A planned $700 million casino resort by the Scotts Valley Band of Pomo Indians has been halted after just seven days of operation for its temporary, invitation-only preview casino.
The U.S. Department of the Interior reversed its earlier approval for the project in Vallejo, California, ruling that the tribe had not demonstrated the required historical connection to the land to allow gaming under federal law. The temporary casino, housed in modular buildings, opened on July 25 and was forced to close by August 1.
Assistant Secretary for Indian Affairs William H. Kirkland III determined that the Vallejo parcel did not qualify as "restored tribal lands" under a federal exception that permits gaming. "Consequently, the Vallejo parcel does not qualify as restored lands within the meaning of applicable law, and the Band may not conduct gaming on the parcel pursuant to (the Indian Gaming Regulatory Act’s) restored lands exception," Kirkland stated in his decision.
The larger resort project, planned for a 160-acre site near Interstate 80 and Columbus Parkway, envisioned an eight-story casino, restaurants, bars, a ballroom, a parking garage, two dozen homes, tribal offices, and a 45-acre biological preserve.
The Interior Department's decision reversed a prior federal approval that had previously cleared the path for the casino plans. Opponents, including the Yocha Dehe Wintun Nation, had argued that the Vallejo site was within the ancestral territory of the Patwin people and challenged the Scotts Valley Band's historical ties to the land.
Scotts Valley Band Chairman Shawn Davis stated that the tribe intends to challenge the Interior Department's decision in federal court. "The administrative record overwhelmingly supports the Tribe’s gaming eligibility. We will move quickly to challenge the decision in federal court," Davis said.
The federal government had initially approved the site for gaming in early 2025 before reconsidering the property's eligibility under the restored lands exception. The shutdown occurs amid ongoing expansion and increased competition within California's tribal gaming industry, with disputes over land, sovereignty, and revenue becoming more prominent.