The Kalispel Tribe's proposed casino at Airway Heights has another obstacle: Spokane Raceway Park President Orville Moe.
Moe said the tribe needs to get Spokane Raceway Park's approval for the casino under a joint-venture agreement between the racetrack corporation and the tribe.
Tribal Planning Manager David Bonga said the tribe views the agreement as outdated and irrelevant.
"As far as the tribe is concerned, it is dissolved," Bonga said. "The final wrap-up, I guess you would say, hasn't been reached."
The joint-venture agreement was drawn up about four years ago, before a casino was planned. At that time, the parties envisioned a bingo hall and an automotive trade show building next to the track.
Spokane Raceway Park sold 40 acres to the joint-venture company, which transferred it to the Bureau of Indian Affairs. The BIA subsequently designated the land as part of the Kalispel Reservation, most of which is 60 miles away in Pend Oreille County.
Bonga said the tribe decided to pursue a casino after a more conservative Congress was elected in 1993 and federal funding began to dry up for the social service center the tribe also planned to build on the property.
"At that point," Moe said, "they just said, 'We don't need you,' but it takes a little bit more than that in the real world to dissolve a partnership."
While Moe declined to say what he wants to settle the matter, he said Spokane Raceway Park spent more than $1 million on surveys and other work to develop the property.
Bonga said Moe "has felt that he is entitled to 49 percent of anything that goes on the property," including casino revenues. That's the share spelled out in the joint-venture agreement.
Moe said federal law wouldn't allow his company to share in the casino profits, so "if they want to put Indian gaming in, then we need to work out something that's agreeable."
He suggested the transfer of the land to the BIA may be invalid if the agreement is thrown out. But Bonga said tribal and federal attorneys say the agreement imposes restrictions on use of the land and doesn't affect the transfer.
"I have no idea what would happen if we get into a legal argument over it," Moe said, "but I don't ever see it going that far."
He said he wouldn't rule out the possibility of reviving the original development plans if the casino falls through.
U.S. Secretary of the Interior Bruce Babbitt is reviewing the casino proposal. If he determines that it is in the tribe's best interest and would not harm neighbors, Washington Gov. Gary Locke would have to give his blessing before the tribe could begin negotiating a regulatory agreement with the state Gambling Commission.