Tribal gaming establishments in California face opposition from four indigenous groups over a proposed ban on sweepstakes games.
In a united front, the Kletsel Dehe Wintun Nation, the Sherwood Valley Rancheria of Pomo Indians, the Mechoopda Indian Tribe of Chico Rancheria, and Big Lagoon Rancheria have gathered outside the Capitol in Sacramento to voice their opposition to Assembly Bill 831 (AB 831).
Sponsored by Assemblymember Avelino Valencia (D), AB 831 aims to regulate and controversially ban online sweepstakes gambling sites. However, the four tribes argue that the bill would eliminate more than $1 billion of existing economic activity generated by the industry in California.
The bill, backed by the California Nations Indian Gaming Association, has moved forward without meaningful consultation with tribes. Jeff Duncan, executive director of the Social Gaming Leadership Alliance and former member of Congress, has labelled AB 831 as a flawed and rushed bill that lacks broad tribal consensus.
Dennis Ramirez, chair of the Mechoopda Indian Tribe of Chico Rancheria, stated that AB 831 threatens to even further entrench a two-tiered system that benefits wealthy gaming tribes while marginalizing more rural nations. Eric Wright, tribal administrator of Kletsel Dehe Wintun Nation, added that the bill would sever the digital commerce lifeline for tribal members.
Buffey Bourassa, secretary of the Sherwood Valley Rancheria of Pomo Indians, said that eliminating legitimate, regulated, digital enterprise would deepen the disparities their people face, erode tribal self-sufficiency, and contradict California's stated commitment to equity and inclusion for all tribal nations.
Siva and Rocha, chair of the California Nations Indian Gaming Association and the Indian Gaming Association Conference respectively, have accused the sweepstakes industry of trying to divide tribes. They claim that sweepstakes is a form of online gaming they say is illegal and violates tribal sovereignty.
The opposition of the four tribes was raised in a webinar in late August. Siva and Rocha claimed that the bill aims at dismantling the sweepstakes industry and holding accountable the entire ecosystem, from operators and payment processors to celebrity endorsers.
If passed, AB 831 would limit economic opportunities available to less wealthy California tribes by banning legitimate online social games that use sweepstakes promotions. Duncan suggested that California lawmakers should focus on creating proper regulation that supports online social games, creates new revenue sources for the state, and protects economic opportunities for all tribes.
The tribes urge California lawmakers to reject AB 831 and advance inclusive policies that support digital innovation, economic diversification, and tribal self-determination. Siva stated that this is a classic divide-and-conquer tactic, with companies trying to pick off some of the small non-gaming tribes and make them outlandish promises, ultimately asking them to sell a little of their sovereignty.
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