Casino could double its slot machines under state deal

The tribe that owns Graton Resort and Casino, the Bay Area's largest gaming destination has reached a new compact with Gov. Gavin Newsom's office that will allow it to double its number of slot machines, advancing a planned expansion first announced last year.

The new, 200-page agreement between the state and the Federated Indians of

Graton Rancheria replaces a compact signed in 2012. It would allow the number of authorized slot machines at the casino to go from 3,000 to 6,000.

The deal comes as the tribe is pursuing plans to enlarge not only its gaming floor but its hotel space outside Rohnert Park, positioning itself as an even more dominant player in the local hospitality market and California's $8 billion annual tribal gaming industry.

The gaming floor expansion could give the facility the second largest slot floor in all of California; only Yaamava' Resort & Casino in Highland, owned and operated by the San Manuel Band of Mission Indians, has more, with 7,000 slot machines.

Graton's new compact also increases the amount of money the rancheria pays into the Revenue Sharing Trust Fund, an allocation that benefits nongaming tribes, according to an announcement from the tribe Friday.

That quarterly payment would go from $2 million to $2.75 million if the tribe takes full advantage of its slot machine cap, according to the deal.

“We're happy to improve our compact with the State of California and continue to provide needed community funds for the City of Rohnert Park, Sonoma County and our state,” Greg Sarris, tribal chairman of the Federated Indians of Graton Rancheria, said in the release.

“This compact allows the tribe to grow as a self-sustaining sovereign nation and continue to support our mission of social justice and environmental stewardship.”

Sarris declined further comment.

Both Rohnert Park and Sonoma County receive millions of dollars annually from the tribe to offset impacts on public services. Neither local government appeared to have been highly involved in the negotiations.

Under the new compact, the county and Rohnert Park would receive 2% of net wins — total amount wagered on slot machines minus total payouts, according to Jennifer Klein, Sonoma County's chief deputy county counsel.

Klein said the county does not know what it stands to receive in dollar amounts because it doesn't yet know what the tribe's net revenue will amount to.