Three gaming tribes who insisted on a “bad actor” in any legislation legalizing online poker in California have indicated that they are willing to compromise on the issue.
Two bills have been introduced: AB9 by Assemblyman Mike Gatto and AB 167 by Assemblyman Reggie Jones-Sawyer.
Previous bills have founded because of the insistence by some tribes that “bad actors” could not participate, a requirement aimed at PokerStars, the partner with the Morongo Tribe. “Bad actors,” by this definition, are online gaming sites that continued to do business with American patrons after the passage of federal legislation that forbade internet money transfers for gambling.
Gatto’s bill has that clause, while Jones-Sawyer has a watered down version.
Three tribes who had previous insisted on the clause, the Rincon Band of Luiseño Indians, the Pala Band of Mission Indians and the United Auburn Indian Community, February 10 wrote letters to both lawmakers.
They wrote, “We suggest an approach that looks specifically at personal participation in unauthorized gaming. Under this approach, those persons with control over a licensed operator, service provider, or marketing affiliate could not include any person who has personally participated in unauthorized gaming.”
They added, “This approach strikes a balance between the state’s need to ensure that persons who willfully defy gaming laws not be permitted to jeopardize the integrity of Internet poker in California, while recognizing that control of an entity may change over time in a way that resolves regulatory concerns. If a company that engaged in unauthorized gaming changed ownership, regulators would be able to review the effect of that change in ownership under the bill’s standards.”
Gallo said he was happy to see the letter and remarked last week. He told Poker News, “This is exactly what is supposed to happen in the legislative process. People who have an interest are supposed to submit their comments on how we can improve any legislation… Do I welcome it? Yes. Do I embrace it? No. Do I agree with everything in it? No.”
The tribes may be softening their opposition because Amaya purchased PokerStars last year. They are also probably changing tact because they want to see some version of a poker bill enacted.
The Morongo Tribe, which is allied with PokerStars and several card clubs, including Hawaiian Gardens and the Commerce Club, last week indicated that it was open to some compromise on the issue.
Robert Martin of the Morongo band, who spoke at the Western Indian Gaming Conference, said, “There has to be compromise or it won’t get done. At the end of the day, we all want what is best for the tribes.”
However, two very powerful gaming tribes remain who are committed to the “bad actor” clause, Pechanga Band of Luiseño Indians of Temecula and Agua Caliente Band of Cahuilla Indians of Palms Springs. Their opposition may be enough to prevent a bill from moving forward that doesn’t have it.
Pechanga Chairman Mark Macarro commented about AB 167 last month: “There is much for tribes to dislike about this bill,” he said. “We are disappointed that the bill disregards important principles from a broad coalition of respected tribes and card rooms that help prevent corporations and entities that previously violated federal law from profiting from tainted software, brands, and databases derived from illegal activity.”
Daniel Tucker, chairman of the California Nations Indian Gaming Association, urged members of the conference to adopt a united front about issues that affect them all.
Despite all of the talk of compromise, the lack of movement by some players has caused Gallo to reassess the chances of a poker bill. He now thinks the chances of a bill passing this year are less than 50-50.
