KINGS MOUNTAIN, N.C. — A potential deal cutting ties between a developer and the Catawba Nation over the Two Kings Casino resort is in limbo. The nation's new chief is calling the cost to terminate its arrangement with developer SkyBoat exorbitant.
According to a statement from the Catawba Nation, SkyBoat is asking for a one-time fee of $125 million and a yearly fee of $6 million for leased land housing the parking lot.
The tribe said it is trying to sever the relationship after gaming regulators found violations in how much power was handed over to SkyBoat while expanding the casino. It said the National Indian Gaming Commission (NIGC) threatened fines and said development on the permanent casino could not happen until the violations were resolved.
An investigation by NIGC alleged the Catawba Nation violated regulations by allowing SkyBoat to "manage in part the expansion of Catawba Two Kings Casino without an approved management contract," the agency explained.
The Indian Gaming Regulatory Act, enacted by the United States Congress in 1988 to regulate the conduct of gaming on Indian Lands, required the Catawba Nation to seek the approval of the NIGC chairperson before entering into such a management contract.
Although previous leadership agreed to the termination fees, Chief Brian Harris, who was sworn in earlier this year, said SkyBoat has not properly shown how it arrived at the fee it is requesting.
“Sky Boat is holding hostage this casino resort project and all of the economic and quality-of-life benefits for our people and residents of the area,” Harris said in a news release. “We need a fair deal so we can realize the full financial benefits of the project, create 2,600 permanent jobs and hundreds of construction jobs, and provide local governments and the state of North Carolina with tax revenue and other investments under our compact.”
Contact Vanessa Ruffes at vruffes@wcnc.com and follow her on Facebook, X and Instagram.