Tribe To Move Gaming Area To Resolve Land Dispute
St. Ignace Resort Opens June 15
By Karen Gould

Pictured from the lakeside, the new Kewadin Casino's hotel and restaurants opened Thursday, June 15. The complex is in St. Ignace on Mackinac Trail.

Asetback at the new $33 million Kewadin Shores Casino and Hotel in St. Ignace may be turned into an advantage by the Sault Ste. Marie Tribe of Chippewa Indians, following a ruling by the National Indian Gaming Commission (NIGC) Friday, June 9, that the land on which the new facility is built does not qualify for a casino. The opening of the resort remained on schedule for Thursday, June 15, but gaming will continue at the current casino until an addition can be built to the new facility which satisfies federal gaming rules.

The problem is that the new resort is built on land that is not adjacent to the reservation, so it cannot be used for casino gaming. Construction commenced in May 2004, and during a land review that fall, the NIGC advised against proceeding with the new facility until the land issue was resolved. Work progressed, however, as the tribe sought to reconcile the problem by getting the land properly designated. That was denied on Friday.

To maneuver around the land issue, the tribe simply will relocate the gaming area by adding onto the new structure, on land that meets the legal requirements for a gaming license. The new 25,650-square-foot gaming hall will accommodate more than 800 slot machines.

The space originally planned for the gaming area will become a 30,000-square-foot entertainment center, with entertainers already being booked for this summer.

The new resort which opened Thursday is 127,000 square feet and includes 81 hotel rooms on three floors, one side overlooking the water. A new Horseshoe Bay Restaurant will seat 225, the Campfire Deli seats 40, and the White Tail sports bar, with a winter sports theme, seats 80 people against an icicle mural and with a view of the water. The facility follows the tribe's casino development plan to create a Northern Exposure theme that features native culture, brick, rock, and wood.

With the addition of the new gaming area, the facility will reach 152,650 square feet.

By comparison, the current casino and 136-seat restaurant is 55,650 square feet.

The new casino complex on Mackinac Trail sits on a bluff overlooking Lake Huron and lies just north of the current casino, across a parking lot. Construction work and finishing crews continue working at the site and heavy equipment trucks are moving dirt and preparing the parking lot. Cleaning crews are readying hotel rooms for guests, and a deck on the water side of the complex is being finished.

Cory Wilson, communications director for the Sault Ste. Marie Tribe of Chippewa Indians, said tribal leaders have not firmed up the completion date of the expansion project, though he said the official grand opening, which was scheduled for late August or early September, remains on schedule and will include the opening of the new casino gaming floor.

Work on the new expansion will begin immediately, said Mr. Wilson. The addition plans only would be canceled if the tribe receives immediate approval by the NIGC for gaming at its current location.

The casino land use for the new facility was denied because not all tribal land can be used for gaming. At question is a parcel of land obtained by the tribe in 2000 and the U.S. Department of the Interior says it does not meet the legal requirements for a gaming license.

The Indian Gaming Regulatory Act (IGRA) allows gaming on Indian land acquired after October 17, 1988, if certain exceptions are met, however, the Department of the Interior determined that the parcel in question did not meet those exceptions. An exception would be if the parcel is within or contiguous to parcel is within or contiguous to the reservation boundaries of the tribe on October 17, 1988.

It is not.

The 2000 parcel abuts a parcel purchased in 1983 by the tribe. It was taken into trust under the Indian Reorganization Act (IRA), is not within the reservation and cannot be qualified as a reservation by the IGRA, which means the 2000 parcel is not contiguous to the reservation.

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. . Although this situation is discouraging, this may prove to be a blessing in disguise.

"We are now looking to further expand our gaming floor at the new facility, which will allow us to utilize the current available space to provide entertainment for our guests. The good news is this issue will not delay the soft opening of our new hotel, restaurant, lounge, and bar at our new site," said Mr. Payment.

With gaming in a separate structure from the hotel and restaurant, a shuttle service will be available.

"We are also adding to our current executive host staff, valet, and shuttle services in order to make the transition as smooth as possible for our guests and to ensure that our customers receive the utmost care and highest level of customer service during and after the transition of the gaming to the new facility," said Tony Goetz, chief operating officer at the casino.

More than 80 employees have been hired to work at the new property, bringing the total workforce at the Kewadin Shores to more than 375 people.

"Anytime we can bring this number of jobs to an area, it's a

good thing for the entire community," said Fred Paquin, Unit 3 Tribal Board Representative from St. Ignace.

St. Ignace City Manager Eric Dodson agreed.

"The casino and the whole tribal organization have been

very good to the city itself. We are very excited about the new casino," said Mr. Dodson in a release provided by the casino. "It will bring new visitors to the area, and bring new life to our troubled economy."