The US’ most populous state is now considering two bills to authorise online poker, after California Senator Lou Correa introduced enabling proposals alongside Rod Wright’s draft framework.
Correa’s SB 678 would authorise online poker websites within the border of the Golden State, and establish a regulatory framework for their licensing.
The draft has not however been granted the urgency status of Wright’s SB 51, allowing the latter to take effect immediately if passed by a two-thirds majority vote in the legislature, as opposed to 1 January 2014.
California is seen as the most valuable intrastate market for online poker in a US where state-by-state regulation is superseding federal initiatives. Its 38-million population is seen by analysts as capable of sustaining online poker without needing to pool liquidity with other states, as reflected by three million-population Nevada last week pushing through laws to allow poker licensees to offer games in other US states entering into compact agreements.
California has however now failed to pass online poker regulations on at least five occasions, starting with Congressman Lloyd Levine’s bill back in 2008, with stakeholders consistently unable to broker agreement over questions of tribal exclusivity, types of games and eligibility for licences, but mainly on how the spoils would be divided in a regulated market.
Wright’s SB 51 represents his fourth attempt at pushing through legislation, following SB 1485 in 2010, SB 45 in 2011 and SB 1463 last year.
Correa has also introduced legislation on one previous occasion, his poker-only SB 40 vying with Wright’s broader SB 45 for the attention of California lawmakers in the summer of 2011. Correa’s bill also proposed the granting of an effective monopoly to just one entity, the now defunct California Online Poker Association (COPA), a coalition of 31 gaming tribes and card clubs led by the Morongo and San Manuel Bands of Mission Indians.
COPA disbanded in October of last year, citing “insufficient progress” towards passage of an online poker bill in California. The association had launched a Playtech-powered freeplay website called CalShark prior to this.
Two US states have now passed online gambling legislation – Nevada and Delaware – with New Jersey governor Chris Christie due to sign off on online gambling regulations allowing online poker and casino intrastate – within state borders – on or after 26 February.
Regulators and stakeholders in neighbouring Nevada are understandably keen on entering a compact agreement with California, should the Golden State manage to get enabling laws on the statute books. Pete Ernaut of the Nevada Resort Association told an Assembly and Senate Judiciary committee hearing into its new compact laws last week that these would enable Nevada to offer its “mature regulatory infrastructure” to states such as California and Texas, which “have the players,” according to the LVRJ.
Article written by Stephen Carter
Photo by Sam/Flickr (Creative Commons)
