The Cabazon Band of Mission Indians is about to strike a deal over the tax-exempt bonds that have been challenged by the Internal Revenue Service, The Riverside Press-Enterprise reports.

In 2003, the tribe sold $145.5 million in tax-exempt bonds to build a hotel and convention center. The IRS ruled that the project wasn't an "essential" government function because it was commercial in nature.

The Cabazon Band is challenging the IRS ruling but is near a deal with bondholders to allow for improvements at the casino, The Press-Enterprise reports. The tribe is still waiting on another IRS ruling, however, the paper said.

The Seminole Tribe of Florida, whose bonds were also challenged by the IRS, recently reached a deal with bondholder to retire and pay off the bonds.

Get the Story:
Tribe, IRS square off over bonds (The Riverside Press-Enterprise 10/25)
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