Work goes on at N.Y. casino

Joel Stashenko

Wednesday, Sept. 25, 2002 | 9:50 a.m.

ALBANY, N.Y. -- Following court action Tuesday, limited improvements will continue at a convention center that the Seneca Indian tribe hopes will be its first casino.

Anti-gambling opponents agreed to drop their applications for court orders that would delay the work as they fight the casino plan, said Suzanne Morris, spokeswoman for Gov. George Pataki. The state agreed to abide by the license it issued to the Senecas Sept. 17 that allows limited improvements to proceed, she said.

"The state conceded nothing," Morris said.

The action in the Appellate Division of state Supreme Court allows the tribe to move forward with some upgrades at the Niagara Falls Convention and Civic Center, which the Senecas want to reopen within months as a casino.

The work will be limited to "life-safety improvements" like the roof, the ventilation and heating systems or to raise the floor to improve the electrical distribution system. No installation of gambling equipment can be carried out, according to anti-gambling lawyer Cornelius Murray.

Murray is challenging the constitutionality of legislation approved in October 2001 under which the Senecas are allowed to open up to three casinos on their land in western New York.

Opponents, who include civic, business and religious groups and state legislators Frank Padavan, a Republican senator from Queens, and Democratic Assemblyman William Parment of Jamestown, contend that the gambling bill violates the state constitution.

Supporters of the bill, including Gov. George Pataki, said the legislation was carefully drafted and will be upheld by the courts.

The suit is currently before state Supreme Court Justice Joseph Teresi in Albany.

The Senecas were not party to the agreement reached Tuesday, nor are they defendants in the suit challenging the constitutionality of the gambling law. The tribe insists it is a sovereign nation and not subject to the jurisdiction of the courts of New York state.

Murray said his clients are counting on the Empire State Development Corp., which holds title to the Niagara Falls convention center, to ensure that improvements to the facility are limited to the agreement reached Tuesday. In all, the Senecas say they want to make $100 million worth of upgrades to the convention center.

The state also agreed to delay transferring the title to the property. The Senecas said they have started to make renovations in Niagara Falls at their own expense.

Seneca spokeswoman Beth Kelly could not be immediately reached for comment Tuesday.

The transfer of the property will also be contingent on the federal government giving its approval to the Seneca gambling compact, Murray said.

"This agreement will ensure that the state is not stuck with a _$100 million white elephant, if it ultimately turns out that the casino cannot be legally operated," Murray said. "If the tribe wants to go ahead and expend that kind of money at their own expense and peril, that's their decision."

The suit also challenges the legality of New York's entry into the multi-state Mega Millions lottery game. However, Murray failed in an attempt to block the state from joining the game until the case is decided, an indicator of how Teresi regards the strength of his argument about the legality of New York laws and the Mega Millions game.