The California Native American Gaming Association (CNIGA) has voiced disapproval of the wording in a sports wagering bill proposed by Assemblyman Adam Gray and Senator James Dodd. This bill formally authorizes player bank games at card rooms within the state.
The proposition, initially conceived as a concise measure to present sports betting legalization to California voters, was first presented in June of 2019. It underwent expansion last week, transforming into a comprehensive regulatory structure with a complementary bill (ACA 16) introduced by Gray in the Assembly.
The bill seems to strongly favor tribal gaming operators, as it would limit legal betting to tribal casinos and racetracks, excluding card rooms from participating in the industry.
Both entities would be permitted to offer online wagering, which would be subject to a 15% tax on gross revenue, as well as in-person betting, which would be taxed at a rate of 10%. Online operators would also be obligated to pay a $5 million initial licensing fee, in addition to a $1 million annual renewal fee.
Although SCA 6 and ACA 16 effectively bar card rooms from lawful betting, these legislative proposals also seek to modify the California Constitution to recognize the right of card rooms to provide player-to-player games. This implies that the losses and rake are gathered, and winnings are disbursed by players hired by the establishment. Every hour, this role is “presented” to other players.
This arrangement essentially signifies that patrons are engaging in a peer-to-peer game, even though it feels like a conventional table game. Player-banked games have long been a source of dispute for tribal operators, who contend that their rights are being violated and that they have the right to offer games such as blackjack and baccarat.
CNIGA Chairman James Siva characterized the provision as enabling card rooms to offer “a substantial expansion of games” that “fundamentally alters the legal framework of the peer-to-peer gaming sector in California.”
Read the complete article on iGB North America.
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