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SCA-10 Legal gaming.(2003-2004)

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SCA10:v97#DOCUMENT

Amended  IN  Senate  June 18, 2003
Amended  IN  Senate  July 08, 2003

CALIFORNIA LEGISLATURE— 2003–2004 REGULAR SESSION

Senate Constitutional Amendment
No. 10

Introduced  by  Senator Florez

February 21, 2003

A resolution to propose to the people of the State of California an amendment to the Constitution of the State, by amending Section 19 of Article IV thereof, relating to gaming.


LEGISLATIVE COUNSEL'S DIGEST


SCA 10, as amended, Florez. Legal gaming.
The California Constitution prohibits various gaming activities within the state, including casino-style gaming, but authorizes the Legislature to provide for the regulation of horse racing, charitable bingo games, the California State Lottery, Indian gaming pursuant to tribal-state compacts, and charitable raffles.
This measure would permit the Legislature, by a statute enacted by a2/3 vote of the membership of each house, or the people, by an initiative measure approved by a majority of the voters voting on the measure at a statewide election, to provide for an expansion of legal gaming, as defined. The bill would additionally reorganize existing provisions relating to authorized or prohibited gaming activities.
Vote: 2/3   Appropriation: NO   Fiscal Committee: NO   Local Program: NO  
WHEREAS, State law prohibits commercially operated lotteries, banked or percentage games, and gambling machines, except pursuant to compacts with federally recognized Indian tribes, and strictly regulates parimutuel wagering on horse racing; and
WHEREAS, The provisions of subdivisions (b), (c), (e), and (f) of Section 19 of Article IV of the California Constitution, including both versions of subdivision (f), reflect limited and justified exceptions to the constitutional prohibitions on gaming; and
WHEREAS, The provisions of subdivision (f) of Section 19 of Article IV of the California Constitution as it relates to Indian tribes, reflects the unique status, history, and needs of the Indian tribes and a direct expression of the will of the California electorate to permit certain activities by federally recognized Indian tribes and no one else; and
WHEREAS, While the consideration of issues pertaining to the expansion of legal gaming by the voters has historically assured that the people’s attention will be brought to these issues and comports with the spirit of Section 19 of Article IV of the California Constitution, the Legislature is also a competent forum for the consideration of the expansion of legal gaming activities; and
WHEREAS, It is the policy of this state that expansion of legal gaming beyond what was permitted by statute as of January 1, 2003, or expressly authorized by Section 19 of Article IV of the California Constitution, be permitted either by a statute enacted by a vote of two-thirds of the membership of each house of the Legislature or by an initiative statute approved by a majority vote of the people; and
WHEREAS, It is not the intent of this measure to alter the authority of local governments pursuant to Article 13 (commencing with Section 19960) of Chapter 5 of Division 8 of the Business and Professions Code as it existed on January 1, 2003; now, therefore, be it
Resolved by the Senate, the Assembly concurring, That the Legislature of the State of California at its 2003–04 Regular Session commencing on the second day of December 2002, two-thirds of the membership of each house concurring, hereby proposes to the people of the State of California that the Constitution of the State be amended by amending Section 19 of Article IV thereof to read:

SEC. 19.

 (a) The Legislature has no power to authorize lotteries or casinos of the type operating on November 7, 1984, in Nevada or New Jersey, except that the Legislature may, by statute, authorize any of the following:
(1) The regulation of horse races and horse race meetings and wagering on the results.
(2) Cities and counties to provide for bingo games, but only for charitable purposes.
(3) Private, nonprofit, eligible organizations, as defined by the Legislature, to conduct raffles as a funding mechanism to provide support for their own or another private, nonprofit, eligible organization’s beneficial and charitable works, if both of the following conditions are satisfied:
(A) At least 90 percent of the gross receipts from the raffle go directly to beneficial or charitable purposes in California.
(B) Any person who receives compensation in connection with the operation of a raffle is an employee of the private nonprofit organization that is conducting the raffle.
The Legislature, two-thirds of the membership of each house concurring, may amend the percentage of gross receipts required by this paragraph to be dedicated to beneficial or charitable purposes by means of a statute that is signed by the Governor.
(b) Notwithstanding subdivision (a), the establishment of a California State Lottery is authorized.
(c) Notwithstanding subdivision (a), the Governor is authorized to negotiate and enter into compacts, subject to ratification by the Legislature, for the operation of slot machines and the conduct of lottery games and banking and percentage card games by federally recognized Indian tribes on Indian lands in California in accordance with the Indian Gaming Regulatory Act (25 U.S.C. Sec. 2701, et. seq.). Accordingly, slot machines, lottery games, and banking and percentage card games may be conducted and operated on Indian lands subject to those compacts.
(d) (1) Notwithstanding subdivision (a), the Legislature, by a statute enacted by a two-thirds vote of the membership of each house concurring, or the people, by an initiative measure approved by a majority of the voters voting on the measure at a statewide election, may provide for an expansion of legal gaming activities.
(2) As used in this subdivision, “expansion of legal gaming” means any change, increase, or extension of any gambling and other types of gaming, including, but not limited to, slot machines, lottery games, and banking and percentage card games in any manner, by a machine or device, or by a category of persons, groups, organizations, corporations, or other entities.
(3) This subdivision does not apply to gaming authorized under subdivision (c).