Thursday, September 25, 2014

URGENT: Financial crisis needs your attention at Membership Meeting

The Farmer’s Almanac predicts that we’re in for a brutally cold and snow-filled winter this year and it’s coming soon. Brace yourselves members of Lac Courte Oreilles, it’s going to be an especially hard winter for you and here’s why…the tribe is back in debt again. Layoffs and cutbacks are on the horizon!

When I started out with this fresh idea to create a newsletter and blog to communicate the news to the tribal membership at LCO I didn’t want it to be too negative, and trust me, I do have a handful of positive human interest stories I’m working on for the first newsletter when it comes out next week. Unfortunately, there is something that needs immediate attention and that’s the financial status of the tribe. This is an urgent matter and for that reason you need to attend the General Membership Meeting this Saturday, 9:00 am, at the LCO Casino Bingo Hall.

When the new leadership of our tribe took over just 14 months ago we had a surplus of $3 million in the bank. Today, we have nearly a quarter million in bank overdraft fees. How could this have happened in such a short period of time? You need to go to the meeting and you need to ask the leadership how they could be so fiscally irresponsible to allow all of that Nez Perce money to be squandered this way.

Many of the membership had their own ideas what should have been done with that $7 million dollar bonus when it came in. Most thought it should have been paid out as a per capita payment directly to the tribal membership. Our leaders (at the time) thought it would be a better idea to get the tribe out of debt and put the rest in the bank for operations of the tribe. A surplus would insure a healthier tribe (financially) with more opportunities in the future. Well, guess what. The money is gone and the tribe is already making cuts to programs and tribal services. Very soon we’ll see layoffs and those who don’t get laid off will get their work week cut…again. You suffered through that two years ago in an effort to get the tribe back on track and out of debt, and it worked…only to see it happening again in such a short period of time. If this is what was going to happen to the Nez Perce money, then maybe the right thing would have been to give the membership that money in a direct payment because our leaders squandered it away anyways. Within months we’ll be right back where we were just three years ago. In debt, overdraft fees and soon, getting loans to pay down debt, followed by liens put on our tribal lands.

This is why it is so important that you attend the meeting and ask your leadership why. Why have they allowed such a large surplus to be squandered away in such a short period of time? Sure, the tribe has a lot of expenses including some enterprises that put a major strain on the tribe and it doesn’t help that our casino revenues are way down due to poor management, but prior to the Nez Perce money coming, our tribal leaders (at the time) had put together some action plans to get the tribe operating in a fiscally responsible way. Some of these actions included a business board to oversee enterprises, financial meetings held every two weeks, and most importantly, accountability. Tribal managers were held accountable for their operations. There were many other positive actions aimed at getting the tribe back on track, which included a large grant from the Shakopee Tribe. Then, as all of these things were in full swing, a gift came along…the Nez Perce money. Since that time, the new leadership abandoned all of those action plans. And now where are we?

Ask yourself, are we better off financially? If you were unaware of the track we’ve been on, then now is the time to find out what’s happening by attending the General Membership Meeting and asking the leadership.

What most of you don’t realize is that in addition to poor spending habits, our casino revenues are way down. I wrote about the casino and all the changes (not for the better) taking place up there two weeks ago. In that article, I talked about how we’re heading into the long and cold winter and the tourists will be gone. The locals are already upset with the way the casino has been run…bingo cut back, table games cut back, slot points cut back. And now, many of our people will be suffering from layoffs and lower wages, so do you think they will be able to go to the casino? During the winter months, we’ve always had to depend on local traffic and it’s not going to be there. This means one thing…while the tribe is already robbing Peter to pay Paul there will be much less revenue coming into the tribal coffers from the casino making a bad situation much worse.

What happens in your household when you spend more than you make? The answer is a no-brainer. So, why would our leaders think they could spend us into debt in just one year?

Attend the meeting. Ask about the quarter of a million dollars in overdraft fees. Ask about the $3 million dollar surplus and where it is. Ask about the casino revenues and just how down they have become over the past three years.

One final note, the tribal council took a vote recently whether to extend the contract of our casino manager and they voted 4-3 to keep him despite how poorly it’s been run. The voters in favor of extending his contract were Chairman Mic Isham, Vice Chairman Rusty Barber, Norma Ross and “Little Guy” Gary Clause. Those who voted against extending his contract were Don Carley, Larry Kagigebi and Gordon Thayer.

If the tribe is going to stop this descent before Christmas bonuses are cut out this year, workers are cut back to 32 hours, elder services are all but gone, tribal lands are in hawk to the bank and overdraft fees climb up to half a million, something has to be done now. Enterprises need to be accountable, tribal leadership needs to be fiscally responsible and our casino needs a new direction back to where it was just a few years ago…when it was fun.

These are the reasons why you should attend the General Membership Meeting and demand some answers.  Find out for yourselves just how long our tribe has before these things happen so that when you get that memo informing you about your new 32 hour work week, or worse yet, you’ve been laid off, you won’t be surprised.

Wednesday, September 17, 2014

LCO Elders visit Oneida to learn about their Elder Services

Recently, members of the LCO Elders Association took a trip to the Oneida Nation over by Green Bay. The purpose of the trip was so that the elders could see what type of services and programs they offer. I am reprinting an article that appears in their monthly newsletter, LCO Elder’s Corner, describing their trip in pretty good detail. The monthly newsletter is prepared by Mona Ingerson and she has done some pretty good reporting about their trip to Oneida.

The article tells not only about the programs and services for elders, but a lot about the structure and enterprises of the tribe. It’s pretty cool to learn about how other tribes function and operate. It appears that the Oneida have their *bleep* together. One of the parts in the elder’s report I like best is how the Oneida tribe’s general membership meets to elect a Business Committee to oversee the tribal enterprises. The general membership also elects the gaming commission, the election board, a commission on aging, land commission, land claims commission, school board and enrollment committee, meaning all these boards are then responsible to the membership rather than the tribal council (business committee).The Business Committee then appoints other boards, but to think, all these boards in the hands of the general membership. Now, that’s power to the people! And it works! The Oneida Nation is one of the most productive, well-managed tribes in the state.

The elders also report that Oneida is known for having the best services for their elders. By reading this report, you get the feeling that they are pretty good at taking care of all their members and guests as well. They even give a large amount of money to their members to attend college. Good for them.

I realize that the Oneida have a lot of money due to their casino next to a population center, but there are other tribes who have a lot of money who run themselves into the ground worse than if they hadn’t the money in the first place.

I think the right structure and planning can create a much more sound government and it doesn’t take money. The Oneida structure says it all, much more power rests in the hands of the people than does here at LCO and look how ineffectively operated our tribal government is versus theirs. For example, the article below lists a wide variety of services provided to their elders. Some of those services were provided here at LCO up until this year when an announcement was recently made that the tribe could no longer afford to provide them. Their announcement said due to budget cutbacks, the tribe had to put on hold various social assistance programs, such as elder home repair and car repair and logger’s cord of wood. What a major slap in the face to our elders. Less than two years ago our tribe was out of debt after receiving the Nez Perce money. Now we can’t afford to assist our elders?

 I can think of another tribe that is doing very well here in Wisconsin, the Ho Chunks, and they have the same type of system as the Oneida, where the people as a general assembly directly elect their leadership.

Well, without further ado, here is the article reprinted from the LCO Elder’s Corner.

LCO Elder Association visit to Oneida Nation

Ten members of the LCO Elder Association traveled to the Oneida Nation in northeast Wisconsin to learn more about their services and programs for tribal elders. Oneida is renowned for the best elder programs among Wisconsin tribes.

The Oneida Tribe has a franchise to operate a Radisson Hotel, where we stayed. The tribe manages the hotel guided by standards required by the Radisson and the Radisson does the marketing. Every seven years, the hotel undergoes a complete cleaning including repainting all walls and replacing all bedding including mattresses. These items are made available to tribal elders. The tribe also operates the Wingate Hotel and other hotels in Sacramento and Washington, DC.

Among many economic enterprises, the tribe is 100% owner of a local bank. Numerous properties are rented to major retailers on tribal land, including Wal-Mart.

Our first stop was to an organization called Options for Independent Living. Options’ facility is a model for home and office displaying adaptable and barrier-free options for persons with physical challenges. Alternatives on display covered a range of situations that are problematic for elders and persons with disabilities including bathing, gardening, using telephones, cooking, to name just a few. The Options office closest to LCO is located in Superior. Options staff works with individuals, helping them find equipment and other assistive technologies that will enable them to remain in their homes. They also assist individuals to identify potential sources of support to pay for equipment and other needed changes.

After a tour of the various housing opportunities for tribal elders, including duplexes, 2-bedroom homes, a skilled nursing facility and an area where 36 new cottages are being built, the LCO Elder Association was welcomed by members of the Oneida Nation Commission on Aging (ONCOA) and the Director of Elder Services, Florence Petri. The chair of ONCOA, Wes Martin, also chairs the Great Lakes Native American Elders Association (GLNEA). Wes and other members described elder services developed by the tribe and plans for the future. There are about 1,200 tribal elders living on or near the reservation. Later this year, an Oneida Elder Expo will be sponsored where all elder programs will come together to inform the public about their services and opportunities.

Elder programs are extensive, including prevention of elder abuse, the Native American Family Caregivers Program; benefits counseling; Foster Grandparents and Senior Companions, Respite Care, assistance with home making; a loan closet for items needed in the home, an in-home emergency response system; help with home chores, home repairs, delivered and congregate meals; transportation, social activities; a 24-hour emergency answering service; and senior employment. Every Friday, elders are transported to the bank and taken shopping. There are 28 full time and 6 part time persons who staff the Elder Services department. The Grants Department procured a grant for some canopies for vendors at a Thursday Farmer’s Market. The canopies are free to Oneida members and are checked out like at a library.

The Elder Association enjoyed lunch at the Elder Complex. The complex, elder housing and the health center are all located in close proximity. All the buildings are connected by sidewalks and there are benches all along the way.

We visited the health center as well. Five to six doctors are on staff, in addition to several physician’s assistants. About 130-150 patients are served daily. One wing is devoted exclusively to diabetic patients. A triage system is in place 24 hours per day, 7 days a week. A full range of medical services is provided including OB/GYN and pediatrics and a full service pharmacy.

Other places we visited included Salt Pork Lane (original log cabins formerly occupied by tribal members); a buffalo farm; a farmer’s market; a cemetery; The Long House (under renovation); the tribe’s planning department, which has a dedicated staff of seven; a recycling center; one of the original churches that has been renovated; The Turtle School (a tribal school, k-12); the Norbert Hill Center, which houses tribal administration; and several tribal gas stations.

The tribe has placed a high value on education. Tribal members who are working toward a baccalaureate degree are eligible to receive $20,000 a year; $25,000 for masters level study; and $30,000 for doctoral studies. Also, a burial allowance of $15,000 is provided.

We attended the inauguration of newly elected officials. The new chair is Tina Danforth. She is one of six women who serve on the tribe’s Business Committee. As we understood it, the General Council of Oneida is the total membership of about 17,000. The General Council elects a nine member Business Committee in addition to electing members of the Oneida Election Board, the Commission on Aging, The Oneida Enrollment Committee, the Land Commission, the Oneida School Board, the Land Claims Commission and the Gaming Commission. There are about 10 other boards whose members are appointed by the Business Committee. Many of the programs are funded by grants procured by the Oneida Grants Department of 8 people.

On our last day, we were very surprised to find out that our hotel bill had been paid by the tribe’s Tourism Department! Before returning to LCO, we had breakfast with the Oneida Veteran’s Association. We left Oneida well-fed and so honored to have been welcomed by everyone we met. The accomplishments of the Oneida Tribe are very impressive; and the people were very hospitable and generous. A special thank you to Kirby Metoxin, whose guidance throughout the trip was enlightening and fun.

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Thursday, September 11, 2014

Where have all the good times gone?

Here’s some breaking news LCO. The LCO Casino manager, Lee Harden, has decided the casino would be better off without table games and absorb those employees into other departments. There will be four blackjack tables to survive and I’m not sure which games that is, such as three-card poker or regular blackjack. But, on the chopping block is the poker room, craps table and roulette and half the other tables. There have been many other changes, not for the good, over the past few years as well, which I’ll get into later.

This is not good news for our casino by any means. It may be that the only time those tables are actually bringing in money is the weekends, but what now? When the casino gets busy on a weekend, the players aren’t going to find the games they have become used to having for the past ten years. Many players are majority table game addicts who drop a little here and there on slots. We will surely lose those players now. They will drive the extra miles to go to our neighboring casino to the south in order to find action. They won’t find it here anymore, unless you call slot machines the action.
And for poker, there is a reason poker has continued its downward slope over the past few years. Sure, all northern poker rooms have experienced less numbers since Forest Lake opened, but they survive by catering to the players. They run tournaments that satisfy players rather than upper levels of management. They provide incentives that reward players for coming to their rooms. They promote and advertise their incentives and player-friendly tournaments. These are things that our casino failed miserably at. They’ve never once had a free buy-in “thank you” tournament in 10 years of play. There hasn’t been any sort of thank you to the players. These are things that other rooms are doing. We missed the boat on that. And, this isn’t the fault of the guys actually running the poker room. Every idea they come up with is ignored by upper levels of management, who have no idea what poker is. Most casinos succeed at poker (and make a lot of money off it) by putting people in charge of the room who actually know the game from a player’s perspective. Our casino hasn’t done that. Control freaks hate to give up an ounce of anything.

Let’s take a look at some other attempts by our casino manager to drive away every last local player.

Senior rewards went from playing $5 to earn $5, to having to play $50. Wasn’t it enough to bring seniors to the casino with a gift of $5? It got them in the door to play. If you’re going to make them play $50 just to earn a measly $5, why call it a reward? Where is the reward to the senior…oh, a reward for when we take your $50.

There have been many changes in the points system at the casino, and they haven’t been in the favor of the player…and players know this. I don’t know how many times I’ve heard lately from upset locals that our casino is the tightest around. Many folks will take the time to drive over to patronize one of the two neighboring casinos to the west and south.

Ever since going to a kiosk system, if you’re not a big spender, you aren’t going to win anything but $5 when you do get a swipe. The system is programmed and knows your exact playing habits, how often you come to the casino, what you spend and it has you listed in certain groups based on this play. It knows whether you’re a player who came twice last month but dropped $500, or if you’re a player who came 15 times last month and didn’t drop close to $500, because you came for the free soda and social time. Guess which player will win the $25 amount when he swipes and which one will win $5 every time. Yes, the guy who came twice will get the bigger win because they want him to come again. The frequent low player will win $5 every time because they don’t care whether he returns or not. This has taken the fun out of any of these drawings as well. It’s programmed on which players actually have a chance to win. It’s the same thing when these two players put a ticket into drawings. The drawings are all computerized now. They don’t even put the names into the drawing barrel and spin it. How lame is that. They have taken the fun out of the casino experience at LCO. And who do you think will win that drawing between these two players again? The player who dropped $500, that’s who.

Remember when you actually dropped your ticket into the barrel. When they did the drawings there would be big crowds gathered around, but now, there aren’t any crowds unless there giving away a boat. They took the fun out of it.

One of the surprising big changes coming from a former marketing director (Lee Harden) is that there is no entertainment. When was the last time we had any entertainment in the convention center? Lee says this doesn’t pay for itself. Yeah, right. Does it lose money? How can it be wrong for our casino to put itself on the map and attempt to draw in customers from other areas? That’s what entertainment does. When someone is planning their weekend casino getaway, entertainment is one of the main things they look for. It does draw in more people and many of those people will drop a few bucks in the casino.

Another thing people look for when they plan their weekend getaway is whether or not a casino has table games. I know back when my wife and I used to take many casino trips, first for blackjack, and then poker when it came along, we always planned the trip based on how many tables they had. We’d look up the casino on websites such as casinocity.com, and I would avoid any casinos with only four tables because it told me it was small and had very little action. I might have reconsidered going to that small casino if it had the right entertainment. Congratulations casino management…LCO will now have neither.

What does this mean as we enter the long and cold winter, where the tourists rarely venture out, unless they have a snowmobile? It means now that our casino manager has done his best to piss off, alienate and drive away the locals, there may be a lot of cobwebs on those slot machines this winter.

Lee brings numbers up to the tribal council that show the casino is doing fine. But, here’s the deal. He’s cut so many expenditures, most meant to draw in customers, such as giveaways and entertainment that as casino revenues fall it will still appear as nothing has changed over the past three years. The truth is the casino is bringing in much less revenues now than it did three years ago. It appears the same because our expense and overhead are much less. But, what does this mean for our casino?

Another change to come to our casino is that the manager, who is paid a six-figure salary to manage, has hired a handful of highly paid executive assistants to do the jobs that he should be doing. Here is an example of one hiring that didn’t make sense. I, for one, thought our buffet was pretty damn good. I liked the food better than other buffets nearby. One of Lee’s first actions as manager was to hire another buffet manager over the current manager at that time. Why did we need another high priced “executive chef” over the buffet manager? Why did we need an assistant like Dulcie Rae Wolfe when we already had Kim Martinson? Dulcie is an old friend of Lee’s from way back, so tell me, did we really need to create a high-priced position for her. Imagine how much all of these new positions cost us in the yearly casino budget. I suppose it made sense for Lee to do some drastic cuts of other expenses.

I’m already hearing rumors that our tribe is just about bankrupt. We went from money in the bank and loans paid off a year and a half ago, to spending ourselves back into debt again. I’ll have more on this in another blog as I’m researching this now. But, back to the casino financials, as the tribe goes further into debt, where are they going to look for rescue…the casino. As the long and cold winter begins and the tourists go home, where is the casino going to look for rescue…us locals. Where are we going to be…about an hour from here enjoying an affordable drink, playing some craps, earning points, getting ready for the concert.


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