Appeals court rejects cities' attempts to block tribal casino

Associated Press

ROSEVILLE, Calif. - A federal appeals court rejected two Sacramento suburbs' attempts to block a successful tribal casino that is considered the biggest Northern California threat to gambling interests in the Reno area of Nevada.

The three-judge appeals court unanimously rejected the challenge by neighboring Roseville and Rocklin as "nonsensical," echoing similar harshly dismissive language by a federal trial judge.

The Thunder Valley Casino was opened by the 247-member United Auburn Indian Community in June after the lower court ruling last year but while the cities' appeal still was pending. The court ruling was announced Friday.

The casino sits just off Interstate 80, the main link between Reno and the San Francisco Bay area, and is located below the Sierra Nevada snow line that can make travel to Reno hazardous in winter months.

Public financial disclosures by Las Vegas-based Station Casinos, the casino's operator, suggest the casino is expected to generate $260 million to $300 million in profits in its first year, well above the tribe's $200 million-a-year target.

Roseville Mayor Rocky Rockholm told the Sacramento Bee the cities are unlikely to appeal the latest ruling to the U.S. Supreme Court.

The cities and a citizens group had argued the federal government failed to properly consider the casino's impact on the surrounding community when it granted reservation status to the unincorporated land a few miles from the tribe's reservation near Auburn.

The federal trial judge was incensed enough at what he suggested was a "frivolous" lawsuit that he threatened to force the cities to pay the tribe's legal fees and court costs. That decision has been on hold pending the appeal.

The cities rejected repeated offers from the tribe to settle the suit in exchange for contributions to the cities and community organizations designed to offset any impact from the casino. Placer County, by contrast, is getting about $1 million a year from the tribe to help pay for increased law enforcement and other costs.

Tribal attorney Howard Dickstein said the tribe is pleased by the ruling, and is unlikely to repeat its offer of financial aid to the communities that fought its casino in court.

Information from: The Sacramento Bee