The California Association of Indigenous Games of Nations (CNIGA) disagrees with the supplemental sports betting bill introduced by lawmakers Adam Gray and James Dodd. If this bill is passed, games with player banking in California gambling halls will be legalized.
The SCA 6 recently introduced in June 2019, only proposed to legalize sports betting in California. But last week a much broader regulatory framework was unveiled that sparked criticism from the Tribal Corps.
The new legislative proposal (ACA 16) presented in the Assembly by Representative Gray, seems to weigh heavily in favor of tribal gaming operators, because it limits legal gambling to tribal casinos and racetracks, gambling rooms being blocked from the vertical.
According to their content, the two entities would have the right to offer online bets, which would be subject to the payment of a 15% tax on gross income, while retailers would be taxed with a 10% tax. The legal proposal also states that online operators must pay an initial license fee in the amount of $ 5 million, in addition to an annual renewal fee of $ 1 million.
Although SCA 6 and ACA exclude cardrooms from legal gambling, both bills are geared toward the subsequent amendment to the California Constitution so as to recognize the right of card rooms to offer player-dealer games.
“Massive expansion of games”
For some time, player banking games have been at the center of the legal dispute for tribal operators. They believe that the new law is violating their sovereign right to offer table games like baccarat and blackjack.
For James Silva, president of CNIGA, the legal provision would allow “a massive expansion of games” to be offered in gambling halls, which “fundamentally changes the legal structure of the California peer-to-peer gaming industry.”
He also explained that while he appreciated Senator James Dodd’s attempt to address sports betting in law, they were “vehemently opposed to including an expansion of gaming to a segment of the gaming industry that has shown, for decades, that it is not willing to follow the rules and regulations that ensure a fair and safe gaming environment that complies with federal laws designed to stop money laundering.”