SACRAMENTO— A bill requiring the Department of Justice to implement procedures for employees assigned to the Bureau of Gambling Control to track those hours and expenses that can be charged to the Indian Gaming Special Distribution Fund was signed by Governor Gavin Newsom today. The measure, AB 553, was introduced by Assemblymember James C. Ramos (D-San Bernardino).
“Following a state audit report released in 2022, it is clear that the Indian Gaming Special Distribution Fund needs greater accountability measures in place, said Ramos. “AB 553 is about government accountability, and will look to eliminate misuses of funds that came from California Tribes.” State agencies responsible for the fund include the California Gambling Control Commission, the DOJ and the Department of Public Health.
Ramos observed the distribution fund was created to pay for activities related to tribal gaming such as regulation and to provide services for individuals suffering from problem gambling. The state auditor reported, “The State has allowed the distribution fund to accumulate an excessive reserve. As of June 2022, the distribution fund's balance of $127 million was enough to pay for nearly four years of expenditures, significantly higher than the level suggested by a Government Finance Officers Association best practice.”
Ramos added that the auditor’s report also said staff time was inappropriately charged. The auditor also made recommendations about the state’s nonrepayment of a $2 million loan plus interest that has been outstanding for 13 years and other administrative concerns.
AB 553 is sponsored by the Morongo Band of Mission Indians and the California Nations Indian Gaming Association (CNIGA).
CNIGA Chairman James Siva commented, “We are incredibly pleased to see AB 553 become law. This has been a multi-year effort by CNIGA to find fixes to blatant abuses of the Indian Gaming Special Distribution Fund, and this bill is a big step toward fixing the shocking lack of accountability for employee work focus and time at the Bureau of Gambling Control. Though there is still work to do to fully redress the scope of abuse of the state distribution fund, this law creates greater transparency to identify problems should they arise again.”
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Assemblymember James C. Ramos proudly represents the 45th Assembly district which includes the Cities of Fontana, Highland, Mentone, Redlands, Rialto and San Bernardino. He is the first and only California Native American serving in the state’s legislature. Ramos chairs the Assembly Committees on Rules.