BILL ANALYSIS �
AB 1916
Page 1
Date of Hearing: April 30, 2014
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Mike Gatto, Chair
AB 1916 (Hall) - As Introduced: February 19, 2014
Policy Committee: Governmental
Organization Vote: 19-0
Urgency: No State Mandated Local Program:
No Reimbursable: No
SUMMARY
This bill creates the Tribal Nation Grant Fund (TNGF) in the
State Treasury, to be administered by the California Gambling
Control Commission (CGCC), for the receipt and deposit of funds
received from Indian tribes pursuant to the terms of
tribal-state gaming compacts. The bill authorizes funds, upon
appropriation by the Legislature, to be used for discretionary
distribution to non-gaming and limited gaming tribes on a
competitive application basis for purposes related to effective
self-governance, self-determined community, and economic
development.
FISCAL EFFECT
Annual costs of approximately $100,000 to the Indian Gaming
Special Distribution Fund for work by the CGCC in connection
with administering the TNGF.
The CGCC anticipates costs will not be incurred until after the
Indian Gaming Revenue Sharing Trust Fund is fully funded (see
comments 2 and 3 below).
COMMENTS
1) Purpose. This bill codifies a provision from a
recently-ratified tribal-state gaming compact between the
State of California and the Federated Indians of Graton
Rancheria and subsequent compacts, including those with the
North Fork Rancheria Band of Mono Indians, the Ramona Band of
Cahuilla, and the Coyote Valley Band of Pomo Indians.
AB 1916
Page 2
2) Current Indian Gaming Funds. The two primary funds related to
Indian gaming are the Indian Gaming Revenue Sharing Trust Fund
(RSTF) and the Indian Gaming Special Distribution Fund (SDF).
The RSTF redistributes funds derived from Indian gaming to
non-gaming or limited gaming tribes (i.e., those with less
than 350 gaming devices or machines), with each tribe
receiving $1.1 million per year. The SDF was created to
distribute grant funds to the California Attorney General as
well as local communities and governments for projects
designed to mitigate the impacts of the Indian casinos,
including problem gambling programs.
Shortfalls in RSTF funds are currently covered with funds
redirected from the SDF before any other SDF distributions are
made.
3) Tribal Nation Grant Fund. The new fund was first referenced
in state gaming compacts negotiated with the Graton Rancheria
and North Fork Rancheria, though the provisions differ in the
level of specificity given to priority among the three Indian
gaming funds.
The operative provision of the North Fork compact prioritizes
funds for the RSTF, requiring any funds for the TNGF first be
deposited in the RSTF to cover any shortfalls before
depositing funds in the TNGF. By contrast, the Graton compact
allows the Legislature to determine the proportion of funds to
be deposited in the RSTF and TNGF.
In estimating the fiscal impact from administering the TNGF,
the CGCC anticipates that costs will not be incurred before
the RSTF has returned to full funding.
Analysis Prepared by : Joel Tashjian / APPR. / (916) 319-2081