I
103D CONGRESS
2D SESSION
H. R. 4787
To amend the Indian Gaming Regulatory Act, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JULY 19, 1994
Mr. TORRES introduced the following bill; which was referred to the
Committee on Natural Resources
A BILL
To amend the Indian Gaming Regulatory Act, and for other
purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; REFERENCE.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Indian Gaming Regulatory Act Amendments of 1994’’.
(b) REFERENCE.—Except as otherwise expressly pro-
vided, whenever in this Act an amendment or repeal is
expressed in terms of an amendment to, or repeal of, a
section or other provision, the reference shall be consid-
ered to be made to a section or other provision of the In-
dian Gaming Regulatory Act (25 U.S.C. 2701 et seq.).
SEC. 2. DEFINITIONS.
(a) CLASS II GAMING.—(1) Clause (i) of section
4(7)(A) (25 U.S.C. 2703(7)(A)) is amended—
(A) by striking ‘‘(if played in the same loca-
tion)’’; and
(B) by striking ‘‘bingo, and’’ and inserting
‘‘bingo (whether or not electronic, computer, or
other technologic aids are used in connection there-
with so long as the fundamental characteristics of
the game remain the same), and’’.
(2) Clause (ii) of section 4(7)(A) (25 U.S.C.
2703(7)(A)) is amended by striking ‘‘that—’’ and all that
follows through ‘‘such card games.’’ at the end thereof and
inserting a period.
(3) Clause (ii) of section 4(7)(B) (25 U.S.C.
2703(7)(B)) is amended by inserting ‘‘, except electronic
or technological aids used in connection with class II
games,’’ after ‘‘game of chance’’.
(4) Subparagraph (C) of section 4(7) (25 U.S.C.
2703(7)) is amended by striking ‘‘Chairman’’ and insert-
ing ‘‘Commission’’.
(5) Paragraph (7) of section 4 (25 U.S.C. 2703) is
amended by striking subparagraphs (D), (E), and (F).
(6) Paragraph (8) of section 4 (25 U.S.C. 2703) is
amended by inserting at the end ‘‘and means manufactur-
ing and assembly of gaming devices (defined as gambling
devices by section 5 of the Act of January 2, 1951 (15
U.S.C. 1175)).’’.
(b) COMPACT; ELECTRONIC FACSIMILE.—Section 4
of the Act (25 U.S.C. 2703) is amended by adding at the
end the following new paragraphs:
‘‘(11) The term ‘Compact’ means the regulatory
regime for operating class III gaming entered into
by a tribe and the Secretary.
‘‘(12) The term ‘electronic facsimile’ means a
copy of some or all of the fundamental elements of
a game, where the electronic or electromechanical
device alters the game rather than simply electroni-
cally replicating the fundamental elements of a
game.’’.
(c) SECTION 6 OF PUBLIC LAW 101–301.—Section
6 of Public Law 101–301 (25 U.S.C. 2703 note; 104 Stat.
209) is repealed.
SEC. 3. POWERS OF THE CHAIRMAN.
Section 6(b) of the Act (25 U.S.C. 2705(b)) is
amended to read as follows:
‘‘(b) Prior to taking any action set forth in subsection
(a) of this section, the Chairman shall, in good faith, con-
sult with the Tribe which has jurisdiction over the gaming
activity in dispute and attempt to resolve the dispute in
a manner that avoids such actions. Only after the Com-
mission has concluded that cooperative resolution has been
adequately pursued and that further consultation would
be futile, may the Chairman take such actions.’’.
SEC. 4. POWERS OF THE COMMISSION.
Section 7 (25 U.S.C. 2706) is amended—
(1) in subsection (a)(2), by inserting ‘‘appro-
priate but not punitive’’ after ‘‘collection of’’;
(2) in subsections (b)—
(A) in paragraph (1), by inserting ‘‘and
class III gaming, where a Compact so provides,
where gaming is’’ after ‘‘class II gaming’’; and
(B) in paragraph (2), by inserting ‘‘and
class III gaming, where a Compact so provides,
where gaming’’ after ‘‘class II gaming’’; and
(3) by striking subsection (c).
SEC. 5. INTERIM AUTHORITY TO REGULATE GAMING.
Section 10 of the Act (25 U.S.C. 2709) is repealed.
SEC. 6. TRIBAL GAMING ORDINANCES.
(a) CLASS II GAMING.—Subsection (b) of section 11
(25 U.S.C. 2710) is amended by amending subparagraph
(A) of paragraph (4) to read as follows:
‘‘(A) A tribal ordinance or resolution may provide for
the licensing or regulation of Indian charitable class II
gaming activities on Indian lands up to the same level and
scope as permitted by tribal class II gaming. A tribal ordi-
nance or resolution may provide for the licensing or regu-
lation of class II gaming activities owned by any person
or entity other than the Indian tribe and conducted on
Indian lands, only if the tribal licensing requirements in-
clude the requirements described in the subclauses of sub-
paragraph (B)(i) and are at least as restrictive as those
established by State law governing similar gaming within
the jurisdiction of the State within which such Indian
lands are located.’’.
(b) REGULATION OF CLASS II GAMING.—Subsection
(c)(3) of section 11 (25 U.S.C. 2710) is amended by in-
serting ‘‘, whether by management contract or otherwise,’’
after ‘‘class II gaming activity’’ in the matter preceding
subparagraph (A).
(c) CLASS III GAMING.—Section 11(d) (25 U.S.C.
2710(d)) is amended—
(1) in paragraph (1), by amending subpara-
graphs (B) and (C) to read as follows:
‘‘(B) located in a State where the requirements
of paragraphs (6)(A) and (B) are satisfied and the
gaming activity is eligible for inclusion in a Com-
pact, and
‘‘(C) conducted in conformance with a Compact
that is in effect.’’;
(2) in paragraph (2)—
(A) by striking ‘‘Tribal-State compact en-
tered into under paragraph (3) by the Indian
tribe’’ in subparagraph (C) and inserting
‘‘Compact’’;
(B) by striking ‘‘Tribal-State compact’’ in
subparagraph (D)(iii)(I) and inserting ‘‘Com-
pact’’;
(3) by amending paragraph (3) to read as fol-
lows:
‘‘(3)(A)(i) Any Indian tribe having jurisdiction over
the Indian lands upon which a class III gaming activity
is to be conducted shall request the Secretary to enter into
a Compact with the tribe. Such request shall specify the
gaming activity or activities to be governed by the Com-
pact.
‘‘(ii) Negotiations between the tribe and the Sec-
retary shall be completed within 180 days, subject to the
procedures required by paragraph (5)(B) that the Sec-
retary and the tribe shall utilize to resolve disputes arising
from negotiations.
‘‘(iii) The Compact shall be effective upon publication
in the Federal Register by the Secretary.
‘‘(iv) The Commission shall pursuant to section 7 of
this Act monitor class III gaming to the extent provided
by each Compact as published by the Secretary.
‘‘(B) Any Compact entered into under subparagraph
(A) may include provisions relating to—
‘‘(i) the adoption of any of the criminal and
civil laws and regulations of the Indian tribe, or with
tribal consent, of the State, that are directly related
to, and necessary for, the licensing and regulation of
such activity;
‘‘(ii) the assessment by the Secretary of such
activities in such amounts as are necessary to defray
the costs of regulating such activity;
‘‘(iii) remedies for breach of contract;
‘‘(iv) standards for the operation of such activ-
ity and maintenance of the gaming facility, including
licensing; and
‘‘(v) any other subjects that are reasonably re-
lated to the operation of gaming activities.’’.
(4) by striking out paragraphs (4) and (5);
(5) by striking paragraph (8) and redesignating
paragraph (9) as paragraph (11); and
(6) by striking paragraphs (6) and (7) and in-
serting the following:
‘‘(4) The provisions of section 5 of the Act of January
2, 1951 (25 Stat. 1175), shall not apply to any gaming
on Indian lands, or to manufacturing and assembly of
gaming devices on Indian lands.
‘‘(5)(A) The United States district courts shall have
jurisdiction over—
‘‘(i) any cause of action for a declaratory judg-
ment arising from the failure of an Indian tribe and
the Secretary to resolve disputes pursuant to para-
graph (3) of this section,
‘‘(ii) any cause of action initiated by United
States or Indian tribe to enjoin a class III gaming
activity located on Indian tribes and conducted in
violation of any Compact entered into under para-
graph (3) that is in effect, and
‘‘(iii) any cause of action initiated by the Sec-
retary or a tribe to enforce provisions of Compacts.
‘‘(B) Notwithstanding any declaratory judgment ac-
tion pending under paragraph (6), a tribe and the Sec-
retary may negotiate and proceed to mediation under the
Act on issues not subject to the declaratory judgment ac-
tion.
‘‘(6)(A) No later than 120 days after the Tribe has
notified the Secretary its election to negotiate a Compact,
or no later than such longer period as may be extended
in writing by the parties, either party may initiate an ac-
tion in Federal district court for a declaration whether a
gaming activity is subject to Compact negotiation under
this Act. In any such declaratory action, the court shall
declare that the gaming activity as a matter of Federal
law shall be the subject of negotiation if it finds that—
‘‘(i) the gaming activity is not prohibited as a
matter of State criminal law and public policy; or
‘‘(ii) if the gaming activity is subject to pros-
ecution and criminal sanction as a matter of State
law, the gaming activity meets one or more of the
following criteria—
‘‘(I) its principal characteristics are sub-
stantially similar to principal characteristics of
gaming activities that are not subject to pros-
ecution and criminal sanction as a matter of
State law;
‘‘(II) State law permits the gaming activity
subject to regulation;
‘‘(III) as a matter of State law some per-
son, organization, or entity within the State
may engage in the gaming activity for some
purpose; and
‘‘(IV) there is a pervasive pattern of non-
enforcement of the prohibition of such gaming.
‘‘(B) The Compact also shall include such provisions
which best meet the objectives of this Act and are consist-
ent with any declaratory judgment issued pursuant to this
paragraph.
‘‘(7)(A) Subject to subparagraph (B), if the parties
agree on a Compact, the Secretary shall adopt such Com-
pact and publish the Compact in the Federal Register.
‘‘(B) The Compact referred to in subparagraph (A)
shall not be approved by the Secretary—
‘‘(i) unless it contains provisions relating to in-
ternal controls of cash flow transactions, record-
keeping and reporting, accounting, security, and li-
censing of employees; and
‘‘(ii) if the Compact does not violate—
‘‘(I) any provisions of this Act;
‘‘(II) any other provision of Federal law
that does not relate to jurisdiction over gaming
on Indian reservations; or
‘‘(III) the trust obligations of the United
States to Indians.
‘‘(8) Except for an appeal under chapter 7 of title
5, United States Code, publication of a Compact pursuant
to this subsection which permits a class III gaming activ-
ity shall be conclusive that such class III gaming is an
activity subject to negotiations where the gaming is to be
conducted, in any matter under consideration by the Com-
mission or a Federal court.
‘‘(9) If the parties do not agree on a Compact under
this subsection before the date that is 45 days after the
expiration of the 180-day period with respect to the last
Tribal Compact proposal during the 180-day period, the
Compact shall be considered approved, but only to the ex-
tent that the Compact is consistent with the provisions
of this Act.
‘‘(10) The Secretary shall publish in the Federal Reg-
ister notice of any Compact that has been approved, or
considered to have been approved, under this subsection.
Failure of the Secretary to publish pursuant to this sub-
section shall not affect the legality of the compact, which
shall be treated as if notice was timely and properly pub-
lished.’’;
(7) in paragraph (11) (as so redesignated), by
striking ‘‘subsections (b), (c), (d), (f), (g), and (h)
of’’.
SEC. 7. REVIEW OF EXISTING ORDINANCES AND CON-
TRACTS.
(a) MANAGEMENT CONTRACT.—Paragraph (3) of
section 12(a) (25 U.S.C. 2711(a)) is amended by striking
‘‘all collateral agreements to such contract that relate to
the gaming activity’’ and inserting ‘‘all other agreements
that comprise whole or partial consideration of the parties
entering into the management agreement’’.
(b) REVIEW.—Paragraph (1) of section 13(c) (25
U.S.C. 2712(c)) is amended by striking ‘‘all collateral