California sees $1.4m boost in gambling contributions amid new bill

The state of California has benefitted from $1.4m in gambling contributions from registered parties amid the passing of a new bill.

The coastal state has witnessed a battle between established Tribal gambling operators and the newer, digital, and immediate forms of instant gambling. Tribes have been vehemently against any form of gambling coming into the state, which fails to respect their position.

Californian Tribes at the centre of gambling bill

As we reported, FanDuel’s CEO Amy Howe stated, “If legalized wagering is going to be done in California, it is going to be done with and through the 100-plus tribes that exist in the state of California. It’s critical for us to do this together and not against one another.”

According to Gambling News, the tale of Tribal dominance in California has taken another twist with a new piece of state legislation being supported by regulators.

The twenty-year history of Californian gambling has been dominated by the Tribes that call the state home. They account for 70% of the gambling tithes paid to the lawmakers and legal entities that regulate gambling.

As we reported, there were concerns across the state that Tribes’ ability to sue cardrooms would lead to financial difficulties and possible redundancies.

California lawmakers vote on new bill

The state’s tribes account for the most significant gambling contributions, which are incredibly important to this infrastructure. However, the tribes have no formal way of addressing or flagging a breach of the state’s Gambling Control Act in a court of law.

However, other entities have been focusing on snapping up new businesses in the gambling world. In response, the Tribes of California have supported Senate Bill 549 (SB 549), allowing for injunctive relief to Tribes.

California lawmakers readily supported the new bill, which showed resolute support for resolving Tribal concerns as part of the process laid out by the Department of Justice. It was passed with 15 out of 22 votes in support, six abstentions, and one vote against.

The bill does have its detractors, like Sean McMorris, California Common Cause’s transparency, ethics, and accountability program manager. He was suspicious that the Tribe’s contributions could influence support for the new bill.

He said, “No politician is ever going to tell you that money affects their vote, but the public isn’t stupid. It’s pretty darn suspicious that most of them voted based on where they got the most money from.”

Executive director of the California Contracts Cities Association, Marcel Rodarte said, “SB 549 is a bill that will negatively harm many of our cities with cardrooms in their communities. Cardrooms are an integral part of our cities as they provide jobs.”

No matter McMorris and Rodarte’s concerns, it looks likely that Tribes will be able to take action against “licensed California card clubs and third-party proposition player services providers” to seek some kind of restitution.

Image: Pixlr.