Funding for Non-Gaming Tribes and Local Governments
The Original 1999 Tribal-State Compact created two separate funds: The Revenue Sharing Trust Fund, which provides funds for non-gaming tribes in California, and the Indian Gaming Special Distribution Fund (SDF), which provides critical funding for local governments and special districts impacted by tribal government gaming, gambling addiction programs, and state regulatory costs.
Funding from the SDF by local governments are used for local law enforcement, fire and emergency services, traffic improvements, youth and child care programs, and more.
Members of TASIN have contributed hundreds of millions into the SDF.
As of 2014, California counties have received over $220 million from the Indian Gaming Special Distribution Fund.
CALLOUT:
As of June 2014, gaming tribes have contributed nearly $1 billion for California’s non-gaming tribes, which are located in mostly rural areas.
CALLOUT:
As of 2014, California counties have received over $220 million from the Indian Gaming Special Distribution Fund.
Beginning in 2003, the State took the approach that revenue sharing payments from Indian gaming would go into the State’s General Fund instead of the Special Distribution Fund. The compacts negotiated by former Gov. Schwarzenegger continued this trend.
Today, the state’s General Fund is estimated to receive about $400 million each year from Indian gaming revenue sharing. However, recent federal court decisions found that state demands to pay revenue sharing into the General Fund are not appropriate under the Indian Gaming Regulatory Act as this was effectively an illegal tax on Indian gaming.