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 Council votes down casino proposal
 
 
Rejection comes despite tribe's offer of $30 million a year

 

 

The Oakland City Council voted Tuesday to reject plans for an Indian casino near Oakland International Airport, despite a tribe's pledge to sweeten its payment to the city to $30 million a year.

Five council members opposed the casino plan, saying they were not sure that any economic benefits from the casino would offset the costs of crime, traffic and gambling addictions.

Officials from the Lower Lake Rancheria-Koi Nation, a landless tribe of Pomo Indians based in Santa Rosa, said plans for their casino would continue regardless of the city's opposition. The city has no local land-use jurisdiction in the matter, as the casino must abide by an approval process mandated by the state and federal governments.

Council members Larry Reid and Desley Brooks abstained from voting on the resolution opposing a casino on a 35-acre site off Hegenberger Road.

Reid is a staunch casino supporter, and Brooks said she wasn't comfortable taking a position because she believed the council was rushing to judgment.

Reid made a motion to have Oakland voters decide the casino matter at a May special election when voters also would choose a replacement for Councilman Danny Wan, who has resigned.

But Reid's motion failed. Councilwoman Nancy Nadel said, "I don't want to drag it along any further."

Councilwoman Jean Quan, who introduced the anti-casino resolution with Nadel and Vice Mayor Jane Brunner, said a casino would prey on senior citizens who might spend their money gambling instead of buying things in the city.

Quan said, "$30 million is not enough for the broken lives of our families and the people of our community."

Council President Ignacio De La Fuente agreed, saying of the proposed windfall, "We cannot predict the financial and socioeconomic impact to the city."

Also Tuesday, Brunner requested copies of all documents related to the city's negotiations with the tribe, saying "things were moving a lot faster than we were ever led to believe."

Reid said he was the lone casino supporter because many others on the council were running for re-election or higher office and didn't want to risk alienating voters by publicly supporting a controversial project.

"If it wasn't a political year, their attitudes would be different," Reid said.

At a news conference at the downtown Oakland Marriott where tribe officials met before the City Council meeting, Koi Nation secretary-treasurer Dino Beltran held up a giant check for $30 million -- an increase from the initial $11 million guarantee -- that the city would receive each year for 20 years under a gaming compact between the state and the tribe.

Each year, $5 million would go into a trust, announced by the tribe Monday, to benefit community groups.

Beltran's brother, tribe Chairman Daniel Beltran, repeated earlier assertions that the tribe wanted to work with the city and "build bonds." But he also took a harsher stance Tuesday, pointedly accusing Oakland officials of falling victim to "misinformation and borderline hysteria" during an election year.

By rejecting the casino outright and ignoring its economic benefits, the elected officials are "taking money right out of the pockets of people who need it," the tribe chairman said.

"We hope they will seriously reconsider their stance about this project," he said. "To do otherwise would be an outright disservice to the people of Oakland."

Beltran tiptoed around the question of whether the tribe would rescind its $30 million offer because of the city's opposition -- or whether the tribe would up the ante by offering even more.

"It's all part of the negotiation," he said. Pressed further, he said, "I don't see us withdrawing the $30 million."

De La Fuente opposes the casino on the grounds that "Oakland is not for sale," he said. Beltran said, "I understand that, but again, our intention, we're not trying to buy Oakland. We're trying to help Oakland."

 

E-mail Henry K. Lee at hlee@sfchronicle.com.
 

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