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Regular-General Government # 27.
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| Board of Supervisors |
County Administrator |
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| Subject |
| Approve 22-year Intergovernmental Agreement with the Yocha Dehe Wintun Nation that replaces the 2002 Intergovernmental Agreement, includes measures addressing environmental, public safety, and other impacts of the Cache Creek Casino Resort and the proposed Hotel Expansion Project, and provides community contributions and other significant benefits; authorize the County Administrator and the County Counsel (or their designees) to take all further actions necessary to execute the IGA, including the preparation and filing of a Notice of Exemption pursuant to the California Environmental Quality Act (Gov. Code Sections 12012.40(b)(1)(B) and 12012.78(b)(2), CEQA Guidelines Sections 15061(b)(3) and 15378(b)(4)). (One-time general fund revenue $1,500,000; annual general fund revenue $6,160,000) (Blacklock) |
| Recommended Action |
| Approve 22-year Intergovernmental Agreement with the Yocha Dehe Wintun Nation that replaces the 2002 Intergovernmental Agreement, includes measures addressing environmental, public safety, and other impacts of the Cache Creek Casino Resort and the proposed Hotel Expansion Project, and provides community contributions and other significant benefits; authorize the County Administrator and the County Counsel (or their designees) to take all further actions necessary to execute the IGA, including the preparation and filing of a Notice of Exemption pursuant to the California Environmental Quality Act (Gov. Code Sections 12012.40(b)(1)(B) and 12012.78(b)(2), CEQA Guidelines Sections 15061(b)(3) and 15378(b)(4)). |
| Strategic Plan Goal(s) |
Operational Excellence
Thriving Residents
Safe Communities
Sustainable Environment
Flourishing Agriculture |
| Reason for Recommended Action/Background |
Since 2002, Yolo County and the Yocha Dehe Wintun Nation (the Tribe) have been parties to an Intergovernmental Agreement (IGA) which serves as the cornerstone of the strong and mutually respectful government-to-government relationship and ensures mitigation for both on and off-reservation casino impacts of the Cache Creek Casino Resort (CCCR). The 2002 IGA between the County and the Tribe was the first of such agreements between a local government and a gaming Tribal Sovereign Nation and have since become a requirement under state law.
The current IGA requires the Tribe to provide the County an annual mitigation payment to address off-reservation casino impacts and strengthen countywide services. The most recent payment was in excess of $6,163,000, representing almost 7% of the County’s approximately $81 million discretionary General Fund revenue. The current IGA is set to expire in 2020.
Given the significance of the IGA in the context of mitigation for the CCCR, the Tribe’s proposed hotel expansion project and the County’s general fiscal outlook, County staff has worked collaboratively with Tribal staff to negotiate and draft a successor agreement. Good faith negotiations between the parties resulted in a proposed successor agreement that not only addresses existing off-casino impacts generated by existing casino operations, but also those impacts generated by the Tribe’s hotel expansion project, which will feature more hotel rooms, a ball room, more restaurants, and related amenities. Under this agreement, which has been approved by the Tribal Council, the Tribe will provide the County and others more than $161 million for a range of public uses over the next 22 years (Att. A).
The key terms of the successor agreement are as follows:
• 22-year term (with optional 5-year extension at Tribe’s discretion); subject to reopeners for (1) extending gaming to non-Indians or non-Indian lands; (2) authorizing Class III gaming on the Internet, and/or (3) otherwise adversely impacting Tribal exclusivity to engage in Class III gaming in ways not presently foreseeable. The Tribe may seek to reopen negotiations of this agreement following a significant amendment of its existing Tribal/State Gaming Compact, or if any other tribal government receives an approval to game in Tribe’s market area, specifically, within the counties of Yolo, Alameda, Contra Costa, Marin, Sacramento, Santa Clara, San Francisco, Solano and Sonoma.
• Two additional Sheriff’s deputies assigned to patrol the Capay Valley ($300,000/year plus vehicle costs), with the potential for additional deputies (up to four new deputies total) at the Tribe’s discretion.
• $1.5 million one-time payment to County for hotel expansion project.
• $6.16 million annually to County with 2.53% escalator (simple interest), applied to $4 million every third year.
• $50,000 annually to local fire districts.
• $300,000 annually to the Capay Valley community for projects and programs.
• Option of funding additional Yolo County Transportation District bus trips and marketing program or, pending further negotiations, a park and ride facility developed in consultation with the District. If no agreement on a park and ride facility is reached within one year of execution of this agreement or the commencement of hotel expansion project operations, whichever comes later, the Tribe will provide the additional routes and comprehensive marketing program instead of the park and ride facility.
• Collaboration with County/implementation of protective measures if groundwater is compromised.
• Collaboration with County on implementation of a flood solution for Madison.
• Incorporation of all design features, sustainable practices, and mitigation described in Tribal EIR for the hotel expansion project. The Tribe will also deposit $5 million, the full anticipated cost of all traffic mitigation improvements, with the Tribe’s fair share constituting about $3 million, in an account that CalTrans can draw down to build the priority improvements identified in Tribal EIR. The balance of the account, anticipated to be $2 million, would then be available to the County for road improvements of its choice.
• Termination of the IGA.
Altogether, this agreement provides long-term certainty and stability and addresses the key needs of both the County and the Tribe. However, more importantly this successor agreement strengthens the government-to-government relationship and highlights the Tribe’s commitment to ongoing partnership with the County and the surrounding Capay Valley community.
The County’s approval of the IGA is exempt from CEQA pursuant to Government Code Sections 12012.40(b)(1)(B) & 12012.78(b)(2) (statutory exemptions for IGAs arising from tribal compacts); and CEQA Guidelines Sections 15061(b)(3) (common sense exemption) and 15378(b)(4) (for creation of government funding mechanisms). A Notice of Exemption will be filed upon Board approval. |
| Collaborations (including Board advisory groups and external partner agencies) |
| County Counsel, Sheriff's Office, Yocha Dehe Wintun Nation. |
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| Fiscal Impact |
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| Source of Funds for this Expenditure |
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Explanation (Expenditure and/or Revenue) |
| Further explanation as needed: |
| This agreement will provide a one-time payment to the County general fund of $1,500,000 and an annual payment of $6,1600,000 (with a 2.15% Consumer Price Index adjustment on $4,000,000 on a simple adjusted basis every three years) through 2041. |
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