COLUMBUS, MN – In the ongoing debate over sports betting in the Gopher State, one the biggest issue of contention has been who will operate the sports books in the state: Native casino operators, racetracks, or a combination thereof.
Every sports betting plan has died in the legislature with many Democrat/Farm/Labor (DFL) legislators favoring a tribal exclusivity approach while many Republican lawmakers have been working to make sure that the racetracks are involved in the process. A last-minute compromise measure never made it to the floor at the end of the last legislative session. While all sides allegedly had come to agreement, there were not enough votes for the bill to pass so backers did not bring it up for a vote.
Running Aces Harness Park, under the direction of President and CEO Taro Ito, has led the charge against the attempted Native monopoly for sports betting. They have filed a RICO lawsuit against the Mille Lacs Band, Prairie Island Band and the Shakopee Mdewakanton Sioux Community for running card games and offering slots in, what the track contends, a violation of the 1988 Indian Gaming Regulatory Act (IGRA).
“They have a compact with the state to play video games of chance and blackjack, yet they play Pi Gow, Three Card Poker and Baccarat,” said Ito. “How are they the most regulated [Stephenson’s claim] when they have been playing illegal games for over 15 years?”
“Running Aces is exploring all possible actions, trying to find a way to slow things down so we don’t rush into bad decisions.”
“Senator Stephenson wants to give the tribes a monopoly on sports betting and they have no experience in that while we’ve taken tens of millions in sports betting for 40 years,” said Ito. “With every bet on a horse, you are making on a sports bet. It’s an out and out lie that the Native casinos have more experience in sports betting and if you say a lie long enough it becomes the truth.”
Earlier this year, Governor Tim Walz appointed two tribal leaders to openings on the Minnesota Racing Commission. One of the leaders is named in a lawsuit with Running Aces and now will be tasked with regulating the industry.
“They’ll see our financials, our strategic plans on how to compete against their casinos,” said Ito. “How can that be logical? How can it be right? It’s mind-boggling.”
Both appointees applied for the positions only hours before the deadline for applications and replaced very experienced horse people that were looking to serve another term on the Commission.
“They’re laughing at us. They orchestrated the appointments. Currently they have the power, but nothing lasts forever,” warned Ito. “We’re helpless. The game is not on the level. Still, we’re going to fight.
Running Aces has ratcheted up the pressure, taking out full-page newspaper ads trying to educate Minnesotans on the issue from their perspective.
“We have no issue with Tribal sovereignty,” said Ito. “We’re a business competing with Tribal casinos. They’re just another business. They should not have a competitive advantage over us. I wish that the public knew how much power the Tribal casinos have. They’d be getting an exclusive on the biggest expansion of gaming since the compacts.”
Is there a possible win/win/win scenario where the tracks, tribes and state can benefit? Now that Minnesota is surrounded by legal sports betting states and out of state casino parking lots are full of vehicles with Minnesota plates on football weekends, especially, there needs to be a way to keep folks at home and retain that revenue. That can only come through discussion and compromise.
“What needs to happen is that the stakeholders need to get together and come to a deal,” reasoned Ito. “We can all preserve what we have and a little more and we can all thrive while making sure the tracks and the smaller Tribes are taken care of.”
