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Justice Department tries to stop local tax at Indian shopping area

By Amy R. Connolly

A warm beautiful welcome on my way in.

A photo posted by Tulalip Resort Casino (@tulalipresortcasino) on

TULALIP, Wash., Aug. 4 (UPI) -- The Justice Department filed a motion Tuesday to stop the state and a local government from taxing the Tulalip Indian tribe's Quil Ceda Village retail area.

The Department of Justice contends the state of Washington and Snohomish County have not significantly contributed or provided services to help operate the village area that has blossomed into an economic powerhouse since it was incorporated in 2000. Instead, both governments have collected some $40 million in annual property, business and sales taxes from Quil Ceda, located on the Tulalip Indian Reservation near Seattle. Tribe members said the taxes are chipping away at their community.

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The DOJ's motion is aimed at protecting "the authority of tribes under the U.S. Constitution and federal law."

"The United States takes seriously the federal role in protecting tribal self-government, which has its foundation in federal statutes, treaties, and regulations," said Assistant Attorney General John C. Cruden for the Justice Department's Environment and Natural Resources Division. "To this end, we are committed to eliminating barriers, such as these, which hinder tribes from developing healthy economies and providing necessary governmental services on the reservation."

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The Quil Ceda Village has more than 150 businesses with some 6,000 jobs and attracts up to 60,000 visitors a day, said Mel Sheldon, chairman of the Tulalip Tribes. Retail shopping includes Home Depot and Walmart.

"As a matter of federal law," said Sheldon, "Tulalip is entitled to collect its own tribal taxes on business activities in Quil Ceda Village, and Tulalip will defend its right to function as a sovereign government."

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