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Tribe, Tama County residents ponder long-term effects of Meskwaki dispute

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TAMA -- Jerry Young Bear is in the middle of a political struggle he didn't ask for.

But if the feud continues, it could take a big bite out of his monthly income and squelch his dreams of starting a horse farm.

Young Bear is a Meskwaki tribal member and one of many reaping the benefits of a casino built 10 years ago near Tama.

That casino is now in danger of being closed, which would halt the flow of $3 million a week in gambling revenues that support the tribe specifically and surrounding communities in general. A political tug-of-war over the last seven weeks has been playing out in state and federal courts and has divided the tribe's 1,293 members.

Trouble began last fall when some tribal members grew suspicious of the council elected in 1999 and filed recall petitions. The council dismissed them out of hand and no election was scheduled.

The tension grew until March 26, when the tribe's hereditary chief, Charles Old Bear, stepped in and appointed a new council. That group took control of tribal offices, assuming control of the tribe's day-to-day business.

Since then, there have been court filings over the tribe's bank accounts, failed negotiations with a federal mediator and a finding from federal regulators that the casino is in violation of gaming laws.

On Monday, the National Indian Gaming Commission ordered the immediate closure of the casino. Tribal leaders ignored the order, filing an appeal in federal court, and the gambling goes on.

Like many Meskwaki, Young Bear says he has come to count on the $2,000 monthly royalty check to make ends meet, raise his two daughters and develop his fledgling horse farm.

"I'm neutral in this whole thing … but I do have reasons to be worried about what's going on," Young Bear, 36, said after the latest court hearing this week. "I'm trying to do something to better myself with this money. A lot of people I know are.

"But this is a case where people have been given a lot of money and are getting selfish and distrusting all of a sudden," he said.

Tribal members had a long list of complaints against chairman Alex Walker Jr. and the rest of the council when recall petitions were filed seeking a new election.

Walker claimed some of the signatures were forged or coerced, dismissing the petitions even though a tribal lawyer had validated the documents.

The petitioners could have appealed to the U.S. Bureau of Indian Affairs. But by spring, tribal members fed up with the elected council turned to Chief Old Bear, a common remedy before the tribe adopted a constitution in 1937.

Old Bear named Homer Bear Jr., no relation, to be the new chairman and appointed six other council members. The new group and about 60 supporters then simply seized control.

Last month, the elected council asked a federal judge to intervene and return power to elected leaders. But U.S. District Judge Linda Reade dismissed the lawsuit, saying the federal government had no jurisdiction over the tribe or its internal power struggle.

Attorneys for the appointed council countered this week, asking a state judge to freeze $160 million in tribal assets held by Wells Fargo Bank. A ruling is pending.

But the appointed council has had trouble persuading federal officials that its grip on power is legitimate.

Last month, the Bureau of Indian Affairs said in a letter that the Walker-led council is the tribe's recognized governing body.

That pronouncement was the basis for the Indian Gaming Commission's ruling that the Meskwaki casino is afoul of federal gaming laws as long as the appointed council is in charge.

Bear and his council, though, say they do not intend to shut down.

"We're doing everything we can to prevent its closure," said Larry Lasley, the tribe's executive director. "As far as what the future holds, we're exploring and exercising all our legal remedies."

On Wednesday, the appointed council sued the gaming commission in federal court, asking a stay of the closure order. A hearing is scheduled Monday in Cedar Rapids.

Richard Schiff, spokesman for the gaming commission, said closure orders are rare. Only a handful have been issued since the commission started in 1993, most for violations of state gaming compacts.

Others were resolved without enforcement action, but the commission has the power to issue fines and could seek a court order authorizing U.S. marshals to shut the casino down.

"Typically, an order from the commission chairman has been enough," Schiff said Thursday.

The Meskwaki Bingo-Casino-Hotel, with more than 1,300 workers, is the biggest employer in Tama County. Open 24 hours a day and seven days a week, it is also one of the region's biggest economic engines, drawing an estimated 4,100 gamblers per day and about 5,000 busloads each year.

"The impact of a closure would be devastating," said Charlotte Upah, spokeswoman for the Tama-Toledo Area Chamber of Commerce. The casino's opening 10 years ago led to two new hotels in the two towns, which straddle U.S. Highway 30 and are home to 5,270 people, and bolstered struggling restaurants and downtown shops.

Business owners, townspeople and those who work for the tribe are concerned about the dispute, she said.

About 840 Meskwaki tribal members live on the 7,000-acre settlement along the Iowa River west of Tama. With gambling revenues, the tribe has expanded its land holdings and built 300 news homes. Another 50 are planned this year alone. The money also paid for a new medical clinic and helps supports the tribal schools.

"It would be hard if there was a shutdown," said tribal member Kirby Jacque. "People would be scrambling."

Timeline shows current event related to Meskwaki dispute

Some key dates in the ongoing political power struggle that could force the shutdown of the Meskwaki casino.

-- Fall 2002: The elected council and its chairman, Alex Walker Jr., ignore recall petitions filed by tribal members who have grown suspicious of the council's leadership.

-- March 26: A power struggle begins when a new council hand-picked by the tribe's hereditary chief takes control of tribal offices, government operations and the casino. The appointed council, led by Homer Bear Jr., occupies offices around the clock and begins running day-to-day tribal and casino business.

-- March 29: Wells Fargo Bank, the tribe's main bank for 10 years, freezes tribal assets estimated at about $160 million.

-- April 1: The U.S. Bureau of Indian Affairs writes Rep. Leonard Boswell, D-Iowa, a letter stating the elected council is the tribe's legitimate governing body.

-- April 8: Lawyers for the elected council ask a federal judge to intervene and settle the leadership dispute. The judge says the federal government lacks jurisdiction and dismisses the lawsuit.

-- April 21: The National Indian Gaming Commission threatens to fine the tribe or close the casino if the elected council is not restored to power. The two sides begin negotiations that include new elections and a power-sharing arrangement.

-- April 30: The National Indian Gaming Commission issues a letter stating the casino is in violation of federal tribal gaming rules as long as the appointed council remains in power. The agency says the tribe has until May 2 at 5 p.m. to put the elected council back in control or face sanctions.

-- May 6: State officials get involved by sending a letter stating the tribe has until June 5 to put the elected council back in charge or face termination of its state gaming compact.

-- May 12: An attorney for the appointed council files a lawsuit in state court asking for a restraining order on tribal assets held by a Wells Fargo bank branch.

-- May 13: The National Indian Gaming Commission issues a closure order, effective immediately. Casino remains open and the appointed council remains in control.

-- May 14: Appointed council files lawsuit in U.S. District Court asking for a restraining order on the closure order. A hearing is planned for Monday.

Facts and figures about the Meskwaki tribe

Facts and figures about the Meskwaki tribe and its casino and hotel operation.

WHO: The Meskwaki, meaning "red earth people," are officially known as the Sac and Fox Tribe of the Mississippi in Iowa. The Meskwaki are the only federally recognized tribe based in Iowa. The tribe has 1,293 registered members, living mostly in Iowa.

WHERE: The 7,000-acre tribal settlement and casino are located in Tama.

CASINO: The Meskwaki casino collects about $3 million per week, making it one of the busiest casinos in the state. It is open 24 hours a day, seven days a week and employs about 1,300 workers. The casino caters to an estimated 4,100 gamblers per day. It offers slots, tabletop craps, roulette, poker, bingo, keno and a race book.

BENEFITS: Casino profits have been used in the past 10 years to build new homes for tribe members living on the settlement, to fund education and provide low-cost health care at the tribal-run clinic. Each member also receives a monthly per capita payment estimated at about $2,000.

HISTORY: Tribes under the Sac and Fox Confederacy were ordered to a reservation in Kansas in 1845, but some of the Meskwaki refused to leave. In the early 1850s, residents of eastern Iowa petitioned the Legislature for permission to allow the Meskwaki to stay in Iowa. In 1856, the Legislature enacted a law allowing them to stay.

The tribe purchased 80 acres along the Iowa River in 1857, placing the land in trust with the Iowa governor. In 1896, the state ceded to the federal government all jurisdictions over the tribe.

The Meskwaki adopted a constitution that set up a council form of government in 1937.

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