Florida vs. Seminoles Long-Standing Blackjack Battle Likely to Get Ruling
Posted on: October 8, 2016, 10:00h.
Last updated on: October 12, 2016, 03:21h.
A federal judge in Tallahassee appears to be siding with the Seminole Tribe in their quest continue to offer “banked” card games at their seven Florida casinos.
The case, of course, is more than just a row over a bunch blackjack tables, it’s one that could shape the future of gambling in Florida and completely redefine the compact between the tribal operator and the state. It could also jeopardize the multiple millions of dollars Florida receives from the Seminoles each year in return for the right to operate its casinos.
The original compact between tribe and state, established in 2010, gave the Seminoles exclusivity on banked games like blackjack in Florida in return for $1 billion, spread over five years.
This agreement also gave the tribe a stranglehold on the slots market by prohibiting the expansion of slots gambling beyond that which already existed at a handful of parimutuel racetracks.
Breach of Contract
The compact expired on August 1 this year, opening the field for negotiations of a new compact. No agreement could be reached, but the Seminoles continued to offer blackjack on their premises, unlawfully, beyond the expiry of the compact, claims the state.
But the tribe says that the Florida Department of Business and Professional Regulation (FDBPR), which regulates gambling in the state, permitted parimutuel horse and dog tracks to offer card games and electronic blackjack machines in contravention of the original compact.
The Seminoles’ lawyers argue that, under the 2010 deal, the tribe would be allowed to keep blackjack for another 15 years if the state allowed another operator to have the same type of gambling.
Regulator Criticized
The regulator begs to differ, but the judge, it seems, doesn’t. Following a three-day trial that ended Wednesday, U.S. District Judge Robert Hinkle suggested that he intended to rule in favor of the Seminoles. He further surmised that FDBPR had failed to adequately address the fact that the tracks were indeed offering games on which the Seminoles held a monopoly, in violation of the 2010 compact. In fact, the regulator failed to address the situation at all until the Seminoles filed their lawsuit.
In March, the Florida legislature shot down a new compact proposal, the result of months of negotiations between the Seminoles and Governor Rick Scott, which would have allowed the tribe to offer craps and roulette at their casinos, as well as blackjack.
It would have been the biggest tribal rev-share agreement in the US, worth $3 billion to the state over seven years. Should the judge rule in favor of the Seminoles, the legislature may live to regret that decision.
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There are a number of issues that have to be settled between the Seminole Tribe and the State of Florida. There is also the issue of Greyhound tracks, that do little for State tourism or racing taxes, other than the slot machine taxes, that were reduced from 50% to 30%. Horse racing is another matter, still a viable tourism amenity, but needing financial support to compete with purses offered at tracks, that have slot machines. Tampa Bay Downs is the only FL track that doesn't benefit from slot revenues, and needs a subsidy, from the slot taxes collected in South Florida. One possible solution would be to let the dog tracks, stop live racing, but keep their OTB operations and poker; giving them a profitable real estate opportunity, in selling the un-needed track acreage. This would eliminate some of the slot competition of the Seminole casinos; and if the new compact includes the game of Craps and Roulette, it would make the Tribal casinos complete, and add to the tourism value of true destination casinos to Tampa, Hollywood and Coconut Creek. And it would enable the Tribe to build a new hotel in Tampa, and expand some of their other operations. There are many Americans who only play Craps, and in Europe and some South American countries, Roulette is the favorite game. The Disney Corporation is behind the "NO" campaign, but I expect it is a fear of Florida allowing destination casino/convention resorts; that a LV Sands, MGM, Wynn or Genting would build; competing for the profitable mid-week convention/trade show business, that so enhances Orlando resorts.
yes there are! I can not believe a judge is going to rule in favor of The Seminoles as stated "monopoly" which violates The United States Anti Trust Laws which include the Sherman Antitrust Act of 1890 and Clayton Antitrust Act of 1914!The damage was done in 2010 with this original compact that allowed this monopoly to be created in the first place. I am all for the Seminoles to be allowed to offer a casino with all games but believe it should be regulated by the state and to benefit the state but only if it is legal for other casinos to open and offer residents and tourist other options also regulated by the state and for the benefit of the state and the residents with more career opportunties. Why not allow it to be the existing paramutals? By all means the state of Florida which is known and thrives on the tourism industry should benefit from the best tourism business which is casinos!!!! If the judge rule in favor of Seminoles now he is giving them the state which will be devastating to the residents who will be forced to pay more taxes to make up for the cost of what the state lost. I question whether this judge knows all the history and all the laws and I would hate to be lead to think that he may be getting paid more for ruling in favor of the Seminoles. So let's appeal and take it back to the US Supreme Court like the case in 1996 Seminoles vs The State of Florida which the ruling was in favor of the state referenced by the 11th Amendment. How about we all just come to agreement and let other casinos open which will also allow Seminoles to operate their casinos and add craps and roulette too so everybody wins!
Wendy; I have long supported casino gaming for Florida, going back to the 1980's, years before the Seminoles signed a compact with Florida. There are still plenty of resort areas around the State that would not directly compete with the Seminoles; but they are in a part of the State that has historically been against gaming; conservative North/Central Florida. In fact, I have Florida roots, being born in Jacksonville and going to several years of schooling in Bradenton and Sarasota. The Legislature needs consensus, but doesn't want to risk loosing $ billions of revenue sharing with the Seminoles.
Thank you for responding.I am also a supporter of casino gaming in Florida. I pray for it!!! For the sake of the people who live and work there. I own a home in Seminole Florida but I am now working in North Carolina so I could return to my career as a dealer and a supervisor in table games. It is a GREAT career. I love and miss Florida every day!
I started in the casino industry in 1987 at Resorts International in Atlantic City NJ as a craps dealer. I moved to Florida in 1995. I was there and voted for propositon 8 which failed. I worked for Empress Cruise Lines for 8 years until they sold to Sun Cruz. I have lived allot of the history of gaming in Florida and I am working on writing an amazing book about it that keeps on getting more amazing as the battle continues for casinos in Florida!!! Casino Jack and the United States of Money was a good movie and I loved the documentary but I am sure mine will be much better.
daes daughter ??
tampa hard rock is the place to be