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LEtter to the Editor - Concerns raised over gaming policy

Author

Wayne D. Brown

Volume

25

Issue

10

Year

2008

Dear Editor:
I would like to comment on the province of New Brunswick's recently announced new gaming policy. I should preface my comments by informing you that I have lived in the Aboriginal First Nation of St. Mary's for 40 years. I am non-Native and married a St. Mary's First Nation member 40 years ago. I was employed for the nation for 25 years, starting out as the recreation director and later held the position of director of economic development. I retired in March of 2005.
I had the pleasure of working under five different chiefs over my 25 years of employment with the nation. They all had one thing in common and that was to provide more opportunities and enhancing the quality of life for their band members. St. Mary's has worked very diligently toward that goal for all their members both on and off the reserve.
I can tell you from past knowledge and experience that job opportunities for St. Mary's band members to work off the reservation were very few and far between. The only way out of this tragic situation was to create economic development projects that would resolve the high unemployment rate that was, at one time, 85 to 90 per cent.
The first major project was to secure investors to construct a bingo entertainment centre. This project did not get completed without a substantial number of problems that for the most part were caused by the investors during construction. After opening there were more problems and struggles due to mismanagement by a pair of non-Native individuals from Saskatchewan that were hired by our partners from the west coast. These people did not understand the bingo gaming market in New Brunswick or the Aboriginal people they were working with. A business development review recommended that, because of the gross mismanagement by the two individuals, that they be relieved of their duties. This was done immediately. St. Mary's hired an Aboriginal St. Mary's member to manage the centre. This happened some 10 years ago. This gentleman has done a great job and is still the manager today. He has a staff of about 100 people. Just recently they bought out their partners and now will not be sharing revenue. The centre has 60 VLT machines licensed with the province. Under the new regulations they will be allowed to utilize 75 machines in the facility under three liquor licenses that could house 25 machines in three different areas, but under the same roof. In 1995 St. Mary's was one of the initial First Nations to negotiate and sign a provincial agreement for the "Collection of Provincial Tobacco Tax, Gasoline Tax, Sales Tax, and Self Licensing Relating To Gaming." Of the 15 First Nations in New Brunswick, there are eight First Nations who have these types of agreements. The entertainment centre is an overwhelming success through dedication, planning and effective management. The agreement with the province has been and is a mutually beneficial agreement for both the first Nation and the province. I know from working at St. Mary's they have always followed the regulations, met their financial obligations and managed their recourses in a professional manner.
On April 13 of 2003, St. Mary's First Nation opened their newly constructed $7 million mall. I was involved with the administration of that project. I can tell you that I was not successful in securing any financial assistance from the province or federal departments in any form. We were not deterred despite many people telling us that this would not be successful. How wrong they all were proven to be. The mall also included a supermarket, several retail spaces, a daycare, gas station and an office complex with three floors of office space. The 100 jobs created by this project were filled by both Native and non-Native employees. They now have about 150 employees. The only financial assistance that we were able to secure was a $1 million grant from Indian and Northern Affairs Canada (INAC). The one gentleman who deserves the credit for his vision, confidence in us, and support was Mr. Greg Martin of INAC. The thing that bothered me the most was that the province assisted some businesses with grants of up to $10,000 for each job they created. I know of businesses that were assisted that are now not even in business. St. Mary's is here to stay and their businesses will be long term. I know that some of the smaller businesses that they own and operate are not profitable but can be revamped or new businesses created. The most important aspect of these Aboriginal businesses such as the entertainment centre, supermarket and gas station are the many jobs that they have created. People have meaningful full- and part- time positions that would be non-existent otherwise.
It is no wonder that the Aboriginal population across Canada is skeptical, what with the broken promises and shabby treatment they have experienced from non-Native governments throughout history. This is shameful and totally inexcusable. It leaves me wondering if non-Native governments really want to eliminate the poverty that would lead to a better quality of life for Aboriginal Canadians. Most politicians talk a pretty good game but their actions do not match their stated good intentions. Yes, I know that people will make mistakes, but non-Native governments are making the same mistakes over and over again. It is not surprising that the Aboriginals have lost trust in their non-Native brothers. Other provincial and federal departments should take a page from the strategy that is utilized by Crown Lands provincial employees in dealing with the Aboriginals. I believe this sector has done a fair job in their bilateral discussions and subsequent decisions on this most difficult file.
In regards to the recent gaming policy plans it is further evidence that the Aboriginals are not being treated fairly by the province. It is unfair to expect them to compete against non-Native casino proposals. They are once again being set up to fail.
The provincial government needs gaming revenue but not as much as First Nations require those funds. Would you as a taxpayer want to have to pay more taxes to make up for the shortfall should gambling be abolished? I think the answer to that is clearly no. I do not personally play the VLTs, but I think every individual should be allowed to make their own decision in regards to whether they choose to play them or not. How many millions of dollars are now leaving the province by those who travel to gamble in a casino operation?
The policy should have allowed two casinos, one Native and one non-Native. The 15 First Nations could decide among themselves by a vote of the chiefs on what reserve they want it on. They could finance it and the profits from the facility could be split by the 15 First Nations based on a formula that would take into account their population. The province should not receive any share of this revenue derived from this casino ... the province would share the revenue as previously announced for the non-Native casino. I also believe that the racino that the St. John Raceway requested should have been granted. It was not realistic to tie this aspect into the fact that the casino proposals must include a racino in order for a racino to be developed.
In a recent statement by Chief Gerald Bear of Tobique First Nation, he was quoted as saying that his machines generate a net profit of $750,000 that is utilized for the community. I can tell you that if those 200 illegal machines were legal and registered following provincial gaming regulations, plus negotiating a taxation agreement, the financial benefits would be substantial. The province rebates back 95 per cent of their standard share, which is 53 per cent to those First Nations who have agreements. This sum alone would be in the vicinity of $10 million.
With the much needed business and gaming revenue St. Mary's has been able to provide many long term meaningful jobs, build more new houses and infrastructure in addition to developing and promoting new economic development initiatives. All status band members also receive a share of the royalties semi-annually.
In closing, the First Nations deserve better from governments of the day. They deserve to have the same aspirations of self sufficiency that Premier Graham has for New Brunswick. You either want the First Nations to succeed or you don't, you can't be half committed.