Saturday, September 20, 2008

Legislation to Devastate 100's of Charity Bingos

SB 1369 is a gut and amend bill headed for the Governor's desk that would devastate hundreds of local charities while allowing California's tribal casinos to expand their gambling operations onto the internet, essentially amounting to the greatest expansion of legal gambling in California's history. This competition would in turn severely weaken the viability of the California Lottery as a potential revenue source, an idea now under discussion through the latest proposed state budget.

SB 1369 outlaws the electronic charity bingo machines that hundreds of small charities throughout the state rely on for funding. In its place, it creates something called "Remote Caller Bingo," a technology that that links simultaneous Bingo games at multiple locations throughout the state. While organizers of Remote Caller Bingo will be able to offer larger, "life altering" jack pots, the technology will be unavailable to small charities and its practicality and profitability is questionable even for larger charities,

Meanwhile, the spread of Remote Caller Bingo through internet technology triggers a little-known clause buried inside the Indian gaming compact: basically, casinos operating under the compact have the right to use the internet for gambling if that technology is opened up to anyone else in California.

Essentially, if charities can offer Remote Caller Bingo online, then the door is open for gaming tribes to do the same. Because bingo is a game authorized by the lottery, tribes will be able to offer lottery games online. And what's more, loopholes in compact language and federal law may give casinos the green light to not only offer Bingo and Lottery games, but to offer other casino games like poker, black jack and slots. Anything that's played inside a casino could be played over the Internet with the approval of SB 1369.

For the complete story, please see California Charity Bingo Association, California Charity Bingo Association: SB 1369 Trojan Horse Legislation That Would be Devastating to Californians, The Sun Herald, September 16, 2008.

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