The federal court challenge
Updated Nov. 7, 2026, at 11:30 p.m. Central / Nov. 8, 5:30 a.m. UTC.
New York State has initiated federal litigation against the U.S. Department of the Interior to overturn a federal decision granting sovereign restricted-fee status to 207 acres of land owned by the Seneca Nation on Grand Island in Erie County.
The lawsuit, filed by Governor Kathy Hochul’s administration in the U.S. District Court for the Western District of New York, challenges the federal government’s February 2026 ruling that placed the parcel off Long Road under sovereign tribal jurisdiction, WGRZ 2 On Your Side reported. State lawyers argue the federal approval stripped local authorities of zoning, taxation, and environmental oversight without lawful authority.
The legal action marks an escalation in jurisdictional battles between New York State and the Seneca Nation of Indians, coming amid disputes in the Buffalo region over untaxed commercial motor fuel stations and tribal retail enterprises.
State claims versus Seneca sovereignty
In its complaint, the state contends that the federal Seneca Settlement Act of 1990, which created a fund to compensate the nation for prior land leases in Salamanca, had its statutory acquisition period expire decades ago. State attorneys also argue that Grand Island lies outside the aboriginal territory covered by historical treaties referenced in federal land acquisitions.
Under the restricted-fee designation, the property is shielded from state real estate taxation, local building codes, and municipal sewer assessments. Town of Grand Island officials had previously voiced concerns about potential commercial development or gaming along the Niagara River corridor, WNY Papers reported.
Seneca Nation President J. Conrad Seneca sharply criticized the state's move, stating the nation learned of the lawsuit through news media rather than government-to-government consultation. “This lawsuit is an attack on our sovereignty and an attempt to extinguish our rights,” President Seneca said in an official statement published by the Seneca Nation of Indians. Tribal leaders maintained that all federal procedures were followed strictly and that the parcel was lawfully designated under federal law.
