And now:Ish <[EMAIL PROTECTED]> writes:

From: [EMAIL PROTECTED]
Message-ID: <[EMAIL PROTECTED]>
Date: Wed, 24 Feb 1999 00:02:22 EST
To: [EMAIL PROTECTED]

Senate OKs Cutback in Casino Fee
Revenue-Sharing Scale Would Average 10 Percent


By Wren Propp
Journal Capitol Bureau
SANTA FE -- The Senate narrowly approved a bill Monday to lower the 
revenue-sharing percentage Indian casinos are supposed to pay to the 
state from slot machine proceeds. 
The Senate approved the bill, sponsored by Senate President Pro Tem 
Manny Aragon, on a 21-19 vote and sent it to the House. The measure 
would lower the revenue-sharing percentage the tribes pay from 16 
percent annually to an average 10 percent. 
Aragon, a Democrat from Albuquerque, told senators his bill would 
require casino-operating tribes to take responsibility for their revenue 
payments. The bill would bar tribes that owe money to the state under 
the current 16 percent revenue-sharing requirement, agreed to in 1997 
state-tribal compacts, from signing new agreements with the lower 
amount. 
"We need to bring stability and cooperation, and without it, this goes 
away," Aragon said. He referred to another provision of his bill, which 
would repeal legalized gambling in New Mexico if all tribes still owing 
money under the 16 percent revenue-sharing requirement fail to pay up 
before Jan. 1. 
Aragon's bill would create a graduated payment schedule based on the 
tribal casinos' annual net win on slot machines. Each quarter, the 
tribes would pay 4 percent on the first $6 million of annual net win, 8 
percent on the net win between $6 million and $12 million and 12 percent 
on the net win above $12 million. 
The bill, if passed by the House and signed by Gov. Gary Johnson, would 
generate about $32 million annually for the state from gambling revenue. 
That's about the same amount of money the state is getting now, but the 
Jicarilla Apache and the Mescalero Apache tribes have refused to pay the 
16 percent and regulatory fees. Other tribes are paying less than 16 

percent. 
Aragon's bill also would reduce the regulatory fees the tribes are 
required to pay. Each tribe would pay $500 per year per slot machine 
under his plan. Now the tribes are required to pay $6,250 per casino, 
$300 per slot machine and $750 per gaming table, on a quarterly basis. 
Many New Mexico tribes are likely to consider the Senate's approval of 
Aragon's bill a setback, a lobbyist for two tribes said. The Senate on 
Monday voted down a bill, supported by the tribes, that would have set 
the revenue-sharing requirement at an average 8 percent. 
"(Aragon's bill) is going to give them some relief, but it wasn't what 
the tribes wanted," said Richard Hughes, who lobbies for Santa Ana and 
Santa Clara pueblos. 
Hughes said a bigger problem is looming between the state and the 11 
tribes with casinos. If lawmakers pass no measure to lower the revenue 
sharing, some tribes who are paying currently might stop paying and go 
into arbitration. 
<SNIPPED>
Debate in the Senate on Monday centered on a bill promoted by Sen. Ben 
Altamirano, D-Silver City, that would have cut the amount of money the 
state receives from the tribes to $22 million or less. 
Republicans, and a few Democrats, came out in force against the measure, 
which died with 13 voting for it and 25 against. 
Sen. Billy McKibben, R-Hobbs, said 16 percent was approved in 1997 
because many lawmakers wouldn't accept anything lower. 
"That was the only way you could convince certain lawmakers to vote for 
it," McKibben said. 
Other Republicans argued Monday that revenue sharing is a tax and that 
Altamirano's bill would allow Indian tribes to pay back taxes without 
paying any penalties. 
Sen. Leonard Tsosie, D-Crownpoint, said that, up until the Senate debate 
Monday, most lawmakers had tried not to refer to revenue sharing as a 
tax, which is prohibited under the federal Indian Gaming Regulatory Act. 
"We adopted an illegal measure all along," Tsosie said, reiterating a 
widespread view among New Mexico gambling tribes about revenue sharing. 



http://www.abqjournal.com/news/xgr99/1legis02-23.htm
  

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