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