It’s a long running and very expensive battle. Opponents of the Californian tribal compacts signed by Governor Schwarzenegger filed legal challenges in a bid to overturn the agreements. Campaign costs for both sides are already estimated to be running at nearly US$30 million, and many more millions will have been spent before the matter is finally decided.

Under the compacts the Sycuan, Pechanga, Agua Caliente of Palm Springs and Morongo of east Riverside County could add up to 17,000 more slot machines to their casinos – a massive expansion to Californian gambling. Over the 23-year term of the agreements the state expects to receive billions of dollars of gaming revenue, money badly needed to help with the state’s budget deficit.

Federal approval of the compacts has been granted, albeit by default and somewhat unexpectedly. The federal agency’s 45-day period to approve or reject the agreements expired, meaning that by law approval is assumed. Some mystery remains about the cause of the delay. However, voters in California will be asked to ratify the compacts in a referendum on 5 February, unless the courts order otherwise.

If the referendum takes place and voters reject the compacts, the legal complexities will be even greater. Officials from the Interior Department are postponing the publication of the notice in the Federal Register declaring federal approval for the compacts, before which the agreements cannot take effect. There is no deadline for the publication and in the meantime both sides continue to plan their strategies. (E-12.04.07)

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