California sports betting initiatives facing uncertain future as … – EGR Global

The latest ballot initiatives aiming to legalize sports betting in California are set to advance to the signature-gathering stage following the end of a mandatory commenting period.

The Tribal Gaming Protection Act and the Sports Wagering Regulation and Tribal Gaming Protection Act were both submitted to the California Attorney Generals office as prospective ballot initiatives on October 27, and have since passed a month-long commenting period.

Both measures can now commencesignature gathering, which provisionally is due to end within four months, however the state does allow for up to six months for signature collection.

To qualify to appear on theNovember 5, 2024 general election ballot, the initiatives proponents will be required to collect 874,461 valid signatures from Californians over thefour to six monthperiod.

However, the passage of the measures to the next stage of the process comes amid scathing opposition from tribal gaming operators, the group which both measures would directly benefit through exclusivity in sports betting.

Chief amongthe groupis the California Nations Indian Gaming Association (CNIGA),which represents some of the largest and most influential tribes in the state.

Earlier this month, CNIGA representatives voted unanimously to oppose the initiatives by 18votes to zero, with the tribal gaming body angrily rebuking the petitionsauthors former poker player Kasey Thompson and cryptocurrency entrepreneur Reeve Collins.

The entire effort surrounding these initiatives was handled abhorrently by the initiative sponsors, said CNIGAchairman James Siva in a statement on November 20.

It is hard not to be offended when listening to these individuals speak. This is another example of outside influences trying to divide and conquer Indian tribes. We will not let history repeat itself, he added.

Sivas remarks refer to a similar 2022 ballot initiative by out-of-state gambling operators DraftKings, FanDuel, BetMGM,and Fanatics among others seeking the legalization of sports betting viaastate-wide referendum.

Proposition 27,as it was eventually known,aimed to legalize betting inCalifornia, with all proceeds going tosupporthomelessnessand social causes, and would have allowed both tribal and out-of-state operators to offer sports betting.

A rival ballot initiative,Proposition 26,backed by a coalition of some of Californias largest tribal casino operators, included sports betting-related measures allowing for in-person wagering at both tribal casinos and the states four licensed race tracks.

The two ballot initiatives battled it out for signatures in California, in whatbecamea multi-million-dollaracrimoniouslobbying campaignbetween the two competing interest groups.

However, both ballot campaigns failed to gain enough votes to pass, having been put to a statewide ballot on November 7, 2022.

Elsewhere, the California Attorney GeneralsOffice will soon deliver a potentially damaging legal opinionon whether daily fantasy sports(DFS)contests can continue in the Sunshine State.

Requested by Senator Scott Wilk in October, the Attorney Generals inquiry focuses on the issue of whether Californianlaw prevents in-state DFS players from using DFS platforms,which may be located in or outside the state.

Central to this,isthe assertion that DFS contests are games of chance and not games of skill, which would effectively make themanillegalform ofgambling in the state, rather than exempting them under theUnlawful Internet Gambling Enforcement Act 2006 (UEIGA), as would be afforded to fantasy contests.

The inquiry comes at a difficult time for the DFS sector, which iscurrentlyfacing increased scrutiny from regulators around the US over concerns about so-called pickem gamesthatmany regulators have suggested mimic proposition-style sports betting.

However, it is understood that the California inquiry is not confined to pickem games and focusesmore broadlyon the whole of the DFS product spectrum.

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California sports betting initiatives facing uncertain future as ... - EGR Global