The city of Temecula will not appeal last month's ruling by Judge Dale Susan Fischer that saw its lawsuit against the Pechanga Band of Luiseno Indians dismissed from federal court.
Fischer ruled that the city did not have grounds to sue the Pechanga band because only the state can sue a tribe to enforce a provision of its compact after a meeting between the two parties does not resolve the dispute.

The city filed suit last year in an attempt to force the tribe to pay for what's called a tribal environmental impact report. It would have detailed how the tribe's recently expanded gaming operations affected the city's costs for police service and road maintenance.

The city, citing a report from a consultant, had estimated those costs to be around $3 million a year.

Mayor Ron Roberts notified the tribe of the city's intentions in a letter that he and Councilman Chuck Washington delivered Tuesday to the tribal council.
"On behalf of the Temecula City Council, I would like to convey our strong desire to rebuild and mend our relationship with the Pechanga Tribal Council and all the members of the Pechanga Tribe," Roberts wrote.

Later in the letter, Roberts said the city pursued the lawsuit because it had a "different legal interpretation" of the rights the city had under the 2008 amended tribal-state compact.

That amended compact allowed Pechanga and other large tribes to add slot machines at their casinos.

"It was never our intent to personally harm the Pechanga Tribe or any of its members, but rather, to protect what we thought were our legal rights under the tribal-state compact," Roberts wrote.

Last spring, the city and the tribe negotiated a deal spurred by the amended compact, an intergovernmental agreement, that had the tribe paying the city $2 million a year for 20 years and $10 million for the Ultimate Interchange project, a new southbound Interstate 15 offramp at Temecula Parkway that is expected to alleviate congestion caused in part by casino traffic.

The deal came with a caveat, though: It wouldn't take effect until the tribe had negotiated a separate deal with the county.

When talks between the county and the tribe broke down, city officials said they weren't confident that a deal would be reached and the city filed suit.
In its court filings, the tribe argued that it didn't need to negotiate an intergovernmental agreement with the city because the language in the amended compact only calls for that sort of deal after an expansion of the tribe's casino.

Although the tribe did add slot machines, it didn't physically expand its resort and casino. The city had tried to make the case that the additional slot machines should trigger an agreement.

Roberts said Thursday that a series of events led Temecula to seek a reconciliation. The first was the quarry hearing in late April that saw the tribe and the city united in opposition to Granite Construction's Liberty Quarry, an open-pit mine proposed for land on the edge of the city and tribe's borders.

"It appeared to everyone, at least to me, the Pechangas were very friendly, just the way it's always been. It was probably time to get together," Roberts said.
Then, on Monday, the city found out that it had received more than $4 million from the state Indian Gaming Special Distribution Fund, money that is marked for the Ultimate Interchange project.

Although the $4 million total is less than what the city had been seeking, Temecula officials said this week that there might be enough money to proceed with the project if bids come in lower than expected.

And as for the city's relationship with the tribe, Roberts said he was confident it was back to normal.

"We're back. We have complete harmony," he said.
In a statement issued Thursday, Pechanga tribal Chairman Mark Macarro said: "We appreciate and share the city’s desire to rebuild the relationship. A reality that must be overcome is that had the lawsuit been successful, it could have jeopardized the economic engine that has provided many opportunities for our Tribe and thousands of community members.

"Nevertheless, we are mindful of the mutual successes our governments have achieved through collaboration, which is why we stand willing to find ways to work with the city to repair the relationship for the benefit of the broader and shared community. In fact, even in the midst of the lawsuit, we reached out to the city for the benefit of the broader community to sponsor $4.2 million in grants for Temecula for the new Ultimate Interchange and police services."
Call staff writer Aaron Claverie at 951-676-4315, ext. 2624.