California Tribes Plan to Lead Sports Betting Efforts by 2028

At the Global Gaming Expo (G2E) in Las Vegas, the Chairman of the California Nations Indian Gaming Association (CNIGA), James Siva, confidently declared that California tribes would be at the forefront of controlling sports betting in the state. Speaking during a discussion focused on tribal sovereignty and sports betting, Siva emphasized that the tribes have learned from past experiences and are already laying the groundwork to propose a new sports betting initiative, likely appearing on the ballot in 2028.

Siva’s comments came after reflecting on the intense and costly 2022 referendum battle, in which nearly $500 million was spent by both tribes and commercial interests fighting for control of sports betting. Both measures proposed at that time were defeated by voters, leaving the future of sports betting uncertain. Despite this setback, Siva stressed that discussions about sports betting never truly ceased. “I was exhausted, and a lot of California leaders in this room were exhausted, but we never stopped talking about sports betting,” he said. “We will take off an election cycle in 2024 and keep working on this.”

Lessons Learned and Future Plans

The California tribes, who operate 73 gaming facilities out of the 109 federally recognized tribes in the state, are now uniting to ensure a more cohesive and strategic approach to sports betting. The divisions that marked the last referendum, where some tribes were on opposite sides, have been addressed. According to Siva, CNIGA has created a working group that is focused on developing a new narrative and framework for sports betting, emphasizing that any future gaming in the state will be controlled by the tribes. “Any entry of new gaming into California will be controlled by tribes. Period. Tribes are the operators in California. Period,” he asserted.

The tribe’s leadership will spearhead this effort, ensuring that all tribes, regardless of their size or gaming operations, benefit from the eventual framework. “We’ve learned our lessons and know exactly what to do,” Siva added. “We have to communicate. We have to make sure that every single tribe in California benefits.”

The Road Ahead: 2026 or 2028?

While 2026 is a possibilityfor when a sports betting initiative could appear on the ballot, Siva suggested that 2028 is more likely. “The timing may be 2026, and likely 2028, but there will be a lot of action coming out of California in the next few months,” Siva said. Despite the delay, the tribes remain optimistic about their path forward, as California voters continue to view the tribes in high regard due to their contributions to the communities.

Siva’s optimism stems not only from the lessons learned during the 2022 referendum but also from observing how other tribes across the country have successfully handled sports betting. “There’s no reason to recreate the wheel,” he noted, acknowledging that California’s unique size and diversity—where some tribes operate massive gaming facilities and others have none—necessitate a customized approach.

Addressing iGaming and Other Opportunities

Siva also touched on the growing conversation about how sports betting could serve as an entry point for iGaming in California. “This whole conversation is about how sports betting will affect the entry of iGaming into the California market down the road,” he said. Tribal leaders are already contemplating how online gaming could fit into the state’s future, ensuring that any initiative crafted for sports betting could also consider online casino gaming.

In addition to these forward-looking plans, California tribes recently secured a legislative victory when Governor Gavin Newsom signed a bill allowing them to sue local cardrooms. This legislation addresses a longstanding issue where cardrooms employed third-party providers of proposition player services (TPPPS) in games like blackjack and roulette, which the tribes argued violated their exclusive gaming rights. The new law provides a one-time opportunity for tribes to file a lawsuit by April 1, 2025, to defend their exclusive rights under state law and the federal Indian Gaming Regulatory Act.

Fantasy Sports: Another Challenge on the Horizon

Siva also highlighted ongoing discussions surrounding the legality of fantasy sports in California. The state attorney general is reviewing the legal standing of daily fantasy sports, examining whether they should be classified as games of chance or skill. Siva expressed hope that the attorney general’s opinion, though non-binding, would favor the tribes, who are prepared to fight any actions that might undermine their sovereignty.

While the road to legalizing sports betting in California has been long and challenging, Siva remains optimistic about the future. The California tribes are committed to developing a framework that reflects the state’s unique circumstances while drawing inspiration from successful initiatives in other states. As Siva noted, “We have started to think outside the box… What’s going to come out of California will be new and unique.”

Source:

“G2E: California Tribes to Lay Out Sports Betting Strategy Following Election“, cdcgaming.com, October 9, 2024.