Mohawks ponder action on rejection of new casino

HOGANSBURG — After a tribal referendum, the St. Regis Mohawk tribe's dream of opening an off-reservation casino may be dead in the water.

With last weekend's vote of 178-140 against pursuing an opportunity to build a casino in the Catskills, the tribe is staying mum on what its next move will be until next week, when the results will be certified after an opportunity for residents to appeal.

"Any comments until the appeal process ends are speculative so I am very reluctant to respond," said Chief James W. Ransom in an e-mail. "Once the appeal process ends, Council will evaluate its options in regards to the Catskills project."

The tribe has been pursuing a chance to build a casino at the Monticello Casino and Raceway in Sullivan County for about a decade, but a change in policy under the Bush administration put a halt to building off-reservation gaming facilities.

When President Obama took office, the tribe asked his administration to overturn the Kempthorne policy, named after Mr. Bush's secretary of the Interior, Dirk Kempthorne, who promulgated the decision. The policy is currently under review and a decision is expected in the near future, according to the Associated Press.

Had the referendum results been favorable, the tribe's next step "would have been the reversal" of the policy, according to a tribal press release.

Although the referendum did not pass, voter turnout was low and not all tribal members are pleased about it.

"Who in their right minds wouldn't (vote for it)? Turn down potentially a billion dollars a year?" said Stewart E. White, a voter from Hogansburg. "They've got to overturn that thing somehow. You can't have an important referendum in the middle of the winter. No one shows up."

Others, however, were pleased to hear that any money that would be sent down the Hudson to Sullivan County to develop and build a casino will stay in the community.

"I didn't vote, but I'm glad they turned it down," said tribe member Elaine B. Scott. "I think it should stay right here on the reservation."

After the results of the referendum were published earlier this week, stocks for Empire Resorts, which manages the Monticello facility, took a tumble. Before noon on Monday, stocks plummeted 15 percent to $2.56. By 12:30 p.m. Wednesday, the price had fallen further, to $2.30, according to Nasdaq.

"The company supports the St. Regis Mohawk people and respects their procedures," said Empire Resorts Vice President Charles A. Digliomini. "We're evaluating the impact of the referendum."

Mr. Digliomini would not say if the tribe has contacted Empire since the referendum results were released.

The tribe originally planned to build a $600 million two-story casino, complete with slot machines, poker and other table games, restaurants and retail space.