Millions of dollars in past due casino revenue payments may be on the way to Buffalo, Niagara Falls and Salamanca after an arbitration panel ruled against the Seneca Nation of Indians' attempt to stop the payments. Eight years ago, when the Seneca Nation withheld casino payments from the state under the compact, the city was forced to lay off 50 employees. That standoff lasted nearly three years before the.

It looks like the Seneca Nation will have to fork over $256 million in gaming revenues to the state of New York. Between 2002 and 2016, the tribe shared $1.4 billion with the state. The arrangement stopped because the tribe believed it only had to make payments for 14 years. By a 2-1 vote, a panel of arbitrators disagreed and told the tribe to pay up earlier this year. The tribe then asked a federal judge to review the matter. The gamble did not pay off. In a November 8 ruling, Judge William Skretny determined that the arbitration panel acted within the law in reaching its conclusions in connection with the tribe's Class III gaming compact with the state. 'The Nation and State agreed to resolve disputes arising from or related to the Compact through binding arbitration,' Skretny wrote in the 30-page decision. A majority of the arbitration panel assigned to the dispute definitively held in the State’s favor.' The tribe plans to review the decision before determining its next step, President Rickey Armstrong Sr. said in a statement to The Buffalo News. 'We understood the reality that the arbitration and court proceedings may not ultimately uphold the language of the Compact as written. Yet, it is our obligation to defend our agreements, so they are not compromised for the benefit of others,' Armstrong said in the statement quoted by the paper. 'We will take the time to review today's decision and determine how the Nation will proceed.” The state, meanwhile, is overjoyed. 'The court confirmed what we've said all along: the Seneca Nation needs to fulfill their obligations, make their neighbors and the state whole, and pay what they owe in exchange for their exclusive gaming rights,' Rich Azzopardi, a senior advisor to Gov. Andrew Cuomo (D) said in a statement. 'It is our hope that they end this charade, stop using the courts to delay, and pay what they owe.' In 2002, the Bureau of Indian Affairs allowed the tribe's compact to take effect without outright approving or rejecting it. As a result, the agreement is considered to be legal but only to the extent its provisions are 'consistent' with the Indian Gaming Regulatory Act, according a notice published in the Federal Register. The tribe subsequently reached a memorandum of understanding with the state in 2013 to settle a prior gaming compact dispute that also impacted the revenue sharing arrangement. There is no record of this agreement, which includes a provision stating that the compact can be automatically renewed in 2016, being submitted to the federal government for review. Turtle Talk has posted documents from the case, Seneca Nation of Indians v. State of New York

Between 2002, when the compact was signed, and 2016, when the nation says the payment obligation ended, the Senecas sent more than $1 billion in payments to the state and casino host communities.

. Federal judge: Seneca Nation of Indians owes state $255 million (The Finger Lake Times November 12, 2019)
Judge rejects Seneca Nation's bid to stop $255M in casino payments to state (The Buffalo News November 8, 2019)
Judge rules Seneca Nation of Indians must pay NYS casino revenues (WGRZ November 8, 2019)

Seneca Nation Casinos


Court upholds ruling that Seneca Nation owes state millions in casino payments (NYUp.com November 8, 2019)
An Opinion
Editorial: Senecas should pay up or lose support (The Buffalo News November 11, 2019) Seneca Nation challenges $256 million gaming award after appeal to Trump falters (June 10, 2019)
Seneca Nation seeks federal review after losing $256 million arbitration ruling (April 22, 2019)
Seneca Nation told to continue sharing gaming revenues with New York (January 8, 2019)
Seneca Nation in arbitration over gaming compact dispute in New York (July 23, 2018)
Seneca Nation enters arbitration with New York over revenue sharing dispute (November 22, 2017)
Seneca Nation prepares for arbitration in gaming dispute with state of New York (September 21, 2017)

Seneca Nation Casino Payments Bill

Seneca Nation heads to arbitration for Class III gaming compact in New York (September 11, 2017)
Seneca Nation slams governor of New York for repeatedly putting off meetings (August 23, 2017)
New York governor refuses to meet with Seneca Nation amid gaming dispute (August 21, 2017)
Seneca Nation plans meeting with state to discuss future of gaming compact (August 9, 2017)
NationSeneca Nation willing to talk to state as gaming payments come to end (July 5, 2017)
John Kane: Nothing is simple for tribes when dealing with New York (May 2, 2017)
Ernie Stevens: Seneca Nation keeps commitment to its neighbors (April 17, 2017)
Seneca Nation ends casino payments after sending $1.4B to state of New York (March 24, 2017)