Sportsbooks in California

Introduction

The landscape of sportsbooks in California is unique compared to many other states in the United States. While sports betting has become legal and operational in numerous states following the repeal of the Professional and Amateur Sports Protection Act (PASPA) in 2018, California has yet to establish a regulated framework for sportsbooks. This is largely due to political complexities, differing interests between stakeholders, and the state’s rich history of tribal gaming operations.

Legal Status of Sports Betting in California

Currently, sports betting—whether in person or online—is not legal in California. The main obstacle lies in the differing visions of how sports betting should be implemented and regulated. Tribal casinos, commercial cardrooms, racetracks, and online operators all have competing proposals for a legal framework. Tribal gaming groups, which hold significant influence over gambling regulations in California, generally advocate for in-person betting at tribal casinos, while major online sportsbooks aim for statewide mobile betting access.

History of Legislative Efforts

Since 2018, multiple attempts have been made to legalize sports betting in California:

2019–2020: Initial legislative proposals failed to pass due to disagreements between lawmakers and tribal stakeholders.
2022 Election Propositions: Two competing measures—Proposition 26 (tribal retail sports betting) and Proposition 27 (online sports betting)—were placed on the ballot. Both were heavily funded campaigns, but each failed to secure voter approval.
Post-2022: Political and public sentiment indicated that further efforts might be delayed until a compromise can be reached between tribes and commercial interests.

Types of Potential Sportsbooks

If sports betting were legalized, California’s size and population would make it the largest sports betting market in the United States. Potential sportsbook formats could include:

Retail Sportsbooks at Tribal Casinos: Likely the first to open under a tribal-exclusive framework.
Mobile and Online Sportsbooks: Accessible statewide, offered by national operators like FanDuel, DraftKings, and BetMGM, contingent on regulatory approval.
Sportsbook Lounges at Racetracks: Physical betting facilities integrated into existing racing venues.

Economic and Social Considerations

Sports betting in California could generate billions of dollars in handle annually, with significant tax revenue potential. However, discussions about legalization also focus on:

Revenue Distribution: Allocation to public services, homelessness prevention, and problem gambling programs.
Responsible Gambling Measures: Safeguards to protect vulnerable populations.
Tribal Sovereignty: Ensuring that the rights and economic interests of Native American tribes are respected.

Public Opinion and Future Outlook

Public opinion on sports betting in California is divided. While many residents express interest in legal, regulated betting, others are concerned about potential social harms and the influence of large corporate operators. Future legalization efforts will likely require a unified proposal supported by both tribal nations and legislators, potentially aiming for a ballot measure in a future election year.

Summary

California remains one of the largest untapped sports betting markets in the country, but legalization faces significant political, economic, and cultural challenges. The path forward will require cooperation between tribal authorities, state lawmakers, and commercial sportsbook operators to create a framework that balances economic opportunity with social responsibility.