The New Gambling Goliath
Christian activists struggle to slow the rapid growth of Indian casinos.
By John W. Kennedy | posted 8/01/2004 12:00AM
With the blessing of his 145-member Assemblies of God congregation in Barstow, California, pastor Charles Mattix III has become a community activist. He has lobbied in the nation's capital, spoken at city council meetings, encouraged residents to sign petitions, helped organize a community forum attended by more than 500 residents, and formed an ad-hoc responsible growth coalition. His cause? Mattix opposes a proposed casino to be operated by the Los Coyotes of the Cahuilla tribe.
Four years ago, California voters approved a constitutional amendment that gave tribes a monopoly on operating casinos in California, as long as they do so on tribal land. Now, Barstow is just one of 28 "off-reservation" casino proposals in the Golden State.
On June 21, Gov. Arnold Schwarzenegger signed a deal with five tribes that would allow unlimited slot machines—the current limit is 2,000 per tribe—for $1 billion and a share of future revenues. Foes say such an accord, yet to be ratified, combined with approval of more off-reservation casinos, would result in American Indian gambling inundating urban areas such as Los Angeles and San Francisco—making gambling a significant feature of California life.
Although the 272-member Los Coyotes already control 25,000 acres in rural mountains near San Diego, they consider the cacti, rocks, sand, and sagebrush on the edge of Barstow the perfect locale for a casino. Barstow, a city of 23,000, is on Interstate 15 in the Mojave Desert, roughly midway between Los Angeles and Las Vegas, a spot passed by 19.3 million vehicles annually.
"I fear that the casino will become the plantation and the city of Barstow its slaves," Mattix says. "Families would split, credit card debt would rise, crime would increase, and there would be more drug addiction."
Meanwhile, the Barstow Christian Ministerial Association, headed by Mattix, is trying to recruit candidates for two city council seats on the November ballot. More than 40 local pastors signed a letter to the city council outlining moral and social problems the casino would cause. Pastors gather for an hour each week to pray for the community—and for each other.
For decades churches have been fighting a losing battle against gambling interests. The latest front is Indian casinos, a rapidly growing national phenomenon that earns as much revenue as Atlantic City gambling. Despite the onslaught, some Christians, like those in Barstow, have refused to give up the struggle.
Placing Their Bets
Sixteen years ago, Congress passed the Indian Gaming Regulatory Act (IGRA), which regulates tribal gambling on reservations. Tribal casinos are big business. There are 369 tribal gambling operations in 29 states. California, with 56, has the most. Because casinos are on sovereign tribal land, they are exempt from federal, state, and local taxes. In 2001, a total of 200 tribal casinos grossed $12.7 billion of legal gambling's annual $30 billion in revenue, and tribes kept $5 billion as profit.
The United States has 601 federal- or state-recognized tribes, but another 200 want to reorganize, many because they want to cash in on the gambling windfall. Payoffs can make tribes with a few dozen members wealthy in a hurry.
Congress designed IGRA to alleviate poverty. But nearly 80 percent of American Indians receive no financial benefit from gambling revenues, according to U.S. Rep. Frank R. Wolf (R-Va.).
Wolf claims the process of officially recognizing legitimate tribes has become corrupted because of the money gambling investors have poured into helping defunct tribes gain legal standing. Guy C. Clark, chairman of the National Coalition Against Gambling Expansion (NCAGE), wrote to President Bush in January, charging that the Bureau of Indian Affairs is granting official recognition to American Indian groups with dubious historical claims.
August 2004, Vol. 48, No. 8