November 17, 2008

Red Lake Band of Chippewa Receives $31 Million SMSC Loan for New Casino, Other Projects

Shakopee, Minnesota - The Shakopee Mdewakanton Sioux Community (SMSC) announces a loan to the Red Lake Band of Chippewa for $31 million to fund three projects.

The most extensive of these is a $21.7 million project to construct a new Red Lake Seven Clans Casino and Hotel to replace the Band’s existing casino at Red Lake, a converted gymnasium that opened about 15 years ago. The new casino will be seven miles closer to Bemidji, Minnesota, just east of State Highway 89. The construction loan will fund a casino to house 270 slot machines initially with a capacity for 300; an all-suite hotel with 40 fireplace suites, a restaurant; event center; swimming pool; furniture, fixtures, and equipment for the casino and hotel; refurbishing the existing casino for other tribal government educational purposes; and the purchase of land in Warroad, Minnesota, for a future casino project. A ground breaking ceremony was held Monday, October 13, 2008, for the new casino. The casino, which is expected to open in late 2009, will have a total square footage of about 65,000 square feet. Future plans include a golf course and pow wow grounds.

The remaining $9.2 million of the loan will be used for the construction of a tribal law enforcement center and a greenhouse. The Red Lake Regional Justice Complex, located on a 26.7 acre site, when complete in early 2009 will house the tribal police department, court system, adult detention center, and a juvenile detention center. The total area of all four components of the Justice Complex is 56,378 square feet. The two detention centers within the complex, previously constructed with tribal and federal funds, will adjoin the new building.

The 21,120 square foot greenhouse complex will have the capacity to grow 1,000,000 seedlings per year, nearly doubling the capacity of the existing green house. It will be operational for the 2009 growing season. The Red Lake Nation has operated one of the oldest and largest tribal greenhouses in the United States for more than 60 years. Red Pine, White Pine, Jack Pine, White Spruce, and some varieties of Oak are grown for planting on the reservation. Due to illegal clear cutting and heavy logging under the auspices of the federal government in the twentieth century (which was only resolved through litigation), the Red Lake Nation has dramatically increased their greenhouse operations to meet the tribe’s aggressive Forestry Management Plan.

The Red Lake Reservation, which consists of 1,259 square miles in northwestern Minnesota, has a present population of over 6,000. In fiscal years 2007 and 2008 the SMSC made $1 million grants for the tribal fishery. In 2006 the SMSC awarded a $1 million grant to the Red Lake Band of Chippewa for a Boys & Girls Club. Other SMSC grants to the Red Lake Band include $500,000 for the St. Mary’s School and $200,000 for a Family Advocacy Center. For more information on the Red Lake Band of Chippewa go to http://www.rlnn.com.


 
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