First Tribal Sportsbook to Open in NM in Spite of Legal Misgivings

New Mexico’s Pueblo of Santa Ana tribe is planning to open a sportsbook at the Santa Ana Star Casino (Bernalillo) next week. The casino was founded by the Tamaya Nation in 1993.

With the state yet to formally legalize sports betting, the move is seen as a testing ground for tribal gaming operators nationwide. So far, tribes have been wary of sports wagering, assuming it would imply a good deal of negotiations.

The Pueblo, on the other hand, choose to interpret their compact with the state as already including sports betting. The tribe has partnered with Las Vegas-based USBookmaking and will open the sportsbook on October 16.

Company’s CEO, Vic Salerno, has said that “we have found that there is tremendous demand for a Nevada-style retail sportsbook operation in a multitude of casinos throughout the US. We specialize in the ability to get to market quickly and operate efficiently.”

Regulatory Framework for Other Venues Coming up Next?

With the market yet to be regulated, it will be interesting to observe how things will play out.

New Mexico Attorney General spokesman, David Carl, who has said he was “not aware” of the tribe’s plans to open the sportsbook, comments:

“Sports betting at the Santa Ana Star Casino is governed by the Pueblo of Santa Ana Gaming Regulatory Commission. As such, we will closely monitor New Mexico’s tribal gaming compacts and work with the legislature for proper statutory and regulatory oversight to require responsible gaming and enhanced integrity to create an even playing field for all.”

Mr. Carl has added that it “would be fair to say” that his office will cooperate with state legislators as to come up with a regulatory framework for other venues. A release from attorney general is expected on Tuesday, according to the spokesman.

Unprecedented Move to Open Pandora’s Box?

New Mexico’s horse racing operators have constantly expressed interest in offering sports betting at the state’s racetracks. Following the Pueblo’s sportsbook launch, they are expected to press the officials to introduce sports wagering laws as early as 2019. That especially if the attorney general’s office is of mind that sports wagering is legal under the Indian Gaming Regulatory Act (IGRA).

The Class III Gaming Quandary

IGRA authorizes the tribes to offer class III gaming. Defined as “all forms of gaming that are not class I gaming or class II gaming,” the term is easy to exploit.

The term “class I gaming” comprises “social games solely for prizes of minimal value or traditional forms of Indian gaming engaged in by individuals as a part of, or in connection with, tribal ceremonies or celebrations.”

Additionally, the term “class II gaming” comprises “the game of chance commonly known as bingo (…) and card games that are explicitly authorized by the laws of the State.”

Class III games “shall be lawful on Indian lands only if such activities are authorized by an ordinance or resolution that is adopted by the governing body of the Indian tribe having jurisdiction over such lands, meets the requirements of subsection (…) of this section, and is approved by the Chairman, located in a State that permits such gaming for any purpose by any person, organization, or entity, and conducted in conformance with a Tribal-State compact entered into by the Indian tribe and the State under paragraph (3) that is in effect.”

Which brings us to the next question: does sports betting fall into the category of class III gaming?

Not the First Case

This is not the first case of a sportsbook popping up on Indian lands. Early September, the Mississippi Choctaw Indians opened the very first tribal sports wagering operation outside of Nevada. The thing is, Mississippi has legalized sports betting, unlike New Mexico.

The Fort Mojave Indian Tribe operates the Avi Resort and Casino in Laughlin (Nevada) – the first tribal-run sportsbook in the US.

It is also rumored that Inn at the Mountain Gods is planning to open a sportsbook in partnership with IGT https://jswqzs.com/casinos/software/igt.

Everything considered, the move is likely to launch an avalanche throughout US.

Source:

“USBookmaking Partners with Tribal Casino to Offer New Mexico Sports Betting”, Robert H. Mann, sportshandle.com, October 9, 2018.