ResolutionNo. 93-137

RESOLUTiON

OF THE

COUNCIL OF THE SOUTHERN UTE INDIAN TRIBE

Augustl9, 1993

WHEREAS, authority is vested in the Southern Ute Indian Tribal Council by the

Constitution adopted by the Southern Ute Indian Tribe and approved November 4, 1936,

and amended October 1, 1975, to act for the Southern Ute Indian Tribe; and

WHEREAS, pursuant to said authority, the Tribal Council is empowered to govern

the conduct of certain gaming activities on land within the Southern Ute Indian

Reservation; and

WHEREAS, the Council of the Southern Ute Indian Tribe desires to provide for the

establishment of Regulations for Class II Gaming Operations in order to oversee and

regulate Class II gaming activities; and

WHEREAS, pursuant to the Indian Gaming Regulatory Act, Pub. L. 100-497,

codified at 25 U.S.C. 2701 et seq., and 25 CFR §522, said Regulations must be

submitted to the National Indian Gaming Commission.

NOW, THEREFORE, BE IT RESOLVED that the Southern Ute Indian Tribe hereby

adopts and approves the Regulations for Class II Gaming Operations, a copy of which

is attached hereto and incorporated herein by reference.

BE IT FURTHER RESOLVED that the Chairman of the Southern Ute Indian Tribal

Council is authorized to execute any additional documents that may be needed to carry

out the purpose of this Resolution.

BE IT FURTHER RESOLVED that a copy of this Resolution and the Regulations

be submitted expeditiously to the National Indian Gaming Commission.

This Resolution was duly adopted on the 19th day of August, 1993.

Southern Ute Indian Tribal Council
CERTiFICATiON

This is to certify that there were 4 of the regularly elected Southern Ute Indian

Tnbal Council members present at the above meeting at which 3 voted for, and

o against, it being a quorum and the above Resolution was passed, the Chairman

not being permitted to vote in this instance because of a onstitutional provision.

Secretary

Southern Ute Indian Tribal Council

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S

SOUTHERN UTE INDIAN TRIBE

CLASS II GAMING CODE

I. Purpose The Tribal Council of the Southern Ute Indian Tribe (hereinafter Tribe),

empowered by Article VII of the Tribes Constitution to enact ordinances, hereby enacts

this ordinance in order to set the terms for class II gaming operations on tribal lands.

II. Gaming Authorized Class II gaming as defined in the Indian Gaming Regulatory

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

promulgated by the National Indian Gaming Commission at 25 C.F.R. § 502.3 (as

published in the Federal Register at 57 FR 12382-12393, April 9, 1992) is hereby

authorized.

III. Ownership of Gaming The Tribe shall have the sole propriety interest in and

responsibility for the conduct of any gaming operation authorized by this ordinance.

IV. Use of Gaming Revenue

A. Net revenues from class II gaming shall be used only for the following

purposes: to fund tribal government operations and programs; provide for the general

welfare of the Tribe and its members; promote tribal economic development; donate to

charitable organizations; or help fund operations of local government agencies.

B. If the Tribe elects to make per capita payments to tribal members, it shall

authorize such payments only upon approval of a plan submitted to the Secretary of the

Interior under 25 U.S.C. § 271 0(b)(3).

V. Audit

A. The Tribe shall cause to be conducted annually an independent audit of

gaming operations and shall submit the resulting audit reports to the National Indian

Gaming Commission.

B. All gaming related contracts that result in the purchase of supplies, services,

or concessions in excess of $25,000.00 annually, except contracts for professional legal

and accounting services, shall be specifically included within the scope of the audit that

is described in subsection A above.

VI. Protection of the Environment and Public Health and Safety Class II gaming

facilities shall be constructed, maintained and operated in a manner that adequately

protects the environment and the public health and safety.

VII. Licenses for Key Employees and Primary Management officials The Tribe shall

ensure that the policies and procedures set out in this section are implemented with
respect to key employees and primary management officials employed at any class II

gaming enterprise operated on Indian lands:

A. Definitions For the purposes of this section, the following definitions apply:

1. Key employee means

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

functions:

(1) Bingo caller;

(2) Counting room supervisor

(3) Chief of security;

(4) Custodian of gaming supplies or cash;

(5) Floor manager;

(6) Pit boss;

(7) Dealer;

(8) Croupier;

(9) Approver of credit; or

(10) Custodian of gambling devices including persons with

access to cash and accounting records within such

devices;

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

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

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

persons in the gaming operation.

2. Primary manaQement official means

(a) The person having management responsibility for a

management contract;

(b) Any person who has authority:

(1) To hire and fire employees; or

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

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

management responsibility.

B. Application Forms

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1. The following notice shall be placed on the application form for a key

employee or a primary management official before that form is filled out by an

applicant:

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

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

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

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

National Indian Gaming Commission members and staff who have need for the

information in the performance of their official duties. The information may be

disclosed to appropriate federal, tribal, state, local, or foreign law enforcement and

regulatory agencies when relevant to civil, criminal or regulatory investigations or

prosecutions or when pursuant to a requirement by a tribe or the National Indian

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

issuance or revocation of a gaming license, or 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.

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

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

2. Existing key employees and primary management officials shall be

notified in writing that they shall either:

a. Complete a new application form that contains a Privacy Act

notice; or

b. Sign a statement that contains the Privacy Act notice and

consent to the routine uses described in that notice.

3. The following notice shall be placed on the application form for a key

employee or a primary official before that form is filled out by an applicant.

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

hiring you, or for firing you after you begin work. Also, you may be

punished by fine or imprisonment.

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

4. The Tribe shall notify in writing existing key employees and primary

management officials that they shall either:

a. Complete a new application form that contains a notice

regarding false statements; or

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b. Sign a statement that contains the notice regarding false

statements.

C. Background Investigations

1. The Tribe shall request from each primary management official and

from each key employee all of the following information:

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

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

languages (spoken or written);

b. Currently and for the previous 5 years: business and

employment positions held, ownership interests in those

businesses, business and residence addresses, and drivers

license numbers;

C. The names and current addresses of at least three personal

references, including one personal reference who was

acquainted with the applicant during each period of residence

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

d. Current business and residence telephone numbers;

e. A description of any existing and previous business

relationships with Indian tribes, including ownership interests

in those businesses;

f. A description of any existing and previous business

relationships with the gaming industry generally, including

ownership interests in those businesses;

9. The name and address of any licensing or regulatory agency

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

permit related to gaming, whether or not such license or

permit was granted;

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

a conviction, the charge, the name and address of the court

involved, and the date and disposition if any;

For each misdemeanor conviction or ongoing misdemeanor

prosecution (excluding minor traffic violations), within 10 years

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

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court involved and the date and disposition;

j. For each criminal charge (excluding minor traffic charges),

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

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

otherwise listed pursuant to paragraph (1)(h) or (1)(i) of this

section, the criminal charge, the name and address of the

court involved and the date and disposition;

k. The name and address of any licensing or regulatory agency

with which the person has filed an application for an

occupational license or permit, whether or not such license or

permit was granted;

I. A current photograph;

m. Any other information the Tribe deems relevant; and

n. Fingerprints consistent with procedures adopted by the Tribe

according to 25 C.F.R. § 522.2(h).

2. The Tribe shall conduct an investigation sufficient to make a

determination under subsection D below. In conducting a background

investigation, the Tribe or its agent shall promise to keep confidential the identity

of each person interviewed in the course of the investigation.

D. Eligibility Determination The Tribe shall review a persons prior activities,

criminal record, if any, and reputation, habits and associations to make a finding

concerning the eligibility of a key employee or primary management official for

employment in a gaming operation. If the Tribe determines that employment of the

person poses a threatto the public interest or to the effective regulation of gaming, or

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

activities in the conduct of gaming, a tribal gaming operation shall not employ that person

in a key employee or primary management official position.

E. Procedures for Forwarding Applications and Reports for Key Employees

and Primary Management Officials to the National Indian Gaming

Commission

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

at a gaming operation authorized by this ordinance, the Tribe shall forward to the

National Indian Gaming Commission a completed application for employment and

conduct the background investigation and make the determination referred to in

subsection D of this section.

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2. The Tribe shall forward the report referred to in subsection F of this

section to the National Indian Gaming Commission within 60 days after an

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

Chairman of theNational Indian Gaming Commission.

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

management official a person who does not have a license after 90 days.

F. Report to the National Indian GaminQ Commission

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

the Tribe shall prepare and forward to the National Indian Gaming Commission an

investigative report on each background investigation. An investigative report shall

include all of the following:

a. Steps taken in conducting a background investigation;

b. Results obtained;

c. Conclusions reached; and

d. The bases for those conclusions.

2. The Tribe shall submit, with the report, a copy of the eligibility

determination made under subsection D of this section.

3. If a license is not issued to an applicant, the Tribe:

a. Shall notify the National Indian Gaming Commission; and

b. May forward copies of its eligibility determination and

investigative report (if any) to the National Indian Gaming

Commission for inclusion in the Indian Gaming Individuals

Records System.

4. With respect to key employees and primary management officials, the

Tribe shall retain applications for employment and reports (if any) of background

investigations for inspection by the Chairman of the National Indian Gaming

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

of termination of employment.

G. Grantinci a GaminQ License

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

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

Tribe that it has~no objection to the issuance of a license pursuant to a license

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

Tribe has provided an application and investigative report to the National Indian

Gaming Commission, the Tribe may issue a license to such applicant.

2. The Tribe shall respond to a request for additional information from

the Chairman of the National Indian Gaming Commission concerning a key

employee or a primary management official who is the subject of a report. Such

a request shall suspend the 30-day period under paragraph G. 1. of this section

until the Chairman of the National Indian Gaming Commission receives the

additional information.

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

Indian Gaming Commission provides the Tribe with a statement itemizing

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

management official for whom the Tribe has provided an application and

investigative report to the National Indian Gaming Commission, the Tribe shall

reconsider the application, taking into account the objections itemized by the

National Indian Gaming Commission. The Tribe shall make the final decision

whether to issue a license to such applicant.

H. License SusDension

1. If, after the issuance of a gaming license, the Tribe receives from the

National Indian Gaming Commission reliable information indicating that a key

employee or a primary management official is not eligible for employment under

subsection D above, the Tribe shall suspend such license and shall notify in writing

the licensee of the suspension and the proposed revocation.

2. The Tribe shall notify the licensee of a time and a place for a hearing

on the proposed revocation of a license.

3. After a revocation hearing, the Tribe shall decide to revoke or to

reinstate a gaming license. The Tribe shall notify the National Indian Gaming

Commission of its decision.

VIII. License Locations The Tribe shall issue a separate license to each place, facility,

or location on Indian lands where class II gaming is conducted under this ordinance.

IX. Receal To the extent that they are inconsistent with this ordinance, all prior class

II gaming ordinances are hereby repealed.

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