Native American Gaming - History

History

Further information: Tribal sovereignty in the United States

In the early 1970s, Russell and Helen Bryan, a married Chippewa couple living in a mobile home on Indian lands in northern Minnesota, received a property tax bill from the local county, Itasca County. The Bryans had never received a property tax bill from the county before. Unwilling to pay it, they took the tax notice to local legal aid attorneys at Leech Lake Legal Services, who brought suit to challenge the tax in the state courts. The Bryans lost their case in the state district court, and they lost again on appeal in a unanimous decision by the Minnesota Supreme Court. They then sought review in the United States Supreme Court. The Supreme Court granted review, and in a sweeping and unanimous decision authored by Justice Brennan, the Supreme Court held not only that states do not have authority to tax Indians on Indian reservations, but that they also lack the authority to regulate Indian activities by Indians on Indian reservations. As Gaming Law Professor Kevin K. Washburn has explained, the stage was now set for Indian gaming. Within a few years, enterprising Indians and tribes began to operate Indian bingo operations in numerous different locations around the United States.

Under the leadership of Howard Tommie, the Seminole Tribe of Florida built a large high-stakes bingo building on their reservation near Fort Lauderdale, Florida. The tribe planned for the bingo hall to be open six days a week, contrary to Florida state law which only allows two days a week for bingo halls to be open, as well as going over the maximum limit of $100 jackpots. The law was enacted from the charity bingo limits set by Catholic Churches. The sheriff of Broward County, where the Indian reservation lies, made arrests the minute the bingo hall opened, and the tribe sued the county (Seminole Tribe v. Butterworth), stating that Indian tribes have sovereignty rights that are protected by the federal government from interference by state government. A District court ruled in favor of the Indians, citing Chief Justice John Marshall in Worcester v. Georgia. Here began the legal war of Indian gaming with a win for the Seminoles.

Controversy arose when Indians began putting private casinos, bingo rooms, and lotteries on reservation lands and began setting gaming prizes which were above the maximum legal limit of the state. The Indians argued for sovereignty over their reservations to make them immune from state laws such as Public Law 280, which granted states to have criminal jurisdiction over Indian reservations. States were afraid that Indians would have a significant competitive advantage over other gambling establishments in the state which were regulated, which would thus generate a vast amount of income for tribes.

In the late 1970s and continuing into the next decade, the delicate question concerning the legality of tribal gaming and immunity from state law hovered over the Supreme Court. The Court addressed the potential gambling had for organized crime through the Organized Crime Control Act of 1970. A report by the Department of Justice presented to the Senate Select Committee on Indian Affairs on March 18, 1992 concluded that through several years of FBI investigation, that organized crime had failed to infiltrate Indian gaming and that there was no link between criminal activity in Indian gaming and organized crime