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The payment dispute centered around whether Kenwood Investments fulfilled the services outlined in a 2003 consulting agreement between the parties, which involved helping the tribe acquire land, open a casino and manage public relations surrounding the project. The legal battle didnt begin until 2014 after it became clear the tribe wasnt going to make payments based on gaming revenues outlined in the contract to Kenwood Investments because it contended the company hadnt fulfilled its promises. The arbitrators determined Kenwood Investments performance was inadequate. Both sides agreed Kenwood Investments was not involved in the major milestones of transferring the tribal land into trust, obtaining a gaming compact, or developing the casino, according to their decision. In 2002, the tribe had just gained recognition from the federal government and its constitution was approved by the Secretary of the Interior, according to public records. The tribe had no land, and its council sought out Kenwood Investments to help it find property in Sonoma or Marin counties that could be acquired for tribal lands for economic development, court documents show.
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(Photo by Angelo Merendino/Getty Images) A word about terminology: a commercial casino is a gambling establishment owned by a private company and licensed and regulated by a state. Tribal gaming operations are owned and regulated by the tribe, with oversight from the National Indian Gaming Commission. A racino is a portmanteau of racetrack and casino that is used for tracks that have added slot machines, although some have table games as well. In some states, slot machines are known as electronic gaming devices, and in others they are called video lottery terminals, but the gameplay is essentially the same. You may also hear about distributed gaming, which is slot machines in non-casino locations like bars, taverns, and truck stops. Last month, the American Gaming Association released a report detailing the scope of the national commercial casino industry, which is growing steadily. Last year, 20 of the 24 states with commercial casino gaming recorded revenue increases, with record revenue in 11 of them. The casinos found in states from Maine to Nevada directly employed over 361,000 employees who earned more than $17 billion in income and benefits. The states that host casinos were likely pleased with the $9.2 billion the gaming halls paid in direct taxes on casino win. This morning, the AGA released a follow-up report that details the impact of casino gaming throughout the United States, which estimates a $261 billion annual contribution to the national economy, supported nearly 1.8 million jobs (including those not directly working for casinos), and generated a total of $40.8 billion in taxes, including both direct gaming levies and payroll, sales, and business taxes.
For the original version including any supplementary images or video, visit https://www.forbes.com/sites/davidschwartz/2018/09/18/look-beyond-las-vegas-to-see-casino-gamings-large-local-impac/