Join The Biggest Sports Betting Community In India At Pokerstars Sports – An iPad shows possible bets in the Skyloft Predictive Gaming Lounge at the Golden 1 Center on March 19, 2019 in Sacramento. Photo by Rich Pedroncelli, AP Photo
Campaigns for Propositions 26 and 27 on this November’s ballot have made various claims, particularly regarding how money generated from California sports betting should be distributed.
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Odds are, given their ubiquity on TV, websites and billboards across California, one of the many ads to legalize sports betting has caught your eye.
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. Some ads don’t mention sports betting, possibly leaving Californians confused about what they’re being asked to decide.
The ads are “oversimplified to the point of not being completely accurate,” said Mary Beth Moylan, associate dean and professor at the McGeorge School of Law at the University of the Pacific, who oversees a journal devoted to the California initiative.
Proposition 26 would legalize sports betting at tribal casinos and four private horse race tracks in California. About a dozen Native American tribes pay for it. It will also allow tribes to begin offering roulette and dice games.
Proposition 27 would legalize online sports betting statewide and is paid for by several large gaming companies. Under Proposition 27, both gaming companies and tribes can offer online and mobile sports betting.
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But how true are the advertisements? Here’s what you need to know about some oft-repeated claims.
Leaders of three of the 110 federally recognized Native American tribes – the Santa Rosa Rancheria Tachi Yokut Tribe, the Middletown Rancheria of Pomo Indians, and the Big Valley Band of Pomo Indians
Jose “Mock” Simon III, chairman of the Middletown Rancheria of the Pomo Indians, said in an interview that he supports Proposition 27 because it gives the tribe an opportunity to bring in more funding. The tribe is rural and has a casino about an hour’s drive north of Napa.
“Our bricks and mortar (casinos) are limited to our location and mobile sports betting will allow us to reach a wider audience,” said Simon III.
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But more than 50 tribes and tribal organizations oppose Proposition 27. They say it would disrupt decades of gaming on tribal lands and drive business away from Indian casinos.
It is true that some tribal leaders support Proposition 27, but many more tribal leaders oppose the proposal.
It’s true that every tribe will see some kind of benefit from Proposition 27. Tribes that have agreements with the state of California that allow them to offer gambling can create their own betting apps or websites. in sports on mobile. Or, they could partner with a gaming company that wants to offer online sports betting in California.
Engage in sports betting. But, because it’s hard to know how many people will bet, how many companies and tribes want to offer sports betting, or how many tax deductions companies will take, it’s impossible to know exactly how much money
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Every tribe has the ability to benefit from Proposition 27, yes. It is not clear to what degree each race will benefit.
This one is a bit complicated. It’s possible the measure would generate hundreds of millions of dollars annually to address homelessness, but that’s not guaranteed.
Each election cycle, the nonpartisan Legislative Analyst’s Office reviews each proposal and estimates new spending and revenue for the state. They found that Proposition 27, through taxes and fees, would increase money flowing into the state by “probably hundreds of millions of dollars but probably no more than $500 million annually.” The office does not include low estimates.
First, the money will be used to cover new costs associated with the regulation of sports betting, which analysts estimate could reach tens of millions of dollars annually.
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Of the remaining money, 15% will go to tribes that do not participate in sports betting and 85% will go to homeless solutions. The legislature may also choose to direct some of them to gambling addiction treatment.
Proposition 27 would likely generate hundreds of millions of dollars each year for the state to address homelessness. But whether taxes and fees bring in $100 or $200 million a year — as opposed to $500 million — is not. Also, if the Legislature decides to direct a larger portion to gambling addiction treatment, it will reduce the amount that goes to homeless solutions.
How does this money fit into what California is already spending to address homelessness? California will spend $7.2 billion on homelessness-related programs in the 2021-22 budget year, according to state analysts. If Proposition 27 added, say, $300 million, that would translate into a 4% increase.
This claim is based on the fact that Proposition 27 would tax online sports betting at a rate of 10%. So the question is: where exactly will the other 90% go? The truth is that it is impossible to know for sure.
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If Proposition 27 passes, gaming companies headquartered in other states will want to act, since they are the ones funding the action. Companies funding the initiative include some of the most popular online sports betting platforms: FanDuel US holds 31% of the market, followed by DraftKings with 26% and BetMGM with 16%, according to Eilers & Krejcik , a research firm dedicated to gaming. Therefore, it is reasonable to expect that their platforms will also be popular in California.
Does that mean those companies get all the profits? The initiative also allows California tribes to offer mobile and online sports betting on their own. If the tribes choose to do this, they will get some income.
Even gaming companies headquartered in other states may have to spend money in California to do business here. For example, companies will need to make a deal with a tribe to operate legally, and that deal may include some form of payment or revenue sharing. Gaming companies may also be required to hire employees or contractors in California to operate their business here.
The companies funding the campaign are headquartered outside of California. It is impossible to know at this time what percentage of the profit they will actually get.
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2022 Election Your Guide to California’s 2022 General Election Claim: Tribes push Prop 26 to “guarantee themselves a virtual monopoly on all gaming in California by giving attorney general powers to private attorneys litigation to bury their licensed competitors in the cardroom of frivolous lawsuits.” “
This argument has several claims. That’s based on a part of Proposition 26 that allows any person (or organization) who believes someone else is violating California’s gambling laws — by offering an illegal game, for example — to sue. Before they can sue, however, they must first ask the state Department of Justice to act, and can only proceed if the department does not act, or the department
File a lawsuit and the court dismisses the case but allows it to be refiled. This is a complex legal matter. But this is not an entirely new idea; California used a similar process to enforce labor laws.
Are the tribes “trying to guarantee themselves a virtual monopoly?” In 2000, Californians voted to allow tribes to offer certain types of gambling — including casino-sponsored slot machines and card games — that no other California entity is allowed to offer. Proposition 26 would allow tribes to begin offering roulette and dice games, which no other entity can offer, as long as they renegotiate their contracts with the state. Therefore, the initiative will extend exclusive rights to offer certain types of gambling to the tribes.
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Will the new litigation process “give attorney general powers to private litigation attorneys to bury their licensed competitors in the cardroom of frivolous lawsuits?” It would allow private lawyers to bring cases that currently fall under the purview of government prosecutors
The Proposition 26 campaign did not hide the fact that tribes have filed cardrooms, which compete with tribal casinos.
The lawsuit is “designed to fix the House Bank Games laws governing cardrooms,” Kathy Fairbanks, spokeswoman for the Yes on 26 campaign, said in a recent debate. The rules on how cardrooms are allowed to offer certain games have long been a source of contention between cardrooms and tribes. The tribes don’t have standing to challenge them in court, Fairbanks said, so they want a way to do that.
Law professor Moylan said this would open up countless lawsuits, however, assuming the courts don’t already have procedures in place to handle frivolous lawsuits. Courts can penalize lawyers who bring frivolous cases, for example, Moylan said.
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“I believe it is critical to invest in a free, fair and impartial press, especially in California when all three aspects are at stake.”
Covering the California economy for Grace. Previously, he was an editor in Washington
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