Visitors to Diamond Valley Lake may one day try their patience fishing, then drive a few minutes to try their luck in a glitzy casino.

The Soboba Band of Luiseno Indians wants to build a new casino and hotel complex on land near the reservoir south of Hemet, according to Soboba Chairman Robert Salgado.

 
The proposed complex also could include a retail outlet mall similar to the Cabazon Outlets off Interstate 10, as well as entertainment and recreation attractions such as a water park.

"If everything fits into place, we're looking at 2005," Salgado said about when the casino might open. "We're going to bring another entity to that lake."
The tribe hopes to capitalize on tourism at Southern California's largest lake, which opened last month.

The land for the proposed casino is part of a legal settlement with the Eastern Municipal and Metropolitan water districts. The land is at one of the area's busiest intersections, Highway 79 and Domenigoni Parkway, just south of the rural Winchester area. A decades-long dispute over water rights ended in April with settlement of the tribe's lawsuit against the districts.

Officials with the tribe and the water districts said they have reached an agreement in principle and expect to iron out language to complete the deal soon.

Under the deal, the two water agencies would transfer 127.7 acres to the tribe in addition to $28 million in cash and more than 1 billion gallons of water per year.

Early stages
Before tribal officials begin designing the casino and figuring out its costs, they must wait for the land to be put into federal trust status for the benefit of the tribe.

Without that status, the tribe would simply be landowners of the property and the parcel would not be considered sovereign Indian land. Salgado said the process of putting the land into trust already has begun and he hopes to have it in trust within a year.

Because the tribe wants to use the land for commercial purposes, getting the parcel into federal trust likely will take longer than a year, said James Fletcher, director of the Bureau of Indian Affairs in Southern California.
An environmental impact report alone would likely take 12 to 18 months to complete, Fletcher said by phone.

Soboba may also face a challenge with the new governor. Gov.-elect Arnold Schwarzenegger has said California should have a gaming agreement similar to the one in Connecticut, in which the state collects up to 25 percent of slot-machine revenue.

The state recently reached an agreement with the Fort Mojave Indian tribe, which wants to build a small casino in rural San Bernardino County. Under the deal, the tribe would pay 5 percent of slot-machine revenue to California's general fund.

Tribes that signed a 1999 compact with Gov. Davis pay nothing into California's general fund.

Soboba Vice Chairman Rosemary Morillo said the tribe is taking a wait-and-see approach before deciding how Schwarzenegger's suggestions will affect plans for the new casino.

"We'll work with him, but right now we're not even clear what he wants to do with the compacts," Morillo said.

Waiting game
Plans are still in the early stages, Salgado said.
Casino designs and cost estimates won't be done until the tribe gets the land into trust, he said.

Salgado said he doesn't expect the new casino to divert customers and profits from the existing casino off Soboba Road.

Riverside County has nine Indian casinos and they are all pretty busy, he said.
He also said the tribe might close the existing casino and focus on the one near Diamond Valley Lake. If the original casino closes, its employees and staff would be transferred to the new one.

Until the land is placed into trust, the environmental impact report finished and the construction of the casino approved, some organizations that are likely to be affected by a new casino are holding their opinions to themselves.
David Ledbetter, president of the Winchester Homeowners Association, said: "We're kind of waiting to get more information, but right now we're neutral."
Some residents have expressed concerns about the effects of the casino as well as an increase in traffic congestion, he said by phone. Others hope it brings additional business to Winchester, he added.

But whether the association supports or opposes the casino, it will wait for more information before taking a stand.

Jeff Kightlinger, general counsel for the Metropolitan Water District, said the tribe has always been upfront about its plans for a casino. But the water agency will not take a position on those plans and will not help to build one there, he said.
Reach Han Kwak at (909) 763-3456 or hkwak@pe.com