California Pushes Forward With Internet Poker Bill
The state of California, which is the 8th largest economy in the world, will decide if Internet poker for real money play is to be legalized very shortly following the introduction of SB1463.
The bill was introduced by State Senator Roderick Wright this past week.
The Gambling Control Act provides for the licensure of certain individuals and establishments that conduct controlled games, as defined, and for the regulation of these gambling activities by the California Gambling Control Commission. The Department of Justice has related investigatory and enforcement duties under the act. Any violation of these provisions is punishable as a misdemeanor, as specified.
This bill would establish a framework to authorize intrastate Internet gambling, as specified. The bill would authorize eligible entities to apply to the department for a 10-year license to operate an intrastate Internet gambling Web site offering the play of authorized gambling games to registered players within California. The bill would prohibit the offer or play of any gambling game provided over the Internet that is not authorized by the state pursuant to this bill. The bill would provide that any violation of its provisions is punishable as a misdemeanor. By creating a new crime, this bill would impose a state-mandated local program. The bill would require a license applicant to pay an application fee to the department, for deposit into the Internet Gambling Licensing Fund, as created by the bill, to be continuously appropriated to the department for the reasonably anticipated costs of investigating the applicant.
This bill would declare that it is to take effect immediately as an urgency statute.
All Internet gambling that is not authorized by this law will be specifically illegal (a misdemeanor, which is currently the case).
Poker will be the only authorized game for the first two years; after that, other currently legal (in California) games may be allowed.
While there will not be a limit to the number of licensees, as initially planned, they must be either an authorized cardroom in the state (i.e. Commerce, Bike, etc.), an Indian tribe operating a casino in CA, a horse-racing track in CA, or an online entity taking bets on horse racing in CA.
Credit cards will be accepted as part of the new legislation (no cash or money orders). Player segregation will also be required.
“Per hand charges” will be permitted.
No business dealings are allowed with any businesses that now, or in the past, have offered Internet gambling within the US unless they were specifically authorized to do so under US law.
The bill would allow for "Powerball" type interstate pooling provided the US Department of Justice specifies this to be legal. Approval would then be by a majority vote of the legislature.
Players must be 21 or older.
While the state legislature will likely try to pass SB1463 by early summer, residents of California will likely not be playing until the early half of 2013 as online poker sites will need to set up their infrastructure in the state and have the client platform fully tested.
- Ace King, Gambling911.com
