BILL ANALYSIS �
Bill No: AB
2518
SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION
Senator Roderick D. Wright, Chair
2011-2012 Regular Session
Staff Analysis
AB 2518 Author: Hall
As Introduced: February 24, 2012
Hearing Date: June 12, 2012
Consultant: Paul Donahue
SUBJECT
Gambling: Gambling Control Act
DESCRIPTION
Revises the Gambling Control Act to exclude from the
definition of "applicant" any person who is about to apply
for a state gambling license, or other licenses, permits,
or approvals.
EXISTING LAW
1) The Gambling Control Act directs the Gambling Control
Commission to license certain individuals and
establishments involved in various gambling activities,
and provides for the enforcement of those activities by
the Department of Justice (DOJ).
2) Requires the CGCC to ensure that licenses, approvals,
and permits are not issued to, or held by, unqualified or
disqualified persons, or by persons whose operations are
conducted in a manner that is inimical to the public
health, safety, or welfare.
3) Defines an "applicant" as any person who has applied
for, or is about to apply for, a state gambling license,
or other licenses, permits, or approvals, as specified.
4) Authorizes the CGCC, for any cause deemed reasonable by
AB 2518 (Hall) continued
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the CGCC, to deny any application for a license, permit,
or approval, to limit, condition, or restrict any
license,
permit, or approval, or to impose any fine upon any
person licensed or approved.
BACKGROUND
1) Purpose of the bill : The current definition of an
applicant, under the Act, includes individuals who are
about to apply for a state gambling license, or other
licenses, permits, or approvals. According to the author,
"the definition of an applicant should not include
individuals who have not actually applied for a gambling
license. This bill would clarify and codify in law that
an applicant, for purposes of the Act, will only include
individuals who have applied for a gambling license, or
other licenses, permits, or approvals with the CGCC."
The author states that this clarification will help to
strengthen the definition of an applicant by excluding
would-be applicants from the definition.
2) Gambling control : The Gambling Control Act confers
jurisdiction over the operation of gambling
establishments in California to the Commission. The
Commission is responsible for ensuring that gambling
licenses are not issued to, or held by, unqualified or
disqualified persons, or by persons whose operations are
conducted in a manner that is harmful to the public
health, safety, or welfare. The Commission may only
issue licenses to persons of good character, honesty and
integrity, whose prior activities, or any criminal
record, reputation, habits and associations do not pose a
threat to the public interest of this state. DOJ
conducts background and field investigations and enforces
the provisions of the Gambling Control Act in this
regard.
PRIOR/RELATED LEGISLATION
AB 2526 (Hall), 2011-2012 Session . Revises the definition
of a "key employee" to any person employed in the operation
of a gambling enterprise in a supervisory capacity or
empowered to make discretionary decisions with regard to
the gambling operations. (Pending in this Committee)
AB 2518 (Hall) continued
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SUPPORT:
None on file
OPPOSE:
None on file
FISCAL COMMITTEE: No
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