• Disclosure
  • Privacy Policy
  • DMCA Policy
  • CCPA
  • Medical Disclaimer
Tuesday, February 7, 2023
Smith County News Online
  • Home
  • News
  • Business
  • Technology
    • Crytpocurrency
    • Gaming
    • Gadgets
  • Sports
  • Health
  • General
    • Business Services
  • Travel
  • Press Releases
  • Popular
No Result
View All Result
  • Home
  • News
  • Business
  • Technology
    • Crytpocurrency
    • Gaming
    • Gadgets
  • Sports
  • Health
  • General
    • Business Services
  • Travel
  • Press Releases
  • Popular
No Result
View All Result
No Result
View All Result
Home Technology Gaming

Tribes Call Out Oregon’s Reckless Gaming Regulation (Gambling On A Lark) — High Country News – Know The West – High Country News

by NewsReporter
January 21, 2022
in Gaming
tribes-call-out-oregon’s-reckless-gaming-regulation-(gambling-on-a-lark)-—-high-country-news-–-know-the-west-–-high-country-news
Share on FacebookShare on Twitter

Using horse-racing laws, a shadowy state agency and a billionaire push for a private casino that threatens tribes’ self-sufficiency.

 

Chris Mercier was studying to be a journalist in 1995 when his tribal nation, the Confederated Tribes of Grand Ronde, built Spirit Mountain Casino. Before then, the area between Portland and Eugene was sparsely populated, and the tribal government, which was funded by grants and timber sales, operated out of offices in single-wide trailers.

“I watched the profound impact it has had,” said Mercier, now the vice chair of both the Grande Ronde Tribal Council and the Oregon Tribal Gaming Alliance. Using casino revenues, the government funded infrastructure and services for its members, including public housing, administrative buildings, a health-care clinic, police and security payments to elders. “All of our wealth is shared throughout our community. It’s been revolutionary out here, how it has changed the quality of life for our members.”

image

Artist’s rendering of the Flying Lark Entertainment Venue in Grants Pass, Oregon.

Image courtesy of the Flying Lark/HBG Design

But over the past year, Mercier has witnessed what seems like a slow-motion train wreck. An obscure state agency in charge of horse racing is shepherding something called a “racino” through the permitting process, basically creating the state’s first private casino, 233 miles south of the Spirit Mountain Casino in Grants Pass, Oregon. By potentially permitting machines that blur the line between horse racing and slot-machine gambling, the Oregon Racing Commission has brought the project to the edge of completion. The ORC effectively developed the plans behind closed doors, locking out both the public and tribal leaders and threatening an essential source of funding for tribes in Oregon.

The racino is owned by the state’s newest billionaire, Travis Boersma, who co-founded the drive-through coffee chain Dutch Bros. In 2019, Boersma bought Grants Pass Downs, the horse-racing track in his southern Oregon hometown. The next year, he hired Randy Evers, who served as the ORC’s director from 2007 to 2013, as the track’s president.

Boersma’s stated aim was to resuscitate Oregon’s necrotic horse-racing industry. The state’s oldest track, Portland Meadows, could not sustain overhead and shuttered early in 2019. When Boersma purchased Grants Pass Downs, he knew that horse racing alone wouldn’t keep it afloat. So he decided to use a model that’s gaining steam across the country: Tether his racetrack to a racino stocked with a brand-new generation of “historic horse-racing machines,” or HHRs — flashy, color-saturated LED terminals built by slot machine companies. Portland Meadows already had 150 HHRs, but they were an older version that showed animations of historic races, with names and dates redacted so gamblers couldn’t know the outcome. They weren’t particularly popular or profitable.

Boersma’s HHR machines have no visual indicators to connect them to horse racing. But the internal math they use is based on pari-mutuel wagering, so they legally qualify as horse-racing. They don’t generate random numbers the way traditional slots do, even though they replicate the slot machine experience. This loophole could allow the proposed business — the Flying Lark — to tap into the casino market without legally being considered a casino. Boersma calls it an “entertainment venue,” rather than a gambling destination.

image

Artist’s rendering of the Flying Lark Entertainment Venue in Grants Pass, Oregon.

Image courtesy of the Flying Lark/HBG Design

Only tribally owned casinos are legal in the state; Oregonians voted against legalizing private casinos in 2010, and then again in 2012. But the ORC, an unelected commission of governor-appointed lawyers and veterinarians, was poised to greenlight Boersma’s project anyway. The commission was flexing enormous power over the future of Oregon gaming without consulting tribes or considering the threat its decision posed to their economies.

In a pixelated Zoom meeting in May 2021, the Oregon Racing Commission’s current director, Jack McGrail, answered questions before the state’s Legislative Commission on Indian Services. The meeting marked the first time the ORC made any effort to discuss the Flying Lark with tribal leaders. For an hour, the tribal leaders asked questions and expressed their concerns about the project, noting the lack of consultation from the agency, which acted without legislative or public input. McGrail was there to clear the air.

“I apologize if that outreach was not sufficient,” McGrail told council members. “We perhaps underestimated the impacts of these initiatives on tribal interests. Moving forward, we will endeavor to make sure that the tribal interests are at least notified, considered and have a seat at the table.”

Despite McGrail’s pledge, however, nothing changed. Throughout the summer and early fall, tribes individually and collectively petitioned state legislators, the secretary of State and Gov. Kate Brown’s office, with increasing urgency, to better supervise the ORC. They wanted the state to establish a joint committee on gambling to review state law in light of the new HHR technology. Such a review hadn’t happened since 1996, back when DVDs and flip phones were exciting technological advances.

“The terms, ‘historic racing machine’ or ‘historic horse racing machines’ are misnomers.”

While the Oregon government sat on its hands, the tribes commissioned two studies, both released in September, focused on the state’s gaming landscape. “The terms, ‘historic racing machine’ or ‘historic horse racing machines’ are misnomers,” one study concluded. They didn’t display old horse races but mimicked traditional slot machines using pari-mutuel math.

The other study found that if racinos  spread to the other tracks and betting sites, the tribes would lose up to $31 million, jeopardizing their financial ability to govern themselves, and thus their sovereignty. But Mike Thiessen, the Flying Lark’s president, told High Country News that the competition was healthy, downplaying the likely impact the machines would have. “Competition is always good,” said Thiessen. “It should drive us to do our best.”

Gaming tribes are the largest employers in many parts of rural Oregon, hiring both tribal citizens and non-Natives alike. One of the Flying Lark’s ostensible raisons d’être was that it would create between 150 and 250 jobs, a paltry number by tribal standards. Mercier said that his tribe, the Confederated Tribes of Grand Ronde, employs 1,500 people, making it Polk County’s largest employer. The Cow Creek Umpqua Indian Foundation, which draws its funds from the Seven Feathers Casino, less than an hour’s drive north of the Flying Lark, has distributed over $20 million to nonprofits in surrounding counties since it began operation in 1998. These benefits, by design, extend beyond tribal citizens to include the greater community, funding everything from playgrounds to libraries.

Yet Boersma, and the ORC, had apparently made up their minds. In spring 2019, Boersma broke ground for the Flying Lark at Grants Pass Downs. He poured roughly $50 million into the project and armed himself with everything he needed to get the commission’s approval — including Evers and a new political action committee. The Oregonian called the venture “one of the great longshots in Oregon business history,” and in July, a gushing New York Times column lauded it as “good … for the community’s soul.”

“It’s important for the public record to show that this agency and commission has not upheld its responsibility in the government-to-government relationship with all the tribes.”

Four months went by with little action from state officials, and the ORC appeared poised to grant the permits. So at the ORC’s monthly meeting in October, the tribal leaders, having been denied adequate consultation, were forced to go before the ORC as Oregon citizens — not official government leaders — and deliver public comments:

“My appearance today isn’t considered, or shouldn’t be considered, appropriate government-to-government consultation,” said Don Gentry, chairman of the Klamath Tribes. “Yet I’ve decided today to speak, because I think it’s important for the public record to show that this agency and commission has not upheld its responsibility in the government-to-government relationship with all the tribes.”

The tribes, Gentry said, had long requested consultation with the ORC. They didn’t necessarily want to shut down the racino, but since it would impact tribal communities, they wanted the ORC to include them in the development process, as it was legally obliged to do. “We keep waiting,” he said. “No action should be taken at this level while those consultations are taking place, and until all consultations are complete.”

Alicia McAuley, the executive director of the Cow Creek Gaming and Regulatory Commission and treasurer of the Oregon Tribal Gaming Alliance, walked the ORC through the tribes’ commissioned studies, describing the economic reality that the gaming tribes faced should the commission approve the project.

“The Flying Lark will not attract new gamblers. It will take from the lottery retailers and patrons of tribal gaming casinos,” McAuley said in October. “Any jobs created will come at the expense of other jobs and ultimately other local businesses and they won’t be new.”

image

Artist’s rendering of the Flying Lark Entertainment Venue in Grants Pass, Oregon.

Image courtesy of the Flying Lark/HBG Design

But Boersma’s crew remained confident that the commission would grant the necessary permits. So confident, in fact, that the Flying Lark scheduled its grand opening for December 2021, despite not yet having a license for its HHR machines. It hired 150 employees and started promoting the venue. “(The ORC has) given indications of approval all along the way,” Mike Walters, the Flying Lark’s director of marketing, told High Country News in November. “But they’re getting pressure from the Native American casinos and tribes about having competition, which they don’t like, so they’re raising a little bit of a ruckus, which we were expecting.”

The state, however, finally took notice. On Oct. 29, three weeks after the ORC meeting, Secretary of State Shemia Fagan announced that her office would begin an audit of the ORC’s processes beginning in November — an audit that, as of publication, is still ongoing. This derailed the Flying Lark’s seamless path to a December opening, since the audit meant that the ORC had to delay its final ruling on the racino’s machines. The Flying Lark, in turn, filed a lawsuit in late December against the ORC to force a decision. This was the last resort, Walters said: If the ORC votes no, the venture is finished. “The ORC’s continued delay on holding a vote on the applications is unreasonable,” the lawsuit read, alleging the indecision is causing harm to the community by leaving the venture in financial limbo.

Meanwhile, Boersma and his racinos are not the only ones stuck in limbo. Tribal leaders are still waiting for their demands to be met: legally mandated government-to-government consultation, a pause on the development, and a formal review of gaming law.

Theo Whitcomb is an editorial intern at High Country News. We welcome reader letters. Email him at [email protected] or submit a letter to the editor. 

Follow @theo_whitcomb

Brian Oaster (they/them) is a staff writer at High Country News and a member of the Choctaw Nation of Oklahoma. They are an award-winning investigative journalist living in the Pacific Northwest. Email them at [email protected] or submit a letter to the editor. 

See our letters to the editor policy.

Get our Indigenous Affairs newsletter ↓

  • Indigenous Affairs
  • Tribes
  • Oregon
  • Communities
  • Economy
  • State Government
  • Politics

Related Posts

apple-tests-several-new-macs-with-next-generation-m2-chips-–-bloomberg-news-–-reuters

Apple Tests Several New Macs With Next-Generation M2 Chips – Bloomberg News – Reuters

by NewsReporter
April 15, 2022
0

The Apple logo is seen at an Apple Store in Brooklyn, New York, U.S. October 23, 2020. REUTERS/Brendan McDermidRegister now for FREE unlimited access to Reuters.comApril 14 (Reuters) - Apple Inc has started internal testing of several Mac models with next-generation M2 chips, Bloomberg News reported on Thursday citing developer...

the-biggest-gaming-news-for-april-14,-2022-–-thegamer

The Biggest Gaming News For April 14, 2022 – TheGamer

by NewsReporter
April 15, 2022
0

Elon Musk is trying to buy Twitter and Cyberpunk 2077's first expansion won't arrive until next year. We're nearing the end of the week but that doesn't mean that the news has slowed down. We've got plenty of big stories today, the biggest being Elon Musk's attempt to buy Twitter....

Latest Ukraine-Russia War News: Live Updates – The New York Times

by NewsReporter
April 14, 2022
0

Please enable JS and disable any ad blocker

benq-to-showcase-latest-lineup-of-gaming-monitors-and-accessories-at-pax-east-–-pr-web

BenQ To Showcase Latest Lineup Of Gaming Monitors And Accessories At PAX East – PR Web

by NewsReporter
April 14, 2022
0

“Our goal is to provide the most immersive gaming experiences to consumers to allow them to compete at the highest level while having fun,” said Houston Wei. “We look forward to sharing the newest technology and products that we have developed for every type of gamer at every level at...

Smith County News Online

© 2021 Smith County News Online

Navigate Site

  • Disclosure
  • Privacy Policy
  • DMCA Policy
  • CCPA
  • Medical Disclaimer

Follow Us

No Result
View All Result
  • Home
  • DMCA Policy
  • Medical Disclaimer
  • Privacy Policy
  • Disclosure
  • CCPA
  • Terms of Use

© 2021 Smith County News Online

We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept All”, you consent to the use of ALL the cookies. However, you may visit "Cookie Settings" to provide a controlled consent.
Cookie SettingsAccept All
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
cookielawinfo-checkbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytics
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
Others
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
SAVE & ACCEPT