Monday, November 25, 2013

and they are open 365 days of the year

Below is a very informative and well written letter by Assemblywoman Claudia Tenney which clearly outlines Andrew Cuomo's "sell out" agreement with the Onieda's which threw the taxpayers under the bus and gave the tribe hundreds of millions of dollars to save face for his father’s illegal deal to open the Casino.  The Court of Appeals declared the Casino illegal years ago but Cuomo as Attorney General did not move to close it to protect his father’s name and then he gave the farm away to the Onieda's to take the issue out of play for next year’s election.  The Onieda's threw a huge party honoring Mario a month before the settlement and invited all the establishment parasites.

                           

Dear Colleague:

            I urge you NOT to support the proposed deal with the Oneida Indian Nation (Casino Oneidas) which is a portion of the gaming legislation proposed by Governor Cuomo.  I have been very involved in this issue as a concerned citizen and also as an attorney for a genuine Oneida Indian who opposes this deal.

This bill is far more serious and has much greater ramifications than even the SAFE Act.  It is being hustled through without public comment in much the same way.  This deal actually presents bright line violations of the state and federal Constitutions in addition to numerous violations under state and federal law.  The deal actually and incredibly spells out, within the body of the agreement, provisions that are likely violations of various public corruption statutes.  I have attached a letter written by attorney Cornelius Murray, that was sent to the relevant authorities regarding the possible violation of bribery statutes.

            This deal will cause irreparable economic harm to the Central New York region and will have devastating consequences to our state and local governments as well as the business community.  No legitimate businessperson or responsible government official could support this deal.

            The Governor’s sales pitch on this deal is shameful.  He has manipulated the facts and the news media who have failed to accurately report on this issue.  For example:

1.     This deal is NOT the settlement of the 40-year land claim.  The land claim was dismissed by the Second Circuit two years ago.  The Casino Oneidas received nothing from it and the 20,000 landowners who were sued WON.  (On October 17, 2011, the U.S. Supreme Court rejected the Oneidas appeal of the 2nd Circuit Court ruling, ending the Oneidas land claim.)
2.     The Casino Oneidas are required to pay property, sales, use and excise taxes on all operations and all sales tax to Non-Indians pursuant to decisions by the State Court of Appeals and The U.S. Supreme Court.  They currently owe in excess of $800 million in back taxes to the State and local governments. Nearly all of the Casino Oneidas land holdings DO NOT qualify as Indian land for tax purposes.  The proposed agreement eliminates payment of tax to the State and local governments, including ALL back taxes forever.
3.     The failure to collect the taxes is purely the fault of the Governor and past Governors and the Attorney General.
4.     Noteworthy and material to this proposed Settlement Agreementhas been the lawsuit initiated by the Casino Oneidas in 2005 to take approximately 13,001 acres into a federal trust for their benefit, thereby removing these acres from State jurisdiction for unlimited commercial development (and tax free status).  This Action by the Oneidas ran into a major roadblock this past fall.  Specifically, on Sept. 24, 2012 federal Justice Lawrence Kahn effectively suspended the fee-to-trust lawsuit with the issuance of a Memorandum-Decision and Order that remanded the Department of Interiors Record of Decision of May 20, 2008, (which had planned to give the Oneidas trust land), back to the DOI and the Bureau of Indian Affairs for further proceedings.  Additional evidence was requested by the Court to justify legal  propriety of this attempted major land grab.  The Oneidas were now being asked to prove that they were, in fact, a federally recognized tribe as of the 1934 Indian Reorganization Act, as called for by the U.S. Supreme Court Ruling of 2007 known as the Carcieri Decision.  Governor Cuomos Settlement Agreementwith the Casino Oneidas now appears to be a way to circumvent the suspended Record of Decision method of putting the land into a trust to the detriment of all New Yorkers. (The Indian Gaming Regulatory Act of 1988 says that an Indian Casino must be on federal trust land; and, the state and federal courts have also determined that the Casino Oneidas cannot operate Class III gaming on their current site unless and until New York legalizes Class III gaming.)
5.     The Governor has an affirmative obligation, under Article 2, Section 10 of the State law, to defend the sovereign borders and jurisdiction of New York and SHALL employ and provide counsel to the defense of those claims.  The federal trust land application is an attempt to remove New Yorks sovereignty and jurisdiction over its land.  This is exactly the scenario outlined in Justice Ginsbergs Supreme Court opinion prohibiting this type of taking.  Modern litigation on this issue affirms the Governors obligation to do so.  Unhinging New York State will affect the civil rights of many New Yorkers who live within, and beyond, the Casino Oneidas checkerboard-style land holdings; presently, the underlying sovereign in their deeds is that of the State of New York.
6.     During the negotiation of this ill-conceived deal, the Governor threatened to cease defending the states sovereignty in the federal fee-to-trust case if the local governments did not accept HIS deal.  Further, Governor Cuomo threatened to withhold monies owed to the counties due to his own failure to enforce the collection of back taxes duly owed by the Oneidas.  The threats are well-documented and even printed in local newspapers. This tactic is tantamount to extortion, and, use of taxpayers money to coerce is a violation of state law.  See attached letter from Oneida County Legislator Frank Tallerino and article from Oneida Daily Dispatch.
7.     The Governor completely forgives all back taxes owed of every kind which is prohibited by the State Constitution.  See attached below certain relevant sections of the New York Constitution and New York State Tax law.
8.     Under Cuomos deal, the Casino Oneidas only have to pay 25% on certain gaming machines.  Not all class three games operated by them are covered in the Agreement.  There are no enforcement provisions.  No securities. No guaranties of any kind.  Once the Casino Oneidas are granted federal trust land, (a legal impossibility that the Governor and an uninformed legislature will shove down our throats anyway), they can put gaming machines on any of the 25,000 acres (12,000 more than they were proposed in federal trust land) and none of the new lands will be subject to the 25% share.  Vernon Downs, just 15 minutes away, pays the equivalent of 67% of its share on gaming and complies with all state laws.
9.     No taxes will be owed for any retail sales of any kind in the future including sale of gasoline and cigarettes.  The permanent revenue stream generated by real estate taxes will also be eliminated forever.  And, nothing precludes the Casino Oneidas from eliminating, or diluting the very limited gaming machines on which the Cuomo plan hopes to profit as indicated above.
10.  The state will surrender its taxing authority in direct violation of Article 16, Section 1, of the State Constitution.  The Casino Oneidas will collect their owntaxes to create some sort of parity.  They will keep the tax for their own so-calledgovernment operations.  There is no scheme, or plan, for parity on the base price of any product or service that could be sold by the Oneidas. There are less than 500 bonafide members of the tribe, representing less than .002% of Oneida Countys population.  However, the rest of the taxpayers will continue to bear the cost for Medicaid, public assistance, roads, programs for people with disabilities, education and all other expenses which all are entitled to as citizens. 
11. All Oneidas are citizens of the United States and the State of New York pursuant to the Citizenship Act of Congress of 1924.  The Oneidas are not a separate country as they falsely claim.  There is no provision for collection of internet sales tax.  One absurdity of the deal is the granting of most favorednation status by the State to the Casino Oneidas.  If that were in fact the case, the U.S. Constitution prohibits the state from entering into treaty-like agreements with separate nations. Additionally, the state Constitution further prohibits the state from exempting specific entities from taxation.  NY Const. Article III, Section 22.
12. The Casino Oneidas will now be granted the ability to tax stamp cigarettes and distribute them in commerce.  This sets back years of successful litigation by U.S. Attorneys throughout over the state.  This so-called deal by Cuomo is giveaway on every level and this measure alone will cost New York billions of dollars in a few short years.  The deal gives unfair and illegal tax breaks to one entity at the expense of law-abiding citizens and legitimate businesses who will suffer irreparable harm.  See NY Const. Article III, Section 22.
13. There is no credible enforcement provision in the deal for sales of cigarettes or any other item in the event the Casino Oneidas choose not to comply.  The state has had a valid compact with the Senecas, but for a long time they have refused to pay an outstanding balance estimated at over 600 million.  We face the same problem in this deal, except that this deal has even less teeth than the compact with the Seneca tribe, and, this settlement agreement will allow the Casino Oneidas to re-sell American made cigarettes and keep all taxes, including the excise tax.
14. This deal will result in an unlawful violation of the 1842 State Treaty with the Orchard Hill Band of Oneidas, a separate and distinct tribe, which preserves lots 2 and 3 for their perpetual use.  This Treaty is still valid today but the Cuomo Plan will destroy it to the detriment of the genuine, longstanding Oneida tribe.  This separate Band of Oneidas will be forced from their land in violation of the treaty and several state and federal provisions protecting the rights of Indian Tribes residing on state land.  See attached document from Federal Archives showing that Halbritter and his ancestors are not members of the Six Nations Confederacy and thus, have no attachment to the land for rights.
15. The CEO of Oneida Indian Nation, Ray Halbritter (not eligible to be a chief) reputedly owns an oil and gas drilling company with 180 natural gas drilling leases ready to gofor wells located within the lands proposed to be placed into a federal trust.  If the land is placed into trust, he will be able to engage in any type of hydraulic fracturing on those wells regardless of the state moratorium.  The DEC will have no regulatory authority, and, no taxes or fees will be paid to the state for the sale of any natural gas extracted.  There has been no SEQRA or NEPA review whatsoever.
16. The Cuomo deal does not address easements and rights-of-way, including the fact that the New York State Thruway (I-90) will cross through what will be Indian Country, and it appears that major power line corridors from Niagara Falls, which benefit New York City, and elsewhere, will be compromised in terms of ownership. 
17. Finally, that in addition to the U.S. Supreme Court in the Sherrill decision which provided that State citizens were to be protected under the doctrine of Justifiable Expectations,a 2009 U.S. Supreme Court decision ruled that once land is transferred from federal jurisdiction to state jurisdiction, it cannot go back to federal jurisdiction, (see Hawaii et. al v. Office of Hawaiian Affairs et. al, No. 07-1372, Decided March 31, 2009).  There has never been Federal Indian Trust land in New York or in any of the original colonies.  The Indian owned casinos in Connecticut and Rhode Island are on state sovereign land. 
Halbritter and the Casino Oneidas are desperate and this deal will erase all the hard fought rights our communities have gained in the state and federal courts for next to nothing.  We have a royal flush and they have a pair of twos with all cards showing on the table.  Why are we folding?  Worse, we are literally giving away our community to a defiant and corrupt dictator who runs an entity that flaunts our laws and refuses to comply.

We have been bullied by Governor Cuomo and Halbritter and one has to wonder why the Governor or any responsible person could go along with this horrible deal unless that person is completely uninformed or utterly corrupt.  This is a tragedy of epic proportions for the people of Central New York.

I have attached numerous documents that should compel you to vote against this ill-conceived deal.  The People of the State of New York deserve adequate protection, not a railroad job.

If you have any questions, please do not hesitate to contact me.
      Thank you.
                                                                        Sincerely,

                                                                        Claudia Tenney, Member of Assembly

CT/fd
Enclosures


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