Native American Press / Ojibwe News (Bemidji, Minnesota), 2004-01-30

              INDEX
NEWS AROUND INDIAN COUNTRY
NEWS BRIEFS
2
3
Erma Vizenor
will run for Tribal
Chairman in 2004
Red Lake member
angered, saddened by
recent shootings
No Chief Melanie
Benjamin if tradition,
culture truly ruled
srsr
Red Lake
reform KO'd
COMMENTARY/EDITORIALS
4
lAw* '±J*
CLASSIFIEDS
7
page 4
page 4
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page 4
Consequences of the Whitefeather/King Chaos Council
VOICE      OF      THE       PEOPLE
By Bill Lawrence
This is (he first in a projected
series of articles that will delve
into the origins of tire on-going
financial and other problems that
exist on the Red Lake Reservation. The current financial dilemma that the Tribe faces resulted
from many flawed decisions on
both the part of the Tribal Council
and die voting public.
The Red I .ake Tribe is currently estimated to be $26-27
million in debt with a potential
exposure of several million dollars of additional indebtedness
because of mismanaged programs
and questioned costs in regard to
federal grants and contracts. This
figure doesn't include the interest
due on the debt. This is estimated
to amount to half again ($13-14
million) as much as die original
debt. The consequence of this
debt is diat we can no longer provide sen ices as we could when
we were getting $4-5 million a
year in casino profits because
the money now goes to service
die debt. There hasn't been that
kind of money for the last several
years and people have had to do
with less sen ices because of die
mismanagement and the poor
decisions. In addition to die debt
diis situation has probably cost
the uibe S10-20 million in lost
income.
Major contributors to this enormous debt are obviously die $4
million ($8 million with interest)
bond issue and losses from die
Modular Homes Project (Red
Lake Industries) and die River
Road Casino, Hotel and Water
Park. The ill-advised bottled water plant and the Custom Doors
I and II also contributed to the
problem.
The biggest contributor to the
Tribe's indebtedness is die building of die River Road Casino,
I lotel and Water Park. The Tribal
Council authorized a S27 million
loan from the Miller Schroeder
group to finance this expansion.
But the project required a total of
S41 million dollar to complete.
This overrun was financed by a
S4 million loan from die Tribe as
well as anodier $10 million from
casino operating revenue or from .
investments owned by the tribe.
This step in "creative financing"
was masterminded by Dan King,
fonner treasurer.
Now add to the large list of
mistakes, die purchase of die Sunset Resort on Waskish, the Super
8 Motel and the Cheney property
in Warroad, the I akeside Restaurant at I .ake of die Woods as well
as die purchase of undeveloped
land and farmland. The farm land
was purchased with the intent
of raising wild rice. We sit widi
approximately 600,000 pounds
of wild rice for which there is no
market. These purchases have resulted in die tribe's paying about
S90 diousand a year in property
taxes.  The properties, as diey
now sit, are unproductive, not
earning us any money. Do we
keep mem? Can we find waj s
to make diem productive so they
bring in revenue?
Some of the properties have die
potential to be useful as resources.
But the question of why they
were purchased remains. If it was
to reacquire lost ancesUal lands,
we must find ways to make them
contribute to die economic well
being (jobs, revenue generation,
etc.) of die tiibe or the purchase
doesn' l make sense and is no
doubt the result of not having a
single, qualified person in charge
of Economic Development.
This is not simply die workings
of an investment club but rather
the actions of a duly elected government, charged widi representing die people in dealings with
other governments, providing
sen ices and opportunities to die
membership, and managing tribal
resources.
These purchases were done
with what seemed to be an endless stream of money. The
casinos were generating a profit
of $4-5 million a year.  This fact
no doubt inspired the decision
to build the hotel and die water
park.   The thinking was that these
projects would garner additional
money.   There was no real concern that the money w ouldn' t last.
We found out this year however
that we have taken in $900,000
less in casino revenue than we
did last year. Expenses are up
because of the water park ;md the
hotel.
All these failures, and the
COUNCIL to page 6
MCLU to legally challenge racial profiling in
northern Minnesota
By Jeff Armstrong
In a meeting widi local activists, an attorney with the .\ lin-
nesota Civil Liberties Union
said the legal advocacy group
plans to open an intake office in
die Bemidji area within the next
few months to monitor and investigate alleged racial profiling
by state and Uibal police in die
region.
\ [(i X attorney Teresa Nelson
said the purpose of die office
would be to investigate complaints from the public of racial
discrimination and related constitutional violations on die part
of law enforcement mid jail staff.
Nelson said die office would also
play a role in public education,
advocacy and research in defense
of civil rights and liberties.
Ultimately, the organization
hopes to file a precedent-setting,
class action lawsuit Nelson said
the MCLU is considering "litigation diat wdl improve the rights
of die people. The main issue is
racial profiling, whether it's tribal
or state officers."
In order to succeed in court,
said Nelson, MCLL1 attorneys
would "have to prove [die defendants] acted in a pattern of racial
profiling."
Another area of concern the
MCLL1 attorney mentioned was
the denial of religious freedom
rights in jails and juvenile detention facilities. Nelson said the
group will advocate on behalf
of any detainee alleging denial
of reasonable religious practice
requests, noting that the MCI I
already has pending litigation
against one county which failed
to accommodate die exercise of
Native religious rites.
Nelson said the organization
would begin accepting applications for the position when die
intake worker's duties are more
clearly defined. She said the Jan.
24 meeting widi community
members was aimed at improving die MCLU's understanding
of die issues confronting Natives.
Several coiimnuiity members
obliged Nelson, offering die attorney a glimpse of die uphill
struggle ahead for the organization in the cause of civil liberties.
Roxanne LaRose, a court advocate for Leech Lake, pointed
out the need for protection from
retaliation of individuals who allege discriminatory treatment or
odier abuse.
"If somebody complains about
any of the conditions at die jail,
diey're shipped to another facility," said LaRose.
An outspoken defender of
Native rights and Uibal reform
for many years, LaRose said
she feared diat federal charges
against her son, \ like I .aRose, arc
motivated by jwlitical retribution.
"They're doing this to my son
because of my big mouth," said
LaRose.
.\ larvin N lanypenny said the
most pressing issue is that the
state continues to violate fundamental democratic and human
rights by interfering in internal
tribal affairs through legislation
and agreements which exclude the
participation of tribal members.
"It's like we're ;dicii.s in our
own country," said Main penny.
"It's amazing. All the judges are
meeting widi tribal attorneys
on diis so-called 'full faith and
credit' But when we as citizens
go to their meetings, they restrict
us from speaking... No one can
speak for us but ourselves, not
these litde puppet colonial regimes."
Also noting die relationship
between the social conditions
of Natives and poor reservation
leadership, George Earth said die
initiative for change must come
from widiin.
"Right now, we are destroyed
by our own government," said
Earth. "The only way we are going to change tilings is to bring all
die reservations together under a
constimtion. Then we can fight
for our timber, our hunting and
fishing and our land."
Lies and the Lying Liars who tell them
By Mindy Jones-Ruby and
Randy Finn
Leech Lake Resen ation-
There has been a series of
meetings held dirough out the
last eight weeks diat dangle the
promise of greater input from
Band membership but in reality
appears to another delay lactic in
order to ensure Chairman White
and SecTrcas. Larose's agenda
to be carried out. Their agenda
' to build the Sliiugobee Casino/
Marina and complete the 100
Homes Project no matter how
many times die band membership says no. '
On December 11,2003 at 2
P.M. an open meeting was held
by die LL RBC to discuss diese
numerous unaudiorized projects,
cxpcndinires, and business deals
and the loan consolidation with
die Mdewankaton Sioux. These
included the 100 Homes Project,
Shingobee Marina/Casino (no
NIGC approval), White Oak
Casino expansion, land acquisitions, building demolition (Shingobee) and remodels (Che-we,
Business Corp Offices, Gaming
Office, and space at the Casinos
for check cashing and Smoke
Shops) as well as various construction contracts. The meeting
was also to explain proposed
loan options (formerly investors)
under consideration diat would
fund all the projects- that where
and still are underway.
It was die consensus of die
majority of those present diat the
RBC needed to fix die dysfunctional organization and clean up
die mess the RBC has allowed to
fester. That the RBC starts holding accountable those responsible for starting unauthorized
projects, making unauthorized
expenses, poor job performance,
wasted resources, recklessly
borrowing, and bad business
deals. Once die facts were fully
realized by people in attendance
diere was virtually no support for
continuing the Shingobee Marina
Casino or 100 Homes Project.
The District Reps' at diat time
were unaware of what the budget
was for die Business Corporation. Or how die Business could
exist without a budget approved
by the full RBC. This was based
on die April 9,2003 resolution
diat no business will be acted
upon widiout full council approval. When asked how then
are all diese costs being paid?
District Rep Luke Wilson said,
"That's a good question." It was
disclosed that die Leech Lake
now had at least a 3 million dollar deficit. Not counting these
expendimres. It was clear diat
the administration had no idea
where die Band was financially
due to unplanned, unbudgeted,
unchecked spending, numerous
business losses and bad business
deals, and budgets based on projected and unrealized revenues?
At no time was the question
answered, "What is going to be
done to clean up diis mess and
hold those responsible accountable?" The Secretary Treasurer
mid Chainnan would not explain
at diat meeting how homes as
well as basements were completed all over the reservation
widiout funding or audiorization.
What was clear was Chainnan
White was not willing to stop the
100 Homes Project or open up the
100 Homes Project housing list.
What was consistent is dieir belief
that we should borrow 7.5 million
dollars to build homes for 100
people with demonstrated good
incomes mid then subsidize with
gaming dollars, at $53,000.00 a
month for 15+ years, house payments were listed at $275 per mo.
(Business Corporation project
breakdown). Payment rates stated
at various meetings since then
have been as low as $200 per
mo.  When asked if diis gaming
subsidy was basically a per capita
for the people getting the 100
homes? Chairman White said, "if
you want to call it per caps let's
utilize die tenn per caps, because
people are utilizing Uibal referral
and constituent senices as per
caps." There was no answer to
die question of whedier diis was
even legal under National Indimi
Gmning Regulations.
Chainnan Peter White, at die
Quarterly Meeting of January 2,
2004, charged die District Representatives widi responsibility for
insuring die proper conduct of our
businesses mid business operations at the LLBO Business Corporation office. Chairman White
acknowledged diat die Business
Corporation was a mess with various questionable business deals
mid the Shingobee Marina Casino
and 100 Homes Projects proceeding without audiorization or funding. The White Oak expansion it
should be noted diat project was
also started widiout authorizations
in place. It was said it was a budgeted capital expense but funding
for die expense was listed on die
Business Corporation project
breakdown sheet, that funding is
still part of die $14, million 650
diousand dollar loan package diat
LIES to page 4
web page: www.press-on.net
Illative ,*m-m
American
Press
We Support Equal Opportunity For All People
A weekly publication.  Copyright, Native American Press, 2004
Founded in 1988
Volume 16 Issue 32
January 30, 2004
Rep. John McCoy, D-Tulalip, center, chats with tribal lobbyist Randy Scott, left, and Denny Hur-
tato, right, the director of Indian Education for the state, before testifing Monday, Jan. 26, 2004,
before the House Education Committee in Olympia, Wash. McCoy, the only Native American member of the Legislature, is sponsor of a bill that would require school districts to develop and teach
a tribal history and culture curriculum. (AP Photo/Louie Balukoff) See story on page 7.
Wisconsin Supreme Court hears gambling lawsuits
li\ JciuiN Price
Associated'Press
MADISON, Wis. -Attor-
nej s for die governor urged
the state Supreme Court Tuesday to reject two lawsuits over
American Indian gaming, one
seeking to overturn his authority to sign compacts with
Uibes and the other asking for
mi end to casino gambling in
Wisconsin altogether.
The eases pit Republican
lawmakers and Kenosha's
Dairyland Greyhound Park
against Democratic Gov. Jim
Doyle and the multimillion-
dollar gaming industry that
provides revenue for both the
state budget ;uid the tribes.
" Dairyland's goal in this
action is nothing less dian die
immediate destruction of one
of die state's largest industries," said Assistant Attorney
(ieneral John Greene, who argued for Doyle in bodi cases.
Both lawsuits accuse the
governor of illegally substituting his own discretion for
state policy by signing mi
Mille Lacs to
release older
casino audits
Associated Press
MINNEAPOLIS-The'
Mille Lacs Band of Ojibwe
has withdrawn from a lawsuit to keep some casino
data from public view and
has agreed to release old
audits of its gaming operations.
However, die ccntt'al
Minnesota band refuses to ?
disclose more recent financial statements.
The Mille Lacs Band
sued in 2001 to prevent the
Minnesota Department of
Public Safety from releasing casino audits from the
early and mid-1990s on
claims the audits contain
trade secrets.
A Ramsey County district judge found die audits
to be trade secrets, but the
slate Court of Appeals reversed die rating last year
and sent the case back to
lower court for reconsideration.
The Prairie Island Indimi
Community remains a
plaintiff in die lawsuit.
Mille Lacs, which runs
Grand Casino Hinckley
mid Grand Casino Mille
AUDIT to page 5
agreement last year with the For
esi C ounu i 'olaw atomi allowing
die Uibe to offer new gmnes such
as craps mid roulette mid removing some restrictions on its casinos.
Doyle eventually reached
similar agreements with all of
die state's 11 tribes that operate
17 casinos in Wisconsin.
The racetrack filed its lawsuit
in 2001 trying to prevent the
compacts from being renewed,
arguing a 1993 amendment to
the stale constimtion outlaws casino gambling. The amendment
clarified that all types of gambling me prohibited in the state
except bingo, raffles, pari-mutuel
on-track betting mid the state-nm
lottery.
"I do believe 1993 changed
die ballgame," said Ronald Ra-
gatz, mi attorney for Dairyland.
Greene said that was not die
case.
"No one ever intended to
abolish tribal gaming," he said.
A Dmie County Circuit Court
judge ruled against die track earlier this year.
Track officials are pursuing
the suit, despite reaching a deal
earlier this month to sell the
facility for $40.5 million to the
N [enominee Nation to build a casino there. The tribe's plan needs
local, state mid federal approval.
The track's owners sued after a
previous deal to sell the track to
die tribe fell dirough in die late
1990s.
Douglas B.L. Endreson, an
attorney who argued on behalf
of Indimi tribes diat intervened
in the case, said the compacts
are supported by federal law that
established Indimi gaming rights
before die 1993 amendment was
passed.
He also said poverty and unemployment have dropped on
reservations iii Wisconsin since
die advent of casinos.
"Indimi gaming has enabled
uibes to attack diese problems,"
he said. " All of this progress, all
of these gains are at risk here."
The court also heard arguments from attorneys for Assembly Speaker John Gard,
COURT to page 3
Minnesota Poll: Most favor casino
to help state budget
Associated Press
MINNEAPOLIS - Six out of
10 Minnesotans favor opening   .
a casino in the Twin Cities area
to help balance die slate budget,
according to a Star Tribune Minnesota Poll.
About half of diose surveyed
strongly support die idea, the
poll published Tuesday showed.
Several casino proposals will
be heard next month when die
Legislature convenes. Under the
different plans, gambling money
from a metro-area casino would
go toward sports stadiums to
scholarships.
Republican leaders in die
House mid Senate have signaled a willingness to expmid
gambling, particularly a new
non-Indian casino in the metro
area, home to most of die state's
nearly $ 1 billion-a-year gambling market
But Gov. Tim Pawienty has
expressed concerns on moral
grounds about expanding gambling.
"Despite die poll results, I
think he is going to stand pretty
firm in not looking for gaming
to relieve any budget pressures,"
said Pawienty spokeswoman
Leslie Kupehella. "It is one of
principle. He's just not looking
for die state to go there."
The idea of using gambling for
state funding appears to have be
come more palatable in die past
year. In January 2003,52 percent
of poll respondents said expanding gambling would be an appropriate way to raise additional
state revenue to help balance die
budget.
Tribal governments with casino operations in Minnesota are
expected to put up a light against
expanded gambling, and conservative groups such as the Minnesota Taxpayers League mid die
Minnesota Family Council will
argue against any expansion as
socially destructive or a spur to
government growth, or both.
"We believe that gambling is
bad policy," said Tom Prichard,
president of the Minnesota Family Council. "It's insidious. Just
like the people involved in it, die
state becomes addicted to die
money."
Many of die poll respondents
appear to believe the time has
come to end die Indimi monopoly of die 18 casinos in Minnesota.
"It's frustrating because die
Indians are making a killing.
People always are going to
gamble. It makes sense for the
state to get (heir slime of it,"
said West St. Paul resident John
Weinberger, who is in sales.
Rosemount resident Paul Ol-
POLL to page 6