NATIONAL INDIAN GAMING COMMISSION 

NOTICE OF VIOLATION 

TO: StiIlaguamish Tribe of Indians 

Attn: Shawn Yanity, Chairman 

(AGENT FOR SERVICE OF PROCESS) 

PO Box 277 

Arlington, WA 98223 

FAX: (360) 659-3 1 13 

S tillaguamish Gaming Commission 

Attn: Nick Yanity, Chairman 

PO Box 277 

Arlington, WA 98223 

FAX: (360) 435-9991 

1. Notification of Violation 

The Chairman of the National Indian Gaming Commission WGC) hereby gives 

notice that the Stillaguamish Tribe of Indians (Respondent or Tribe), Iocated in 

Arlington, Washington, has violated NIGC regulations by failing to submit timely 

quarterly statements and fee payments for the first, third, and fourth quarters of 

calendar year 2008. 

2. Authority 

Under the Indian Gaming Regulatory Act (IGRA) and NIGC regulations, the 

Chairman of the NIGC (Chairman} may issue a Notice of Violation (NOV) to any 

person for violation of any provision of the IGRA, NIGC regulations, or any 

provision of a tribal gaming ordinance or resolution approved by the Chairman. 

25 U.S.C. f~ 2713; 25 C.F.R. $573.3. 

3. AppIicable Federal Laws 

A. IGRA requires the NIGC to establish a schedule of fees to be paid to the 

Commission annually by each gaming operation that conducts a class TI or 

class III gaming activity. 25 U.S.C. $27 17. 
B. NIGC regulations require that each gaming operation under the 

jurisdiction of the Commission shall pay to the Commission annual fees as 

established by the Commission. 25 C.F.R. 3 5 14.1 (a). 

C. Each gaming operation subject to the jurisdiction of the Commission and 

not exempt from paying fees pursuant to the self-regulation provisions 

shall file with the Commission a quarterly statement showing its 

assessabIe gross revenues for the previous calendar year. 25 C.F.R. 3 

5 14. l (c). 

D. The quarterly statements are due March 3 1, June 30, September 30, and 

December 3 1 of each calendar year the gaming operation is subject to the 

jurisdiction of the NIGC. 25 C.F.R. 3 5 14. I(c)(2). The quarterly 

statements shall be transmitted to the Commission and arrive no later than 

the due date. 25 C.F.R. 8 5 14.1 (c)(4). 

E. NIGC regulations require each gaming operation to remit to the 

Commission the fees due each quarter with the quarterly statement. 25 

C.F.R. 3 5 14.1 (cX5). 

F. The NIGC may assess a penalty for failure to file timely a quarterly 

statement. 25 C.F.R. 9 514.1(~)(9). 

G. NIGC regulations define "gaming operation" as '"each economic entity 

that is licensed by a tribe, operates the games, receives the revenues, 

issues the prizes and pays the expenses." A gaming operation may be 

operated by a tribe directly; hy a management contractor; or, under certain 

conditions, by another person or other entity. 25 C.F.R. $ 502.1 0. 

4. Role of Quarterly Fees and Quarterly Statements 

The annual fees collected by the NIGC are necessary in order to fund the agency's 

oversight and regulation of Indian gaming and are based upon the quarterly 

statements submitted by Indian gaming operations. NIGC must set a fee rate 

sufficient to fmd its annual budget, yet may not exceed the fee cap set by 

Congress. Thus, it is imperative that the NIGC receive quarterly statements from 

the gaming operations in a timeIy manner so that the NIGC is able to set accurate 

preliminary and final, fee rates. 

5. Circumstances of the Violation 

A. Respondent is a federally recognized Indian Tribe with tribal headquarters 

in Arlington, Washington. 
B. The Tribe operated its gaming operation, Angel of the Winds Casino, 

during all or part of 2007 and 2008. 

C. The NIGC received an untirneIy quarterly statements and fee payments 

for the Angel of the Winds Casino as follows: 

For the quarter ending Mmh 31,2008 on April 3,2008,3 

days late; 

For the quarter ending September 30, 2008 on October 31, 

2008,3 1 days late; 

For the quarter ending December 31, 2008 on January 28, 

2009,28 days late. 

D. Untimely submission of quarterly statements and the requisite fee 

payments is a violation of NTGC regulations. 

6. Measures Required to Correct the Violation 

While there is no remedia1 action that can correct the untimely submission of 

quarterly statements and fees, improved controls to ensure timely submission of 

future quarterly statements and fees should be put in place. 

7. AppeaI 

Within thrty (30) days after service of this Notice of Violation, Respondent may 

appeal to the full Commission under 25 C.F.R. Part 577 by submitting a notice of 

appeal, and, if desired, request for hearing to the National Indian Gaming 

Commission, E 441 L Street NW, Ninth Floor, Washington, DC 20005. 

Respondent has a right to assistance of counsel in such m appeal. A notice of 

appeal must reference this Notice of Violation. 

Within ten (10) days after filing a notice of appeal, Respondent must file with the 

Commission a supplemental statement that states with particularity the relief 

desired and the grounds therefore and that includes, when available. supporting 

evidence in the form of affidavits. If Respondent wishes to present oral testimony 

or witnesses at the hearing, Respondent must include a request to do so with the 

supplemental statement. The request to present oral testimony or witnesses must 

specify the names of proposed witnesses and the general nature of their expected 

testimony, whether a closed hearing is requested and why. Respondent may 

waives its right to an oral hearing and instead elect to have the matter determined 

by the Commission solely on the basis of written submissions. 
8. Fine-Submission of Information 

The violation cited above may result in the assessment of a civil fine against 

Respondent in an amount not to exceed $25,000 per violation per day. Under 25 

C.F.R. tj 575.5(a), Respondent may submit written information about the violation 

to the Chairman within fifteen (15) days after service of this notice of violation 

(or such longer period as the Chairman may grant for good cause). The Chairman 

shall consider any information submitted in determining the facts surrounding the 

violation and the amount of the civil fine, if any. 

Dated thisx&-of Makh, 2009 

FMZ'I? N. HOGEN 

Chairman 

Staff Attorney 
Certificate of Service 

I certify that this Notice of Violation was sent by facsimile transmission and certified 

U.S. mail, return receipt requested, on this 41h day of March, 2009 to: