Summary
New rules in California, starting April 1, will limit blackjack-style games in card rooms, affecting card room revenue. The cities of Commerce and Bell Gardens are proposing a sales tax increase to make up for the expected revenue loss, which funds key public services.
Key Facts
- California approved new rules to restrict blackjack-style games in card rooms.
- These rules aim to keep clear legal boundaries between card rooms and tribal casinos.
- Commerce and Bell Gardens predict decreased revenue due to these rules.
- Card rooms contribute significantly to local government funding in these cities.
- Both cities plan to propose a sales tax increase to voters to recover lost revenue.
- The rules are intended to ensure fair gaming practices according to state law.
- City managers argue the regulations were implemented without considering financial impacts.
- The sales tax proposal suggests a 0.25 percentage point increase as a solution.
