Stockbridge-Munsee Tribal Law Library
Stockbridge-Munsee Tribal Code.

Section GMG.02.07 — Use Of Net Gaming Revenues: Individual Per Capita Payments

(a) Authorization for Individual Per Capita Payments.

(1) In order to advance the personal health, safety and welfare of qualified tribal members, the Tribal Council shall review at least sixty (60) days prior to the commencement of the upcoming fiscal year the income, expenses and management of tribal gaming operations, and after due consideration of the need to fund tribal government operations and programs, and the other areas outlined above, shall decide whether to make any changes to the Revenue Allocation Plan providing for appropriate percentage allocation of tribal gaming revenues within the annual budget of the Tribe for the upcoming fiscal year. The Council shall also determine what amount, if any, of the revenues allocated to general welfare purposes, Section GMG.02.05, and unused funds from Section GMG.02.03, Section GMG.02.04 and Section GMG.02.05 of the current fiscal year shall be appropriated for distribution as per capita payments for the upcoming fiscal year.

(2) If a majority of the Tribal Council votes to permit a per capita payment, such vote shall specify the percentage allocation to be used for such payment. The percentage allocation for total per capita payments shall not exceed the amount budgeted from gaming revenues for Tribal investments in the upcoming fiscal year. The percentage allocation shall be divided into equal shares and paid to all qualified tribal members.

(3) Tribal members, their guardian if applicable, or their parent(s) in the case of a minor tribal member, are responsible for submitting the required documentation to the Tribal Treasurer in order to receive a per capita payment.

(4) The Tribal Council shall be the exclusive forum for disputes concerning the allocation of net gaming revenues and the distribution of per capita payments.

(5) In accordance with 25 C.F.R. 290, and for purposes of this Plan, "per capita payment" shall mean those payments made or distributed to all enrolled tribal members which are paid directly from the net revenues of any gaming activity; no other commonly accepted or used definition of the term "per capita payment" affects the use of the term herein.

(6) If Tribal Council approves a per capita payment, per capita payments to qualified tribal members shall not be made prior to October 30, or the first business day thereafter, of the upcoming fiscal year.

(7) All net gaming revenues designated for distribution as per capita payments shall be deposited, when received by the Tribe from the Casino, into a low-risk interest bearing account with a federally insured financial institution prior to distribution.

(8) Any net gaming revenues allocated to per capita payments that have not been expended as of the last date of the fiscal year may, at the discretion of the Tribal Council, be allocated into 50% long-term investments and 50% into the purposes set out in Section GMG.02.03, Section GMG.02.04, and 27.5 (in equal percentages) for the upcoming fiscal year.

(b) Eligibility. "Qualified tribal member" for the purposes of this Plan, shall mean those individuals who are alive and duly enrolled in the Stockbridge-Munsee Tribe pursuant to Article III of the Tribe's Constitution as of June 1 of the calendar year in which the per capita payment is paid. Per capita payments to minor qualified tribal members (as defined in Section GMG.02.07(c)(1)) shall be made in accordance with the provisions of Section GMG.02.07(c).

(1) Newborns. All babies born after March 1, but prior to June 1, and whose applications for enrollment have been properly submitted to the Land and Enrollment Office by July 31 shall be eligible for the payment from the fiscal year, provided that Tribal Council enrolls the newborn. Payment shall be paid to the Minors' Trust Fund upon completion of the enrollment process, and in accordance with this Section GMG.02.07(c).

(2) Incompetents.

(A) In the event a tribal member is declared incompetent of his or her financial affairs by a court of competent jurisdiction before a per capita payment is paid, and the Tribal Treasurer has been duly notified, the following shall apply:

(i) The Tribal Council shall place the per capita payment into a trust account with in accordance with any trust agreement the Tribe may have with a trustee.

(ii) The trust account shall be under the control and direction of the Tribal Council. The trust account shall be considered a grantor trust and the Tribal Council shall be considered the grantor and owner of the trust account.

(iii) Each incompetent shall have individually named accounts within the trust account.

(iv) The trust account shall have the ability to produce the status of the individual incompetent's account for the Tribal Council at any time.

(v) The Tribal Council shall be the owner of the incompetent's individual trust account. The Tribal Council or its appointed agent shall make disbursements to the court appointed guardian for the purposes of providing for the incompetent's health, education or welfare on a case by case basis upon a demonstration to the satisfaction of the Tribal Council based upon the following criteria:

(I) that the person requesting the withdrawal of monies on behalf of the legal incompetent is the court appointed guardian of the legal incompetent in question, and,

(II) that the money will be used for the personal health, safety, welfare, or educational needs of the incompetent.

(vi) The Tribal Council shall deny requested distributions of trust assets in the event of failure of the legal guardian to demonstrate to the satisfaction of the Tribal Council that criteria in Section GMG.02.07(b)(2)(A)(v)(I) and (v)(II) have been met.

(vii) The Tribal Council or its appointed agent may also require that the petitioning guardian submit receipts of expenditures made from funds disbursed hereunder before any future disbursements are made. The establishment of a regular monthly allowance for any individual declared legally incompetent from the proceeds of any per capita payment placed into trust under this section shall remain at the discretion of the Tribal Council.

(viii) In the event a court of competent jurisdiction determines that the Tribal member is no longer incompetent, the Tribal member must notify the Tribal Council by providing a certified copy of the court order. If the Tribal Council is satisfied with the authenticity of the court order, the Tribal Council, by motion, must direct the Tribal Treasurer to proceed with dispersing funds that may remain in the Tribal member's trust account to the Tribal member, provided that the Tribal member is otherwise eligible for full payment. If the Tribal member is under the age of twenty-one (21), then the funds shall be paid pursuant to Section GMG.02.07(c)(3).

(ix) Except as specifically identified in this ordinance, in no event will the individual trust accounts be subject to any preferred claim by the beneficiary or guardian; nor are any rights created between the beneficiary and the Tribe; nor shall the principal and interest in the trust accounts be shielded from claims of general creditors of the Tribe, under applicable federal or Tribal law.

(x) In the event the Tribe seeks bankruptcy protection or insolvency, or the Trustee believes or has reason to believe that the Tribe is unable to pay its debts as they become due, the Trustee shall cease payments to beneficiaries and shall hold the assets of the trust accounts for the benefit of the Tribe's general creditors.

(xi) Beneficiary trust accounts may not be anticipated, assigned (either in law or equity), alienated, pledged, encumbered or subjected to attachment, garnishment, levy, execution or other legal or equitable process.

(xii) There are no intestacy rights with regards to a beneficiary's trust account. In the event the beneficiary dies prior to attaining legal competency, the monies shall go to the Tribe's education fund, the Tribe's burial trust fund, and the Tribe's health fund equally.

(c) Minors. In order to provide for the future safety and well being of the children of the Stockbridge-Munsee Community, the Tribal Council hereby authorizes that per capita payments designated for minor qualified tribal members shall be deposited into a "Minors' Trust Fund" established in a trust agreement with a financial institution, and in accordance with any trust agreement the Tribe may have with a trustee. If the minor qualified tribal member will be eligible to receive the per capita payment directly by the end of the upcoming fiscal year, the Tribal Treasurer may instead deposit the per capita payment into a federally insured certificate of deposit, if it is to the financial benefit of the minor qualified tribal member.

(1) A "beneficiary" means an individual who is a qualified tribal member as defined in Section GMG.02.07(b) except that he or she has not reached the age of EIGHTEEN (18) as of the last date of this fiscal year.

(2) Payments into the Minors' Trust Fund shall be deposited into the respective accounts of the minor qualified tribal member. Account balance statements shall be available to the participant, parent, parents or legal guardian of the minor qualified tribal member.

(A) The trust account shall be under the control and direction of the Tribal Council.

(B) The trust account shall be considered a grantor trust and the Tribal Council shall be considered the grantor and owner of the trust account.

(C) Each minor qualified tribal member shall have individually named accounts within the trust account.

(D) The trust account shall have the ability to produce the status of the individual minor qualified tribal member's account for the Tribal Council at any time.

(E) The Tribal Council shall be the owner of the minor qualified tribal member's individual trust account.

(3) Beneficiaries shall be eligible for receiving payment of the monies accumulated in the Minors' Trust Fund, including interest, less expenses, for the particular beneficiary, provided that the minor qualified tribal member has participated in at the financial planning/investment consultation with the Trustee's financial advisors and:

(A) Upon reaching the age of EIGHTEEN (18), provided that the tribal member has graduated high school or obtained a G.E.D., the beneficiary shall be paid 25% of the balance of their portion of the Minor's Trust Fund.

(B) Upon reaching the age of NINETEEN (19), provided that the tribal member has graduated high school or obtained a G.E.D., the beneficiary shall be paid 25% of the balance of their portion of the Minor's Trust Fund.

(C) Upon reaching the age of TWENTY (20), provided that the tribal member has graduated high school or obtained a G.E.D., the beneficiary shall be paid 25% of the balance of their portion of the Minor's Trust Fund.

(D) Upon reaching the age of TWENTY-ONE (21), the beneficiary shall be paid the remaining balance of their portion of the Minor's Trust Fund.

(E) Application for payment shall be approved by the Tribal Council or its appointed agent, upon sufficient evidence demonstrating the requirements of Section GMG.02.07(c) (3) have been satisfied.

(F) Payments made to beneficiaries under Section GMG.02.07(c)(3)(A)(c)(3)(D) shall not affect payments due to them as a qualified member under Section GMG.02.07(a).

(4) The Tribal Council or its appointed agent shall have the authority to disburse proceeds of any funds placed into the Minors' Trust Fund on behalf of a minor qualified tribal member in extenuating circumstances, on a case by case basis, and upon demonstration to the satisfaction of the Tribal Council based upon the following criteria:

(A) Any requests for such disbursements shall be made in writing to the Tribal Council,

(B) that the personal health, safety, welfare or educational needs of the minor could be drastically impaired or affected in the absence of such payments,

(C) that any and all alternative funding resources have been exhausted, and,

(D) provision of documentation from qualified medical personnel or education institutions establishing that a dire health, safety, welfare or educational need exists.

(5) Denial of per capita payments by the Tribal Council shall be made in the event of failure of the parents or legal guardians to demonstrate to the satisfaction of the Tribal Council that criteria in Section GMG.02.07(c)(4)(A) to Section GMG.02.07(c)(4)(D) have been met.

(6) The Tribal Council or its appointed agent may also require that petitioners submit written receipts of expenditures made from funds disbursed hereunder before any future disbursements are made.

(7) There are no intestacy rights with regards to the trust account of a qualified tribal member who is a minor. In the event the minor qualified tribal member dies before receiving any trust account maturity payment, all funds remaining in that minor's trust account shall go to the Tribe's education fund, the Tribe's burial trust fund, and the Tribe's health fund equally.

(8) Except as specifically identified in this ordinance, in no event will the individual trust accounts be subject to any preferred claim by the beneficiary or guardian; nor are any rights created between the beneficiary and the Tribe; nor shall the principal and interest in the trust accounts be shielded from claims of general creditors under applicable federal or Tribal law.

(9) In the event the Tribe seeks bankruptcy protection or insolvency, or the Trustee believes or has reason to believe that the Tribe is unable to pay its debts as they become due, the Trustee shall cease payments to beneficiaries and shall hold the assets of the trust accounts for the benefit of the Tribe's general creditors.

(10) Beneficiary's trust accounts may not be anticipated, assigned (either in law or equity), alienated, pledged, encumbered or subjected to attachment, garnishment, levy, execution or other legal or equitable process.

(d) No Retroactive Payment. Any person enrolling in the Stockbridge-Munsee Community after June 1, 1995, except as otherwise specified herein (see Section GMG.02.07(b)), shall not be entitled to any back payments of per capita proceeds. The first per capita payment to a new tribal member shall be on the first date of a regularly scheduled payment after his or her qualified status is confirmed in accordance with Section GMG.02.07(b).

(e) Federal Tax. The Tribal Council or its appointed agent shall ensure that notification of the application of federal tax laws to per capita payments authorized by this Plan be made when such payments are made. The Tribal Council or its appointed agent shall also implement a procedure by which qualified tribal members who receive per capita payments shall have applicable taxes automatically deducted from per capita payments, in accordance with 25 C.F.R. §290.12(5), 26 C.F.R. part 31, and 26 U.S.C. §3402(r).

(f) Judgments for Obligations Owed the Tribe. The Stockbridge-Munsee Tribe may, in its discretion, determine that the per capita distribution may be withheld for payment to the Tribe for amounts due the Tribe and established by a court of competent jurisdiction by judgment with any remaining funds being distributed to the individual. In the event that the obligations of the tribal member are non-monetary then the tribal member's per-capita payment will be withheld until the individual satisfies the obligation. If the individual has failed to comply within thirty (30) days, then the tribal member's per-capita payment for that particular year will be returned to the Net Gaming Revenue's General Welfare Fund. Examples include but are not limited to a tribal member refusing to vacate a tribal housing unit, failing to complete community service, etc. In addition to any other tribal remedies, the tribal member's per-capita payment would be withheld. If the individual continued to fail to vacate or perform community service as required, then the tribal member's per-capita payment would be returned to the Net Gaming Revenue's General Welfare Fund. Said withholding may be done by voluntary consent of the debtor or by order of a court of competent jurisdiction, even if the debtor chooses not to accept the per capita payment. In any event, all funds withheld shall be reported to the appropriate taxing authority as income for purposes of federal taxation.

(g) Judgments for Amounts for Child Support. The Stockbridge-Munsee Tribe must withhold Tribal Court ordered child support, as provided for in Chapter YAE.09, from a tribal member's per capita distribution in accordance with this ordinance. Said withholding may be done by voluntary consent of the debtor or by order of a court of competent jurisdiction, even if the debtor chooses not to accept the per capita payment. In any event, all funds withheld shall be reported to the appropriate taxing authority as income for purposes of federal taxation.

(1) If there are no judgments owed to the Tribe under Section GMG.02.07(f), then up to 100% of the tribal member's per capita distribution may be withheld for child support.

(2) If the Tribal member has obligations both to the Tribe under Section GMG.02.07(f) and for child support pursuant to Section GMG.02.07(g), then the following table shall be utilized.

(A) 50% of the per capita distribution will be allocated to the Tribe for satisfaction of judgments owed to the Tribe under Section GMG.02.07(f).

(B) 50% of the per capita distribution can be applied to amounts owed for child support regardless of the number child support orders.

(C) If there is more than one child support order, than the allocation for child support should be apportioned equally among the child support orders.

(D) In the event that the amount owed under either Section GMG.02.07(f) or (g) is less than 50% of the per capita distribution, then the remaining amount shall be allocated for the payment of the other debt.

(E) In the event the amount owed under both Sections Section GMG.02.07(f) and (g) total less than 100% of the per capita distribution, the remainder shall be payable to the tribal member.

(h) Except as provided for in Section GMG.02.07(f) and (g) and as a pledge to secure funds borrowed from the Tribe's loan fund against a discharge in bankruptcy, future per capita payments may not be anticipated, assigned (either in law or equity), alienated, pledged, encumbered or subjected to attachment, garnishment, levy, execution or other legal or equitable process. Any attempt to assign, alienate, pledge, encumber, attach, garnish, levy, or execute an agreement regarding a future per capita payment will not be valid or legal, and will not be enforceable.