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STATE OF OKLAHOMA
1st Session of the 60th Legislature (2025)
COMMITTEE SUBSTITUTE
FOR
SENATE BILL 585 By: Coleman
COMMITTEE SUBSTITUTE
An Act relating to amusement and sports; amending 3A
O.S. 2021, Sections 262 , 280, and 281, which relate
to state-tribal gaming and the Model Tribal Gaming
Compact; authorizing issuance of certain license;
requiring certain revenue sharing; providing
exception; updating language related to sports pools;
updating statutory references; defining terms;
authorizing certain event pools and Internet event
pools; requiring tribes to enforce certain
regulations; establishing certain Gaming Compact
Supplement; providing certain terms; requiring
certain submissions to the United States Department
of the Interior; deemi ng certain payment an
exclusivity; providing for codification; and
providing an effective date .
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 3A O.S. 2021, Section 262, is
amended to read as follows:
Section 262. A. If at least four Indian tribes enter into the
model tribal-state compact Model Tribal Gaming Compact set forth in
Section 281 of this title, and such compacts are approved by the
Secretary of the Interior and notice of such a pproval is published
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in the Federal Register, the Oklahoma Horse Racing Commission
(“Commission”) shall license organization licensees which are
licensed pursuant to Section 205.2 of this title to conduct
authorized gaming as that term is defined by this act the State-
Tribal Gaming Act pursuant to this act the State-Tribal Gaming Act
utilizing gaming machine s or devices authorized by this act the
State-Tribal Gaming Act subject to the limitations of subsection C
of this section. No fair association or orga nization licensed
pursuant to Section 208.2 of this title or a city, town or
municipality incorporated or otherwise, or an instrumentality
thereof, may conduct authorized gaming as that term is defined by
this act the State-Tribal Gaming Act.
Notwithstanding the provisions of Sections 941 through 988 of
Title 21 of the Oklahoma Statutes, the conducting of an d
participation in gaming in accordance with the provisions of this
act the State-Tribal Gaming Act or the model compact set forth in
Section 281 of this title is lawful and shall not be subject to any
criminal penalties. Provided further, a licensed manufacturer or
distributor licensed pursuant to this act the State-Tribal Gaming
Act may manufacture, exhibit or store as a lawful activity any
machines or devices which are capable of being used to conduct the
following types of gaming:
1. Gaming authorized by the State-Tribal Gaming Act; or
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2. Other gaming which may be lawfully conducted by an Indian
tribe in this state.
B. Except for Christmas Day, aut horized gaming may only be
conducted by an organization licensee on days when the licensee is
either conducting live racing or is accepting wagers on simulcast
races at the licensee ’s racing facilities. Authorized gaming may
only be conducted by organ ization licensees at enclosure locations
where live racing is conducted. Under no circumstances shall
authorized gaming be conducted by an organization licensee at any
facility outside the organization licensee ’s racing enclosure. No
person who would not be eligible to be a patron of a pari -mutuel
system of wagering pursuant to the provisions of subsection B of
Section 208.4 of this title shall be admitted into any area of a
facility when authorized games are played nor be permitted to
operate, or obtain a prize from, or in connection with, the
operation of any authorized game, directly or indirectly.
C. In order to encourage the growth, sustenance and development
of live horse racing in this state and of the state ’s agriculture
and horse industries, the Comm ission is hereby authorized to issue
licenses to conduct authorized gaming to no more than three
organization licensees operating racetrack locations at which horse
race meetings with pari -mutuel wagering, as authorized by the
Commission pursuant to th e provisions of this title, occurred in
calendar year 2001, as follows:
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1. An organization licensee operati ng a racetrack location at
which an organization licensee is licensed to conduct a race meeting
pursuant to the provisions of Section 205.2 of this titl e located in
a county with a population exceeding six hundred thousand (600,000)
persons, according to the most recent Federal Decennial Census,
shall be licensed to operate not more than six hundred fifty (650)
player terminals in any year. Beginning with the third year after
an organization licensee is licensed pursuant to this paragraph to
operate such player terminals, such licensee may be licensed to
operate an additional fifty (50) player terminals. Beginning with
the fifth year after an organizatio n licensee is licensed pursuant
to this paragraph to operate such player terminals, such licensee
may be licensed to operate a further additional fifty (50) player
terminals; and
2. Two organization licensees operating racetrack locations at
which the organization licensees are licensed to conduct race
meetings pursuant to the provisions of Section 205.2 of this title
located in counties with populations not exceeding four hundred
thousand (400,000) persons, according to the most recent Federal
Decennial Census, may each be licensed to operate not more than two
hundred fifty (250) player terminals in any year.
Subject to the limitations on the number of player terminals
permitted to each organization licensee, an organization licensee
may utilize electronic amusement games as defined in this act the
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State-Tribal Gaming Act, electronic bonanza -style bingo games as
defined in this act the State-Tribal Gaming Act and electronic
instant bingo games as defined in this act the State-Tribal Gaming
Act, and any type of gaming machine or device that is specifically
allowed by law and that an Indian tribe in this state is authorized
to utilize pursuant to a compact entered into between the state and
the tribe in accordance with the provisions of the Indian Gaming
Regulatory Act and any other machine or device that an Indian tribe
in this state is lawfully permitted to op erate pursuant to the
Indian Gaming Regulatory Act, referred to collectively as
“authorized games”. An organization licensee ’s utilization of such
machines or devices shall be subject to the regulatory control and
supervision of the Commission; provided, the Commission shall have
no role in oversight and regulation of gaming conducted by a tribe
subject to a compact. The Commission shall promulgate rules to
regulate the operation and use of authorized gaming by organization
licensees. In promulgating suc h rules, the Commission shall
consider the provisions of any compact which authorizes electronic
gaming which is specifically authorized by law by an In dian tribe.
For the purpose of paragraphs 1 and 2 of this subsection, the number
of player terminals in an authorized game that permits multiple
players shall be determined by the maximum number of players that
can participate in that game at any give n time; provided, however,
that nothing in this act the State-Tribal Gaming Act prohibits the
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linking of player terminals for progressive jackpots, so long as the
limitations on the number of permitted player terminals at each
organization licensee are not exc eeded. Each organization licensee
shall keep a record of, and shall report at least quarterly to the
Oklahoma Horse Racing Commission, the number of games authorized by
this section utilized in the organization licensee ’s facility, by
the name or type of each and its identifying number.
D. No zoning or other local ordinance may be adopted or amended
by a political subdivision where an organization licensee conducts
live horse racing with the intent to restrict or prohibit an
organization licensee ’s right to conduct authorized gaming at such
location.
E. For purposes of this act the State-Tribal Gaming Act,
“adjusted gross revenues ” means the total receipts received by an
organization licensee from the play of all authorized gaming minus
all monetary payouts.
F. The Oklahoma Horse Racing Commission shall promulgate rules
to regulate, implement and enforce t he provisions of this act the
State-Tribal Gaming Act with regard to the conduct of authorized
gaming by organization licensees; provided, regulation an d oversight
of games covered by a compact and operated by an Indian tribe shall
be conducted solely pursuant to the requirements of the compact.
G. The Commission is hereby authorized to issue one license to
conduct event wagering on nontribal land to a professional sports
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team in this state that is a part of the National Basketball
Association. Such profe ssional sports team shall have the right to
sublicense the event wagering license to one tribal -approved
operator for mobile and in -person event wagerin g on nontribal land.
All gross gaming revenues generated from the license shall be shared
with all tribal entities that have entered into the Model Tribal
Gaming Compact.
H. If an organization licensee operates or attempts to operate
more player terminals which offer authorized games than it is
authorized to offer to the public by this act the State-Tribal
Gaming Act or the terms of its license, upon written notice from the
Commission, such activity shall cease forthwith. Such activity
shall constitute a basis upon which the Commission may suspend or
revoke the licensee’s license. The Commission shall promulgate any
rules and regulations necessary to enforce the provisions of this
subsection.
H. I. This act The State-Tribal Gaming Act is game-specific and
shall not be construed to allow the operation of any other form of
gaming unless specifically allowed by this act the State-Tribal
Gaming Act. This act The State-Tribal Gaming Act shall not permit
the operation of slot machines, house -banked card games, or house-
banked table games involving dice or roulette wheels, except when
expressly permitted in Section 4 of this act, or games where winners
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are determined by wagering on the outcome of a sports contest ,
except as provided for in Section 4 of this act.
SECTION 2. AMENDATORY 3A O.S. 2021, Section 280, is
amended to read as follo ws:
Section 280. The State of Oklahoma through the concurrence of
the Governor after considering the executive prerogatives of that
office and the power to negotiate the terms of a compact between the
state and a tribe, and by means of the execution of the State -Tribal
Gaming Act, and with the concurrence of the State Legislature
through the enactment of the State -Tribal Gaming Act, hereby makes
the following offer of a model tribal gaming compact Model Tribal
Gaming Compact regarding gaming to all federal ly recognized Indian
tribes as identified in the Federal Register within this state that
own or are the beneficial owners of Indian lands as defined by the
Indian Gaming Regulatory Act, 25 U.S.C., Section 2703(4), and over
which the tribe has jurisdiction as recognized by the Secretary of
the Interior and is a part of the tribe ’s “Indian reservation” as
defined in 25 C.F.R., Part 151.2 or has been acq uired pursuant to 25
C.F.R., Part 151, which, if accepted, shall constitute a gaming
compact between this st ate and the accepting tribe for purposes of
the Indian Gaming Regulatory Act. Acceptance of the offer contained
in this section shall be through the si gnature of the chief
executive officer of the tribal government whose authority to enter
into the compact Compact shall be set forth in an accompanying law
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or ordinance or resolution by the governing body of the tribe, a
copy of which shall be provided by the tribe to the Governor. No
further action by the Governor or the state is required before the
compact Compact can take effect. A tribe accepting this Model
Tribal Gaming Compact is responsible for submitting a copy of the
Compact executed by the tribe to the Secretary of the Interior for
approval and publication in the Federal Register. The tribe shall
provide a copy of the executed Compact to the Governor. No tribe
shall be required to agree to terms different than the terms set
forth in the Model Tribal Gaming Compact, which is set forth in
Section 281 of this title. As a precondition to execution o f the
Model Tribal Gaming Compact by any tribe, the tribe must have paid
or entered into a written agreement for payment of any fines
assessed prior to the effective date of the State -Tribal Gaming Act
by the federal government with respect to the tribe ’s gaming
activities pursuant to the Indian Gaming Regulatory Act.
Notwithstanding the provisions of Sections 941 through 988 of
Title 21 of the Oklaho ma Statutes, the conducting of and the
participation in any game authorized by the model compact Model
Tribal Gaming Compact set forth in Section 281 of this title are
lawful when played pursuant to a compact which has become effective.
1. Prior to July 1, 20 08, of all fees received by the state
pursuant to subsection A of Part 11 of the Model Tribal Gaming
Compact set forth in Section 281 of this title:
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a. twelve percent (12%) shall be deposited in the
Oklahoma Higher Learning Access Trust Fund, and
b. eighty-eight percent (88%) of such fees shall be
deposited in the Education Reform Revolving Fund.
2. On or after July 1, 2008, of all fees received by the state
pursuant to subsection A of Part 11 of the Model Tribal Gaming
Compact set forth in Section 281 of this title and Gaming Compact
Supplements offered pursuant to Section 2 280.1 of this title and
Section 4 of this act:
a. twelve percent (12%) shall be deposited in the General
Revenue Fund, and
b. eighty-eight percent (88%) of such fees shall be
deposited in the Education Reform Revolving Fund.
Provided, the first Twenty Thousand Eight Hundred Thirty -three
Dollars and thirty-three cents ($20,833.33) of all fees received
each month by the state pursuant to subsection A of Part 11 of the
Model Tribal Gaming Compact set forth in Section 281 of this title
and Gaming Compact Supplements offered pursuant to Section 2 280.1
of this title and Section 4 of this act shall be transferred to the
Department of Mental Health and Substance Abuse Services for the
treatment of compulsive gambling disorder and educational programs
related to such disorder.
SECTION 3. AMENDATORY 3A O.S. 2021, Section 281, is
amended to read as follows:
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Section 281. This section sets forth the provisions of the
Model Tribal Gaming Compact.
MODEL TRIBAL GAMING COMPACT
Between the [Name of Tribe]
and the STATE OF OKLAHOMA
This Compact is made and entered into by and between the [Name
of Tribe], a federally recognized Indian tribe ( “tribe”), and the
State of Oklahoma (“state”), with respect to the operation of
covered games (as defined herein) on the tribe ’s Indian lands as
defined by the Indian Gaming Regulatory Act, 25 U.S.C., Section
2703(4).
Part 1. TITLE
This document shall be referred to as the “[Name of Tribe] and
State of Oklahoma Gaming Compact ”.
Part 2. RECITALS
1. The tribe is a federally recognized tribal government
possessing sovereign powers and rights of self -government.
2. The State of Oklahoma is a state of the United States of
America possessing th e sovereign powers and rights of a state.
3. The state and the tribe maintain a government -to-government
relationship, and this Compact will help to foster mutual respect
and understanding among Indians and non -Indians.
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4. The United States Supreme Court has long recognized the
right of an Indian tribe to regulate activity on lands within its
jurisdiction.
5. The tribe desires to offer the play of covered games, as
defined in paragraphs 5, 10, 11 and 12 of Part 3 of this Compact, as
a means of generating revenues for purposes authorized by the Indian
Gaming Regulatory Act, 25 U.S.C., Section 2701, et seq., inc luding
without limitation the support of tribal governmental programs, such
as health care, housing, sewer and water projects, police,
corrections, fire, judicial services, highway and bridge
construction, general assistance for tribal elders, day care for the
children, economic development, educational opportunities and other
typical and valuable governmental services and programs for tribal
members.
6. The state recognizes that the positive effects of this
Compact will extend beyond the tribe ’s lands to the tribe’s
neighbors and surrounding communities and will generally benefit all
of Oklahoma. These positive effects and benefits may include not
only those described in paragraph 5 of this Part, but also may
include increased tourism and related economic development
activities.
7. The tribe and the state jointly wish to protect their
citizens from any criminal involvement in the gaming operations
regulated under this Compact.
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Part 3. DEFINITIONS
As used in this Compact:
1. “Adjusted gross revenues ” means the total receipts received
from the play of all covered games minus all prize payouts;
2. “Annual oversight assessment ” means the assessment descri bed
in subsection B of Part 11 of this Compact;
3. “Central computer” means a computer to which player
terminals are linked to allow competition in electronic bonanza -
style bingo games;
4. “Compact” means this Model Tribal Gaming Compact between the
state and the tribe, entered into pursuant to Section 280 of this
title;
5. “Covered game” means the following games conducted in
accordance with the standards, as applicable, set forth in Sections
270 through 277 of this title: an electronic bonanza -style bingo
game, an electronic amusement game, an electronic instant bingo
game, nonhouse-banked card games; any other game, if the operation
of such game by a tribe would require a compact and if such game has
been: (i) approved by the Oklahoma Horse Racin g Commission for use
by an organizational licensee, (ii) approved by state legislation
for use by any person or entity, or (iii) approved by amendment of
the State-Tribal Gaming Act; and upon election by the tribe by
written supplement to this Compact, any Cla ss II game in use by the
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tribe, provided that no exclusivity payments shall be required for
the operation of such Class II game;
6. “Covered game employee ” means any individual employed by the
enterprise or a third party providing management services to the
enterprise, whose responsibilities include the rendering of services
with respect to the operation, m aintenance or management of covered
games. The term “covered game employee ” includes, but is not
limited to, the following: managers and assistant man agers;
accounting personnel; surveillance and security personnel; cashiers,
supervisors, and floor personnel; cage personnel; and any other
person whose employment duties require or authorize access to areas
of the facility related to the conduct of co vered games or the
maintenance or storage of covered game components. This shall not
include upper level tr ibal employees or tribe ’s elected officials so
long as such individuals are not directly involved in the operation,
maintenance, or management of covere d game components. The
enterprise may, at its discretion, include other persons employed at
or in connection with the enterprise within the definition of
covered game employee;
7. “Documents” means books, records, electronic, magnetic and
computer media documents and other writings and materials, copies
thereof, and information contained therein;
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8. “Effective date” means the date on which the last of the
conditions set forth in subsection A of Part 15 of this Compact have
been met;
9. “Electronic accounting system” means an electronic system
that provides a secure means to receive, store and access data and
record critical functions and activities, as set forth in the State -
Tribal Gaming Act;
10. “Electronic amusement game ” means a game that is pla yed in
an electronic environment in which a player ’s performance and
opportunity for success can be improved by skill that conforms to
the standards set forth in the State -Tribal Gaming Act;
11. “Electronic bonanza-style bingo game” means a game played
in an electronic environment in which some or all of the numbers or
symbols are drawn or electronically determined before the electronic
bingo cards for that game are sold that conforms to the standards
set forth in the State -Tribal Gaming Act;
12. “Electronic instant bingo game” means a game played in an
electronic environment in which a player wins if his or he r
electronic instant bingo card contains a combination of numbers or
symbols that was designated in advance of the game as a winning
combination. There may be multiple winning combinations in each
game and multiple winning cards that conform to the standards set
forth in the State-Tribal Gaming Act;
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13. “Enterprise” means the tribe or the tribal agency or
section of tribal management with direct res ponsibility for the
conduct of covered games, the tribal business enterprise that
conducts covered games, or a person, corporation or other entity
that has entered into a management contract with the tribe to
conduct covered games, in accordance with IGRA. Th e names,
addresses and identifying information of any covered game employees
shall be forwarded to the SCA at least annually. In any event, the
tribe shall have the ultimate responsibility for ensuring that the
tribe or enterprise fulfills the respons ibilities under this
Compact. For purposes of enforcement, the tribe is deemed to have
made all promises fo r the enterprise;
14. “Facility” means any building of the tribe in which the
covered games authorized by this Compact are conducted by the
enterprise, located on Indian lands as defined by IGRA. The tribe
shall have the ultimate responsibility for ensuring that a facility
conforms to the Compact as required herein;
15. “Game play credits” means a method of representing value
obtained from the exch ange of cash or cash equivalents, or earned as
a prize, in connection with electronic gaming. Game play cre dits
may be redeemed for cash or a cash equivalent;
16. “Player terminals” means electronic or electromechanical
terminals housed in cabinets with inpu t devices and video screens or
electromechanical displays on which players play electronic bonanza -
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style bingo games, electronic instant bingo games or electronic
amusement games;
17. “Independent testing laboratory ” means a laboratory of
national reputation that is demonstrably competent and qualified to
scientifically test and evaluate devices for complia nce with this
Compact and to otherwise perform the functions assigned to it in
this Compact. An independent testing laboratory shall not be owned
or controlled by the tribe, the enterprise, an organizational
licensee as defined in the State -Tribal Gaming Act, the state, or
any manufacturer, supplier or operator of gaming devices. The
selection of an independent testing laboratory for any purpose und er
this Compact shall be made from a list of one or more laboratories
mutually agreed upon by the parties; p rovided that the parties
hereby agree that any laboratory upon which the National Indian
Gaming Commission (NIGC) has relied for such testing may be uti lized
for testing required by this Compact;
18. “IGRA” means the Indian Gaming Regulatory Act, Pub. L. 100 -
497, Oct. October 17, 1988, 102 Stat. 2467, codified at 25 U.S.C.,
Section 2701 et seq. and 18 U.S.C., Sections 1166 to 1168;
19. “Nonhouse-banked card games” means any card game in which
the tribe has no interest in the outcome of the game, including
games played in tournament formats and games in which the tribe
collects a fee from the player for participating, and all bets are
placed in a common p ool or pot from which all player winnings,
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prizes and direct costs are paid. As provided herein,
administrative fees may be charged by the tribe against any common
pool in an amount equal to any fee paid the state; provided that the
tribe may seed the pool as it determines necessary from time to
time;
20. “Patron” means any person who is on the premises of a
gaming facility, for the purpose of playing covered games authorized
by this Compact;
21. “Principal” means, with respect to any entity, its sole
proprietor or any partner, trustee, beneficiary or shareholder
holding five percent (5%) or more of its beneficial or controlling
ownership, either directly or indirectly, or any officer, director,
principal management employee, or key employee thereof;
22. “Rules and regulations ” means the rules and regulations
promulgated by the Tribal Compliance Agency for implementation of
this Compact;
23. “Standards” means the descriptions and specifications of
electronic amusement games, electronic bonanza -style bingo games and
electronic instant bingo games or components thereof as set forth in
Sections 270 through 277 of this title as enacted in 2004 or as
amended pursuant to paragraph 27 of this Part or subsection D of
Part 13 of this Compact, including technic al specifications for
component parts, requirements for cashless transaction systems,
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software tools for sec urity and audit purposes, and procedures for
operation of such games;
24. “State” means the State of Oklahoma;
25. “State Compliance Agency ” (“SCA”) means the state agency
that has the authority to carry out the state ’s oversight
responsibilities under this Compact, which shall be the Office of
Management and Enterprise Services or its successor agency. Nothing
herein shall supplant the role or dut ies of the Oklahoma State
Bureau of Investigation under state law. The Oklahoma Horse Racing
Commission and the Oklahoma Tax Commission shall have no role in
regulating or oversight of any gaming conducted by a tribe;
26. “Tribal Compliance Agency ” (“TCA”) means the tribal
governmental agency that has the authority to carry out the tribe ’s
regulatory and oversight responsibilities under this Compact.
Unless and until otherwise designated by the tribe, the TCA shall be
the [Name of Tribe] Gaming Commissio n. No covered game employee may
be a member or employee of the TCA. The tribe shall have the
ultimate responsibility for ensuring that the TCA fulfills its
responsibilities under this Compact. The members of the TCA shall
be subject to background investigat ions and licensed to the extent
required by any tribal or federal law, and in accordance with
subsection B of Part 7 of this Compact. The tribe shall ensure that
all TCA officers and agents are qualified for such position and
receive ongoing training to obtain and maintain skills that are
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sufficient to carry out their responsibilities in accordance with
industry standards;
27. “State-Tribal Gaming Act” means the legislation in which
this Model Tribal Gaming Compact is set forth and, at the tribe ’s
option, amendments or successor statutes thereto;
28. “Tribal law enforcement agency ” means a police or security
force established and maintained by the tribe pursuant to the
tribe’s powers of self-government to carry out law enforcement
duties at or in conn ection with a facility; and
29. “Tribe” means the [Name of Nation].
Part 4. AUTHORIZATION OF COVERED GAMES
A. The tribe and state agree that the tribe is authorized to
operate covered games only in accordance with this Compact.
However, nothing in this Com pact shall limit the tribe ’s right to
operate any game that is Class II under IGRA and no Class II games
shall be subject to the exclusivity payments set forth in Part 11 of
this Compact. In the case of electronic bonanza -style bingo games,
there have been disagreements between tribes and federal regulators
as to whether or not such games are Class II. Wit hout conceding
that such games are Class III, the tribe has agreed to compact with
the state to operate the specific type of electronic bonanza -style
bingo game described in this Compact to remove any legal uncertainty
as to the tribe’s right to lawfully operate the game. Should the
electronic bonanza-style bingo game or the electronic instant bingo
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game described in this act be determined to be Clas s II by the NIGC
or a federal court, then the tribe shall have the option to operate
such games outside of t his Compact; provided, any obligations
pursuant to subsection F of Part 11 of this Compact shall not be
affected thereby.
B. A tribe shall not operate an electronic bonanza -style bingo
game, an electronic instant bingo game or an electronic amusement
game pursuant to this Compact until such game has been certified by
an independent testing laboratory and the TCA as meeting the
standards set out in th e State-Tribal Gaming Act for electronic
bonanza-style bingo games, electronic instant bingo games or
electronic amusement games, as applicable or any standards contained
in the Oklahoma Horse Racing Commission rules issued pursuant to
subsection B of Section 268 of this title that modify the standards
for such games that may be conducted by organizational licensees.
Provided, the tribe may rely on any certification of an electronic
bonanza-style bingo game, an electronic instant bingo, or electronic
amusement games by the Oklahoma Horse Racing Commission which was
obtained by an organization licensee pursuant t o the State-Tribal
Gaming Act to establish certification compliance under this Compact.
The tribe may also rely on any certification of an electronic
bonanza-style bingo game, electronic instant bingo or an electronic
amusement game by the TCA obtained by another tribe which has
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entered into the model compact to establish certification compliance
under this Compact.
Part 5. RULES AND REGULATIONS; MI NIMUM REQUIREMENTS FOR
OPERATIONS
A. Regulations. At all times during the Term of this Compact,
the tribe shall be responsible for all duties which are assigned to
it, the enterprise, the facility, and the TCA under this Compact.
The tribe shall promulgate any rules and regulations necessary to
implement this Compact, which at a minimum shall expressly include
or incorporate by reference all provisions of this Part 5 and the
procedural requirements of Part 6 of this Compact. Nothing in this
Compact shall be construed to affect the tribe ’s right to amend its
rules and regulations, provided that any such amendm ent shall be in
conformity with this Compact. The SCA may propose additional rules
and regulations related to implementation of this Compact to the TCA
at any time, and the TCA shall give good faith consideration to such
suggestions and shall notify the SCA of its response or action with
respect thereto.
B. Compliance; Internal Control Standards. All enterprises and
facilities shall comply with, an d all covered games approved under
the procedures set forth in this Compact shall be operated in
accordance with the requirements set forth in this Compact,
including, but not limited to, those set forth in subsections C and
D of this Part. In addition, all e nterprises and facilities shall
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comply with tribal internal control standards that provide a level
of control that equals or exceeds those set forth in the National
Indian Gaming Commission ’s Minimum Internal Control Standards (25
C.F.R., Part 542), except as provided in Section 4 of this act .
C. Records. In addition to other records required to be
maintained herein, the enterprise or tribe shall maintain the
following records related to implementation of this Compact in
permanent form and as written or e ntered, whether manually or by
computer, and which shall be maintained by the enterprise and made
available for inspection by the SCA for no less than three (3) years
from the date generated:
1. A log recording all surveillance activities in the
monitoring room of the facility, including, but not limited to,
surveillance records kept in the normal course of enterprise
operations and in accordance with industry standards; provided,
notwithstanding anything to the contrary herein, surveillance
records may, at the discretion of the enterprise, be destroyed if no
incident has been reported within one (1) year following the date
such records were made. Records, as used in this Compact, shall
include video tapes and any other storage media;
2. Payout from the conduct of all covered games;
3. Maintenance logs for all covered games gaming equipment used
by the enterprise;
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4. Security logs as kept in the normal course of conducting and
maintaining security at the facility, which at a minimum shall
conform to industry practices for such reports. The security logs
shall document any unusual or nonstandard activities, occurrences or
events at or related to the facility or in connection with the
enterprise. Each incident, without regard to materiality, shall be
assigned a sequential number for each such report. At a minimum,
the security logs shall consist of the fol lowing information, which
shall be recorded in a reasonable fashion noting:
a. the assigned number of the incident,
b. the date of the incident,
c. the time of the incident,
d. the location of the incident,
e. the nature of the incident,
f. the identity, including identification information, of
any persons involved in the incident and any known
witnesses to the incident, and
g. the tribal compliance o fficer making the report and
any other persons contributing to its preparation;
5. Books and records on all covered game activities of the
enterprise shall be maintained in accordance with generally accepted
accounting principles (GAAP); and
6. All documents generated in accordance with this Compact.
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D. Use of Net Revenues. Net revenues that the tribe receives
from covered games are to be used for any one or more of those
purposes permitted under IGRA:
1. To fund tribal government operations or program s;
2. To provide for the general welfare of the tribe and its
members;
3. To promote tribal economic devel opment;
4. To donate to charitable organizations; or
5. To help fund operations of local government agencies.
E. 1. The tribe’s rules and regulation s shall require the
enterprise at a minimum to bar persons based on their prior conduct
at the facility or who, because of their criminal history or
association with criminal offenders, pose a threat to the integrity
of the conduct of covered games.
2. The TCA shall establish a list of the persons barred from
the facility.
3. The enterprise shall employ it s best efforts to exclude
persons on such list from entry into its facility; provided, neither
persons who are barred but gain access to the facility, n or any
other person, shall have any claim against the state, the tribe or
the enterprise or any other person for failing to enforce such bar.
4. Patrons who believe they may be playing covered games on a
compulsive basis may request that their names b e placed on the list.
All covered game employees shall receive training on identifying
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players who have a p roblem with compulsive playing and shall be
instructed to ask them to leave. Signs and other materials shall be
readily available to direct such compul sive players to agencies
where they may receive counseling.
F. Audits. 1. Consistent with 25 C.F.R., Section 571.12,
Audit Standards, the TCA shall ensure that an annual independent
financial audit of the enterprise ’s conduct of covered games subjec t
to this Compact is secured. The audit shall, at a minimum, examine
revenues and expenses in connection wi th the conduct of covered
games in accordance with generally accepted auditing standards and
shall include, but not be limited to, those matters necessa ry to
verify the determination of adjusted gross revenues and the basis of
the payments made to the state pursuant to Part 11 of this Compact.
2. The auditor selected by the TCA shall be a firm of known and
demonstrable experience, expertise and statu re in conducting audits
of this kind and scope.
3. The audit shall be concluded within five (5) months
following the close of each calendar year, provided that extensions
may be requested by the tribe and shall not be refused by the state
where the circumstan ces justifying the extension request are beyond
the tribe’s control.
4. The audit of the conduct of covered games may be conducted
as part of or in conjunction with the audit of the enterprise, but
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if so conducted shall be separately stated for the re porting
purposes required herein.
5. The audit shall conform to generally accepted auditing
standards. As part of the audit report, the auditor shall certify
to the TCA that, in the course of the audit, the auditor discovered
no matters within the scope of t he audit which were determined or
believed to be in violation of any provision of this Compact.
6. The enterprise shall assume all costs in connection with the
audit.
7. The audit report for the conduct of covered games shall be
submitted to the SCA within thirty (30) days of completion. The
auditor’s work papers concerning covered games shall be made
available to the SCA upon request.
8. Representatives of the SCA may, upon request, meet with the
auditors to discuss the work papers, the audit or any ma tters in
connection therewith; provided, such discussions are limited to
covered games information and pursue legitimate state covered games
interests.
G. Rules for Play of and Prizes for Covered Games. Summaries
of the rules for playing covered game s and winning prizes shall be
visibly displayed in the facility. Complete sets of rules shall be
available in pamphlet form in the facility.
H. Supervisory Line of Authority. The enterprise shall provide
the TCA and SCA with a chart of the supervisory lines of authority
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with respect to those directly responsible for the conduct of
covered games, and shall promptly notify those agencies of any
material changes thereto.
I. Sale of Alcoholic Beverages. The sale and service of
alcoholic beverages in a faci lity shall be in compliance with state,
federal and tribal law in regard to the licensing and sale of such
beverages.
J. Age Restrictions. No person who would not be eligible to be
a patron of a pari-mutuel system of wagering pursuant to the
provisions of subsection B of Section 208.4 of this title shall be
admitted into any area in a facility where covered games are played,
nor be permitted to operate, or obtain a prize from or in connection
with the operation of, any covered game, directly or indirectly .
K. Destruction of Documents. Enterprise books, records and
other materials documenting the conduct of co vered games shall be
destroyed only in accordance with rules and regulations adopted by
the TCA, which at a minimum shall provide as follows:
1. Material that might be utilized in connection with a
potential tort claim pursuant to Part 6 of this Compact, including,
but not limited to, incident reports, surveillance records,
statements, and the like, shall be maintained at least one (1) year
beyond the time which a claim can be made under Part 6 of this
Compact or, if a tort claim is made, beyond the final disposition of
such claim;
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2. Material that might be utilized in connection with a prize
claim, including but not limited to incident reports, surveill ance
records, statements, and the like, shall be maintained at least one
hundred eighty (180) days beyond the time which a claim can be made
under Part 6 of this Compact or, if a prize claim is made, beyond
the final disposition of such claim; and
3. Notwithstanding anything herein to the contrary, all
enterprise books and records with respect to the conduc t of covered
games or the operation of the enterprise, including, but not limited
to, all interim and final financial and audit reports and materials
related thereto which have been generated in the ordinary course of
business, shall be maintained for the minimum period of three (3)
years.
L. Location. The tribe may establish and operate enterprises
and facilities that operate covered games only on its Indian lands
as defined by IGRA. The tribe shall notify the SCA of the operation
of any new facility fo llowing the effective date of this Compact ,
except as provided in Section 4 of this act . Nothing herein shall
be construed as expanding or otherwise al tering the term “Indian
lands”, as that term is defined in the IGRA, nor shall anything
herein be construed as altering the federal process governing the
tribal acquisition of “Indian lands” for gaming purposes.
M. Records of Covered Games. The TCA s hall keep a record of,
and shall report at least quarterly to the SCA, the number of
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covered games in each f acility, by the name or type of each and its
identifying number.
PART Part 6. TORT CLAIMS; PRIZE CLAIMS; LIMITED CONSENT TO SUIT
A. Tort Claims. The enterprise shall ensure that patrons of a
facility are afforded due process in seeking and receiving just and
reasonable compensation for a tort claim for personal injury or
property damage against the enterprise arising out of incidents
occurring at a facility, hereinafter “tort claim”, as follows:
1. During the term of this Compact, the enterprise shall
maintain public liability insurance for the express purposes of
covering and satisfying tort claims. The insurance shall have
liability limits of not le ss than Two Hundred Fifty Thousand Dollars
($250,000.00) for any one person and Two Million Dollars
($2,000,000.00) for any one occurrence for personal injury, and One
Million Dollars ($1,000,000.00) for any one occurrence for property
damage, hereinafter the “limit of liability”, or the corresponding
limits under the The Governmental Tort Claims Act, whiche ver is
greater. No tort claim shall be paid, or be the subject of any
award, in excess of the limit of liability;
2. The tribe consents to suit on a l imited basis with respect
to tort claims subject to the limitations set forth in this
subsection and subsection C of this Part. No consents to suit with
respect to tort claims, or as to any other claims against the tribe
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shall be deemed to have been m ade under this Compact, except as
provided in subsections B and C of this Part;
3. The enterprise’s insurance policy shall include an
endorsement providing that the insurer may not invoke tribal
sovereign immunity in connection with any claim made within the
limit of liability if the claim complies with the limited consent
provisions of subsection C of this Part. Copies of all such
insurance policies shall be forwarded to the SCA;
4. Any patron having a tort claim shall file a written tort
claim notice by delivery to the enterprise or the TCA. The date the
tort claim notice is filed with the enterprise or the TCA shall be
deemed the official date of filing the tort claim notice. The tort
claim notice shall be filed within one (1) year of the date of the
event which allegedly caused the claimed loss. Failure to file the
tort claim notice during such period of time shall forever bar such
tort claim; provided that a tort claim notice filed with the
enterprise or the TCA more than ninety (90) days, but with in one (1)
year, after the event shall be deemed to be timely filed, but any
judgment thereon shall be reduc ed by ten percent (10%) .;
5. If the tort claim notice is filed with the TCA, the TCA
shall forward a copy of the tort claim to the enterprise and the S CA
within forty-eight (48) hours of filing, and if the tort claim
notice is filed with the enterprise, the enterprise shall forward a
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copy of the tort claim to the TCA and the SCA within forty -eight
(48) hours of filing;
6. The tort claim notice shall state the date, time, place and
circumstances of the incident upon which the tort claim is based,
the identity of any persons known to have information regarding the
incident, including employees or others involved in or who witnessed
the incident, the amount of compensation and the basis for said
relief; the name, address and telephone number of the claimant, and
the name, address and telephone number of any representative
authorized to act or settle the claim on behalf of the claimant;
7. All tort claim notices shall be signed by the claimant. The
rules and regulations may additionally require that the tort claim
notices be signed under oath. The rules and regulations may also
require that as a condition of prosecuting tort claims, the claimant
shall appear to be interviewed or deposed at least once under
reasonable circumstances, which shall include the attendance of the
claimant’s legal counsel if requested; provided that the enterprise
shall afford claimant at least thirty (30) days ’ written notice of
the interview or deposition; and provided further that the
claimant’s failure to appear without cause for any interview or
deposition properly noticed pursuant to this paragraph shall be
deemed a voluntary withdrawal of the tort claim;
8. The enterprise sha ll promptly review, investigate, and make
a determination regarding the tort claim. Any portion of a tort
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claim which is unresolved shall be deemed denied if the enterprise
fails to notify the claimant in writing of its approval within
ninety (90) days of the filing date, unless the parties by written
agreement extend the date by which a denial shall be dee med issued
if no other action is taken. Each extension shall be for no more
than ninety (90) days, but there shall be no limit on the number of
written agreements for extensions; provided, that no written
agreement for extension shall be valid unless signed by the claimant
and an authorized representative of the enterprise. The claimant
and the enterprise may continue attempts to settle a claim beyo nd an
extended date; provided, settlement negotiations shall not extend
the date of denial in the absence of a written agreement for
extension as required by this paragraph;
9. A judicial proceeding for any cause arising from a tort
claim may be maintained in accordance with and subject to the
limitations of subsection C of this Part only if the following
requirements have been met:
a. the claimant has followed all procedures required by
this Part, including, without limitation, the delivery
of a valid and timely written tort claim notice to the
enterprise,
b. the enterprise has denied the tort claim, and
c. the claimant has filed the judicial proceeding no
later than the one-hundred-eightieth day after denial
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of the claim by the enterprise; provided, that neit her
the claimant nor the enterprise may agree to extend
the time to commence a judicial proceeding; and
10. Notices explaining the procedure and time limitations with
respect to making a tort claim shall be prominently posted in the
facility. Such notices shall explain the method and places for
making a tort claim, that this procedure is the exclusive meth od of
making a tort claim, and that claims that do not follow these
procedures shall be forever barred. The enterprise shall make
pamphlets containing the requirements in this subsection readily
available to all patrons of the facility and shall provide such
pamphlets to a claimant within five (5) days of the filing of a
claim.
B. Prize Claims. The enterprise shall ensure that patrons of a
facility are afforded due process in seeking and receiving just and
reasonable compensation arising from a patron ’s dispute, in
connection with his or her play of any covered game, the amount of
any prize which has been awarded, the failure to be awarded a prize,
or the right to receive a refund or other compensation, hereafter
hereinafter “prize claim”, as follows:
1. The tribe consents to suit on a limited basis with respect
to prize claims against the enterprise only as set forth in
subsection C of this Part; n o consents to suit with respect to prize
claims, or as to any other claims against the tribe shall be deemed
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to have been made under this Compact, except as provided in
subsections A and C of this Part;
2. The maximum amount of any prize claim shall be the am ount of
the prize which the claimant establishes he or she was entitled to
be awarded, hereafter hereinafter “prize limit”;
3. Any patron having a prize claim shall file a written prize
claim notice by delivery to the enterprise or the TCA. The date the
prize claim is filed with the enterprise or the TCA shall be deemed
the official date of filing the priz e claim notice. The prize claim
notice shall be filed within ten (10) days of the event which is the
basis of the claim. Failure to file the prize cla im notice during
such period of time shall forever bar such prize claim;
4. If the prize claim notice is filed with the TCA, the TCA
shall forward a copy of the prize claim to the enterprise and the
SCA within forty-eight (48) hours of its filing; and if the prize
claim notice is filed with the enterprise, the enterprise shall
forward a copy of the tort cla im to the TCA and the SCA within
forty-eight (48) hours of filing;
5. The written prize claim notice shall state the date, time,
place and circumstance s of the incident upon which the prize claim
is based, the identity of any persons known to have information
regarding the incident, including employees or others involved in or
who witnessed the incident, the amount demanded and the basis for
said amount, the name, address and telephone number of the claimant,
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and the name, address and telephone number of a ny representative
authorized to act or settle the claim on behalf of the claimant;
6. All notices of prize claims shall be signed by the claimant.
The rules and regulations may additionally require that the prize
claim notices be signed under oath;
7. The enterprise shall promptly review, investigate and make a
determination regarding the prize claim. Claimants shall cooperate
in providing informa tion, including personal sworn statements and
agreeing to be interviewed, as the enterprise shall reasonably
request. The claimant is permitted to have counsel present during
any such interview;
8. If the prize claim is not resolved within seventy -two (72)
hours from the time of filing the claim in accordance with paragraph
5 of this subsection, the TCA shall immediately notify the SCA in
writing that the claim has not been resolved;
9. In the event the claim is resolved, the TCA shall not be
obligated to report that fact to the SCA, but shall make TCA reports
available for review;
10. Any portion of a prize claim which is unresolved shall be
deemed denied if the enterprise fails to notify the claimant in
writing of its approval within thirty (30) days of th e filing date,
unless the parties agree by written agreement to extend the date.
Each extension shall be for no more than thirty (30) days, but there
shall be no limit on the number of written agreements for
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extensions; provided, that no written agree ments for extension shall
be valid unless signed by the claimant and an authorized
representative of the TCA . The claimant and the enterprise may
continue attempts to settle a claim beyond an extended date;
provided, settlement negotiations shall not extend t he date of
denial in the absence of a written extension required by this
paragraph;
11. A judicial proceeding for any cause arising from a prize
claim may be maintained in accordance with and subject to the
limitations of subsection C of this Part onl y if the following
requirements have been met:
a. the claimant has followed all procedures required by
this Part, including without limitation, the delivery
of a valid and timely written prize claim notice to
the enterprise,
b. the enterprise has denied the pr ize claim, and
c. the claimant has filed the judicial proceeding no
later than one hundred eighty (180) days after denial
of the claim by the enterprise; provided that neither
the claimant nor the enterprise may extend the time to
commence a judicial p roceeding; and
12. Notices explaining the procedure and time limitations with
respect to making a prize cla im shall be prominently posted in the
facility. Such notices shall explain the method and places for
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making claims, that this procedure is the exclusiv e method of making
a prize claim, and that claims that do not follow this procedure
shall be forever barred. The enterprise shall make pamphlets
containing the requirements in this subsection readily available to
all patrons of the facility and shall provide such pamphlets to a
claimant by the TCA within five (5) days of the filing date of a
claim.
C. Limited Consent to Suit for Tort Claims and Prize Claims.
The tribe consents to suit against the enterprise in a court of
competent jurisdiction with respe ct to a tort claim or prize claim
if all requirements of paragraph 9 of subsection A of this Part or
all requirements of paragraph 11 of subsection B of this Part have
been met; provided that such consent shall be subject to the
following additional co nditions and limitations:
1. For tort claims, consent to suit is granted only to the
extent such claim or a ny award or judgment rendered thereon does not
exceed the limit of liability. Under no circumstances shall any
consent to suit be effective as to any a ward which exceeds such
applicable amounts. This consent shall only extend to the patron
actually claiming to have been injured. A tort claim shall not be
assignable. In the event any assignment of the tort claim is made
in violation of this Compact , or any person other than the patron
claiming the injury becomes a party to any action hereunder, this
consent shall be deemed revoked for all purposes. Notwithstanding
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the foregoing, consent to suit shall not be revoked if an action on
a tort claim is filed by (i) a court appointed representative of a
claimant’s estate, (ii) an indispensable party, or (iii) a health
provider or other party subrogated to the claimant ’s rights by
virtue of any insurance policy; provided, that nothing herein is
intended to, or shall constitute a consent to suit against the
enterprise as to such party except to the extent such par ty’s claim
is:
a. in lieu of and identical to the claim that would have
been made by the claimant directly but for the
appointment of said representativ e or indispensable
party, and participation of such other party is in
lieu of and not in addition to pursuit of the claim by
the patron, and
b. the claim of such other party would have been subject
to a consent to suit hereunder if it had been made by
the claimant directly; and
2. For prize claims, consent is granted only to the extent such
claim does not exceed the prize limit. Under no circumstances shall
any award exceed the prize limit. This consent shall only extend to
the patron actually claiming t o have engaged in the play of a
covered game on which the claim is based. Prize claims shall not be
assignable. In the event any assignment of the prize claim is made,
or any person other than the claimant entitled to make the claim
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becomes a party to any action hereunder, this consent shall be
deemed revoked for all purposes. Notwithstanding the foregoin g,
consent to suit shall not be revoked if an action on a prize claim
is filed by (i) a court -appointed representative of a claimant ’s
estate, or (ii) an indispensable party, provided that nothing herein
is intended to, or shall constitute a consent to suit against the
enterprise as to such party except to the extent such party ’s claim
is:
a. in lieu of and identical to the claim that would have
been made by the claimant directly but for the
appointment of said representative or indispensable
party, and participation of such other party is in
lieu of and not in addition to pursuit of the claim by
the patron, and
b. the claim of such other party would have been subject
to a consent to suit hereunder if it had been made by
the claimant directly.
D. Remedies in the Event of No or Inadequate Insurance for Tort
Claim. In the event a tort claim is made and there is no, or
inadequate, insurance in effect as required under this Compact, the
enterprise shall be deemed to be in default hereunder unless, within
ten (10) days of a demand by the SCA or a claimant to do so, the
enterprise has posted in an irrevocable escrow account at a state or
federally chartered bank which is not owned or controlled by the
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tribe, sufficient cash, a bond or other security sufficient to cover
any award that might be made within the limits set forth in
paragraph 1 of subsection A of this Part, and informs the claimant
and the state of:
1. The posting of the cash or bond;
2. The means by which the deposit can be independently verified
as to the amount and the fact that it is irrevocable until the
matter is finally resolved;
3. The right of the claimant to have this claim satisfied from
the deposit if the claimant is successful on the claim; and
4. The notice and hearing opportunities in accordance with the
tribe’s tort law, if any, otherwise in accordance with principles of
due process, which will be afforded to the claimant so that the
intent of this Compact to provide claimants with a meaningful
opportunity to seek a just remedy under f air conditions will be
fulfilled.
Part 7. ENFORCEMENT OF COMPACT PROVISIONS
A. The tribe and TCA shall be responsible for regulating
activities pursuant to this Compact. As part of its
responsibilities, the tribe shall require the enterprise do the
following:
1. Operate the conduct of covered games in compliance with this
Compact, including, but not limited to, the standards and the
tribe’s rules and regulations;
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2. Take reasonable measures to assure the physical safety of
enterprise patrons and person nel, prevent illegal activity at the
facility, and protect any rights of patrons under the Indian Civil
Rights Act of 1968, 25 U.S.C., Sec. 1302-1303 Sections 1302 through
1303;
3. Promptly notify appropriate law enforcement authorities of
persons who may be involved in illegal acts in accordance with
applicable law;
4. Assure that the construction and maintenance of the facility
meets or exceeds federal and tribal standards for comparable
buildings; and
5. Prepare adequate emergency access plans to ensu re the health
and safety of all covered game patrons. Upon the finalization of
emergency access plans, the TCA or enterprise shall forward copies
of such plans to the SCA.
B. All licenses for members and employees of the TCA shall be
issued according to the same standards and terms applicable to
facility employees. The TCA shall employ qualified compliance
officers under the authority of the TCA. The compliance officers
shall be independent of the enterprise, and shall be supervised and
accountable only to the TCA. A TCA compliance officer shall be
available to the facility during all hours of operation upon
reasonable notice, and shall have immediate access to any and all
areas of the facility for the purpose of ensuring compliance with
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the provisions of this Compact. The TCA shall investigate any such
suspected or reported violation of this Compact and shall require
the enterprise to correct suc h violations. The TCA shall officially
enter into its files timely written reports of investigations and
any action taken thereon, and shall forward copies of such reports
to the SCA within fifteen (15) days of such filing. Any such
violations shall be repor ted immediately to the TCA, and the TCA
shall immediately forward the same to the SCA. In addition, the TCA
shall promptly report to the SCA any such violations which it
independently discovers.
C. In order to develop and foster a positive and effect ive
relationship in the enforcement of the provisions of this Compact,
representatives of the TCA and the SC A shall meet, not less than on
an annual basis, to review past practices and examine methods to
improve the regulatory scheme created by this Compact. The meetings
shall take place at a location mutually agreed to by the TCA and the
SCA. The SCA, prior to or during such meetings, shall disclose to
the TCA any concerns, suspected activities, or pending matters
reasonably believed to possibly constitu te violations of this
Compact by any person, organization or entity, if such disclosure
will not compromise the interest sought to be protected.
Part 8. STATE MONITORING OF COMPACT
A. The SCA shall, pursuant to the provisions of this Compact,
have the authority to monitor the conduct of covered games to ensure
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that the covered games are conducted in compliance with the
provisions of this Compact. In order to properly monitor the
conduct of covered games, agents of the SCA shall have reasonable
access to all areas of the facility related to the conduct of
covered games as provided herein:
1. Access to the faci lity by the SCA shall be during the
facility’s normal operating hours only; provided that to the extent
such inspections are limited to areas of the fac ility where the
public is normally permitted, SCA agents may inspect the facility
without giving prior notice to the enterprise;
2. Any suspected or claimed violations of this Compact or of
law shall be directed in writing to the TCA; SCA agents shall not
interfere with the functioning of the enterprise; and
3. Before SCA agents enter any nonpublic area of the facility,
they shall provide proper photographic identification to the TCA.
SCA agents shall be accompanied in nonpublic areas of the facility
by a TCA agent. A one-hour notice by SCA to the TCA may be required
to assure that a TCA officer is available to accompany SCA agents at
all times.
B. Subject to the provisions herein, agents of the SCA shall
have the right to review and copy documents of the enterprise
related to its conduct of covered games. The review and copying of
such documents shall b e during normal business hours or hours
otherwise at tribe’s discretion. However, the SCA shall not be
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permitted to copy those portions of any document s of the enterprise
related to its conduct of covered games that contain business or
marketing strategies or other proprietary and confidential
information of the enterprise, including, but not limited to,
customer lists, business plans, advertising pr ograms, marketing
studies, and customer demographics or profiles. No documents of the
enterprise related to its conduct of covered games or copies thereof
shall be released to the public by the state under any
circumstances. All such documents shall be deeme d confidential
documents owned by the tribe and shall not be subject to public
release by the state.
C. At the completion of any SCA inspection or investigation,
the SCA shall forward a written report thereof to the TCA. The TCA
shall be apprised on a timely basis of all pertinent,
nonconfidential information regarding any violation of federal,
state, or tribal laws, the rules or regulations, or this Compact.
Nothing herein prevents the SCA from contacting tribal or federal
law enforcement authorities fo r suspected criminal wrongdoing
involving the TCA. TCA may interview SCA inspectors upon reasonable
notice and examine work papers and SCA in the same fashion that SCA
inspectors may examine auditors ’ notes and make auditor inquiry
unless providing such information to the TCA will compromise the
interests sought to be protected. If the SCA determines that
providing the information to the TCA will compromise the interests
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sought to be protected, then the SCA shall provide such information
to the tribe in accordance with Part 13 14 of this Compact.
D. Nothing in this Compact shall be deemed to authorize the
state to regulate the tribe ’s government, including the TCA, or to
interfere in any way with the tribe ’s selection of its governmental
officers, including members of the TCA; provided, however, the SCA
and the tribe, upon request of the tribe, shall jointl y employ, at
the tribe’s expense, an independent firm to perform on behalf of the
SCA the duties set forth in subsections A and B of this Part.
Part 9. JURISDICTION
This Compact shall not alter tribal, federal or state civil
adjudicatory or criminal jurisdiction.
Part 10. LICENSING
A. 1. Except as provided in paragraph 6 of Part 3 of this
Compact, no covered game employee shall be employed at a fa cility or
by an enterprise unless such person is licensed in accordance with
this Compact. In addition to t he provisions of this Part which are
applicable to the licensing of all covered game employees, the
requirements of 25 C.F.R., Part 556, Background Inve stigations for
Primary Management Officials and Key Employees, and 25 C.F.R., Part
558, Gaming Licenses for Key Employees and Primary Management
Officials, apply to Key Employees and Primary Management Officials
of the facility and enterprise.
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2. All prospective covered game employees shall apply to the
TCA for a license. Licenses shall be issued for perio ds of no more
than two (2) years, after which they may be renewed only following
review and update of the information upon which the license was
based; provided, the TCA may extend the period in which the license
is valid for a reasonable time pending the outcome of any
investigation being conducted in connection with the renewal of such
license. In the event the SCA contends that any such extension is
unreasonable, it may seek resolution of that issue pursuant to Part
11 12 of this Compact.
3. The application process shall require the TCA to obtain
sufficient information and identification from the applicant to
permit a background investigation to deter mine if a license should
be issued in accordance with this Part and the rules and
regulations. The TCA shall obtain information about a prospective
covered game employee that includes:
a. full name, including any aliases by which applicant
has ever been known,
b. social security number,
c. date and place of birth,
d. residential addresses for the past five (5) years,
e. employment history for the past five (5) years,
f. driver license number,
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g. all licenses issued and disciplinary charges filed,
whether or not discipline was imposed, by any state or
tribal regulatory authority,
h. all criminal arrests and proceedings, except for minor
traffic offenses, to which the applicant has been a
party,
i. a set of fingerprints,
j. a current photograph,
k. military service history, and
l. any other information the TCA determines is necessary
to conduct a thorough backg round investigation.
4. Upon obtaining the required initial information from a
prospective covered game employee, the TCA shall forward a copy of
such information to the SCA, along with any determinations made with
respect to the issuance or denial of a temporary or permanent
license. The SCA may conduct its own background investigation of
the applicant at SCA expense, shall notify the TCA of such
investigation within a reasonable time from initiation of the
investigation, and shall provide a written repo rt to the TCA of the
outcome of such investigation within a reasonable time from the
receipt of a request from the TCA for such information. SCA
inspector field notes and the SCA inspector shall be available upon
reasonable notice for TCA review and inquiry.
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5. The TCA may issue a temporary license for a period not to
exceed ninety (90) days, and the enterprise may employ on a
probationary basis, an y prospective covered game employee who
represents in writing that he or she meets the standards set forth
in this Part, provided the TCA or enterprise is not in possession of
information to the contrary. The temporary license shall expire at
the end of the ninety-day period or upon issuance or denial of a
permanent license, whichever event occurs first. Provided that the
temporary license period may be extended at the discretion of the
TCA so long as good faith efforts are being made by the applicant to
provide required information, or the TCA is continuing to conduct
its investigation or is waiting on informa tion from others, and
provided further that in the course of such temporary or extended
temporary licensing period, no information has come to the atten tion
of the TCA which, in the absence of countervailing information then
in the record, would otherwise require denial of license. A
permanent license shall be issued or denied within a reasonable time
following the completion of the applicant ’s background
investigation.
6. In covered gaming the tribe shall not employ and shall
terminate, and the TCA shall not license and shall revoke a license
previously issued to, any covered game employee who:
a. has been convicted of any felony or an offense related
to any covered games or other gaming activity,
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b. has knowingly and willfully provided false material,
statements or information on his or her employment
application, or
c. is a person whose prior activities, criminal record,
or reputation, habits, and associations pose a threat
to the public interest or to the effective regulation
and control of the conduct of covered games, or create
or enhance the dangers of unsuitable, unfair, or
illegal practices, methods, and activities in the
conduct of covered games or the carrying on of the
business and financial arrangements incidental
thereto.
7. The SCA may object to the employment of any individual by
the enterprise based upon the criteria set forth in paragraph 6 of
this subsection A of this Part. Such objection shall be in writing
setting forth the basis of the objection. The SCA inspector ’s work
papers, notes and exhibits which formed the SCA conclusion shall be
available upon reasonable notice for TCA review. The enterprise
shall have discretion to employ an individual over the objection of
the SCA.
8. The TCA shall have the discretion to initiate or continue a
background investigation of any licensee or license applicant and to
take appropriate action with respect to the issuance or continued
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validity of any license at any time, including suspending or
revoking such license.
9. The TCA shall require all co vered game employees to wear, in
plain view, identification cards issued by the TCA which include a
photograph of the employee, his or her first name, a four-digit
identification number unique to the license issued to the employee,
a tribal seal or signature verifying official issuance of the card,
and a date of expiration, which shall not extend beyond such
employee’s license expiration date.
B. 1. Any person or entity who, directly or indirectly,
provides or is likely to provide at least Twenty -five Thousand
Dollars ($25,000.00) in goods or services to the enterprise in any
twelve-month period, or who has received at least Twenty -five
Thousand Dollars ($25,000.00) for goods or services provided to the
enterprise in any consecutive twelve -month period within the
immediately preceding twenty -four-month period, or any person or
entity who provides through sale, lease, rental or otherwise covered
games, or parts, maintenance or service in connection therewith to
the tribe or the enterprise at any time and in any amount, shall be
licensed by the TCA prior to the provision thereof. Provided, that
attorneys or certified public accountants and their firms shall be
exempt from the licensing requirement herein to the extent that they
are providing services covered by their professional licenses.
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2. Background investigations and licensing shall follow the
same process and apply the same criteria as for covered game
employees set forth in paragraph 6 of subsection A of this Part.
3. In the case of a license applicat ion of any entity, all
principals thereof shall be subjected to the same background
investigation required for the licensing of a covered game employee,
but no license as such need be issued; provided, no license shall be
issued to the entity if the TCA determines that one or more of its
principals will be persons who would not be qualified to receive a
license if they applied as covered game employee s.
4. Nothing herein shall prohibit the TCA from processing and
issuing a license to a principal in his or her own name.
5. Licenses issued under this subsection shall be reviewed at
least every two (2) years for continuing compliance, and shall be
promptly revoked if the licensee is determined to be in violation of
the standards set forth in paragraph 6 of subsection A of this Part.
In connection with such a review, the TCA shall require the person
or entity to update all information provided in the pre vious
application.
6. The enterprise shall not enter into, or continue to make
payments pursuant to, any co ntract or agreement for the provision of
goods or services with any person or entity who does not meet the
requirements of this Part including, but not limited to, any person
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or entity whose application to the TCA for a license has been
denied, or whose license has expired or been suspended or revoked.
7. Pursuant to 25 C.F.R., Part 533, all management contracts
must be approved by the Chair of the N ational Indian Gaming
Commission. The SCA shall be notified promptly after any such
approval.
8. In addition to any licensing criteria set forth above, if
any person or entity seeking licensing under this subsection is to
receive any fee or other payment bas ed on the revenues or profits of
the enterprise, the TCA may take into account whether or not such
fee or other payment is fair in light of market conditions and
practices.
C. 1. Subject to the exceptions set forth in paragraph 4 of
this subsection, any person or entity extending financing, directly
or indirectly, to the facility or enterprise in excess of Fifty
Thousand Dollars ($50,000.00) in any twelve -month period shall be
licensed prior to providing such financing. Principals thereof
shall be subjected to background investigations and determinations
in accordance with the procedures and standards set forth in
subsection A of this Part. Licenses issued under this section shall
be reviewed at least every two (2) years for continuing compliance,
and shall be promptly revoked if the licensee is determined to be in
violation of the standards set forth in p aragraph 6 of subsection A
of this Part. In connection with such a review, the TCA shall
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require the person or entity to update all information provide d in
the previous application.
2. The SCA shall be notified of all financing and loan
transactions with respect to covered games or supplies in which the
amount exceeds Fifty Thousand Dollars ($50,000.00) in any twelve -
month period, and shall be entit led to review copies of all
agreements and documents in connection therewith.
3. A supplier of goods or ser vices who provides financing
exclusively in connection with the sale or lease of covered games
equipment or supplies shall be licensed solely in accorda nce with
licensing procedures applicable, if at all, to such suppliers
herein.
4. Financing provided by a federally regulated or state -
regulated bank, savings and loan, or trust, or other federally or
state-regulated lending institution; any agency of the federal,
state, tribal or local government; or any person or entity,
including, but not limited to, an institutional investor who, alone
or in conjunction with others, lends money through publicly or
commercially traded bonds or other commercially traded instruments,
including but not limited to the holders of such bonds or
instruments or their assignees or transferees, or which bonds or
commercially traded instruments are underwritten by any entity whose
shares are publicly traded or which underwriter , at the time of the
underwriting, has assets in excess of One Hundred Million Dollars
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($100,000,000.00), sh all be exempt from the licensing and background
investigation requirements in subsection B of this Part or this
subsection.
D. In the event the SCA obj ects to a lender, vendor or any
other person or entity within subsection B or C of this Part seeking
to do business with the enterprise, or to the continued holding of a
license by such person or entity, it may notify the TCA of its
objection. The notice shall set forth the basis of the objection
with sufficient particularity to enable the TCA to investigat e the
basis of the objection. The SCA inspector and SCA inspector field
notes shall be available for TCA review and inquiry. Within a
reasonable time after such notification, the TCA shall report to the
SCA on the outcome of its investigation and of any action taken or
decision not to take action.
Part 11. EXCLUSIVITY AND FEES
A. The parties acknowledge and recognize that this Compact
provides tribes with substantial exclusivity and, consistent with
the goals of IGRA, special opportunities for tribal ec onomic
opportunity through gaming within the external boundaries of
Oklahoma in respect to the covered games. In consideration thereof,
so long as the state does not change its laws after the effective
date of this Compact to permit the operation of any additional form
of gaming by any such organization licensee, or change its laws to
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permit any additional electronic or machine gaming within Oklahoma ,
the tribe agrees to pay the following fees:
1. The tribe covenants and agrees to pay to the state a fee
derived from covered game revenues calculated as set forth in
paragraph 2 of this subsection. Such fee shall be paid no later
than the twentieth day of the month for revenues received by the
tribe in the preceding month; and
2. The fee shall be:
a. four percent (4%) of the first Ten Million Dollars
($10,000,000.00) of adjusted gross revenues received
by a tribe in a calendar year from the play of
electronic amusement games, electronic bonanza -style
bingo games and electronic instant bingo games,
b. five percent (5%) of the next Ten Million Dollars
($10,000,000.00) of adjusted gross revenues received
by a tribe in a calendar year from the play of
electronic amusement games, electronic bonanza -style
bingo games and electronic instant bingo games,
c. six percent (6%) of all subsequent adjusted gross
revenues received by a tribe in a calendar year from
the play of electronic amusement games, electronic
bonanza-style bingo games and electronic instant bingo
games, and
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d. ten percent (10%) of the monthly net win o f the common
pool(s) or pot(s) from which prizes are paid for
nonhouse-banked card games. The tribe is entitled to
keep an amount equal to state paymen ts from the common
pool(s) or pot(s) as part of its cost of operating the
games.
Payments of such fees shall be made to the Treasurer of the
State of Oklahoma. Nothing Except as provided in Section 4 of this
act, nothing herein shall require the alloc ation of such fees to
particular state purposes, including, but not limited to, the actual
costs of performing the state’s regulatory responsibilities
hereunder.
B. Annual oversight assessment. In addition to the fee
provided for in subsection A of this Part , the state shall be
entitled to payment for its costs incurred in connection with the
oversight of covered games to the extent provided herein, “annual
oversight assessment ”. The annual oversight assessment, which shall
be Thirty-five Thousand Dollar s ($35,000.00), shall be determined
and paid in advance on a fiscal year basis for each twelve (12)
months ending on June 30 of each year.
C. Upon the effective date of this Compact, the tribe shall
deposit with the SCA the sum of Fifty Thousand Dollars ($50, 000.00)
(“start-up assessment”). The purpose of the start -up assessment
shall be to assist the state in initiating its administrative and
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oversight responsibilities hereunder and shall be a one -time payment
to the state for such purposes.
D. Nothing in this Compact shall be deemed to authorize the
state to impose any tax, fee, charge or assessment upon the tribe or
enterprise except as expressly authorized pursuant to this Compact;
provided that, to the extent that the tribe is required under
federal law to report prizes awarded, the tribe agrees to copy such
reports to the SCA.
E. In consideration for the covenants and agreements contained
herein, the state agrees that it will not, during the term of this
Compact, permit the nontribal operation of an y machines or devices
to play covered games or electronic or mechanical gaming devices
otherwise presently p rohibited by law within the state in excess of
the number and outside of the designated locations authorized by the
State-Tribal Gaming Act. The state recognizes the importance of
this provision to the tribe and agrees, in the event of a breach of
this provision by the state, to require any nontribal entity which
operates any such devices or machines in excess of such number or
outside of the designa ted location to remit to the state at least
quarterly no less than fifty percent (50%) of any increase in th e
entities’ adjusted gross revenues following the addition of such
excess machines. The state further agrees to remit at least
quarterly to eligible tr ibes, as liquidated damages, a sum equal to
fifty percent (50%) of any increase in the entities ’ adjusted gross
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revenues following the addition of such excess machines. For
purposes of this Part, “eligible tribes” means those tribes which
have entered into this Compact and are operating gaming pursuant to
this Compact within forty -five (45) miles of an enti ty which is
operating covered game machines in excess of the number authorized
by, or outside of the location designated by, the State -Tribal
Gaming Act. Such liquidated damages shall be allocated pro rata to
eligible tribes based on the number of covered game machines
operated by each Eligible Tribe in the time period when such
adjusted gross revenues were generated.
F. In consideration for the cov enants and agreements contained
herein, the tribe agrees that in the event it has currently or
locates in the future a facility within a radius of twenty (20)
miles from a recipient licensee as that term is defined in
subsection K of Section 263 of this title that it shall comply with
the requirements of subsection K of Section 263 of this title.
Part 12. DISPUTE RESOLUTION
In the event that either party to this Compact believes that the
other party has failed to comply with any requirement of this
Compact, or in the event of any dispute hereunder, including, but
not limited to, a dispute over the proper interpr etation of the
terms and conditions of this Compact, the following procedures may
be invoked:
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1. The goal of the parties shall be to resolve all disput es
amicably and voluntarily whenever possible. A party asserting
noncompliance or seeking an interpretation of this Compact first
shall serve written notice on the other party. The notice shall
identify the specific Compact provision alleged to have been
violated or in dispute and shall specify in detail the asserting
party’s contention and any factual bas is for the claim.
Representatives of the tribe and state shall meet within thirty (30)
days of receipt of notice in an effort to resolve the dispute;
2. Subject to the limitation set forth in paragraph 3 of this
Part, either party may refer a dispute arising under this Compact to
arbitration under the rules of the American Arbitration Association
(AAA), subject to enforcement or pursuant to review a s provided by
paragraph 3 of this Part by a federal district court. The remedies
available through arbitrat ion are limited to enforcement of the
provisions of this Compact. The parties consent to the jurisdiction
of such arbitration forum and court for such limited purposes and no
other, and each waives immunity with respect thereto. One
arbitrator shall be chosen by the parties from a list of qualified
arbitrators to be provided by the AAA. If the parties cannot agree
on an arbitrator, then the arbitra tor shall be named by the AAA.
The expenses of arbitration shall be borne equally by the parties.
A party asserting noncompliance or seeking an interpretation of
this Compact under this section shall be deemed to have certified
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that to the best of the party ’s knowledge, information, and belief
formed after reasonable inquiry, the claim of noncompliance or the
request for interpretation of this Compact is warranted and made in
good faith and not for any improper purpose, such as to harass or to
cause unnecessary delay or the needless incurring of the cost of
resolving the dispute. If the dispute is found to have been
initiated in violation of this Part, the Arbitrator, upon request or
upon his or her own initiative, shall impose upon the violating
party an appropriate sanction, which may include an award to the
other party of its reasonable expenses incurred in having to
participate in the arbitration; and
3. Notwithstanding any provision of law, either party to the
Compact may bring an action against the o ther in a federal district
court for the de novo review of any arbitration award under
paragraph 2 of this P art. The decision of the court shall be
subject to appeal. Each of the parties hereto waives immunity and
consents to suit therein for such limited pu rposes, and agrees not
to raise the Eleventh Amendment to the United States Constitution or
comparable defense to the validity of such waiver.
Nothing herein shall be construed to authorize a money judgment
other than for damages for failure to comply with an arbitration
decision requiring the payment of monies.
Part 13. CONSTRUCTION OF COMPACT; FEDERAL APP ROVAL
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A. Each provision, section, and subsection of this Compact
shall stand separate and independent of every other provision,
section, or subsection. In the event that a federal district court
shall find any provision, section, or subsection of this Compact to
be invalid, the remaining provisions, sections, and subsections of
this Compact shall remain in full force and effect, unless the
invalidated provision, section or subsection is material.
B. Each party hereto agrees to defend the validity of this
Compact and the legislation in which it is embodied. This Compact
shall constitute a binding agreement between the parties and shall
survive any repeal or amendment of the State -Tribal Gaming Act.
C. The parties shall cooperate in seeking approval of this
Compact from an appropriate federal agency as a tribal -state compact
under the Indian Gaming Regulatory Act.
D. The standards for electronic bon anza-style bingo games,
electronic instant bingo games and electronic amusement games
established in the Sta te-Tribal Gaming Act as enacted in 2004, and,
at the election of the tribe, any standards contained in the
Oklahoma Horse Racing Commission rules issued pursuant to subsection
B of Section 268 of this title are hereby incorporated in this
Compact and shall survive any repeal of the State -Tribal Gaming Act,
or any games authorized thereunder. In the event that any of said
standards are changed by amen dment of the State-Tribal Gaming Act,
the tribe shall have the option to incorporate said changes into
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this Compact by delivery of written notice of said changes to the
Governor and the SCA.
Part 14. NOTICES
All notices required under this Compact shall be gi ven by
certified mail, return receipt requested, commercial overnight
courier service, or personal delivery, to the following persons:
Governor
Chair, State-Tribal Relations Committee
Attorney General
[Principal Chief, Governor or Chair]
[Name of Tribe]
[Address]
With copies to:
_______________________
_______________________
Part 15. DURATION AND NEGOTIATI ON
A. This Compact shall become effective upon the last date of
the satisfaction of the following requirements:
1. Due execution on behalf of the trib e, including obtaining
all tribal resolutions and completing other tribal procedures as may
be necessary to render the tribe ’s execution effective;
2. Approval of this Compact by the Secretary of the Interior as
a tribal-state compact within the meani ng of IGRA and publication in
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the Federal Register or satisfaction of any other requirement of
federal law; and
3. Payment of the start -up assessment provided for in
subsection C of Part 11 of this Compact.
B. This Compact shall have a term which will expire on January
1, 2020, and at that time, if organization licensees or others are
authorized to conduct electronic gaming in any form other than pari -
mutuel wagering on live horse racing pursuant to any governmental
action of the state or court order foll owing the effective date of
this Compact, the Compact shall automatically renew for successive
additional fifteen-year terms; provided that, within one hundred
eighty (180) days of the expiration of this Compact or any renewal
thereof, either the tribe or the state, acting through its Governor,
may request to renegotiate the terms of subsections A and E of Part
11 of this Compact.
C. This Compact shall remain in full force and effect until the
sooner of expiration of the term or until the Compact is termin ated
by mutual consent of the parties.
D. This Compact may be terminated by state upon thirty (30)
days’ prior written notice to the tribe in the event of either (1) a
material breach by the tribe of the terms of a tobacco Compact with
the state as evidenced by a final determination of material breach
from the dispute resolution forum agreed upon therein, including
exhaustion of all available appellate remedies therefrom, or (2) the
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tribe’s failure to comply with the provisions of Section 346 et seq.
of Title 68 of the Oklahoma Statutes, provided that the tribe may
cure either default within the thirty -day notice period, or within
such additional period as may be reasonably required to cure the
default, in order to preserve continuation of this Compact.
The state hereby agrees that this subsection is severable from
this Compact and shall automatically be severed from this Compact in
the event that the United States Department of the Interior
determines that these provisions exceed the state ’s authority under
IGRA.
Part 16. AUTHORITY TO EXECUTE
This Compact, as an enactment of the people of Oklahoma, is
deemed approved by the State of Oklahoma. No further action by the
state or any state official is necessary for this Compact to take
effect upon approval by the Secretary of the Interior and
publication in the Federal Register. The undersigned tribal
official(s) represents that he or she is duly authorized and has the
authority to execute this Compact on behalf of the tribe for whom he
or she is signing.
APPROVED:
[Name of Tribe]
____________________________ Date _________________
[CHIEF EXECUTIVE OFFICER]
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SECTION 4. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 280. 2 of Title 3A, unless there
is created a duplication in numbering, reads as follows:
A. As used in this section:
1. “Adjusted gross event pool revenue ” shall have the same
meaning as adjusted gross revenues as defined in Section 281 of
Title 3A of the Oklahoma Statutes , less federal excise taxes
applicable to any event wagering revenues ;
2. “Event pool” means the business of accepting wagers or bets
on a wagering event or portions of a wagering event, the individual
performance statistics of participants in a wagering event, or other
events involved with a contest, or a combination of these events .
Event pool includes, but is not limited to, single -game bets, teaser
bets, parlays, over-unders, moneylines, exchange betting, in -game
bets, in-play bets, proposition bets, and straight bets;
3. “Event wagering platform ” means an integrated system of
hardware, software, and servers through which an ev ent pool is
offered on the Internet;
4. “Governing body” means the organization that prescribes
final rules, enforces codes of conduct , and determines final
outcomes for a wagering event, or the participants in a wagering
event;
5. “Indian land” means the same as defined by 25 U.S.C.,
Section 2703(4);
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6. “Internet” means the international computer network of
interoperable packet -switched data networks including, but not
limited to, additional technological platforms such as mobile,
satellite, or other el ectronic distribution channels;
7. “Internet event pools ” means an event pool operating or
offering play through an Internet-capable device;
8. “Internet event pool account ” means an account established
by a facility for a person over eighteen (18) years of age where the
following is recorded:
a. deposits and credits,
b. withdrawals,
c. wagers,
d. value of winnings or losses, and
e. account adjustments;
9. “Nontribal lands” means any area in this state that is not
within Indian land;
10. “Professional s ports team” means the owner of a
professional sports team in this state that is a member of the
National Basketball Association;
11. “Wagering event” means any activity that involves one or
more players or participants and that has a governing body to
determine outcomes including, but not limited to, sporting events
and other events involving competitive components. Wagering event
does not include pari -mutuel wagering on horse racing, any high
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school event, any event where a majority of contestants are un der
eighteen (18) years of age, or ay election for public office;
12. “Wagering event supplier ” means a person or entity that
provides hardware, softwa re, or services related to event pools and
event pool operations; and
13. “Wagering event vendor license ” means a license obtained by
the Tribal Compliance Agency (TCA) to:
a. supply an enterprise with event betting equipment,
services, or information nec essary for the operation
of an event pool, and
b. provide management services under a contract to an
event pool operator.
A wagering event vendor license shall not include any sports
team, event team, or governing body of a contest or sports league.
B. Notwithstanding subsection L of Part 5 of Section 281 of
Title 3A of the Oklahoma Statutes , event pools and Internet event
pools shall be authorized to operate within a compacting tribe ’s
Indian lands and shall be recognized as a covered game pursuant to
Section 281 of Title 3A of the Oklahoma Statutes . Only a tribe that
has entered into a Gaming Compact Supplement pursuant to Section
280.1 of Title 3A of the Oklahoma Statutes shall authorize event
pools. Nothing in this act shall be construed as authorizin g a
tribe to conduct an event pool within another compacting tribe ’s
Indian lands.
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C. Notwithstanding subsection L of Part 5 of Section 281 of
Title 3A of the Oklahoma Statutes :
1. Internet event pools shall be authorized to operate within a
compacting tribe’s Indian lands and shall be recognized as a covered
game pursuant to Section 281 of Title 3A of the Oklahoma Statutes.
Internet event pools shall be made available to individuals who have
established an Internet event pool account and who, at the time of
placing a wager, are located within the Indian lands of the tribe
that is offering the event pool. Only a tribe that has entered into
a Gaming Compact Supplement pursuant to Section 280.1 of Title 3A of
the Oklahoma Statutes shall authorize event poo ls; and
2. Internet event pools shall be authorized within nontribal
lands and shall be recognized as a covered game pursuant to this
Compact. Internet event pools shall only be made available to
individuals that have established an Internet event pool a ccount
who, at the time of placing a wager on a wagering event, are located
on nontribal lands. Only the professional sports team may authorize
one (1) tribal approved wagering event supplier to offer wagering
events through Internet event pools on nontribal lands. All
adjusted gross event pool revenue received on nontribal lands shall
be shared between al l tribes.
D. A tribe shall adopt and enforce regulations which:
1. Require a TCA to ensure that the enterprise exclude betting
on a wagering event, or type of wager if a governing body requests
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and demonstrates good cause. A demonstration of good cause shall
require that the governing body has identified and provided the TCA
with information regarding:
a. suspicious betting activity that, if confirmed, would
directly impact the outcome of the wagering event or
type of wager, and
b. the manner in which such wagering event or type of
wager affects the integrity or perceived integrity of
the governing body’s event;
2. Provide information to governing bodi es and the Oklahoma
Tribal-State Gaming Compact State Compliance Agency (SCA) related to
suspicious betting activity;
3. Require an enterprise to employ a third -party provider of
geolocation services to ensure that patrons do not wager on event
pools offered by the tribe when such patrons are not located within
the tribe’s Indian lands;
4. Require an enter prise to utilize industry standard age
verification procedures to ensure that no person under eighteen (18)
years of age is able to bet on a wagering ev ent or wager;
5. Require an enterprise to take commercially reasonable
measures to prohibit players, participants, coaches, referees, team
owners, employees of a governing body or its member teams, and
player and referee union personnel from betting on an y wagering
event or wager overseen by their governing body. To determi ne which
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persons are excluded fro m betting on any wagering event or wager,
the enterprise shall use publicly available information and any
lists of such persons the governing body may p rovide; and
6. Require an enterprise to remit to the professional sports
team a payment of twenty -five one-hundredths of one percent ( 0.25%)
of the total amount wagered on event pools, including Internet event
pools, within thirty (30) days of the end of each calendar quarter.
E. If a tribe that has engaged in a Compact pursuant to
Sections 280 and 281 of Title 3A of the Oklahoma Statutes elect to
accept the offer of an additional covered game and to operate event
pools and Internet event pools, the tribe shall execute a supplement
to the Compact to provide as follows:
“MODEL TRIBAL GAMING COMPACT SUPPLEMENT
Between the [Name of Tribe]
and the STATE OF OKLAHOMA
To be governed in accord with the [Name of Tribe] ’s Model Tribal
Gaming Compact (“Compact”), approved by the United States Department
of the Interior on [Date], the [N ame of Tribe] (“Tribe”) accepts the
State’s offer of additional covered game pursuant to this section,
which offer and this acceptance are subject to the following terms:
Part 1. TITLE
This document shall be referred to as the “[Name of Tribe] and
State of Oklahoma Gaming Compact Event Pools Supplement ( “Gaming
Compact Supplement”)”.
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Part 2. TERMS
A. The Tribe hereby memorializes its election to accept the
State’s offer of an addition al covered game, which offer is codified
pursuant to this section .
B. The Tribe agrees, subject to the enforcement and exclusivity
provisions of its Compact, to pay a fee to the State equal to ___
percent (___%) of the adjusted gross event pool revenues f rom the
operation of event pools and Internet event pools within the Tribe ’s
Indian lands and nontribal lands. For all purposes, such payments
shall be deemed an exclusivity and fee payment pursuant to paragraph
2 of subsection A of Part 11 of Section 281 of Title 3A of the
Oklahoma Statutes.
C. The Tribe’s operation of event pools and Internet event
pools pursuant to this Gaming Compact Supplement shall, for all
purposes, including enforcement and exclusivity, be treated as
subject to and lawfully conduc ted under the terms and provisions of
the Compact.
Part 3. AUTHORITY TO EXECUTE
This Gaming Compact Su pplement, to the extent it conforms with
this section, is deemed approved by the State of Oklahoma. No
further action by the State or any state official is necessary for
this Gaming Compact Supplement to take effect upon approval by the
United States Secretary of the Interior and publication in the
Federal Register. The undersigned tribal official (s) represents
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that he or she is duly authorized and has t he authority to execute
this Gaming Compact Supplement on behalf of the tribe for whom he or
she is signing.
APPROVED:
[Name of Tribe]
____________________________ Date: _________________
[Title]”
F. A tribe electing to accept this additional game offerin g
shall be responsible for submitting a copy of the executed
supplement to the United States Secretary of the Interior for
approval and publication in the Federal Register.
G. Upon approval of a supplement by the Secretary , and subject
to the enforcement and exclusivity provisions of its existing Model
Tribal Gaming Compact with the state, the electing tri be shall be
deemed pursuant to such supplement , construed as an acceptance of
this offer, a supplement to the tribe ’s existing Compact, and to be
in agreement with the agreed upon payment percentage of the adjusted
gross event pool revenues from the operati on of event pools and
Internet event pools within the tribe ’s Indian lands and nontribal
lands. For all purposes, such payment shall be deemed an
exclusivity and fee payment under paragraph 2 of subsection A of
Part 11 of Section 281 of Title 3A of the Oklahoma Statutes .
H. Notwithstanding the provisions of Sections 941 through 988
of Title 21 of the Oklahoma Statutes, the conducti on of and
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participation in any game authorized pursuant to this section are
lawful when played pursuant to a compact.
I. Nothing in this section shall be construed to permit the
operation of any additional form of gaming by organization al
licensees or to permit any additional electronic or machine gaming
within this state.
J. Nothing in this section shall be construed to authorize a
tribe to conduct an event pool or Internet event pool within the
Indian lands of another tribe.
SECTION 5. This act shall become effective November 1, 2025.
60-1-1592 CAD 2/17/2025 9:56:15 AM