Navajos OK $100M for Casinos

The Navajo Nation Tribal Council voted last week to fund casino development with a $100 million line of credit secured earlier this year from JPMorgan Chase. The council considered the measure at an earlier meeting, but tabled it until several delegates’ concerns could be resolved.The new legislation will allow the tribe to finance the development and construction of one or more gaming facilities and related infrastructure as capital improvement projects. With the approval to use the line of credit, the Navajo Nation Gaming Enterprise now can seek bids on engineering and design work at casino sites.The legislation authorizes the issuance of general obligation bonds to provide long-term financing for casino development.Navajo President Joe Shirley Jr. said casino revenue is vital at a time when at least half of the tribe’s work force is unemployed.“We’re 30 years behind the times and that’s our emergency,” Shirley told the council. “We need to build homes and we need water hook-ups. We are asking for your help today. Let’s do this for our children, the elderly, and for everyone.”Shirley said the tribe’s first casino near Gallup, N.M., will gross nearly $32 million in its first year. He said a second casino planned near Flagstaff, Ariz., is expected to gross $46.5 million in the first year of operations.