In conjunction with the signing of the agreement, Spitzer sent a"concurrence letter," to US Interior Secretary Dirk Kempthorne. Theletter is a formal notice indicating that use of the property forcasino purposes is in the best interest of the tribe andsurrounding community, state officials say. Now all that stands inthe way of groundbreaking is final approval from the InteriorDepartment's Bureau of Indian Affairs and a federal lawsuit filedon Feb. 13 by local community and environmental groups.

"This agreement creates an economic partnership between theMohawks and the people of New York," Spitzer said. "By workingtogether, we can establish a premier gaming facility that willproduce significant revenues for the tribe and the state, and helpspark a resurgence of the Catskills region."

Under the compact, the state will receive 20% of revenues fromslot machines for the first two years, 23% for the next two yearsand 25% thereafter. In addition, the St. Regis Mohawks have agreedto comply with applicable tax, labor and health laws in connectionwith the project. The governor and the tribal chiefs are urging theDepartment of the Interior to move quickly to take the raceway intotrust.