Last week’s new piece of online poker legislation filed by Assemblyman Jones-Sawyer could have provoked some debates between Californian stakeholders, but the problem is that the opinions of the American Indian tribes are very different on a number of issues.
Currently, none of the American Indian tribes that have political influence have backed the AB 1677, also known as The Internet Poker Consumer Protection Act. Unfortunately, this has not prevented the situation from becoming more problematic, especially considering the fact that the online poker legislation issue has been on the agenda of local authorities for almost a decade now.
If AB 1677 manages to overcome all necessary steps to be finally enacted, it would provide local tribes that already run casino and card room hubs with the opportunity to also operate poker websites. The operating licence is granted for a seven-year period and would cost tribes a total of $12.5 million. In addition, they will be charged with a tax estimated to 8.8% to 15% of their annual revenues.
Some of the major regulatory issues which have been implemented in the Bill are related to the licences and permissions procedures, as well as the separate approval of certain operations. Some hardware and software standards have also been implemented in AB 1677, as well as provisions related to prevention of problem gambling behaviour and underage gambling.
One of the provisions of The Internet Poker Consumer Protection Act that has provoked a lot of discussions is the fact that the Bill AB 1677 does not provide any penalties for gambling operators that take wagers in violation of the Unlawful Internet Gambling Enforcement Act.
Despite the problematic issues related to the Bill, it seems that Assemblyman Reginald Jones-Sawyer could be using AB 1677 as a means to put a start of the negotiations between the current stakeholders of the industry, including Indian tribes and card room operators. Mr. Jones-Sawyer’ Bill draft, however, has been both applauded and criticised.
The truth is that currently there could not be found a solution of the problem that pleases all. Some of the American Indian tribes are not very pleased with the provisions of the Bill, which could be a problem in order for their support to be received. On the other hand, the filed AB 1677 could lead to certain groups of both gaming and non-gaming tribes to finally try to patch up their differences on the matters of online poker.
- Author
Daniel Williams
