California Gov. Gavin Newsom has signed Assembly Bill 2173, ratifying an amended tribal-state gaming compact between the state and the Agua Caliente Band of Cahuilla Indians and extending the agreement through Dec. 31, 2061.
The measure, authored by Assemblymember Greg Wallis, allows the tribe additional flexibility for future growth, including the addition of up to 500 gaming devices. It also restructures the tribe’s contributions to California’s Revenue Sharing Trust Fund, which supports tribes with limited or no gaming operations.
A tribal-state gaming compact is a legal agreement between a U.S. state and a Native American tribe that establishes the framework governing casino operations. AB 2173 passed both houses of the California Legislature without opposition. Because it was adopted as an urgency measure, the legislation took effect immediately upon Newsom’s signature.
The Agua Caliente reservation covers significant portions of Palm Springs, Rancho Mirage, and Cathedral City. The tribe employs about 3,200 people across its gaming and non-gaming businesses, making it one of the largest employers in the Coachella Valley.
“Agua Caliente has been a tremendous partner to the Coachella Valley for generations, working closely with our local governments and investing in the communities we call home,” said Assemblymember Wallis.
“This agreement respects tribal sovereignty, supports continued economic opportunity, and strengthens a partnership that has delivered real benefits throughout our region. I’m grateful to Governor Newsom for signing AB 2173 and to Chairman Jeff Grubbe and the tribe for their work to get this across the finish line.”
The compact amendment comes as California has also moved to tighten regulations governing cardroom gaming. Earlier this year, the California Department of Justice introduced rules placing restrictions on how hands are determined, prohibiting certain terminology traditionally associated with 21-point games such as blackjack, and tightening eligibility requirements for individuals serving as the player-dealer.
The California Gaming Association and several operators subsequently filed two lawsuits in San Francisco Superior Court seeking injunctions to block those regulations.