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Vol. 4, No. 8, August 2008, Global Gaming Roundup

Off the Tables?

By Casino Connection Staff   Wed, Jul 30, 2008

Florida high court strikes down Seminole gaming compact

Off the Tables?
The Florida Supreme Court struck down the gaming compact signed by Governor Charlie Crist and the Seminole Tribe, throwing into question the table game operations the tribe opened at its casinos in late June, just weeks before.

The high court, ruling in a lawsuit brought by a state lawmaker, held that Crist overstepped his authority by authorizing the tribe to conduct banked table games, including blackjack and baccarat, in addition to the Class III slots to which it was entitled.

“The governor does not have the constitutional authority to bind the state to a gaming compact that clearly departs from the state’s public policy by legalizing types of gaming that are illegal everywhere else in the state,” the ruling said.
The compact was signed hastily in November, after the Department of the Interior issued a deadline to get long-stalled gaming compact negotiations completed. Had no compact been signed, the DOI was prepared to authorize the tribe to add Class III slot machines to its operations without any involvement by—or revenue to—the state.

Once Broward County racetracks and jai-alai frontons were allowed to add Vegas-style slots, it became legal under the Indian Gaming Regulatory Act for the Seminoles to add them to their seven casinos, including the massive Hard Rock resorts in Tampa and Hollywood.

Track owners complained of an uneven playing field at the outset, because their limited slots are subject to a 50 percent state tax while the Seminoles’ $150 million annual payment to the state constitutes only a small fraction of overall revenues. With table games added into the mix, the parimutuel owners say it is nearly impossible to compete with the deep-pocketed tribe.

Meanwhile, the table games are still active at the Hard Rock and other Seminole casinos pending further legal action. At this point, the tribe can request a rehearing by the state Supreme Court, or it can appeal the decision to the U.S. Supreme Court. Alternatively, the Interior Department could issue its own opinion in the case.

By Casino Connection Staff

Casino Connection  Staff

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