Las Vegas Sun

April 27, 2024

Leadership struggle threatens tribe’s income

TAMA, Iowa -- Jerry Young Bear is in the middle of a political struggle he didn't ask for, but one that could take a big bite out of his monthly income and squelch his dreams of starting a horse farm.

Young Bear is a Meskwaki tribal member, reaping the benefits of a casino built 10 years ago.

That casino is now in danger of being closed -- halting the flow of $3 million a week in gambling revenue that supports the tribe -- because of a political tug-of-war that, over the last seven weeks, has been playing out in state and federal courts and has divided the tribe's 1,293 members.

Trouble began last fall when some tribal members grew suspicious of the council elected in 1999 and filed recall petitions. The council dismissed them out of hand and no election was scheduled.

The tension grew until March 26, when the tribe's hereditary chief, Charles Old Bear, stepped in and appointed a new council, which took control of tribal offices, changing the locks and assuming control of the tribe's day-to-day business.

Since then, there have been court filings over the tribe's bank accounts, failed negotiations with a federal mediator and a finding from federal regulators that the casino is in violation of gaming laws.

On Monday, the National Indian Gaming Commission ordered the immediate closure of the casino.

Tribal leaders ignored the order, filing an appeal in federal court, and the gambling goes on.

Like many Meskwaki, officially known as the Sac & Fox of the Mississippi, Young Bear says he has come to count on the $2,000 monthly gambling royalty check to help make ends meet, raise his two daughters and develop his fledgling horse farm.

"I'm neutral in this whole thing ... but I do have reasons to be worried about what's going on," Young Bear, 36, said after the latest court hearing this week. "I'm trying to do something to better myself with this money. A lot of people I know are.

"But this is a case where people have been given a lot of money and are getting selfish and distrusting all of a sudden," he said.

Tribal members with a long list of complaints against chairman Alex Walker Jr. and the rest of the council filed recall petitions last fall seeking a new election.

Walker claimed some of the signatures were forged or coerced, dismissing the petitions even through the tribal lawyer had validated them.

The petitioners could have appealed to the Bureau of Indian Affairs. But by spring, tribal members fed up with the elected council turned to Chief Old Bear, a common remedy before the tribe adopted a constitution in 1937.

Old Bear named Homer Bear Jr., no relation, to be the new chairman and appointed six other council members. They and about 60 supporters simply seized control on March 26.

Last month, the elected council asked a federal judge to intervene and return power to elected leaders. But U.S. District Judge Linda Reade dismissed the lawsuit, saying the federal government had no jurisdiction over the tribe or its internal power struggle.

Attorneys for the appointed council countered this week, asking a state judge to freeze $160 million in tribal assets held by Wells Fargo bank. A ruling is pending.

But the appointed council has had trouble persuading federal officials that its grip on power is legitimate.

Last month, the Bureau of Indian Affairs said in a letter that the Walker-led council is the tribe's recognized governing body.

That pronouncement was the basis for the Indian Gaming Commission's ruling that the Meskwaki casino is afoul of federal gaming laws as long as the appointed council is in charge.

Bear and his council say they do not intend to shut down.

"We're doing everything we can to prevent its closure," said Larry Lasley, the tribe's executive director. "As far as what the future holds, we're exploring and exercising all our legal remedies."

On Wednesday, the appointed council sued the gaming commission in federal court, asking a stay of the closure order. A hearing is scheduled Monday in Cedar Rapids.

Richard Schiff, spokesman for the gaming commission, said closure orders are rare. Only a handful have been issued since the commission started in 1993, most for violations of state gaming compacts.

All the others were resolved without enforcement action, but the commission has the power to issue fines and could seek a court order authorizing U.S. marshals to shut a casino down.

"Typically, an order from the commission chairman has been enough," Schiff said Thursday.

The Meskwaki Bingo Casino Hotel, with more than 1,300 employees, is the biggest employer in Tama County. Open 24 hours a day and seven days a week, it is also one of the region's biggest economic engines, drawing an estimated 4,100 gamblers per day and about 5,000 busloads each year.

"The impact of a closure would be devastating," said

Charlotte Upah, spokeswoman for the Tama-Toledo Area Chamber of Commerce, said the casino's opening 10 years ago led to two new hotels in the two towns, which straddle U.S. Highway 30 and are home to 5,270 people, and bolstered once struggling restaurants and downtown shops.

Local business owners, townspeople and people who work for the tribe are concerned about the dispute, she said.

"The impact of a closure would be devastating," Upah said.

About 840 Meskwaki tribal members live on the 7,000-acre settlement along the Iowa River west of Tama. With gambling revenues, the tribe has expanded its land holdings and built 300 homes -- another 50 are planned this year. The money also paid for a new medical clinic and helps supports the tribal schools.

"It would be hard if there was a shutdown. People would be scrambling," said tribal member Kirby Jacque, who sides with the elected leaders.

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