California Proposition 5, the Tribal-State Gaming Compacts Initiative (1998)
|Voting on Gambling|
|Not on ballot|
The campaign was fiercely contested on both sides. Over $68 million was spent on the campaign in its favor, while $25 million was spent to oppose it.
What was at stake was a compact between the California state government and various Indian tribes regarding gambling on tribal lands; in particular, a number of Indian tribes wanted to be able to install slot machines in their tribal casinos.
Of voters who cast a vote in this election, 457,253 or 5.3% did not cast a vote on Proposition 5.
Text of measure
The ballot title was:
The official ballot summary said:
- Specifies terms and conditions of mandatory compact between state and Indian tribes for gambling on tribal land.
- Mandates Governor to sign compact upon request by tribe. Permits alternative compacts only if consistent with prescribed compact.
- Permits gambling devices and lotteries at tribal casinos.
- Amends California law to allow slot machines and banked card games at tribal casinos.
- Provides for contributions to trust funds benefiting nongaming tribes, statewide emergency medical care programs, and programs benefiting communities near tribes, if tribes retain monopoly on authorized gambling.
- Provides for reimbursement of state regulatory costs.
The California Legislative Analyst's Office provided an estimate of net state and local government fiscal impact for Proposition 5. That estimate was:
- Uncertain impact on state and local revenues, depending on the extent of expansion of gambling on Indian lands in California and the amount of gambling diverted from outside the state.
- Fiscal effect could range from little impact on revenues to significant annual increases.
Supporters of Proposition 5 spent $63,237,637. The top contributors to pass Prop 5 were:
- San Manuel Tribal Administration: $27,782,533
- Morongo Band of Mission Indians: $12,621,348
- Viejas Indian Reservation: $11,012,228
- Pechanga Band of Luiseno Mission Indians: $9,709,927
- Agua Caliente Band of Cahuilla Indians: $2,316,775
- Soboba Band of Mission Indians: $618,593
- Barona G & A: $500,000
- Inland Entertainment Corp.: $500,000
- Barona Band of Mission Indians: $493,822
- Cabazon Band of Mission Indians: $462,566
Opponents of Proposition 5 spent $25,426,870. Top contributors to defeat Prop 5 were:
- Mirage Resorts: $6,662,500
- Circus Circus Enterprises: $6,512,500
- Hilton Hotels: $6,500,000
- W.G. Bennett, Chairman & CEO, Sahara Gaming: $1,250,000
- Caesars ITT: $1,000,000
- Primadonna: $800,000
- Station Casinos: $500,000
- Austi International: $250,000
- Rio Suite Hotel: $250,000
- Imperial Palace: $250,000
State of California
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