---
kind: "section"
citation: "25 C.F.R. § 293.27"
title: "25"
number: "293.27"
heading: "What factors will the Secretary analyze to determine if revenue sharing is lawful?"
url: "https://uscodex.org/cfr/25/293.27"
---

# §293.27. What factors will the Secretary analyze to determine if revenue sharing is lawful?

- (a) A compact or amendment may include provisions that address revenue sharing in exchange for a State's meaningful concessions resulting in a substantial economic benefit for the Tribe.
- (b) The Department reviews revenue sharing provisions with great scrutiny beginning with the presumption that a Tribe's payment to a State or local government for anything beyond [§ 293.18](/cfr/25/293.18.md) regulatory fee is a prohibited “tax, fee, charge, or other assessment.” In order for the Department to approve revenue sharing the parties must show through documentation, such as a market study or other similar evidence, that:
  - (1) The Tribe has requested and the State has offered specific meaningful concessions the State was otherwise not required to negotiate;
  - (2) The value of the specific meaningful concessions offered by the State provides substantial economic benefits to the Tribe in a manner justifying the revenue sharing required by the compact; and
  - (3) The Tribe is the primary beneficiary of the gaming measured by projected revenue to the Tribe against projected revenue shared with the State.
- (c) The inclusion of revenue sharing provisions to the State that is not justified by meaningful concessions of substantial economic benefit to the Tribe may be considered evidence of a violation of IGRA.

## Notes

### Authority

Authority: 5 U.S.C. 301; 25 U.S.C. 2, 9, 2710.

### Source

Source: 89 FR 13256, Feb. 21, 2024, unless otherwise noted.