BILL ANALYSIS                                                                                                                                                                                                    Ó




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          |SENATE RULES COMMITTEE            |                       AB 1540|
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                                    THIRD READING


          Bill No:  AB 1540
          Author:   Committee on Governmental Organization  
          Introduced:3/26/15  
          Vote:     21  

           SENATE GOVERNMENTAL ORG. COMMITTEE:  12-0, 6/29/15
           AYES: Hall, Berryhill, Block, Gaines, Glazer, Hernandez, Hill,  
            Hueso, Lara, McGuire, Runner, Vidak
           NO VOTE RECORDED: Galgiani

           ASSEMBLY FLOOR:  78-0, 5/14/15 (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:

          1)Establishes the Indian Gaming Special Distribution Fund (SDF)  
            in the State Treasury for the receipt of revenue contributions  








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            made by tribal governments pursuant to the terms of the 1999  
            model Tribal-State Gaming 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 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.  

          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.  
           
          This bill repeals, reorganizes and recasts various statutory  








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          provisions related to tribal compacts and Indian gaming into one  
          stand-alone Title 16.5 in the Government Code; and makes other  
          minor, technical, and nonsubstantive changes to these  
          provisions. 
          
          Background

          Purpose of AB 1540.  Currently, Indian gaming statutes are found  
          in two separate chapters in the Government Code:  

           Title 2, Part 2, Chapter 1, Article 1 contains laws related  
            to: (1) Tribal-State Gaming Compacts, (2) the Indian Gaming  
            RSTF, (3) the Indian Gaming SDF; and (4) the methodology for  
            the backfill of shortfalls in revenues in the RSTF from the  
            SDF.   

           Title 2, 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 Legislative Counsel's office to  
          consolidate all of the laws related to Indian gaming into one  
          stand-alone Title in the Government Code, namely, Title 16.5 -  
          Tribal Gaming.  
          
          Prior Legislation
          
          AB 1426 (Governmental Organization, 2013) would have reorganized  
          statutes pertaining to Indian gaming compacts primarily by  
          moving them to a newly created Title 16.5 on Tribal Gaming in  
          the Government Code.  (The bill died on the Senate Inactive  
          File)

          AB 2695 (Governmental Organization, 2012) would have reorganized  
          statutes pertaining to Indian gaming compacts primarily by  
          moving them to a newly created Title 16.5 on Tribal Gaming in  
          the Government Code.  (The bill died on the Senate Inactive  
          File)
           
           FISCAL EFFECT:                 Appropriation:  No    Fiscal  
          Com.:             No           Local:          No








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          SUPPORT:  (Verified  8/26/15)

          None received

          OPPOSITION:  (Verified  8/26/15)

          None received



           ASSEMBLY FLOOR:  78-0, 5/14/15
           AYES: Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom,  
            Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang,  
            Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle,  
            Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina  
            Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez,  
            Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden,  
            Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Lopez, Low,  
            Maienschein, Mathis, Mayes, McCarty, Melendez, Mullin,  
            Nazarian, Obernolte, O'Donnell, Olsen, Patterson, Perea,  
            Quirk, Rendon, Ridley-Thomas, Rodriguez, Salas, Santiago,  
            Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber,  
            Wilk, Williams, Wood, Atkins
           NO VOTE RECORDED: Linder, Medina

          Prepared by:Arthur Terzakis / G.O. / (916) 651-1530
          8/26/15 17:33:41
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