OKMULGEE, Ok. – Mvskoke citizens who own and operate smoke shops are concerned about the upcoming expiration of the Muscogee Creek Nation tobacco compact with the State of Oklahoma. The compact is set to expire December 31, 2024.
Darrell Chissoe, a Mvskoke citizen that has operated a smoke shop in south Tulsa for 30 years is worried his business will be negatively impacted.
“I’m concerned with our Tribe that has not entered into a compact to continue to keep our business in operation. We have had no communication with any correspondence I’ve made with our Council or Tax Commission on this matter. I’m just very concerned with losing my income and livelihood.”
According to the MCN Fiscal Year quarterly report for 2024, fourth quarter, tobacco taxes collected for fiscal year 2024 by the MCN Tax Commission totaled $1,604,381.38.
Mvskoke Media contacted the MCN Executive Branch about the status of the compact and received the following response,
“The current tobacco compact expires on December 31, 2024. The Governor’s Office has chosen not to renew existing compacts and is instead insisting that the tribes enter new compacts.
Chief Hill and the Nation’s Tax Commission have met with Governor Stitt and his General Counsel. The interaction was helpful as it gave Chief Hill and the Tax Commission a more focused perspective on the key terms of disagreement that must be worked out.
Chief Hill and the Nation’s Tax Commission continue to negotiate with the Governor’s office for a new tobacco compact. The Nation is not aware of any impact to the Nation-licensed smoke shops while these negotiations continue, and the Nation is not aware that there will be any delays in the ability to purchase any products during this time.
The Nation would have preferred for the existing tobacco tax compact to be extended for another term. But Governor Stitt’s office proposed a new version of a tobacco compact, and the Governor has told tribes that this compact would be the standard to use and tribes had to “take it or leave it.” The Governor’s tobacco compact was not acceptable to the Nation as it contained legal limitations and restrictions inconsistent with the Nation’s authority to regulate and tax cigarettes and tobacco products in the entire Reservation. The Nation understands (and it is unfortunate) that smoke shop operators and others may be impacted in the short-term if a new compact is not reached; however, there are broader implications that will impact the Nation’s sovereign authority over its entire Reservation that go beyond business interests. Chief Hill and the Nation’s Tax Commission will continue to work hard to negotiate a new compact with the Governor’s office, but, at the end of the day, the Nation’s right of self-governance over its territory as provided by the Nation’s Constitution and Code is not subject to compromise just to fit the Governor’s standard compact version.”
Mvskoke Media will have ongoing coverage of this developing story.
