BILL ANALYSIS                                                                                                                                                                                                    �



                                                                            



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                                       CONSENT


          Bill No:  AB 1426
          Author:   Assembly Governmental Organization Committee
          Amended:  As introduced
          Vote:     21


           SENATE GOVERNMENTAL ORGANIZATION COMMITTEE  :  11-0, 6/11/13
          AYES:  Wright, Nielsen, Berryhill, Calderon, Cannella, Correa,  
            De Le�n, Galgiani, Hernandez, Lieu, Padilla

           ASSEMBLY FLOOR  :  70-0, 5/16/13 (Consent) - See last page for  
            vote


           SUBJECT  :    Tribal gaming

           SOURCE  :     Author


           DIGEST  :    This bill reorganizes statutes pertaining to Indian  
          gaming compacts primarily by moving them to a newly created  
          Title 16.5 on Tribal Gaming in the Government Code; and makes  
          other minor, technical, nonsubstantive changes to these  
          provisions.

           ANALYSIS :    Existing federal law, the Indian Gaming Regulatory  
          Act of 1988, provides for the negotiation and execution of  
          compacts for the purpose of authorizing class III gaming on  
          Indian lands within a state.  Additionally, the California  
          Constitution authorizes the Governor to negotiate and conclude  
          compacts, subject to ratification by the Legislature.

          Existing law:
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                                                                    AB 1426
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          1.Establishes the Indian Gaming Special Distribution Fund (SDF)  
            in the State Treasury for the receipt of revenue contributions  
            made by tribal governments pursuant to the terms of the 1999  
            model Tribal-State Gaming Compacts (compacts).

          2.Authorizes the Legislature to appropriate money from the SDF  
            as follows:  (a) grants for programs designed to address  
            gambling addiction; (b) grants for the support of state and  
            local government agencies impacted by tribal government  
            gaming; (c) compensation for regulatory costs incurred by the  
            California Gambling Control Commission (CGCC) and the  
            Department of Justice (DOJ) in connection with the  
            implementation and administration of compacts; (d) payment of  
            shortfalls that may occur in the Indian Gaming Revenue Sharing  
            Trust Fund (RSTF); (e) disbursements for the purpose of  
            implementing the terms of tribal labor relations ordinances  
            promulgated in accordance with the terms of the 1999 compacts;  
            and (f) any other purpose specified by law.

          3.Provides that the priority for funding from the SDF is in the  
            following descending order:  (a) to make payments of any  
            shortfalls that may occur in the RSTF; (b) grants for programs  
            designed to address gambling addiction; (c) compensation to  
            the CGCC and DOJ for regulatory functions that directly  
            relates to Indian gaming; and (d) grants for the support of  
            local government agencies impacted by tribal gaming.

          4.Establishes the RSTF in the State Treasury for the receipt and  
            deposit of monies derived from gaming device license fees paid  
            by Indian tribes with 1999 compacts.  Money in the RSTF is  
            available to the CGCC, upon appropriation by the Legislature,  
            for distribution to non-compact tribes, according to the terms  
            of the compacts.

          5.Requires the CGCC to annually determine the aggregate amount  
            necessary to make up the difference between $1.1 million and  
            the actual amount paid to each eligible recipient Indian tribe  
            during the fiscal year from the RSTF.  The CGCC must report  
            the amount of the deficiency to the budget committees in each  
            house of the Legislature.  Upon appropriation by the  
            Legislature, the CGCC shall make payments to eligible  
            recipient tribes, as specified.  
           

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                                                                    AB 1426
                                                                     Page  
          3

          This bill reorganizes statutes pertaining to Indian gaming  
          compacts primarily by moving them to a newly created Title 16.5  
          on Tribal Gaming in the Government Code; and makes other minor,  
          technical, nonsubstantive changes to these provisions.



           Background
           
          Currently, Indian gaming laws are found in two separate chapters  
          in the Government Code:

                 Title 2, Division 3, Part 2, Chapter 1, Article 1  
               contains laws related to:  compacts, the RSTF, the SDF; and  
               the methodology for the backfill of shortfalls in revenues  
               in the RSTF from the SDF.

                 Title 2, Division 3, Part 2, Chapter 7.5 contains the  
               laws related to Grants of Indian Gaming Revenue to Local  
               Government Agencies.

          This bill is a code maintenance proposal that was developed in  
          consultation with the Office of Legislative Counsel to  
          consolidate all of the laws related to Indian gaming into one  
          stand-alone Title in the Government Code, namely, Title  
          16.5-Tibal Gaming.

           Prior Legislation
           
          AB 2695 (Assembly Governmental Organization Committee, 2011-12)  
          would have reorganized statutes pertaining to compacts primarily  
          by moving them to a newly created Title 16.5 on Tribal Gaming in  
          the Government Code; and would have made other minor, technical  
          changes to these provisions.  The bill died on the Senate  
          Inactive File.

          Unsuccessful legislation which would have established a  
          stand-alone article or chapter within the Government Code for  
          compacts included AB 2794 (Assembly Governmental Organization  
          Committee, 2009-10), AB 1275 (J. Horton, 2003-04), and AB 2286  
          (J. Horton, 2001-02).

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

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                                                                    AB 1426
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           ASSEMBLY FLOOR  :  70-0, 5/16/13
          AYES:  Achadjian, Alejo, Ammiano, Atkins, Bigelow, Bloom,  
            Blumenfield, Bocanegra, Bonilla, Bonta, Bradford, Brown, Ian  
            Calderon, Campos, Chau, Ch�vez, Chesbro, Conway, Cooley,  
            Dahle, Daly, Dickinson, Donnelly, Fong, Fox, Frazier, Garcia,  
            Gatto, Gomez, Gordon, Gorell, Gray, Hagman, Hall, Harkey,  
            Roger Hern�ndez, Jones, Jones-Sawyer, Levine, Linder, Logue,  
            Lowenthal, Maienschein, Mansoor, Medina, Mitchell, Mullin,  
            Muratsuchi, Nazarian, Nestande, Olsen, Pan, Patterson, Perea,  
            V. Manuel P�rez, Quirk, Quirk-Silva, Rendon, Salas, Skinner,  
            Ting, Torres, Wagner, Waldron, Weber, Wieckowski, Wilk,  
            Williams, Yamada, John A. P�rez
          NO VOTE RECORDED:  Allen, Buchanan, Eggman, Beth Gaines, Grove,  
            Holden, Melendez, Morrell, Stone, Vacancy


          MW:ej  6/12/13   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  NONE RECEIVED

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