Band Wants City To Pay Them $75.5 Million

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Band Wants City To Pay Them $75.5 Million

By KBJR News 1

The Fond du Lac Band of Lake Superior Chippewa is telling the City of Duluth to pay up.

The band is asking the city for more than $75 million.

If the Fond du Lac band gets its wish from the court, city officials say Duluth would be cash strapped.

"If it were implemented, it would be devastating to the citizens of Duluth, it would be devastating to the services that we provide," said Mayor Don Ness.

Earlier this year, the band notified the city of its intentions to stop paying the city.

In response, the City filed a lawsuit in federal district court in Saint Paul in an effort to force the band to stick to the agreements. Now, in a counter claim, the tribe is asking the court to make the city fork over about $75.5 million--the amount of money the band has paid the city under the 1994 agreements.

We were unable to contact the tribe for comment on the counterclaim. But in an interview, last year, the band's chairperson questioned the money-sharing agreement.

"We have about a $9 million payroll in the City of Duluth and for a business that's operating in Duluth, I'm not sure many businesses would tolerate that level of taxation," said Karen Diver, Fond du Lac Band chairperson.

The city says it has made plans to use casino cash for it's Street Improvement Program. Right now the city is working to make sure the band doesn't get its way.

"We're confident in our position that it will be quickly resolved," said Ness.

Officials say the city is currently working on filing a legal response to the band's counterclaim.

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