California tribes want to create a new sports betting initiative for the next ballot and will reconvene at the end of October to establish the first draft.
The tribes decided against setting up an initiative for the 2024 election at last year's California Nations Indian Gaming Association (CNIGA) workgroup meeting.
However, this time, certain parties look like they have ideas. CNIGA Chairman James Sivia revealed to PlayUSA that he expects the workgroup to draft an initiative for the 2026 or 2028 ballot.
“The goal of the workgroup is to create some type of a draft, whether it is for ’26 or ’28, that hopefully is capable of receiving mass tribal support,” Siva said. “We’re hoping to get out in front of this and work amongst tribes to have those difficult conversations and get to the point that we can start a draft.”
A Workgroup to Prioritize California Tribes
Currently, the workgroup is yet to decide on a specific sports betting initiative for the ballot. However, one thing is clear - Any drafted proposal must align with the tribe's priorities. Siva clarifies that the tribes will lead this initiative, starting with leaders determining its objectives. The Chairman expects each tribe to send delegates and participate in the process.
“Actual decisions on what this looks like are going to be driven by tribal leaders specifically. There will always be opportunities for attorneys and consultants to come in and help us fine-tune things, to point out what we missed, but the overall emphasis of priorities needs to come from tribal leaders… We’re leaving it open for leaders of tribes who want to be included. We’re not going to exclude or prioritize anyone. I’m hoping to get a mass collection of tribal leaders across the state to participate in the workgroup.”
Siva emphasizes that he wants the workgroup to be large, with all tribes making their points. As the workgroup grows, these points will be refined to represent the broad optimal interest of all tribes.
The Difficult History of Crafting a Sports Betting Model in California
A sports betting initiative that works for all tribes looks like the perfect idea. However, history shows that all 110 CA tribes sometimes find it difficult to create a one-fit-all model. The workgroup has a year to draft and file an initiative if they hope to have it in the 2026 ballot. However, what seems like a lot of time may not be enough if the tribes repeat the 2022 ballot drama.
The tribes were torn into three groups on what initiative to present for the 2022 election cycle. One group promoted the in-person-only model Prop 26, while another fell behind the operator-backed online sports betting initiative Prop 27. The third group chose a tribal online sports betting model that did not qualify for the ballot.
Siva states that they will try not to have a repeat of the 2022 debacle. “We don’t want to relive the 2022 election campaign, where we had division amongst tribes on multiple fronts. It was a confusing election cycle.”
The Chairman’s claim is quite legitimate because Prop 27 supporters, backed by FanDuel, state that they will allow the tribes to craft this new initiative. They only hope to contribute to discussions.
California Tribes Hope to Build on Recent Unified Approach in Workgroup
The past 18 months have seen tribes project a collective front in sports betting discussions. They all came together in the most recent two legislative sessions, supporting a cardroom moratorium bill and legislation to access state courts and sue cardrooms.
“We had a lot of unity among tribes on big issues related to gaming. We’re hoping to continue that momentum with this workgroup as we look to the future on what the next sports betting initiative could look like.”
A major reason the tribes suspended the 2023 workgroup was to get clarity on how they can have statewide online gaming under the Indian Gaming Regulatory Act. The courts have now upheld the Seminole Tribe of Florida’s compact while the Department of Interior has updated the Indian Gaming federal regulations. With these changes, Sivia says it is time to develop a new sports betting initiative.
“It seems like now we have enough resolution on those items to begin our work internally. To get mass approval from all tribes, we’re going to need a model that guarantees revenue share and benefits for all federally recognized tribes, protects sovereignty and promotes exclusivity.”
