Monday, July 7, 2008

Electronic Bingo May Be Following Pattern of Slots From 1990s

The widening political and legal fight over electronic bingo appears to be following a pattern that opened the doors to Nevada-style Indian casinos in California a decade ago.

A week ago, a federal judge agreed to allow charities and nonprofit groups to continue operating lucrative bingo machines while their legal status is sorted out in litigation that could take months, if not years, to run its course.

At issue: Bingo machines
A federal judge recently stopped state officials from seizing slotlike electronic bingo machines operated in California by charities and nonprofits. He said the machines' legal status must be determined in court.

Happy about it: Nonprofits say they need electronic bingo machines to regain the audience and income lost to Indian casinos. Paper-card bingo operations run by non-profits have been legal in California since 1976, if approved by local authorities.

Unhappy about it: Gaming tribes say the use of electronic bingo machines by nonprofit groups violates their agreement to pay California billions of dollars for a guaranteed monopoly on slot machines. A lawmaker argues allowing nonprofits to use the machines could result in downtown bingo halls.

In a similar situation that played out during the 1990s, the state ultimately won a federal ruling that it was not obligated to permit slot machines in tribal casinos. But by then, the larger battle had been lost. Tribes had amassed the money, political clout and public support to get what they wanted in a public vote.

“You ain't seen nothing yet,” state Sen. Jim Battin, R-Palm Desert, warned recently about the spread of bingo machines. “This will parade like wildfire across the state.”

For the complete story, please see James P. Sweeney, Electronic bingo fight deja vu for California , SignonSanDiego.com, July 5, 2008.

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