It is host to over 500 Native American casinos throughout the United States, generating over $200 billion every year to the tribal nations. Tribal casinos employ over 70,000 employees, and the number of tribal enterprises connected to gambling exceeds two thousand easily. But why did the boom of tribal casinos happen overnight? And how did the Native Americans come to be the dominant player in the U.S. gaming industry?
For those readers who want to compare current tribal gaming experiences to commercial ones, Bally casino reviews can offer insight into how Native-run establishments match up with their counterparts in quality and fun.
The Rise of Native American Gaming: From Unregulated Halls to Government Oversight
We discussed in a previous article how the beginning of Native American casino gaming began when the Seminole tribe opened bingo games. It was just the beginning of a long and life-changing journey.
The opening of the Seminole bingo hall was revolutionary, and revenues were enormous. It set a trend with other tribes following and opening their own bingo halls, lotteries, and private casinos. Native American reservations enjoyed a large amount of autonomy under United States federal law then, which allowed them to set up gaming centers in reservations with the consent of the state. The states agreed because they received between 10% and 25% of tribal gaming revenues.
The tribal gaming business grew at a very rapid rate. Soon, however, the government authorities began to question the extent of this freedom. States feared that the growing tribal casinos would enjoy an unfair advantage over the other casinos. There were also growing concerns about the potential connections between tribal casinos and organized crime.
To create greater control over tribal gaming, the U.S. Congress passed the Indian Gaming Regulatory Act. The act allowed the tribes to maintain sovereignty in the development of gaming enterprises, and compacts between the states and the tribes were still necessary. However, the federal government had greater ability to control Native American gambling.
Tribal gambling was separated into three classes under the act:
- Class I: Tribal traditional games and small prize games.
- Class II: Bingo, poker, and other player-vs-player games.
- Class III: Casino games, slot machines, blackjack, craps, roulette, etc.
The tribes continue to regulate Class I games themselves. Class II games are also self-regulated, provided they are permitted by state law. Such games are illegal in Hawaii and Utah at present. In the case of Class III gaming, the tribes must negotiate a compact with the state, which must be approved by the Secretary of the Interior.
Though increased federal regulation bit into the industry's growth somewhat, it did not result in a major rollback. The majority of the tribes adapted to the new regulation and went on to reap astronomical profits. The total revenue of the Native American gambling establishments increased exponentially in the subsequent years.
The Tribal Casinos' Size Today is Staggering
Let's get real—when we hear "Native American casino," many people imagine a small, tacky operation on the outskirts of town with some slots and poker tables. But that notion couldn't be more outdated.
Tribal casinos today are huge entertainment complexes that rival—and in some cases, even surpass—those in Las Vegas or Macau.
Here are just some of the biggest Native American gaming facilities:
- Pechanga Resort and Casino, Temecula, California, contains over 3,000 slot machines and over 19,000 square meters of gaming space.
- WinStar World Casino, Thackerville, Oklahoma, is the third-largest casino in North America with over 46,000 square meters of gaming space.
- Foxwoods Resort Casino, Ledyard, Connecticut, contains over 7,000 slots and nearly 400 table games on a total floor area of over 29,000 square meters. It generated more revenue in its first year than any Las Vegas or Atlantic City casino then in existence.
- Coeur d'Alene Casino in Idaho, for example, is a massive complex including the Circling Raven Golf Club, two hotels, and over 100 square meters of casino and restaurant space.
The majority of the large-scale complexes have been developed within the late 20th and early 21st centuries, and ambitious projects are being continued nowadays.
Native Gambling and Ethnic Identity: A Challenge or a Solution?
The growth of the tribal gaming industry remains contentious. Critics of the industry argue that Native Americans are losing their heritage, as a large number of them are migrating out of the reservations for good. In the long term, this could lead to the complete loss of traditional Native American culture.
But a majority of Native Americans and tribal gaming activists believe that gaming is precisely what enables reservations to be kept and cultural heritage to be preserved. Without the money, the cultural traditions could not be preserved.