Arizona gambling measure clinging to lead

Michelle Rushlo

Thursday, Nov. 7, 2002 | 9:46 a.m.

PHOENIX-- Supporters of Proposition 202, an initiative that would expand tribal casinos, were hoping Wednesday that the measure's lead would hold, even as hundreds of thousands of ballots were hand-checked and tallied.

With all the precincts reporting and the first batch of hand-checked ballots counted, 202 had 522,387 "yes" votes, or 51.6 percent, to 490,775 "no" votes, or 48.4 percent. Two rival gambling measures, one sponsored by a rural tribe and another by dog and horse track owners, were rejected by voters Tuesday.

Supporters of Proposition 202 said it could be days before the vote is decided, and they remained cautious about declaring victory.

"There is no assuring until the final vote is in," Roxanne Hait, a spokeswoman for the 202 campaign, said.

About 200,000 ballots had yet to be counted, based on interviews with county election officials. They were early ballots cast days or weeks in advance and other ballots that needed to be hand-checked before being tallied.

More than 155,000 of those ballots were in Maricopa County, where the measure was losing 52.6 percent to 47.4 percent, according to the 548,064 ballots already counted.

The backers of 202, who had raised nearly $21 million by mid-October, mounted the most expensive campaign in state history. The backers of the other two initiatives came in at Nos. 2 and 3 in the fund-raising records.

Proposition 202, backed by 17 tribes and the governor, would expand the number of slot machines in Arizona and allow tribes to offer house-banked blackjack while giving 1 percent to 8 percent of revenues to the state. The amount of revenue that goes to the state would depend on the size of the casino.

Even if Proposition 202 ultimately wins, it will not necessarily resolve the debate over the future of Indian gambling in Arizona.

The dog and horse track owners that backed 201 have a lawsuit pending before the 9th Circuit Court of Appeals arguing the governor cannot sign gambling compacts with Indian tribes. And spokesman Doug Cole said the track owners were already planning to pursue another lawsuit if 202 passed.

"We'll continue to pursue a legal solution so all gaming interests can survive hand in hand, not one at the expense of the others," Cole said. "We're not out to end Indian gaming. That's not our goal. Our goal is to assure we can continue our industry."

Track owners have argued they need the power to add slot machines at tracks in order to remain financially viable if tribal casinos are allowed to further expand in Arizona.

The Colorado River Indian Tribes, which backed 200, will evaluate its options but will likely seek to negotiate a compact under the provisions of 202 if it passes, said Jason Rose, a spokesman for the 200 campaign.

"They knew when they started this was a David vs. Goliath battle, and I think they wish their story would have ended the way the biblical one did, but it's time to move on," he said.

Under federal law, tribes must negotiate compacts with the state to offer conventional slot machines and most other types of gambling. The first of the compacts signed during the 1990s by 15 Arizona tribes begin to expire in August.

If litigation or other issues prevent compacts from being signed by then, it's not clear what would happen. The tribes could ask a court to order that operations be allowed to continue until a deal is reached. Otherwise, the casino operations would be violating federal law.

Arizona currently has 22 tribal casinos run by 15 tribes.