New Mexico Tribal Gaming Supplier Regulatory Overview

Introduction

Although there are currently no commercial casinos in the state, Native American tribes in New Mexico operate 26 tribal casinos through compact agreements with the state government.

The state of New Mexico uses a model compact that applies to each of the tribes that offer Class III gaming. As such, the general compact terms will apply to every tribe in the state, but it is important to check with each individual tribe when conducting business with a tribe in order to ensure that all tribal policies and procedures are followed, in addition to any tribal law or regulations beyond the tribal-state compact.

The supplier licensing process, however, is handled solely by the tribal gaming control board (“Board”) that oversees the tribal casino or gaming facility. As such, those interested in supplying goods or services to a tribal gaming facility should contact the tribe directly. As each tribe regulates its tribal gaming facilities independently, it is important to remember that licensing requirements will vary from tribe to tribe. The analysis below is provided as a general overview of the licensing requirements typical of tribal gaming facilities in New Mexico and uses the tribal ordinances and regulations of the Pueblo of Laguna (“Tribe”) as the basis for the analysis.

Gaming Devices and Equipment

Those individuals or entities that provide gambling devices, as defined in the Johnson Act, which includes slot machines and other similar gambling devices, or that provide equipment, devices, or contrivances used in the conduct of Class III gaming must be licensed by the Board.¹

Duration

All licenses issued by the Board are for a period of one year from the date of issuance.² Renewal materials must be submitted at least 30 days prior to the expiration of the current license.

Fees

Licensing fees will vary depending on the license sought and are set by the Board. In addition to application and/or licensing fees, the applicant must also submit a deposit to cover the cost of the necessary background investigations.³

Application

The following information must be submitted in connection with applying for a license to provide gambling devices or equipment to the Tribe:

1. Basic identification information;
2. Business ownership information;
3. Description of business relationships with other Native American tribes;
4. Description of past/current business dealings in the gaming industry;
5. List of gaming regulatory bodies that have jurisdiction over the applicant;
6. Criminal history;
7. Civil action history; and
8. Business/professional licenses held.⁴


Gaming-Related Contractors

In addition to those providing gambling equipment, individuals or entities that provide any goods, services, or concessions to the tribal gaming facility for use in conducting gaming activity must be licensed if the total compensation received in a year is greater than $25,000. Notably, professional, legal, and accounting services are exempt from this requirement.⁵

Duration

All licenses issued by the Board are for a period of one year from the date of issuance.⁶ Renewal materials must be submitted at least 30 days prior to the expiration of the current license.

Fees

Licensing fees will vary depending on the license sought and are set by the Board. In addition to application and/or licensing fees, the applicant must also submit a deposit to cover the cost of the necessary background investigations.⁷

Application

The following information must be submitted in connection with applying for a license to be a party to a gaming-related contract:

1. Basic identification information;
2. Business ownership information;
3. Description of business relationships with other Native American tribes;
4. Description of past/current business dealings in the gaming industry;
5. List of gaming regulatory bodies that have jurisdiction over the applicant;
6. Criminal history;
7. Civil action history; and
8. Business/professional licenses held.⁸

Licensing Process

Once a complete licensing application is received by the Board, the Board will conduct a background check on the applicant. Once the background check has been completed, the Board will make a suitability determination regarding the applicant. The identity of each person consulted during the background investigation is kept confidential.⁹

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¹See Pueblo of Laguna Gaming Control Ordinance No. 100-95, Sec. 2, Sec 5(a)(5).
²See Pueblo of Laguna Gaming Control Ordinance No. 100-95, Sec. 5(e).
³See Pueblo of Laguna Gaming Control Ordinance No. 100-95, Sec. 5(g).
⁴See Pueblo of Laguna Gaming Control Ordinance No. 100-95, Sec. 6(b).
⁵See Pueblo of Laguna Gaming Control Ordinance No. 100-95, Sec. 2(p), Sec. 5(a)(6).
⁶See Pueblo of Laguna Gaming Control Ordinance No. 100-95, Sec. 5(e).
⁷See Pueblo of Laguna Gaming Control Ordinance No. 100-95, Sec. 5(g).
⁸See Pueblo of Laguna Gaming Control Ordinance No. 100-95, Sec. 6(b).
⁹See Pueblo of Laguna Gaming Control Ordinance No. 100-95, Sec. 6(d).