ARIZONA STATE SENATE
Phoenix, Arizona
tribal-state
compacts; legislative approval
Requires legislative approval for any proposed tribal-state compact negotiated by the Governor.
In 1988, Congress passed the Indian Gaming Regulatory Act (IGRA) in response to the development of gambling activities on Indian reservations. IGRA established the framework for tribal-state negotiations for Class III gaming (house-banked, e.g. slot machines, roulette and some table games) while allowing tribes to conduct Class I and Class II gaming without state oversight. Class I gaming refer to social games solely for prizes of minimal value or traditional forms of Indian gaming. Class II gaming includes the game of chance such as bingo.
In 1992-1993, Governor Fife Symington negotiated and executed gaming compacts with Arizona’s Indian tribes. The compacts limit the number of authorized gaming devices and casino locations within the State of Arizona based on a formula in relationship to the population of each tribe. The compacts also set up a regulatory framework for the State to enforce the gaming compacts. Seventeen of the twenty-one recognized tribes in Arizona have entered into compacts; however, two of these tribes have closed their casinos. The compacts authorize specific types of Class III gaming, including slot machines, keno, lotteries, off-track pari-mutuel wagering and pari-mutuel wagering on horse and dog racing.
On July 3, 2001, a federal district court ruled on American Greyhound Racing, Inc., et al., v. Jane Dee Hull, et al. The court held that decisions about what kinds of gaming should be legal in Arizona and the types of gaming the State should agree to permit within its boundaries pursuant to tribal-state compacts are legislative decisions. According to the court’s findings, the Governor’s inability to enter into compacts may be remedied by the Legislature with the enactment of an appropriate delegation of compact authority. The court also found that Arizona law does not permit slot machine, keno or blackjack gaming. The court also stated that the federal law does not permit the State to enter into compacts authorizing tribes to engage in gaming otherwise prohibited by state law. S.B. 1194 requires legislative approval for any proposed tribal-state compacts negotiated by the Governor.
There is no fiscal impact to the state general fund associated with this legislation.
1. Prohibits the Governor from executing tribal-state compacts with Indian tribes in this state under the Indian Gaming Regulatory Act of 1988.
2. Requires legislative approval and ratification by a majority vote of each chamber of any proposed tribal-state compact negotiated by the Governor prior to the enactment of the compact.
3. Contains technical changes.
4. Provides for a general effective date.
Prepared by Senate Staff
February 26, 2002