Social Gaming Alliance Opposes California AB 831 Online Casino Ban

California lawmakers are close to passing a bill that could reshape online gaming in the state, and not everyone is happy about it. The Social Gaming Leadership Alliance (SGLA) has raised strong objections to Assembly Bill 831 (AB 831), a proposal to outlaw sweepstakes-style social casino games. The group argues the plan would cost the state far more than it saves.

Good to know

• AB 831 passed both the Senate (36-0) and Assembly (63-0) and now awaits Gov. Gavin Newsom’s decision.
• SGLA says the ban could strip away more than $1 billion in annual economic activity.
• More than 16,000 Californians voiced opposition through calls and emails to lawmakers.

At the heart of the debate is money. According to the SGLA, online sweepstakes games drive over a billion dollars in combined direct and indirect economic impact each year. If AB 831 takes effect, they warn, California could lose hundreds of millions in annual tax revenue tied to the sector.

Jeff Duncan, SGLA’s Executive Director and a former Congressman, did not hold back in his criticism.  He said:

“Today’s hearing exposed the committee’s complete disregard for facts, economic reality, and the voices of tens of thousands of Californians all to hand monopoly power to tribes that have already invested hundreds of millions of dollars in Las Vegas and California coastal properties.”

Lawmakers in Sacramento advanced AB 831 with unanimous support in both chambers. The next move belongs to Governor Gavin Newsom, who must either sign or veto the bill by October 12. If he does nothing, the measure will automatically become law.

Meanwhile, opposition has been loud. SGLA reported that 16,000 residents sent nearly 33,000 emails and placed 4,500 calls urging legislators to reject the bill. Several tribal groups also questioned the measure, even as others stood behind it. Grassroots organizers like Californians United for a Responsible Budget joined the opposition as well.

The debate has even turned ugly. SGLA noted that some advocates of the bill allegedly used violent language toward critics, with one message reportedly saying “toe tags will be helpful to identify our next of kin.”

Seeking Regulation Instead of a Ban

Rather than outlawing social sweepstakes casinos outright, SGLA is calling for rules that provide consumer protections while respecting tribal sovereignty. The alliance believes a regulatory model would protect players, preserve economic contributions, and allow Californians freedom of choice in online entertainment.

The group stresses that regulation, not prohibition, can balance the interests of tribes, operators, and players while keeping the state’s gaming economy healthy.

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