California’s Democratic Party, the majority seat holder in the legislature, has stated that all representatives intend to oppose the legalization of online sports wagering and will not support sports gaming initiatives that were proposed for the November ballot.
The party voted to oppose Proposition 27 while remaining neutral on Proposition 26. Proposition 27 seeks to legalize online sports betting while Proposition 26 would legalize retail sports betting at racetracks and casinos. The announcement was welcomed by the state’s tribes who have been opposed to any legislative moves that would allow commercial interests to take a role in online sports betting.
Reid Milanovich, tribal chairman of the Agua Caliente Band of Cahuilla Indians, said in a press statement following the party’s announcement:
“By opposing Prop 27, California Democrats rejected out-of-state corporations and reaffirmed their commitment to California’s Indian tribes. Prop 27 is not a solution to anything. It would expose children to a massive expansion of gambling and turn every cell phone, gaming console, tablet and laptop into a gambling device.”
California Democratic Party Native American Caucus First Vice Chair Dr. Joely Proudfit added:
“There is no question that Proposition 27 is an assault on tribal sovereignty. Proposition 27 threatens decades of progress for California’s Indians, erodes Tribal sovereignty, and threatens the future economic sustainability of California’s indigenous people.”
Proposition 27 is backed by major sports betting operators – BetMGM, Bally’s Interactive, DraftKings, FanDuel, Fanatics, Penn National Gaming, and WynnBET. This proposal would legalize sports betting across the state with all taxes going towards mental health and homeless programs. The projections for this proposal predict hundreds of millions in state revenue each year.
It’s up against Proposition 26 that is backed by the state’s 61 tribes — California Legalize Sports Betting on American Indian Lands Initiative. This would allow tribal casinos and four horse tracks to offer in-person sports betting.
Experts predict that the California sports betting industry could be worth upwards of $3 billion per year.
An experienced iGaming commentator and analyst based in New York City - Jenny reports on regulation and gambling industry news and events.