Well this just broke.
The Seneca Nation has announced that it will no longer be giving a percentage of their revenue to New York State.
According to the 2002 contract, the Senecas were given the ability to stop the revenue share after 2016.
To be honest, I don’t blame them for this move. It is a business, and businesses do not give away profits for the sake of giving away profits.
I do feel that this was not a spectacular contract agreement. I remember vaguely about reading this years ago.
The Seneca Nation does have non-sovereign taxable land in Niagara. There is a possibility of plugging the hole with taxes, but that probably won’t happen until the gaming contract ends in 2023.
The Seneca Nation has said that it will give back to the community, but it will most likely not reach the $20 million a year average.
UPDATE: Gov. Cuomo responded with a statement that the contract doesn’t allow the Senecas to stop payments, so this story isn’t nearly over.