Pope County judge, Dover mayor show support for potential casino site

Cherokee Nation Businesses, which seeks a license to operate a casino in Pope County, has received even more endorsements from local officials, just before it submits its application to the state.

Ben Cross, the county judge, announced Wednesday he had written two letters of endorsement for Cherokee Nation Businesses — one in support of a casino license for property outside of Russellville and another for a potential site in Dover. On top of that, the Dover mayor issued his letter of support.

According to Amendment 100 — approved by voters in November 2018 to allow a casino in both Pope and Jefferson

counties, and expand gambling at the racetracks in Hot Springs and West Memphis — requires the casinos have the endorsement of county officials. Amendment 100 also states an endorsement issued by a mayor must also be accompanied by a letter of support from the county judge or a resolution by the Quorum Court.

Cross — who promised in his campaign he wouldn’t endorse a casino unless it was the will of the people — said Wednesday he issued the support letters “after an exhaustive review by legal counsel to the county in an effort to further mitigate litigation expenses to Pope County taxpayers.”

On Aug. 13, the Quorum Court issued a resolution supporting Cherokee Nation Business for the license. On Oct. 28, the Quorum Court repealed a 2018 ordinance requiring county officials to get permission from voters before they endorsed a casino candidate. But no election was ever called.

The next day, Oct. 29, a circuit judge tossed out a lawsuit against the county brought by the anti-casino group Citizens for a Better Pope County, which contended the Aug. 13 endorsement violated the ordinance because no election was held. The judge ruled the ordinance was unconstitutional.

ENDORSEMENT REASON

“After local control was ruled unattainable in a court

of law, and our entire team of legal counsel all agreed on the appropriate path to remove the county from continued litigation expense, it became a procedural and fiduciary responsibility for me to act upon, and complete, the advice of counsel, acting as the sole individual ultimately responsible for the expenditure of taxpayer funds under the law,” Cross said. “It is now upon the state appellate levels of the judiciary to complete the legal review of all that has transpired and deliver the appropriate rulings.”

Cross said the second letter, for Dover, was necessary after Mayor Roger Lee endorsed a Cherokee casino there.

Lee said in the letter a casino would give Dover — a small city of about 1,400 about 10 miles north of Russellville — the opportunity for “jobs, economic growth, and overall financial stability.”

“Only one municipality in Pope County has met the constitutional provisions set forth by Amendment 100,” Cross said. “Accordingly, I have issued separate, but virtually identical letters to encompass both the intended location in unincorporated portions of Pope county, as well as, the city of Dover, which has met the legal requirements pursuant to the law with a mayoral letter of support.”

NEXT: APPLICATION

Chuck Garrett, chief executive officer of Cherokee Nation Businesses, said Wednesday he was grateful to the Quorum Court and Cross for their “proactive and diligent efforts to comply with the state constitution and create jobs and opportunities for economic growth through our project.”

“On Friday, we will submit an amended application to the Arkansas State Racing Commission that includes both the Hob Nob Road and Dover locations,” Garrett said. “We are excited about the potential opportunities and look forward to continuing our work with elected officials to determine what is best for the county.”

The Cherokees, along with four other applicants, submitted an application earlier this year to the Racing Commission. But the applications were rejected over endorsements.

On Tuesday night, the Quorum Court’s new Planning Board issued Cherokee Nation Business a construction and operation permit to build a casino resort north of Hob Nob Road just outside of Russellville.

The permit essentially forces Russellville to honor the permit if the land is annexed in the future.

“The permits issued yesterday by the Pope County Planning Commission will ensure that construction and operations for Legends Resort & Casino Arkansas commence upon issuance of the casino license,” Garrett said.

Kelly Jett, the founder of the pro-casino group Pope County Majority, cheered Cross’ decision to write the letters.

“At this stage in the process making sure any further litigation is avoided for the purpose of stalling the issuances of a license to Legends and to stop the unnecessary spending of taxpayers money on frivolous lawsuits, a better choice could not have been made,” Jett said. “We are thankful for the [counsel] the Quorum Court has retained and their willingness to act according to their guidance. We are also very excited to see that Mayor Lee of Dover has issued a letter of support for Legends to potentially build in Dover. It’s a breath of fresh air to see Pope County officials working together for economic growth and development in Pope County.”

Multiple messages to Russellville Mayor Richard Harris weren’t returned as of late Wednesday.

RUSSELLVILLE SUPPORT

Russellville has been doing its own search for a casino operator, even though any endorsement would require county backing.

The City Council’s gaming committee on Oct. 14 recommended backing Kehl Management of Dubuque, Iowa, over two other contenders. A resolution on Kehl is on the agenda for the City Council’s meeting Nov. 21.

Russellville’s Community Gaming Evaluation Committee was set up at the beginning of September because Cross negotiated an economic development agreement with Cherokee Nation Businesses with an upfront $38.8 million payment to be distributed to nonprofit organizations, the county and some municipalities — but not Russellville.

Kehl Management proposed to pay $178.3 million over 30 years in economic benefits to the county and various nonprofit groups over and above the net casino tax required by law.

That agreement promises an “up front investment” of $40 million, with $20 million paid to Pope County. The remaining $20 million would be paid in $10 million installments the next two years.

Russellville City Clerk Gina Skelton didn’t honor requests Wednesday under the state Freedom of Information Act for copies of proposed ordinances — one concerning annexation and another repealing a 1901 ordinance prohibiting gambling in the city — submitted by Harris and listed on the City Council’s agenda for next week’s meeting. Skelton said she couldn’t forward the documents until she received permission from the city attorney’s office.

MORE APPLICATIONS

The state Racing Commission’s second window for applications for a Pope County casino license closes at 5 p.m. Monday , but the commission decided last month to wait until the outcome of two lawsuits before ruling on the applications.

The lawsuits include the one from Citizens for a Better Pope County tossed out by a circuit judge Oct. 29 and another filed by Gulfside Casino Partnership of Mississippi against the state Racing Commission.

On Nov. 25, Pulaski County Circuit Judge Tim Fox is scheduled to hold a hearing on Gulfside’s challenge of the rejection of its license application by the Racing Commission.

The second window for applications was opened after all five applicants for the Pope County casino — Gulfside, Cherokee Nation Businesses of Oklahoma, Kehl Management, Warner Gaming of Nevada and Choctaw Nation Division of Commerce of Oklahoma — were rejected by the Racing Commission in June because none contained endorsements from current officials.

Gulfside claims its application met the constitutional requirements because, unlike the others, it included letters of endorsement from local officials issued right before those officials left office in December.