Cherokee Nation Discusses Casino Challenges and Strong Gaming Revenue
On August 28, members of the Cherokee Nation’s Executive and Finance committee gathered to address issues regarding federal contracting, notable gaming revenue, and a recent federal court decision affecting Cherokee Nation Businesses’ plans to develop the Legends Resort and Casino in Russellville, Arkansas.
CNB CEO Chuck Garrett announced that a federal judge ruled against CNB in its dispute over casino licensing, delivering the verdict just as he was heading to the meeting. “The judge’s order sided with the state of Arkansas on every count,” Garrett explained.
The lawsuit by Cherokee Nation Entertainment against the Arkansas Racing Commission concerning its plans for a casino in Pope County was dismissed by U.S. District Judge D. Price Marshall Jr. The judge ruled against CNE’s claims under the Contract Clause and Bill of Attainder clause without allowing for re-filing, while the remaining claims under the Takings Clause can still be appealed.
The ongoing saga surrounding the Arkansas casino has spanned seven years, involving various state and federal legal challenges. Initially awarded to Gulfside Casino Partnership of Mississippi, the Pope County license was later voided and handed to CNB and Legends Resort and Casino LLC. In 2023, the Arkansas Supreme Court nullified this license after contests from Gulfside and the Choctaw Nation.
Judge Marshall noted that Cherokee interests incurred significant expenses, including over $60 million on land, construction, and other casino-related expenses. He emphasized the “great expense” associated with public relations and service agreements. Local residents have previously attempted, unsuccessfully, to block any casino proposals in Pope County.
Garrett stated that despite the unfavorable ruling, the decision protects existing Cherokee Nation casino operations in Arkansas, potentially saving “tens of millions of dollars” by safeguarding against competition. He expressed confidence in pursuing an appeal with the federal Eighth Circuit Court of Appeals.
During the meeting, Garrett also reviewed the company’s federal contracting operations, mentioning the current “choppy” market and reported a strong month for gaming in July. He highlighted that CNB employs around 9,700 people, with a significant percentage of positions filled by Native Americans and Cherokee citizens.
In remarks about new council members, CN Treasurer Janees Taylor highlighted their importance in managing Cherokee Nation budgets, while Career Services Director Diane Kelley announced the resumption of background checks for the Job Corps program following a suspension. The program, catering to youth aged 16-24, is ready to welcome new students, with tours available soon.
The Executive and Finance committee plans to reconvene on September 25 at 3 p.m. at the W.W. Keeler Complex.
