Social and Economic Changes on American Indian Reservations in California: an Examination of Twenty Years of Tribal Government Gaming

Abstract

IntroductionWhen the Indian Gaining Regulatory Act (IGRA) was being debated in Congress one of the most controversial points was the role, if any, for state regulation of tribal government gaming. Tribal governments were so opposed to Congressional imposition of state regulation that some tribal leaders preferred an outright ban. ..to any direct grant of jurisdiction to States (Senate Committee on Indian Affairs, 1988). IGRA was ultimately passed in 1988 with a provision that did require tribal and state governments to negotiate a compact for American Indian tribes to offer Vegas-style slot machines and housebanked card games in tribal gaming facilities (Indian Gaming Regulatory Act, 1988). Ultimately, this federal requirement created a patchwork of state-tribal agreements that resulted in uneven policy outcomes across Indian Country. Therefore, any analysis of IGRA's impacts requires a thorough analysis of both state and tribal policies.California's constitutional ban on Las Vegas style gaming was one of the main reasons the tribal-state compact negotiation process was stalled for 12 years. After more than a decade of negotiations and millions of dollars invested in two statewide initiatives, the voters of California overwhelmingly approved a tribal-state compact between Governor Gray Davis and numerous California tribal governments in 2000 (the Davis compact). The Davis compact contained provisions that addressed the particular needs of the tribal communities in the state and evolved from more than a decade of tribal gaming experience. While there has been phenomenal growth and recovery for many American Indian reservations, there are still large discrepancies in comparison to the rest of the US. Therefore, there is much room for additional innovation in policies and institutions that promote self-determined economic growth in Indian Country.Our analysis on the impacts of IGRA and the compacting process is based primarily on data collected by the US Census. This US Census data roughly captures the milestones in the California tribal gaming story. For example, the decade from 1990-2000 reflects the non-compacted gaming years in the state after IGRA. By 2010, tribal communities in California had experienced a full decade of casino operations under the first California State-Tribal Compact Agreements. These compacts, signed in 1999, fonnalized revenue sharing programs between tribal governments with gaming and tribes with small or nonexistent casino operations. Additionally, the compacts created a Special Distribution Fund that supported local and county (non-tribal) governments affected by casino operations. As a result, gaming revenues spread across reservations with casinos, adjacent non-Indian communities, and non-gaming reservations.California Reservations in ContextAs of early 2014, there were 109 federally recognized American Indian tribal nations in California (Bureau of Indian Affairs, 2014). These federally recognized tribes were located on 106 American Indian reservations and Rancherias (Osier, 2012). Several reservations share lands with other tribal nations and five reservations straddle the Arizona and/or Nevada borders. These reservations stretch from the Smith River Rancheria in far northwestern California to the Campo Indian Reservation on the border with Mexico in the south and to the Colorado River in the east (Figure 1).The American Indian reservations and tribal governments in California are distinct from those in other states. California and its Native peoples fell under either Spanish or Mexican mle until 1848. Starting as early as 1769, Spanish Missions were established, and Native peoples in California were forced to reside in and around the mission lands, often serving as unpaid laborers. Disease, depopulation, and removal policies that began in the 1700's put sustained pressure on California native population and land.California tribes differ in many regards as compared to American Indian tribes in the other 47 states. …