Did Gambling Interests Sway California Lawmakers?

Did Gambling Interests Sway California Lawmakers?
Photo by Michał Parzuchowski / Unsplash

Background: A Key Vote on Gambling Legislation

Earlier this month, California's tribal casinos secured a critical victory on a gambling bill after contributing over $1 million in campaign donations to members of an influential legislative committee. This influx of funds raises questions about the potential impact on lawmakers' decisions.

Campaign Contributions and the Legislative Committee

The donations included $92,500 funneled to key members just weeks before the vote. Despite significant contributions from their rivals, private card rooms, totaling nearly $393,000, the bill passed with 15 out of 22 votes. Notably, two legislators broke ranks with local governments, and another filled in temporarily to support the measure.

While it's illegal for legislators to explicitly pledge votes in return for contributions, members of the committee denied any influence from the donations. However, Sean McMorris of California Common Cause highlighted the public's suspicion, noting that the substantial contributions appeared to align with the final votes.

The Role of the Governmental Organization Committee

The Assembly Governmental Organization Committee, known as a "juice committee," often deals with high-stakes legislation where businesses are likely to try influencing votes through donations. This committee, with twice as many members as most others, allows political leaders to reward allies with influential positions.

The High-Dollar Gambling Dispute

The fight between tribal casinos and private card rooms has become one of the most expensive political battles in California. Since 2023, the competing interests have donated at least $1.4 million to committee members. This battle is part of a longstanding dispute dating back to 2000 when voters approved an initiative allowing tribes to host Las Vegas-style gambling on their lands.

Tribes vs. Card Rooms: The Core Issues

Tribes argue that the state’s 80 or so privately-owned gambling halls are infringing on their exclusive rights by offering games like blackjack and baccarat. They seek to sue the card rooms for allegedly illegal operations. Senate Bill 549, backed by tribes, aims to grant them a brief window to file lawsuits, a move framed as legal and social justice by tribal leaders.

Card Rooms' Defense and Municipal Impact

Card rooms and their allies, including cities reliant on card room revenue, argue that the measure could devastate their businesses and local budgets. They claim the tribes' push is an attempt to eliminate competition and monopolize the market.

The Vote Breakdown and Notable Figures

Despite heavy lobbying, the vote saw unexpected support from some legislators. Assemblymember Laurie Davies and Assemblymember Evan Low, both of whom received substantial contributions from tribes, voted in favor despite opposition from local governments in their districts.

Absences and Strategic Substitutions

The absence of Assemblymember Reggie Jones-Sawyer, who was recovering from surgery, led to Assembly Speaker Robert Rivas temporarily assigning Gregg Hart to the committee. Hart's vote helped pass the measure, and he emphasized the importance of resolving the legal questions surrounding gaming.

Chairperson's Influence and Future Steps

Committee Chairperson Blanca Rubio, who received significant donations from both sides, refrained from voting, citing concerns about the bill's impact on communities dependent on card room revenue. The bill now moves to the Assembly Appropriations Committee, another key decision-making body.

The Ongoing Battle

The passage of Senate Bill 549 highlights the significant influence of campaign contributions in legislative processes. As the bill progresses, the debate between tribal casinos and private card rooms continues, underscoring the complex interplay between money, politics, and policy in California.