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SUNSET BAY, N.Y. — The Casino Gaming Compact between the Seneca Nation of Indians and New York state has now been expired for more than a year.
But the two sides have been extending its terms quarterly as they negotiate toward a new deal. However, a state lawmaker who represents the region around part of the Seneca territory said its time for those extensions to end.
The Senecas have been putting 25% of their net slot machine profit, what has been about $100 million annually, in an escrow account to pay the state once a new compact is in place. State Sen. George Borrello, R-Sunset Bay, said it’s his understanding there have been no meaningful conversations between the sides in quite some time.
Borrello said with the current extension up at the end of March and the state budget due April 1, now is the perfect time to reach a deal to remove uncertainty about a state revenue source, take care of host municipalities that rely on revenue sharing, ensure thousands of Western New York jobs and treat Seneca citizens fairly.
He believes due to the changing landscape of gaming, the state will likely not receive as much money under a new agreement but said that is no reason to drag things out.
"At this point it’s my recommendation to the Seneca Nation to simply stop payments, to no longer agree to this extension. I think it’s the only way you’re going to bring the governor to the table in any kind of meaningful way to actually negotiate a good and fair compact," Borrello said.
He said if the state and Senecas are to find common ground by the end of March, they need to start having meaningful conversations right away. The state Legislature would have to approve any deal as would members of the Seneca Nation by a referendum vote before sending the compact to the federal government for final approval.
Spectrum News 1 reached out to new Seneca President J.C. Seneca, who was not available for comment Friday. However, he is on the record saying he doesn’t believe the tribe should pay New York anything unless the state can provide something of value in return.
It does not appear there is a line for the compact in the budget book the governor released earlier this week. The senator said is not surprising because it would put the state at a disadvantage in negotiations.
The governor’s office did not immediately respond to questions about either revenue projections or progress on the negotiations.
