California Tribes Escalate Fight Against Sweepstakes Casinos

California Tribes Escalate Fight Against Sweepstakes Casinos article feature image
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Pictured: Tribal groups are strongly backing AB 831. (Credit: Shutterstock)

This fight is far from over.

In the heart of California's Indian Country, tribal advocacy is gaining momentum against sweepstakes casino operators.

The campaign is focusing on Assembly Bill 831 (AB 831), which aims to ban unregulated sweepstakes casinos and ensure that everyone involved, from operators to celebrity promoters, is held accountable.

A committee in the state Senate recently agreed to move the proposal forward, and now the entire Senate will vote on it. If the Senate passes the bill, it will still need to return to the Assembly for a vote since the measure is substantially different from the version the body originally passed earlier this year.

Sweepstakes Casinos, Tribal Mobilization and Division

Strong support for AB 831 is emerging from powerful tribal groups such as the California Nations Indian Gaming Association (CNIGA) and prominent tribes like the San Manuel Band of Mission Indians.

Tribal groups such as the California Nations Indian Gaming Association (CNIGA) and major tribes like the San Manuel Band of Mission Indians are strongly backing AB 831, viewing sweepstakes casinos as a threat to tribal sovereignty and regulated gaming exclusivity.
Key tribes like the San Manuel Band of Mission Indians, are showing strong support for AB 831. Image Credit: Shutterstock

They see sweepstakes casinos as a direct threat to tribal sovereignty and the exclusivity of regulated tribal gaming.

Despite a few smaller tribes, such as the Kletsel Dehe Wintun Nation aligning with sweepstakes operators like VGW, the majority of tribal leaders are confident that these alliances will not fracture their unity.

Tribal attorneys argue that the legal battle favors them, as sweepstakes operations undermine current voter-approved tribal gaming frameworks.

Debate, Opposition, and Legislative Path

As AB 831 navigates through Senate committees, it faces opposition from groups like the Social & Promotional Games Association (SPGA), ACLU, the Big Lagoon Rancheria Tribe, and the Association of National Advertisers.

California Assemblymember Avelino Valencia introduced AB 831, which would ban sweepstakes casinos in california.
California Assemblymember Avelino Valencia introduced AB 831. Image Source: Official Avelino Valencia website.

Critics argue that the bill's language is overly broad and may unintentionally penalize legal promotions and non-gambling related sweepstakes. This ongoing debate indicates a need for more precise language and broader consensus as lawmakers work to pass the bill before the legislative session concludes.

The SPGA even sent a letter to California Assembly member Avelino Valencia, who introduced the bill, outlining its opposition. The outcome of this legislative action holds significant implications for the future of gaming regulations and tribal sovereignty in California.

Indian Gaming Association’s Role and Webinar Initiatives

The Indian Gaming Association (IGA) is playing a pivotal role by organizing webinars that bring together leaders from CNIGA, tribal attorneys, and gaming analysts.

These sessions aim to educate and inform about sweepstakes casinos' threats, the progress of AB 831, and the legal definitions surrounding dual currency gaming. A recurring theme in these webinars is the urgent need to clarify existing laws and close loopholes that sweepstakes operators exploit.

What Would Assembly Bill 831 Change?

AB 831 intends to shut down online sweepstakes games that imitate casino gambling through a dual currency model,  using "No Purchase Necessary" disclaimers.

These innovative sweepstakes casinos are becoming increasingly popular, offering people in the United States and Canada a legal and safe way to enjoy casino-style games online. As they continue to gain traction, some believe they could revolutionize the online gaming industry.

For those interested in experiencing sweepstakes casino games, there are several top-rated options to consider. In states where real money online gambling is not yet permitted, these platforms still offer the fun of games like blackjack, slots, and poker. Popular choices include Stake.UsPulsz CasinoHello MillionsMcLuck Casino, and High 5 Casino.

In celebration of National Beach Day on Aug. 30, here's a reminder to stop scrolling and start planning a visit to a sweepstakes casino to play some sandy games.
The Tipsy Tourist Beach Bonanza is an example of a sweepstakes casino game that is available

The bill will impose strict penalties on those involved in these operations, including offshore companies, payment processors, and promotional partners. Violations could result in fines up to $25,000 and jail time, with additional provisions targeting media and financial firms that support the sweepstakes industry.

High-profile celebrities endorsing these platforms could also face consequences under AB 831. The bill's broadened definitions hold endorsers accountable for facilitating and promoting these sweepstakes.

About the Author
Dave Grendzynski is a casino writer for Vegas Insider and Action Network. His most cherished casino experience is hitting a royal flush after betting the maximum amount on a machine at Seneca Niagara. 

Follow Dave Grendzynski @casinonewsdave on Twitter/X.

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