BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                   SB 374|
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                                    CONSENT


          Bill No:  SB 374
          Author:   Strickland (R)
          Amended:  As introduced
          Vote:     21

           
           SENATE GOVERNMENTAL ORGANIZATION COMM  :  12-0, 04/26/11
          AYES:  Wright, Anderson, Berryhill, Cannella, Corbett, De 
            León, Evans, Hernandez, Padilla, Strickland, Wyland, Yee
          NO VOTE RECORDED:  Calderon

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8


           SUBJECT  :    Gambling control:  key employee licenses

           SOURCE  :     Author


           DIGEST  :    This bill authorizes a key employee in a 
          gambling establishment with a valid personal portable 
          license to work as a key employee in any key employee 
          position in more than one gambling establishment.

           ANALYSIS :    Existing law:  

          1.The Gambling Control Act provides for the licensure of 
            certain individuals and establishments involved in 
            various gambling activities, and for the regulation of 
            those activities, by the California Gambling Control 
            Commission. 

          2.Requires certain people employed in the operation of a 
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            gambling enterprise, known as "key employees," to apply 
            for and obtain a key employee license. 

          3.Entitles the holder of a key employee license to work in 
            any key employee position at any gambling establishment, 
            provided that the key employee terminates employment with 
            one gambling establishment before commencing work for 
            another. 

          4.Requires the Gambling Control Commission to establish a 
            program for portable personal licenses for key employees.

          This bill authorizes a key employee with a valid personal 
          portable license to work as a key employee in any key 
          employee position in more than one gambling establishment.

           Comments
           
          Prior to 1998, California's gambling industry was 
          essentially unregulated. In 1984, the Legislature enacted 
          the Gaming Registration Act, which required the Attorney 
          General's office to provide uniform, minimum regulation of 
          California's card rooms.  However, the scope of the 
          Attorney General's authority was extremely limited and 
          funding was inadequate.  

          In 1997 the Legislature enacted the Gambling Control Act 
          (Chapter 867, Statutes of 1997), which created a 
          comprehensive scheme for statewide regulation of legal 
          gambling under a bifurcated system of administration 
          involving the Division of Gambling Control within the 
          Attorney General's Office and the five-member California 
          Gambling Control Commission appointed by the governor.  The 
          commission is authorized to establish minimum regulatory 
          standards for the gambling industry, and ensure that state 
          gambling licenses are not issued to or held by unsuitable 
          or unqualified individuals.

          The Department of Justice is responsible for conducting 
          background investigations into applicants seeking key 
          employee licenses.  The Department of Justice assesses the 
          integrity of the applicant, general character, reputation, 
          habits, and financial and criminal history.


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          According to the author's office, existing law only allows 
          a key employee to work at one gambling establishment at a 
          time.  Thus, individuals may not work at multiple gambling 
          sites even though the sites may have the same owner.  The 
          author wants to remove this statutory restriction to assist 
          these employees, who may not be able to work full-time at 
          one location.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes   
          Local:  No


          PQ:nl  5/11/11   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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