Governor Gavin Newsom of California has signed tribal-state gaming contracts with three Native American tribes.
In a press release, Newsom revealed that California had agreed to new deals with the Timbisha Shoshone Tribe and the Elem Indian Colony of Pomo Indians of the Sulphur Bank Rancheria, California. Additionally, the state extended its current agreement with the Augustine Band of Cahuilla Indians.
The Timbisha Shoshone Tribe’s contract
The new contract with the Timbisha Shoshone Tribe includes three critical elements, the most important of which is the agreement to allow the tribe to operate Class III gaming activities. These include gaming devices and certain card games, which the tribe can now operate at its licensed gaming locations.
The tribe recently received approval from the US Interior Department to build a U.S. casino in Inyokern, California, after failing to develop one in Ridgecrest two years earlier.
The gaming compact also laid out the strict standards the Timbisha Shoshone Tribe must meet to operate legally, including environmental standards and safety requirements.
The gaming compact also outlines the financial contribution the Timbisha Shoshone Tribe must make to the state. These funds will support the state’s community programs and provide finances for gambling regulators.
More than 300 gaming devices approved for Elem Indian Colony
The Elem Indian Colony of Pomo Indians of the Sulphur Bank Rancheria, California, received authorization for a maximum of 349 gaming devices across its two gaming facilities. Both these facilities are located on the tribe’s reservation in Lake County.
The new gaming compact also outlined the expected quarterly contributions to California’s Special Distribution Fund from the Elem Indian Colony, which provides funding to local problem gambling programs and finances for gambling regulators. The contract also included details on suitability guidelines for employees and suppliers and further information on regulations the tribe has to meet to operate gambling legally.
The Elem Indian Colony of Polo Indians of the Sulphur Bank Rancheria, California, signed its first gaming compact with California in 1999.
Why no new deal for Augustine Band?
The Augustine Band of Cahuilla Indians has worked with the state government since 2000 when an original gaming compact was agreed upon. The extension agreed upon with Gov. Newsom allows the tribe to continue operating under its current terms until 2025, which was permitted under the Indian Gaming Regulatory Act. However, it does not prevent the tribe and state government from continuing negotiations for a new gaming compact.
Tribe cooperation crucial for California sports betting
The new gaming compacts have been agreed upon as California tribes have been at the center of debate around whether to legalize sports betting in California. Frank Sizemore, the vice president of FanDuel’s strategic partnerships, recently suggested that any moves to legalize sports betting would be a “tribally led initiative.”
This marked a change of tact from major US sportsbook operators, which went head-to-head with California tribes on the November 2022 ballot, with two opposing measures to legalize sports betting. Both measures failed to pass. There will be another opportunity to put a sports betting vote to the public in 2024.
