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Chickasaw Nation Rejects State of Oklahoma Audit of Gaming Operations

The Chickasaw Nation has informed state officials they cannot audit the tribe's gaming operations, but they may look at past audits done by a third party.

First reported by the Tulsa World on Monday afternoon, the Chickasaw Nation sent a letter Thursday stating its position in response to a Dec. 18 letter sent to all tribes operating casinos in Oklahoma.

The state told tribes in its letter officials were preparing to investigate Class III gaming operations to ensure it had received all fees owed.

The state cited a portion of the gaming compacts to justify its proposed audit. Tribal officials say the state has no right to audit their operations and can look at past reviews done by an indpendent accounting firm.

Representatives with the Chickasaw Nation say the state has already been sent copies of their audits.

Sides remain firm in their positions as the new year approaches. Oklahoma Gov. Kevin Stitt believes the compacts expire Jan. 1, 2020, and gaming will be illegal after that date.

Tribes say the compacts will renew automatically for a new 15-year term, triggered by the state taking action to license gaming operations at horse racing tracks. They say it will be business as usual after Jan. 1.

Stitt has pursued gaming compact negotiations for months, saying Oklahoma is not getting its fair share from exclusivity payments. Tribes pay between 4% and 10% of revenues for the right to offer casino gaming. That amounts to roughly $150 million a year.

Both sides are preparing for a lengthy legal battle.

Matt Trotter joined KWGS as a reporter in 2013. Before coming to Public Radio Tulsa, he was the investigative producer at KJRH. His freelance work has appeared in the Los Angeles Times and on MSNBC and CNN.