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Tribes Concerned Over Slots Change

The National Indian Gaming Commission had put forth a proposal last year that said new regulations could be passed for the definition of Class II slots. Class II slots are currently those that are similar to bingo and other such games, and does not include Vegas type slots. They are very similar in look and speed to Vegas slots but are different in play and pay outs.

However, the commission says that because Class II slots are now starting to look like Class III slots, the definition of these should be revamped. They say that it is almost impossible to tell the difference between them now – that technology has made the slots look indistinguishable to the lay person.

However, the new regulations could have some Class II slots now being classified as Class III slots, which would make it illegal for many tribes to operate them. If they are located in a state that does not allow slots, they would be forced to remove the offending machines from their businesses which could put many of them out of business and hence a source of income.

Some states allow a certain number of Class III and the rest can be Class II. However, as Class II are not as lucrative as Class III, if they fall under the new regulations and they are over their limit of allowed Class III machines they would have to lose the slots and the income that would come with them. The regulations would have serious financial repercussions for the tribes.

Back to January 2008 Archive.