Don Armes, R-Faxon, calls the tribe’s investment “an obvious effort to circumvent terms of a compact.”
OKLAHOMA CITY – An Oklahoma legislator has requested an investigation into a tribe’s recent transaction with Tulsa County officials.
Rep. Don Armes (R-Faxon) announced Nov. 19 that he asked Gov. Mary Fallin and Oklahoma Attorney General Scott Pruitt to look into the proceedings surrounding the Muscogee (Creek) Nation’s acquisition of the naming rights to the Expo Square at the Tulsa County Fairgrounds, citing concerns over the Tulsa County Public Facilities Authority’s transparency and the potential economic impact the deal’s stipulations may have.
Earlier this month, officials with the Muscogee (Creek) Nation announced the $1.44 million purchase, which will remain in effect at least through 2019. The agreement, which was approved unanimously without comment by the Tulsa County Public Facilities Authority, included a provision that would end live horse racing at Fair Meadows, a track located on the eastern edge of the fairgrounds, thus cutting out millions of dollars in gaming compact funds that were used to supplement race purses at tracks across Oklahoma.
“This is about greed and the willful and blatant disregard of the rule of law and should not be allowed to stand,” Armes said. “This job-killing, industry-terminating deal does not pass the smell test.
“What appears to be an obvious effort to circumvent terms of a compact needs to be exposed before an important sector of our economy leaves Oklahoma forever.”
Horsemen across the state and officials with the Oklahoma Horse Racing Commission have said publicly that they were not consulted before the sale was authorized. At a Nov. 2 press conference, Muscogee (Creek) Nation principal chief George Tiger said the tribe began talks with the Tulsa County Public Facilities Authority soon after he took office in January.
Under a 2005 compact, Fair Meadows received $2 million annually from the Cherokee, Muscogee (Creek) and Osage Nations combined in exchange for not installing gaming machines at the track. The agreement was also contingent upon the track hosting at least 400 live races annually during its 34-day season.
Among the three active live race tracks across Oklahoma, the purse fund averaged about $6.8 million over the last five years, with about $3.6 million coming from the Muscogee (Creek) Nation annually. Under the terms of the compact, each tribe that has a casino within 20 miles of a live horse racing facility has to contribute to the purse fund in exchange for track owners not installing electronic gaming machines. In addition to Fair Meadows, live horse racing was conducted at Oklahoma City’s Remington Downs and Claremore’s Will Rogers Downs during the 2012 season. Will Rogers Downs is owned by Cherokee Nation Entertainment.
Over the last seven years, Fair Meadows has lost at least $695,000 per year thanks in part to dwindling attendance.
“This was a business decision by the (fair board), and while we know there will be some impact to the horse industry, it is not in the best interest of Tulsa County citizens to continue live racing at Fair Meadows,” Tulsa County Commissioner and Tulsa County Public Facilities Authority Chairman Fred Perry said.
In addition to requesting an investigation, the Comanche County Republican has asked the governor’s office to direct the Oklahoma Department of Commerce to review the situation and give a tentative timeline as to how quickly the state legislature could reverse or minimize any negative economic impact from ending live racing at the Tulsa track.
“Gov. Fallin has been contacted by multiple stakeholders concerned about the future of Fair Meadows racetrack,” Fallin spokesman Alex Weintz wrote in an e-mail. “She has asked her staff to look into the events surrounding its closing to ensure that proper measures were taken to ensure transparency.”
Requests for comment from Pruitt and Muscogee (Creek) Nation officials were not returned.