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Legalized sports betting has flourished across the country, and for a while it looked as though California, with the backing of the NFL, NBA and Major League Baseball, would be the next state to embrace it.

• Is There Legal Sports Betting In California
• Sports Betting In Ca
• Legalized Sports Betting Update
• Sports Wagering In California

As a legal activity, sports betting is taxable, which could close the vast hole in California’s public finances. Online sports betting is an essential part of legal sports betting. The two intend to raise revenues and protect consumers; it cannot be done without also legalizing online sports betting. There is currently no legal sports betting in California. However, based on other gambling-related activities in the state, it would be reasonable to expect that bettors will have to be at least 21 years of age to place a bet whenever wagering is legalized. How do I begin betting on sports in CA? Age To Bet On Sports In California California’s legal sports betting age is 18. In order to partake in sports betting at online sportsbooks, you must be at least 18 years of age or older. Online sportsbooks will not allow sports bettors to wager without legal identification that proves they are at least the required legal sports betting age. Sports Betting in California With a population of over 40 million and a huge selection of professional sports teams, many Californian residents are questioning what’s taking so long for the state to legalize sports betting. The states that have legalized sports betting.

America’s mighty sports leagues, however, just ran into a force they couldn’t defeat: California’s Indian tribes.

A proposal to amend the state Constitution, and usher in a bold new era of gambling, died in the Legislature on Monday. SCA 6, which would have allowed sports betting via cell phones and computers, was pulled off the table by co-author Sen. Bill Dodd one day before the legislation faced a pivotal committee vote.

The plan, which proponents said would have generated millions in new tax revenue, ran into fierce opposition from the state’s wealthy and politically powerful Native American tribes. The tribes have been pushing a far more limited version of sports betting that excludes online wagers and limits it to their casinos and a few horse racetracks.

Dodd’s announcement was a concession to “the power the tribes have gained over the last 20 years,” said Ken Adams, a gaming industry consultant in Reno. “Anybody who wants to get a bill through the Legislature is going to have to face that.”

Monday’s development leaves California as something of an outlier as sports betting gains momentum elsewhere. Nearly two-dozen states have legalized it the past two years.

The professional sports leagues, after years of warning their games could be corrupted, have made their peace with gambling, and are cutting deals to ensure they benefit financially. Even some organizations that usually oppose gambling believe Californians should be allowed to bet on sports openly.

“There’s a black market on it,” said Cheryl Schmit of the anti-gambling group Stand Up for California. “It’s much better if it’s out in the public.”

There’s also the issue of money. Californians already wager billions of dollars on sports, through offshore websites or illegally through bookies. Elected officials covet the tax revenue that legalized betting could bring to a state that’s had to plug a $54 billion deficit because of the coronavirus.

Dodd, who co-authored the measure with Assemblyman Adam Gray, D-Merced, said their bill could have produced $500 million a year in revenue for the treasury.

“It remains important that we lift this widespread practice out of the shadows to make it safer and to generate money for the people of California. I will continue to be engaged in the issue as we work toward 2022,” Dodd said in a prepared statement.

The tribes aren’t opposed to sports betting. But they want to keep it confined “to brick-and-mortar facilities,” said Anthony Roberts, chairman of the Yocha Dehe Wintun Nation, which owns Cache Creek Casino Resort in Yolo County.

Roberts and other tribal leaders had other major objections to the Dodd-Gray proposal. The lawmakers’ bill would have put the tribes’ longtime gaming rivals, California’s card rooms, on a more secure legal footing to continue operating. The tribes see the card rooms as illegal and want to give the state greater authority to crack down on them.

The tribes are trying to get their proposal on the November 2022 ballot.

Why tribes oppose online sports betting

Both the Dodd-Gray and tribal proposals would allow sports betting inside tribal casinos and a handful of horse racetracks — including Cal Expo in Sacramento under the legislators’ plan.

Both would allow wagers on professional and college sports, although the tribes would prohibit bets on college games involving teams from California. Tribal officials say their public opinion surveys revealed voters aren’t comfortable with allowing bets on California college teams.

The major split was over online betting.

Dodd and Gray’s proposal would have allowed it. Experts say it’s where the money is. In other states where it’s legal, 85 percent of the action occurs online.

The sports leagues want online wagering, too. The NBA, Major League Baseball, the PGA golf tour and five of California’s professional teams — the Giants, A’s, Warriors, Dodgers and Angels — sent a June 1 letter supporting Dodd and Gray’s proposal and insisting that online betting be included.

“To ensure that consumers move away from the illegal market that exists today, any legal sports betting framework must include options for Californians to wager online and on mobile devices,” the group wrote. A separate letter from the NFL called mobile betting “a key component of moving the illegal market into a regulated setting.”

The tribes, however, say online sports betting would be nearly impossible to regulate — and could open the door to under-age gambling.

“There’s no way to know who’s using that hand-held device. It could be a child. That’s our biggest worry,” said Roberts of the Yocha Dehe tribe.

Tribal officials say online wagering — because it would take place off Indian lands — might be illegal under the Indian Gaming Regulatory Act, or IGRA, the federal law governing tribal casinos.

“The leagues, the industry, everybody’s pushing sports betting, but the tribes are still handicapped by IGRA,” said Victor Rocha, a consultant to casino tribes.

I. Nelson Rose, a consultant and legal expert on Indian gaming, said the tribes’ opposition is also rooted in practical business concerns.

Sports betting simply isn’t very profitable, no matter where the wagering occurs, Rose said. Tribes would rather keep their customers in their casinos dropping money into the slot machines.

“They don’t want people to stay home and bet on sports events,” said Rose, a professor emeritus at Whittier College. “They want people to come on in and play the slot machines and table games.”

The tribes have poured $8.5 million into their ballot measure, which would limit sports betting to casinos and racetracks.

Dodd offered a compromise that would have phased in online betting over several years. But the tribes weren’t persuaded. They acknowledge that online sports betting is probably coming eventually to California — but want to control when and how it arrives.

Having online betting “dictated to us is unacceptable,” James Siva, chairman of the California Nations Indian Gaming Association, said during a recent webinar on tribal gaming issues.

“Whether online gaming is three years down the line, five years down the line, if it’s 10 years down the line, or if it’s not even in the conversation ... it needs to be a tribal decision.” Siva’s tribe, the Morongo Band of Mission Indians, owns Morongo Casino Resort near Palm Springs.

Court opens door to sports betting

For decades, Nevada casinos held a monopoly on legal sports betting in the United States. A 1992 federal law outlawed the practice, although Nevada’s sports books, a fixture since the late 1940s, were grandfathered in, along with limited forms of sports betting offered in Oregon, Montana and Delaware.

All that changed when New Jersey legalized sports betting and challenged the constitutionality of the 1992 law. In 2018, the U.S. Supreme Court sided with New Jersey. Soon there was a flurry of states joining New Jersey and enacting their own sports betting laws.

Currently, 19 states allow it in one form or another. Three other states plus Washington, D.C., have legalized sports betting but the laws haven’t gone into effect yet, according to gambling website SportsHandle.com.

After decades of resistance to the issue, sports leagues have begun signing marketing deals and other partnerships with gambling interests. Barely two months after the Supreme Court ruled, the NBA agreed to a dealing making MGM casinos the “official gaming partner” of the NBA and the WNBA. Major League Baseball made a similar deal with MGM a few months later.

The economic shutdown created by the COVID-19 pandemic creates an additional impetus for legalized sports betting. States “are desperate for money to balance their budgets,” Rose said.

However, sports betting might not be the revenue goldmine that state officials imagine.

For one thing, the tribes wouldn’t be obligated to contribute anything to the state’s coffers; any contributions would be subject to negotiation with the governor.

California’s tribal casinos, an $8 billion-a-year industry in California, are not subject to state income tax. They once contributed as much as $330 million a year to the general fund through compacts negotiated with the governor, but that amount has dwindled considerably after a judge ruled those payments constituted an illegal tax. They do provide about $170 million a year to a pair of state-run funds that help non-gaming tribes and operate programs for problem gamblers.

The racetracks’ winnings from sports gambling would be subject to taxation. But Richard Auxier, who’s studied sports betting for the Tax Policy Center and Urban Institute, said the state’s annual tax revenue would likely fall way short of the $500 million estimated by Dodd.

“It’s definitely not a windfall,” he said.

And without online wagering, the state’s take would be even smaller.

“You’ve got to go online because that’s where the money is,” he said.

California tribes wield political clout

For years, California Indian tribes struggled to make a living off gambling. The laws were unclear, and the tribes were reduced to dusty bingo halls and gambling tents that did little to lift them out of poverty.

Then came Proposition 1A, in 2000, a landmark event in the history of California gambling. With a resounding 65 percent of the vote, they won the right to open full-fledged, Vegas-style casinos.

The proposition also gave them a statewide exclusive right to operate slot machines, a casino’s most profitable asset. Four years later, when their exclusivity was challenged at the ballot box, they spent millions and crushed the effort.

Proposition 68 was born out of the state’s budget deficit. It said that unless the tribes surrendered 25 percent of their winnings to the state, racetracks and card rooms could operate slot machines.

The tribes and their allies spent more than $50 million fighting Proposition 68, about twice as much as their opponents. The initiative gained just 16 percent of the vote.

The tribes don’t always win. That same year, they failed to secure passage of Proposition 70, which would have given them the right to operate unlimited numbers of slot machines.

Still, tribal casinos in California have become a major force in California politics. They’ve donated millions to political candidates over the years.

“There’s a lot of money and there’s a lot of power there,” Dodd said last week, when he was still trying to broker a compromise with the tribes. “There’s a lot of sway with lawmakers, we get that.” The senator has received campaign contributions totaling $42,000 from Indian tribes since January 2019.

One influential tribe has stayed on the sidelines during this fight: the United Auburn Indian Community, owner of the ultra-successful Thunder Valley Casino near Lincoln, and no stranger to political skirmishes. The tribe’s spokesman, Doug Elmets, declined comment.

Just about every other big casino tribe joined in the effort to qualify the tribes’ proposal for the ballot, however. Yocha Dehe led the way with a $2 million contribution, followed by $1.5 million each from the tribal owners of the Graton Casino in Rohnert Park, the San Manuel Casino near San Bernardino and the Pechanga Casino in Temecula.

Until the coronavirus stay-at-home order was issued in March, the tribal coalition had spent $7 million collecting signatures and believed it was well on its way toward qualifying its proposal for the 2022 ballot. Although it still has until July 20 under state law to circulate petitions, it’s suing the state and demanding more time.

Tribes vs. California card rooms

Compared to tribal casinos, California’s approximately 70 card rooms are small players. Their annual revenue is barely 10 percent of what the tribes pull in. They wouldn’t be participants in legalized sports betting.

But their future has become the focus of an intriguing subplot in the fight over sports gambling.

It has to do with the somewhat arcane rules governing their operations.

Card rooms technically aren’t allowed to take bets. They have to contract with third-party companies whose employees act as “the bank” and take the bets. Those employees pay the card room a small fee at the beginning of every hand, depending on how much is wagered — the only money card rooms make from gambling. What’s more, the bank role has to be periodically offered around the table, to each customer.

For years Indian tribes have complained to state officials that most card rooms routinely ignore the regulations, particularly the requirement about offering the bank role around the table. They say the card rooms’ operations represent an intrusion on the tribes’ exclusive legal right to offer Vegas-style gambling in California.

Now they want to do something about that. The tribes’ ballot initiative would allow the state to close down anyone violating the rules — up to 30 days for repeat offenders — and give anyone the right to sue the card rooms for violations if the state won’t.

Dodd’s proposal would have fixed a gray area in the law to make clear that the card rooms’ games are legal. At the same time, last week he offered the tribes an olive branch by proposing stricter rules for the card rooms — for instance, requiring customers to accept the “bank” role periodically instead of merely having it offered to them.

The tribes rejected Dodd’s compromise.

For their part, card rooms have raised $7 million to fight the tribes’ proposal, which they view as an attempt to severely damage their viability.

“The reality is that our games are legal,” said Kyle Kirkland, owner of Club One Casino in Fresno and president of the California Gaming Association, which lobbies for the card rooms.

But he acknowledged that card rooms may be facing a difficult fight.

“Certainly the tribes are organized and influential and have talented people working for them,” he said. “I would hate to think it’s only whoever has the most money gets to dictate the rules.”

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©2020 The Sacramento Bee (Sacramento, Calif.)

Visit The Sacramento Bee (Sacramento, Calif.) at www.sacbee.com

Distributed by Tribune Content Agency, LLC.

California is an exercise in frustration. Legal sports betting simply cannot get going in the Golden State. Most recently, a proposed ballot initiative failed to gain enough signatures to make it onto the ballot.

Past efforts for sports betting legalization have stalled without ever making it out of the legislative process. Time is also running exceedingly short for the measure to pass through the needed committees and be the subject of a full vote.

Moreover, the state’s powerful tribes — which generate approximately $8 billion annually – would potentially be in opposition to the legalization of sports betting as a form of gaming expansion within the state. Notably, various pieces of online poker legislation have experienced an abundance of opposition from the tribes over the last decade in California for similar reasons.

When will California sports betting be legal?

The possible launch date for legal California sports betting is unknown at the moment. There are two ongoing initiatives presently under consideration, both involving the state’s Indian tribes.

The first would legalize sports wagering at land-based Indian casinos and horse racing tracks exclusively. This plan would not include online/mobile wagering for the foreseeable future. This initiative is being advanced by the tribes themselves.

The second effort stems from the state’s legislature. Under that plan, online/mobile wagering would be made available on platforms affiliated with the tribal casinos and racetracks. This plan is opposed by the tribes because it would also allow the state’s cardrooms to continue offering the house-banked card games the tribes feel infringe on their exclusivity.

It’s possible that either or both measures are put on the ballot as early as in November 2020. However, for that to become reality, each will have to qualify for the ballot by June 25. The tribes’ initiative suffered a setback in their already advanced signature collection efforts for the ballot when the coronavirus pandemic led to widespread stay-at-home orders.

A lawsuit filed by the tribes with the Superior Court of the State of California on June 9 seeks to obtain an extension on the timeline needed to gather and verify the necessary signature to qualify the measure for the ballot this November.

How does California sports betting work?

There currently is no legal sports betting framework in California, although there are two initiatives under consideration.

Where can I bet on sports in California?

At the moment, there is no legal sports betting framework in California. Depending on which of the two competing initiatives eventually passes via voter referendum, bettors will either be limited to placing sports bets at Indian tribe brick-and-mortar casino locations and racetracks (the tribes’ initiative) or through online/mobile platforms associated with Indian tribe casinos and racetracks (legislative initiative).

How old do I have to be to place sports bets in California?

There is currently no legal sports betting in California. However, based on other gambling-related activities in the state, it would be reasonable to expect that bettors will have to be at least 21 years of age to place a bet whenever wagering is legalized.

How do I begin betting on sports in CA?

With no legal sports betting currently available in California, there is naturally no set policy and procedures in place for establishing a betting account in California.

However, following the model of other states, it’s expected that bettors will have to provide the following basic information to open an account:

• Name
• Age
• Address
• Phone number
• Social security number for tax purposes
• Valid e-mail address if online account

How do I withdraw my winnings?

Sports betting is not yet available in the state of California, and it remains to be seen if the initiative that allows online wagering will be the one that eventually is codified into law.

If online/mobile wagering is eventually available in California, it’s reasonable to expect that operators will offer the conventional withdrawal methods they typically make available in other states where legalized betting is already available.

These methods include:

• ACH/E-check
• Check
• Paypal
• Prepaid card supplied by the operator

However, if sports betting is limited to brick-and-mortar locations, then withdrawal options may be limited to checks or in-person withdrawals on site at sportsbooks.

Can I use my online sportsbook account outside of California?

Sports betting is not yet available in the state of California. If the measure being advanced by state’s Indian tribes is the proposal that is eventually voted on and passed, there would not be online wagering allowed. All bets under that plan as currently proposed would have to be made in person at the tribes’ brick-and-mortar casinos.

If the measure being advanced by the legislature is the one eventually voted on and passed, online wagering through platforms associated with tribal casinos and racetracks would be available. In this instance, bettors would physically have to be located within California – as verified by geolocation technology – in order to place a wager.

Will sports betting odds be competitive in California?

Naturally, it will be in the best interest of sportsbooks to offer competitive odds once sports betting is legalized in California. A principal factor will be what kind of tax rate and licensing fees operators are expected to pay under a legal sports betting framework.

What sports can I bet on in California?

Is There Legal Sports Betting In California

If and when sports betting is legalized in California, it is expected that operators will be able to offer wagering on all major sports, as is the case in all other states already offering legalized wagering. That includes the following sports/leagues:

• NFL
• NBA
• MLB
• NHL
• CFL
• Golf
• Tennis
• NASCAR
• NCAA sports

Which California sports teams will I be able to bet on?

Should the state pass legal sports betting legislation, betting on the following teams, in addition to the major colleges, will likely be permitted:

• Los Angeles Angels (MLB)
• Los Angeles Dodgers (MLB)
• Oakland A’s (MLB)
• San Diego Padres (MLB)
• San Francisco Giants (MLB)
• Los Angeles Chargers (NFL)
• Los Angeles Rams (NFL)
• San Francisco 49ers (NFL)
• Los Angeles Lakers (NBA)
• Los Angeles Clippers (NBA)
• Golden State Warriors (NBA)
• Sacramento Kings (NBA)
• Anaheim Ducks (NHL)
• Los Angeles Kings (NHL)
• San Jose Sharks (NHL)

What types of bets can I make in California?

If and when sports betting is legalized in California, it is expected that bettors will have access to the following types of wagers:

• Moneyline: A wager on which team will win the game outright, regardless of margin of victory.
• Spreads: A bet based on the projected margin of victory that is set by oddsmakers.
• Totals: A bet on the combined score and whether it will be over or under a line set by sportsbooks.
• Futures: A bet on an outcome that has not yet happened.
• Parlays: A parlay is a bet that encompasses wagers on at least two separate sporting events. For a parlay wager to be deemed successful, all the bets that comprise it must be winning ones. If any wager within a parlay is a losing one, then the entire parlay is null and void.
• Props: Proposition wagers are bets that are typically based on metrics such as individual statistical milestones and team milestones.

In-game wagering and live betting

Sports Betting In Ca

There is no specific indication at this point that in-game wagering and live betting will be prohibited under either of the active sports betting proposals in California. However, there’s always the possibility that outlook is altered before either measure is put up for a voter referendum.

What companies will offer sports betting?

It remains to be seen what companies/operators would be part of California’s sports betting market. If the initiative advanced by the tribes were to be the one that is codified into law, there would be no online sports betting options in California. As such, there may be a more limited number of companies involved in the market partnering with the tribes to run their brick-and-mortar sportsbooks.

However, if the legislative effort is the one that is eventually passed by voters, online/mobile betting would be made available to California residents. Under that scenario, there would be a substantial number of companies interested in entering the market, including:

• BetAmerica
• theScore Bet

Legalized Sports Betting Update

Where will California sports betting tax revenue go?

Without an official legal sports betting framework in place, there is no set breakdown of how tax revenue from sports betting would be allocated within California.

If the model from other states is generally followed, the bulk of the revenue will naturally go into California’s coffers, with small percentages potentially going toward problem gambling initiatives or administrative costs related to the oversight of the industry within the state.

Sports Wagering In California

Eilers and Krejcik project the legislative initiative would produce $503 million per year in revenue for the state when the market is fully mature, including $282 million during the first six months when factoring in expected licensing fees. Meanwhile, the tribes’ plan, which would not include online wagering, is projected to bring in approximately $200 million per year.