State gambling regulators have moved to shut down an Elfin Cove fishing derby designed to benefit lodges there, a derby that was offering a grand prize of $100,000.
In Alaska, only nonprofit organizations can operate gambling enterprises, including fishing derbies that require entry fees.
“We have issued them a notice of violation,” said Jeff Prather, supervisor of the Department of Revenue’s Gaming Unit.
“They were a for-profit group that was advertising a fishing derby,” he said.
The Sea King 2012 derby would have cost $400 to enter, offering weekly prizes, as well as a possible $100,000 grand prize, depending on ticket sales.
It was sponsored by several Elfin Cove lodges in an effort to promote the Icy Strait-area businesses, said Donna Forte, with the Elfin Cove Lodge.
“Our hopes as lodges were people would want to be in the tournament, and they’d need lodging, they’d need to rent boats,” she said. “It helps people know about Elfin Cove.”
Other lodges involved in the abortive venture were Fishmasters Inn, Tanaku Lodge and the Cove Lodge, according to the derby website.
Forte said they had hoped to use Juneau’s Moose Lodge as a nonprofit sponsor, but a series of misunderstandings and errors has ended chances of holding the derby.
“The tournament is canceled,” she said.
She blames state officials, however.
“The state’s making us jump through too many hoops,” she said.
One of the biggest of the errors and misunderstandings, she said, was the derby website going live before they had a permit.
Forte said that wasn’t Elfin Cove’s fault. They’d hired a web designer to build a site for them, but he then went live with the site without permission and stopped communicating with them.
The state’s notice of violation was issued May 23, and the site was still up Friday, though it was down by Monday.
Forte said they’d paid a “couple thousands bucks” for the web design, and finally had to get state officials to intercede with the web hosting firm to take the site down.
Forte acknowledged mistakes, but said there was no bad intent.
“We weren’t trying to do anything bad — all the money was for charity,” she said.
She said she hoped the tournament would raise a maximum $200,000 in entry fees, with expenses of about $40,000 and $60,000 left for charity along with the $100,000 payout.
The published contest rules show no guarantee of a payout, however.
According to the derby’s website, its profits were to go to the Southeast Conference, the community of Elfin Cove, and a new scholarship fund for families of commercial fishermen. Forte said that the Moose Lodge was also to get a share.
Forte said she and the other lodges that sponsored the derby believed as long as the proceeds went to a non-profit, everything was OK.
They later found out that it had to be a nonprofit with a gaming license, and which had been around for at least five years.
Moose Lodge Administrator George Damian said they were willing to work with Elfin Cove, but had some initial concerns about the sponsors there.
He said the Moose frequently work with local nonprofits, including Relay for Life, school raffles, and other good causes.
Damian said state officials appeared skeptical of the Elfin Cove effort, and then wanted somebody from the Moose Lodge on site in Elfin Cove during the summer-long derby.
“That just isn’t going to work,” Damian said.
If the lodges get together and start now working for a derby next summer, that might work, he said. They’d probably have to find a local Elfin Cove nonprofit to get a gaming license to make it work.
Now, Forte said they’re out about $14,000 in expenses, including the website and a commercial which has been created but which will now not be aired. No money was collected from entry fees, she said.
• Contact reporter Pat Forgey at 523-2250 or at patrick.forgey@juneauempire.com.
Comments (21)
Add commentThis one smells fishy
I can see why the Moose Lodge wanted someone onsite to monitor what was going on.
How typical that they failed to follow the published regulations then blame the State for their own failings. Same with their website contractor - they hired him, but "it wasn't their fault".
$40,000 in expenses? Hmmm.
Elfin Cove Lodge Owners
Here is a link to another in-sight on Elfin Cove Lodge owners and the way they do things.
http://alaskansforalaska.com/elfincovefuelcoop.html
Spent $14,000...
...and can't jump through all the hoops that everyone else has to jump through? Permit applications are due at the end of the year. Should give them time to get their ducks in a row for next year. Makes you wonder what else they slide by. Out of sight, out of mind.
Looks like Lat needs some
Looks like Lat needs some more coffee. The article says they spent 14K, not 40. It also says the State wanted someone from the Moose on site "Damian said state officials appeared skeptical of the Elfin Cove effort, and then wanted somebody from the Moose Lodge on site in Elfin Cove during the summer-long derby"
Thanks chris!
Interesting read. Tangled mess indeed!
No decaf here, KP
"She said she hoped the tournament would raise a maximum $200,000 in entry fees, with expenses of about $40,000 and $60,000 left for charity along with the $100,000 payout."
$14K was just for starters. The other $26K was probably for...burgers and a band?
I'll give you the onsite monitoring. But no wonder the State wanted someone from the Moose there. If I was the Moose Lodge and my name was attached to it, I might want someone there as well.
I'm surprised the moose
I'm surprised the moose couldnt find someone who wanted to go stay at Elfin for the summer. I'd almost join the moose just for that!
Solution!!!
Just pay a Moose $60,000 to charitably stay in Elfin Cove for the summer. That amount can be paid back to the lodges for room, board and booze!! It's a win win!!
Ha ha.
What do they mean, "Benefit Icy Straits area businesses"? Elfin Cove and the listed businesses are located in Cross Sound.
And I can't believe charity is in their vocabulary lol.
Horsefeathers
I've been the required "Person in Charge" as required by the Gaming Regulations for over ten years at a non-profit. There is something about this that smells fishier than the fish. To operate this kind of event you must first be a recognized non-profit. Then obtain a gaming permit from the State of Alaska. Then have someone take the required test on the regulations and be the person in charge. It is a pretty simple procedure from start to finish.
Whose at fault for not getting the required gaming permit in advance? Someone other than the State of Alaska. This kind of is the classic thing where without knowing what you are doing you just go off and do it and then blame the State because you failed to find out what might be required.
Having been the required person in charge of many similar events I have never been required to live in a particular location during the event. I'd like to know more about that part of the problem this group is having with the Gaming Division.
Elfin Cove
Is an awesome place to hang out for such an event, yep very quiet in the winter months but quite busy during fishing season. Probably close to a 100 people in town every day during summer. It's common sense that this event would have to blessed by the state so how did that slip by?
Need...
We need more rules and regulations. God forbid there be a gambling ring in Elfin Cove.
Whatever would we do if we couldn't regulate the lives of others? OMG, we would be soooo bored!!! And blessed be, we must save their souls!
It may be a simple procedure, but my question is, do we need a procedure at all? I know, I'm going to get thumbs down because I'm advocating personal freedom, personal responsibility. There are some people that just can't handle that concept.
Who do you
Think is the COWARD that gives the thumbs down for no apparent reason on this forum? Needs to get their power need satisfied somehow I suppose.
Yeah, I noticed that. I
Yeah, I noticed that. I guess if it makes them feel better...Whatever!
Elfin Cove Flim Flam
Boy....they never stop do they. Turn your back and they are at it again. As they used to say in the old western movies...."somebody get a rope!"
And after we take care of that, lets see what we can do about the resident anarchists who feel we need no regulations, no rules, no laws. I don't suppose it ever occured to them that if we had no rules and no laws somebody could loop some chain around their neck and drop them into S.Passage and nobody could do anything about it or care! Har dee Har!!
@onder and Kpawsuh
Wow, somebody disagrees with you and suddenly they're a coward? It wasn't me that gave you a thumbs down, but you should realize that even the most seemingly benign statement will upset some people and they have their own valid reasons, even if you can't understand them. If you can't handle a thumbs down then you should find another sandbox to play in.
LifeLongAlaskan Nope
Sorry history proves otherwise, funny how you got defensive about it hmmm.
Lifelong, some have even
Lifelong, some have even admitted that they give a thumbs down to certain people regardless of what they say, just because. I really could care less. I think the points are pointless. I speak my mind, whether I should or not, not post for points.
catch and release
One of the other problems with this proposed derby is the catch and release weeding through the smaller salmon to have a chance at the big one.Out on Yakobi kings can be thick at times this type of proposition leads to abuse of the resource.
The charter's already do this on a inner lodge basis to spice up things among the clients.Got to make the clients happy even if your selling out.
Elfin Cove Tournament
Is this really newsworthy? Very sad read. And the comments were even worse and uninformed. You all need to get a life.I was and will be involved in helping to start a fishing tournament in Elfin Cove. There is no 'conspiracy' here. All intentions were good. Who of us haven't had an idea that sounds good, and we go with it, and along the way find out there is more to it...more hoops to jump through.
We hope to have it all put together for 2013. Almost every town in southeast has a derby....even Pelican. All we are trying to do is create some excitement, fill our lodges, and do some good. A scholarship fund for kids, and some money for improvements in Elfin Cove....the library, boardwalk repair, for instance, are all good causes.
The eastern boundary is Pt. Gustavus to Pt Adolphus so we were hoping to get the Gustavus boats involved....not just Cross Sound!
By the way, the website alaskaforalaskans.com is filled with lies and half truths. It is supported by a guy from Texas. I was born and raised in Juneau.
Dan Baxter
letsgofishing@seanet.com
Catch and release
We seldom shake a legal king salmon, only the 28" to 30" fish, just like the under 28" king . They are to hard to catch, especially this year. It is legal to catch and release salmon and halibut. We shake legal 30" halibut hoping for one closer to the 45" size limit, or over 68".