Tribal operators ready $100m California sports betting counter-initiative
Battle lines drawn in Golden State lobbying campaign as tribes rail against out-of-state interests
A trio of California-based tribal operators have announced a $100m lobbying initiative aiming to derail the expansion of out-of-state sportsbooks into the Golden State.
The tribes – the San Manuel Band of Mission Indians, the Rincon Band of Luisueño Indians, and Wilton Rancheria – have teamed up to launch Californians for Tribal Sovereignty and Safe Gaming (CTSSG), a rival initiative to keep California free of external operators.
The CTSSG has tabled its own legislator amendment, the Age-Verified Tribal Online and In-Person Sports Wagering Regulatory Act, an initiative which seeks to make Californian sports betting the exclusive ground of tribal operators.
Taking aim at their international counterparts, the Act suggests out-of-state and international gambling operators are “seeking to rewrite” existing commitments made by state authorities to the tribe.
The legislation suggests these operators would only pay a “pittance” to local causes and would intentionally seek to deprive California-based tribal operators of all the benefits that a growth in sports betting might bring to the Golden State.
“A well-supervised sports wagering system for California must limit sports wagering only to highly regulated, suitable operators experienced in gambling operations, with a proven record of regulatory compliance in the California gaming market,” the bill states.
“In 2000, Californians voted to give sovereign Indian nations the exclusive right to operate gaming in California,” CTSSG spokesman Roger Salazar said.
“The online sports betting measure sponsored by out-of-state corporations violates that promise of sovereignty, which has worked exceptionally well now for over two decades to the benefit of the tribes and California,” Salazar added.
These sentiments were echoed by fellow committee spokesperson Rob Stutzman, who added: “The out-of-state corporations will export money from California and have a track record of questionable operating practices.”
The bill is one of four distinct sports betting-based lobbying initiatives vying for petitionee support and inclusion on the November 2022 ballot.
The California Solutions to Homelessness and Mental Health Support Act would allow qualified sportsbook operators to partner with California tribal nations to operate online sports betting.
This initiative is backed by DraftKings, BetMGM, FanDuel, Fanatics, Bally’s, WynnBET, and Penn National Gaming, which have pledged a combined $100m in support.
The rival California Sports Wagering and Consumer Protection Act would limit sports betting to “highly regulated entities” and experienced operators including state and federally recognized tribes.
The initiative has garnered the support of four mayors in California, as well as a number of social interest groups.
State-licensed gaming establishments and professional sports leagues will be allowed to have sportsbooks at their facilities under the draft bill.
The emerging lobbying conflict between operators mirrors that of Florida, where the Seminole Tribe, which operates tribal gaming and sports betting on an exclusive basis, is currently up against several other balloting initiatives seeking to widen sports betting in the Sunshine State.