For Good Cause Shown—Please Accept the Application From Cherokee Nation Businesses.
Dear Chairman Lieblong and Commissioners Lamberth, Rice, East, Post, Hunter, and Landers,
From at least as early as February 2018, the proposal that eventually became Arkansas Constitutional Amendment 100 included a provision where local officials would have a say on any casino applicant awarded a license in Pope and Jefferson Counties.
Local Pope County officials clearly desire that the application submitted by Cherokee Nation Businesses (CNB) be accepted by the Racing Commission under the “for just cause shown” provision of the Arkansas Casino Gaming Rules. This is demonstrated by the resolution of support passed by the Pope County Quorum Court last August, supporting letters later from the Pope County Judge and Dover Mayor, and more recently, letters from Pope County officials and the mayors of several Pope County cities asking that the Racing Commission accept CNB’s application for good cause shown.
The sentiment supporting Cherokee Nation Businesses is widely shared by Pope County residents favoring bringing a casino resort to the county. Many of us have had the opportunity to get to know CNB and, without exception that I know of, see them as a valued addition to the community.
After you accept CNB’s application for good cause shown, I am certain that you will find it far superior to what Gulfside Casino Partnership has submitted.
Cherokee Nation Businesses is the community partner that Pope County would be blessed to have. They have demonstrated that they want to be here. Before a license is issued and ground broken for the casino, CNB’s Legends Resort and Casino Arkansas has shown they are a good fit. Without fanfare, before the current pandemic, they were stepping up locally, participating in food drives, the county fair, the state fair, Russelville Fall Festival, and numerous other events and programs. As well,
- CNB has never walked away from a contract.
- CNB will—and has already done so—buy from local businesses where possible.
- CNB has never laid off an employee.
- Even with the casinos shuttered because of the COVID-19 pandemic, CNB casino employees continue to receive full pay and benefits.
While this letter is for the purpose of beseeching the Racing Commission to accept CNB’s casino application, it is important to note that Gulfside Casino Partnership does not have support from city officials, county officials, or residents in Pope County. Consideration of their application without considering the application submitted by CNB would be a violation of the spirit of the local option intent of Amendment 100.
Gulfside’s sole claims for local Pope County support are two letters provided by lame-duck officials in the waning days of their tenure as county judge and Russellville mayor.
The letter from Judge Jim Ed Gibson is tenuous support, at best. In it, Gibson writes, “If a license is issued for a casino in Pope County Arkansas I give my support for Gulfside Casino Partnership.”
That’s the entire content of the letter.
Judge Gibson, in fact, denied in a 2018 River Valley Now (RVN) interview that he intended for the letter to be the support letter required by Amendment 100.
December 31, 2018
RVN: There has been some debate as to the intent of the letter. Was it intended to be THE letter of support that was asked for?
Gibson: No. The letter I sent was 1 sentence long. And that’s why we put “IF a casino license is granted” in the letter.
RVN: I think that’s why there was some debate about it, because people have said, well he’s saying “if”, so it’s not the letter that’s needed. So, I just wanted to get your perspective on what the intent was. So, it wasn’t necessarily meant as THE letter of support?
Gibson: No, it wasn’t.
RVN: Why go against the ordinance?
Gibson: Well, I’ve been told that the ordinance is not binding. And this is a multi-million dollar investment that’s going to be made in the county & we want to make sure that the right people are in place.
RVN: So, what was the main factor in offering the support with a letter “if” a license is awarded? What made you disregard the ordinance? Did you think it just wasn’t binding?
Gibson: Well, I wanted to be proactive & I’ve been told that this ordinance is not binding.
For Good Cause Shown
Gulfside Casino Partnership’s attorneys maintain that CNB could have obtained support documents from local officials prior to the end of the May 2019 application period. They are wrong. Local officials who took office at the beginning of the year chose not to supply support documents because of provisions in state and local laws and rules that have been since been ruled unconstitutional in two Arkansas circuit court rulings.
In my view, the following demonstrates a case for good cause shown for acceptance of CNB’s application:
- Because the casino gaming rules and state law required a letter or resolution from current officials, Judge Ben Cross and the Pope County Quorum Court had no motivation to provide support documents for a more favored applicant, since, by a plain reading of those rules and law, the letter from Judge Gibson was invalid.
- Had the casino gaming rules and state law not required a letter or resolution from current officials, Pope County officials would have had more urgency to take the opportunity to provide support documents for a more favored applicant, which probably would have been CNB.
- With the Racing Commission’s constitutional mandate to award a Pope County casino license unfulfilled, there was “good cause shown” when the Commission was presented in August 2019 with a valid resolution of support by the Pope County Quorum Court for Cherokee Nations Businesses. The Commission’s subsequent acceptance of CNB’s application was legal per Rule 2.13.4(b):
- “Applications for a casino license will be accepted by the Commission for a period of thirty (30) days, beginning on the date established by the Commission and published as a legal notice by the Commission. No application will be accepted after the thirty (30) day period, except for good cause shown.”
- On August 15, Scott Richardson, attorney for Cherokee Nation Businesses (CNB) and Legends Resort & Casino, in a letter that accompanied their August license application, made a good case for accepting that application for good cause shown, writing:
- In order to comply with Rule 2.13.4(b), and to avoid any confusion in the future, CNB requests that the Racing Commission officially accept CNB’s application “for good cause shown.” We respectfully suggest that good cause is demonstrated by the fact that in the initial thirty-day window no applications were submitted with a letter or resolution of support from the Pope County Judge or Quorum Court holding office at the time of the application as required by Amendment 100, Ark. Code Ann. § 23-117-101, and Arkansas Racing Commission Rule 2.13.5.(b). This application now comes to you with that resolution.
Cherokee Nation Businesses is proving to be a good community partner. They have demonstrated that they want to be here. Before a license is issued and ground broken for the casino, CNB’s Legends Resort and Casino Arkansas has shown they are a good fit. Without fan fanfare, they are stepping up, participating in food drives, the county fair, the state fair, Russelville Fall Festival, and numerous other events and programs.
Thank you for your consideration in this matter. The people of Pope County did not ask to be placed in this situation. It is important that we are considered in the resolution of which casino operator gets the license.
Michael Goad
Pope County, Arkansas