment on the

alleged violator within ten (10) calendar days after the notice of

violation was issued, when practicable; and

(ci the Council may review and reassess any civil fine if necessary to

consider facts that were not reasonably available on the date of

issuance of the proposed assessment.

§19-4 Final assessment:

(a) if the alleged violator fails to request a hearing as provided in § 21

of this Law, the proposed civil fine assessment shall become a final

order of the Council:

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(bi civil (ii ~es assessed under this Section sh~. be paid by the person

assessed and shall not be treated as an operating expense of the

gaming operation; and

(ci the Council shall transfer civil fines paid under this Law to the

Treasurer of the Nation for deposit into the Tribal Treasury.

SECTION 20- ENFORCEMENT

§20-1 The Council shall take any one or a combination of the following actions

with respect to any person who violates any provision of this Law:

(a) suspend or revoke any gaming license issued by Council; or

(bi bring an action in a court of competent jurisdiction for imposition

of one or more of the following sanctions:

(1) seizure of any gaming apparatus, proceeds, or other property

of a licensee connected with the gaming activities engaged

in by the licensee;

(2) collection of any unpaid fees, interest, penalties, and of any

civil fines unpaid after thirty (30) calendar days; or

(3) execution on any nonexempt property of a violator located

within the exterior boundaries of Tribal lands. (

§20-2 Civil actions may be brought by the Council pursuant to this Law in any

Court of competent jurisdiction to enforce the imposition of any and all

sanctions provided for under this Law.

§20-3 Before taking any action authorized in § 19 and § 20-1 of this Law, the

Council shall use its best efforts to notify the alleged violator, in person or

by letter delivered to his/her last known address, of the charges against

him/her, and allow the alleged violator an opportunity for a prompt

hearing, if the alleged violator fails to respond, or cannot be found, the

Council may proceed with a hearing notwithstanding, and take such

action as it deems appropriate. Said notice of the alleged violation shall

be served at least three (3) business days prior to the hearing.

§20-4 Every person who applies for a gaming license and accepts such license

thereby acknowledges the civil enforcement jurisdiction and authority of

the Council under this Law to order an execution on his/her nonexempt

property, the suspension or termination of his/her further conduct of

gaming activities and the seizure of his/her gaming equipment or proceeds

20.
or other property, upon a proper finding of the Council or the court that

the person has violated a provision of this Law, despite Lack of actual

notice, provided that the Council has used its best efforts to notify the

person, in person or by letter delivered to hisfher last known address.

SECTION 21 - HEARINGS AND APPEALIS

§21-1 This Section provides procedures for appeals to the Council regarding:

(a) a violation alleged in a notice of violation; and

(b) civil fmes assessed by the Council in this Law.

§21-2 The Council shall hold a hearing on the proposed revocation of a gaming

license held by a primary management official or key employee after it

has suspended such license pursuant to 25 C.F.R. § 558.5. The Licensee

shall be notified by the Council of the time and place for hearing. After

the hearing, the Council shall decide to revoke or reinstate the gaming

license. The Nation shall notif~ the Commission of its decision.

§21-3 Any licensee paying a civil fine or penalty for any violation enumerated

in this Law because of excusable neglect may petition the Council for a

partial or full waiver of suit, fme, or penalty. The petition shall be filed

within thirty (30) business days after the payment was made.

§21-4 Any person aggrieved by a decision made or action taken by the Council

without notice and opportunity for hearing to the aggrieved person, may

petition the Council for a hearing and reconsideration. The petition shall

be filed within thirty (30) business days after the petitioner knew or

should have known of the decision or action. The Council shall grant a

prompt hearing upon receiving such a petition, and shall reconsider its

decision or action, affirm, modify, reverse and/or vacate the Councils

order in light of what is presented at a hearing.

§21-5 Any person aggrieved by a decision made or action taken by the Council

after notice and opportunity for hearing may petition the Council for

review. Such petition shall specifically set forth the reasons for

aggrievement and be filed with the Council no later than thirty (30)

business days after the Councils decision or action. The Council shall set

the matter for hearing no later than thirty (30) business days and no

sooner than three (3) business days after receipt of the petition, and may.

upon establishing that it has jurisdiction, affirm, modify, reverse and/or

vacate the Councils order.

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SECTION 22- SERVICE

§22-1 The Council shall designate by written notification to the Commission an (

agent for service of any official determination, order, or notice of violation.

§22-2 A management contractor or Thbal operator shall designate by written

notification to the Commission an agent for service of any official

determination, order, or notice of violation.

SECTION 23. RESOLUTION OF DISPUTES BETWEEN MANAGEMENT CONTRACTOR

OR TRIBE AND CUSTOMERS

§23-1 Notice of warning regarding the improper conduct set out in § 23-2 of this

Law or other gaming rules established and enforced by the gaming

operation shall be posted at the entrance of each gaming establishment

andlor given to the customer upon entering the premises.

§23-2 the following improper conduct shall result in ejection of a customer from

any gaming establishment:

(a) cheating;

(b) possession of weapons in the gaming establishment;

(ci possession of alcohol that has been brought by a customer into the

gaming establishment;

(dl possession of a controlled substance in the gaming establishment;

tel disorderly conduct, including the willful, or wanton disregard for

the rights of others; and

(1) any other act which is disruptive to the gaming operation.

§23-3 Failure by a customer to provide proof of age when requested by gaming

operation personnel shall result in ejection of the customer from the

premises but the admission fee shall be refunded.

§23-4 Ejection of a customer shall be accomplished by the Seneca Nation

department of law enforcement, upon request of the gaming operation.

§23-5 (a) Either the employee manager or management contractor of the

gaining operation or an alternate designated by either shall be

present at all times to resolve complaints by customers involving

the operation of bingo and other class II games at the

establishment.

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(bJ If the ployee manager or manageme contractor or their

alternatt~ are unable to resolve any dlsputt., ~s provided in (a) the

matter may, upon request of the customer, be referred to the

Council for resolution. Action by the Council may be initiated by

making a written request to the Cleric of the Seneca Nation of

Indians. The decision of the Council on any dispute so referred to

it for resolution shall be rmal.

SECTION 24 - APPLICABLE LAW

§24-1 All controversies involving contracts relating to gaming entered into under

the authority of the Council on Tribal lands shall be resolved, as

appropriate, in accordance with:

(a) the Indian Gaining Regulatory Act;

(b) National Indian Gaming Commission Regulations;

(c) Seneca laws and customs within the judicial system of the Seneca

Nation; and

(d) if no Tribal laws exist, the substantive contract law of the State of

New York, is incorporated herein by reference, other than this

statute does not waive any sovereign immunity of the Seneca

Nation.

SECTION 25- SAViNGS PROVISION

§25-1 If any provision of this Law or the application thereof to any person or

circumstance is held invalid, the invalidity shall not affect other

provisions or applications of Law which can be given effect without the

invalid provisions or application, and, to this end, the provisions of this

Law are severable.

SECTION 26- EFFECTIVE DATEIREPEAL

§26-1 This Law shall be effective immediately upon approval by appropriate

governmental authority and, once approved, all previous gaming Laws

shall be repealed.

SECTION 27- MANAGEMENT CONTRACTOR/CONTRACT PROVISIONS

§27-1 Any or all references or procedures applicable to management contractors

or contracts becomes effective upon adoption by Council of any

management contract.

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SECTION 28. PROHiBIT N AGAINST INDIVIDUALLY OW~D CLASS II

ANDCLA.S.,IHGAMING ,

~28-1 No license, shall be Issued by the Nations Council pursuant to CFR

Section 522.10 for Individually owned Class II or Class III Gaming (

operations.

March 23, 1994

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