BILL ANALYSIS Ó
Bill No: SB
601
SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION
Senator Roderick D. Wright, Chair
2013-2014 Regular Session
Staff Analysis
SB 601 Author: Yee
As Amended: January 6, 2014
Hearing Date: January 14, 2014
Consultant: Paul Donahue
SUBJECT
Gambling policy and regulations
DESCRIPTION
1)Directs the California Gambling Control Commission
(Commission) to establish a Gaming Policy Advisory
Committee (Committee), and appoint 5 representatives of
controlled gambling licensees and 5 members of the
general public to the Committee.
2)Directs the Senate Committee on Rules and the Speaker of
the Assembly to each appoint 1 additional person employed
by the Legislature to serve as ex officio members of the
Committee.
3)Instructs the executive director of the Commission to
convene the Committee from time to time to discuss
matters of controlled gambling regulatory policy and any
other relevant gambling-related issues, including, but
not limited to, the following:
a) The extent to which the regulation of permitted
games, game procedures, and gambling expansion impedes
the economic growth of the gambling sector in
California.
b) Impacts of the above gaming regulatory policy on
state and local tax and fee proceeds.
SB 601 (Yee) continued
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c) The impact of new technologies on gambling.
4)Requires the Commission, when appropriate, to take into
consideration specified fiscal and economic impacts when
adopting regulations.
5)Makes various legislative findings and declarations,
noting among other things that many states are currently
examining their laws governing gambling and are expanding
gambling in their states to compete with other states
that permit more expansive gambling and a greater variety
of legalized games. The findings also note that this
competition has an economic impact beyond gambling,
including, reduced revenues from tourism and
entertainment and state and local tax proceeds.
6)Repeals a statute requiring the Commission to investigate
various matters, including the consequences, benefits,
and disadvantages of imposing a state tax on revenue
generated by licensed gambling establishments, and report
its findings to the Legislature and the Governor no later
than January 1, 2005.
EXISTING LAW
1)The Gambling Control Act provides for the licensure and
regulation of various legalized gambling activities and
establishments by the Commission and the investigation
and enforcement of those activities and establishments by
the Department of Justice.
2)Requires Commission to establish and appoint a Gaming
Policy Advisory Committee of 10 members, composed of
representatives of controlled gambling licensees and
members of the general public in equal numbers. The
Committee is convened periodically to discuss matters of
controlled gambling regulatory policy and other relevant
gambling-related issues.
3)Requires that, to the extent appropriate, regulations of
the Commission take into consideration the operational
differences of large and small gambling establishments.
BACKGROUND
SB 601 (Yee) continued
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1)Purpose : According to the author, SB 601 is intended to
encourage consideration of the economic and fiscal impact
of gambling regulation by the State of California so that
the state can compete more effectively with other states
for increased revenues and tax proceeds.
2)Support : Supporters believe that this bill takes
important steps to encourage state policies, laws and
regulations concerning card clubs that will support job
creation and increase economic activity.
SUPPORT:
Sutter's Place, Inc. (dba Bay 101)
OPPOSE:
None on file
FISCAL COMMITTEE:
Senate Appropriations Committee
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