BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                     AB 431


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          Date of Hearing:  May 27, 2015


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                                 Jimmy Gomez, Chair


          AB  
          431 (Gray) - As Amended May 4, 2015


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          |Policy       |Governmental Organization      |Vote:|20 - 0       |
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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill declares the intent of the Legislature to authorize  
          Internet poker in California and adopt a legal and regulatory  
          framework that complies with federal law.  The bill declares the  
          framework shall include strict standards to ensure the fairness  
          and integrity of the games, appropriate consumer protections,  
          fair revenue for the state, safeguards against underage play,  
          and mechanisms to address negative impacts of Internet poker  
          gambling.


          FISCAL EFFECT:









                                                                     AB 431


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          Substantial costs, likely in the tens of millions of dollars  
          annually to the General and Special Funds, to several agencies  
          including the Gambling Control Commission, Department of  
          Justice, Franchise Tax Board, law enforcement, child welfare  
          services, and others, to develop regulations and standards,  
          monitor, and enforce the framework around Internet poker.  Over  
          time, some or all of those costs may be offset through licensing  
          and fee revenue.


          COMMENTS:


          Purpose.  According to the author, the intent of this bill is to  
          assist the Legislature to further consider a legislative  
          framework to authorize intrastate Internet poker.  The author  
          claims over a million Californians are playing Internet poker on  
          sites run by offshore companies that are not regulated or  
          licensed by any US government entity.








          Analysis Prepared by:Joel Tashjian / APPR. / (916)  
          319-2081

















                                                                     AB 431


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