For those not familiar with the Pachanga, Sycuan, Agua Caliente, and Morongo tribes, they OWN the gaming business in California. Of the 100 or so tribes in California, these four have become filthy rich while the majority of tribes feed off the crumbs strewn their way by the big four.
Under the agreement, "each of the four tribes will be able to "self audit" their gambling profits, for the purposes of reporting income to the State. As it is now, an impartial auditor counts the gambling profits. Under the new compacts, they'll be able to audit their own profits. They'll be able to decide what their profits are. If the State feels it's getting shortchanged, the tribe has the luxury of having the final say.
Two, the Propositions allow the tribes to reduce or totally withhold their tax payments to the State, if they feel the State has permitted a non-tribal entity to operate a gambling operation too close to their sphere of influence. Meaning, if the tribes feel that a new race track, or a new card house, or a new bingo parlor, is cutting into their customer base, they can withhold taxpayments.
The net effect of all this is that indian tribes will be given a guarantee that they won't have any competition, and will become their own judge and jury when it comes to deciding how much taxes to pay, or if they want to pay any taxes at all."
"What the Casinos get...
Casinos get to triple or nearly quadruple their number of slot machines (Pechanga goes from 2,000 to 7,500)
Casinos are no longer subject to the California Environmental Quality Act. Any expansion must be backed up by an environmental report that the Indian tribes can conduct themselves.
Casinos no longer have to have an impartial auditor count the slot machine revenues; they'll be able to audit them on their own.
Casinos will receive a "fail safe" guarantee that punishes the State for permitting non-tribal gambling operations. That is, if an organization other than an indian tribe receives a clearance to build a gambling establishment, the indian casino will be allowed to reduce its taxes to the State, or eliminate them altogether.
What the State gets...
Casinos will now pay taxes to the State General Fund. Previously, casino taxes were paid to two tribal funds (RSTF and SDF) that the State distributed to smaller tribes, and tribal administrative bodies. The General Fund is spent on all Californians.
Casinos will now pay more money than before, almost double than under the current compact agreements. But as mentioned above, the Indian tribes will now get to audit their own revenues for the purpose of deciding how much money goes to the State.{/b] Under the current arrangement, an impartial auditor is used. So, it's not exactly clear how much more money California will receive."
Nice scam Governer, another sweetheart deal pulled on the idiots of California.
Other states pay as high as 30-35%. 