Route to Recovery
A trip through the epicenters of the American recession

11:54 November 5th, 2009

Native Americans look to renewable energy as casinos struggle

Posted by: Nick Carey
Tags: Uncategorized, , , , , ,

ROUTE-RECOVERY/

LAUGHLIN, Nevada — Like the rest of Nevada’s casinos, the Fort Mojave Indian Tribe’s Avi Resort & Casino in the south of the state has been hurt by a slow economy that has resulted in fewer gamblers coming to try their luck.

But as President Barack Obama touts renewable energy and “green jobs” as a way to rejuvenate the ailing economy, the tribe is hoping to hit a jackpot of its own in alternative energy.

“Gaming can’t be the sole source of income for our tribe,” said tribal vice chairman Shan Lewis. “Whether it’s this generation or the next generation, it isn’t always going to be able to support us.”

Though Lewis said plans to diversify, in particular the development of solar power in the desert, date back some years and are not related to America’s longest and deepest downturn since the 1930s, the tribe’s casino business is clearly hurting.

State gambling profits fell 9 percent in August to $847 million from $934 million a year earlier, according to the Nevada Gaming Control Board. In Laughlin, profits fell 13.8 percent to $38 million — the 20th consecutive month of declines.

“The drop in revenue has affected the tribe in general because we use that money to sustain our way of life,” Lewis said. The Fort Mojave Indian Tribe has around 1,300 members in California, Nevada and Arizona.

To cut back, the tribe has reduced shifts at its casino but has tried to avoid layoffs, Lewis said. The Fort Mojave Indian Tribe has also had to shelve plans for a new casino facility in California because of the credit crunch.

“There are just not a lot of institutions out there lending any money right now,” Lewis said. “We feel it’s a great project, we think it’s eventually going to move forward but we’ll have to take a little break there for a while.”

Much of the tribe’s focus is now on lobbying the government for incentives to invest in renewable energy sources, plus upgrade the transmission system so that electricity generated by the tribe could be sold elsewhere.

“If the government wants to see a renewable project out here,” said Jeff Castillo, economic development officer for the tribe, “we can make it happen.”

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Photo by Lucy Nicholson

2 comments so far

It is so easy when we say we want to transfer a casino economy to energy, but consider what it really is going to take when people actually do the job. My opinion is not giving up casino so soon, solar energy industry is good, but please think about the cost and everything. Casino can boom, as much as other entertainment did to the American economy in the past, just give it another try.

- Posted by mens dress shirts

i think the industry just has to reevaluate its efforts to make their business more profitable. sure, the casino industry is hurting with our downward economy, but every industry takes a hit every now and then.
renewable energy can be a great way to make more money for the tribes, but then again, maybe not. it’s all about making smart and clever business decisions.

- Posted by Custom Dress Shirts

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