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Gaming, Native American

Gambling is a part of traditional culture for many North American tribes. Historically, tribes used games as a means of redistributing wealth and circulating possessions within a community. By the late 20th century, there was little wealth to redistribute because the nation's reservations were places of extraordinary poverty. As a result of the federal government's early Indian policies of removal and diminishment of tribal lands, as well as the subsequent development of federal Indian law, tribes had few means of economic development available to them on their reservations. Between one- and two-thirds of reservation Indians lived below the poverty level, and unemployment rates topped 80% in some areas. To survive, tribes have been forced, against the odds, to pursue some form of economic development. Indian gaming—that is, gaming conducted on tribal lands by federally recognized tribes—is the most successful reservation economic development strategy in more than a century and is perhaps the most controversial as well. This entry reviews the history of Indian gaming, the laws that attempt to regulate it, and related issues of business and politics.

Beginning with Bingo

Indian gaming is fundamentally different from most forms of gambling, from church bingo nights to the commercial casinos lining the Las Vegas Strip, because it is conducted by tribal governments as an exercise of their sovereign rights. Tribal sovereignty, a historically rooted doctrine recognizing tribes' inherent rights as independent nations preexisting the United States and its Constitution, is the primary legal and political foundation of federal Indian law and policy and, thus, Indian gaming. Native American tribes have a special status outside as well as within the American federal system, that is, under federal law defined and circumscribed by the historical development of the legal and political doctrine of tribal sovereignty. In essence, the modern legal doctrine means that the United States recognizes tribes as independent sovereign nations, and their location within the boundaries of a state does not subject them to the application of state law, yet they are subject to Congress's asserted plenary power and bound by the trust relationship between the federal government and tribes. Tribes, therefore, have a unique semi-sovereign status under federal law and, accordingly, may be regulated by Congress.

During the late 1970s and early 1980s, a few tribes, notably in California and Florida, opened high-stakes bingo palaces as a means of raising revenue when faced with the Reagan administration's policy of encouraging tribal self-sufficiency and economic development while cutting funding to Indian programs. The strategies available to tribes were limited: Reservation economies had been depressed for a century, in part because of the location and nature of the lands assigned to the tribes by the federal government. Bingo was an attractive option to tribal governments because startup costs were relatively low, bingo enterprises had a minimal impact on the environment, and the game had potential for high returns on the tribes' investment.

Bingo was legal in California and Florida, as it was in many states at the time, but state law stringently regulated the game through both civil and criminal penalties. Because federal Indian law generally precluded state regulation of tribes, tribal bingo operations frequently did not comply with state gambling laws. As their sole source of government revenue, two tribes—the Cabazon and Morongo Bands of Mission Indians—operated high-stakes bingo halls and a card club on their reservations in Riverside County, California. California law permitted charitable bingo games but restricted the amount of jackpots and the use of gaming profits. The tribes challenged the state's enforcement of its regulations on the tribes' reservations, and the case culminated in the U.S. Supreme Court's landmark 1987 decision in California v. Cabazon Band of Mission Indians.

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