BILL ANALYSIS Ó SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION Senator Isadore Hall, III Chair 2015 - 2016 Regular Bill No: AB 2915 Hearing Date: 6/28/2016 ----------------------------------------------------------------- |Author: |Committee on Governmental Organization | |-----------+-----------------------------------------------------| |Version: |3/17/2016 Introduced | ----------------------------------------------------------------- ------------------------------------------------------------------ |Urgency: |No |Fiscal: |No | ------------------------------------------------------------------ ----------------------------------------------------------------- |Consultant:|Arthur Terzakis | | | | ----------------------------------------------------------------- SUBJECT: Tribal gaming 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. ANALYSIS: Existing law: 1)The federal 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. 3)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 AB 2915 (Committee on Governmental Organization) Page 2 of ? 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. 4)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. 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. This bill: 1)Repeals, reorganizes and recasts various statutory provisions related to tribal compacts and Indian gaming into one stand-alone Title 16.5 in the Government Code. 2)Makes other minor, technical, and nonsubstantive changes to these provisions. Background Purpose of AB 2915. Currently, Indian gaming statutes are found in two separate chapters in the Government Code. Government AB 2915 (Committee on Governmental Organization) Page 3 of ? 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. Government Code Title 2, Part 2, Chapter 7.5 contains the laws related to Grants of Indian Gaming Revenue to Local Government Agencies. According to the author's office, 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/Related Legislation AB 1540 (Gray, Chapter 531, Statutes of 2015) as introduced, 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. (Gutted on the Senate Floor to be the ratification vehicle for the Santa Ynez Band of Mission Indians Compact, executed on 8/26/15) 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. (Died on 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. Also would have made other minor, technical changes to these provisions. (Died on Senate Inactive File) AB 1417 (Governmental Organization, Chapter 736, Statutes of 2011) as introduced, this bill 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. (AB 1417 was subsequently gutted in this committee to become the vehicle for the distribution of $9.1 million from the SDF to the CGCC to provide grants to local agencies.) AB 2794 (Governmental Organization, 2010) would have established a stand-alone article within the Government Code for tribal AB 2915 (Committee on Governmental Organization) Page 4 of ? compacts. (Died at Senate Desk) SB 827 (Wright, Chapter 206, Statutes of 2009) as introduced, would have established a stand-alone article within the Government Code for tribal compacts. (Gutted and amended in the Assembly to become a bill dealing with the South Coast Air Quality Management District) AB 1576 (Chesbro, 2009) as introduced, would have established a stand-alone article within the Government Code for tribal compacts. (Gutted in the Senate to be the ratification vehicle for the Habematolel Pomo of Upper Lake Compact, executed on September 2, 2009) AB 3072 (Price, Chapter 334, Statutes of 2008) as introduced, would have established a stand-alone article within the Government Code for tribal compacts. (Gutted on the Senate Floor to be the ratification vehicle for the amended Shingle Springs Band of Miwok Indians Compact, executed on 6/30/2008) AB 1275 (J. Horton, 2003) would have established a stand-alone chapter within the Government Code for tribal compacts. (Died on Senate Third Reading file) AB 2286 (J. Horton, 2002) would have established a stand-alone chapter within the Government Code for compacts enacted and approved under Proposition 1A. (Died on Senate Inactive File) FISCAL EFFECT: Appropriation: No Fiscal Com.: No Local: No SUPPORT: None received OPPOSITION: None received AB 2915 (Committee on Governmental Organization) Page 5 of ?