NIGC Proposes Gaming Machine Revisions that Could Cost Tribes Millions

The National Indian Gaming Association (NIGA) has asked its members to contact the White House in response to the National Indian Gaming Commission’s (NIGC) proposed changes to the gaming machine section of the Minimum Internal Controls Standards. 

The changes would affect standards for “gaming associated” equipment such as accounting systems and player tracking systems.  The revisions would expand the NIGC’s authority over Tribal gaming in this area, including the required use of computer management systems that would cost $5 to 50 million to implement, according to the NIGA’s Regulatory Alert.

NIGA credits these revisions to NIGC Chairman, Phil Hogen, who has held his position for nearly five years past the end of his term.  NIGA has urged the President to appoint a new chairman of the NIGC and to ask Secretary Salazar to appoint a new commissioner. 

This week, Hogen responded, telling GamblingCompliance that the proposed regulation would not require tribes to buy expensive new accounting systems.  He explained that the rule would only require tribes to keep track of certain transactions, suggesting they could do so without having to implement computer management systems.  Hogen added, “I am eagerly awaiting the president’s appointment of my replacement . . . I sure hope I am long gone by the time these regulations ever become either proposed regulations or final regulations – and we are a long way from that.’’

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