Seminole Tribe and State of Florida Reach New Gambling Revenue-Sharing Agreement

Governor Rick Scott announced that a new agreement was reached between the state of Florida and the local Seminole Tribe. Under the revenue-sharing agreement, the existing deal of the parties is to be extended by May 2019, with the Indian tribe set to pay a total amount of $300 million to the state.

In addition, local voters are expected to make a decision on a proposed constitutional change on a November ballot. The amendment would provide them with the power to control the future of gambling expansion in Florida. On the other hand, a special legislative session to seek a new compact between the state and the tribe that was aimed at replacing the previous gambling agreement between them which was reached in 2010.

For the time being, the Seminole Tribe of Florida operates a number of casinos across the state, including the Coconut Creek Casino, as well as the Seminole Hard Rock Hotel and Casino in Hollywood.

Governor Scott revealed that the current commitment between the state and the tribe is to remain intact. He also reminded that the 2010 compact has resulted in payments of over $1.75 billion, which has immensely helped the state of Florida make certain investments.

Previous Compact Expiration and Legal Battle

One of the most controversial points of the 2010 compact between the tribe and the state is the provision under which the Seminole Tribe is given the exclusive right to offer casino card games. This gambling agreement, however, expired back in 2015, unleashing a fierce legal battle and fruitless attempts by local lawmakers to reach a new agreement.

For the time being, the state of Florida gets over $300 million on an annual basis for providing the Seminole Tribe with the exclusive right to offer card games and slot machines outside the Miami-Dade and Broward counties. However, the payments have been endangered by controversial “designated player games” which could be accessed by players at pari-mutuel facilities.

Then, a federal judge agreed with the tribe in the legal case whether the attractive designated-player games violated the exclusive rights of the Seminole Tribe which were given to them under the 2010 compact. The Indian tribal nation said it would continue making payments to the state of Florida, while local gambling regulatory authorities promised to impose stricter measures on the manner in which so-called designated player games are being conducted by card rooms on the territory of the state.

A temporary deal between the two parties was inked, but with it expiring at the end of March 2018 the payments were put in jeopardy. This urged a push for a new round of negotiations, since the state of Florida could not afford to lose payments received under the agreement with the Seminoles. The new agreement that has been sought would provide local Legislature with comfort that the Seminole Tribe would continue making the payments.

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Daniel Williams

Daniel Williams has started his writing career as a freelance author at a local paper media. After working there for a couple of years and writing on various topics, he found his interest for the gambling industry.
Daniel Williams
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