BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 1039
                                                                  Page  1


          ASSEMBLY THIRD READING
          AB 1039 (Hall)
          As Introduced  February 22, 2013
          Majority vote 

           GOVERNMENTAL ORGANIZATION 17-0  APPROPRIATIONS      17-0        
           
           ----------------------------------------------------------------- 
          |Ayes:|Hall, Nestande, Bigelow,  |Ayes:|Gatto, Harkey, Bigelow,   |
          |     |Chesbro, Cooley, Gray,    |     |Bocanegra, Bradford, Ian  |
          |     |Hagman,                   |     |Calderon, Campos,         |
          |     |Roger Hernández, Jones,   |     |Donnelly, Eggman, Gomez,  |
          |     |Jones-Sawyer, Levine,     |     |Hall, Ammiano, Linder,    |
          |     |Medina, Perea, V. Manuel  |     |Pan, Quirk, Wagner, Weber |
          |     |Pérez, Salas, Torres,     |     |                          |
          |     |Waldron                   |     |                          |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Allows a city, county, or city and county to amend its  
          local ordinance to increase the number of gambling tables by  
          two, above the number of tables authorized by local ordinance in  
          effect on January 1, 2013.  Specifically,  this bill  specifies  
          that an amendment authorized by this measure may only occur one  
          time.

           EXISTING LAW  :

          1)Provides for the licensure and regulation of various legalized  
            gambling activities and establishments by the California  
            Gambling Control Commission and the enforcement of those  
            activities by the Department of Justice (DOJ).

          2)Allows a city, county, or city and county to authorize  
            controlled gambling, consistent with state law, if a majority  
            of voters affirmatively approve an ordinance so permitting, as  
            specified.

          3)Authorizes a city, county, or city and county to amend the  
            ordinance to increase by two the number of gambling tables  
            that may be operated in a gambling establishment in a city,  
            county, or city and county, above the number of tables  
            authorized in the ordinance in effect on January 1, 2010.  The  
            authority to amend a gaming ordinance may occur only one time.









                                                                  AB 1039
                                                                  Page  2


          4)Requires that any amendment to a local jurisdiction ordinance  
            relating to gambling establishments or the Gambling Control  
            Act is required to be submitted to DOJ for review and comment  
            before the ordinance is adopted by the local jurisdiction.

          5)Places a moratorium on the authorization of legal gaming by a  
            local governing body or local electors and an expansion of  
            gambling, as defined, until January 1, 2020.

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee, there are no significant costs associated with this  
          legislation.

           COMMENTS  :   

           Purpose of the bill  :  This measure is intended to allow cities  
          and counties that have card clubs to amend their local ordinance  
          to allow for these clubs to add two more additional tables.   

          Currently many small to medium sized card clubs find that they  
          have insufficient space to accommodate their business on  
          weekends.  This measure will allow a city or county to amend the  
          ordinance to increase the number of card tables in order to  
          accommodate those who wish to play in their card clubs.

           Arguments in support  :  Supporters argue that at this time, many  
          small to medium sized card clubs are unable to accommodate  
          players who wish to play in their club on Friday and Saturday  
          nights.  Individuals often come to a card club on Friday or  
          Saturday, and wait an hour or more for an opportunity to sit  
          down and play.

          Many of these people become discouraged and leave.  This measure  
          would allow these clubs to expand the number of tables to  
          accommodate the business which they already have, but which they  
          are unable to serve.  Furthermore, the added tables will create  
          employment opportunities in California for those who will be  
          providing services.  State and local governments will also  
          benefit by additional fees paid by the cardrooms.

           Arguments in opposition  :  According to the California Coalition  
          Against Gambling Expansion (CCAGE), the past few legislative  
          sessions have seen a long laundry of gambling expansion  
          legislation of every conceivable form, from a slew of bills to  








                                                                  AB 1039
                                                                  Page  3


          lift specific cardroom limits, to authorizing Off-Track  
          Bettering parlors for horseracing, to permit call-in bingo  
          games, to allow our Lottery to go national, be privatized and  
          remove many of the promised restrictions made to voters, to  
          expand the number of tribal slot machines, to authorize online  
          poker, and the list goes on and on.

          CCAGE believes that before policymakers consider authoring or  
          supporting more bills to expand gambling activities, they ought  
          to consider the social, economic, and moral impact that more  
          legalized gambling will have on our State and its citizenry.

           
          Analysis Prepared by  :    Felipe Lopez / G. O. / (916) 319-2531 


                                                                FN: 0000528