Eagle1 Acquisitions Corp. modifies California sports betting proposals in an effort to win over tribes and achieve its goals of regulating the sector and increasing tribal income. Eagle1 intends to vote in 2024 despite previous disappointments, and Tribes see sports betting as a 2026 issue, focusing on voter fatigue and postponed mobile betting.
Eagle1 Adjusts California Sports Betting Bill to Take Tribal Concerns Into Account
Eagle1 Acquisitions Corp., LLC, the group behind two recently published sports betting proposals in California, revised them and forwarded them to the state attorney general's office, most likely in an effort to win over the state's tribal gaming consortiums.
Since it was filed in late October, the Sports Wagering Regulation and Tribal Gaming Protection Act has been primarily opposed by tribal casino operators in California. These groups argue that before filing, the bill's supporters ought to have gotten in touch with them. Eagle1 developed the proposed amendments with feedback from various stakeholders, including out-of-state operators, regulators, and tribal leadership.
The revenue share for Tribes has increased dramatically as a result of the amendments. Eagle1 noted that the $1 million that Tribes now receive annually could increase by a factor of 15 to 20 under their proposal. Among the other changes are two conditions that could have avoided stringent regulatory oversight and the taxation of promotional gaming credits after five years.
Another of the new amendments aims to make it stronger for California Tribal gaming operators to become their affiliates.
Eagle1 Advocates for Reforms in California Sports Betting Due to Tribal Fears
Eagle1 is using a well-known but plausible ruse to try and garner support for the Sports Wagering Regulation and Tribal Gaming Protection Act. Advocates of the proposal see it as a major revenue stream for Tribes and a potential way to close the illegal sports betting market in the state of California if voters approve it.
The Sports Wagering Regulation and Tribal Gaming Protection Act gives Californians access to a fair and competitive sports betting environment, regulates an unregulated industry, and grants tribes total control over sports betting.
California has the potential to be the largest legal sports betting market in the country, with an estimated $60 billion in wagers and $3 billion in revenue annually, according to a statement.
But tribe leaders in the biggest state are reluctant to take up the matter anytime soon, and some of the changes might not sit well with those groups.
For example, residents residing more than ten miles from a California tribal casino would no longer be required to register in person after two years. Another recent amendment specifies that input "from land-based and out-of-state operators and regulators" must be included. Tribal gaming entities in California may object to one or both, as they oversee Class III gaming in the state and do not need the support of out-of-state operators.
Despite Previous Setbacks, Eagle1 Continues to Pursue California Sports Betting Vote for 2024
In the coming year, Eagle1 hopes to draw the attention of California voters to sports betting—just two years after the state's voters soundly rejected ballot initiatives for commercial and tribal sports betting.
Eagle1 declared that it would "continue to work with tribal leaders to secure support for the proposition, bring unity to the plan, get it on the ballot for the 2024 California election, and ultimately pass it into law" in order to bring sports betting to California in a way that is regulated, controlled by the tribes, and advantageous to all parties involved. However, the Tribes believe that sports betting will become a problem in 2026 due to voter fatigue, and they further state that mobile betting will arrive later.
