BIA Returns Casino Resort Land to Tribe Following Court Order

Plans for a major $600 million casino-resort near Windsor, California, have been halted following a federal court order and a subsequent action by the Bureau of Indian Affairs (BIA). The project, spearheaded by the Koi Nation of Northern California, faced a definitive setback when the federal government officially revoked the tribal jurisdiction required for gaming operations on the site.

On April 2, 2026, the BIA publicly posted a Reversal of Land Acquisition. This action reconveyed a 68-acre parcel of vineyard land back to the Koi Nation, effectively stripping the land of its trust status and blocking the tribe’s ability to proceed with the development of the resort and casino.

Judicial Ruling and Legal Challenges

The reversal is the result of a legal battle initiated by the Federated Indians of Graton Rancheria, who operate a large gaming destination near Rohnert Park. In September 2025, U.S. District Judge Rita Lin issued a decision finding that the Department of the Interior violated federal law when it approved the Koi Nation’s land-into-trust application in January 2025.

On September 22, 2025, Judge Lin adopted a final judgment that vacated the trust acquisition. The lawsuit filed by the Graton Rancheria cited several critical failures in the approval process, including insufficient evidence of the Koi Nation’s historical ties to the Windsor parcel, improper delegation of authority, and inadequate consultation.

The legal dispute centered on the restored homeland classification. Under the Indian Gaming Regulatory Act, gaming on trust lands acquired after 1988 is generally restricted unless the land meets specific exceptions, such as being a restored homeland. The Interior Department had initially approved the parcel based on this classification, but the court found the justification lacking.

Broad Opposition from Regional Tribes

The Graton Rancheria was not the only tribal entity opposing the project. On February 21, 2025, three other California tribes—the Lytton Rancheria of California, the Dry Creek Rancheria Band of Pomo Indians, and the Cloverdale Rancheria of Pomo Indians—filed a federal lawsuit to block the development.

These plaintiffs argued that the Koi Nation’s aboriginal territory is located approximately 50 miles away, around the southeastern portion of Clear Lake in Lake County, rather than in the Windsor area. They contended that the project site actually falls within the historic territory of Southern Pomo tribes.

The lawsuits further alleged that the Bureau of Indian Affairs rushed the approval process in the final days of the Biden administration. The complaints noted that Bryan Newland, the Assistant Secretary for Indian Affairs during the approval process, had previously served as an attorney for the Koi Nation.

Impact on the Koi Nation

The Koi Nation had viewed the $600 million resort as a primary vehicle for economic self-sufficiency and described the Windsor site as its restored homeland. Despite the legal challenges, the tribe had already begun some physical activity on the 68-acre site, which included grading and the placement of trailers.

Following the loss of the land-into-trust status and the resulting inability to build a casino, the Koi Nation announced that it intends to use the vineyard land for tribal headquarters and offices instead.

This final judgment secures long-overdue justice for our tribe and reaffirms our sovereign rights.

Greg Sarris, Graton Rancheria tribal chairman

The project had been the subject of a four-year legal conflict involving a coalition of local governments, elected officials, and neighbors, in addition to the competing tribal interests in Sonoma County.