BILL ANALYSIS Ó
AB 1540
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Date of Hearing: May 6, 2015
ASSEMBLY COMMITTEE ON GOVERNMENTAL ORGANIZATION
Adam Gray, Chair
AB 1540
(Committee on Governmental Organization) - As Introduced March
26, 2015
SUBJECT: Tribal gaming
SUMMARY: Repeals and renumbers sections of the Government Code
related to Indian gaming into one stand-alone Title in the
Government Code. Makes other technical non-substantive changes.
EXISTING LAW:
1) 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.
2) 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).
3) Authorizes the Legislature to appropriate money from the SDF
as follows: (1) Grants for programs designed to address gambling
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addiction; (2) Grants for the support of state and local
government agencies impacted by tribal government gaming; (3)
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; (4) Payment of shortfalls that may occur in the
Indian Gaming Revenue Sharing Trust Fund (RSTF); (5)
Disbursements for the purpose of implementing the terms of
tribal labor relations ordinances promulgated in accordance with
the terms of the 1999 compacts; and, (6) Any other purpose
specified by law.
4) Provides that the priority for funding from the SDF is in
the following descending order: (1) To make payments of any
shortfalls that may occur in the RSTF; (2) Grants for programs
designed to address gambling addiction; (3) Compensation to the
CGCC and DOJ for regulatory functions that directly relates to
Indian gaming; and, (4) Grants for the support of local
government agencies impacted by tribal gaming.
5) Establishes the RSTF in the State Treasury for the receipt
and deposit of moneys derived from gaming device license fees
paid by Indian tribes with 1999 compacts. Money in that fund is
available to the CGCC, upon appropriation by the Legislature,
for distribution to non-compact tribes, according to the terms
of the compacts.
6) 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.
FISCAL EFFECT : This bill is keyed non-fiscal by Legislative
Counsel.
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COMMENTS :
Purpose of the bill : This measure is a code maintenance
proposal that was developed in consultation with the Legislative
Counsel's office to consolidate all of the laws related to
Indian gaming into one stand-alone Title in the Government Code.
Currently, Indian gaming laws are found in two separate chapters
in the Government Code. Government Code Title 2, Part 2,
Chapter 1, Article 1 contains laws related to: (1) Tribal-State
Gaming Compacts, (2) the Indian Gaming Revenue Sharing Trust
Fund (RSTF), (3) the Indian Gaming Special Distribution Fund
(SDF); and (4) the methodology for the backfill of shortfalls in
revenues in the RSTF from the SDF. Government Code Title 2,
Part 2, Chapter 7.5 contains the laws related to Grants of
Indian Gaming Revenue to Local Government Agencies. AB 1426 is
a code maintenance proposal that will consolidate all Indian
gaming related laws into one stand-alone Title in the Government
Code, namely, Title 16.5 - Tribal Gaming.
REGISTERED SUPPORT / OPPOSITION:
Support
None on file
Opposition
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None on file
Analysis Prepared by:Eric Johnson / G.O. / (916) 319-2531