The California Legislature has defeated Gov. Arnold Schwarzenegger's goal of expanding of Indian gambling on Thursday after heavy lobbying by union groups who were frustrated by efforts to organize workers at the casinos.
This might be just a temporary setback for Schwarzenegger and the tribal groups who said that they will continue in their expansion efforts next year. Also, Legislative leaders, who have been generally supportive of Indian gambling, suggested they would be open to similar plans down the road.
The bills, which would have allowed some 20,000 new slot machines on several reservations did not come through.
California is already leading the states in Indian gambling, with 57 sites that brought in more than $7 billion in revenue last year, mostly from slot machines. The new bills could have added several billion dollars in revenue to the state treasury.
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