SB 1463 Summary

• Establishes a regulatory framework for intrastate internet gambling in California, authorizing licensed entities to operate poker websites for California residents age 21 and older

• Eligible applicants include card clubs with owner licenses, tribal casinos with gaming compacts, horse racing associations, and online wagering operators that have been in good standing for three years; each entity may hold only one license

• Requires a $30,000,000 one-time license fee (credited against monthly fees) plus 10 percent of gross revenues monthly to the General Fund; creates an Internet Gambling Fund for regulatory costs and problem gambling programs via annual legislative appropriation

• Imposes strict requirements on licensees including age and location verification systems, player fund segregation, responsible gambling measures, tax withholding on tournament winnings, and employee licensing; violations are misdemeanors

• Grants the California Gambling Control Commission authority to issue licenses with Department of Justice recommendation, conduct investigations, establish regulations within 120 days, and enforce compliance; licenses issued for five-year terms