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OBAMA PRESIDENCY
tremendous significance. Tahsuda says, “Tribal members have high However, Stevens disagrees, believing the freeze on tribal recognition
expectations. Obama should personally host a national meeting with tribal will change. “I think Obama will help grow jurisdictions,” he says.
leaders in Washington D.C. Bill Clinton held one summit during his eight NIGA Executive Director Mark Van Norman views Obama as a
years, earning good will. If Obama does something similar, tribes will cut welcome change. By breaking racial barriers, he envisions future Indian
him some slack.” political opportunities. Van Norman hopes for a greater focus on the
What about tribal recognition going forward? Citing Obama’s advocacy of West, incorporating veterans like former Democratic South Dakota
states’ rights, tribes will look for Obama’s support of their sovereignty. Soll Senator Tom Daschle, nominated for the Secretary of Health and Human
describes Obama as “troubled” with governors who fail to negotiate Services (HHS) and Democratic Arizona Governor Janet Napolitano,
compacts with tribes within their states. potential Secretary of Homeland Security.
The federal Bureau of Indian Affairs (BIA) has also flagged three key Obama has nominated Colorado Democratic Senator Ken Salazar for
issues: the crucial Secretary of the Interior position. Salazar has little
• A May 2005 letter bars the BIA from approving compacts for gaming experience with tribal issues. He does have environmental and natural
sites not yet held in trust – a key requirement. resources background, which may prove useful when dealing with
• A January 2008 “guidance memorandum”, which already has three legal environmental groups attempting to block casino construction.
challenges, increases difficulty for tribal acquisition of non-reservation lands.
• A recent regulation instructs the BIA how to determine if a site acquired What else will happen?
after 1988 can be used for a casino. Other political issues may again come under discussion. Online
Soll says, “Traditionally, Democratic administrations have been more Internet gaming has been banned throughout the Bush years. The most
favorable about land rights. The last four years were the most inactive. But, recent prohibition was the Unlawful Internet Gambling Enforcement Act
even with ancestral history and land rights, environmental concerns may (UIGEA). This legislation prohibits money transfers from financial
keep Obama’s administration from ‘rubber stamping’ tribal gaming deals.” institutions, including banks or casinos, to Internet gaming sites. Many
With multiple crises confronting the US, will Obama want to expend any online companies exited the US market following its 2006 enactment by
“political capital” towards tribal issues? Although Obama’s advisors on the Republican Congress.
tribal issues favor gaming, Whittier Law School Professor and In www.newcasinosonline.org, Ryan Blalock writes that Obama has
international gaming law expert I. Nelson Rose predicts stability. “Imposed never promised anything regarding regulating online gaming. However,
by Obama’s predecessor, I do not anticipate widespread repeal of those Obama does not believe that the Internet should be subject to many
restrictions that make it extremely difficult to get new off-reservation land rules and regulations. Legislators may see some movement over the next
for gaming,” he says. four years, and many hope that the proper regulations may appear.
An optimistic Catania says, “I think after the first year, once Obama
settles in and gets the economy on the road to recovery, they will
examine regulations to tax the I-Gaming industry.”
Commercial casino industry leadership within the AGA advocated a
Congressional study for Internet gambling in 2005. With a new
administration, interest could be renewed.
Rose asserts, “The Majority Leader of the US Senate is Harry Reid,
Democratic Senator from Nevada. Reid is obviously greatly influenced by
the AGA positions, and will not block a study.”
If anything happens, Fahrenkopf envisions legislation similar to that
previously sponsored by Democratic Congressman Barney Frank of
Massachusetts. Frank introduced a bill to legalize, regulate and tax
Internet gaming on a federal level. Fahrenkopf thinks that any Internet
gaming activity will fall within the parameters of Frank’s proposals.
Rose also concludes that Frank, who chairs the House Financial
Services Committee, will again push to undo the UIGEA. He will likely
battle Alabama Republication Congressman Spencer Bachus. An
outspoken opponent of Internet gambling, Bachus calls it harmful to
families and, specifically, teenagers.
With declining casino employment, development and revenue
statistics in virtually all US gaming jurisdictions, the American gaming
industry will struggle in 2009. Casino executives warned of tough times
at the November G2E convention in Las Vegas. The era of colossal multi-
billion-dollar gaming meccas has almost certainly ended.
Looking ahead, the gaming industry has no choice but to hold its
collective breath in anticipation. Corbo says, “Despite the accolades and
high expectations, Obama faces huge challenges that the world can only
hope he can handle. Many American casino companies have global
holdings, so whatever happens will impact US and international gaming.
They are proactively preparing themselves for any possible situation.
While we're cautiously optimistic, we are realistic. A new economic
world is taking shape. We have adjusted our business model to economic
changes, and will continue to do so as the situation evolves.”
Good luck to all.
38 FEBRUARY 2009
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