Did you know that the history of gambling dates back thousands of years? This includes sports betting, which has been a popular pastime for centuries.
While gambling is more heavily regulated in the U.S., the state of California offers one of the largest untapped markets in the country.
However, the road to legalizing sports betting in California has been fraught with legal challenges and hurdles. In the last few years, several bills have been proposed that seek to legalize sports gambling in the state but have yet to become law.
Let’s take a look at everything you need to know about the obstacles in front of California gambling laws.
Concerns Over Gambling Addiction
These are often cited as one of the main reasons that sports betting has yet to be legalized in the state. For example, a 2020 bill that would have legalized sports betting was met with opposition from the California Council on Problem Gambling and other advocates.
They argued that this type of gambling could lead to an increase in problem gambling, which can have a devastating impact on individuals and their loved ones.
Unfortunately, gambling addiction is something that comes with a large number of consequences. This could involve placing yourself in unsafe situations, severe financial stress, etc. So, it’s understandable that people are worried about this occurrence.
However, it’s worth noting that many people argue the legalization of gambling is not the root of the issue. For example, it is legal for people to purchase alcohol, but that does not mean everyone who chooses to do so is up with lifestyle issues.
Legislative Hurdles
For any proposed bill to become law, it needs to pass through the California legislature.
This involves a long and complex process, with many stakeholders involved. It’s also worth noting that any bill must be approved by both chambers of the legislature before it can be signed into law by the governor.
Legislative obstacles are unlikely to disappear in the future. So, we can expect to see a conflict between both sides that impedes the gambling laws passed by the California government.
Tribes Opposed to Legalization Efforts
One of the main groups opposing sports betting legislation in California is the Native American tribes.
Tribal casinos are a significant source of revenue for the state and they believe that legalized sports betting could negatively impact their gambling business. They have argued that sports betting should only be allowed at tribal casinos in California and not at other venues.
This is one of the most prominent issues regarding gambling laws in California. Due to its nature, it’s also one of the most difficult to resolve.
Initiative Conflict
This is something that many people overlook regarding gambling law legalization. To break it down, let’s assume that only one gambling initiative is proposed. It will either pass will be denied.
If there are multiple, there is a chance that they will conflict with each other. In this case, only the initiative with the highest margin of approval will pass. This is important to keep in mind since each individual initiative could have passed on its own.
When they are proposed together, however, there is a risk that only one will pass. The alternative is to propose only one initiative at a time. As you might guess, this can delay the consideration of new laws.
Those opposed to gambling laws also have the opportunity to argue that multiple initiatives conflict with each other. This could create more of a slowdown even if the state government passes numerous initiatives at first.
Federal Law
At the federal level, it’s important to note the Professional and Amateur Sports Protection Act (PASPA). This act prohibits states from legalizing sports betting but does allow for some exceptions.
The state of New Jersey successfully challenged this act in 2018 and as a result, sports betting is currently legal in the state. Since then, the state of New Jersey has been able to collect millions of dollars in taxes from gambling facilities.
Despite this, the other concerns on this list have prevented the California government from doing so. As time goes on, many people expect this to change. One of the best examples is how states began to legalize the use of marijuana.
Although still federally illegal, people can use cannabis for both recreational and medicinal purposes in a variety of states. So, federal law is not quite as serious of a concern as other issues.
What Happens if Sports Betting Is Legalized?
Despite the controversy, nothing monumental will occur. The approval laws will go into effect and society will adjust. For example, let’s assume that California legalized sports betting in 2023.
People will be able to gamble on sports much more easily. The state will also be able to accrue a large amount of money in taxes. Objectively, legalizing sports betting would be a net positive for the state. Click here and learn how to be a bookie in California.
However, the state would need to be vigilant when assessing the results. In the event that issues arise (such as widespread gambling addiction), the state government should provide ongoing support.
The Future of California Gambling Laws Is Uncertain
While there is still a long way to go, some legislators are optimistic that California gambling laws be legalized in the near future.
With the right policies in place, it could open up a huge market within the state and provide much-needed revenue for California’s economy. Looking for more info about how we can help? Feel free to get in touch with us today to see what we can do.
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