The California Native American Gaming Association (CNIGA) has expressed disapproval of the wording in a sports betting bill proposed by Assemblymember Adam Gray and Senator James Dodd, which would officially authorize player bank games at card rooms in the state.
Initially, SCA 6 was a concise proposal to present sports betting legalization to California voters, first introduced in June 2019, and was expanded last week into a complete regulatory framework.
The bill was accompanied by a corresponding proposal (ACA 16) introduced by Gray in the Assembly, which seems to benefit tribal gaming operators as it would restrict legal betting to tribal casinos and racetracks, preventing card rooms from entering the market.
Both entities would be able to offer online wagering, which would be subject to a 15% levy on gross revenue, as well as physical betting, which would be subject to a 10% tax. Online operators would also be required to pay a $5 million initial license fee, along with a $1 million annual renewal fee.
While SCA 6 and ACA 16 effectively barred card rooms from legal wagering, these legislative measures also sought to modify the California Constitution to recognize the authority of card rooms to provide player-to-player contests. In this setup, the establishment hires players who are accountable for gathering losses and rake, and distributing winnings. Every hour, this responsibility is “assigned” to other players.
This arrangement essentially signifies that patrons are engaged in a peer-to-peer game, despite the experience resembling a conventional table game. Player-banked games have been a source of conflict for tribal operators, who contend that their right to provide games such as blackjack and baccarat is being violated.
CNIGA President James Siva characterized this provision as permitting card rooms to offer “a significant expansion of games” that “fundamentally alters the legal framework of the player-to-player gaming sector in California.”
Read the complete article on iGB North America.
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