There is confusion in New York over whether the Seneca Nation has agreed to a new gaming compact with the state. The tribe says a deal has been reached, while Governor Kathy Hochul says there is no agreement in place.
Seneca Nation President J. Conrad Seneca said the two sides negotiated an agreement in principle that, for now, contains no revenue-sharing provision with New York State. He said the Nation expects the agreement to be finalised and sent to the state Legislature sometime in the spring, which he described as the path the state and the governor chose.
Governor's office denies an agreement is in place
The governor's office pushed back, saying no agreement exists and that any public announcement of the terms is premature. A spokesperson said state officials have been in productive talks with the Seneca Nation on a compact that would be fair to all parties, and that conversations with stakeholders are still ongoing. Further details, the spokesperson said, will be shared as the negotiations warrant.
Revenue sharing is at the centre of the dispute
The Seneca Nation also said the two sides could not agree on fair terms for revenue sharing. According to comments reported by WXXI News, President Seneca said the Nation was willing to discuss a fair revenue share as part of a new compact, but that New York was unwilling to offer market protections or chances to grow and earn more for the Nation and the local community.
He accused Governor Hochul of simply trying to keep taking advantage of the Nation and collecting money the state is not entitled to.
State Senator Rob Ortt said that without agreement on revenue sharing and exclusivity, there is essentially no agreement in place. In his view, exclusivity and a payment were the whole point of the compact, so with neither on the table, it sounds like a deal that is not going to happen. He also criticised the lack of information and the conflicting reports.
Past tensions resurface
The tribe and Hochul have clashed before. In an earlier episode, the governor's office froze the Nation's bank accounts as part of a legal move to force payment of casino revenue.
The tribe eventually agreed to pay about $564 million in 2022 after a five-year legal battle. Under the tribal compact signed in 2002, the Nation agreed to share casino revenue with state and local governments during the second half of a 14-year agreement.
Hochul's office argued that the deal contained a clause renewing it automatically. The tribe said it did not have to share revenue during the renewal period, and it stopped payments in 2017, which led the state to sue.
Hochul has said the money was needed to fund development of the Buffalo Bills stadium. Her view is that the money was generated in Western New York, and that she would put it directly toward the state's $600 million share of the stadium.
Niagara Falls mayor left in the dark
The tribe runs three casinos, in Buffalo, Niagara Falls and Salamanca. Niagara Falls Mayor Robert Restaino said he does not know whether an agreement has been reached. He said he is concerned about the accuracy of what has been reported and has not been told that a deal exists.
The mayor has to draw up the city's budget for November, and he said Niagara Falls would lose between $11 million and $13 million if there is no revenue sharing from Seneca Niagara Resort & Casino.
President Seneca said he wanted to send revenue directly to Niagara Falls and the other host cities, but that Hochul rejected the idea. He said the Nation pushed throughout the long talks to protect Buffalo, Niagara Falls and Salamanca so that funding would keep reaching them under a new agreement, and that the state told the Nation this was none of its business.
The Nation is also in a separate fight in Buffalo over plans to develop a gas station. Seneca said it comes down to the Nation's land and its ability to use that land as it sees fit for its people.
