Democrats oppose online betting measure, remain neutral on retail

The California Democratic Party announced support for several ballot measures on Sunday — but not the two legal sports betting initiatives that will go to voters in November.

Last Updated: July 11, 2022 1:24 PM ET
Reading time: 2 mins

The electoral measure which aims to bring online sports betting to California has hit the political party which holds the stalks of power in the Golden State.

The California Democratic Party announced support for several ballot measures on Sunday — but not the two legal sports betting initiatives that will go to voters in November.

Instead, Democrats — who hold a majority in the legislature and occupy the governor’s office — voted to oppose Proposition 27, which would legalize online sports betting in the state, and to remain neutral on Proposition 26, which would allow in-person sports betting. in tribal casinos and racetracks.

However, the result was seen as a victory by proponents of the tribal-backed, retail-only Proposition 26. While Democrats won’t lend their support to the initiative, it looks like they’ll at least avoid fighting it.

“By opposing Proposition 27, California Democrats have rejected out-of-state businesses and reaffirmed their commitment to the Indian tribes of California,” said Reid Milanovich, Tribal Chairman of the Agua Caliente Band of Indians. Cahuilla, in a press release.

Deep pockets

Still, it’s not yet clear whether voters will approve or reject either of the sports betting proposals. And while Proposition 27 may lack support from state Democrats, it has financial backing from major sports betting operators such as BetMGM, DraftKings and FanDuel.

Proponents of the online betting initiative say it would provide hundreds of millions of dollars a year in tax revenue to the state to help fund temporary and permanent housing. If passed, the measure would allow online sports betting through partnerships with Native American tribes.

“The initiative does this by licensing, tightly regulating and taxing online sports betting,” says the Californians for Homelessness Solutions and Mental Health Support website. “In 2018, the Supreme Court ruled that states can legalize sports betting, and nearly half of the country has safely allowed online sports betting, generating windfall revenue to fund state priorities.”

Yet opponents of Proposition 27 say it would instead increase the risk of addiction and potentially expose underage residents to online gambling.

“Proposition 27 is not a solution to anything,” Milanovich said in the press release. “It would expose children to a massive expansion of gaming and turn every cellphone, gaming console, tablet and laptop into a gaming device. Proposition 27 is a direct attack on tribal gaming and Indian self-reliance.

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