The good news from California is that another run at legalising online poker is reportedly about to commence in the state Legislature…and this one may have a better chance than previous attempts with reports that the key support of tribal gambling interests is growing, with at least seven tribes now on-side for a bill drafted by the Pechanga tribe .
Insiders who have seen the draft bill claim that it will keep the advantage of California’s large population by prohibiting player-sharing compacts with other states, and will have provisions excluding “bad actors” – companies that formerly flouted US laws against online gambling financial transactions – an element widely perceived to be a protectionist mechanism to ensure that external competition is kept to a minimum.
That protectionism is also evident in provisions which restrict each licence to cover only a single online poker room, and reserve licensing for existing card rooms and tribal gambling groups that have been operational in the Golden State for at least five years.
Participation in a legalised Californian market will not come cheap – some reports predict that a one-time licensing fee of $5 million will be a requirement, along with tax at 5 percent of GGR.
Aspirant operators will be watching developments in the state Legislature closely once the session commences on February 21.