November 26, 2024 3 min read

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Trump’s Secretary of the Interior Option Could Stop Tribal Gaming Extension

President-Elect Donald Trump has selected North Dakota Governor Doug Burgum as his nominee for Secretary of the Interior, a move that may pose challenges for tribal gaming operators’ plans

After making many bettors richer after his election at the start of the month, President-Elect Donald Trump’s nominations have started to pop up. 

One of them is that of North Dakota’s Governor Doug Burgum as Secretary of the Interior, an option that may present a series of challenges for tribal gaming, especially regarding the “hub-and-spoke” model used for online gaming

While Burgum is yet to be officially confirmed, his past stance on tribal gaming could influence policies within the Department of the Interior (DOI), which is known to play a crucial role in regulating tribal gaming activities.

Skeptic Over the Hub-and-Spoke System 

Burgum’s record as North Dakota’s governor has showcased his skepticism regarding the legality of the hub-and-spoke system that allows tribal gaming operators to go beyond reservation boundaries for online gambling. 

In 2022, the 68-year-old born in Arthur, North Dakota, negotiated new gaming compacts with the state’s tribal authorities. 

However, he opposed broad online gaming expansions, arguing there was no clear legal pathway for such developments.

For context, the hub-and-spoke model involves a central “hub” on tribal lands where online gaming servers are located, with “spokes” representing the websites or apps players use to place bets. 

The system aims to comply with the Indian Gaming Regulatory Act (IGRA), which governs tribal gaming, by ensuring the gaming operations occur on tribal lands. 

Proponents argue that as long as the server processing the wagers is on tribal land, the model remains compliant with IGRA. 

At the same time, critics claim it doesn’t fully satisfy the law, particularly regarding gambling outside of tribal territories.

Florida’s Hub-and-Spoke System, Uphed in Federal Courts

A prime example of the hub-and-spoke system in practice is the Seminole Tribe in Florida, which uses the model for its sports betting operation. 

Despite legal challenges, the system has been upheld in federal courts

In 2024, the Bureau of Indian Affairs (BIA) clarified that it would not prevent compacts involving the hub-and-spoke model from being approved. 

Nonetheless, this policy could be subject to change under Burgum’s leadership.

If confirmed as Secretary of the Interior, Burgum may influence the DOI’s stance on this issue. 

His previous comments indicate that he may take a more restrictive approach to online gambling, which could limit the expansion of tribal gaming via the hub-and-spoke model, particularly in states looking to replicate the success seen in Florida.

Tribal authorities may need to explore other avenues for online gaming if Burgum alters the DOI’s interpretation of IGRA. 

States like Arizona, Connecticut, and North Carolina have pursued alternative frameworks for integrating tribal gaming into state-regulated systems. 

Burgum’s policies may further shift the balance toward stronger state-tribal partnerships in expanding gaming opportunities.

At the end of October, before the elections, Trump openly admitted he would be looking for a lot of outside advice for key staff appointments. 

One of his advisors has been casino mogul Phil Ruffin, the owner of Treasure Island and Circus Circus in Las Vegas, and also one of Trump’s close friends. 

Ruffin then advised Trump against appointing John Bolton as national security advisor.
In September, Trump became the first US president in history to make a Bitcoin transaction.

After finishing her master's in publishing and writing, Melanie began her career as an online editor for a large gaming blog and has now transitioned over towards the iGaming industry. She helps to ensure that our news pieces are written to the highest standard possible under the guidance of senior management.

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