Tribal leaders call out "breach of trust" in sports betting discussions

California’s tribal gaming associations have strongly refuted claims that an agreement was reached with commercial operators regarding the legalisation of sports betting. The controversy stems from a private meeting held earlier this week during the Indian Gaming Tradeshow & Convention in San Diego, where tribal leaders and members of the Sports Betting Alliance (SBA) discussed potential frameworks for sports wagering in the state.

In a joint statement, the California Nations Indian Gaming Association (CNIGA) and the Tribal Alliance of Sovereign Indian Nations (TASIN) criticised the SBA for inviting a reporter to what was intended to be a confidential roundtable discussion. “Tribal leaders are offended that the Sports Betting Alliance invited a reporter into what was intended to be a private roundtable discussion among tribal leaders regarding this controversial issue,” the statement read. They added that this breach of trust justifies why such conversations must be led by tribal governments rather than operator-funded groups.

While CNIGA and TASIN acknowledged that the meeting had some productive elements, they firmly denied any suggestion that a consensus had been reached between tribes and commercial operators. “Let there be no false illusion: establishing an acceptable framework and governance model will take time. This is a complex matter that involves navigating federal, state, and tribal laws, which requires thorough debate and careful resolution.”

Tribal leaders insist on careful approach to sports betting

The meeting in question involved representatives from the SBA, including its six-member Tribal Advisory Council, which represents major sportsbook operators such as DraftKings, FanDuel, BetMGM, and Fanatics. During the discussion, SBA proposed licensing at least four online sports-betting operators who would guarantee minimum revenue shares for one tribal entity jointly owned by California’s 109 federally recognised tribes. These funds would then be distributed among all tribes, while licensed operators would also pay a portion of their revenue to the state.

However, questions remain about whether this proposal would require commercial agreements with tribes or amendments to existing gaming compacts with the state. The SBA’s Tribal Advisory Council described the meeting as an opportunity to share insights on current trends and illegal markets while fostering open dialogue with tribal leaders. “The goal was to get feedback from tribes on these potential frameworks and begin to identify issues (and) concerns,” the council stated. “There is a lot of work to do to get this over the finish line and we know it’s going to take some time.”

Jeff Grubbe, a member of SBA’s Tribal Advisory Council and former chairman of the Agua Caliente Band of Cahuilla Indians, called the meeting “a valuable opportunity” for constructive discussions but acknowledged that misunderstandings had led to inaccurate reports being circulated online. “Simply put, no progress will be made … without the full support and leadership of tribal nations,” Grubbe emphasised.

A long road ahead for sports betting legalisation

The push for sports betting legalisation in California has been fraught with challenges. In 2022, voters rejected two ballot initiatives, Proposition 26, which aimed to legalise retail sports betting at tribal casinos and racetracks, and Proposition 27, which sought to authorise mobile sports betting through partnerships between tribes and commercial operators. Combined campaign spending for these initiatives reached an unprecedented $450 million.

Tribal leaders have made it clear that any future efforts will require careful deliberation and must prioritise tribal sovereignty. Jesus Tarango, chairman of Wilton Rancheria near Sacramento, stressed this point during recent discussions: “Gaming is a gift… Any expansion is going to be done at our speed.” He urged stakeholders to continue dialogue but noted that progress has been slow: “How is it that we haven’t got this done yet?”

California’s tribal casino market remains robust, generating nearly $12 billion in gross gaming revenue from 87 casinos in fiscal year 2023. Tribal leaders are adamant about protecting these brick-and-mortar operations as they navigate potential expansions into online wagering.

Looking ahead, CNIGA Chairman James Siva suggested that another ballot initiative for sports betting may not be pursued until 2028. For now, tribes are focused on maintaining control over discussions and ensuring any agreements align with their interests—a stance echoed by many during recent meetings.

As debates continue among tribal governments and commercial operators, one thing is clear: progress will only come through collaboration grounded in trust and respect for tribal sovereignty.

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