The Mashpee Wampanaog tribe has suffered a major setback in its bid to build a resort casino in Taunton.

Tribal chairman Cedric Cromwell said on Oct. 12 that it has been notified by the federal Bureau of Indian Affairs that a compact signed with Gov. Deval Patrick's administration has been rejected and will have to be renegotiated before it can be approved.

Cromwell said the decision was disappointing, but that the tribe is ready to return to the negotiating table to come up with a revised agreement.

Patrick also called the Oct. 12 decision "deeply disappointing."

The compact approved in July 2012 gave the tribe exclusive rights to develop a resort casino in southeastern Massachusetts.

The federal agency said in a letter to the governor the compact required too great a share of the tribe's gambling revenue to go to the state.