California Cardrooms Launch $3M Political Revenge Campaign Against Tribal Gaming Bill Supporters

California Cardrooms Launch $3M Political Revenge Campaign Against Tribal Gaming Bill Supporters

By Michael Thompson

December 27, 2024 at 08:12 PM

California cardrooms invested over $3 million in political campaigns targeting lawmakers who supported Senate Bill 549, which grants tribal casinos the right to legally challenge cardroom gaming operations. This unprecedented political retaliation occurred after the bill's passage into law in September 2024.

SB 549, effective January 1, empowers tribes to seek judicial review of cardroom operations offering games like blackjack and pai gow poker. Tribes argue these games infringe on their voter-granted exclusive rights.

The Gardens Casino building exterior

The Gardens Casino building exterior

California's 84 licensed cardrooms operate modified versions of casino games, using third-party companies as dealers. While cardrooms maintain their legality, they fear potential bankruptcy from legal battles. The California Gaming Association estimates 32,000 jobs could be at risk, with some cities potentially facing significant budget cuts to essential services.

Smiling man against green backdrop

Smiling man against green backdrop

The cardrooms' targeted spending affected four lawmakers:

  • Sen. Josh Newman (D-Fullerton): Lost to Republican Steven Choi after $900,000 in opposition spending
  • Assemblymember Evan Low (D-Cupertino): Lost congressional bid following $500,000 campaign against him
  • Assemblymember Brian Maienschein (D): Lost San Diego city attorney race after $443,000 opposition spending
  • Laurie Davies (R-Oceanside): Won reelection despite $1.3 million opposition campaign

This political strategy marks a shift in California gambling politics, where tribes traditionally outspend cardrooms, having donated $23.5 million to candidates over the past decade compared to cardrooms' significantly lower contributions. The cardrooms' retaliatory spending sends a clear message to lawmakers about potential consequences of supporting tribal gaming interests.

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