California gov, tribes discuss deal to keep casinos open
Thursday, Aug. 26, 1999 | 9:23 a.m.
SACRAMENTO, Calif. - Gov. Gray Davis met with representatives of 25 California tribes Wednesday to discuss a possible interim compact that would keep casinos open until voters weigh in on the subject again.
Davis' closed-door meeting came two days after the state Supreme Court struck down Proposition 5, a voter-approved initiative that sought to expand legalized gambling at tribal casinos. The decision put several large Southern California casinos at risk of losing their lucrative slot machines.
The justices ruled Monday that the proposition is invalid because it would let tribes operate video slot machines and other Nevada-style games banned by the state constitution.
Davis' discussions Wednesday included the possibility of an interim compact that would give legal standing to tribes now operating casinos until a constitutional amendment that would permit the gambling goes to voters, Davis spokesman Michael Bustamante said.
A federal judge in Los Angeles deemed the slot machines at several Southern California tribal casinos illegal, but the 9th U.S. Circuit Court of Appeals agreed to let the tribes keep the machines pending the state court's ruling. Tribes now have until early October before the original order goes into effect.
The U.S. attorney's spokesman in Los Angeles said late Wednesday that such a compact may make the order moot. The U.S. attorney moved to seize the machines because the tribes were operating without a gambling compact with the state, as required under a 1988 federal Indian gambling law.
"If indeed a lawful compact is approved prior to the implementation of the permanent injunction here in our district, it would appear that they would then be allowed to continue operating," Thom Mrozek said. "Our litigation has revolved around the absence of a compact."
Davis and tribal officials also discussed proposed language for a constitutional amendment that would be more restrictive than Proposition 5, Bustamante said.
"Proposition 5 allowed for a significant expansion of gaming," Bustamante said. "Perhaps a modest expansion of gaming might be in order."
An initiative tribes are now circulating for the March ballot proposes an amendment less restrictive than the one Davis discussed Wednesday. The amendment authored by the tribes gets around the legal problem addressed by the court by amending the constitution instead of making a statute change, but otherwise generally duplicates Proposition 5.
Mark Macarro, chairman for the Pechanga Indian Reservation in Temecula, south of Riverside, said his tribe will consider both proposals.
"Any option that preserves our ability to continue on a status-quo basis has to be considered," Macarro said. "We need to preserve the level of employment we have now and the level of tribal services we have right now."
Tribes in other parts of California previously reached agreements with federal prosecutors over the machines. Additionally, several tribes reached compacts with former Gov. Pete Wilson and believe those will protect them from seizure.
More than 40 of the state's 107 tribes operate some form of gambling.
Davis aide Phil Trounstine said that Davis, asked about the prospect of federal action, told tribal officials: "We're working with U.S. Attorney General Janet Reno. We're trying to resolve this issue in Sacramento and would appreciate her cooperation in doing that."
Bustamante said Davis and tribal officials also discussed timing, including what period an interim compact would cover, and briefing touched on environmental issues and worker rights. He declined to elaborate. Davis favors letting casino workers unionize.
Davis and tribal officials met for nearly three hours. Another meeting is planned early next week.
"It was important that they sat down with him face-to-face and understood he is truly sincere about resolving this," Bustamante said.
The constitutional amendment under discussion is sponsored by Sen. James Brulte, R-Rancho Cucamonga, and Sen. Richard Polanco, D-Los Angeles. It would need approval from two-thirds of the Legislature and a majority of state voters.
The two hope to win the Legislature's OK yet this year, in time to put the proposal on California's March 7 presidential primary ballot. The Legislature is scheduled to close its 1999 session Sept. 10.
"It has a shot," said Senate President Pro Tem John Burton, D-San Francisco, who took part in the meeting, as did Assembly Speaker Antonio Villaraigosa, D-Los Angeles.
"The real decision is going to be by tribal members and what road they want to take," Burton said.
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