California Nations Indian Gaming Association Winter Update

This has been an exceptionally active year for California Nations Indian Gaming Association (CNIGA), capped by a productive legislative season. Two pieces of CNIGA’s priority co-sponsored legislation earned the governor’s signature, and several additional bills we supported also became law. It was also a year in which CNIGA led tribally driven sports wagering conversations in California, while coordinating national discussions with regional and national tribal organizations on the growing threat of sports wagering being offered through online exchanges as futures contracts.

Before getting into those issues, I want to highlight the success of our priority legislation. One of the most immediate changes for tribes will come through increased payments from the Revenue Sharing Trust Fund (RSTF), one of the two funds created by tribal–state compacts in 1999. Funded by larger gaming tribes, the RSTF has long provided annual payments of $1.1 million to eligible limited- and non-gaming tribes — an amount that has never been adjusted for inflation. That will finally change with the passage of AB 221, authored by Assemblymembers James Ramos and Avelino Valencia and co-sponsored by CNIGA and the Tribal Alliance of Sovereign Indian Nations (TASIN). The law streamlines the Tribal Nations Grant Fund (TNGF), which receives spillover revenue from the RSTF, and directs $600,000 annually — or 85 percent of available funds, whichever is greater — directly to eligible tribal governments. The remaining 15 percent will continue to support specific distribution grants.

Our other priority bill, AB 831, authored by Assemblymember Valencia and co-sponsored by CNIGA and the Yuhaaviatam of San Manuel Nation, was also signed into law. This measure explicitly prohibits online sweepstakes games that use “dual-currency” models to mimic casino-style gaming, often operated by offshore companies. It strengthens consumer protections and helps ensure that gaming in California remains safe and properly regulated.

Several additional CNIGA-backed bills were also enacted this year. AB 1004, authored by Assemblymember Greg Wallis and sponsored by the Soboba Band of Luiseño Indians, ensures that all tribal financial information submitted as a condition of receiving state financial assistance will be confidential and exempt from public records laws. AB 1369, authored by Assemblymember Ramos and sponsored by California Indian Legal Services, confirms that students and their families — not school districts — determine the cultural significance of tribal regalia worn at graduations and related events, and prohibits pre-approval requirements. SB 507, authored by Senator Monique Limón and sponsored by the Santa Ynez Band of Chumash Indians, allows federally recognized tribes to voluntarily partner with local governments on housing developments to help meet state fair share housing goals.

These bills build on several years of legislative success. In recent years, CNIGA has helped address misuse of the Indian Gaming Special Distribution Fund, reinstated a 20-year moratorium on commercial cardroom expansion, and secured tribes ‘ ability to bring a one-time lawsuit against commercial cardrooms employing illegal games and practices.

That lawsuit, authorized by SB 549 in 2024 and authored by former Senator Josh Newman, was recently heard in Sacramento. The court dismissed the case on federal preemption grounds, once again sidestepping the underlying merits. Earlier cases had been rejected because tribes, as sovereign governments, lacked standing to sue in state court — a gap SB 549 was specifically designed to fix. We strongly disagree with the dismissal and believe the court misinterpreted the law. The case will be appealed in the coming months, and we will keep tribes informed as developments occur.

As for this fall and winter, CNIGA is organizing a series of statewide meetings open to all federally recognized California tribes to discuss sports wagering options. The first meeting took place in Redding in October, with several more planned. Tribes interested in attending should watch for meeting notices sent to their tribal offices. Broad participation is essential to ensure that any tribally driven sports wagering efforts are carefully considered and supported across as many tribal governments as possible.

CNIGA has also been closely monitoring the emergence of sports events contracts — derivative products that allow speculation on sports outcomes and effectively enable nationwide sports betting through exchanges such as Kalshi, Crypto.com, and Robinhood, regardless of state or tribal jurisdiction. Multiple federal and state cases relating to these products are underway across the country, including in Nevada, Massachusetts, Maryland, New Jersey, and Ohio. In California, three CNIGA member tribes — Blue Lake Rancheria, Chicken Ranch Rancheria of Me-Wuk Indians, and Picayune Rancheria of Chukchansi Indians — have filed suit against Kalshi in federal district court. CNIGA has joined several amicus briefs in related cases and continues to participate in regional and national discussions on the issue.

Looking ahead, CNIGA will return to Pechanga Resort Casino for the 29th annual Western Indian Gaming Conference (WIGC), taking place February 23–26. The conference draws hundreds of tribal leaders, regulators, industry professionals, and policy experts. This year’s program will include the State of the Tribal Nations speech and expanded breakout sessions, with eight subject areas spanning tribal government, casino operations and security, regulation, finance and business development, food and beverage, marketing, healthcare, and, pending State Bar approval, minimum continuing legal education. Although the trade show portion of the event has been discontinued, attendees will have numerous opportunities to connect, including through a new poolside cornhole tournament. For details, visit cniga.com/wigc.