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Arkansas Supreme Court Rules on Casino Ballot Challenge

The Arkansas Supreme Court has rejected a challenge to a ballot measure aimed at revoking a casino license in Pope County, ruling against claims of illegal signature gathering. A decision on the ballot's wording is still pending.
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Arkansas Flag

Branimir Ivanov | Senior News Contributor

Updated: Oct 16, 2024

Arkansas iGaming CHallenges

The Arkansas Supreme Court has delivered a ruling on one of two challenges to a ballot measure concerning a planned casino in Pope County. On Monday, the court rejected a key portion of a lawsuit aiming to disqualify the ballot measure, which seeks to revoke the license granted to Cherokee Nation Entertainment (CNE) for the casino project. The court unanimously found that the measure did not violate laws governing signature gathering. A separate ruling is pending regarding the wording of the ballot measure itself.

 

Court’s Decision on Signature Gathering Process

The lawsuit, filed by the Arkansas Citizens for Casino Control (ACCC), claimed that the ballot measure, backed by the group Local Voters in Charge, should be disqualified for failing to follow legal procedures in collecting signatures. Specifically, it argued that Local Voters in Charge did not properly document its use of paid campaigners and violated a ban on paying canvassers per signature. Special Master Randy Wright, appointed to review the case, had previously disagreed with these claims, and the high court's decision upheld Wright's findings.

Local Voters in Charge had gathered over 162,000 signatures across all 75 counties, exceeding the 90,704 signatures required by Arkansas law to qualify the measure for the November ballot. In their response to the ruling, the group expressed gratitude for the court's decision, emphasizing their commitment to ensuring that local communities have a say in the casino’s fate. They remain hopeful that the court's upcoming ruling on the ballot language challenge will allow voters to decide the issue in the November election.

 

Pending Decision on Ballot Measure Language

While the court dismissed allegations related to the signature gathering process, it has yet to issue a decision on a second aspect of the lawsuit. This focuses on whether the ballot measure's title and description — known as the “famous name” — are clear and accurate. The ACCC argues that the measure's language is misleading and that its true intent is to undermine a previous vote in 2018, which approved four casino licenses, including the one for Pope County. The outcome of this part of the lawsuit could determine whether the measure remains on the ballot.

Allison Burum, a spokesperson for the ACCC, expressed disappointment at the court’s initial ruling but emphasized that the organization remains focused on the pending decision. Burum criticized Issue 2, the proposed constitutional amendment, as an attempt to reverse the will of Arkansas voters, warning that it could result in job losses and a reduction in tax revenue if it passes.

The dispute over the Pope County casino license has been contentious since Arkansas voters approved a 2018 referendum allowing casinos in four counties: Crittenden, Garland, Jefferson, and Pope. While casinos in the first three counties have become operational, Pope County remains the only site yet to see a casino due to local opposition.

In June 2024, the Arkansas Racing Commission awarded the casino license for Pope County to CNE, which had been competing with Gulfside Casino Partnership for the permit. Gulfside subsequently filed a lawsuit challenging the license award, alleging improper pressure was applied to secure support letters from local officials. CNE denied these claims and sought dismissal of the lawsuit. Meanwhile, local opposition, spearheaded by groups like Investing in Arkansas, has continued to challenge the casino project through public campaigns and legal action.

 

“We’re grateful for today’s Arkansas Supreme Court ruling. It’s no small thing for the Supreme Court to unanimously rule that we got it right on the canvassing process, with over 110 thousand signatures ultimately affirmed.”

 

Next Steps for the Ballot Measure

With the Arkansas Supreme Court's recent decision, attention now turns to its forthcoming ruling on the ballot measure’s wording. If the court sides with Local Voters in Charge, the measure will appear on the November ballot, allowing voters to decide whether to maintain or revoke the CNE casino license in Pope County. If the ACCC's challenge is successful, however, the measure could be disqualified, leaving the license issue unresolved.

As the state prepares for the November vote, the fate of the Pope County casino remains uncertain, with legal battles, local opposition, and economic considerations all playing a role in shaping the outcome.

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