City and Chippewa tribes settle casino lawsuit

Wednesday, May 31, 2000 | 9:39 a.m.

Tribal leaders and the owners of a pari-mutuel race track sued the city after the Hudson Common Council in 1995 announced its opposition to a casino annex at the St. Croix Meadows track.

The Indians argued the city violated an earlier agreement to provide water, sewerage and other services in exchange for $1.15 million a year. The U.S. Bureau of Indian Affairs initially rejected the project, citing city opposition.

Under Tuesday's settlement, the city must revoke its opposition to the casino in addition to providing city services if the casino is approved.

"We felt that it was very important to put all of our past differences behind us and move ahead. We believe that this is a good faith agreement," said Mark Goff, a spokesman for the plaintiffs.

The Indians also sued the Department of the Interior in U.S. District Court for rejecting the BIA petition because other casino-operating tribes in Wisconsin and Minnesota did not want the Hudson competition.

The federal case was settled out of court, and the tribes have begun renewing their casino application.

As part of the settlement reached Tuesday, the city has agreed to formally withdraw two letters to U.S. Secretary of the Interior Bruce Babbitt that said Hudson officials opposed the casino application.

Judge Thomas Barland of Eau Claire had earlier rejected the city's request to dismiss the lawsuit, saying the Indians' complaint deserved a Circuit Court trial.

The city appealed, but the appeals court suggested the parties try to solve the lawsuit through mediation, which resulted in Tuesday's settlement.

City Attorney Bill Radosevich said the settlement does not determine whether the city can oppose the casino in the future. He said the parties "politely disagree" about whether that is appropriate under the city services agreement.

The Indians had demanded $175 million in the lawsuit.

"I think the settlement is fair and the settlement is an honorable settlement. The mediation process worked in this case," Radosevich said. "The net result is the city is no longer a defendant in a $175 million lawsuit."